Healthcare-focused real estate investor Welltower closed about $23 billion in property deals and debt payments as it shifts its strategic focus from medical outpatient clinics to residential facilities for seniors.
In the move, Welltower said it sold $7.2 billion of medical outpatient clinics with unspecified locations to the partnership of Remedy Medical Properties and Kayne Anderson Real Estate.
The Toledo, Ohio-based real estate investment trust is speeding up the strategic shift: Its mergers-and-acquisitions activity total of $23 billion in 2025 is a 150% increase over the same 10-month period in 2024.
The deals “are bringing us closer than ever to realizing our decade-long ambition of transforming Welltower into a pure-play rental housing platform for the rapidly aging population,” CEO Shankh Mitra said during a Tuesday conference call to discuss Welltower’s third-quarter earnings.
A Welltower spokesperson declined to comment. Remedy and Kayne Anderson did not respond to requests for comment.
Separately, Welltower bought about $14 billion of senior-living properties in the northeastern U.S. and the United Kingdom in a series of transactions that closed over the past 10 months. In one, Welltower bought a U.K. real estate portfolio from Barchester for $6.88 billion. Welltower also bought 100% of the HC One-operated U.K. care homes portfolio for $1.59 billion.
Welltower also said it had repaid about $2 billion of outstanding loans. Most of the $23 billion in total sales and acquisitions activity and loan payoffs has closed, with about $7 billion of the total expected to be completed by the first half of 2026. Most of the $7 billion worth of deals that have not yet closed are tied to the sale of properties to Remedy and Kayne Anderson.
The moves come as the Toledo, Ohio-based real estate investment trust accelerates its shift in focus. Its mergers-and-acquisitions activity total of $23 billion in 2025 is a 150% increase over the same 10-month period in 2024.
The transactions “are bringing us closer than ever to realizing our decade-long ambition of transforming Welltower into a pure-play rental housing platform for the rapidly aging population,” CEO Shankh Mitra said during a Tuesday conference call to discuss Welltower’s third-quarter earnings.
A Welltower spokesperson declined to comment. Remedy and Kayne Anderson did not respond to requests for comment.
Since its decision to refine its focus on senior-living facilities, Welltower has acquired a total of 170 senior housing communities that are in development, under construction or still in the leasing phase, Nikhil Chaudhri, co-president and chief investment officer, said during the conference call. Welltower did not identify the locations of those properties.
In the deal with Remedy and Kayne Anderson, Welltower plans to sell 18 million square feet spanning 296 properties in 34 states. Welltower said it will retain a “preferred equity position and a profits interest” in the portfolio that it’s selling to Remedy and Kayne Anderson.
“Outpatient medical real estate continues to demonstrate strong, durable fundamentals, supported by demographic trends and the ongoing shift toward cost-effective community-based care,” David Selznick, chief investment officer at Kayne Anderson Real Estate, said in a news release.
As part of its sale of properties to Remedy and Kayne Anderson, Welltower said it plans to transfer its property management business for medical outpatient clinics to those two firms. The transfer will include 170 employees who will move to Remedy and Kayne Anderson from Welltower. However, Welltower plans to continue to own other property management businesses in its overall portfolio.
For the record
Citigroup Global Markets, J.P. Morgan & Co. and Truist Securities were financial advisers to Remedy and Kayne Anderson.