Attached files
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EX-99.1 - Sentio Healthcare Properties Inc | v206772_ex99-1.htm |
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of
the
Securities Exchange Act of 1934
Date of
Report (Date of earliest event reported):
December
22, 2010
CORNERSTONE
HEALTHCARE PLUS REIT, INC.
(Exact
name of registrant as specified in its charter)
Maryland
|
000-53969
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20-5721212
|
(State
or Other Jurisdiction of
Incorporation)
|
(Commission
File Number)
|
(I.R.S.
Employer Identification
Number)
|
1920
Main Street, Suite 400
Irvine,
California 92614
(Address
of principal executive offices)
(949)
852-1007
(Registrant’s
telephone number, including area code)
Not
Applicable
(Former
name or former address, if changed since last report)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligations of the registrant under any of the following
provisions.
o
|
Written communications pursuant
to Rule 425 under the Securities Act (17 CFR
230.425)
|
o
|
Soliciting material pursuant to
Rule 14a-12 under the Exchange Act (17 CFR
240.14d-2(b)
|
o
|
Pre-commencement communications
pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b)
|
o
|
Pre-commencement communications
pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c)
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ITEM 1.01
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ENTRY INTO A MATERIAL DEFINITIVE
AGREEMENT
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The
information in this report set forth under Item 2.03 regarding the financing
arrangements entered into in connection with the acquisition of the Carriage
Court property (which is described in Item 2.01) is incorporated herein by
reference.
ITEM 2.01
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COMPLETION OF ACQUISITION OR
DISPOSITION OF ASSETS
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Carriage
Court
On
December 22, 2010, through a wholly-owned subsidiary, we purchased an assisted
living property, Carriage Court of Hilliard (“Carriage Court”), located in
Hilliard, Ohio. The property was purchased from an affiliate of Wilkinson Real
Estate, a non-related party, for a purchase price of approximately $17.5
million. The acquisition includes a $0.5 million hold back feature to which we
maybe entitled based on quarterly and annual thresholds defined in the purchase
and sale agreement. The acquisition was funded with proceeds raised from
our ongoing public offering and assumption of a mortgage loan from an
unaffiliated lender.
Carriage
Court is an assisted living facility with a total of 102 units, including 64
assisted living units and 38 memory care units, in an approximately
70,000 square feet building that was constructed in
1998. The property is currently 96% occupied. The property is
located in Columbus, Ohio, in the western suburb of
Hilliard. Columbus is the state capital of Ohio and the state’s third
largest city, with over 2,000,000 residents. Nearly all of the large national
senior housing operators have a presence in the Columbus metropolitan
statistical area.
ITEM 2.03
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CREATION OF A DIRECT FINANCIAL
OBLIGATION.
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On
December 22, 2010, in connection with the acquisition of Carriage Court, we
entered into an assumption of an existing mortgage agreement with Red
Mortgage Capital Inc. Pursuant to this agreement, we assumed the
outstanding principal balance of approximately $13.7 million. The loan
matures in August 1, 2044 and bears interest at a fixed rate of 5.40% per annum
over a 35 year amortization period. Principal and interest on
the loan is due and payable monthly until the maturity date. We may prepay in
whole or in part upon 30 days advance written notice to the lender subject to
prepayment premium defined in the mortgage agreement.
ITEM 9.01
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FINANCIAL STATEMENTS AND
EXHIBITS.
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(d)
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Exhibits
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99.1
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Press
Release dated December 29, 2010
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SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, as amended, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
CORNERSTONE
HEALTHCARE PLUS REIT, INC.
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Dated: December
29, 2010
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By:
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/s/
Sharon C. Kaiser
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Sharon
C. Kaiser,
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Chief
Financial Officer
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