Item 2. Properties
Item 2. PROPERTIES
Service Center — Our primary Service Center is located at our San Juan Capistrano, California campus, which we acquired for a purchase price of $31.0 million to accommodate our growing Service Center team. The property consists of approximately 108,058 square feet of usable office space. In addition, we lease a portion of the space within the campus to third-party tenants. We also have service centers located in Tempe, Arizona; San Antonio, Texas; Dallas, Texas and Salt Lake City, Utah.
Operating Facilities — We operate 373 independent subsidiaries in Alabama, Alaska, Arizona, California, Colorado, Idaho, Iowa, Kansas, Nebraska, Nevada, Oregon, South Carolina, Tennessee, Texas, Utah, Washington and Wisconsin, with the operational capacity to serve approximately 41,000 patients as of December 31, 2025. Of the 373 facilities, we operate 253 facilities under long-term lease arrangements and have options to purchase 8 of those 253 facilities. The results of our independent subsidiaries are reflected in our skilled services segment for our skilled nursing operations and in the "All Other" category for our senior living operations. For more information about our subsequent acquisitions, see Part II., Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations.
66
Table of Contents
The following table sets forth the location of our facilities and the number of operational beds and units located at our skilled nursing, senior living and campus facilities as of December 31, 2025:
Facility Counts Bed / Unit Counts
Skilled Operations Senior Living Communities Campus Operations (1)
Total Skilled Operational Beds Senior Living Units Total Beds / Units
Texas 79 1 5 85 10,242 605 10,847
California 78 4 3 85 8,198 378 8,576
Arizona 34 1 6 41 5,170 891 6,061
Colorado 33 5 1 39 3,541 633 4,174
Utah
26 2 1 29 2,412 163 2,575
Washington 17 1 — 18 1,608 98 1,706
Idaho 14 — 1 15 1,301 21 1,322
Kansas 4 — 8 12 883 251 1,134
Tennessee 11 — — 11 1,122 — 1,122
South Carolina 9 — — 9 1,126 — 1,126
Iowa 7 — 2 9 602 31 633
Nebraska 4 1 3 8 496 199 695
Wisconsin 4 — — 4 302 — 302
Nevada 3 — — 3 483 — 483
Alaska 1 1 — 2 146 82 228
Alabama 2 — — 2 181 — 181
Oregon — — 1 1 98 50 148
326 16 31 373 37,911 3,402 41,313
(1) Campuses represent facilities that offer both skilled nursing and senior living services.
67
Table of Contents
The following table provides summary information regarding the location of our facilities, operational beds and units by property type as of December 31, 2025:
Operated Facilities
Leased without a Purchase Option Leased with a Purchase Option Owned Total
Facilities Beds/Units Facilities Beds/Units Facilities Beds/Units Facilities Beds/Units
Texas 56 6,975 2 220 27 3,652 85 10,847
California 73 7,243 — — 12 1,333 85 8,576
Arizona 24 3,515 — — 17 2,546 41 6,061
Colorado 29 3,088 1 125 9 961 39 4,174
Utah 12 1,314 2 159 15 1,102 29 2,575
Washington 12 1,085 — — 6 621 18 1,706
Idaho 9 732 — — 6 590 15 1,322
Kansas 2 147 3 325 7 662 12 1,134
Tennessee 8 822 — — 3 300 11 1,122
South Carolina 4 582 — — 5 544 9 1,126
Iowa 6 399 — — 3 234 9 633
Nebraska 5 364 — — 3 331 8 695
Wisconsin — — — — 4 302 4 302
Nevada 3 483 — — — — 3 483
Alaska — — — — 2 228 2 228
Alabama 2 181 — — — — 2 181
Oregon — — — — 1 148 1 148
245 26,930 8 829 120 13,554 373 41,313
Real Estate Properties — As of December 31, 2025, we owned 158 real estate properties in Alaska, Arizona, California, Colorado, Idaho, Iowa, Kansas, Nebraska, Nevada, Oregon, South Carolina, Tennessee, Texas, Utah, Washington and Wisconsin, which include 120 of the 373 facilities that we operate and manage. Of our 158 real estate properties, 38 operations are leased to and operated by third-party operators. One senior living facility is located on the same real estate property as a skilled nursing facility that we own and operate. We further own the real estate property of our Service Center's California location and continue to lease a portion of the office space to third-party tenants. Our Standard Bearer segment reflects the results of operations for 152 of the 158 owned real estate properties.
68
Table of Contents
The following table provides summary information regarding the location of our owned and operated real estate properties as of December 31, 2025:
Facility Counts Bed / Unit Counts
Skilled Operations Senior Living Communities Campus Operations (1)
Total Skilled Operational Beds Senior Living Units Total Beds / Units
Texas 22 1 4 27 3,077 575 3,652
Arizona 12 — 5 17 2,052 494 2,546
Utah 15 — — 15 1,102 — 1,102
California 11 — 1 12 1,291 42 1,333
Colorado 6 3 — 9 592 369 961
Kansas 2 — 5 7 495 167 662
Washington 6 — — 6 621 — 621
Idaho 6 — — 6 590 — 590
South Carolina 5 — — 5 544 — 544
Wisconsin 4 — — 4 302 — 302
Nebraska 1 1 1 3 171 160 331
Tennessee 3 — — 3 300 — 300
Iowa 3 — — 3 234 — 234
Alaska 1 1 — 2 146 82 228
Oregon — — 1 1 98 50 148
97 6 17 120 11,615 1,939 13,554
(1) Campuses represent facilities that offer both skilled nursing and senior living services.
The following table provides summary information regarding the location of our owned real estate properties as of December 31, 2025:
Owned and Operated by Ensign (1)
Owned and Leased to Third-Party Operators (1)
Service Center Total Properties (1)
Texas (1)
27 9 — 35
Wisconsin 4 22 — 26
Arizona 17 1 — 18
Utah 15 — — 15
California
12 2 1 15
Colorado 9 — — 9
Washington 6 3 — 9
Kansas 7 — — 7
Idaho 6 — — 6
South Carolina 5 — — 5
Iowa 3 — — 3
Nebraska 3 — — 3
Tennessee 3 — — 3
Alaska 2 — — 2
Oregon 1 — — 1
Nevada — 1 — 1
120 38 1 158
(1) One senior living operation in Texas, which is owned by an independent subsidiary of Ensign and leased to a third-party operator, is located on the same real estate property as a skilled nursing facility that we own and operate. In this situation, the senior living operation is included in the total under "Owned and Leased to Third Party Operators" and the skilled nursing operation is included in the total under "Owned and Operated by Ensign", however, the amount reflected under "Total Properties" only recognizes the operation as a single property.
69
Table of Contents