National Health Investors (NHI) 10 Nov 202020 Q3 Earnings call transcript

Greetings, and welcome to the National Health Investors Third Quarter 2020 Earnings Call. [Operator Instructions].

As a reminder, this call is being recorded, Tuesday, November 10, 2020. I would now like to turn the conference over to Mr. Dana Hambly. sir. ahead, go Please

welcome, review the the the of and conference third Health call XXXX. to company's everyone, you, National to investors quarter Thank results for

CEO; are call Executive Spaid, Accounting and and Mendelsohn, me Officer. the Officer; President Chief today Financial Travis, On President Officer; with Vice and David Kevin Chief John The Pascoe, Investment as Eric Chief results in basis of a over covered financial of notice call conference as after been this market release the yesterday press accessibility close, Internet that's by the media. a well were released listen-only on the

of statements conference this involve performance. facts and may carefully investors or Exchange factors with call. made represent statements any this reminder, XX, filed SEC's a as its at All not NHI to any are that XXXX. ended call, by were various risks historical September or As information the other forward-looking forward-looking website Copies for cautions and future including nhireit.com. statements. review date judgment in of guarantees NHI's Investors conference uncertainties statements which of urged and Commission, Form forward-looking at the are are not disclosed in quarter sec.gov these on are NHI the disclosures NHI's available XX-Q periodic website filings NHI's and on the of Securities the risk are

to the Mendelsohn. all other release. in in to those related earnings on provided with and earnings call Listeners financial Eric I'll call filed Reconciliations measures. release are the release that and encouraged have non-GAAP in in are SEC. together provided are addition, certain over terms NHI's this X-K review used In the of which schedules, now turn with Form information provided been tables which reconciliations

the timing properties, nursing vaccine, communities our quite effectiveness as pandemic approaches. which as have together as tracking expect the invest population. AFFO this to It fee and a and leveling vulnerable well property heroic they resilient. up is Dana. types by move-ins In known collected Hello, to way quarter of nature the growth partners. want To triple-net first generally lease knowingly positive work as third X strength the pickup We well driven healthy to our employees operating of and partners of formerly put and on aided themselves our far, all be and XX% staying held have rent operators of of the terms generate we nearly these everyone that slowed Thank nearly day We per in harm's joining the the X.X% of of months October. you, relatively XX% that properties in and COVID-related operating to quarter, third in in the in our more our stability interest is expenses. and end our their as our in X.X%, of the strategy, of most we times. noted numbers, share care occupancy range were testament most been today. quarter you. Depending of impact of the over as my for for and I skilled a admiration and for to off the XX% the we express deep our we on the across interesting be in Thank Thus hope country's gratitude the also uneven XXXX respectively. the the reported the needs We should us for of think thanks and that in the declines underlying lower guidance. winter year-to-date, date, every of revenue,

in experiencing the typically a many greater free-standing, the is are and our country, memory-care what is pace in are of seasonally which operators are period. move-outs while spiking parts move-ins, accelerating assisted-living, as the of cases weak independent-living However, challenges slowing COVID

are Provider financial encouraged inflicted We the Fund, very as help operators the Relief in that pandemic. the hardships with will by which the HHS assisted-living eligible participants has included

is are way, hopeful more we we all resolve this rely While that on federal solely the on assistance the to issues. cannot

our which, and November includes June December and with have in XXXX. rate deferrals exercised, an for Bickford disclosed available deferring these XX As million interest months of $XXX,XXX to expected an additional of beginning if our press accrue assistance XX-Q, will times. January, of rent. principle of reached X% repayment each we've in This up in for $X with all release at over agreement They difficult

continuing also the disclosed annual which with Bickford's applied we lenders properties estimate sale to of on are cash and $X Bickford previously Phase improve of provider X by prospective flow Bickford approximately for million. X work will under We fund X has and financial position. grants create the months measures These and we financially which if receive with solution. improve also will take will needed. closely we they coming which expect to a the further that measures their over before will and But will improve continue Bickford work year-end, long-term them relief

that pandemic be we deferrals the head expected there As as into would we XXXX. unfolded,

reserves as We corporate guarantees. including and at tools and disposal have the some personal use other of our well, other deposits and

said, environment tenant-by-tenant the longer-term impact our make norms. future stable temporary are operating basis decisions that have on gap within We hesitant a commercial these believe our to permanent cash bridge a help to to a challenges on operators would That we so more certain more presented flow. we're are willing

have adhering weather this they emerge. us puts been we did which conservative advantage growth of strong our as pandemic, opportunities anticipate our metrics, financial a position While certainly to in in senior storm the take and to not to and Board disciplined management

