LTC

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 11:00 a.m. ET Co-President and Co-Chief Executive Officer - Pamela Shelley-Kessler Co-President and Co-Chief Executive Officer - Clint B. Malin Executive Vice President, Chief Financial Officer and Treasurer - Caroline Chikhale Executive Vice President of Asset Management - J. Satterwhite Executive Vice President and Chief Investment Officer - David Boitano Operator: Greetings, and welcome to the LTC Properties Second Quarter 2026 Earnings Call. [Operator Instructions] Joining us on today's call are Pam Kessler, Co-President and Co-Chief Executive Officer, Clint Malin, Co-President and Co-Chief Executive Officer, Cece Chikhale, Executive Vice President, Chief Financial Officer and Treasurer, Gibson Satterwhite, Executive Vice President of Asset Management, Dave Boitano, Executive Vice President and Chief Investment Officer. Before management begins its presentation, please know that today's comments, including the question and answer session, include forward-looking statements subject to risk and uncertainties, that may cause actual results and events to differ materially. These risks and uncertainties are detailed in LTC Properties filing with the Security and Exchange Commission from time to time, including the company's most recent 10-K dated December 31, 2025. LTC undertakes no obligation to revise or update forward-looking statements to reflect events or circumstances after the date of this presentation. Please note this event is being recorded. I would like to now turn the conference over to LTC management. Pamela Shelley-Kessler: Good morning, and thank you for joining us. The excitement and momentum of our SHOP strategy here at LTC continues, and our transformation is well ahead of schedule. We are increasing our 2026 SHOP acquisition guidance by 50% to $900 million at the midpoint and we'll have closed $700 million in acquisitions by the end of September. Additionally, we expect a meaningful step up in dispositions and loan payoffs this year, well above what we've previously discussed with the majority in skilled nursing. By the end of September, SHOP will represent 40% of LTC's pro forma annualized NOI, a full quarter ahead of previous estimates. We expect to drive that to 50% by year-end through pipeline execution, redeploying proceeds from the Prestige loan payoff, and proactively recycling capital on lower growth investments at exceptional pricing. At our current pace, we see a pathway to generating 75% of our annualized NOI from SHOP by the end of 2028. We are encouraged by our core SHOP performance and the momentum we are seeing across the portfolio. Additionally, we have strengthened our balance sheet with a $1.1 billion credit facility, supporting our growth trajectory with additional liquidity. At 40% SHOP NOI, our pro forma internal growth rate triples. Combined with external growth opportunities, LTC's projected annual growth rate at 75% of NOI in 2 years increases meaningfully. Our SHOP strategy has resulted in a substantial shift in our portfolio, dramatically enhancing LTC's long-term ability to organically grow Core FFO and FAD per share above historical rates. LTC's transformation from a triple-net lease and lending platform into a higher growth, SHOP-focused REIT reflects deliberate planning and efficient execution. What you see this quarter is our transformative SHOP strategy converting into results. Investments we have made in operator relationships, human capital, and real estate are creating value and long-term growth for our shareholders. I'll now turn it over to Gibson to walk through the operating portfolio. J. Satterwhite: Thank you, Pam. We are intentionally and rapidly transforming our business to meaningfully increase LTC's long-term intrinsic growth profile. The degree to which we accomplish our objective will be driven by our investment in SHOP and the long-term growth potential of that segment. With respect to increasing our SHOP mix, we now expect proceeds of $730 million from dispositions and loan payoffs in 2026, $465 million above prior guidance. We expect to realize a 5.5% cap rate on rent from the incremental $465 million and a blended rate of 7.3% on total 2026 proceeds. About two-thirds of the incremental sales will be skilled nursing properties, bringing total expected 2026 proceeds from skilled nursing to $570 million at a blended cap rate of 7.5%. The remaining $160 million of triple-net seniors housing properties is expected to be sold at a 6.5% cap rate on current rent. The total proceeds this year include $180 million from the Prestige loan payoff, which we are now modeling to occur on October 1. Our revision to the anticipated payoff date relates to the HUD process timeline. And given the progress that has already been made, we do expect that closing to occur this year. The timing of the additional sales and associated rent reductions are outlined in our supplemental package. With respect to SHOP growth, we remain encouraged by the portfolio's strong characteristics and expect to realize pro forma growth of 14% at the midpoint of guidance in our core SHOP portfolio when compared with 2025. Our second quarter core SHOP NOI was $13.3 million, up from $12.9 (sic) [ $12.7 million ] million pro forma NOI in Q1. We're encouraged by the RevPOR growth relative to our expectations earlier in the year and saw occupancy increases accelerate at the end of the quarter. Given those factors, we believe we are well positioned to achieve guidance with continued improvement throughout the year. Looking forward into 2027, we will continue to evaluate our portfolio for opportunities to accelerate our strategy by recycling capital at attractive risk-adjusted rates. We're excited about the long-term growth potential of the SHOP portfolio that we are assembling. Now I'll turn the call over to Dave to discuss our investment activity. David Boitano: Thanks, Gibson. We are winning and growing in a dynamic acquisition market that is fueling LTC's near-term momentum and long-term growth trajectory. By the end of the third quarter, we will surpass the previous midpoint of our investment guidance by $100 million and now expect to reach $900 million in SHOP acquisitions in 2026. Importantly, we expect this pace of growth to continue into 2027 and beyond. From the start of the year to the end of July, we closed approximately $400 million in SHOP acquisitions. We expect another $300 million by the end of Q3 and roughly $200 million more by year-end, reflecting the depth of our deal flow. A key value underlying LTC's success is our strong commitment to relationships. Our speed, strength, and collaborative execution resonate with operating partners, sellers, and intermediaries. And as a result, we're seeing a robust pipeline of opportunities to support our growth. Our SHOP acquisitions are targeted, focusing on key characteristics that support the quality of the platform and will drive higher intrinsic growth and better risk-adjusted returns. The average age of the $700 million of acquisitions that Pam referenced earlier is 9 years, with 76% located in primary markets as designated by NIC. The average unit size of these communities is around 110, with nearly 60% offering a continuum of care spanning IL, AL, and memory care. These acquisitions represent growth with existing and new operators, as well as repeat and first-time seller relationships. As our SHOP portfolio grows, we remain focused on identifying opportunities that align with the LTC strategy and pair well with our strong operating partners. Our investment team's focus on asset quality and size, unit mix, and market dynamics directs our growth to communities that will retain their competitive position and deliver durable long-term performance. We know sellers and operators have options, and we strive to be their trusted partner. We are deeply grateful to everyone's contributions to LTC's SHOP transformation and believe our people, our platform, our financial strength, and our deep relationships position us for continued growth and success. Now I'll pass the call to Cece for a review of our financial results. Caroline Chikhale: Thank you, Dave. We recently expanded our credit facility by $300 million, increasing our unsecured revolving line of credit to $900 million. Additionally, we anticipate entering into a new ATM agreement in the third quarter. During the second quarter, we sold 4.1 million shares of common stock for $155 million in net proceeds under our ATM program to pre-fund our SHOP acquisitions. Our pro forma liquidity stands at $648 million. This strength in capital position enhances our financial flexibility and enables us to accelerate external growth initiatives and capture additional NOI expansion opportunities. At the end of the second quarter, our debt to annualized adjusted EBITDA for real estate was 4.2x and our annualized adjusted fixed charge coverage ratio was 4.9x. We continue to operate comfortably within our leverage target of 4x to 5x debt to EBITDA and will fluctuate within that target depending on the timing of our acquisitions and expected proceeds from sales and payoffs. Core FFO per share was $0.68 for both 2026 and 2025 second quarters, and Core FAD per share was $0.70 this quarter compared with $0.71 in the 2025 second quarter. The decrease was due to an increase in our weighted average diluted shares outstanding, driven by additional shares issued under our ATM program, a decrease in income from SNF sales and loan payoffs, and an increase in interest expense. The decrease was offset by an increase in SHOP NOI and interest income from loan originations and additional loan funding. As we head closer to year-end, we are narrowing our guidance range for 2026. We expect Core FFO per share in the range of $2.76 to $2.78 and Core FAD per share between $2.83 and $2.85. This guidance includes an increase in SHOP acquisitions to $900 million at the midpoint, increasing total SHOP NOI between $71 million and $80 million, and decreasing FAD Capex to approximately $4 million due to the timing of acquisitions. It also includes $730 million of proceeds from asset sales and loan payoffs. Assumptions underpinning our guidance are detailed in yesterday's earnings press release and our supplemental package, which are posted on the LTC website. I'll turn the call over to Clint. Clint B. Malin: Thank you, Cece. When we launched our SHOP platform just 15 months ago via cooperative triple-net conversions, it was seeded with 13 communities with a gross book value of $175 million. At the end of the third quarter, SHOP gross investments will total over $1.3 billion with an average age of 9 years. 80% of this growth has been external, driven in part by our ability to successfully cultivate strong SHOP operator relationships. We are deliberately building a SHOP portfolio to compete effectively today and in the future when new supply eventually comes online, although new construction starts remain near historical lows nationally. We are mindful that this will not always be the case, so we seek to acquire communities with an already strong market presence and with unit and common area configurations designed to fulfill contemporary consumer preferences. I would like to close by thanking our SHOP operators for choosing LTC and trusting in our relationship and ability to help support them as they care for our nation's seniors. Also, I would like to thank the LTC team for their tremendous efforts in carefully planning and executing our SHOP strategy in the pursuit of shareholder growth. Our transformation is happening faster than we predicted with everyone here at LTC working together as a team to build a platform for higher, sustainable, long-term FFO and FAD growth. With that, we are ready to take your questions. Operator: [Operator Instructions] One moment while we pull for the first question. The first question comes from Juan Sanabria with BMO Capital. Please proceed. Robin Haneland: This is Robin sitting in for Juan. I was just curious on the $321 million left to close, if you could discuss cap rates, IRRs, expected timing. And then if you could maybe also discuss if you could do additional deals in addition to the incremental $321 million before year-end. David Boitano: Sure, Rob. This is Dave. So that remaining to be closed looks much like what we have, similar cap rates and from an addition and mix and quality, really we're finding a lot of transactions that look like what we've acquired. And so we feel very good about that. As far as additional opportunities throughout the year, we're always looking. And if we find transactions that fit our box, we will certainly pursue them. Robin Haneland: