Green Courte Partners has extended its deadline to acquire Florida-based senior housing REIT American Land Lease after just 85.5 percent of its stock was tendered.
The Chicago-based private equity real estate firm agreed in December to buy the struggling investment trust in a deal valued at $438 million. It was looking to achieve a minimum tender of 88 percent of American Land’s common stock.
In a statement, Green Courte said as of midnight 22 January, 85.5 percent of the REIT’s stock had been tendered. As a result, the firm said it would extend that deadline until 5 February.
At the time the deal was originally announced Green Courte said the acquisitions was not “contingent” on the success of the tender offer. Green Courte has offered to pay $14.20 a share for American Land, with the assumption of debt and preferred stock.
American Land chairman and chief executive officer Terry Considine said in December the decision to sell itself to Green Courte had been taken after a “thorough year-long review of strategic alternatives”. American Land owns, develops and manages more than 10,000 senior housing properties in 30 locations in Florida, Arizona and Alabama.
The deal would double Green Courte’s property portfolio. Green Courte targets retirement communities, retail and mixed-use properties and parking assets.