Today I bought 300 shares of Ventas. Inc (VTR) at a price of $66.38. This is a stock that is currently paying a 4.3% dividend and the company has been paying dividends for more than 10 years so it should be quite safe.
4/13/2015 Update: I bought an additional 200 shares of VTR today at a price of $73.63. I now have a total of 500 shares and believe this is a company that is very well managed and one that I can hold for many years.
8/19/2015 Update: The spin off of their nursing care facilities into a separate company has now taken place. Ventas shareholders were given 1 share for every 4 VTR shares they owned and you can now see the new 125 shares I got of “CCP” in my account. VTR stock went down as a result of this spin off but I now have shares of CCP to make up the difference.
**As a result of the spin off, the new cost basis for my first 300 shares is $57.81 and the new cost basis for my second buy of 200 shares is $64.14.
What Is Ventas?
Ventas is a real estate investment trust that specializes in caring for older people. With the Baby Boomer generation aging rapidly, there is no doubt that health care for them is going too explode over the next 20 to 30 years. Ventas owns or controls more than 700 retirement living facilities and more than 400 nursing facilities. Additionally it manages about 240 medical buildings all over the United States. Here is a short video showing many of their properties:
Why Did I Buy Ventas?
I don’t currently have any exposure to healthcare or the aging Boomer population so I looked around for a stock that I thought had good prospects. The 52 week high for VTR is $79.81 so at my purchase price of $66.38, I am not buying at the top. The dividend, in this low rate interest environment, is a major reason I am buying. I am happy just collecting the 4% every quarter and feel over the VERY long term, this stock has a good chance of going up. I hope to hold this stock for five years or longer.