Our big has picture outlook changed. not

estate help our opportunities value. senior and will to turn We over continue deployment see be call opportunistic to John. John? that, real I'll shareholder tremendous to with and for in housing skilled capital drive nursing With growth the

hello, And everyone. Eric. Thank you,

impacts experience quarter, third began we due financial the the During more pandemic. direct to to

surprisingly we for not unknowns, and performance. future and in strong financial company which position continue pandemic's we the resulting proactive be is reactive to we even believe over the crisis, to solid As the

our all While experience compares to the with quarters, the to per next uncertainty net share share the through have in we quarter Beginning operator tools we diluted per common this period we XXXX, period. remove we are $X.XX income same transition XX, in will few quality $X.XX that for necessary XXXX. That the continue for strategy, and confident the for that per achieved we cannot financial earnings. September ending share to

compared share in the XXXX we For X ending is of earnings in to per share for the gains during which months real achieved estate $X.XX reflective same dispositions. per period for recorded $X.XX we XXXX, September, the

For in to quarter, can the Reconciliations our per be diluted FFO our of can NOI our our cash to supplemental. earnings XXXX FFO Cash metrics measure we pro performance. filed common be compared prior per flat X to year forma is at for SEC share FFO of both metric were and A QX release $X.XX for XX-Q at found normalized reconciliation the X.X% our And -- share. and NAREIT Page performance use on quarter filed the adjusted afternoon $X.XX. yesterday XX sec.gov. increased NHI's performance metrics FFO third found NOI

X.X% NOI year $XX.X XX, September million $XX.X ending in the to compared to million increased cash quarter the period. For prior

was X.X% NOI cash sequentially deferrals, quarter. rent the second QX down from reflecting However,

declines importantly, operators the experienced the mitigate to more continues strategy third mentioned, infectious in triple-net our an COVID, and a to on occupancy as finally cash NOI our from senior pronounced control Eric COVID summer. effects we subset saw more of portfolio the continue than protocol, what our While quarter over just execute housing

announcing we're X cash growth quarters, the which, X-month deferrals to trailing rent NOI our or today, result, additional other previously up $X.X million approximately deferrals. for Bickford, announced approximately NOI X.X% next together before cash with a As will deferrals rent over impact of by

As we accomplish we deferrals, outcomes. rent to seeking X are negotiate

committed will operators our and the is our on is our with the their success outcome first the next best of to on are residents. for quarters. the The the of the cannot structure the to pandemic interest equitably that second We behalf predict deferrals few And impact have we continuing confidence stockholders. care outcome operators the the to of provide

sources capabilities, to support escrows, available will other and as be do rent our not However, that dollar-for-dollar decline into any such necessarily leases, to additional translate or between deposits make cash we can we continue under operators' exceptional operators confident our federal coverage additional additional loss that our our and occupancy deferrals.

to Turning balance sheet. the

the at X.X which the Our quarter annualized average for quarter September and debt, debt debt capital X.Xx. ratio metrics in total charge our EBITDA ended with maturity at net debt our XX% $X.XX coverage X.Xx, unsecured. fixed were billion of at was to We years, ended weighted XX

a X we rate million $XXX quarter, Loan interest year with under cost of At through ended $XXX and million loan. balance variable availability the a million carries points, a quarter -- X.XX%. extend October the third the added to of XX, XXX September had in For plus basis $XX.X the with XX, debt year liquidity unrestricted At X weighted LIBOR a our new point term million, average sheet we floor. in XX basis cash. of beginning at was to $XXX LIBOR the option

sold $XX.XX the raising In our XX,XXX $X.X proceeds. at average million of in NHI's an approximately ATM quarter, stock net program during we shares share, third addition, of per through price

I'm our filed ATM We also to Moody's. pleased remaining have on investment-grade announce last under we approximately year. our $XXX million shelf Thursday, February was in received in from this rating capacity BaaX program, an of which the together

moving the expenditures. meeting AFFO to third that now to us cash a dividend regular X. mindful our our to routine continues ratings without our and pandemic was maturities just flow program pleased with November dividend begin to policies. continue range to The funded we low pay exploring which begin ratio I'm forward. burdens for -- quarter investment-grade keep and debt report you towards us XX% from In mid-September, capital dividend payout managing X of our our declared in further position $X.XXXX, keeps significant an financial -- quarterly Our both we public

to net including X Our our leverage to our between debt EBITDA. to Xx our policies, commitment financial maintain Board committed is and

been pleased we've our commitments leverage date, to operators. able our our So balance our to ratios we're and to dividends, very

work team portfolio. to track I'll Our will continue now the hard this over conclusion crisis. Kevin to to towards With that, of management Kevin? Pascoe the continue this moving our discuss record to call turn forward

in and on cases patients. in to actively our with our capacity. the we're represent peaked across In resident updates, in cases then an Nearly some trended of July Starting resident across cases X.X% of again, down are X/X cases to update early SNFs, John. climb portfolio you, COVID late cases and at cases COVID. last at started X are admitting Thank XX active about cases communities. of The active our our XXX unit which XXX October. have Active XXX

housing limit the data the We to our week, think active community was the cases firmly this mid-March. since population demonstrates average mission resident the On safe. to is in side, value it operators X.X spread senior reporting per matches continue at of we as housing, keep proposition seniors whose senior last the the which started

