HCP Inc. announced that it closed the acquisition of 334 nursing homes and assisted living facilities from HCR ManorCare for $6.1 billion in cash.

As expected, HCP also entered into a long-term master lease under which Toledo, Ohio-based HCR ManorCare will continue to operate the facilities, which are primarily in the Midwest and along the East Coast. HCP sold stock and debt to fund the purchase.

The triple net lease requires HCR to handle the taxes, insurance, maintenance, utilities and other expenses on the properties.

The REIT, which first announced the deal in early December, said it also exercised its option to purchase an equity interest in the HCR ManorCare operating company for $95 million, which represents a 9.9 percent equity interest.

HCP shares were down 10 percent, or less than a percent, to $37.20 in midday trading on the New York Stock Exchange.

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