from SNL Real Estate Daily
Welltower to reorganize into umbrella partnership REIT structure
Byline: Joyce Guevarra
Welltower Inc. plans to reorganize into an umbrella partnership real estate investment trust, through which a new holding company will become the publicly traded parent company, and the current company will become its wholly owned operating partnership subsidiary.
The company said the move is intended to align Welltower's corporate structure with other publicly traded REITs that can exchange property for interests in an operating partnership. This transaction may be done on a tax-deferred basis for the contributor.
The reorganization will not impact dividend payments and is not expected to affect the company's financial position.
Welltower will propose removing its pass-through vote provision during the company's 2022 annual shareholder meeting so that the conversion to a limited liability company may be approved solely by the new holding company.