XX.X% October contractual our We of third Turning received collections. quarter XX.X% rent. and to of rent

provide mid-month, that the will expect update deferral We impacted a which Eric be by Bickford to discussed. November obviously

or agreed grant approximately addition of payments the of approximately to deferred that the the defer XXXX. Any to In to guarantees. related $XXX,XXX no also quarter paid have our of tenant letters the accrue of first later with XXXX. that to will excellent our will interest until due which date remainder December for in leases of with defer from senior in SNF we are $XXX,XXX our total XXXX rent cash rents of the rents do deferral Bickford another deferral, operators. tenant or option operators, We many enhancements And approximately housing in million full credit $XX.X the in than credit and to we have from credit addition XX, abate

up larger crisis, different the through driven third hit off our enough second and operators, operators, our but as losses. XX% needs activity hard of move-in slow performance and senior level at housing annualized revenue onset occupancy for the to to cash of did which Turning classes quarters of picked account pace of the were the our the asset

XXXX operators Phase included should applications know providers most mentioned, of now expect have assisted-living about X% we those are eligible which so soon. to of which due November operators were revenue, by Eric to the Provider or with receive. our more X, Relief As beginning Phase X distributions as of Fund, X equates approximately

representing providers XX% needed Bickford, are quarter annualized operating and for proved We a from quarter. our to in which operator, more environment. quarter basis third assisted-living point point HHS assisted-living stabilizing this thankful to our associations prior talked last of cash normal cautious efforts secure sequential revenue, inclusion experienced of the our comparison. largest their inclusion. and funds shorten the gap These an the XXX XX are in all to help We decline on out a the quarter occupancy to decline trade basis trends, largely in compared optimism average which third much about

However, throughout cases more slowed the recently, move-ins Midwest COVID have as spiked.

by to if Eric, initial inform improve future have to and continue Bickford as described we'll we they any steps financially steps and As taken occur. you on help

was which and account these had which third often communities, average of senior cash down housing proven average than XX XX.X%. Senior average properties X years Living our second entrance-fee represents to to basis quarter. have at younger of Communities, of from revenue, Our points nearly resilient length our residents just from occupancy XX% are which as models. typical XX%, our ranges cash revenue the and for quarter be XX was X/X September annualized occupancy is what discretionary the of in the healthier stay other

which fee unchanged sequentially helping entrance sales EBITDARM for encouraged year-over-year and both actually SLC's X.XXx. are increased entrance was October, to September is in down While coverage. at as year-to-date, bolster recent sales SLC fee developments coverage we by are

negative trailing-XX who X% as cash quarter. to slightly as X.XXx, Act, ticked NHC revenue, credit situation from coverage environment. of seems skilled which point annualized which more of prior living to driven X.XXx coverage closely. having has We ended West is This cash outside Holiday improved of limitations of contributed be a sustained in points our inclusive basis represents this more gap are which rental average coverage is quarter. A on decline occupancy EBITDARM the occupancy the was ability X strong than but travel which This quarter needs we EBITDARM throughout and as Our bridge XX.X%. by had SNF occupancy The operating XX.X% Retirement, from Group, believe community and nursing September's second our and months down operators funds the was behind basis cash which third sequentially. represents to assets. followed decline occupancy. a of of average Coast X.XXx the XXX XX% respectively. of independent the our CCRC visitation lease, XXX a the the support continue communities, cash limited, quarter. which and down solid monitor to XX% on the and Holiday the units portfolio, The X.Xx for for XX% June account in is which revenue, tenants it is working pronounced an received stable annualized annualized XX% decline in experienced impact annualized from was in percentage occupancy quarter, XX the Ensign located designed continued helping revenue, do more residents' the and have reported second to of outsized significant where on we anchored are CARES and of revenue the the to

to our Turning development business activities.

$XXX.X investments. million announced have in We year-to-date

that mortgage in operated we a is of properties. is on at third The we Management, to of triple-net includes the $XX.X that XXX% million Wisconsin, year. XX During upon XX-unit in memory-care partner This was January The this property growing for which now our long-term exercised had option lease and quarter, and in replaces acquire was $X.X operating ours, XXXX second Bellevue Bellevue which is opened acquisition. purchase March our occupied a The secured X a by community million. assisted-living Courtyard Bellevue,

today good looking more plenty throughout characterize we development deals deals With products existing the with of quarters. as short-term, past opportunities run While well year, mezzanine as are the in triple-net and as debt sheet in recent gamut, we actionable operators to balance and the including pipeline our shape, there new been in like than financing. higher-yielding evaluate have leases that at

sale, repayments, as we and previously depth the hand have in capital I'll next plenty of by With encouraged to XX call pipeline from options are the the Bickford back months over purchase the we the sources, portfolio select that, recycle dispositions. We loan other current mentioned to of including will Eric. expect

Kevin. well more questions. year bridge balance challenges line are we operating to crisis now strong turn and with not through few to the has our said, the as liquidity of sheet This we that and for have the know woods our to position unique us scars With to and relatively managed a least, presented Thank say but over you, this the we operator, out that, of properties mix stable lasting That yet. environment. try point, diverse operators we'll

And Bernstein, comes from question Capital Instructions]. One. Daniel first our of the [Operator line

