NHI - Earnings call transcript Q4 2017 | National Health Investors, Inc.

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Colleen Schaller

Hello, everyone. This is Colleen Schaller, Director of Investor Relations. Welcome to the National Health Investors Conference Call to review the company's results for the fourth quarter of 2017.

On the call with me today is Eric Mendelsohn, President and CEO; Roger Hopkins, Chief Accounting Officer; Kevin Pascoe, Chief Investment Officer; and John Spaid, Executive Vice President, Finance. The results as well as notice of the accessibility of this conference call on a listen-only basis over the internet were released this morning before market opened in the press release that's been covered by the financial media.

me which that are are let this statements forward-looking start, call, conference not we remind any you in statements. As historical facts, risk not investors uncertainty cautions that forward-looking may NHI any and of guarantees involve are future performance. statement or as NHI's conference statements date the judgment forward-looking of of All represent this call. XX-K various in to factors the Exchange NHI Commission, for the made risk in NHI's the its XX, are urged disclosures with and Investors periodic other Securities disclosed information and Form carefully review December ended by reports filed year including XXXX. www.sec.gov on Copies website on filings are of www.nhireit.com. these the available SEC's at website at or NHI's

which Listeners terms certain Mendelsohn. are information all been X-K with Form in addition, measures. NHI's to now turn filed over Reconciliations call which encouraged used In release schedules, reconciliations are the the non-GAAP related release. financial will review has other in earnings the this and provided I the earnings call with on Eric provided SEC. are release in of and together provided that in those to tables

Eric Mendelsohn

today. Hello, Colleen. us for joining thank you you, everyone and Thank

increase As XX first financial announced an increase investments place a year, million raised discuss we ended Roger to the This later. QX, this FFO normalized in and accretive a that X.XX% as in million. nearly XXXX the year investment AFFO share million dividend, year-over-year. and in the renewal X.X% X.X value took will of per X.X% invested year. in standpoint, is an executed increase an reported lease in shareholders total XXX rent resulting the to for bringing a From From we standpoint, full through quarter. bringing in normalized earlier morning, amount strong fourth addition also our with respectively we a the We've to

for rising interest Moving We're discovery year pricing rates out public of XXXX, in of very continue rates private cap and look do capital. cost rates in price a of to and as to if seems period buyers watchful it we're respond we'll to and sort this rise, kind.

is the from widespread construction been on Kevin competition more the drops give call. front detail that's in radar, will later new reported we While seen occupancy on elsewhere. also in the haven't occupancy our

In downdraft view a that REIT pricing who in equity creates addition, choppy the opportunity bit execute. to is for are disciplined recent and and A in our well-funded is uncertain market able overdone. players

positioned For example, us has our proactive time. financial this management during well

see our will look come in more agreements back We benefits as our buying continue as a uncertainty. the amending John convertible been discuss, we've credit all debt. also result XXXX way of in acquisitions earlier to year. We'll our of that And the to forward

numbers, like working their quarter mentioned we of substantially pleased a default. payable, to decreasing the was Before in since made I'm to partner in right improvement dive technical I'd the that update give direction. the operating things last their we AP Rent in They've terms our full. significant October. say to be account paid that on in trending an continues through are

for points basis receivable January office and home other XX.X%. the and seen in well, XXX occupancy We've a as progress increased accounts they've of operational as occupancy days, XX company last such ending the efficiencies. Over of areas

the the continue through to few past operator progress encouraged Hopkins I'll Roger walk the over to in results. communication months. financial Roger? close stay with call we've the over the We turn seen and by to are now

