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LTC Properties Buys Chicago Metro Area Land for $700K - Analyst Blog

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LTC Properties Inc. LTC, the Westlake Village, CA-based healthcare real estate investment trust (“REIT”) announced the acquisition of around 3.5 acres of land in Tinley Park, IL for around $700,000. This land parcel acquisition in the Chicago metro area is likely to be accretive for the company, going forward.

LTC Properties has also made a commitment to finance the construction of a 66-unit memory care community on this acquired land parcel, in partnership with Anthem Memory Care. The latter is engaged in providing care for people suffering from Alzheimer’s and other forms of dementia. LTC Properties has promised to provide funds up to $11.2 million for this construction project which is slated to open in the summer of 2016.

In fact, Anthem Memory Care has been partnering with LTC Properties for the past three and a half years. In addition to this, Anthem Memory Care and LTC Properties hold a parcel of land, currently under contract, at Glenview in the Chicago metro area. Development of a memory-care community on this land parcel is scheduled to start later this year, subject to fulfillment of due diligence.

LTC Properties mainly invests in long-term care and other health care-related facilities through mortgage loans, facility lease transactions and other investments. The latest alliance with Anthem Memory Care further extends the REIT’s partnership in the Chicago area, which will likely act as a growth driver for the company, going forward.

LTC Properties currently has a Zacks Rank #2 (Buy).

Investors interested in the REIT industry may also consider stocks like Arbor Realty Trust Inc. ABR, Strategic Hotels & Resorts, Inc. BEE and CareTrust REIT, Inc. CTRE. While both Arbor Realty Trust and Strategic Hotels & Resorts sport a Zacks Rank #1 (Strong Buy), CareTrust REIT holds the same Zacks Rank as LTC Properties.

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