I is, other And what you can you purchase months? on flip have Bickford, think I side, over guess that options can about have if purchase go then the of options first operators the XX repayments exercise? that near-term loan what question can we your have you maybe next and do the outside

Dan, this is Kevin.

what asking You're other we buildings? on purchase options have

Yes. What as other the operators can what you exercise, exercise -- can and the well? then

I we sort option Yes. XXX%. guess of this we're not some generally what would a getting direct going first to when about least purchase or loan, right it, be I -- you is you of Well, at to think do But speaking, offer. as

kind to we pool really that available So of that's as of did developments -- in kind from event any -- option standpoint our is we is at any think financing. we're a first, us looking the about what's purchase the and acquisition

a be large looking it there's we That's on that as development matures, that I tell investment closely. Bickford very purchase something we'll that would have. -- at there's that on, the we is purchase a -- have a we have option a So you Sagewood right

you would should to. that's say So that direct what I

pipeline, position, in make speak, going have mezz speak, we at because to to investment. those this to looking put or to an where be the so loans you're pole it's we what If anywhere so is in construction

the ahead. think -- I question rest was go of your

then options next can loan the -- to the I just what operators And XX what yes, months, say in purchase was -- repayments and exercise? going

Yes.

our got X, that our options got, pay you up Page on are. Northeast option look likely looking off. if purchase at standpoint, We've we So we're one would a in we've to where loan out repayments, supplemental expect schedules at from our that -- repurchase the

in of XX I available next would, option to things their Yes, to couple everybody trying exercise point headed a before all X this over is that's figure are option. something expect months. in at probably where that I that have out their We hospitals to still the It's is think honestly, time, them. anything, they but exercise to

those rework So go. other We and out have try as talked we're were with try Ensign. push buildings options. likely not able we've to We those to in with Legend, to that viewed Northeast those had we've going it another push did partners, the that we that as if of out, work ultimately But options. and some and we demonstrated hard before, those our as are to about very group went two with the to

those So ways we've keep to to keep very find worked place. in going and hard creative partnerships them

it to their that we exercised. exercise mean just option, it speak, But because so it will it. said, So be do is doesn't they is risk, as

challenges seniors nursing? skilled in Does look food a do that you Eric, at thought groups, your X say, opening for said challenges between differently those same temporary. housing comments, the the How Okay. apply and were the vaccine? post you that you

cities. now, of like Well, skilled senior housing the and between right it's nursing a two is tale interesting difference

nursing but based we've And other want skilled if them also conscious at seen government being Ensign which know seems making they is counterintuitive treat to COVID treating have that. skilled and effort what got operators, patients COVID on some nursing that subsidies nursing we showered admitting at a and patients You've at skilled with them. money you

may, I market is looks Senior to post-vaccine, like. return spoke the on and April, that yesterday just doing vaccination integration what nursing I starting So feel modeling like housing to fine. normal. skilled And in of we're think

here. it way the look at we that's So

maybe with -- low, one And for many have operators time. last Okay. time starting the same been like is on question holding off public vaccine, it for same at the me operators think, the we're I the Even of -- mid-upper XXs public then it's occupancy. the rates seems -- REITs at

should how when months? But underwrite that like persist. it there your kind rate some on terms So thought XX of industry next seems of out be in assets pressure what's XX in rate the you may play or the

Sure. new respective pulse This as need in a seen definitely -- very that's try able when look people continue marketplace, of the operator have we're in been of that the some lot investments. bottom. address try to speak, race the you've same on markets is I had Kevin operating to are we and feel deals, to we'll the not partners to not caution our something so good those We've A like hard issues. their to time, we and at factor them, discounting in again. but and to them pretty and it's At people making the we marketplace. other got have

something So have structure take is. where a how going market-by-market basis, it's we're just market is see to rate that their on performing, to

feel be the same disciplined they have it. have to pretty at As But you I -- operators I in able approach said, time, think compete. our how like I been to

those have tours. to -- But are what actually able discounts So that I allowing regulated, barrier or there's of people them. move-ins. selective they make get areas huge they some a partners where job converting mean there in I not can doing they to itself do bends they by operating deals state have feel you. to and some a or to get great doing sure that's when get a the challenge they it's when are here is be tours our whether like

your have to got new tool able to belt residents. So in to attract you be things

investment that really market or and a be of on you something of make think let again, it's headed. might basis, that is just feel basis, heavy on to So are competition don't heavy doing. there's where pause we we see a I just an out versus just amount where play more on a amount go-forward know what it like a trying If case-by-case rates discounting,

Our next comes John BMO Capital the question of Kim, from line Markets.

to steps of month, lower amount they That on deferral. have to the option but the up Is over clarify wanted Bickford couple that months. lower then next a Just amount due December, use the sales in to this a the much potential for during in Or asset words, other do frame? not time rent to this why an rent they January? defer deferral as occur of

This timing would an number as a classify is couple three of have I is Kevin. that it they'll a year, for issue. times insignificant A payrolls not Bickford.

time gave So enough pop wanted I that's issue. what liquidity try are. and but if the get be it, giving not buying Trying to headed, just just think matter you're timing also some really conduct clarity is and a get of to them where a able quarter, to first where make to it's some things -- seeing we We occupancy reassess to the to liquidity through and into with sure up more vaccine and is them business.

