National Health Investors received no rent for the third quarter ($4.8 million owed) or fourth quarter to date ($4.3 million) from its tenant for its legacy Holiday Retirement portfolio of 17 properties, the real estate investment trust said Monday in a business update.
The Murfreesboro, TN-based REIT has sent a default notice to the tenant, a public healthcare REIT; NHI continues to hold $8.8 million in Holiday security deposits.
In other news, NHI said that it agreed to defer Bickford Senior Living’s November rent payment of $1 million. This deferment is part of a previously disclosed agreement, the REIT noted. NHI said it has agreed with Bickford to defer $4.5 million in contractual rent due for the fourth quarter and expects to grant up to $4 million in rent deferrals in the first quarter of 2022.
The REIT also agreed to defer approximately $0.5 million in rent for two other tenants in November, which is expected to be repaid with interest.
NHI reported 82.7% in contractual cash collections for November. The remaining balance for the month consists of 3.8% in deferrals related to Bickford, 1.8% in deferrals agreed to with two tenants, 8.3% in unpaid rent related to the legacy Holiday properties, 2.8% related to amounts expected to be collected and 0.6% related to lower forecasted revenue from transitioned properties before the start of the pandemic.
To date this quarter, the company has collected 81.1% of contractual cash due. The remaining balance for the quarter consists of 6.7% in deferrals related to Bickford, 1.8% in deferrals agreed to with two tenants, 8.3% in unpaid rent related to the legacy Holiday properties, 1.5% related to amounts expected to be collected and 0.6% related to lower forecasted revenue from transitioned properties before the start of the pandemic.
Occupancy held steady or increased among Senior Living Communities, Bickford and Holiday communities from September through October, NHI said. Occupancy among Senior Living Communities’ nine properties increased from 80.9% in September to 81.5% in October; among Bickford’s 42 properties, 80.7% to 81.3%; and Holiday’s 17 properties remained at 78.9%.