Thank you for joining us today as we announce an exciting strategic partnership with LNT. I'm joined in our London, England office by James Callister, Chief Investment Officer, Derek Bunker, CFO, and Tri Tran, our Head of SHOP Investments. The deal we are announcing today combines our two newest growth engines, SHOP and U.K. Care Homes, in a deal valued at approximately $1.4 billion. Some quick context of these two growth engines. Over one year ago, we entered the U.K. by acquiring the London-listed REIT, Impact Healthcare REIT, in a deal valued at approximately $860 million. Since then, we've acquired an additional $425 million of care homes before today's announcement. With respect to SHOP, we've been in this business for less than one year now, and we've entered SHOP in the same way we've built our CareTrust portfolio: disciplined underwriting that matches strong operators with great opportunities. If you combine the SHOP investments closed to date with our near-term SHOP pipeline, then in the first 12 months of establishing our SHOP platform, we will have already invested about $400 million. Both of these engines of growth are very active and firing on all cylinders. With this deal, but more specifically with LNT as a partner, the speed of these two engines will be turbocharged. Before James goes into some detail of the deal, I'd like Derek to comment on our financing of it. Thanks, Dave. We have built the balance sheet for special opportunities like this. We funded this first tranche of the LNT acquisition with a mix of settled forward equity contracts and a draw on the revolver. Because of how we have positioned the balance sheet, even after this large transaction, our pro forma net debt to EBITDA remains very low, in the mid to high two times, with ample dry powder to continue to grow well through the next couple of years. As we continue to see exciting activity and growth opportunities across both the U.S. and the U.K., we evaluate a number of financing strategies, including equity, term loans, expanding a revolver, and other alternative sources of capital, depending on market conditions. We are thrilled with the support and demand for our credit from our current and prospective banks. James will go into detail on this transaction next, but I just want to quickly highlight that this deal, combined with other investment activity that has recently closed, has led to a raising of guidance again for this year. We now project net income attributable to CareTrust of approximately $1.54 to $1.57 per share, normalized FFO of approximately $2.06 to $2.09 per share, and normalized FAD of approximately $2.02 to $2.05 per share. A reconciliation of the company's updated full year 2026 guidance to projected net income attributable to CareTrust, together with select assumptions on which the guidance is based, is set forth in our press release published today, October 2nd, 2026. With that, I'll turn it over to James. Thank you, Derek. First of all, very high level, everybody investing in senior housing today would love to be able to acquire brand-new, purpose-built, high-quality private pay homes at scale. Two problems exist. A portfolio like that at scale doesn't exist, and even if it did, it is very difficult to stomach the dilution that comes during the ramp-up period to stabilization. We have worked all year with the LNT team on a structure that is a win-win, wherein we are able to acquire 45 high-quality private pay care homes across the U.K. accretively while they ramp up towards stabilization, at which point the buildings are converted to a SHOP structure. This transaction will close in stages, ultimately covering 45 U.K. care homes totaling 2,970 units. on October 1st, we acquired 24 homes in lease-up for approximately GBP 576 million. The remaining 21 homes are in development and are planned to be purchased throughout 2027 for GBP 504 million. LNT's operating company, Crystal Care, will lease the buildings from us until they are stabilized, with the lease being guaranteed by LNT's parent company. At stabilization, we will convert the lease to a SHOP management agreement, continuing with Crystal Care as the manager. Put simply, the lease-to-SHOP structure means that rather than absorbing the ramp-up, we're earning through it. Additionally, as part of the agreement, we have an option to acquire LNT in the future. As the homes near stabilization and transition to our SHOP platform, the CareTrust portfolio will be transformed by significant SHOP diversification with brand-new assets. We are thrilled to partner with LNT for a SHOP pipeline unlike any other in the industry. Tri. Thank you, James. LNT has over 30 years of experience developing and operating care homes and is currently the most prolific developer of care homes in the U.K. The 45 homes that we are acquiring are in very strong markets based on population, home ownership, and home values. Because all have 100% en suite wet rooms, the demand for this new supply is extremely high. You will often hear us refer to LNT as one of one because they are uniquely engineered to efficiently build high-quality care homes at an unprecedented scale. Their differentiator is their vertical integration, from site selection, to design, to planning, to construction, to operations. This unique structure has created a machine that can achieve an impressive yield on costs of approximately 17%. Outside of our 45 