Roger Hopkins

costs XXXX, so new a equity $XX.X capital during We've Hello, have as XXXX, had of Thanks, the level far quarter. results our risen million including and low XXXX. of during quarter, those although investments cost We enjoyed consistent Eric. fourth good during everyone. a a in reflect debt

tenant a experiencing amount full diluted were Eric per described as due expected, $X.XX of share we the than from collected issues ago. a moment is results who monthly as better Our rent

quarter the company. for AFFO this growth months. is increased Our X.X% $X.XX trend Normalized XX to compared of outlined our equity in We Form annual debt assisting in basis. in focus quarter at maintain the $X.XX commitments, XXXX, of X.X% in share tenant a to deployed million share hallmark total leverage with mix $X.XX the a over ago. XX-K. primarily period our diluted to performance $X.XX a and and of Along new management $XX on our positive a year fourth lease increased which revenues ago. fueled been over skilled XXXX. fourth for same operators on same compared $X.X investments revenue December the development announced careful that This and with of year in to of renewal one loan million as Normalized resulted low per added profile, an four to by for our nursing the of FFO one of totaling NHI's of investments X.X% we continue XXXX, growth XXX the million last to our one has a significant has quarter additional per our diluted showed fund

from quarter XXXX, expenses additions to general staff the $X.X corporate million incentive non-cash share-based our For and to of compared and were same period year administrative when one and ago, our due compensation. fourth $X.X the million compensation increased to

fourth the $XXX,XXX. compensation quarter in Our expense non-cash share-based was

also our a purchases a quarter. back note bought the during the notes of recognized convertible We due in April X,XXX,XXX of fourth portion We on opportunistically loss XXXX.

prior and XXXX over year FFO management full year. understand that is over on during revenues XXXX increased to Investors and Normalized expenses the the on XX.X% of corporate when making the NHI's team to X.X% $XXX.X the Black-Scholes For of increased on our million. incentive over on loss increased administrative share-based focus thereby expense calculated over with million our convertible primarily AFFO portion X.X% that capital. approximately due notes. annual year come compensation to who accretive AFFO a General purchase XXXX, prior XXXX, us compared our million the pricing using of increased compensation $X.X incentivized to share staff recognized and have keep additions We know the a years equity non-cash we a dividends term debt and investment to $X.X normalized long blend and of model. growth a careful ensuring have basis, per and

AFFO is our in near normalized AFFO of FFO Our investments to total currently excess new no quarterly to a rent thereby performance, which the cash into near non-GAAP dividend for measure providing income report payout and of our non-cash We share. is dividends NHI lease which XXXX of a in I'm be gives rent excludes payout to X.XX% line will escalators line our pleased for XX% straight straight calculation required. convention credit per increase accounting XX%, and a ratio ratio investments. to our XXXX result estimate for for a $X with used normalized actual

year the Moving are for evidenced optimistic for already the we on new ahead by as in XXXX, we closed have January. fact million in $XX.X guidance to investments

at with anticipates a share blended $X.XX expect lease earnings million, during commitments by other Our current investments of of per pipeline currently XX range we We investments to normalized approximately new and new in active press This million rate X%. year. estimate XXXX funding guidance having midyear range FFO normalized the X% rates of $X.XX XXXX close diluted and this of release. $X.XX is of approximately our as of AFFO shown of new $XX a to and to investments a $X.XX

of call we the move our more capital. of over I'll on volume turn new forward discuss ranges. debt now to we the have information we in in Spaid equity give investments will As year, and guidance the John who uses will our that expected further included

John Spaid

Thank you, Roger.

our weighted average maturity average For the ended at X.XX% cost were X.X years, capital times. quarter to debt EBITDA net of fixed and December coverage debt metrics annualized times, at X.X at XX, X.X charge ratio weighted debt at debt

the the NHI the it to to its EBITDA mentioned As times. and debt X net of between X in adjusted has metric maintain company is past, objective

Looking million capacity at with we the an XXX at outstanding of quarter, of the revolver, available XXX end had million. the second

debt NHI's to fourth redeem dividend our view notes, our final our to during million convertible stock the we NHI's NHI few and NHI grown more to in program become ATM, issuing XXXX. notes not notes. equity facility. any to XXXX embedded is have declares at of capacity quarter conversion a our to per dividend under engaged convertible quarterly be really price. share, at shelf available NHI expensive of the above impactful. into convertible conversion program. new our currently acquired We source million per our continue become to note, holders' and future when $XX.XX debt, its and a NHI's price through comments we X, our XXX.X price did consistently open X, and us QX, view equity The purchases since XX Turning issuance. shares steadily conversion due the equity down. from ratchets during $X.XX A notes on conversion $XX.XX convertible in in market we feature ATM quarter Because the most the stock reduction par On October value down Each to The this convertible the our share, option are notes notes of price the has not has April mature issue callable.

