LOUISVILLE, KY—Atria Senior Living's management team has secured an investment from Ventas in a $1-billion venture focused on development and redevelopment opportunities in high barrier-to-entry markets. The investment from Ventas coincides with the Atria executives selling 50% of their 66% ownership in their company's management services business to Fremont Realty Capital, the real estate private equity business unit of the Fremont Group, in order to raise growth capital.

Terms of the deal were not disclosed. However, the companies said it values Atria at a substantially higher level compared to the 2012 transaction in which the management team increased their stake to 66% and Ventas acquired 34% of the management business for a reported $242 million. The REIT acquired substantially all of Atria's real estate six years ago.

In connection with the stake sale to Fremont, Ventas has made an additional investment in Atria to maintain its 34% ownership stake without dilution. Ventas will continue to have two representatives serve on Atria's board of directors and maintain certain other rights with respect to governance.