LTC Expands SHOP Platform with $54 Million Acquisition and Welcomes MorningStar Senior Living to SHOP

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– Additional $285 Million in SHOP Acquisitions Expected to Close by End of Third Quarter as Company Continues to Drive Future NOI Growth –

WESTLAKE VILLAGE, Calif.--(BUSINESS WIRE)-- LTC Properties, Inc. (NYSE: LTC) (“LTC” or the “Company”), a real estate investment trust that invests in seniors housing and health care properties, today announced a $54 million SHOP acquisition and the addition of MorningStar Senior Living, the eleventh SHOP operator and ninth new to LTC since launching SHOP in May 2025.

Acquisition Highlights

• Property: $54 million acquisition of a 104-unit assisted living and memory care community in Phoenix, Arizona.
• Operator: The community will continue to be managed by MorningStar Senior Living, an operator new to LTC.
• Financial Summary: 6.75% cap rate; expected unlevered IRR in the low-to mid-teens.
• Funding: Revolving line of credit and future proceeds from previously disclosed sales and loan payoffs.

Proforma SHOP Portfolio Composition:

LTC’s SHOP focus is on expanding its roster of strong operators to support mutual growth and accelerate the Company’s organic growth profile by acquiring SHOP assets. The following proforma data is as of March 31, 2026 and includes $63 million of acquisitions and $22 million of total sales and payoffs completed to date in the second quarter of 2026.

• SHOP Acquisitions: $524 million since the Company’s SHOP launch in May 2025; $171 million year-to-date in 2026.
• SHOP as % of Annualized Net Operating Income (“NOI”): 28%; expected to grow to 40% by year-end at the $600 million midpoint of LTC’s acquisition guidance.
• SHOP as % of Gross Investment: 32% up from 0% at May 2025; expected to grow to 45% by year-end at the $600 million midpoint of LTC’s acquisition guidance.
• Average Age of SHOP Properties: under 10 years.
• SHOP Operators: Eleven, nine new to LTC since SHOP launched in May 2025.
• Skilled Nursing as % of Gross Investment: 31% down from 46% at year-end 2024.

Accelerating Growth Continues

“This acquisition continues our momentum as we move closer to our $600 million midpoint investment guidance for 2026, and we are excited to add MorningStar Senior Living as one of our SHOP operators. Successful partnerships are built on deep relationships, which is the case here and for all of our operator partners. Since our platform launch, we have partnered with eleven SHOP operating partners, nine new to LTC,” said Michael Bowden, LTC’s Senior Vice President, Investments. “We continue to build our acquisition pipeline with a healthy volume of potential SHOP acquisitions, supporting our strategy to position LTC for higher intrinsic growth."

"Partnering with LTC marks an exciting new chapter for MorningStar Senior Living. We appreciate LTC’s strategic approach to SHOP and their reputation for building enduring operator relationships. With LTC's capital behind us, we are well-positioned to accelerate our growth and deliver exceptional lifestyle experiences for our residents," said Jamie Ranzen, President and Chief Investment Officer, MorningStar Senior Living.

About LTC

LTC is a real estate investment trust (REIT) focused on seniors housing and health care properties, principally investing through SHOP, as well as triple-net leases, and joint ventures. The Company’s portfolio includes nearly 190 properties throughout the United States. Based on gross real estate investments, approximately 68% of the Company’s assets are seniors housing communities with the remainder skilled nursing centers. Learn more at www.ltcreit.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, adopted pursuant to the Private Securities Litigation Reform Act of 1995. Statements that are not purely historical may be forward-looking. You can identify some of the forward-looking statements by their use of forward-looking words, such as “believes,” “expects,” “may,” “will,” “could,” “would,” “should,” “seeks,” “approximately,” “intends,” “plans,” “estimates” or “anticipates,” or the negative of those words or similar words. Examples of forward-looking statements include statements regarding 2026 investment guidance, expected SHOP acquisitions, portfolio composition targets, SHOP and NOI growth expectations, unlevered IRR expectations, future funding sources, and other statements regarding future strategy. Forward-looking statements involve inherent risks and uncertainties regarding events, conditions and financial trends that may affect the Company’s future plans of operation, business strategy, results of operations and financial position. A number of important factors could cause actual results to differ materially from those included within or contemplated by such forward-looking statements, including, but not limited to, operational and legal risks and liabilities under the Company’s new SHOP segment; the Company’s dependence on the ability of its third-party independent operators to successfully manage and operate the Company’s SHOP communities; the Company’s dependence on its operators for revenue and cash flow; operational and legal risks and liabilities under the Company’s new SHOP segment; government regulation of the health care industry; changes in federal, state, or local laws limiting REIT investments in the health care sector; federal and state health care cost containment measures including reductions in reimbursement from third-party payors such as Medicare and Medicaid; required regulatory approvals for operation of health care facilities; a failure to comply with applicable law or regulations for the operation of health care facilities; the adequacy of insurance coverage maintained by the Company’s operators; the Company’s reliance on a few major operators; the Company’s ability to find suitable replacement operators for its SHOP communities; the Company’s ability to renew leases or enter into favorable terms of renewals or new leases; the impact of inflation; operator financial or legal difficulties; the sufficiency of collateral securing mortgage loans; an impairment of the Company’s real estate investments; the relative illiquidity of the Company’s real estate investments; the Company’s ability to develop and complete construction projects; the Company’s ability to invest cash proceeds for health care properties; a failure to qualify as a REIT; the Company’s ability to grow if access to capital is limited; and a failure to maintain or increase the Company’s dividend. For a discussion of these and other factors that could cause actual results to differ from those contemplated in the forward-looking statements, please see the discussion under “Risk Factors” contained in the Company’s Annual Report on Form 10‑K for the fiscal year ended December 31, 2025, the Company’s subsequent Quarterly Reports on Form 10‑Q, and the Company’s publicly available filings with the Securities and Exchange Commission. The Company does not undertake any responsibility to update or revise any of these factors or to announce publicly any revisions to forward-looking statements, whether as a result of new information, future events or otherwise. Although the Company’s management believes that the assumptions and expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. The actual results achieved by the Company may differ materially from any forward-looking statements due to the risks and uncertainties of such statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260602943691/en/

For more information contact:
Mandi Hogan
(805) 981-8655

Source: LTC Properties, Inc.