Then on the SHOP expectations, could you just help us understand the drivers of the RevPOR increase and the occupancy moderation? J. Satterwhite: Sure. Hi, this is Gibson. So before I get into those metrics, I just want to back up for a second and just talk about that core portfolio for a minute just to give some context. So it's 27 properties. When we rolled that guidance out, it was like 97.5% of the NOI that we owned at the time. In that mix, I think everybody knows that we converted standalone memory care, so it's more heavily tilted towards standalone memory care, about 30%, 32% of the units in that portfolio. So we're going to see some movement over time from quarter to quarter and performance and our expectations. And it's not exactly analogous to some of the other same-store portfolios of our peers. With respect to the underlying metrics of guidance, the RevPOR is, we're taking that up 50 basis points, and that's really based on the pricing strength that we've seen so far year-to-date. And we've got more price increases coming in the second half of the year. Underlying metrics are good. There's no material difference between the operator's asking rates and the rates at which people are moving in. We feel like the marketing funnel is working and flowing. And so we feel pretty good about that. On the occupancy front, that's really a function of the math. So year-to-date, we're at about 89.7% occupancy. Last year was 89.7%. So if you think about that, to be able to get our initial guide of 150 basis points, you'd have to average 300 basis points over the second half of the year. We felt like because some of the cohort of buildings that we see, that we would need to really make that kind of movement, a lot of that's a standalone memory care. We don't feel like that's an expectation that we're going to anchor. We're not going to anchor our expectations on that kind of movement. Now I will say last year, we saw not only in that segment of the portfolio, but the overall portfolio, we saw a really good move in occupancy in Q3. So, it's not out of the realm of possibility, but if we get that same kind of move, we're really talking about the high end of the guidance as opposed to hitting the midpoint. The RevPOR expectations are really just a function of the occupancy decline -- not occupancy decline, but just the moderation in our expectations. And then if you just step back and think about it, overall, if our operators are able to deliver 14% growth at the midpoint, and I think Pam mentioned this on a prior call, we will have outperformed our underwriting on those new deals. It's about $460 million worth of new deals in that cohort. We will have outperformed our underwriting, and we will have significantly transformed the intrinsic growth profile of our portfolio. So we're really excited about that. It's a low end, which we don't expect to hit and hope not to hit. That's still double-digit growth in that portfolio for the deals that we bought. At the high end, you're at high teens growth. So we're really encouraged. And the way we're thinking about it now, I think our expectations are probably normally distributed around that 14% midpoint. We're not trying to sandbag. We feel like that's a good, reasonable expectation of our operators. But we feel at that growth rate, we will go a long way to proving out the thesis behind turning over $730 million of our portfolio investing in SHOP, making the investments in the platform. And we're really excited about that here at LTC. Operator: The next question comes from Tayo Okusanya with Deutsche Bank. Omotayo Okusanya: A couple of quick ones from me. The core SHOP portfolio and the 14% NOI growth profile, I'm just curious, as we kind of think of everything else you've bought or just kind of in the line-up, and we kind of think about where you kind of have all that kind of in the portfolio by the end of this year, and we start thinking about 2027 and trying to do like a year-over-year comparison type of thing like we're doing with the core SHOP portfolio. How much confidence do you have at that point that you could still put up kind of similar NOI growth by the end of the year with kind of a redefined corporate portfolio heading into 2027, if I may use those words? Pamela Shelley-Kessler: I mean, the growth, are you specifically referencing the growth that we're projecting in what we're buying, the recent acquisitions? Omotayo Okusanya: Yes, that's a great way to kind of think about it. Like how do we think through the growth of that stuff? David Boitano: So, Tayo, this is Dave. Sort of like I commented earlier, right, so what we're looking to acquire, and try to in terms of acquisitions that are coming in and what we're pursuing. We expect similar dynamics in terms of low to mid-teens IRRs, and that's kind of growth. So we really see it as sort of adding quality to quality as we continue to grow. So that is our expectations as these roll into our portfolio and be in march step with the rest of the assets. Pamela Shelley-Kessler: We haven't bought any value-add, Tayo, if that's what you're asking, where you would expect outsized, yes. Clint B. Malin: That's how my comments are made. We're expecting to have the $700 million completed by the end of Q3. That'll put us at $1.3 billion, the average age of 9 years. We've targeted larger campuses, newer assets that are occupancy stabilized, that then have the ability to push revenue growth. And it's something that we have conversations with our operating partners about this and looking to the budgeting process and where to focus on it. And we do think there's going to be room to push rate, especially with just supply constraints that exist today. And that's why we have targeted the asset profile that we have to acquire to build the SHOP platform. We think that's going to be very advantageous to us going forward. Omotayo Okusanya: Okay, that's helpful. So then with the mid-teens IRR and you're buying, let's kind of call it high 6% to about a 7% cap, so you're kind of thinking it gives you like 7%, 8% type growth. Clint B. Malin: Yes. Omotayo Okusanya: Okay, that's great. And then just a quick second question, kind of with further growth in SHOP, this idea of being 75% by 2028, as we're kind of thinking about additional acquisitions, how should we think through funding that? I think, again, this year is a little bit different because, again, some of the funding is some of the high yield paper that's kind of from the loan payoffs and things like that. But so just kind of think about your actual cost of capital relative to where you're buying assets. You should be kind of thinking about that stuff as being kind of accretive from day one or more neutral from day one, and then we kind of get to growth in outer years. Pamela Shelley-Kessler: Yes, more neutral from day one and the growth in the following year. We do have some more potential capital recycling we can do in our portfolio. The bulk of it done this year, I mean, over $700 million, that's pretty incredible, as Gibson alluded to, turning over a third of our portfolio in less than 18 months. You know, we've taken a lot of work here, but the SNF asset sales have unlocked a lot of trapped value that's created a currency for us for growth-oriented investments. And we'll continue to look within our portfolios to see if we can get a lot of value. But next year, I would anticipate it more the normal course, 70% equity, 30% debt. So you'll see more growth in the bottom line asset, gross asset value of LTC this year. It was more recycling and replacing low growth investments with high growth investments. Next year you'll see more bottom line growth. Omotayo Okusanya: That is very helpful. You guys are grinding hard. Pamela Shelley-Kessler: Thank you. We're working hard over here. Our team, we've got a great team and everybody's, we're all in the same boat rowing together in the same direction and feel like we're firing on all cylinders. As Gibson said, we're really excited about what's happening here at LTC and, you know, a lot of our investors are serving. Clint B. Malin: I'm certainly thrilled by it as well and looking forward to next year. That's a lot to track the operating partners that we have into the SHOP portfolio. Going from May of last year to now having 12 operating partners and adding one more, I think that energy has resonated and has really helped us catapult this growth. Operator: The next question comes from John Kilichowski with Wells Fargo. Jesus Garcia: This is Jesus on for John. So to start here, you guys raised the investment midpoint here by $300 million to $900 million and increased SHOP NOI guidance, but kept the midpoint per share guidance unchanged. I guess, what is offsetting the incremental earnings contribution from those acquisitions? Caroline Chikhale: Well, a lot of it -- its Cece here. A lot of it is the timing of acquisitions and when they're coming on board. That's the primary cause of keeping it where it was, you know, initially coming out the model. We typically modeled ratably throughout the year, but it's been pushed back. Jesus Garcia: Perfect. And just as you've scaled the SHOP portfolio and just added several new operator relationships, I guess what have you guys learned so far about what distinguishes operators best positioned to grow with you guys? David Boitano: So, this is Dave. The operators who are best positioned to grow, or that we've had the most interaction with, have been regional operators that know their states well, know their markets well, and really got that level of knowledge about the locality and the market dynamics and probably have other communities in that sort of general region to draw upon. So I think that gives you a lot of strength in terms of having an operator who certainly is operating your community, but they have a broader tapestry of regional resources and other things that can draw upon their resources that we will benefit from by engaging them. Operator: The next question comes from Michael Carroll with RBC. Please proceed. Michael Carroll: I wanted to dig into the updated disposition guidance a little bit more. What really drove the increase on those expected sales and loan payoffs this past quarter? Is there just one larger portfolio deal included in that, or is it comprised of several smaller transactions? Clint B. Malin: It's small. There's a number of transactions, Mike, that's involved in this. And this just goes to what we've mentioned on our previous calls, that we're going to look at our portfolio and given, you know, attractive pricing for skilled nursing, looking at being able to take advantage of that. So, this is something we've been managing, monitoring, operating, and buyers listen to our earnings call. They know that we have guided that our strategic focus is moving into SHOP. So we do receive a lot of inbound phone calls from that as well. So it's responding to people, but then also just being proactive in managing our portfolio and seeing where best risk-adjusted returns are and where we can raise capital. Michael Carroll: Okay, and then some of the cap rates achieved on those sales, looks like you're getting some pretty attractive value. Is that just like the higher coverage ratios on those deals that allows you to kind of get it to that sub-6.5% type range? Clint B. Malin: Yes. And assets we've had on the books for a long time as well. Michael Carroll: And then, Clint, is there any... J. Satterwhite: Just, you know, as you approach, when you get daylight on some of these lease terms to an opportunity to either reset rent or re-tenant it as you move towards the end of the lease, then you're able to look to that coverage as an opportunity to unlock value. Most of these transactions will be with the operators, and it works with. We feel like it's really just a win-win for both sides. They're able to control their destiny with the assets, and we're able to realize really good, attractive value for our shareholders and redeploy into higher growth assets. So it's not that we don't like the assets, it's just part of it's a function of structure. We've been very clear about what our goals are in terms of where we're going as a company. Their counterparties have their own goals. Good businesses have been good assets, but we've been looking opportunistically throughout the portfolio, reacting quickly when we get inbounds and proactively doing some outreach where we see opportunities. We'll continue to do that. But as Pam alluded to, we don't expect to do anything like that at this scale next year. Clint B. Malin: And that also helps us be able to move the needle forward as far as getting to a higher percentage of SHOP