The close of 2019 and the beginning of 2020 included the successful transfer of several senior living assets and the acquisition of three private-pay senior living communities, according to Invesque Chairman and CEO Scott White, who spoke Thursday on the real estate investment trust company’s fourth-quarter and full-year 2019 year end earnings call.
White spoke specifically about the company’s push to strengthen its portfolio by ensuring they have as many assets as possible included in master lease structures, which reduce credit risk in times of stress because of the cross-collateralization and single rent payment obligation.
“Today, over 90% of our contractual rent in our triple-net lease portfolio comes from assets included in master leases or single leases where we can consolidate the asset into master lease structure,” he said. “This represents a significant uptick from approximately 77% at the end of 2017.”
Invesque reported net income of $6.7 million and normalized funds from operations of $0.19 per share in the fourth quarter of 2019. For the full year, the company reported a net loss of $5.4 million and FFO of $0.85 per share. White remains optimistic about the opportunities ahead for the company.
“With another $440 million of acquisitions under our belt in 2019 and a strategic shift to a majority private pay portfolio, I am extremely pleased with the scale and diversification we have achieved with the Invesque portfolio,” he said.
See more coverage of the Invesque earnings call in the McKnight’s Daily Briefing e-newsletter and on mcknights.com.