care homes, LNT has an additional 132 sites in their development pipeline. Back to you, Dave. Thank you, guys. We call this a strategic relationship for a few reasons. You can see here that upon conversion to SHOP, the dramatic increase in our SHOP NOI going from 2% to 20%, our portfolio mix changing from 26% senior housing to 40%, and of course, over $1.5 billion of increased asset value. LNT is truly a multiplier for our U.K. and SHOP platforms. This deal will dramatically improve the age, quality, and mix of our U.K. portfolio, provide scale for our SHOP platform with the newest portfolio of senior housing assets in the U.K., and is structured in a way that solves the impediments for us to participate in development at scale right when the demographic wave is starting to break. We have figured out how to both de-risk and eliminate the dilution inherent in the ramp-up phase. Instead, each brand-new property will be accretive from day one, and ultimately, once it converts to SHOP, the homes will be yielding in the high 7% range with continued room for growth. I want to take a second to thank Lawrence, Matt, Christian, Jonathan, Charlie, Tom, and Keeley on the LNT team for your trust and collaboration in coming together as we have in this partnership. I want to thank James, Derek, tri Lauren, Roger, Noah, Kyle, Chris, Joe, and Joe, Simon, Killian, and JP for the creativity and hard work that was required to get this across the finish line, and now the start line. We only touched on a few of the main points for the deal. You have the deck and the press release in front of you. If you have any questions at all, you know where to find us. Please reach out. We'd love to talk more about the deal and about our growing SHOP strategy. For those of you who are newer to CareTrust and to LNT, we wanted to leave you with something extra, some extra color about the two companies and how we've come together on this deal. We hope you enjoy it. One, two, three, four. Originally, we were skilled nursing and senior housing operators. I'm a recovering nursing home administrator myself. That operating DNA is really core to who we are. It's what I would call our secret sauce. When we launched about 14 years ago, we were a very simple, pure play, skilled nursing, triple-net, in the U.S. REIT. Over the next nine years, we averaged about $225 million of investments a year, growing from about half a billion in size to about $2 billion in size during that time. That average of $225 million a year went to $1.5 billion in 2024, and this year, we're already at $1.9 billion, and the year's not done. As we thought about going from a $2 billion to a $5 billion to $10 billion to $20 billion to $30 billion company, we realized that being a pure play skilled nursing REIT probably wasn't going to be sufficient. We needed to increase our TAM, our total addressable market. We really leaned into strategic partnerships back in 2023. That started to pay dividends in 2024 in a huge way. In the midst of that explosive growth, we had an opportunity presented to us to enter the U.K. We created a whole new pipeline of deals. Last year, we decided to, again, expand the TAM further and really triple it in size. We added a third engine of growth. We went from skilled nursing, to skilled nursing plus the U.K., to now skilled nursing, U.K., and SHOP. We've got a much bigger asset management team, accounting team, finance, tax, data science. Everything, we've really built out that team to be able to take advantage of the much larger markets that we can invest in today. All of that has really led to this point with LNT. We've said for a long time that we knew eventually we would get to do SHOP in the U.K., and that opportunity would come. The LNT relationship allows us to really catch the benefit of accelerating occupancies and accelerated lease-up in a new-build product that reaches a meaningful segment of the middle-market population. It's really bringing two of our growth engines together into one. Over my 30, 35 years in the business, we've been providing fantastic assets into a marketplace. We're just a factory that delivers care homes. We're not reliant on anyone outside of the business that can slow our development out. They do things in a way that is really revolutionary, and they are one of one, truly, in this space. What makes LNT special? It's inch wide, mile deep, massive ownership with character, repeatability with a manufacturing mindset to remove the variables to make sure that we can focus on the big three, as we call it, care quality, our people, and growth. They have structured their business with their vertical integration. We have a renewables business. We have a software business. Site selection to design to furniture to joinery to construction. We're always on time or early when we deliver, and we're always on budget. We just do it. We just deliver every time. The operator as well. They do it all, and they all talk to each other. You are bringing CareTrust and its history of choosing operating partners, cost of capital, and access to capital together in a way that really allows us to ride the demographic wave together. We want a long-term capital partner where we can add value to them, and we are just going to build a great future together. We have found the right partner to surf this demographic wave with for years to come.
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