concentration, which that is a stated goal that we have had. Michael Carroll: Even though you don't expect to have a similar level next year, I mean, what type of activity still could exist? I mean, was it $730 million that's included in guidance this year? Could you do a couple hundred million of these types of sales in 2027 too? And is that contemplated at all, Clint, in that 75% goal that you put out there? Is that purely new investments that gets you to that 75% goal? Clint B. Malin: That's more new investments. But there is a likelihood of, I mean, it's a couple hundred million possibly that could happen next year. You're not going to see the magnitude of what we had this year most likely, but you could see, I think, a couple hundred million is possible. Michael Carroll: Okay. And then just last question for me on the Prestige loan repayment that's included in guidance on October 1. I mean, how confident are you that will happen in October? I mean, is there any big list that they need to achieve to get the HUD loans to be able to get that done? J. Satterwhite: Yes, not now. We feel confident, Mike. I mean, the timing, maybe a few weeks or a month or something like that, but the final commitments from HUD are in to Prestige on most of those properties. And, you know, there are a couple more outstanding, but no concerns. Performance is really strong. They meet the HUD underwriting metrics comfortably. And so now it's just a matter of kind of pulling all those together and marching toward close. So we feel confident now. We have more certainty, you know, now given those commitments, the HUD commitments that have come in to Prestige than we did, you know, when we had our last call. Operator: The next question comes from Rich Anderson with Cantor Fitzgerald. Richard Anderson: So, you know, I think, Pam, you alluded to this, but just to put some numbers around it, the normalized FFO growth rate for this year is just, you know, 1.5%. But of course, we recognize why that's happening and that it transitions to higher bottom line growth as you go forward. But if the landing point of this business, let's just use a round number, 10% core, you know, same-store SHOP growth, what would hold the company back from producing higher bottom line normalized FFO growth at that level, if not greater, you know, when you think about the end game here? Or is there any reason why it will always be, the FFO growth line will be something less than the same-store growth line? Pamela Shelley-Kessler: No, and thank you for that question, Rich, because it is the math of it, right? At 75% in 2028, that's what you're achieving. And so the only thing that would hold us back from that is not being able to execute acquisitions at the level we are currently. No. So that assumption, getting to 75% in 2028, is predicated on our current run rate for acquisitions. And right now, what we're seeing in the market, there's no reason to believe that we wouldn't get there. So it's really just the math all falling to the bottom line. You know, this has been a heavy lift transformation year, turning over the portfolio like we did, and the price we paid for it, as you noted, with 1.5% growth, was growth this year. But it was an investment we were willing to make consciously as a management team, knowing that in 2 years, the company that emerges is stronger, higher growth. Clint B. Malin: Growth and just a lot more exciting, frankly. Actually being able to recycle the capital within the portfolio, I mean, that's a triple-net older assets. I mean, it's just de-risking the portfolio as we go along. So that's actually strategically helpful to minimize the potential disruptions in the future. Richard Anderson: So I think in past conversations, and I don't think I have this wrong, but you were thinking after the pandemic, after sort of bulky SNF sales that you would more keep that steady and then just grow the SHOP business and grow your percentage of SHOP that way. But you've obviously had an epiphany about selling more SNFs, which is fine. But I am curious about who's the buyer at a 7.5% cap rate for SNFs. That's a very attractive yield for you, but what does the buyer see in that? J. Satterwhite: So the 7.5% includes, and maybe cap rate, call it implied yield, because that's the Prestige is structured as a loan. So that's Prestige. As I mentioned before -- Oh, hey, it's Gibson. As I mentioned before, the incremental sales that we're talking about, most of those are back to operators or affiliates of the operators. And, you know, they're arising from different situations, each unique. But generally speaking, as you get to, again, daylight toward the end of lease term, you're not just swapping lease yields, right? You're able to, for our shareholders, look more to the overall cash flow of the underlying operations to see if they're monetize that. And it works for the operators too. Again, they're able to, they control all the upside going forward. And they have certainty and they can plan their business and they get to control their own destiny for the asset. So we feel like it really, it's really attractive yields for us. We're really happy to redeploy that in the SHOP. But we think it works for the operators as well. And it's, you know, just practically speaking, it's a much easier transaction to do. Richard Anderson: Yes. So they just have a different agenda. So it's, you know, you're looking at different things and different opportunities from both sides. I get that. J. Satterwhite: I mean, of course, the alternative is to rebase your rent. Right. And wait now and wait till the end of the lease term and hope that margins hold up and hope that occupancy holds up and hope that reimbursement holds up and that you can be in the same spot in a couple years where you are now. And so we just think that it's much more sensible for us, given our goals, to act on that now. Clint B. Malin: And generally speaking, operators that are in leases that have good coverage, I mean, I think their objective just generally is to own the asset as opposed to lease it. Richard Anderson: Yes. Okay. And then last question for me. So 75% by the end of 2028, I mean, why not just go to 100% right? I mean like let's you know and you guys have you know exceeded expectations about that number so far in the 18 months you've been doing this. I mean let's just rip the band-aid off and go for it if we're going to do it, right? I mean, is that a possibility? Clint B. Malin: I think, Rich, we would look at the portfolio, and it's really a function of looking at what pricing is, cap rates, what's the most attractive capital we have available to us. And so I think we would continue to look at that between now and then. It could accelerate because that really, getting to that 75% is really just a function of the pacing of our existing deal flow. And if we do decide to sell assets in the portfolio to further that growth, it would just increase, get to 75% sooner and maybe surpass that. J. Satterwhite: It feels to us, Rich, like the band-aid has been ripped. And it was, it's been a lot of work getting here, but we have the platform in place to really -- if that's what we decide to do later, we feel like we have the platform in place to scale to be able to do that. But the band-aid's been ripped. Clint B. Malin: And the good thing right now too, you look at just coverage on the triple-net side as far as AL and skilled, we've got historic coverage on the skilled nursing side. So it's strong so we don't have to do anything. But if pricing is opportunistic, but we feel that within the portfolio, there's strong coverage and you never know what could happen, but we feel that there is room in that coverage to absorb any challenges if things come up from different areas as far as reimbursement, regulatory, or things that are unexpected. Operator: The next question comes from Austin Wurschmidt with KeyBanc Capital Markets. Austin Wurschmidt: Going back to that last point, Clint, I guess, how much exposure will you have to the SNF investments by year-end? And do you think that coverage across those remaining assets supports similar pricing as you're achieving on the SNF sales this year? Clint B. Malin: I would think so, yes. I mean, right now, we're probably, our NOI on skilled goes down to low 20s. That's amazing. It's a pretty dramatic shift from what it was in 2024. At the end of 2024, it was like 50%, almost 60%. J. Satterwhite: Just a year ago. If you check our Q2 supplemental, it's over 50%. Clint B. Malin: A dramatic shift. Austin Wurschmidt: Helpful. And Gibson appreciated all the detail on the core SHOP pool of assets. Was the occupancy shortfall or change to the guidance this year entirely from the memory care units or those assets or were some of the more traditional SHOP assets also impacted from some of just maybe the, I don't want to say occupancy softness, but maybe decel and the pace of improvement many had anticipated into the early part of the summer leasing season? J. Satterwhite: Yes, it's a fair question, Austin, and I don't think I was clear enough when I started out my initial answer. I think part of it is really due to the way we have it modeled, where as we started out in the beginning of the year, it was kind of a more smooth and gradual build. I think I've mentioned in response to your question last time in Q1, we saw more seasonality than we expected. So really for the first half of the year, we're probably 90 bps behind on occupancy of our own internal projections. But having said that, year-over-year, we're about 145 basis points over last year. And so the question is, okay, well, why don't you just raise your guidance? Well, I mentioned earlier that last year we saw a really steep ramp in our occupancy in the second part of the year. And as we look at the cohort of buildings that would be required to do that at this point, a lot of that is in the higher acuity, standalone memory care. We saw that in that segment last year. We've seen it to different degrees in prior years. So it's really us with business. This portfolio, this characteristics, you can have a lot of volatility and we don't want to hang our hat on last year's, on one year's results. So we're not discouraged by what's transpired so far, we're actually pretty encouraged. We're behind our own expectations a little bit on occupancy. RevPOR is higher. If you had to pick between the two, that's where you'd want to be right now. And you're seeing some of those buildings that have higher occupancy, you're seeing them start to drive rate a little bit more and charge for the care that they're providing the residents. So it's not -- last year. You were able to get that 300 basis point improvement, second half over first half. This year, we're just not modeling that same kind of growth. If we get to that growth, then we're probably at the top end of our range. But again, we're really pleased with our operator base. The business development team has done a fantastic job bringing new operators. They're great. Feel like if we can get the midpoint and in this range it's a tremendous success for our shareholders. Austin Wurschmidt: Let me ask you, when you see these periods where maybe occupancy is not improving through the quarter as quickly as you might have anticipated or underwrote, how quickly or seamlessly can you transition to push rate, like you're kind of assuming in guidance to offset that softer occupancy build? J. Satterwhite: Yes, so those things are really decoupled in the way that you're thinking about it. So if we were sitting on a 600-property same-store portfolio, we can make a top-level assumption and say, hey, occupancy is down here, we're going to tweak the whole portfolio by 50 bps, pricing 50 bps over there, and Bob's your uncle. But here we're going asset by asset. The operators look at asset by asset. They're already on the assets on the communities that were higher occupancy. They're already working on rates. And that's independent of what our total SHOP goals are. We're not going back to the operators and saying, hey, we're a little behind in our projections year-to-date and go back and increase rates. So they're really, they're two separate considerations. I understand why you're linking them, and that makes sense. And I want to make one thing clear. We're really, in my earlier comments, we're really encouraged by the strong start to Q3. So we saw occupancy accelerate at the end of Q2, we're just not banking on the same kind of increase that we saw last year. Operator: At this time I would like to turn the call back over to Clint Malin for closing comments. Clint B. Malin: Thank you for your time today. We really do appreciate the interest in following LTC, and we look forward to talking with you on our next call. Thank you. Operator: Thank you. This does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation and have a great day. 