Summary
- I originally bought NHI, in part, because it was one of the few senior housing REITs fully invested in triple-net leased properties.
- With the conversion of 15 properties into SHOP assets, that is no longer the case. More SHOP conversions could be ahead.
- Though aging demographics still promise a long-term tailwind of demand, I have lost confidence that senior housing operators will be able to profitably benefit from this tailwind.
- While I am not bearish on NHI, my optimism in it has dried up. Other similar-yielding REITs have more attractive growth potential.
For further details see:
Why I Sold National Health Investors