The Ensign Group Closes on Expansion in Tennessee, Adds Its First Operation in Alabama
The Ensign Group (ENSG) has expanded its operations by acquiring nine skilled nursing facilities - eight in Tennessee and one in Alabama, marking its first entry into the Alabama market. The facilities have a combined capacity of 921 beds. Six of these operations are jointly owned by CareTrust REIT and a joint venture investor under a new long-term triple net master lease with Ensign affiliated companies, effective January 1, 2025. The remaining three operations were purchased by Standard Bearer Healthcare REIT, Ensign's captive real estate subsidiary.
Following these acquisitions, Ensign's portfolio now encompasses 333 healthcare operations across 15 states, including 30 facilities with senior living operations. Through its subsidiaries, including Standard Bearer, the company owns 129 real estate assets, of which it operates 96. The company continues to actively seek additional acquisition opportunities nationwide.
The Ensign Group (ENSG) ha ampliato le sue operazioni acquisendo nove strutture di assistenza infermieristica - otto in Tennessee e una in Alabama, segnando il suo primo ingresso nel mercato dell'Alabama. Le strutture hanno una capacità combinata di 921 letti. Sei di queste operazioni sono di proprietà congiunta di CareTrust REIT e un investitore in joint venture sotto un nuovo contratto di locazione tripla netta a lungo termine con le aziende affiliate a Ensign, a partire dal 1 gennaio 2025. Le restanti tre operazioni sono state acquistate da Standard Bearer Healthcare REIT, la sussidiaria immobiliare captive di Ensign.
In seguito a queste acquisizioni, il portafoglio di Ensign ora comprende 333 operazioni sanitarie in 15 stati, incluse 30 strutture con operazioni di vita assistita. Tramite le sue sussidiarie, compresa Standard Bearer, l'azienda possiede 129 beni immobili, di cui opera 96. L'azienda continua a cercare attivamente ulteriori opportunità di acquisizione a livello nazionale.
The Ensign Group (ENSG) ha ampliado sus operaciones mediante la adquisición de nueve instalaciones de enfermería especializada: ocho en Tennessee y una en Alabama, marcando su primera entrada en el mercado de Alabama. Las instalaciones tienen una capacidad combinada de 921 camas. Seis de estas operaciones son de propiedad conjunta de CareTrust REIT y un inversor en empresa conjunta bajo un nuevo contrato de arrendamiento maestro triple neto a largo plazo con las empresas afiliadas a Ensign, que entrará en vigor el 1 de enero de 2025. Las tres operaciones restantes fueron compradas por Standard Bearer Healthcare REIT, la subsidiaria inmobiliaria cautiva de Ensign.
Tras estas adquisiciones, el portafolio de Ensign ahora abarca 333 operaciones de atención médica en 15 estados, incluyendo 30 instalaciones con operaciones de vivienda para personas mayores. A través de sus subsidiarias, incluida Standard Bearer, la empresa posee 129 activos inmobiliarios, de los cuales opera 96. La empresa sigue buscando activamente oportunidades adicionales de adquisición en todo el país.
The Ensign Group (ENSG)는 텐네시에서 8개, 알라바마에서 1개의 숙소를 포함해 총 9개의 전문 요양 시설을 인수하여 사업을 확장하였습니다. 이는 알라바마 시장에 처음으로 진입한 것입니다. 이 시설들의 총 수용 인원은 921명입니다. 이들 운영 중 6개는 CareTrust REIT와 공동 투자자 간의 새로운 장기 트리플 넷 마스터 임대 계약에 따라 Ensign 계열사가 소유한 것입니다. 이 계약은 2025년 1월 1일부터 발효됩니다. 나머지 3개 운영은 Ensign의 자회사인 Standard Bearer Healthcare REIT에 의해 인수되었습니다.
이번 인수 이후 Ensign의 포트폴리오는 현재 15개 주에서 333개의 의료 운영을 포함하고 있으며, 30개의 노인 생활 시설을 운영하고 있습니다. Standard Bearer를 포함한 자회사를 통해 이 회사는 129개의 부동산 자산을 보유하고 있으며, 그 중 96개를 운영하고 있습니다. 이 회사는 전국적으로 추가 인수 기회를 지속적으로 모색하고 있습니다.
