CareTrust REIT announced the closing of a $119 million transaction that adds a senior housing and skilled nursing campus in Southern California. The campus contains 120 licensed skilled nursing beds and 273 senior housing units and will be triple‑net leased to an existing CareTrust operator under a long‑term lease, creating a stable, rent‑based income stream for the REIT.
The deal expands CareTrust’s U.S. skilled nursing portfolio and introduces a new senior housing component, reinforcing the company’s three‑engine strategy of U.S. skilled nursing, U.K. care homes, and senior housing operating portfolios. By adding 120 beds and 273 units, the acquisition increases the company’s rental income base and diversifies its asset mix within the U.S. market, positioning CareTrust to capture growth in both skilled nursing and senior housing demand.
CareTrust’s acquisition strategy is driven by long‑standing relationships with operators. The Southern California campus is a high‑quality asset located a few blocks from a hospital, and the triple‑net lease to a trusted operator provides a predictable cash flow. The transaction is part of a $364 million year‑to‑date total of investments in 2026, and the company’s strong balance sheet, ample liquidity, and manageable leverage support continued capital deployment. CareTrust also uses proceeds from settled equity forward contracts to fund acquisitions, underscoring its disciplined financing approach.
"We're pleased to announce a pair of transactions that reflect the real investment we've made in cultivating deep relationships throughout the industry. The Southern California campus is a high‑quality asset located a few blocks from the hospital with tons of upside and a well‑established operating partner in which we have tremendous confidence," said James Callister, Chief Investment Officer. "We're off to a strong start in 2026, and these investments are a continuation of the growing momentum we've been building across our three growth platforms," added Dave Sedgwick, President and Chief Executive Officer.
CareTrust maintains a robust near‑term pipeline of approximately $500 million, excluding larger potential transactions. The company’s focus on relationship‑driven deal flow and its diversified portfolio across U.S. skilled nursing, U.K. care homes, and senior housing operating assets positions it to capitalize on opportunities in a competitive market while managing risk through stable, long‑term leases.
The acquisition signals CareTrust’s continued confidence in the senior housing and skilled nursing sectors and its commitment to expanding its portfolio through disciplined capital deployment and strong operator partnerships. Investors can view the deal as a positive step toward long‑term growth and diversification within the company’s core asset classes.
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