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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. LTC Properties (LTC) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in LTC Properties, Inc.? Here are five stocks we like better. LTC Properties is accelerating its shift toward seniors housing operating properties (SHOP), raising its 2026 acquisition target by 50% to $900 million at the midpoint. SHOP is expected to represent 40% of pro forma NOI by September, 50% by year-end and potentially 75% by 2028. The company also increased its 2026 dispositions and loan-payoff target to $730 million, including a projected $180 million Prestige loan payoff. Proceeds will help fund higher-growth SHOP investments, while skilled nursing NOI is expected to decline to the low-20% range of the portfolio by year-end. LTC reported second-quarter core FFO of $0.68 per share and narrowed its 2026 outlook to $2.76–$2.78 of core FFO per share and $2.83–$2.85 of core FAD per share, supported by SHOP growth but pressured by asset sales, higher interest costs and share dilution. Top 4 Healthcare REITs Turning Care Into Big Investor Payouts LTC Properties (NYSE:LTC) said it is accelerating its transition toward a seniors housing operating portfolio, raising its 2026 SHOP acquisition guidance by 50% to $900 million at the midpoint while planning substantially higher asset dispositions and loan payoffs. Co-President and Co-Chief Executive Officer Pam Kessler said the company expects to have closed $700 million of SHOP, or seniors housing operating portfolio, acquisitions by the end of September. By that point, SHOP is expected to account for 40% of pro forma annualized net operating income, ahead of LTC’s prior timetable. The company expects SHOP to reach 50% of annualized NOI by year-end through its acquisition pipeline, redeployment of proceeds from the Prestige loan payoff, and sales of lower-growth investments. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling 5 best dividend capture stocks Management said its current acquisition pace provides a path for SHOP to contribute 75% of annualized NOI by the end of 2028. Kessler said the company’s shift from a triple-net lease and lending platform to a SHOP-focused real estate investment trust is intended to increase its long-term organic growth potential for core funds from operations and funds available for distribution per share. Chief Investment Officer Dave Boitano said LTC had closed about $400 million of SHOP acquisitions from the beginning of the year through the end of July. It expects to close another $300 million by the end of the third quarter and roughly $200 million more before year-end. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Nursing Home REITs: The Surprise Heroes of High Yield Investing The $700 million in acquisitions expected to close by the end of September have an average age of nine years, with 76% in primary markets as designated by the National Investment Center for Seniors Housing & Care. The communities average about 110 units, and nearly 60% offer a continuum of care across independent living, assisted living and memory care, according to Boitano. Boitano said the company is targeting communities with characteristics that support durable performance, including asset quality, size, unit mix and market dynamics. He added that LTC has focused on relationships with operating partners, sellers and intermediaries to support its acquisition pipeline. → No Hangover: Revisiting Microsoft One Week After Earnings Co-President and Co-CEO Clint Malin said SHOP gross investments are expected to exceed $1.3 billion by the end of the third quarter, compared with a starting platform of 13 communities with a $175 million gross book value when the company launched SHOP 15 months ago. About 80% of the segment’s growth has been external, he said. During the question-and-answer session, management said it expects acquisitions to generate low- to mid-teens internal rates of return and described the assets as stabilized rather than value-add investments. Malin said the portfolio has been designed around newer, larger campuses with the ability to grow revenue through pricing, particularly amid current supply constraints. LTC increased its 2026 expectation for dispositions and loan payoffs to $730 million, or $465 million above its previous guidance. Executive Vice President of Asset Management Gibson Satterwhite said the company expects a 5.5% cap rate on rent from the incremental $465 million of sales and a 7.3% blended rate on total proceeds for the year. About two-thirds of the incremental sales are expected to involve skilled nursing properties, bringing anticipated skilled nursing proceeds to $570 million at a blended 7.5% rate. LTC also expects to sell $160 million of triple-net seniors housing assets at a 6.5% cap rate on current rent. The total includes $180 million from the expected payoff of the Prestige loan, which LTC now models for Oct. 1. Satterwhite said the revised timing reflects the HUD process, but management expects the transaction to close this year. He said HUD had provided final commitments to Prestige for most properties, with a few remaining, and that the borrower’s performance remained strong relative to HUD underwriting metrics. Management said many skilled nursing transactions involve existing operators or their affiliates. Satterwhite said the sales can allow operators to control the assets’ future upside while enabling LTC to monetize value and redeploy capital into higher-growth SHOP investments. Malin said skilled nursing NOI is expected to fall to the low-20% range of the portfolio by year-end, down sharply from more than 50% a year earlier. LTC’s core SHOP portfolio produced $13.3 million in second-quarter NOI, compared with $12.9 million of pro forma NOI in the first quarter. The company continues to expect midpoint pro forma growth of 14% in the core SHOP portfolio compared with 2025. Satterwhite said LTC raised its RevPAR assumption by 50 basis points because of pricing strength during the first half and additional rate increases planned for the second half. Occupancy was about 89.7% year to date, matching the year-earlier level and running about 90 basis points below the company’s internal expectations, though it was about 145 basis points above last year’s level on a year-over-year basis. The portfolio includes 27 properties and has a relatively high concentration of standalone memory care communities, which accounted for about 32% of units. Satterwhite said this composition can lead to more quarter-to-quarter variability. Management said occupancy accelerated late in the second quarter and that it was encouraged by the start of the third quarter, while not assuming the same sharp second-half occupancy ramp seen last year. Chief Financial Officer and Treasurer Cece Chikhale said LTC expanded its credit facility by $300 million, bringing its unsecured revolving credit line to $900 million. The company also expects to enter a new at-the-market equity agreement in the third quarter. During the second quarter, LTC sold 4.1 million common shares through its ATM program, generating $155 million in net proceeds to pre-fund SHOP acquisitions. Pro forma liquidity was $648 million at quarter-end. Debt to annualized adjusted EBITDA for real estate was 4.2 times, while annualized adjusted fixed-charge coverage was 4.9 times. Core FFO per share was $0.68 in the second quarter, unchanged from the same period of 2025. Core FAD per share was $0.70, down from $0.71 a year earlier. Chikhale attributed the FAD decline to a higher weighted average diluted share count, reduced income from skilled nursing sales and loan payoffs, and higher interest expense, partly offset by higher SHOP NOI and interest income from loans. LTC narrowed its 2026 outlook, projecting core FFO per share of $2.76 to $2.78 and core FAD per share of $2.83 to $2.85. The forecast incorporates the $900 million SHOP acquisition midpoint, expected total SHOP NOI of $71 million to $80 million, approximately $4 million of FAD capital expenditures, and $730 million of asset-sale and loan-payoff proceeds. LTC Properties, Inc (NYSE: LTC) is a real estate investment trust that specializes in financing and investing in long-term health care properties. The company focuses on providing capital to operators of senior housing and health care facilities through sale-leaseback transactions, mortgage financings and structured finance arrangements. Its portfolio primarily comprises skilled nursing facilities, assisted living communities and memory care centers. Since its founding in 1992, LTC Properties has built a diversified portfolio of properties located across the United States. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "LTC Properties Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is aggressively pivoting the business model from a triple-net lease and lending platform toward a high-growth Senior Housing Operating Portfolio (SHOP) focus. The transformation is ahead of schedule, with SHOP expected to represent 40% of pro forma annualized NOI by September 2026 and 50% by year-end. LTC is utilizing a capital recycling strategy, selling lower-growth skilled nursing facilities (SNF) at attractive pricing to fund higher-growth SHOP acquisitions. The shift to SHOP is intended to triple the company's pro forma internal growth rate and dramatically enhance long-term Core FFO and FAD per share growth. Management emphasized that the transformation involves intentional investments in operator relationships and human capital to drive durable long-term performance. The company has successfully unlocked 'trapped value' in SNF assets, creating a self-funding currency for growth-oriented SHOP investments. Strategic positioning focuses on acquiring newer, larger campuses in primary markets that fulfill contemporary consumer preferences and resist new supply competition. Increased 2026 SHOP acquisition guidance by 50% to $900 million at the midpoint, with a pathway to 75% SHOP NOI by the end of 2028. Guidance assumes $730 million in total proceeds from dispositions and loan payoffs in 2026, primarily from skilled nursing properties. The Prestige loan payoff is now modeled for October 1, 2026, following progress in the HUD process timeline. Core SHOP portfolio growth is projected at 14% for 2026, driven by strong RevPOR pricing power despite moderated occupancy build expectations. Future funding is expected to normalize to a mix of 70% equity and 30% debt once the current heavy lift of capital recycling is completed. The portfolio is undergoing a dramatic de-risking, with SNF exposure expected to drop to the low 20% range of NOI by year-end from over 50% a year ago. Management noted that while occupancy build has been slower than internal projections, RevPOR growth has outperformed, providing a hedge for NOI targets. The company expanded its credit facility to $1.1 billion, which includes a $900 million unsecured revolving line of credit to provide liquidity for the accelerated acquisition pace. A meaningful step-up in weighted average diluted shares outstanding from ATM activity is currently offsetting some of the incremental earnings from new acquisitions. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management increased RevPOR guidance by 50 basis points due to strong year-to-date pricing power and upcoming second-half increases. Occupancy guidance was moderated because the company is not 'anchoring' expectations on the steep, non-linear ramp seen in the prior year's second half. The core SHOP portfolio is heavily tilted toward standalone memory care (32% of units), which can lead to quarter-to-quarter volatility. Management expressed confidence in maintaining growth by 'adding quality to quality' through stabilized, newer assets with room to push rates. Acquisitions are targeted at high 6% to 7% cap rates with expected 7% to 8% annual growth, leading to mid-teens IRRs. The strategy avoids 'value-add' properties in favor of stabilized assets that can immediately benefit from supply constraints. Sales are often to existing operators who wish to own their assets rather than lease, creating a 'win-win' for both parties. Selling now allows LTC to monetize high coverage ratios and avoid the risks of future rent rebasing or reimbursement changes at the end of lease terms. Management clarified that while they still like the assets, the sales are a strategic necessity to reach their SHOP concentration goals.