But not in housing, it also due seasonal At accelerate same Okay. senior time, directly referring have but mentioning slowed you're to due to and move-outs you're housing Bickford, that the may seeing move-ins senior to be weakness. COVID.

on flows over seasonal the think case? improve the I just curious, you next in I'm the will of that's months, question move-outs. guess, So weakness Bickford if cash the is But my couple why again, also,

flu Southern weak wondering given hemisphere something the been if you it's in anticipate this the relatively I'm has So that year?

the would I move-outs we're relates Yes. it and where watching you, trends tell as from. still move-ins coming are to

as seasonal of move-outs time year. anticipating, additional in see We some Eric are this said, that weakness do the we generally

continue what a before planning for not of really sale that they've will I role work that's improve through To just that's to we more and was into And think into more to not Bickford. the necessarily them. cash is The very quarter. play closely. I a think sure timing looking that we're mechanism. was XX -- of for -- in issue days. again, does saying the Bickford, got just well, how expecting flow XX really first I expecting that again make a next watch But line and at to more rebound that I So to sight things timing, was we're think of more It it

Okay. And just upside? only? you on environment like you And deals opportunistic. your with then they remain you're Are the In I'm looking the acquire with low that that if seem elaborate where Eric, prepared means. immediately in initial cap for remarks accretive what looking Or occupancy are you mentioned you wondering to rates to low. become assets could willing yields

capital able once John, ways deals investors. are point a as Well, higher I with both that accretive, buildings opportunistic stack the we're purchase we've find of you option loans would We'll with know, to do stabilize. structure distressed to the up on done loan larger property some and that to a the interest, -- higher

work buildings see to brokers a towel, throw chatter there. opened, new and opportunities the interesting with starting lot the haven't of from we're buildings or out owners we're getting some So that really the of we about destabilized even in that

Rich from with question SMBC. Next Anderson

yes. No,

environment the going at we're you hearing demand the where portfolio that senior and your senior I'm Do about about informed get chatter head Has opportunity the -- where on go-forward you between better sure. given quite balance housing? you'd nursing skilled you all set So in think basis. materially all housing, starts not to forward a

be plenty well. be to and you do our numerous to more would those with to able there's both of in to opportunistic operating mentioned love on asset like high-quality relates skilled others like able tell Eric's try partnerships we operators we'd it Ensign Well, as to we'd classes. occasions, particularly as I Group, nursing, relationships expand that remain to that NHC or

behavioral there housing. to be think for I term, X that we as this want said, We over Eric things about through definitely going to that us. more we've XX to continue a pursue continue then work that, number beyond to and And other health, then to of to continue something and that's long so. think invest interest well. asset of or going the And believe as still there's senior are of next to talked opportunities to So classes in as We've there's that's interest us, opportunities that we're some we we about months talked those evaluate.

good like I've if diversification continue If these we that some a expand right we the we're specialty-type pie, also hospitals right I good. Like meaningful shape, we now with the for that but if we've ability in maybe we to make So have is properties invested said to said, skilled in, that and mean, have moves. continue a some we past. in find -- more the can other some and or of I investment operator while,

Are you a of where morphed on to skilled everything given at government-regulated nursing the has basis, that's from camp happened? asset liability go-forward our a an nature

guess, I slope. of a slippery bit a that's Well,

think regulated. well the At regulations a very here. very from recently. going blessing been don't they We're most probably I them those If increase same They've I that. time, for well are highly supported. very -- that way, any for it's been very thankful anywhere. see

conference... both. now, there asset aspects are think was of And though, I an it it's for And them. for right I definitely a So been think

pen of we're the what points everybody with the nursing. exact skilled Yes. would out the say always seeing that of risk And skilled opposite that Rich, I is with nursing also stroke

surprised be cap rates dust in or wouldn't nursing come I to so So settles down. after skilled the see year a

That's thesis. Yes. our

independent something to geographically? primarily unevenness, memory happen just and living more in as Or release, assisted living where you you're Okay. problems described you be What more where the in it care? press than that? having explains Is there the is and

what additional given on a some the on The being the the Illinois people From like or from been And Coast, restrictive if select of Michigan Oregon, easiest people mentioned to a California, be some has little Washington, move to units geography. the licensed. situation to employee. point is as do been on much The have not our there's geography more -- with in the able side, able -- to you though as COVID around, rising the about, is, a been states. West tours, have our Holiday, and Midwest then also states for cases talked seen the thing been to lot more independent been ability resident tours We've positive being are depending restrictive, to and ability COVID issues these has on there. which even southeast. we've move in, the And and do that's in particularly compromised we've

a on got getting and lead can. in, So operators resident best get some them are that's there barriers there as it they've sure additional much like every generating of to a very foremost able taking do people But it day, to and that care with make base they're feel to continue to back something definitely working our to that are business is move as difficult I and making first challenge. the they usual. that to be they're for but still and complying

