Acquisition of The Grove at Cherry Hill Memory Care

United States

Deal value: $21,000,000

Sabra Health Care REIT acquired The Grove at Cherry Hill, a 60-bed memory care facility in Cherry Hill, NJ, expanding its portfolio of specialized dementia care assets.

Sabra Health Care REIT is strategically acquiring specialized memory care assets like The Grove at Cherry Hill to capitalize on favorable demographic tailwinds, particularly the 80+ population expected to grow 4% annually through 2040. This acquisition aligns with the company's disciplined, opportunistic approach to expand its senior housing portfolio, specifically in high-demand specialized care segments where supply constraints create favorable investment dynamics. The $21 million investment reflects Sabra's confidence in reimbursement rate improvements, with Medicare rates growing at 2.1% CAGR and Medicaid rates at 4.2% CAGR, supporting accretive returns in the memory care subsector.