NHC Announces Purchase of Six Health Care Centers from NHI and Extends Lease Through 2026

Posted by Gerald Coggin on December 28, 2012

For release: December 28, 2012
Contact: Gerald Coggin, Sr. VP of Corporate Relations
Phone: (615) 890-2020

MURFREESBORO, Tenn. – National HealthCare Corporation (NYSE MKT: NHC, NHC.PRA), one of the nation’s leading operators of skilled nursing and assisted living facilities, announced today the purchase of six skilled health care centers from National Health Investors (NHI). The six centers, which are located in Columbia (2), Knoxville and Springfield, Tennessee, Madisonville, Kentucky and Rossville, Georgia, have been leased by NHC since 1991 and have a total of 650 beds. The purchase price is $21 million and the transaction will close on December 31, 2013.

In addition, the company also announced the extension of a master lease with NHI through December 31, 2026 for 38 skilled health care centers and three independent living centers. With the purchase of the six previously leased centers mentioned above, NHC’s lease payment will decrease by $2.95 million beginning in 2014.

“NHC is pleased to purchase these stable centers from NHI which we have operated for a number of years. This acquisition will result in lower lease cost and an increase in asset value for NHC,” stated Steve Flatt, President.