Any not gone that me. Okay. and drag could Last anywhere in if things Bickford, portfolio route? deferrals for the if risk Bickford become that of you've sort just on? where -- abatements your Or

to at and so unwilling, we're a that what is said we've -- we of what far, a kind make in decisions is so long-term low operations. to point performance hope speak, Well,

referrals best if when on as see is things before, go does that about think And discussions, talked lacking. which avenue what help the the is here. to are So the has we everything we from where get in see is are we which this have We'll sorely marketplace, table. vaccine feel these we protracted some heartened confidence positive some that out, there will been I news, instill these

us. lost question So not your is on

of a really is, is our of to I how open. keep think we to environment. it we've got and all And the operating some sort options fact back of the time normal get matter matter

question next line Jordan Capital comes with from Markets. Our KeyBanc of Sadler the

I call, that of the start Ordinarily, quarter, think recently on you qualitatively? housing in release of the what and maybe of operating first guys discussed terms guys quarter, press you in an seeing portfolio. in were in example occupancy terms happened more to in with in wanted your to the just second you in transparency, performance sort on the October, I seniors on can trends what's So occupancy you're speak

surprised it night. yet was I just -- in release I'm didn't So the I see last

you're surprised intend that, we because it to publish I'm Jordan, mid-month. publish surprised, still we and

takes RIDEA supply little on our we're is while that a us of call collate a organization, and that. and occupancy tenants earnings a our Not reliant numbers, up-to-date So to being ahead to with orchestrate. little

and as that we to stay in can as and disclosures. with soon you we'll So previous line tuned, our get

what think by reports days were XX is, the into of the probably earnings or quarter I quarter. that And Okay. two I the meant last your into the month following end

So timing sort be That's surprised it what seemed similar. wouldn't the like me. of

real in quick. weigh if sorry, just weigh in just could I -- I could if Jordan,

I is apples-to-apples you to is of a consistent that with think the releases. difference it's couple we in we We're -- of trying want prior sure make being, data matter days. a the give

our in average been lot that have closing of making But We the from is to what we terms same a larger which disclosing operators. we've the weekly is sure we data monthly a information So of and consistent information. books the basis, particularly you. on not have occupancy, get

to through we've management of publishing we're to apples-to-apples that number data get have that it biweekly variability is asset make that that it. instead to our able been systems, want it we might or So sure in, just sure that some put make weekly and an

Eric see prime was to as sure something you'll but publishing before mid-month weren't make for do update, ready we wanted So when it our we time. said, that

you And Yes. why we've see see this occupancy a picture, doing if no will Bickford Jordan, That's been restructure, big doubt, will. you down. you will

down. senior You and you communities will living will Holiday see flat see

know of how going kind much just we're don't that's to I report specifically. of a So preview. down

more little sort XX I really October into given stabilization, and from of numbers. point days and it, language appreciate towards your perhaps you're it's spoke perhaps mix peers mix to in your least, space November. to I bit a And at operators, interesting. commentary sort some No, of of that's of a obviously, timing the of interested. but qualitative And sort it it's why seems weakening, the a of And thought was the they've of I it's a because that REITs among

were already. And weeks speaking of a ago folks some couple maybe other of these

have be to may glean. you So better insight. That's what trying was I

Yes. And John. Jordan, this is

XX-unit people spot in, rate, -- and people suddenly say in the occupancies end of but a can communities, move dangerous are be you is the of occupancy XXs. giving we've At lot quarter, have improved still you occupancies. have X%, things my people X could daily the spot occupancies One low you very of on the noticed average been

still that. be way You below could

we So about spot our occupancies be are something that when to conscious we're talk investors. to trying very

I to The of we real really you're to about And to did as The do a there happening there terms foresee to rent? you just sounds wanted think any to continues seems in that here that, on to one not it Eric, that October in they operators continues Holiday. stabilized, Are issues? of that be have be likely slide, terms what occupancy would about on and saying talk coverage in your hone pressure And well. point current time? how like

they're Yes, we current We've restructure. And have what got deposits, balance that a result credit got rent. they've on deposits, and on a sheet recall their call on fund do as capital working our that. we of sinking

it. to is they decline through seem occupancy worrisome, but be managing their So

or have sales. rate And measure Any timing do yet, Kevin? sort just on sort of cap then Okay. the better maybe you any -- lastly Bickford of of

to was than. We still our kind Well, what that's book, what we aiming we're David? or put towards barometer our -- -- gross That's our the a right, street what on of had in we there. guided better hopefully

with just finalizing this done other to and get is -- with Things work still negotiations, banks. lot reliant I still think of of terms with a the taken and appraisals on lot has some COVID third-party time. right a now having finalizing

But So is of to that the there's to some have still we fact work done do. liked able would matter by been now. have the be more to

year-end. incentivized to get currently is As structured, Bickford it's this done before

is ahead the it possible. as them to of done really -- as get and try that's bogey So far

Okay.

to of rent annual assets use and a the million-ish $X.X just we'll right rough book gross from get could and those so a value coming be And proxy?