The Ensign Group (ENSG) a élargi ses activités en acquérant neuf établissements de soins infirmiers spécialisés - huit dans le Tennessee et un en Alabama, marquant ainsi sa première entrée sur le marché de l'Alabama. Les établissements ont une capacité combinée de 921 lits. Six de ces opérations sont conjointement détenues par CareTrust REIT et un investisseur en coentreprise dans le cadre d'un nouveau bail maître à long terme triplement net avec des entreprises affiliées à Ensign, prenant effet le 1er janvier 2025. Les trois opérations restantes ont été achetées par Standard Bearer Healthcare REIT, la filiale immobilière captive d'Ensign.
Suite à ces acquisitions, le portefeuille d'Ensign comprend désormais 333 opérations de soins de santé réparties sur 15 États, y compris 30 établissements d'hébergement pour personnes âgées. Grâce à ses filiales, dont Standard Bearer, l'entreprise possède 129 actifs immobiliers, dont elle en exploite 96. L'entreprise continue de rechercher activement de nouvelles opportunités d'acquisition à l'échelle nationale.
The Ensign Group (ENSG) hat seine Geschäftstätigkeit ausgeweitet, indem es neun Fachpflegeeinrichtungen erworben hat - acht in Tennessee und eine in Alabama, was den ersten Eintritt in den Markt von Alabama markiert. Die Einrichtungen haben eine kombinierte Kapazität von 921 Betten. Sechs dieser Betriebe sind im gemeinsamen Besitz von CareTrust REIT und einem Joint-Venture-Investor im Rahmen eines neuen langfristigen Triple-Net-Master-Leasings mit den mit Ensign verbundenen Unternehmen, das am 1. Januar 2025 in Kraft tritt. Die verbleibenden drei Betriebe wurden von Standard Bearer Healthcare REIT, der hauseigenen Immobiliengesellschaft von Ensign, erworben.
Nach diesen Übernahmen umfasst das Portfolio von Ensign jetzt 333 Gesundheitsbetriebe in 15 Bundesstaaten, darunter 30 Einrichtungen mit Seniorenwohnangeboten. Über ihre Tochtergesellschaften, einschließlich Standard Bearer, besitzt das Unternehmen 129 Immobilien, von denen 96 betrieben werden. Das Unternehmen sucht weiterhin aktiv nach zusätzlichen Erwerbsmöglichkeiten im ganzen Land.
- Strategic expansion into Alabama market, marking entry into a new state
- Addition of 921 total beds across 9 facilities
- Portfolio growth to 333 healthcare operations across 15 states
- Ownership of 129 real estate assets through subsidiaries
- None.
Insights
This strategic acquisition significantly expands Ensign Group's footprint, adding 9 skilled nursing facilities with a total capacity of 921 beds across Tennessee and Alabama. The deal structure is particularly noteworthy, with 6 facilities under a triple-net master lease arrangement with CareTrust REIT and 3 facilities purchased directly through Standard Bearer Healthcare REIT.
The transaction strengthens Ensign's market position by entering Alabama and deepening its Tennessee presence. With these additions, Ensign now operates 333 healthcare facilities across 15 states, including 129 owned real estate assets. The strategic value lies in the geographic diversification and increased operational scale, which should enhance operational efficiencies and market leverage.
The triple-net lease structure with CareTrust minimizes immediate capital requirements while allowing operational control. This financing approach demonstrates smart capital allocation, preserving resources for future growth while expanding the portfolio.
The real estate component of this transaction is particularly compelling. The split acquisition strategy - combining triple-net leases with direct property ownership - optimizes the balance sheet structure while maintaining operational control. Standard Bearer's acquisition of three properties adds significant real estate assets to Ensign's portfolio, strengthening its property ownership position.
The geographic diversification into Alabama's Huntsville market, known for its strong healthcare demand and demographic trends, represents a strategic entry point. The Tennessee expansion targets both urban markets like Knoxville and rural areas, creating a balanced portfolio mix that can hedge against regional market fluctuations.
The variety in facility sizes (ranging from 30 to 176 beds) provides operational flexibility and diverse revenue streams. The portfolio's composition suggests careful market selection, with facilities positioned in both growth markets and stable secondary markets, supporting long-term value appreciation potential.
