# Sabra Health Care REIT, Inc. > Clarifo company profile — qualitative business description generated from > the company's filings. Financial statements, charts and ratios are > available on Clarifo (https://www.clarifo.com/en/companies/Sabra Health Care REIT, Inc.). ## Overview Sabra Health Care REIT, Inc. is a U.S.-based healthcare real estate investment trust that owns and invests in properties serving the healthcare industry. Its portfolio includes skilled nursing and transitional care facilities, senior housing communities, behavioral health facilities, specialty hospitals, and related healthcare real estate in the United States and Canada. ## Products & services • Owns and leases healthcare real estate to third-party operators • Senior housing communities under lease or management agreements • Skilled nursing and transitional care facilities • Behavioral health facilities and specialty hospitals • Healthcare real estate loans, preferred equity, and joint ventures - **Triple-net leased healthcare properties** (55%) — Healthcare facilities leased to third-party operators under long-term arrangements. - **Senior Housing - Managed** (15%) — Senior housing communities operated by third-party property managers. - **Skilled nursing and transitional care** (20%) — Facilities serving post-acute and long-term care residents. - **Other healthcare real estate** (5%) — Behavioral health facilities, specialty hospitals, and related assets. - **Loans, preferred equity, and joint ventures** (5%) — Structured investments and equity interests in healthcare real estate. - Owns and leases healthcare real estate to third-party operators - Senior housing communities under lease or management agreements - Skilled nursing and transitional care facilities - Behavioral health facilities and specialty hospitals - Healthcare real estate loans, preferred equity, and joint ventures ## Customers Sabra’s customers are the healthcare operators, property managers, and development partners that use its real estate platform to access facilities and capital. The end users of the properties are typically seniors, post-acute patients, behavioral health patients, and other healthcare residents, but Sabra’s direct counterparties are the operators and tenants that pay rent or management fees. Its business depends on operators with stable occupancy, reimbursement support, and access to labor and working capital. - **Healthcare operators** (primary) — Lease skilled nursing, senior housing, behavioral health, and specialty hospital assets and pay rent under property agreements. - **Senior housing managers** (primary) — Operate senior housing communities under management contracts and generate fees tied to occupancy and operations. - **Development and joint-venture partners** (secondary) — Partner on new healthcare developments, renovations, and structured investments. - **Borrowers and structured finance counterparties** (secondary) — Use loans receivable and preferred equity capital for healthcare real estate financing. - Third-party healthcare operators that lease facilities from Sabra - Senior housing managers that run communities under management agreements - Skilled nursing and transitional care operators reliant on reimbursement - Behavioral health and specialty hospital operators - Developers and joint-venture partners for new healthcare facilities ## Geography Sabra’s portfolio is concentrated in the United States and Canada, with properties spread across both countries rather than tied to a single local market. This geographic mix matters because healthcare reimbursement, labor availability, regulation, and property demand can differ materially by jurisdiction. The company’s revenue exposure is therefore driven more by operator performance and healthcare policy than by a single national market. - Properties are diversified across the United States and Canada - U.S. healthcare reimbursement and labor conditions affect operator performance - Canadian assets add cross-border diversification within healthcare real estate - Geographic spread reduces dependence on any single local market - Regional regulation and licensing can affect senior housing and care facilities ## Strategy Sabra’s strategy is to grow and diversify its healthcare real estate portfolio across tenant types, facility types, and geography. It seeks to do this through direct and indirect investments, select development opportunities, asset sales, and structured capital investments such as loans, preferred equity, and joint ventures. - **Portfolio diversification** (medium-term) — Reduces dependence on any single operator, facility type, or market. - **Development and redevelopment** (medium-term) — Creates purpose-built facilities and refreshes less competitive assets. - **Structured healthcare investments** (medium-term) — Adds flexibility beyond pure property ownership and leasing. - Expand healthcare real estate holdings through acquisitions and development - Diversify by tenant, facility type, and geography - Use select asset sales to rebalance portfolio exposure - Invest in loans, preferred equity, and joint ventures for flexibility - Work with operators on renovations, replacements, and expansions ## Risks Sabra is exposed to operator credit risk, reimbursement pressure, and occupancy volatility because its cash flows depend on healthcare tenants and managers. The company also faces sector-specific risks from labor shortages, regulation, litigation, cybersecurity, and pandemic-related disruptions, all of which can affect facility performance and tenant solvency. - **Operator and tenant credit risk** [high] — Sabra depends on third-party operators to pay rent and manage facilities. - **Skilled nursing reimbursement risk** [high] — A meaningful portion of revenue is tied directly or indirectly to skilled nursing facilities, which depend on Medicare/Medicaid reimbursement. - **Senior housing operating risk** [medium] — Managed communities are exposed to occupancy, private-pay rates, staffing, and local competition. - **Cybersecurity risk** [medium] — A breach could disrupt systems, expose sensitive information, or impair tenant/operator relationships. - **Pandemic and public health disruption** [medium] — Healthcare facilities can face sudden occupancy, staffing, and operating shocks during outbreaks. - Tenant/operator distress can reduce rent and impair asset values - Skilled nursing reimbursement changes can pressure facility economics - Senior housing occupancy and private-pay rates can be volatile - Labor shortages and wage inflation can hurt operator performance - Cybersecurity or pandemic disruptions can affect operations and counterparties ## Accounting As a REIT, Sabra’s reported results are shaped by real estate depreciation, impairment testing, and non-GAAP measures such as FFO and AFFO that investors use to assess cash-generating capacity. Accounting judgments also matter for loan losses, fair value estimates, joint ventures, and the classification of non-cash rental income and interest expense, all of which can materially affect reported earnings versus underlying property cash flow. - **FFO and AFFO reconciliation** — Helps investors assess recurring cash generation from healthcare properties - **Real estate impairment** — Can create volatile charges and signal asset-level stress - **Loan loss reserves** — Affects earnings and balance-sheet carrying values - **Non-cash rental and interest items** — Important for comparing GAAP results with cash flow - Real estate depreciation lowers GAAP earnings but not property cash flow - FFO and AFFO are key REIT metrics for comparing operating performance - Impairment charges reflect changes in property value or operator outlook - Loan loss reserves affect structured finance and credit exposure - Non-cash rental income and interest can distort GAAP-to-cash comparisons --- *Last updated: 2026-04-29T04:57:18.102340+00:00*