National Healthcare Properties Expands Senior Living Portfolio with $64M SHOP Deal
Event summary
- National Healthcare Properties (NHP) to acquire 13 senior living communities for $64M, totaling 592 assisted living units across 8 states.
- Transaction structured as a joint venture with Discovery Senior Living, with NHP holding a 98.5% stake.
- Acquisition expected to close in Q2 2026, subject to regulatory approvals.
- NHP gains right of first refusal on an additional 13 communities with 500 units managed by Discovery.
- SHOP segment to contribute ~40% of NHP’s Q4 2025 cash NOI post-acquisition.
The big picture
NHP’s $64M SHOP acquisition aligns with its strategy to expand in senior living, a sector benefiting from an aging U.S. population and limited new supply. The deal underscores NHP’s ability to secure off-market transactions with large operators like Discovery, reinforcing its position in the healthcare real estate space. The transaction also highlights the growing trend of REITs partnering with specialized operators to optimize portfolio performance.
What we're watching
- Portfolio Diversification
- How NHP’s focus on needs-based and private-pay SHOP communities will position it amid demographic shifts and supply constraints.
- Operational Integration
- Whether NHP can sustain occupancy, RevPOR, and cash NOI margin growth through its partnership with Discovery.
- Deal Execution
- The pace at which NHP can close additional acquisitions under the right of first refusal.
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