SUNRISE SENIOR LIVING, INC. 
By MCLEAN, Va., April 16, 2012 /PRNewswire via COMTEX/ --Sunrise Senior Living, Inc. (NYSE: SRZ) announced today that on April 16, 2012, the subsidiaries of joint ventures between the Company and an institutional investor have entered into a binding purchase and sale agreement to sell 16 communities to Ventas, Inc., for a purchase price of $362 million. Sunrise will receive approximately $28 millionfor its 20-percent ownership interest in this portfolio. As part of this transaction, Sunrise will remain the manager of these 16 communities under the preexisting terms relating to management fees and contract length, which now range from 18 to 27 years.
Sunrise CEO Mark Ordancommented: "This is another positive event for Sunrise as it demonstrates the value of our purpose-built assets, provides us with additional capital, and reaffirms our positive and growing relationship with Ventas."
The transaction is expected to close in the second quarter of 2012. However, there can be no assurance that the transaction will close or as to the timing of any closing.
About Sunrise Senior Living
Sunrise Senior Living, a McLean, Va.-based
company, employs approximately 31,600 people. As of
December 31, 2011, Sunrise operated 311
communities located in the United States,
Canadaand the United Kingdom, with
a unit capacity of approximately 30,700 units. Sunrise offers
a full range of personalized senior living services,
including independent living, assisted living, care for
individuals with Alzheimer's and other forms of memory
loss, as well as nursing and rehabilitative services.
Sunrise's senior living services are delivered by staff
trained to encourage the independence, preserve the dignity,
enable freedom of choice and protect the privacy of
residents. To learn more about Sunrise, please visit http://www.sunriseseniorliving.com.
Forward-Looking Statements
Certain matters discussed in this press release may be
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Although Sunrise
believes the expectations reflected in such forward-looking
statements are based on reasonable assumptions, there can be
no assurance that these expectations will be realized.
Sunrise's actual results could differ materially from
those anticipated in these forward-looking statements as a
result of various factors including, but not limited to; the
risk that we may not be able to successfully execute our plan
to sell certain assets mortgaged pursuant to our German
restructure transaction or the net sale proceeds of the
mortgaged North American properties may not be sufficient to
pay the minimum amount guaranteed by Sunrise to the lenders
that are party to the German restructure transactions; the
risk that we may be unable to reduce expenses and generate
positive operating cash flows; the risk that, as a result of
our fully drawn line of credit with KeyBank National
Association, we may be unable to generate sufficient cash
from operations to fund our operations; the risk of future
obligations to fund guarantees to some of our ventures and
lenders to the ventures; the risk of further write-downs or
impairments of our assets; the risk that we are unable to
obtain waivers, cure or reach agreements with respect to
existing or future defaults under our loan, venture and
construction agreements; the risk that we will be unable to
repay, extend or refinance our indebtedness as it matures, or
that we will not comply with loan covenants; the risk that
our ventures will be unable to repay, extend or refinance
their indebtedness as it matures, or that they will not
comply with loan covenants creating a foreclosure risk to our
venture interest and a termination risk to our management
agreements; the risk that we are unable to continue to
recognize income from refinancings and sales of communities
by ventures; the risk of declining occupancies in existing
communities or slower than expected leasing of newer
communities; the risk that we are unable to extend leases on
our operating properties at expiration; the risk that some of
our management agreements, subject to early termination
provisions based on various performance measures, could be
terminated due to failure to achieve the performance
measures; the risk that our management agreements can be
terminated in certain circumstances due to our failure to
comply with the terms of the management agreements or to
fulfill our obligations thereunder; the risk that ownership
of the communities we manage is heavily concentrated in a
limited number of business partners; the risk that our
current and future investments in ventures could be adversely
affected by our lack of sole decision-making authority, our
reliance on venture partners' financial condition, any
disputes that may arise between us and our venture partners
and our exposure to potential losses from the actions of our
venture partners; the risk related to operating international
communities that could adversely affect those operations and
thus our profitability and operating results; the risk from
competition and our response to pricing and promotional
activities of our competitors; the risk that liability claims
against us in excess of insurance limits could adversely
affect our financial condition and results of operations
including publicity surrounding some claims that may damage
our reputation, which would not be covered by insurance; the
risk of not complying with government regulations; the risk
of new legislation or regulatory developments; the risk of
changes in interest rates; the risk of unanticipated
expenses; the risks of further downturns in general economic
conditions including, but not limited to, financial market
performance, downturns in the housing market, consumer credit
availability, interest rates, inflation, energy prices,
unemployment and consumer sentiment about the economy in
general; the risks associated with the ownership and
operation of assisted living and independent living
communities; other risk factors contained in the
Company's Form 10-K filed with the SEC on March 1,
2012. The Company assumes no obligation to update or
supplement forward-looking statements that become untrue
because of subsequent events. Unless the context suggests
otherwise, references herein to "Sunrise," the
"Company," "we," "us" and
"our" mean Sunrise Senior Living, Inc. and our
consolidated subsidiaries.
Investor Relations Contact
Tim Smith, 703-854-0348
Media Contact
Meghan Lublin, 703-854-0299
SOURCE Sunrise Senior Living, Inc.
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