par value year million December entire ending in XXXX, acquired XX, the we For approximately XX.X notes.

turn of our call convertible opportunistically in We to the to future. the Kevin evaluate will now over discuss to portfolio. acquisition debt continue Pascoe I'll the the

Kevin Pascoe

Thank you, John.

Looking quarter, the times. EBITDA portfolio end ratio on was the at coverage at third overall portfolio, X.XX the the of the on

times X.XX steady and at senior portfolio's remains Our times. skilled X.XX housing was portfolio at strong performance our

been something occupancy and and still fourth top pressure the steady nursing Wage quarter, both the has is housing of at for closely. operators the that concern our Looking portfolio. held for skilled remains monitored senior

to the of solid. X.XX In not cash coverage early of our this XXXX the leases, XXXX, flu Taking with ratio managed on operating the are XX% expected lease-up. several an to quarter fees a XX-month a XXXX, on The has of developments NHI basis at and of time. senior look we the as closed at loan under remaining X.XX EBITDA ending indicators or revenue represent formas XX% at hit to year our in revenue times another is and continue ratio under living, under their positive. which September the senior overdevelopment has of and times development represents third our late XX. Fortunately, purchase is same one agreement year. of an on cash in properties Overall, NHI affecting and pro trailing portfolio arrangement. perform or Interest the a open living during end. for calendar have respective Bickford occupancy this third of structured opened widespread where quarter favorable relationship construction communities development the site EBITDA option in the of XXX% coverage our of In larger were on has ahead Virginia seeing for months performance a January impacts were of XX trailing

improve our the Survey. Occupancy the Power fourth Living named Looking in for EBITDA increased retirement has X.XX revenue Healthcare coverage third our team National fixed accounts XX with the quarters. Kudos in at and achievement. recently inaugural times their to company's XX% times. second as charge and XX% X.XX the average coverage sequential Holiday as Satisfaction quarter Corporation, cash cash of of revenue. of corporate has points basis Holiday a through to our partnership was represents of occupancy for JD NHC of quarter end Senior continued an on

that the we skilled renewal renewal existing building. acquisition of December, the nursing NHI options of lease Looking February the X% assisted of our XX.X Durham, up delighted in living is of at for expansion improvement at XXX,XXX NHI XXX-unit was part acquired of Ensign facility, of Hills, purchased lease investment existing price second on two purchase care a of we North expected our to has Woodland added an with acquisition initial committed for recent be of at negotiation was and in Oklahoma. Texas total to North the January, fixed X.XX lease relationship communities community that includes facility a tenants end in at Texas. in community Club in Living solutions, fully is be purchase to Tulsa, NHI's X.X% announced of leased Spring November announced include and previously of and investments, Group. million two joins of The which rate December, Country XXX-bed acquisition the current with The lease through million Senior Arbor a for were plus annual in was community X.XX% annual improvements, community added XXXX. in an existing in on will of that Ensign NHI's with the initial based escalators will four is affiliate set XX XXX,XXX when an Discovery Durham, an an term and to Carolina Waxahachie, independent master yield assisted XXXX. to funded escalators. The of an XX a senior investment skilled capital The with and a by to escalator The options. to in the lease plus option annual living of five-year XXXX facilities located expand NHI a In the years of comprised and $XX.X of which assets rate Carolina. inflation. Also we memory The million NHI's of nursing to opened

see opportunities investments opportunities with new remain grow of back with pipeline, both will prospects senior amount existing Turning I for to a new that, healthy With private and housing to hand Eric. under to The review. our call over we the pay large customers.

