Formation and Safanad in deal to sell $1.05bn health care real estate portfolio

Formation Capital (Formation) and Safanad Ltd. (Safanad) Tuesday announced that they have entered into an agreement to sell a $1.05 billion health care real estate portfolio comprising 43 primarily private-pay senior housing facilities and 37 skilled nursing facilities (the portfolio) to NorthStar Realty Finance Corp.
Safanad, a global principal investment firm that invests in real estate, private equity and public markets across the US, Europe, the Middle East and Asia, and Formation, a private investment firm focused on post acute services, senior housing and health care real estate, jointly acquired the portfolio over a period of 3 years.
“As an active investor in post acute services, senior housing and health care real estate for over a decade, we are pleased to announce this transaction,” said Brian Beckwith, Formation Capital’s CEO. “This transaction demonstrates Formation’s continued focus, together with Safanad, on creating value for our investors and partners,” he added.
Safanad’s CEO Kamal Bahamdan stated: “Safanad as the lead investor, together with Formation Capital, have built a substantial senior care real estate platform in the United States. While this partial exit realizes our expected return, it is also a validation of our senior care investment strategy. Consistent with this strategy, we will continue to actively explore further investment opportunities within this sector, while we maximize the value of the remaining assets.”