Avamere Is Exiting Skilled Nursing. 22 of Its Facilities Are Going to This Operator.

Avamere is making good on its plan to get out of the skilled nursing business.

Sabra Health Care REIT announced Tuesday that it will transition all 26 of its leased Avamere properties to new operators — with 22 of them headed to Cascadia Healthcare, a fast-growing operator in the Pacific Northwest.

The move marks the end of an era for Avamere, which has signaled its exit from skilled nursing for months. Sabra CEO Rick Matros said the transition has been “well-planned” and is benefiting from cooperation across all parties involved.

Under the proposed arrangement, Cascadia — which currently operates more than 61 long-term care facilities across Washington, Oregon, Montana, Idaho, and Arizona — will add the 22 Avamere properties to its portfolio. The remaining four facilities will transfer to subsidiaries of an existing Sabra tenant that the REIT described as a national leader in skilled nursing.

Sabra estimates the combined annualized cash rent for the portfolio will hit $53 million once the transition closes. That’s nearly 30% higher than the $41 million Sabra collected from Avamere during the trailing twelve-month period ending March 31, 2026.

Steve LaForte, chief financial officer at Cascadia, told industry reports that all 22 facilities his organization is acquiring are located in the Pacific Northwest. He called the acquisition “an exciting one” that will expand Cascadia’s footprint and extend its mission of delivering high-quality care in the post-acute sector.

“We’re also going to grow on a more national scale,” LaForte said. He pointed to Cascadia’s leadership development programs as a key driver of that ambition, noting the company has invested heavily in training since the pandemic.

Cascadia’s approach is notably decentralized. Each facility operates as its own small business, with local leaders — called “CEOs” and “CNOs” — making the operational decisions. “There’s very little corporate decision making,” LaForte said.

The transition is expected to wrap up during the second half of 2026.

The deal is the latest sign that larger, well-capitalized chains expand their reach across the country, as smaller operators exit and new players step in to fill the gap.