Essential reading for the healthcare business
Remember me:
Skip Navigation LinksHealthInvestor article
Omega to pay $175m for Healthcare Homes

Omega Healthcare Investors has announced that it is in the process of completing a sale and leaseback transaction with Healthcare Homes for approximately $175 million (£115.2 million).

The deal, first reported by HealthInvestor, will allow the management team of the care group to buy out current owners Bowmark Capital.  

In a conference call for its first quarter earnings, Omega’s chief operating officer Dan Booth said that the US REIT would acquire Healthcare Homes’ 23 facilities and lease them back to the company on a 12-year master lease with an initial cash yield of 7% and annual escalators of 2.5%.

“This is Omega’s first foray into the UK in many years and was precipitated primarily by the strength of Healthcare Homes’ management team lead by Graham Lomer and David Bates,” said Booth. “We believe Healthcare Homes will provide an excellent platform for future growth in terms of both new acquisitions and capital expenditures.”

Graham Lomer is chief financial officer of Healthcare Homes and David Bates is chief operating officer.

KPMG is running the sale process.

Maryland-based Omega has a portfolio of 560 healthcare facilities across 37 US states. It has a market cap of $6.6 billion.

Healthcare Homes runs 23 residential and nursing homes for the elderly across Bedfordshire, Essex, Norfolk and Suffolk. The business also operates specialist care services for people with acquired brain injuries and multiple sclerosis as well as a domiciliary care division, Manorcourt Homecare, and sheltered housing.

Related articles:

Posted on: 06/05/2015

Latest news stories

Less than half of the public are aware they can choose where they receive NHS-funded hospital treatment, according to a poll by Populus.
Anchor Hanover has appointed energy, services and regeneration provider Engie as a strategic delivery partner, in a 10-year deal worth £80 million.
Retirement living developer Birchgrove has launched a new rental-only retirement scheme in Sidcup, Southeast London.
The Care Quality Commission has rated domiciliary care provider The Good Care Group as outstanding across the five categories it uses to assess performance.
London-based health tech start-up Medbelle has secured just over $7 million (£5.4 million) in series A funding in a round led by signals Venture Capital.


HealthInvestor blog
With our politicians seemingly absent without leave, the UK desperately needs leadership in policy matters that influence investment decisions

Click here to view the HealthInvestor blog

Singapore’s Pan Pacific Hotel was the venue for HealthInvestor Asia’s February seminar on ‘Expansion strategies for ASEAN healthcare providers’.
A thespian and educator at home in a hazmat suit, with culinary prowess, an eye for improvement and a passion for caring for the elderly
In uncertain times, healthcare real estate remains a steady investment prospect. As the population ages and demand for modern care facilities continues to grow, Kenneth MacKenzie, founder and managing partner of Target Healthcare REIT, tells Marie Cahalane of the importance of a holistic approach to care delivery
Catherine Gooderham highlights some of the opportunities and challenges attracting various investors into a market with guaranteed funding – specialist care
Private equity-backed specialist provider Orbis Education & Care is proving popular with service users, families and commissioners by providing top-quality care in a challenging sector. Rob Munro talks to chief executive Mike Currier about what make this Welsh company such a success and its plans to expand into England

Click here to search all feature articles

Digital technology
The NHS App was supposed to be a gateway for patients to access primary care services and was seen as an opportunity for investors to engage with a health service eager to digitise. Things haven't quite gone to plan. HealthInvestor UK investigates
Read more

Christie + Co

my images


Blockchain is a disruptive force; its entry into the healthcare sector has been gradual, but has the potential to be transformational. Jeremy Bowden considers its implications and applications
Read more