Diversified Healthcare Trust (NASDAQ:DHC) Q3 2023 Earnings Call Transcript

Jennifer Francis: Yes. So they are — it is across — the properties are across all of our operating segments. It’s a pretty challenging time right now to sell assets. We feel pretty positive about the properties that we’ve picked. We picked the assets that we believe have the most desirable characteristics for buyers. Yes, it’s really not a market for large portfolio sales. So I think that these dispositions will be in small bite-size dispositions, 1, 2, 3 assets maybe some much smaller portfolios, but it’s certainly not 1 or 2 or 3 large portfolios. It’s a pretty — like I said, it’s a challenging time to sell assets, but because of the quality of these assets, we think that we’ll be successful. We’re out with — I would — close to $1 billion in assets that we’ve — that we’re engaging brokers with.

Bryan Maher: That’s good color. And we’ve come across articles saying that entities like Bain Capital have an over $2 billion fund looking to buy assets in your world. And I suspect that Ventas and Welltower might be interested as well. But I’ll leave that up to you guys and your brokers. Last for me on — and I know you didn’t really want to go too far down this road on the credit facility. But would you say that the bank group is receptive to your overtures? And if you were to look for an extension, are you kind of thinking 6 months or a year? Just any broad strokes there would be really helpful.

Matt Brown: Yes, Bryan, it’s tough to provide too much color because we are in ongoing negotiations. Thus far, we’ve been dealing with the admin agent. And we believe we’ve reached terms with them. And now it’s really engaging in the rest of the bank group, and we need approval from 100% as it relates to a maturity extension, we’d love to get a year, but it’s too early to really definitively say at this point.

Operator: [Operator Instructions] And ladies and gentlemen, I’m showing no additional questions. I’d like to turn the floor back over to management for any closing remarks.

Jennifer Francis: Thank you, and thank you all for joining our call today. Operator, that concludes our call.

Operator: And ladies and gentlemen, with that, we’ll conclude today’s conference call and presentation. We thank you for joining. You may now disconnect your lines.