This article first appeared on GuruFocus. Core FFO per Share: $0.68 for Q2 2026, consistent with Q2 2025. Core FAD per Share: $0.70 for Q2 2026, down from $0.71 in Q2 2025. Core SHOP NOI: $13.3 million in Q2 2026, up from $12.9 million pro forma NOI in Q1. SHOP Acquisitions Guidance: Increased by 50% to $900 million at the midpoint for 2026; closed approximately $400 million from start of year through end of July. Dispositions and Loan Payoffs: Expected proceeds of $730 million in 2026, $465 million above prior guidance. Debt to Annualized Adjusted EBITDA: 4.2 times at end of Q2. Annualized Adjusted Fixed Charge Coverage Ratio: 4.9 times at end of Q2. 2026 Guidance: Core FFO per share expected between $2.76 and $2.78; core FAD per share between $2.83 and $2.85. Total SHOP NOI Guidance: Expected between $71 million and $80 million for 2026. Warning! GuruFocus has detected 6 Warning Sign with LTC. Is LTC fairly valued? Test your thesis with our free DCF calculator. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. LTC Properties Inc (NYSE:LTC) is significantly accelerating its SHOP strategy, increasing 2026 acquisition guidance by 50% to $900 million and expecting SHOP to represent 40% of pro forma annualized NOI by end of Q3, a quarter ahead of schedule. The company projects a pathway to generating 75% of annualized NOI from SHOP by end of 2028, which would triple its pro forma internal growth rate and enhance long-term FFO and FAD growth. Core SHOP portfolio is performing well, with pro forma NOI growth of 14% at the midpoint of guidance, driven by strong RevPAR growth and accelerating occupancy at the end of Q2. LTC Properties Inc (NYSE:LTC) is executing on capital recycling at attractive pricing, with $730 million in expected dispositions and loan payoffs at a blended 7.3% cap rate, including $570 million from skilled nursing at a 7.5% cap rate. The company has strengthened its balance sheet with a $1.1 billion credit facility and pro forma liquidity of $648 million, providing financial flexibility to fund growth. SHOP acquisitions are high-quality, with an average age of nine years, 76% in primary markets, and 60% offering continuum of care, positioning the portfolio for durable long-term performance. Management expresses high confidence in the Prestige loan payoff on October 1, with HUD commitments received and strong performance, adding certainty to the year's capital plan. Core FFO per share remained flat at $0.68 in Q2 2026 compared to Q2 2025, and core FAD per share decreased from $0.71 to $0.70, reflecting dilution from ATM issuance and higher interest expense. The company's 2026 FFO growth is modest at approximately 1.5%, as the transformation year involves heavy capital recycling and reinvestment, limiting near-term bottom-line growth. Occupancy in the core SHOP portfolio is tracking below initial expectations, with year-to-date occupancy at 89.7% versus 89.7% last year, and management has moderated its occupancy growth guidance due to slower-than-expected improvement, particularly in stand-alone memory care. The increase in SHOP acquisitions to $900 million did not lead to an increase in per-share guidance, as the timing of acquisitions and associated costs offset incremental earnings contributions. The company expects to sell $730 million in assets this year, including a significant portion of skilled nursing properties, which reduces income from those assets and may signal a shift away from a stable triple-net lease model. Management anticipates that future acquisitions will be more neutral to FFO on day one, with growth expected in outer years, meaning near-term accretion may be limited. The company's transformation involves significant execution risk, including the need to continue closing acquisitions at a rapid pace and managing a growing portfolio of SHOP operators, which could face operational challenges. Q: What drove the increase in disposition and loan payoff guidance to $730 million, and what cap rates are being achieved on these sales?A: Gibson Satterwhite, EVP of Asset Management, explained that the increase is driven by a number of transactions, not one large portfolio deal. The company is proactively managing its portfolio and responding to inbound interest, taking advantage of attractive pricing in the skilled nursing market. The incremental $465 million above prior guidance is expected to sell at a 5.5% cap rate, with a blended rate of 7.3% on total 2026 proceeds. About two-thirds of the incremental sales are skilled nursing properties, expected to sell at a 7.5% cap rate, while the remaining $160 million of triple-net seniors housing is expected to sell at a 6.5% cap rate. Q: How confident are you in the October 1st payoff of the $180 million Prestige loan, and what is the status of the HUD process?A: Gibson Satterwhite expressed high confidence in the timing, noting that final commitments from HUD have been received for most of the properties, with a few more outstanding. He stated, "We feel confident now. We have more certainty now given those commitments... than we did when we had our last call." The performance is strong and meets HUD underwriting metrics comfortably, so the closing is expected to occur this year, though it could be a few weeks or a month later than October 1st. Q: With the core SHOP portfolio expected to deliver 14% NOI growth, how should we think about the growth profile of the newly acquired assets heading into 2027?A: Dave Boitano, EVP and Chief Investment Officer, stated that the acquisitions being pursued are expected to have similar dynamics, with low to mid-teens IRRs and comparable growth profiles. Pam Kessler, Co-President and Co-CEO, added that the company has not bought any value-add assets, instead targeting newer, stabilized properties with the ability to push revenue growth. The focus is on larger campuses with an average age of nine years, which are well-positioned to drive rate growth given current supply constraints. Q: How should we think about funding the continued growth of the SHOP portfolio, and will acquisitions be accretive from day one?A: Pam Kessler indicated that acquisitions are expected to be "more neutral from day one and the growth in the following year." While this year has been heavily funded by capital recycling from asset sales, next year the company anticipates a more normal course of funding, approximately 70% equity and 30% debt. This shift will result in more bottom-line growth in the gross asset value of LTC, as opposed to this year's focus on replacing low-growth investments with high-growth ones. Q: What is offsetting the incremental earnings contribution from the increased acquisition guidance, given that per-share guidance was kept unchanged?A: Cece Chikhale, CFO, explained that the primary cause is the timing of acquisitions and when they come on board. The company typically models acquisitions ratably throughout the year, but the closings have been pushed back, which impacts the earnings contribution within the current fiscal year. Q: What distinguishes the operators best positioned to grow with LTC as the SHOP portfolio scales?A: Dave Boitano highlighted that the most successful operators are regional players who know their states and markets well. These operators have a deep understanding of local market dynamics and often have other communities in the region, providing a broader tapestry of resources to draw upon. This regional expertise and resource base are key strengths that benefit LTC's SHOP portfolio. Q: Who is the buyer for skilled nursing assets at a 7.5% cap rate, and what do they see in the deal?A: Gibson Satterwhite clarified that the 7.5% cap rate includes the Prestige loan payoff, which is structured as a loan. The incremental sales are mostly back to operators or their affiliates. These transactions arise from unique situations, often as leases approach their end. Sellers can monetize the underlying operational cash flow, while operators gain control of their destiny and the upside. This structure is a win-win, allowing LTC to redeploy capital into higher-growth SHOP assets. Q: Why not accelerate the strategy and move to 100% SHOP by 2028, given the success so far?A: Clint Malin, Co-CEO, responded that the company will continue to evaluate the portfolio based on pricing and the most attractive capital available. The path to 75% is a function of the current deal flow pace, and further asset sales could accelerate the timeline or push the percentage higher. Gibson Satterwhite added, "It feels to us, Rich, like the Band-Aid has been ripped," indicating the platform is in place to scale if the company decides to pursue that path. Q: How much exposure will LTC have to skilled nursing investments by year-end, and does the coverage support similar pricing on future sales?A: Clint Malin noted that skilled nursing NOI is expected to drop to the low 20s by year-end, a dramatic shift from over 50% just a year ago. Gibson Satterwhite added that coverage on the remaining skilled nursing assets is at historic levels, providing a buffer against potential challenges. This strong coverage supports the ability to achieve similar pricing if the company decides to sell more assets in the future. Q: Was the occupancy guidance change entirely due to memory care units, or were other SHOP assets also impacted?A: Gibson Satterwhite clarified that the change is partly due to the modeling approach, which assumed a smoother occupancy build. The portfolio is behind internal projections by about 90 basis points for the first half, but is up 145 basis points year-over-year. The shortfall is concentrated in higher-acuity stand-alone memory care, which can be volatile. The company is not discouraged and saw occupancy accelerate at the end of Q2, but is not banking on the same steep ramp seen last year. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

