NEW YORK — American Realty Capital Healthcare Trust II Inc., a non-traded real estate investment trust (REIT) that invests mostly in healthcare facilities like medical office buildings and seniors housing properties, has completed its $2.1 billion non-listed, initial public offering (IPO). The company has invested approximately $1.84 billion in healthcare properties through Dec. 31, 2014, including those under contract.
ARC Healthcare Trust II expects to deploy all of the net proceeds available for investment by the end of the first quarter of 2015.
“We would like to thank our broker dealer partners and the thousands of financial advisers for the confidence they have shown in us through their support of the capital raise,” says Thomas D’Arcy, CEO of ARC Healthcare Trust II. “We believe the depth and experience of the entire ARC Healthcare Trust II team, coupled with our deep relationships within the healthcare industry, have played a key part in the company’s ability to deploy capital in a disciplined and highly effective manner.”
The company had registered a maximum 82.7 million shares of its common stock, or $2.1 billion, including shares registered under the company’s distribution reinvestment plan (DRIP) based on its public offering price of $25 per share in connection with its primary offering.
During the term of the offering from Feb. 14, 2013 through Nov. 17, 2014, the company raised $2.1 billion in total equity resulting from the sale of 83.5 million shares, including sales through the company’s DRIP.
In June 2014, Ventas Inc. purchased ARC Healthcare Trust II’s predecessor, American Realty Capital Healthcare Trust, for $2.6 billion.
ARC Healthcare Trust II’s portfolio is concentrated in the Midwest and Southeast. The REIT’s first purchase was a dialysis center leased to Fresenius Medical Care Holdings Inc. in Winfield, Ala., which the REIT purchased in May 2013.
ARC Healthcare Trust II is sponsored by American Realty Capital, which manages 12 public, non-traded alternative investment offerings including New York REIT and American Realty Capital Properties.
— John Nelson