Irvine, CA-based Sabra Health Care REIT Inc. recently revealed that the settlement agreement between the company and Senior Care Centers has been approved by the bankruptcy court.
As previously revealed, Sabra entered into agreements to sell 28 facilities owned by Sabra and currently operated by Senior Care Centers for $282.5 million and to discharge our claims against Senior Care Centers in exchange for certain settlement payments from Senior Care Centers as well as their assistance in facilitating an orderly transfer of the Senior Care Centers Sale Facilities to the proposed buyer’s designated operators.
The settlement agreement with Senior Care Centers has now been approved by the bankruptcy court providing for, among other things, payments to Sabra totaling $9.5 million, of which $5 million will be payable concurrently with the sale and associated transition of the Senior Care Centers Sale Facilities scheduled to close on April 1, 2019, with the remaining $4.5 million to be paid on or before July 1, 2019. In connection with these settlement payments, the Company will recognize $6.2 million of post-petition rent.
Sabra Health Care REIT, a Maryland corporation, operates as a self-administered, self-managed real estate investment trust that, through its subsidiaries, owns and invests in real estate serving the healthcare industry. Sabra leases properties to tenants and operators throughout the United States and Canada.