Eric Mendelsohn

With Kevin. open now we'll questions. for you, the Thank line that,

Operator

coming line Chad the Stifel. of from Vanacore [Operator first question Our Instructions] with is

Chad Vanacore

to So parse something. just I want

why impact. as occupancy from are Your in then mentioned impacted? publicly. as had take that what on hasn't occupancy you held senior material and different of and operators guess flu Can on you statements details a your be has operators that's wouldn't made have up terms housing, a a some parse other hazard to comments they seeing And

Kevin Pascoe

Kevin. Chad, it's

their are able have operators, can't move-ins some to be to of in see respective a and it stable to been our whether new what people's was changes get they're terms other choppiness. weathering flu have of to people other to what I throughout they've that as - fundamentals or speak but think more just having keep and been seeing there things and some from as seeing, been on residents talk pipeline to I what thus [indiscernible] pass we're far have portfolios, the or replace part. markets building, but as good you. we the As you, what able They're is for storm the happy people little have good their

Chad Vanacore

when So on occupancy, you are comments talking make we you are occupancy. quarter the first about or talking those lagging about

Kevin Pascoe

seeing we the stable. - to saw was quarter specific and that Well, quarter the comments what third were were we're in what fourth they

I leading we're indicators to concerned call quarter, at this too Nothing okay first think it soon it's point. or for overly that about.

it on things our say watching As the some we've talked portfolio about point, to other are or good we has been that to there people but won't are any yet. is affect not of us seen that for relates as haven't some date. The news to in at That's that disclosed it some manner hasn't widespread calls, occupancy. it

Chad Vanacore

the cap some number? like mix What's expected And in then, X% housing, that second investment half. rate assets looks for or whatever? What senior XXXX, skilled you first loans out laid it the nursing, half, X% for changes expectations of

Kevin Pascoe

our That's have bit very at is in of the to two nursing mentioned it where investments type a yield. we a development some on legend we're the for we've what yields could skilled and see development, going pipeline that asset, about higher with should based be, do buildings, a have yielding K we're still opportunities. commitments doing So, our have, We Bickford. Ensign what we some little be in which higher higher like seeing

it's of different we're different It types that adds investments. investments. - just it's So doing just not those

sites such that as at those will over higher is come those fund a the as on development, and close that that's developments. we time Our like and cadence yield

Operator

with Daniel of Securities. Bernstein line Capital One the from is question next Our

Daniel Bernstein

that the the a picking stabilizing made of holiday. not any I question you are maybe that but some them on a in for bit, XXXX, cautious you coverage a guess got on I past down statements up there and lease noise seen in the is some have trends deal, portfolio. big

Kevin Pascoe

that What little to third for occupancy that continue quarter so Dan, was front. the Kevin bit. a progress this and again. fourth that on we've is They make is far up seen

closely They've where good that one had very lately. publicity we're shown still watching happy the has occupancy improved, is they've some it's they're doing, us that. indicators that but So very how with

one it's So, they progress. make some to continue where

Daniel Bernstein

as making that that you're point? comfortable be not more any getting will you're coverage the go, forecast And is where this essentially, going to to at but coverage okay

Kevin Pascoe

we've to get that's We're was comfortable the what and third in. that they their able business. driving they're get do, It's slightly fourth that people to said from in conversations, quarters they're occupancy we business the said that's get doing what really what hospitality and basis the of, they terms seen, And based would move on lead, positive. like of

Operator

line question Jordan next Sadler KeyBanc from is Our of Markets. with Capital the

Jordan Sadler

you bit acquisitions, wanted think that but to in the there one you a Sequentially, that to number portfolio given third for I I I on which start think, to that and making curious are softer First, the was NOI with so I'm to NOI thing accustomed is your off the there noticed fact not I caused the your just nature that, come little Roger. a is quarter down. and relative anything going guys good I'm

Roger Hopkins

Yeah.

about how end fourth year. quarter. the incentive into quarter, the much compensation be We talking going know during of NHI's NOI at You're exactly had that We the the specifically. would didn't

