Operating performance at Omega Healthcare Investors Inc.'s portfolio of skilled nursing facilities (SNFs) and senior housing properties continues to improve, with tenant coverage levels and occupancy trending positively. The company has funded its investment activity with a large proportion of equity in recent quarters, resulting in a material improvement to leverage. We affirmed our 'BBB-' issuer credit and issue-level ratings on the company. The stable outlook on Omega reflects our expectation that occupancy and operator coverage levels will continue improving over the next 12-24 months. As a result, we anticipate Omega will continue generating relatively stable cash flows from its portfolio of triple-net leased properties. Furthermore, we expect the company to use equity to help fund its investment activity. As
