Sabra's New CIO Darrin Smith to Steer Investment Amid Market Shifts

TUSTIN, CA – January 05, 2026 – Sabra Health Care REIT, Inc. (Nasdaq: SBRA) has officially entered a new chapter of investment leadership, confirming the appointment of Darrin Smith as its Chief Investment Officer, Secretary, and Executive Vice President. The transition, effective January 1, 2026, marks the culmination of a planned succession strategy as Talya Nevo-Hacohen, a foundational executive with the company, retired at the end of 2025.

The move places a seasoned industry veteran at the helm of Sabra's investment strategy at a pivotal moment for the healthcare real estate sector. As the industry grapples with evolving demographic trends, capital market fluctuations, and increased regulatory oversight, Smith's leadership will be crucial in navigating the path forward and executing on what the company describes as a “healthy pipeline of investment opportunities.”

A Seamless Transition and Proven Leadership

The appointment of Darrin Smith represents a deliberate focus on continuity and internal talent development. Smith is no stranger to Sabra's investment team, having served as the company's Executive Vice President of Investments since March 2020. During this time, he worked closely with his predecessor, Nevo-Hacohen, who had been with Sabra since its formation in 2010.

Rick Matros, Sabra's CEO and Chair, highlighted the collaborative foundation built by the two executives. “Talya and Darrin have built an incredible team of investment professionals and we look forward to their continued execution under Darrin’s leadership on our healthy pipeline of investment opportunities,” Matros stated in the official announcement, also extending thanks to Nevo-Hacohen for her years of service.

Smith brings a deep and extensive resume in real estate and finance to his new role. Before joining Sabra, he spent nearly a decade, from 2010 to 2018, as Senior Vice President—Senior Housing Investments at HCP, Inc., now known as Healthpeak Properties, Inc., another major healthcare REIT. His career also includes significant experience in acquisitions and portfolio management at GE Capital Real Estate and over five years in the real estate group of Ernst & Young, LLP. This background, which includes a CPA designation, equips him with a multi-faceted perspective on investment, finance, and asset management within the specialized healthcare property sector.

Navigating a Dynamic Healthcare Real Estate Market

Smith takes charge as the healthcare real estate landscape presents both significant tailwinds and complex challenges. The most powerful driver remains demographics; the 80-plus age group in the U.S. is projected to grow at a rate three times faster through 2030 than it did in the 2010s. This “silver tsunami” provides a fundamental and growing demand for senior housing and skilled nursing facilities, Sabra's core asset classes.

However, the market is not without its hurdles. Fluctuating interest rates continue to impact capital costs for leveraged REITs, while rising construction expenses and supply chain issues have tempered new development. This has created a favorable supply-demand imbalance for existing properties, a trend Sabra appears poised to leverage. At the same time, the industry is facing heightened regulatory scrutiny. States like Massachusetts have enacted new legislation aimed at increasing oversight of healthcare transactions involving REITs, signaling a trend that could add complexity to future acquisitions and operational structures.

Against this backdrop, Sabra has demonstrated resilience. The company successfully lowered its net debt to adjusted EBITDA ratio to its long-term target of 5x by mid-2025, largely driven by strong performance in its managed senior housing portfolio. This improved balance sheet provides a solid foundation for pursuing new investments under Smith's direction.

Sharpening the Focus on Portfolio Growth

Under the leadership of Nevo-Hacohen, Sabra consistently refined its portfolio, and recent performance indicates positive momentum for Smith to build upon. In late 2025, the company reported year-over-year revenue growth and a notable 110-basis-point increase in same-store portfolio occupancy to 86%. Its Canadian portfolio has been a standout performer, achieving occupancy above 90% for six consecutive quarters.

Looking ahead, the company's investment strategy is becoming increasingly clear. A key objective is to significantly expand its Senior Housing Operating Portfolio (SHOP). Sabra aims to grow the SHOP segment's contribution to its annualized cash Net Operating Income (NOI) from approximately 21% to a target of 30% on a run-rate basis in 2026. Smith has already indicated that the future investment pipeline will be “heavily weighted towards SHOP moving forward,” with a stated preference for acquiring high-quality, recent vintage assets rather than pursuing more intensive value-add projects.

This strategy is already in motion. Sabra reported closing on $122 million in senior housing investments in the first half of 2025 and had been awarded another $220 million in deals expected to close by year-end. For 2025, the company's total closed and awarded deals exceeded $550 million. This robust activity, fueled by an improved cost of capital, underscores the “healthy pipeline” mentioned by CEO Rick Matros and sets a clear trajectory for Smith's initial tenure as CIO.

Analyst and Investor Outlook

Wall Street has maintained a cautiously optimistic view of Sabra, with most analysts holding a “Moderate Buy” consensus rating on the stock. Price targets from firms like UBS and Cantor Fitzgerald have hovered around the $20 mark, suggesting modest upside potential. Analysts note the strength of Sabra's income from its diverse holdings in skilled nursing and senior housing, while the strategic pivot toward its SHOP segment is seen as a key driver for future growth.

For investors, Sabra's consistent dividend, maintained for 15 consecutive years and recently offering an attractive yield, remains a core part of its appeal. The company’s ability to improve its balance sheet while navigating the post-pandemic recovery in senior housing has been a key factor in maintaining investor confidence.

As Darrin Smith takes full control of the investment reins, his primary task will be to deploy capital effectively into this defined strategy. His extensive experience in senior housing is particularly relevant to Sabra's sharpened focus. By concentrating on modern assets and leveraging the favorable supply-demand dynamics in the senior housing market, the company aims to continue its growth trajectory and deliver value to shareholders in an ever-evolving healthcare landscape.