SAN JUAN CAPISTRANO, Calif., Jan. 02, 2025 (GLOBE NEWSWIRE) -- The Ensign Group, Inc. (Nasdaq: ENSG), the parent company of the EnsignTM group of companies, which invest in and provide skilled nursing and senior living services, physical, occupational and speech therapies, other rehabilitative and healthcare services, and real estate, announced today that it acquired the operations of the following skilled nursing facilities in Tennessee and Alabama:
- Meadowbrook Healthcare and Rehabilitation Center, 83-bed skilled nursing facility located in Pulaski, Tennessee;
- Wellpark Health and Rehabilitation, a 30-bed skilled nursing facility located in Knoxville, Tennessee;
- Legacy Park Health and Rehabilitation, a 176-bed skilled nursing facility located in Knoxville, Tennessee;
- VanAyer Senior Living and Rehabilitation, a 91-bed skilled nursing facility located in Martin, Tennessee;
- Union City Health and Rehabilitation, a 115-bed skilled nursing facility located in Union City, Tennessee;
- Decatur County Healthcare, a 125-bed skilled nursing facility located in Parsons, Tennessee;
- Savannah Nursing and Rehabilitation, a 120-bed skilled nursing facility located in Savannah, Tennessee;
- Westwood Nursing and Rehabilitation, a 90-bed skilled nursing facility located in Decaturville, Tennessee; and
- The Health Center at Research Park, a 91-bed skilled nursing facility located in Huntsville, Alabama.
As previously reported, six of these operations are jointly owned by CareTrust REIT, Inc. (NYSE: CTRE, “CareTrust”) and a joint venture investor and are subject to a new, long-term triple net master lease with Ensign affiliated operating companies effective January 1, 2025. The remaining three operations were purchased by Standard Bearer Healthcare REIT, Inc., Ensign’s captive real estate subsidiary effective December 31, 2024. All nine operations are operated by Ensign affiliated operating companies.
Barry Port, Ensign’s Chief Executive officer commented, “We couldn’t be happier to see this deal completed. This acquisition provided an extraordinary opportunity for us to grow our presence in Tennessee and start a new footprint in Alabama. Our local leadership team has been working nonstop to prepare for this acquisition and I am thrilled to see their hard work pay off. We expect that these operations will become significant contributors to the success of their clusters and our organization as a whole.”
Tyler Albrechtsen, Director of Rocky Top Healthcare LLC, and Southstone Healthcare LLC, Ensign’s Tennessee and Alabama based subsidiaries added, “We are so excited to add these operations and the local caregivers to our team. We have been incredibly impressed with everyone we have met and are looking forward to serving the residents and families at these amazing facilities.”
Ensign’s growing portfolio consists of 333 healthcare operations, 30 of which also include senior living operations, across 15 states. Ensign subsidiaries, including Standard Bearer, own 129 real estate assets, 96 of which it operates. Mr. Port reaffirmed that the organization is actively seeking several other transactions to acquire real estate and to lease both well-performing and struggling skilled nursing, senior living and other healthcare related businesses throughout the United States.
About Ensign(TM)
The Ensign Group, Inc.'s independent subsidiaries provide a broad spectrum of skilled nursing and senior living services, physical, occupational and speech therapies and other rehabilitative and healthcare services at 333 healthcare facilities in Alabama, Arizona, California, Colorado, Idaho, Iowa, Kansas, Nebraska, Nevada, South Carolina, Tennessee, Texas, Utah, Washington and Wisconsin. As part of its investment strategy, the Company will also acquire, lease and own healthcare real estate to service the post-acute care continuum through acquisition and investment opportunities in healthcare properties. Ensign’s new business venture operating subsidiaries also offer several other post-acute-related services, including mobile x-ray, emergency and non-emergency transportation services, long-term care pharmacy and other consulting services also across several states. More information about Ensign is available at http://www.ensigngroup.net.
About CareTrust
CareTrust REIT, Inc. is a self-administered, publicly-traded real estate investment trust engaged in the ownership, acquisition, development and leasing of skilled nursing, seniors housing and other healthcare-related properties. With a nationwide portfolio of long-term net-leased properties, and a growing portfolio of quality operators leasing them, CareTrust REIT is pursuing both external and organic growth opportunities across the United States. More information about CareTrust REIT is available at www.caretrustreit.com.
Contact Information
The Ensign Group, Inc., (949) 487-9500, ir@ensigngroup.net
SOURCE: The Ensign Group, Inc.
FAQ
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