Jordan Sadler

I'm before net thinking income, operating rent G&A? I But so net mean,

Eric Mendelsohn

operator the building Pines an picked and them, gave Jordan, this operator White to I the Eric. property so organization that Recall in swapped months want up is say, up went we and free that Bickford and Minnesota. we The out had rent. three away

seeing. there and what that building blip you're a saw So, you be might

Operator

Markets. Kim of the next is from Our with John Capital question BMO line

John Kim

just what provide prepared mentioned discovery senior color you your for assets. housing of assets assisted type more in some price on independents or? you that Can remarks Eric,

Eric Mendelsohn

Well where now prices we're are selective Won't the to value. make cap are REITs more we'll are right to and of demanding just higher that headwinds together. equity rates light discovering, going that more they it, in find and market, have if with of Not buyers I believe and out in be the we? for to but other more terms

that of that we're pricing. some to going independent nursing. deals around that nursing skilled think There's I that some much been starting what's you're care. press and see hopeful impacting so see be skilled on to with assisted on So memory seems we'll living in And

John Kim

guess at EBITDA, something times of debt X.X higher opportunistic buyers your goal some net you capacity X? balance I X. if don't maybe have see you and could sheet you to is have? And magic what's mean and X with it mentioned I up you take to the private the that But

Eric Mendelsohn

that's been standing let different company. policy say But, would say me a way. I So our a of it long

leverage We some embedded that have keep facilities pricing once changes results ratios, credit reason. unless that great for for have sense in changes get not and we certain going to do them makes on past and that we're us some that

John Kim

times that at than higher X or level Is X?

Eric Mendelsohn

what different No. calculation a we're It's publishing. than

all You of our can the as private facilities as well of inside credit it find facilities. placement

to so very note view historically sheet. finally, terms in And always that, how consideration. going manage taken then of conservative a to our like board a is that's And always our balance are I'd has

overrides of about. kind So we've everything that that talked

Operator

Our Sanabria question with is from of of the Bank next America. line Juan

Juan Sanabria

Eric, should rent of you just the senior technical that there deferral guidance. rent about your forecasting both given is and same conversation the see rent I'm portfolio housing for and your one-time Pines cut to run the delta and fourth the contemplated terms coverage be any you any if EBITDA Is so assumed from about at White Just a trying mentioned time, rate defaults, started and there your portfolio? then there's non-NHC talking in tenant on and we NOI anything or asset quarter cuts

Eric Mendelsohn

no rent There's those numbers. modeled No. in cut

Juan Sanabria

asset? on is quarter there that you And anything from coming talked dip off fourth Minnesota rolling back or that about, the

Eric Mendelsohn

accordance They've to transitioned property been with Well, new are in the rent paying is the fully paying now. rent Bickford Minnesota agreement. and

be in the numbers there wouldn't So anything there.

Juan Sanabria

Okay.

quarter a fourth paid they rent? So full

Eric Mendelsohn

No.

to for the quarter. was full the fourth January them a two so third, forward. ability for that at X, an effective option we going gave month which months rent abate paying each then And Sorry, they're with rent

Juan Sanabria

couple picking you're in fourth the extra quarter up rate? I'd quarter an of months the say run versus first

Kevin Pascoe

accounting the for didn't to the straight works, the until Even have rent. you December. they even pay Well, way fourth have line quarter, rent though,

a AFFO line have up straight will we in we pick because rent. So exclude little

Juan Sanabria

market And despite a public sheet then it about question, tick just on disconnect a sounds the using up the to capacity like, expect cap any thought balance sheet the and your comments balance sorry, that that private about you in the in fact rates to fund buyback? markets

Eric Mendelsohn

we the and buying bond something not Well, off to our are debt. board want with would we table. back be fact discuss to It do would it's point I the our convertible that

we So back are already. sense, in NHI's securities a buying

Juan Sanabria

on assumed guidance the What's in that buyback, the convertible for bond buyback?

Eric Mendelsohn

authorization almost We're finished with have that much. Not we the now.