– Increases Full-Year 2026 Mid-Point Investment Guidance to $900 Million, up 50% from Previous Mid-Point;Expects $700 Million in Year-To-Date SHOP Acquisitions by End of Third Quarter – – SHOP Now Projected to Represent 40% of Proforma Annualized NOI By End of Third Quarter, Ahead of Estimates – WESTLAKE VILLAGE, Calif., August 05, 2026--(BUSINESS WIRE)--LTC Properties, Inc. (NYSE: LTC) ("LTC" or the "Company"), a real estate investment trust that primarily invests in seniors housing and health care properties, today announced operating results for the second quarter ended June 30, 2026. "The excitement and momentum of our SHOP strategy continues, and our transformation is well ahead of previous projections. We increased the mid-point of our 2026 SHOP investment guidance to $900 million, and with an expansion of our credit facility to $1 billion, and an increase in anticipated proceeds from asset sales and the Prestige loan payoff to $730 million, we have enhanced LTC’s long-term ability to organically grow core FFO and FAD per share above historical rates," said Pam Kessler, LTC’s Co-CEO. "By the end of September, we are projecting that SHOP will represent 40% of LTC’s proforma annualized NOI, ahead of estimates, and account for nearly 50% by year-end. At our current pace, we see a pathway to generating 75% of our annualized NOI from SHOP by the end of 2028." Second Quarter Financial Results Seniors Housing Operating Portfolio ("SHOP") as of June 30, 2026 Since launching its SHOP platform in May 2025, LTC has grown the portfolio to 39 communities, representing 37% of the Company’s total gross real estate investments at July 31, 2026. The platform includes 12 operators, 10 of which are new LTC relationships. Second quarter core NOI: $13.3 million; narrowed full year 2026 core SHOP guidance range with mid-point unchanged. Acquisitions: $171 million, with an anticipated $529 million to close in the third quarter ($208 million of which has already closed). Percentage of gross investments: 32%, projected to grow to over 55% by year-end. Average property vintage: 10 years. "Our SHOP strategy continues to deliver excellent results, driving double-digit gains," said Gibson Satterwhite, LTC’s Executive Vice President, Asset Management. "As our operators continue to drive occupancy and rate growth, we are well positioned to achieve our full-year SHOP NOI guidance. We continue to see meaningful opportunities to enhance value across the portfolio, and are enthusiastic about the significant long-term growth opportunities ahead." "SHOP gross investments are expected to reach $1.3 billion by the end of September, with an average community age of nine years," said Clint Malin, LTC’s Co-CEO. "We have substantially accelerated our external growth profile through a careful and deliberate strategy, with 80% of our growth being generated externally, as a result of our ability to successfully cultivate strong operator relationships. "We have built a SHOP portfolio designed to compete effectively today, and in the future, as we continue to drive higher intrinsic growth and provide better risk adjusted returns to our shareholders." Supplemental Information Additional detailed financial information can be found in the tables below and online in the Supplemental Operating and Financial Data presentation, and Form 10-Q at https://ir.ltcreit.com. Second Quarter Transactions Update Previously disclosed acquisitions of $63 million: $13 million payoff of a mortgage loan, secured by a skilled nursing center in Texas (previously disclosed). The loan was accounted for as an unconsolidated joint venture. $10 million sale of two skilled nursing centers in Tennessee pursuant to a purchase option; recorded a gain on sale of $8 million. Conversion of two seniors housing communities in Georgia and South Carolina from the Company’s triple-net portfolio into SHOP (previously disclosed). Third Quarter Subsequent Transactions Update Previously disclosed acquisitions of $208 million: $34 million sale of a 99-bed skilled nursing center in Oregon; anticipated gain on sale is approximately $33 million. Liquidity Enhanced capital structure by increasing commitments under the Company’s credit facility by $300 million to $1.1 billion, through an expansion of its aggregate revolving credit commitment from $600 million to $900 million (previously disclosed). Anticipate entering into a new equity distribution agreement in the third quarter. $648 million total proforma liquidity: Guidance LTC increased diluted earnings per common share guidance to reflect anticipated gains on sales related to planned asset disposition of an additional $464 million. Total dispositions and payoffs for 2026 are now projected to be $730 million. Also, LTC narrowed its full year 2026 diluted Core FFO and Core FAD per share guidance with the mid-point unchanged. The following table represents updated guidance: Information and a reconciliation of the Company’s guidance, funds from operations attributable to common stockholders, excluding non-core adjustments, ("Core FFO") and funds available for distribution, excluding non-core adjustments, ("Core FAD") can be found in the tables at the end of this press release. Conference Call Information LTC will conduct a conference call on Thursday, August 6, 2026 at 8:00 a.m. Pacific / 11:00 a.m. Eastern, to provide commentary on its performance and operating results for the quarter ended June 30, 2026. Conference Call Replay A replay of the call will be available three hours after the live call through August 20, 2026. About LTC LTC is a real estate investment trust (REIT) focused on seniors housing and health care properties, principally investing through SHOP, triple-net leases, joint ventures, and structured finance solutions. The Company’s portfolio includes nearly 190 properties throughout the United States. Based on gross real estate investments, 70% of the Company’s assets are seniors housing communities with the remainder skilled nursing centers. Learn more at www.LTCreit.com. Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, adopted pursuant to the Private Securities Litigation Reform Act of 1995. Statements that are not purely historical may be forward-looking. You can identify some of the forward-looking statements by their use of forward-looking words, such as "believes," "expects," "may," "will," "could," "would," "should," "seeks," "approximately," "intends," "plans," "estimates" or "anticipates," or the negative of those words or similar words. Examples of forward-looking statements include the Company’s 2026 full year guidance and statements regarding the Company’s anticipated SHOP acquisitions, growth of core FFO and FAD, projected proforma annualized NOI, expected gross investment amount and growth, anticipated unlevered IRR, planned asset dispositions, payoffs, and gains on sale, and future strategy. Forward-looking statements involve inherent risks and uncertainties regarding events, conditions and financial trends that may affect the Company’s future plans of operation, business strategy, results of operations and financial position. A number of important factors could cause actual results to differ materially from those included within or contemplated by such forward-looking statements, including, but not limited to, operational and legal risks and liabilities under the Company’s new SHOP segment; the Company’s dependence on the ability of its third-party independent operators to successfully manage and operate the Company’s SHOP communities; the Company’s dependence on its operators for revenue and cash flow; government regulation of the health care industry; changes in federal, state, or local laws limiting REIT investments in the health care sector; federal and state health care cost containment measures including reductions in reimbursement from third-party payors such as Medicare and Medicaid; required regulatory approvals for operation of health care facilities; a failure to comply with applicable law or regulations for the operation of health care facilities; the adequacy of insurance coverage maintained by the Company’s operators; the Company’s reliance on a few major operators; the Company’s ability to find suitable replacement operators for its SHOP communities; the Company’s ability to renew leases or enter into favorable terms of renewals or new leases; the impact of inflation; operator financial or legal difficulties; the sufficiency of collateral securing mortgage loans; an impairment of the Company’s real estate investments; the relative illiquidity of the Company’s real estate investments; the Company’s ability to develop and complete construction projects; the Company’s ability to invest cash proceeds for health care properties; a failure to qualify as a REIT; the Company’s ability to grow if access to capital is limited; and a failure to maintain or increase the Company’s dividend. For a discussion of these and other factors that could cause actual results to differ from those contemplated in the forward-looking statements, please see the discussion under "Risk Factors" and other information contained in the Company’s Annual Report on Form 10‑K for the fiscal year ended December 31, 2025, the Company’s subsequent Quarterly Reports on Form 10‑Q, and the Company’s publicly available filings with the Securities and Exchange Commission. The Company does not undertake any responsibility to update or revise any of these factors or to announce publicly any revisions to forward-looking statements, whether as a result of new information, future events or otherwise. Although the Company’s management believes that the assumptions and expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. The actual results achieved by the Company may differ materially from any forward-looking statements due to the risks and uncertainties of such statements. See LTC’s most recent Quarterly Report on Form 10‑Q for Supplemental Cash Flow Information Supplemental Reporting Measures FFO, FAD, and NOI are supplemental measures of a real estate investment trust’s ("REIT") financial performance that are not defined by U.S. generally accepted accounting principles ("GAAP"). Investors, analysts and the Company use FFO, FAD, and NOI as supplemental measures of operating performance. The Company believes FFO, FAD, and NOI are helpful in evaluating the operating performance of a REIT. Real estate values historically rise and fall with market conditions, but cost accounting for real estate assets in accordance with GAAP assumes that the value of real estate assets diminishes predictably over time. LTC believes that by excluding the effect of historical cost depreciation, which may be of limited relevance in evaluating current performance, FFO and FAD facilitate like comparisons of operating performance between periods. Occasionally, the Company may exclude non-core adjustments from FFO and FAD in order to allow investors, analysts and management to compare the Company’s operating performance on a consistent basis without having to account for differences caused by unanticipated items. FFO, as defined by the National Association of Real Estate Investment Trusts ("Nareit"), means net income available to common stockholders (computed in accordance with GAAP) excluding gains or losses on the sale of real estate and impairment write-downs of depreciable real estate, plus real estate depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. The Company’s computation of FFO may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current Nareit definition or have a different interpretation of the current Nareit definition from that of the Company; therefore, caution should be exercised when comparing the Company’s FFO to that of other REITs. The Company defines FAD as FFO excluding the effects of straight-line rent, amortization of lease incentives, effective interest income, deferred income from unconsolidated joint ventures, non-cash compensation