DHC - Diversified Healthcare Trust amends management agreements with Five Star Senior Living

Diversified Healthcare Trust (DHC) agreed to amend its management arrangements with Five Star Senior Living (FVE) for the former's senior housing operating portfolio ((SHOP)) communities.The agreements will be extended by two years to Dec.31, 2036 and incentive fee calculation will be changed so there will no longer be a cap placed on any incentive fee earned by Five Star in any calendar year and excluding senior living communities undergoing major renovation or repositioning.Five Star will cooperate with DHC in transitioning 108 senior living communities and DHC will no longer have the right to sell up to $682M worth of senior living communities and terminate Five Star's management of those communities without the payment of a fee.DHC's performance termination rights will be changed for the 120 retained senior living communities so that commencing in 2025 up to 10% of the senior living communities managed by Five Star, based on total revenues, can be terminated

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Diversified Healthcare Trust amends management agreements with Five Star Senior Living