-- Senior Loan to Assist Ignite Medical Resorts in Purchase of Houston Metro-area Property --
WESTLAKE VILLAGE, Calif.--(BUSINESS WIRE)-- LTC Properties Inc . (NYSE: NYSE:LTC) (LTC or the Company), a real estate investment trust that primarily invests in seniors housing and health care properties, today announced that it has originated a $12.7 million senior loan to Ignite Medical Resorts (Ignite), a current LTC operator, for the purchase of a skilled nursing and assisted living campus in Katy, Texas. The investment will be accounted for as an unconsolidated joint venture.
The five-year loan is interest only at a current rate of 9.15% and includes a CapEx investment of approximately $800,000 for campus improvements. LTC expects this investment to generate approximately $884,000 of revenue in 2024.
The campus was built in 2017, and includes 78 units (48 skilled nursing and 30 assisted living) and 104 licensed beds (70 skilled nursing and 34 assisted living).
We are very pleased to assist our long-term partner, Ignite, with the purchase of this property, building on the strong relationship we have had with them since 2019. We look forward to continued growth with them, said Wendy Simpson, LTC's Chairman and Chief Executive Officer. We are focused on providing flexible financing, including through shorter-term vehicles, that provides growth capital for our operators, while also generating meaningful returns for LTC and our shareholders.
About LTC
LTC is a real estate investment trust (REIT) investing in seniors housing and health care properties primarily through sale-leasebacks, mortgage financing, joint-ventures and structured finance solutions including preferred equity and mezzanine lending. LTC's investment portfolio includes 202 properties in 26 states with 31 operating partners. Based on its gross real estate investments, LTC's investment portfolio is comprised of approximately 50% seniors housing and 50% skilled nursing properties. Learn more at www.LTCreit.com.
Forward-Looking Statements
This press release includes statements that are not purely historical and are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the Company's expectations, beliefs, intentions or strategies regarding the future. All statements other than historical facts contained in this press release are forward-looking statements. These forward-looking statements involve a number of risks and uncertainties. Please see LTC's most recent Annual Report on Form 10‘K, its subsequent Quarterly Reports on Form 10‘Q, and its other publicly available filings with the Securities and Exchange Commission for a discussion of these and other risks and uncertainties. All forward-looking statements included in this press release are based on information available to the Company on the date hereof, and LTC assumes no obligation to update such forward-looking statements. Although the Company's management believes that the assumptions and expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. The actual results achieved by the Company may differ materially from any forward-looking statements due to the risks and uncertainties of such statements.
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Mandi Hogan
(805) 981-8655
Source: LTC Properties Inc.