Freeths advises LNT Care Developments on landmark £1.1 billion sale and leaseback transaction with CareTrust REIT

Leading law firm Freeths has advised long-standing client LNT Care Developments on its landmark sale and leaseback agreement with CareTrust REIT, involving the acquisition of the freehold interests in 45 operational and in-development care homes across England and Wales with an aggregate value of approximately £1.1 billion.

Crystal Care Collection, LNT’s operating platform, will continue to manage and operate the homes. The transaction is one of the largest healthcare real estate transactions completed in the UK care sector in recent years.

LNT Care Developments is one of the UK's leading care home developers, having delivered more than 275 care homes nationwide. The transaction provides a platform for continued investment in the development of high-quality care homes across the UK while supporting the growing demand for modern care accommodation.

As long-term advisor to LNT Care Developments, the Freeths’ Health & Social Care team worked closely alongside Slaughter and May on the entire transaction, with particular focus advising LNT on the real estate, construction, banking and due diligence aspects of the transaction. The matter drew on the team's extensive experience advising care sector developers, operators, investors and funders on large-scale portfolio transactions and complex healthcare real estate projects.

Commenting on the deal, Health & Social Care Partner Sarah Moore said: “We are delighted to have supported LNT Care Developments on this transformational transaction. The deal highlights continued investor confidence in the UK care sector and the importance of delivering high-quality, purpose-built care accommodation to meet growing demand across the country."

“Working alongside the LNT team and Slaughter and May, we were able to draw upon our in-depth understanding of the LNT platform, together with market-leading healthcare real estate, construction, banking, corporate and transactional expertise to help deliver a successful outcome on what was a significant and complex portfolio transaction.”