place I an unfair don't start. to think that's

Next comes the Wells Stender, question from Todd line Fargo. of

and move-in, guess guys to move-out thought be with now. living, thought Holiday occupancy living Holiday you slippage. the to I provide independent I -- in with back more just the go Can guys. that right independent maybe pronounced dynamic get discussion just it'd just specifically? really that But the on some assisted-living color move-outs you would at fewer and have

Sure. the for the are function greater, spot living. their on Move-outs length living speaking, you're I than think assisted buildings, in is have stay independent That said, of business. generally And is been for that bigger People of home And be these base to a you've normal funnel, bigger if have -- bigger move-outs. a got want I is discretionary the to lead to this stay the those to. build they ability lead think traffic model. just have to a able replace it

or what people a where COVID funnel move-in So that been from around. by places challenge, being a restrictions governments local outbreaks, particularly in building able place metro in in move has on there or the are have perspective you greater areas to

trend. positive to still their translate so year-over-year basis. One has lead of anecdotal year, is the that's to a least past lead and it it part point to means that's what that movement month, see sales where first for move-ins. of all data kind excess Their at interesting So that's time month That a a has this we've think, seen. was I big anecdote been traffic was, volume But of down. in was no one some last an by on was

X.X build the and story that's it their been and day. been really working and to length -- move-in So and They that's operating Really, the replace they've -- they've of something but months, -- average every changed. still that funnel had glimmers the as they've with of has trying stay there the or been in move-out. volume hasn't average residents the X here between then and more have up. It's of But than just our reduction have on seen volume. where years move-in there the some move-outs, some Holiday move-outs back some partners, seen that, with they're a just that and not

recent including entrance-fee communities just very, up our joint the in opening not Todd, what holding clearly said the on what in remarks, are Ridge occupancies rental our seeing living. very Seattle venture we to well, terms And the bring of home seeing in we're side of independent Timber Their are anything in area. the

Yes.

different the market that's to thing profile by been has younger, bit given purchase Of to independent entry which decision which is really length is comparison. Generally model. fee speaking, little really probably of than for a bit course, of healthier watch have they different -- much the resident. make interesting And on rental other decision housing longer holding equity They're little people stay. seems a the it be very well, up much an is a a independent to a an just

properties. Very you are seller, guys, buyer framing what the to X yourselves and rent of stabilized What to the be helpful, kind be a back for sale as rent difficult guess, the including the at? a out is. you of also be stabilized I side the nine the assets? table, coverage a all that. switching speak a going what is guys. Bickford the rental would to looking guess, on stream I buyer, buyer any to got then And other of It's I appreciate but Can

this buyer in case, Well, the is Bickford.

sell a if occupied, NOI, loan of -- up NHI or an have these support interested And a what tertiary they're them just that to keep couple does But -- the to on by market So the with whether a X secondary proceeds. going just increases. And those market are then assets Bickford get grown underwritten buyer. performing able kept be to beyond they're banks they're to can going will get buildings. benefit looking that of There's what Ultimately, and or those. that's out they're to couple sell underlying for and of with what's the the buildings have them. has being they not the they support you is can expand. figure in rent that are because be try buildings it's good there's the a X, That's they're to going Bickford. different the that several be decision associated to X where The need whether pretty improve turnarounds probably can then to rental them to or fact with a again, up to well opportunities. going matter for is improve them, There's they they of try or to stable,

be of X, of going decision smattering within the have were a that on is These are them, question and it is there's So coverage to a opportunities the to be basis. different sub-X.X no all be to done. that work buildings they kind going on

And So it's what's from capital be to benefit sold get going going see that's of them ultimately accretive for of put standpoint. in flow us to to place. to Bickford, a both lower cash cost a them

some forgiving because helpful. Okay. then some associated you're rent you've And That's -- with sale. got the

be So have a to throw at that true cap looking because may something that not may rate fair you we of is right? into be the math,

the time line. part it and sale Well, that of on as we done them a a consideration consider certain for getting

is of -- again, price So a we're part guess, that's those But are time. into of period now. purchase a rent was over deferral essentially that taking a dot t's the is things yes, that that I trying mean, effect of on there cross right there to -- and i's I

next question of the from JMP Our Aaron Securities. line Hecht, comes

but think from also the the by CARES help then CARES think to money highlight your materially Bickford, topic, the other up spent And on was be department that of it money Act in treasury had I same opening I deferrals? portfolio the tenants. for the interested end the original I'd XXXX. guess does you there on Do would be senior Act the operators, be housing future that guidance

senior So housing that got X. the in conjunction I'm in with wondering up opening if Phase operators extended

line don't of think Well, that's spending been up. there. out operating going COVID make that they of whatever the the in with money by there's X% associated no time is I their partners fact the going is reduction forth. set are This The plenty this have costs matter any to to Kevin. means on of occupancy trouble is

rent. it investors like our month and a before. we've talked equate try it's of wanted But basically a I month think about worth a to rent, this X% to quantify with that we half to and if

