Core Insights - The company reported a gain of approximately $11.5 million from the sale of an inpatient rehab facility at a cap rate of 7.9%, with net proceeds reinvested into a new facility for $28.5 million, expected to yield an annual return of about 9.3% [1] - Total revenue for the fourth quarter increased to $30.9 million, reflecting a 5.6% annual growth, although it showed a slight decrease of $140,000 quarter-over-quarter [8][9] - The company is actively engaged in capital recycling, with plans for further acquisitions and dispositions, maintaining a focus on selective investment opportunities [5][19] Financial Performance - Funds from operations (FFO) for 2025 reached $13.3 million, a 4.6% increase year-over-year, while adjusted funds from operations (AFFO) totaled $14.9 million, a 2.1% increase from 2024 [10][11] - The company declared a fourth-quarter dividend of $0.4775 per share, marking a consistent increase in dividends since its IPO [6][7] Portfolio Management - Occupancy rates slightly decreased from 90.1% to 90% during the quarter, with an increase in the weighted average lease term from 6.7 to 7 years [2] - The company is undergoing redevelopment on three properties, with the largest project expected to be completed in 2026 [2] Acquisition and Disposition Strategy - The company has signed definitive purchase and sale agreements for five properties, with an expected total investment of $122.5 million [5] - The company anticipates closing on one property in the first quarter, with two more expected to close in 2026 and the remaining two in 2027 [6] Market Conditions - The company noted a high level of demand for its assets, with a cap rate of 7.9% achieved on recent dispositions, and expects similar pricing for future sales [22] - The company is seeing opportunities for acquisitions in the 9% to 10% cap rate range, while being cautious about raising capital through stock issuance at current price levels [22][30]