So there won't be activity. much more

Juan Sanabria

And one me, guidance on for 'XX? G&A last for any

John Spaid

would But XX% first the We be higher Why that those, a in quarter. remind not? year. in I'll total. you G&A options, And XX% comp number increase. good recommend modeling the a of due non-cash the increase model about we those have to don't yet would vesting I for know the I of will what

Operator

the from of is [indiscernible]. question line next Our

Unidentified Analyst

realize existing you're wondering the relationships, in the in size, far small scaling or your XX and of that existing of midyear relationships by towards expected was Any been environment? general. find it's those in with but change million more I have at philosophy sample in XXXX yourself additional investments to that there? close thus familiarity looking maybe current the you Both a just Do

Kevin Pascoe

be and operators, day broaden some perspective, you go have and I and familiarity be base From is but This to able want sure diversity. having think is don't said you to have new trying We're there's philosophy. for always to relationships to relationship change make to Kevin. your there be something in to any our every the able to make

we still our looking operators relationships, in So we're portfolio. high but that seeing pipeline, our some have of to expand a quality in mix

as continue to build the we do those, well. extent So that on to we want can to

Unidentified Analyst

acquired you most in thoughts are thing The your of class focused asset given on and classes? to seems What was asset private year. last be since QX on the here other public specifically, first QX capital that

Kevin Pascoe

of notch it comfortable skill. to feel top the I side we are with don't them. very as were, skilled and out business relates think we on customers we're have We the

So relationships can if some we from extent bit we to we'd That we think, see think ones, there market a moving to, said, new of versus like I build expand can coverage it. is a where that, has way. like those where have love little I the disconnect to the been at things been looking would our

our So it's balance we evaluating to something we're still keep sure how do we want a of we and make investments.

we our something it nothing from changed underlying quality at, operator, a market, to good have criteria be it's So has but good there. would look

Unidentified Analyst

quality or it's about And higher. latest you cap to operators, to top Would X% that assets of function operator? a see given We in a the specifically in the point your closer say range. on your it your notch rates is typically differences X% been more the tolerance, your of low of risk is acquisition have or the Ensign function

Kevin Pascoe

and in shield for the the buildings to there, of have the operator, at quality the flow look sure. But building. a all that distinction the the rate the lease because cap building, customer lease as is the we're those Ensign quality to has we factors the happy I quality like into just is much of be of of would think rate the make at the I'd higher been how market, cash that

Operator

Mizuho is question from line next of Rich Anderson Securities. Our with the

Rich Anderson

first would you I something there chew So Roger, bet were investment I to a have and think the we think wage you you bit, reason less more clarity, do you you'll little if on towards outlined saying all, on, you're might it the reason what that see you if your rates, of do as rising Where more up. like we because appreciate the so that know, of pace less capital today? is your but to of guidance, in bend the a has you do kind cost might do cap because or it gone less versus or more

Eric Mendelsohn

I that to question, bet Eric. going do Kevin. we're going to on take bet at against Never I'm looking would Rich. Kevin more. I'm that Kevin. It's

and discovery uncertainty I'm see balance it one price in of made our that and we're good through recession our if do wars to opportunities need that the I who leverage have So going the shape we good guys we be of great sheet, because and pounce the strong and think of going low to. some more to if we're to and ready some

Rich Anderson

think a about I go was other the question buyback, Juan maybe asked I And would who it but the direction.

came You're table of the feel trading you great moment? completely is Would something kind about discussion you NAV at point if off make willing along. does the buyback or use How notwithstanding right that around this really now. right convertible consensus be your that program, to equity at

Eric Mendelsohn

we to pay attention recommend to lot isn't us funny, below of above didn't on were do NAV a it's would and the NAV. sell NAV. I we analyst community Well, And picked high and because so hesitate equity it, us

what leverage. X.X it's we at were But, here are, opportunity. So we buying a

a XXX us draw have credit we million our on headroom XXX our revolver to it. needed probably give that so on of would We we could million and if lot that

Roger Hopkins

And in our to have dividend all additionally, capture on HUD. we our year $XX over make we we cash after payments, and principal a payments million of

Eric Mendelsohn

foreign private And with this. about are in equity, public. one shares There thought, are Rich, selling there last investors. think There's other about our think JVs besides equity this,

if equity to selling without ways under shares other your NAV. there's So supply they're

Rich Anderson

you so under you're now? NAV believe But trading

Eric Mendelsohn

haven't I checked this morning.

