CareTrust REIT, Inc. Expands Investment Activity with $119 Million in New Deals
CareTrust REIT, (“CareTrust” or the “Company”) has announced the successful closing of two significant investment transactions totaling approximately $119 million, both effective April 1, 2026. These deals underscore the Company’s continued momentum in executing its growth strategy across senior housing and skilled nursing sectors, while reinforcing its focus on disciplined capital deployment and long-term partnerships.
Strategic Acquisition in Southern California
One of the cornerstone transactions involves the acquisition of a senior housing and skilled nursing campus in Southern California, a high-quality healthcare asset positioned in a desirable and strategically advantageous location. The campus includes:
- 120 licensed skilled nursing beds
- 273 senior housing units
The property is located just a few blocks from a hospital, enhancing its accessibility and appeal for residents and healthcare providers alike. This proximity is expected to contribute to operational efficiency and long-term demand.
The campus will be operated under a long-term triple-net lease agreement with an existing CareTrust operator. This structure ensures that the tenant is responsible for property-level expenses such as maintenance, taxes, and insurance, providing stable and predictable income for the Company.
Key features of the lease include:
- Annual rent escalators tied to inflation, offering built-in revenue growth
- Multiple renewal options, supporting long-term occupancy stability
- Up to $5 million in capital improvement funding, to be deployed within 18 months to enhance the property and potentially increase rental income
This investment reflects CareTrust’s commitment to strengthening relationships with proven operators while enhancing the value of its portfolio through targeted capital improvements.
Midwest Mortgage Loan Investment
In a separate but equally strategic move, CareTrust originated a mortgage loan secured by five skilled nursing communities located in the Midwest. These facilities collectively comprise approximately:
- 506 licensed beds
The loan was issued in connection with the borrower’s acquisition of the properties. The facilities will be managed under a long-term triple-net lease by a management team with whom CareTrust has maintained a long-standing and trusted relationship.
Notably, the terms of the loan include a future purchase option, allowing CareTrust to acquire the facilities outright while maintaining the existing master lease. This structure provides flexibility and positions the Company for potential long-term ownership of high-performing assets.
Leadership Perspective on Growth and Partnerships
James Callister, Chief Investment Officer of CareTrust, emphasized the importance of relationships in sourcing and executing these deals:
We’re pleased to announce a pair of transactions that reflect the real investment we’ve made in cultivating deep relationships throughout the industry.”
He highlighted the Southern California campus as a high-quality asset with strong upside potential, supported by a trusted operating partner. He also noted that while the Midwest transaction introduces a new operator to the portfolio, the management team is well-known to CareTrust and has demonstrated a consistent track record of performance.
We’re excited to formalize that relationship and put capital to work alongside them,” Callister added, pointing to the long-term ownership potential embedded in the deal structure.
Meanwhile, Joe Callan, Senior Vice President of Investments, emphasized the diversity of opportunities currently available:
These transactions are a good example of the range of opportunities we’re seeing across the skilled nursing and senior housing sectors.”
He reiterated the Company’s commitment to a disciplined and collaborative investment approach, working closely with high-quality operators to ensure sustainable growth.
Expansion into the United Kingdom
In addition to the April transactions, CareTrust also completed an international investment earlier in the year. In February 2026, the Company acquired:
- Three care homes in the United Kingdom
- Total investment of approximately $29.4 million
These properties are leased to a new operator, marking the beginning of a fresh partnership for CareTrust in the UK market. This move highlights the Company’s willingness to expand geographically while maintaining its focus on operator quality and asset performance.
Strong Year-to-Date Investment Performance
With these recent transactions, CareTrust has significantly advanced its investment activity in 2026. Key highlights include:
- Total year-to-date investments: Approximately $364 million
- Blended stabilized yield: Around 8.8%
- Recent transactions yield: Approximately 8.6%
These figures demonstrate the Company’s ability to identify and execute deals that deliver attractive returns while maintaining a balanced risk profile.
Robust Investment Pipeline
Dave Sedgwick, President and Chief Executive Officer, expressed confidence in the Company’s trajectory:
We’re off to a strong start in 2026, and these investments are a continuation of the growing momentum we’ve been building across our three growth platforms.”
He also emphasized the strength of CareTrust’s financial position, noting that the Company’s balance sheet remains in excellent shape, enabling it to pursue new opportunities aggressively yet prudently.
Following the latest deals, CareTrust’s investment pipeline has been “reloaded” to approximately $500 million in near-term, actionable opportunities. Importantly, this figure excludes:
- Larger portfolio transactions
- Additional opportunities currently under evaluation
This robust pipeline signals continued growth potential and reflects the Company’s strong deal sourcing capabilities.
Confidence in Long-Term Value Creation
Sedgwick highlighted the breadth and quality of opportunities across CareTrust’s investment platforms as a key driver of future success:
The breadth and quality of what we’re seeing across all three platforms gives us great confidence in our ability to continue compounding value for our shareholders in the years ahead.”
This statement underscores the Company’s long-term strategy of building a diversified, high-performing portfolio through strategic acquisitions, partnerships, and disciplined capital allocation.
Forward-Looking Considerations
As with many public companies, CareTrust’s announcement includes forward-looking statements regarding its expectations and future plans. These statements cover areas such as:
- Investment strategies and acquisition opportunities
- Financial performance and growth prospects
- Portfolio expansion and tenant performance
- Pipeline execution and stabilized yields
While these projections are based on current expectations, they are subject to various risks and uncertainties that could cause actual results to differ materially.
The Company has noted that it does not undertake any obligation to update these forward-looking statements, except as required by law.
CareTrust REIT’s latest $119 million in investments reflects a strategic blend of acquisitions and financing initiatives, reinforcing its position as a leading investor in healthcare real estate. With strong operator relationships, a diversified portfolio, and a substantial pipeline of opportunities, the Company is well-positioned to sustain its growth momentum throughout 2026 and beyond.
By maintaining a disciplined approach and focusing on high-quality assets and partnerships, CareTrust continues to build a foundation for long-term value creation and shareholder returns.
About CareTrustTM
CareTrust REIT, Inc. is a self-administered, publicly-traded real estate investment trust engaged in the ownership, acquisition, development and leasing of skilled nursing, senior housing and other healthcare-related properties. With a portfolio of long-term net-leased properties spanning the United States and United Kingdom, and a growing portfolio of quality operators leasing them, CareTrust is pursuing both external and organic growth opportunities across the US and internationally
