About David Sedgwick
Dave Sedgwick, president and CEO of CareTrust REIT, has described the company’s May 2025 acquisition of a UK-based REIT as a “transformative deal.” The $840 million transaction added approximately 135 properties and 14 operators to CareTrust’s portfolio. Sedgwick stated that the acquisition provides “another engine of growth outside of the United States” and diversifies the company’s holdings, which have historically been concentrated in U.S. skilled nursing facilities. He noted that integrating the UK acquisition would occupy the remainder of 2025, with synergies expected to be realized in 2026.
Sedgwick has also pointed to demographic trends as a tailwind for the sector, citing a “silver tsunami” in which the population of 80- and 85-year-olds is expected to double in the coming years. He said there is an “imbalance between supply and demand” in skilled nursing and seniors housing, with facility supply declining. In 2024, Sedgwick highlighted the company’s strong balance sheet, including a fully paid-off $600 million line of credit and low debt-to-EBITDA, as positioning CareTrust for growth while competitors remain on the sidelines. He added that the company is exploring expansion into behavioral health properties and rehab hospitals, and is “looking at seniors housing more seriously” as a potential area for further diversification.
Source: AI-verified profile updated from David Sedgwick's recent appearances.
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Transcript (6 segments)
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Interviewer0:00
I'm here today with Dave Sedgwick, president and CEO of CareTrust REIT. What are some initiatives underway at CareTrust REIT that you are most excited about for the year ahead?
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David Sedgwick0:28
Well, the year ahead, the big theme is really just growth. I think a lot of the REIT land and our competitors are sort of on the sidelines because of the interest rate environment, but our company has just been built for times like this. Our balance sheet is in great shape. Our $600 million line of credit has been completely paid off. Our debt to EBITDA is the lowest it's ever been. So we have a ton of dry powder actually to take advantage of an opportunity to grow like we really never have. So we're really excited. We feel like the table's set for sizable external growth next year.
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Interviewer1:08
And what do you see the greatest potential for growth at CareTrust REIT coming from in the year ahead?
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David Sedgwick1:15
Well, listen, our pipeline is so full with our bread and butter skilled nursing and assisted living properties that we acquire. So I think most of it's going to be there. However, we have also kind of opened the sandbox a bit to include behavioral health properties, and we're even looking at expanding the sandbox further by looking at rehab hospitals and things that are a little bit up the acuity ladder from skilled nursing, post-acute, not quite acute care hospitals, but a little bit more. So I wouldn't be surprised if we did something like that. But at the same time, the pipeline is just really full of our bread and butter skilled nursing facilities that we prefer.
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Interviewer2:03
And what are some of your main priorities for CareTrust REIT as you look ahead to 2024?
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David Sedgwick2:10
Well, it's the same theme of growth. Look, we feel like there's this window of opportunity that we've just never seen before. While a lot of people, like I said, are on the sidelines, that means that there's more opportunity for us. And because the balance sheet is how it is, the only limitation for our growth is do we have a great operator to partner with, and do we have the internal capabilities to kind of digest the type of growth that we have in front of us? And so those are the two primary levers that we're going to be working on as we go into the year, making sure that we have the people and systems in place to both capitalize and then digest the growth we anticipate.