charges, capitalized interest, non-cash interest charges, recurring capital expenditures and the provision (recovery) for credit losses. GAAP requires rental revenues related to non-contingent leases that contain specified rental increases over the life of the lease to be recognized evenly over the life of the lease. This method results in rental income in the early years of a lease that is higher than actual cash received, creating a straight-line rent receivable asset included in the consolidated balance sheet. At some point during the lease, depending on its terms, cash rent payments exceed the straight-line rent which results in the straight-line rent receivable asset decreasing to zero over the remainder of the lease term. Effective interest method, as required by GAAP, is a technique for calculating the actual interest rate for the term of a loan based on the initial origination value. Similar to the accounting methodology of straight-line rent, the actual interest rate is higher than the stated interest rate in the early years of a loan thus creating an effective interest receivable asset included in the interest receivable line item in the consolidated balance sheet and reduces down to zero when, at some point during the loan term, the stated interest rate is higher than the actual interest rate. FAD is useful in analyzing the portion of cash flow that is available for distribution to stockholders. Investors, analysts and the Company utilize FAD as an indicator of common dividend potential. The FAD payout ratio, which represents annual distributions to common shareholders expressed as a percentage of... FAD, facilitates the comparison of dividend coverage between REITs. The Company defines NOI as net income (loss) (computed in accordance with GAAP) before (i) general and administrative expenses, (ii) transaction costs, (iii) write-off of effective interest, (iv) provision for credit losses, (v) impairment loss, (vi) depreciation and amortization, (vii) interest expense, (viii) gain or loss on sale of real estate and (ix) income tax benefit or expense. We use NOI to reflect the operating performance of our portfolio because NOI excludes certain items that are not associated with the operations of our properties. NOI is not equivalent to our net income (loss) as determined under GAAP. Additionally, our use of the term NOI may not be comparable to that of other real estate companies as they may have different methodologies for computing this amount. Therefore, caution should be exercised when comparing our NOI to that of other REITs. While the Company uses FFO, FAD, and NOI as supplemental performance measures of the cash flow generated by operations and cash available for distribution to stockholders, such measures are not representative of cash generated from operating activities in accordance with GAAP, and are not necessarily indicative of cash available to fund cash needs and should not be considered an alternative to net income available to common stockholders. Reconciliation of FFO and FAD The following table reconciles GAAP net income available to common stockholders to each of Nareit FFO attributable to common stockholders and FAD (unaudited, amounts in thousands): Reconciliation of FFO and FAD (continued) The following table continues the reconciliation between GAAP net income available to common stockholders and each of Nareit FFO attributable to common stockholders and FAD by reconciling the non-core adjustments (unaudited, amounts in thousands): Reconciliation of FFO and FAD (continued) The following table continues the reconciliation between GAAP net income available to common stockholders and each of Nareit FFO attributable to common stockholders and FAD (unaudited, amounts in thousands, except per share amounts): Reconciliation of FFO and FAD (continued) Guidance The following guidance ranges reflect management's view of current and future market conditions. There can be no assurance that the Company's actual results will not differ materially from the estimates set forth below. Except as otherwise required by law, the Company assumes no, and hereby disclaims any, obligation to update any of the foregoing guidance ranges as a result of new information or new or future developments. The 2026 full year guidance is as follows (unaudited, amounts in thousands, except per share amounts): The assumptions underlying the full year guidance are as follows: Gross investments estimates increased by $300.0 million at the mid-point, to a range of $700.0 million to $1.1 billion, from $400.0 million to $800.0 million. Gross investments include transactions closed to date, or expected to close in the 2026 third quarter; Asset sales and loan payoffs projections increased by $464.1 million, to $730.0 million, including $120.3 million of sales and payoffs through end of July 2026, with an anticipated gain on sale of over $300.0 million, of which $7.6 million has been recognized; SHOP NOI, inclusive of expected net investments, in the range of $71.2 million to $79.9 million, an increase from $65.1 million to $77.2 million. For the core 27-property SHOP portfolio as of the 2026 first quarter (13 initial conversions and 14 acquired properties, which excludes value-add conversions and additional acquisitions), SHOP NOI in the range of $53.5 million to $56.5 million. The assumptions underlying the SHOP NOI guidance at the mid-point are as follows: SHOP FAD capital expenditures in the range of $4.0 million to $4.4 million, or approximately $1,500 per unit annually; SHOP non-FAD capital expenditures of $12.9 million (an increase from $10.0 million), including $4.2 million announced for initial conversions, $6.8 million underwritten for acquired SHOP properties through the end of July 2026, and $1.9 million for value-add conversions of five properties; General and administrative costs in the range of $31.7 million to $33.9 million; and Adjustments to Core FFO and Core FAD include the following: Reconciliation of NOI The following table reconciles GAAP net income to NOI (unaudited, amounts in thousands): The following table provides a summary of the Company’s NOI by segment (unaudited, amounts in thousands): View source version on businesswire.com: https://www.businesswire.com/news/home/20260805049619/en/ Contacts For more information contact:Mandi Hogan(805) 981‑8655

WESTLAKE VILLAGE, Calif., July 15, 2026--(BUSINESS WIRE)--LTC Properties Inc. (NYSE: LTC) ("LTC" or the "Company"), a real estate investment trust that primarily invests in seniors housing and health care properties, today announced it will release second quarter earnings on Wednesday, August 5, 2026 after market close. LTC will conduct a conference call on Thursday, August 6, 2026 at 8:00 a.m. Pacific / 11:00 a.m. Eastern, to provide commentary on the performance and operating results for the quarter ended June 30, 2026. Conference Call Interested parties may access the live conference call via the following: Conference Call Replay A replay of the call will be available three hours after the live call and through August 20, 2026. An audio replay of the conference call and the Company’s earnings release and supplemental information package for the current period will be available on the Company’s website at: https://ir.ltcreit.com/ About LTC Properties LTC is a real estate investment trust (REIT) focused on seniors housing and health care properties, principally investing through SHOP, as well as triple-net leases, and joint ventures. The Company’s portfolio includes nearly 190 properties throughout the United States. Based on gross real estate investments, nearly 70% of the Company’s assets are seniors housing communities with the remainder skilled nursing centers. Learn more at www.ltcreit.com. Forward Looking Statements This press release includes statements that are not purely historical and are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the Company’s expectations, beliefs, intentions or strategies regarding the future. All statements other than historical facts contained in this press release are forward looking statements. These forward-looking statements involve a number of risks and uncertainties. All forward looking statements included in this press release are based on information available to the Company on the date hereof, and the Company assumes no obligation to update such forward looking statements. Although the Company’s management believes that the assumptions and expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. The actual results achieved by the Company may differ materially from any forward‑looking statements due to the risks and uncertainties of such statements. View source version on businesswire.com: https://www.businesswire.com/news/home/20260715483732/en/ Contacts For more information contact:Mandi Hogan(805) 981-8655

Interested in LTC Properties, Inc.? Here are five stocks we like better. LTC Properties is accelerating its shift to SHOP assets, saying the transition should materially change its growth profile by the end of 2026. Management expects SHOP to reach 45% of total investments and 40% of annualized NOI by year-end. The company reiterated its 2026 acquisition target of $400 million to $800 million in SHOP deals, with a midpoint of $600 million. Management said it is on pace to exceed halfway to that goal after second-quarter closings, with a strong off-market pipeline. First-quarter results improved, with core FFO per share up to $0.69 and core FAD per share up to $0.72. LTC also kept its full-year guidance intact, including core FFO of $2.75 to $2.79 per share and core FAD of $2.82 to $2.86 per share. Top 4 Healthcare REITs Turning Care Into Big Investor Payouts LTC Properties (NYSE:LTC) said it is accelerating its shift toward a seniors housing operating portfolio, or SHOP, strategy, with management telling investors that the transition is expected to materially change the company’s growth profile by the end of 2026. On the company’s first-quarter 2026 earnings call, Co-President and Co-Chief Executive Officer Clint Malin said LTC is “successfully executing” its SHOP strategy and that the company’s relationships with sellers and operators are driving “record external growth.” Management said the SHOP segment is currently projected to represent 45% of total investments and 40% of annualized net operating income by year-end. → Beyond NVIDIA: Picks-and-Shovels AI Plays with Strong Momentum 5 best dividend capture stocks “The shift in our portfolio mix is dramatically enhancing LTC’s long-term ability to grow FFO and FAD per share above our historical rate,” Malin said. The company reiterated that its 2026 guidance assumes $400 million to $800 million of SHOP acquisitions, with a midpoint of $600 million. Malin said LTC remains on track with that midpoint and expects to be more than halfway to the target after second-quarter transactions close. → 3 Ways to Target the