Rising litigation costs and insurance rates are two of the biggest reasons a commercial health care real estate investment firm is packing up and leaving the Florida senior living and nursing facility market.

Ray Oborn, executive vice president of asset management for American Healthcare REIT, said his company will be taking a $40 million hit once the sale of all nine of its Florida assets is finalized.

“We have felt the brunt and made the decision last summer to go ahead and leave the state,” Oborn told The Florida Record. “We decided we just needed to exit.”