Wed, Mar 26, 8:52 PM (31 days ago)
**Summary of Summit Healthcare REIT, Inc. (Ticker: None)** **Financial Performance (2024):** - **Revenue:** $16.4 million - **Net Income:** $27.2 million - **Operating Expenses:** $14.8 million - **Earnings per Share (EPS):** $1.18 - **Funds from Operations (FFO):** -$14.4 million **Strategic Overview:** - **Investment Focus:** Senior housing facilities, including independent living, skilled nursing, assisted living, memory care, and continuing care retirement communities. - **Portfolio:** 7 properties (3 owned 100%, 4 owned 95.3% through a joint venture), and 3 unconsolidated equity-method investments holding 17 properties. - **Recent Developments:** Sold 3 properties in California and transferred ownership of 8 properties in Georgia, focusing on economic stability and growth potential. **Future Outlook:** - **Growth Strategy:** Continue acquiring healthcare real estate assets, utilizing institutional capital, and potentially raising additional equity through alternative methods. - **Liquidity:** $25.2 million in cash and cash equivalents, with plans to sustain operations and meet capital needs for the next 12 months. - **Debt Obligations:** $42.7 million in debt, all long-term, fixed-rate HUD-insured loans maturing between 2039 and 2055. **Risk Factors:** - **Market Risks:** Economic conditions, regulatory changes, and competition in the healthcare real estate sector. - **Operational Risks:** Dependence on external debt financing, joint venture opportunities, and cash from operating properties. - **Financial Risks:** High debt levels, interest rate fluctuations, and potential liquidity issues. **Market Position Changes:** - **Property Sales:** Sold 3 properties in California for $11.2 million gain and transferred 8 properties in Georgia, releasing all debt and guarantee obligations. - **Equity-Method Investments:** Sold properties within SUL JV and Fantasia III JV, receiving cash and recording gains. **Financial Condition:** - **Cash Position:** $25.2 million in cash and cash equivalents. - **Debt:** $42.7 million in long-term, fixed-rate HUD-insured loans. - **Liquidity:** Plans to sustain operations and meet capital needs for the next 12 months. **Note:** All amounts are in thousands, $000s.