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Aviv REIT Announces $49M Of Acquisitions

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Aviv REIT (NYSE: AVIV) announced today it has acquired nine post-acute and long-term care skilled nursing facilities ("SNFs") in Kentucky and Iowa, in two separate transactions for $48.5 million. Seven of the SNFs are located in Kentucky and are triple-net leased to new Aviv operator Providence Group ("Providence"), an operator of nine SNFs in Kentucky and California. The other two SNFs are located in Iowa and are triple-net leased to existing Aviv operator Trillium Healthcare ("Trillium"), an operator of ten SNFs in Iowa and Nebraska. These investments have a blended initial cash yield of 10.7%, annual escalators and initial lease terms of ten years.

"We are excited to close these strategic acquisitions, continuing our momentum in the first quarter with $104 million of acquisitions now closed year-to-date, following $159 million of acquisitions in the fourth quarter and $239 million of total investments in 2013," said Craig M. Bernfield, Chairman and Chief Executive Officer of Aviv. "The Providence and Trillium acquisitions further demonstrate our ability to source attractive, accretive acquisitions of high-quality SNFs with experienced operators with whom we have strong relationships, consistent with our strategy. We have enhanced our diversified portfolio by creating another new operator relationship with the Providence team, which has over 20 years of experience operating SNFs, and by doing another acquisition with Trillium, an operator relationship we have built over the past five years. We have an active pipeline, access to capital and we feel confident that we will continue to execute our growth strategy."

About Aviv

Aviv REIT, Inc., based in Chicago, is a real estate investment trust that specializes in owning post-acute and long-term care skilled nursing facilities and other healthcare properties. Aviv is one of the largest owners of SNFs in the United States and has been in the business for over 30 years. The Company currently owns 295 properties that are triple-net leased to 39 operators in 29 states.

For more information about the Company, please visit our website at www.avivreit.com or contact: David J. Smith, Managing Director, Investor Relations & Capital Markets at 312-855-0930.

Forward-Looking Statements

This press release may include forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "intends," "continue" or similar terminology. These forward-looking statements are made based on our current expectations and beliefs concerning future events affecting us and are subject to uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control, that could cause our actual results to differ materially from those matters expressed in or implied by these forward-looking statements. These uncertainties include, but are not limited to, uncertainties relating to the operations of our tenants, including those relating to reimbursement by government and other third-party payors, compliance with regulatory requirements and occupancy levels, regulatory, reimbursement and other changes in the healthcare industry, the performance and reputation of our tenants, our ability to successfully engage in strategic acquisitions and investments, the effect of general market, economic and political conditions, the availability and cost of capital, changes in tax laws and regulations affecting REITs and our ability to maintain our status as a REIT. Important factors that could cause actual results to differ materially from our expectations include those disclosed under "Risk Factors" and elsewhere in filings made by Aviv REIT, Inc. and Aviv Healthcare Properties Limited Partnership with the Securities and Exchange Commission.

 

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