Omega Healthcare Transitions 32 Florida Facilities to PACS Group

Executive Summary

On October 5, 2026, Omega Healthcare Investors, Inc. (NYSE: OHI) filed a Form 8-K furnishing a press release under Item 7.01 (Regulation FD Disclosure). The announcement details the completed transition of 32 skilled nursing facilities located across Florida from affiliates of Airamid Health Services, LLC to subsidiaries of PACS Group, Inc. (NYSE: PACS), effective October 1, 2026.

Transaction Structure & Financial Terms

• Portfolio: 32 skilled nursing facilities in Florida.
• Master Lease Expansion: The 32 facilities will be integrated into Omega's existing master lease agreement with PACS Group.
• Rent Enhancements: Contractual rent is scheduled to increase by $26.1 million in Year 1 and by an additional $2.5 million in Year 2, accompanied by 2.0% annual contractual escalators thereafter.
• One-Time Transition Cost: Omega recognized a one-time expense of approximately $90 million associated with facilitating the transition.

Strategic Implications

This transaction exemplifies Omega's active portfolio management strategy, transferring underperforming or legacy operator assets into the hands of PACS Group, an expanding operator with clinical and operational momentum. While Omega absorbs a significant $90 million one-time upfront expense, the multi-year contractual rent increases are expected to provide accretive long-term cash flows and strengthen portfolio credit quality.