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Sunrise Senior Living facilities deal completed

Health Care REIT Inc. announced Wednesday the completion of the acquisition of the Sunrise Senior Living property portfolio, and the sale of the Sunrise management company.

The company’s investment in Sunrise properties is $3.4 billion, and that investment is expected to increase to $4.3 billion by July 2013 upon exercise of the company’s rights to acquire additional joint venture partner interests at fixed purchase prices.

Area Sunrise Senior Living locations are located at 751 E. Terra Cotta Ave. in Įrystal Lake and 510 W. Northwest Hwy. in Barrington.

Immediately prior to the acquisition of the Sunrise property portfolio, an entity led by affiliates of Kohlberg Kravis Roberts & Co. L.P. and affiliates of Beecken Petty O’Keefe & Company acquired the Sunrise management company for approximately $130 million, with Health Care REIT investing approximately $26 million for a 20 percent ownership interest.

The Sunrise management company will employ the employees of Sunrise Senior Living and operate under the “Sunrise” name and brand.

“Rapid and efficient execution of a complex acquisition, accelerated joint venture buy-outs at accretive prices, and the favorable sale of the management company has positioned us with the premier seniors housing portfolio in the market place at a price that generates very attractive risk adjusted returns for our shareholders,” commented George L. Chapman, Chairman and CEO of Health Care REIT. “The Sunrise properties complement our high quality portfolio of predominately private pay properties concentrated in affluent high barrier to entry markets."

The $4.3 billion investment is expected to include 120 wholly owned properties and five joint venture properties.

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