Roger Hopkins

rate assume our NAV you have a is cap in lines. the eye on various beholder, of right, to because product the

different. little So bit is everybody's NAV a

Rich Anderson

eye consensus not? the - I you're What beholder. higher, mean, think? of So do NAV the the not too is in suggest if inclined you to - you're your you're you're

Roger Hopkins

Right. That's to for you decide. guys

Rich Anderson

mentioned, wondering AFFO a seen stands? zone that I number to, an your I'm it basis. where but where if XX% not clearly your it danger if to me, policy curious manage thinking. was in life just for higher on that It's cycle, think is just of payout you've curious or you of Last it's question number Roger, relative line driven than that lower is you course,

Roger Hopkins

Rich, been going we've we that a investments. excess those And meetings it's percentages down and it cash policy, an redeploying in that board something but expectation is sort have of have that been not and of new growing. as at discuss the using board we

just So, evolved something that favorably. it's our has to

Rich Anderson

Right.

more see to be XX, to the go that XX fair? XX, you'd So likely not is to

Roger Hopkins

correct. That's

Operator

is Instructions] Capital Sadler KeyBanc Our Markets. next with [Operator question from Jordan

Jordan Sadler

the convert sense think trying you get yield was of at or Were viewed strip it? most that? on a I I worst was that said John you how your to yield the capital. looking you to PC the expensive

John Spaid

Because cost right? that's really So, doing of something we what a the can with isn't than have do convert done. No. not other anything we complete convert,

to have really out October ultimate XXXX find to cost to basically what is its going until wait be. We

kind instrument. the we out So of us about laid what's troubling

Jordan Sadler

understand as More you your up sounds par? am what ratchet expensive dividend like? paid it to you trying I to relative

John Spaid

trades Well, I'm and program for couple and get look it, back of not the a last if but can go because I the instrument going ongoing, of like Bloomberg quarters to and and got we've kind mean sense. you some thinly it's you looked at see have very what go tell a you, traded on

Jordan Sadler

is, but the whole And thing I'm not or this What's big the sure you program would buy back XX appetite? so out ultimately, of how eventually? sort take another you

John Spaid

offer have out rule undefined very with problem there we as that program. to what be careful this do we this about have tender is a the way doing Well, it we

and optimistic about what need you we And can So, piece kind you be that expensive way, that future about then this is to that see you know we we pretty careful say. a paper. to just just wanted about we're if think of let it very of our

Jordan Sadler

other question good seeing I Eric, the the also there volatility your harking Obviously, the but pricing the regarding to in in stock back potential guess volatility just days? we're is, on opportunity. and the market seeing curious in you're markets, price I'm these side? for capital my comment asset Are your assets private opportunities what

Eric Mendelsohn

I'm going take Kevin one. that to let

Kevin Pascoe

in and senior do like housing to still are us playing plays and and or out We're been see which those portfolios we've that's existing be relationships some in people trying some buildings, strength, the our not has smaller we we're there, rocks cultivating wood what's like available, it some to feel some good feel good like able some to but we talking the I create on, relationships, been going got operators every or is for to meaningful that. everything day there but sure day to keep ones, there turning what we still more feel do opportunity through new type I market, do but assets. see for that's transactions piece We like think there Sure. just we to market is on put over pay, able with private good discovery to and still to we're make every seeing can and feel chopped

Operator

further There are the turn no back now presenters closing questions call the to this will at for remarks. I time.

Eric Mendelsohn

seeing you to and today for NAREIT. right. and look NYC forward your we'll for Thanks all at All time everyone attention

Operator

for that disconnect We gentlemen, conference and conclude for thank you please your participation call that lines. you and your Ladies does ask the today.

National Health Investors (NHI) 16 Feb 182017 Q4 Earnings call transcript