HealthLease Properties REIT Completes Plan of Arrangement with Health Care REIT
|Areas||Banking and Finance Law, Commercial Real Estate, Competition, Antitrust and Foreign Investment, Corporate and Commercial, Corporate Finance and Securities, Health Care Law, Litigation, REITs and Income Securities, Tax|
Goodmans represented HealthLease Properties Real Estate Investment Trust (TSX: HLP.UN) (HealthLease) in connection with its acquisition by Health Care REIT, Inc. (NYSE:HCN) for $14.20 per unit in cash, representing an aggregate transaction value of approximately $1 billion (US$950 million). HealthLease’s portfolio consisted of 53 properties (14 in two Canadian provinces and 39 in eight U.S. states) of high-quality seniors housing, post-acute care and long-term care facilities managed by well-respected operators. The acquisition was completed pursuant to a court-approved plan of arrangement under the Business Corporations Act (Alberta). HCN has entered into a partnership with Mainstreet Property Group (Mainstreet) to acquire 17 seniors housing and post-acute development properties for approximately US$369 million. HCN has also concurrently entered into an agreement with Mainstreet to provide mezzanine financing and receive purchase rights at HCN's option for an additional 45 seniors housing and post-acute healthcare development properties representing approximately US$1.0 billion.
HCN, an S&P 500 company with headquarters in Toledo, Ohio, is a REIT that invests across the full spectrum of seniors housing and health care real estate. HCN also provides an extensive array of property management and development services. As of September 30, 2014, the company’s broadly diversified portfolio consisted of 1,246 properties in 46 states, the United Kingdom, and Canada.
Mainstreet is an Indiana-based, innovative developer of short-stay rehabilitation and long-term care properties, known for acquiring and developing desirable, concierge-based health care properties.