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.