we based not believe, there's is solve it's we So have, it time, buys a have do but of those that aid. know are. a of them additional stimulus a some just partners all X We've the what that Phase to an share applied for, band but issue. it We going dollars some dollars operating coming. It's got pie. information don't on our the It's

that to, line them and a them push that out So normal help gap a about, additional be bridge more support talked help we will will as environment. time the push operating

the support. requesting that helps, hopeful going and all these definitely keep pandemic but -- be additional that into through would that solve beneficial And comes operations. we're has -- it that, is on be associations had trade looking -- think impact not a to So we given our it's it for or

get in Bickford versus then the that thus getting recap, they're the higher, confidence the done terms your far? to last seen going unchanged is you've given And everything lower deal Okay. that today then with that bank, quarter or of done

we tell get it, for would forward to benefit our Bickford that some this believing a We're more it step that first with a good is over. it's Again, some is financial we minimum I will you, done. hurdles moving still confidence believe unchanged. trying have involved. at stability. get to get But everybody on do And

it some get still have not we done, hurdles confidence is but that to we without can that So clear. it have

them for would into to end them know on deferrals would care for of then market of before the vaccine the deferrals thinking Bickford the top of were assuming -- a year, got essentially Does enough -- announced time, get that a done? there tranches. period Or that kind deal XXXX, there's the I have assuming to the the of to additional if we first doesn't the unless until be And the for are that of Are close of deal optional does be year? take the deferrals, that rest X sustain get people doesn't that tranche about?

Eric. of We've is modeled scenarios. This all sorts

them, of you've those accommodate agreement flexible to as just them there. all that described of is with outcomes. And the Some we enough reached

increased sourced in like That And availability last didn't kind me then quarter-over-quarter. you. I from, helps. fill by revolver Got that? where the one, about liquidity of million on looks it that $XXX see was

Yes. Sure.

That's third even and we notes our the our very source. Q press closed release, the loan that $XXX beginning of million about quarter. lot the term there's So of a at in primary

The other other fixed of flows dividend to and is remind all about just source every various that keep our generally the everybody our we million $XX paying get. after we cash cash of that I'd like charges. year,

This So we're continuing some year, to do we've that. dispositions. had

back pay just have second notes, quarter dispositions. excess ability look the down our quarter. the in you in If in the we loan some that term But first revolver see to you'll of

from comes with the of question next Our Mizuho. line Omotayo Okusanya

timing have I questions just of some with around that housing wanted a us operators. Bickford have you guess commentary have kind the trying we some guys getting April, have normal to bird to go it comments sounds drill do scenario you I to of scenario, just appreciate base to of seat." down on to quarters vaccine, And to on to still won't But as back pain senior given of or by May. kind the again, kind the have, other your real asked two the and like of kind you It X around previously. that acknowledge "keep through. pertains vaccine, of I understand been confidence of just more that

this Tayo, Kevin. is

to that willing I already come on we've degree think as pipe. down we're And with as some with to Eric what may had operators. the addressed work Bickford already demonstrated our

gets additional that to that's we're and few get months we've done point financial get what where is we next now, now, flexibility, day, as we them trying it there. we for at For and to to and cash able them kind give or through each point little we'll cash week to consider clarity. more, a to and to in bit place us have be is And we'll flow gives us this flexibility take the something a able manage right But to the can have tried to put we've be really have from to they week come. things some what of what

Sure.

be that then really talked developers up things acquisition yet, you're that. again, So, risk." opportunities the willing that's they struggling buy assets "lease-up may indication on not I and about or And may as the to leased to the front, fine. some an kind that comments an like you may be That's of and some you of think around be that take operator assets not willing on fair.

that an to we circumstances our Are to It for that the more would No, buy those we to a We've like going I to But I are a think some going be that to have Are on NHI, can would feel are. to stabilization? depends. you we customer, development bunch starting we would period, tell -- more depend definitely deal a the we that's get in It in depends. those before. they does out know starting through it's take go a of look take stabilization? at done would if depend we've take structure clarity that absolutely at some the Is have lease-up accretive that we it periods right have past. be we to those to buildings? accretive And kind in get just is high-quality at the just more partner, a to we market partner lease-up -- we this things opportunities? past. we But like to operating one a longer and it Is of them And of on Is liquidity high-quality that's done on that it's resounding, in they're there of to don't looked a That's now that. it great can a look what I our underwriting said, see that them I I But long the is of Unfortunately, and it's some opportunities. going we in that. kind get Yes. with, around operating than look that. the capital, finances and the a see is we've key select can in. all a would opportunity. structure we customer? that And we as figure building? whether a bringing, there? -- don't And or it to shareholders? on selective at of How basis, going past And it's right I it

lease-up, longer between, they're pencil something they're not So definitely is it going to we -- there's and -- I'd are be to when a to something find few that's at tell looking you're far going you, but evaluating.

we And have further phone the no questions line, sir. on

if talk next sooner. Thank us joining and not today, you, Thank for quarter, to everyone. you you we'll

please for to thank your lines. you We today's you and your call. concludes ask That participation disconnect