National Health Investors plans an initial public offering of 4 million shares of convertible preferred stock.
The proceeds would be used to pay off debt, acquire additional properties and fund mortgage loans and construction projects.
The preferred shares haven't been priced yet, but NHI's common shares closed at $27.38 on Feb. 7. Subject to certain conditions, the convertible stock will be redeemable for common stock on or after Dec. 31, 1998. If the company were liquidated for any reason, the preferred stock would be worth $25 per share.
NHI has applied to have the convertible shares listed on the New York Stock Exchange under the symbol NHIPr.
The Murfreesboro, Tenn.-based real estate investment trust has investments in 176 healthcare facilities in 25 states.