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Subsequent Events Subsequent Events
6 Months Ended
Jun. 30, 2019
Subsequent Events [Abstract]  
Subsequent Events [Text Block]
NOTE 11. SUBSEQUENT EVENTS

Cappella Living Solutions

On July 23, 2019, we acquired a 51-unit assisted living facility in Pueblo, Colorado for $7,600,000 including $100,000 of closing costs. We leased the facility to Christian Living Services, Inc., d/b/a Cappella Living Solutions, for a term of 15 years at an initial lease rate of 7.25%, with CPI escalators subject to a floor and ceiling.

Discovery

Effective July 1, 2019, we transitioned an Indiana, independent living/assisted living facility to Discovery, as discussed in Note 2, in conjunction with our other properties in transition. By its terms, the triple-net lease matures in June 2024 with two extension options of five years. Rent is initially based on net operating income. Beginning in 2022, rent is to reset to the greater of $1,400,000 or current market as provided by formula. For the duration of the lease, the rent, as reset, is subject to a 2.5% escalator. Concurrent with Discovery’s entrance into the lease, NHI provided a working capital loan for amounts up to $750,000 at an interest rate of 6.50%. The loan extends during the term of the lease.