DigitalBridge Group has sold the last of its legacy healthcare real estate holdings as part of its transformation to a digital infrastructure REIT. Namely, it has sold some 300 facilities across senior housing, skilled nursing, medical office buildings and hospitals in a deal valued at $3.2 billion to two real estate investment firms, Highgate Capital Investments and Aurora Health Network. 

Alongside the 300 healthcare real estate facilities, DigitalBridge's so-called Wellness Infrastructure business includes its equity interest in and management of its sponsored non-traded REIT, NorthStar Healthcare Income.

DigitalBridge's net proceeds come to $316 millioncomprising $226 million in cash and a $90 million 5-year seller noteand the buyers are assuming $2.6 billion in consolidated investment-level debt and $294 million of subsidiary-level debt.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM Digital Member, you’ll receive:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.