Resources Powering AI and Data Centers Nursing Home REITs: The Surprise Heroes of High Yield Investing Gibson Satterwhite, executive vice president of asset management, said LTC is focused on optimizing risk-adjusted returns by investing in SHOP and recycling capital opportunistically. He said the expected 40% SHOP annualized NOI target includes reinvestment of about $265 million in planned dispositions and loan repayments from skilled nursing assets during the year. Of that $265 million, Satterwhite said $77 million has closed and $190 million is expected to close in the third quarter. The company’s guidance also assumes a July 1 payoff of the Prestige loan, consistent with a notice of intent received earlier in the year. → Quantum Earnings Season Is Ramping Up—What to Watch From 2 Major Players Satterwhite said first-quarter SHOP NOI was in line with expectations. For LTC’s “core SHOP portfolio,” which consists of 27 communities at or near stabilization, the company reiterated prior guidance of 14% pro forma growth at the midpoint. Management framed the portfolio transition as a significant change in LTC’s growth outlook. Satterwhite said the pro forma growth rate for the overall portfolio rises to 5% to 7% at the 40% SHOP NOI target, compared with the low 2% range embedded in triple-net leases. He attributed that improvement to increasing exposure to SHOP assets with expected growth prospects in the low- to mid-teens over the foreseeable future. During the question-and-answer session, Satterwhite said the core SHOP portfolio performed in line with expectations for EBITDAR in the first quarter. He said rates were a little higher than expected, while the company had anticipated some seasonal softness. Occupancy turned around mid-quarter, he said, adding that occupancy troughed at a higher level than in the prior year’s first quarter. David Boitano, executive vice president and chief investment officer, said LTC has spent 18 months building a platform intended to execute quickly and with certainty. He said the company has closed about $120 million in investments so far this year and has nearly $250 million on course to close in the second quarter. Boitano also said LTC has signed letters of intent for off-market third-quarter acquisitions totaling $90 million. The company has “well over $500 million” of opportunities under consideration, he said. By the end of the second quarter, Boitano said LTC expects to have 11 SHOP operators, including nine that are new to the company in the past year. He said several investments have come through partner referrals and that a number have been off-market transactions. Malin provided additional detail in response to an analyst question, saying the company has reached about $460 million in closed and expected investments through the third quarter, representing roughly 75% of the $600 million midpoint guidance. He said that amount includes eight transactions for 12 communities, with an average age of 10 years. About 65% of those deals were sourced off-market, he said, and 70% are in primary markets. The average community size is about 100 units, and 60% of the communities span independent living, assisted living and memory care. Boitano said entering yields on acquisitions have generally been “right around net 7,” though he noted that pricing varies by deal. Cece Chikhale, executive vice president, chief financial officer and treasurer, said LTC’s current liquidity is $585 million, including $95 million of year-to-date at-the-market equity sales. With $190 million of expected proceeds from asset sales and loan payoffs, Chikhale said pro forma liquidity totals $775 million. At the end of the first quarter, the company’s pro forma debt to annualized adjusted EBITDA for real estate was 4.4 times, and annualized adjusted fixed-charge coverage was 4.6 times. Chikhale said LTC remains within its stated leverage target of 4 times to 5 times and believes leverage can decline over time as a result of organic SHOP growth. Compared with the prior-year first quarter, core funds from operations per share rose $0.04 to $0.69, while core funds available for distribution per share increased $0.02 to $0.72. Chikhale said the increases were driven by SHOP acquisitions and conversions from triple-net leases to SHOP, higher interest income from loan originations and additional funding, and higher rent from market-based rent resets. Those gains were partly offset by higher interest and general and administrative expenses, mainly to support the growing SHOP portfolio, and lower rent from asset sales. LTC reiterated 2026 guidance for core FFO per share of $2.75 to $2.79 and core FAD per share of $2.82 to $2.86. The guidance includes SHOP NOI of $65 million to $77 million and FAD capital expenditures of about $5 million. Management said LTC may consider additional transactions to take advantage of attractive skilled nursing pricing and recycle capital into higher-growth SHOP assets. Malin emphasized that the company remains supportive of the skilled nursing industry and does not see immediate near-term headwinds. Malin said prior recycling activity, dating back to fall 2025, was tied to specific reasons, including reducing concentration to an operator and state, reducing the loan book, lease maturities and purchase options. He said future skilled nursing sales would be opportunistic and would be considered only if pricing supports a move into SHOP assets without meaningful dilution. Asked whether the yields on potential skilled nursing sales could be close to the roughly 7% yields at which LTC is buying SHOP assets, Malin answered yes, citing strong rent coverage. He also said LTC is not currently marketing skilled nursing portfolios but has received inbound interest. Co-President and Co-Chief Executive Officer Pam Kessler said LTC has “completely fundamentally changed” the way the company operates as it builds the SHOP platform. She said the company is hiring data analytics personnel and asset managers with experience managing SHOP portfolios, while relying on operating partners rather than acting as a manager itself. “If you’re gonna do SHOP, you have to go all in,” Kessler said. Management also discussed operator relationships. Malin said LTC would look to grow with all of the operators with which it has built relationships. Kessler said the company has not set a specific limit on the number of SHOP operators and noted that many investment opportunities are coming from operators on an off-market basis. Kessler said the company expects its SHOP portfolio to approach nearly $1 billion by the end of the second quarter, following the combination of prior conversions and new acquisitions. She said LTC’s smaller size gives it agility to pursue single-asset and small-portfolio acquisitions that can affect the company’s overall growth profile. LTC Properties, Inc (NYSE: LTC) is a real estate investment trust that specializes in financing and investing in long-term health care properties. The company focuses on providing capital to operators of senior housing and health care facilities through sale-leaseback transactions, mortgage financings and structured finance arrangements. Its portfolio primarily comprises skilled nursing facilities, assisted living communities and memory care centers. Since its founding in 1992, LTC Properties has built a diversified portfolio of properties located across the United States. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "LTC Properties Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

LTC Properties reported past first-quarter 2026 results with revenue rising to US$95.41 million, net income of US$23.59 million, and earnings of US$0.48 per share from continuing operations. Management’s continued push into senior housing operating properties (SHOP), backed by a sizeable acquisition pipeline and reaffirmed guidance, underscores the company’s accelerating portfolio transformation away from skilled nursing assets. Next, we’ll examine how LTC’s reaffirmed guidance and accelerated shift into SHOP properties affect the company’s broader investment narrative. Capitalize on the AI infrastructure supercycle with our selection of the 40 best 'picks and shovels' of the AI gold rush converting record-breaking demand into massive cash flow. To own LTC Properties, you need to believe in its pivot toward senior housing operating properties as a key driver of long term value, while recognizing the execution risk around large, externally funded acquisitions. The latest quarter’s strong revenue, reaffirmed 2026 guidance, and visible SHOP pipeline support the near term growth catalyst, but do not remove concerns that a competitive senior housing market and higher funding needs could pressure acquisition returns. The most relevant recent announcement is management’s plan to invest around US$600,000,000 in SHOP assets in 2026, lifting SHOP to a projected 45% of gross investments by year end. This accelerates the shift away from skilled nursing toward operating senior housing, amplifying both the upside from higher expected revenue growth and the risk that a crowded acquisition market or higher debt costs could weaken long term margins and cash flows. Yet behind LTC’s rapid SHOP build out, one risk investors should be aware of is how increased leverage and acquisition funding could... Read the full narrative on LTC Properties (it's free!) LTC Properties' narrative projects $717.6 million revenue and $113.7 million earnings by 2029. Uncover how LTC Properties' forecasts yield a $41.29 fair value, a 7% upside to its current price. Three members of the Simply Wall St Community currently estimate LTC’s fair value between US$41.29 and US$129.28, underscoring how far opinions can diverge. Against this backdrop, LTC’s ambitious US$600,000,000 SHOP acquisition plan raises important questions about acquisition pricing and return potential that readers may want to explore through several contrasting viewpoints. Explore 3 other fair value estimates on LTC Properties - why the stock might be worth just $41.29! Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your LTC Properties research is our analysis highlighting 4 key rewards and 4 important warning signs that could impact your investment decision. Our free LTC Properties research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate LTC Properties' overall financial health at a glance. Markets shift fast. These stocks won't stay hidden for long. Get the list while it matters: The future of work is here. Discover the 32 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. Invest in the nuclear renaissance through our list of 91 elite nuclear energy infrastructure plays powering the global AI revolution. Uncover the next big thing with 25 elite penny stocks that balance risk and reward. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include LTC. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]