REITs in the senior housing sector will typically have two different types of investments, NNN and RIDEA.
RIDEA is an investment based on the REIT Investment Diversification and Empowerment Act. RIDEA is different than triple-net or NNN because of its risk exposure. NNN has the tenant pay for insurance, taxes, and other related property expenses. NNN will have modest rent escalators in its contracts that usually make up the growth in revenue. In other words, it is a lease and has limited upwards exposure.
RIDEA is more like a partnership. REITs will rely on the