LTC CEO Says Health Care Real Estate Investment More Challenging in 2017

Wendy Simpson, chairman, president and CEO of LTC Properties, Inc. (NYSE: LTC), joined Nareit for a video interview at REITworld 2017.

LTC primarily invests in senior housing and health care properties through sale-leaseback transactions, mortgage financing and structured finance solutions.

Simpson explained that LTC has found it “relatively challenging” to make new investments in 2017. She noted that prices have not come down to levels that the company had been expecting.

“We still have very stringent underwriting standards relative to coverage and total cost. It’s been more challenging this year than in the past two. If we have to trade return for coverage, we’ll take coverage,” Simpson said.

As LTC celebrates its 25th anniversary this year, Simpson said the REIT’s strategy is to continue to support local regional operators. While LTC is investing in skilled nursing facilities (SNF) and operators, it is also actively supporting the building of memory care and assisted living properties, she noted.

Meanwhile, Simpson said one of the most interesting technological advances in the health care field today is telemedicine.