Select Physical Therapy Credit Rating & NNN Cap Rate (2026)

Select Physical Therapy Business Overview

Select Physical Therapy is an outpatient rehabilitation brand of Select Medical, which described itself in its 2025 Form 10-K as one of the largest operators of critical illness recovery hospitals, rehabilitation hospitals and outpatient rehabilitation clinics in the United States, based on number of facilities. As of March 31, 2026, the last quarter covered by its SEC reports, Select Medical operated 1,912 outpatient rehabilitation clinics in 37 states and the District of Columbia.

Select Medical was a public company (NYSE: SEM) until June 30, 2026, when it was acquired by Stallion Intermediate Corporation, a company formed for the merger and wholly owned before closing by WCAS XIV, L.P., a fund affiliated with Welsh, Carson, Anderson & Stowe, as part of a buyer group led by Executive Chairman and co-founder Robert A. Ortenzio and Martin F. Jackson, Senior Executive Vice President of Strategic Finance and Operations; Mr. Ortenzio, Ortenzio family trusts and Mr. Jackson agreed to contribute shares in exchange for parent stock and were expected to own about 21% of the parent after closing. Its stock was delisted, and it no longer files reports with the SEC. Select Medical spun off its Concentra occupational health business in 2024; see Concentra.

Select Physical Therapy Credit Profile

Our ratings database shows no verified rating for Select Medical Holdings Corporation, and we have no verified investment grade rating for the company. Agencies can change or withdraw ratings after a take-private, and the company no longer files public financial statements, so check the current rating and ask what financial information is available.

The tenant on a clinic lease may be a Select Medical operating subsidiary rather than the parent. Confirm the tenant entity and whether Select Medical Corporation or another parent guarantees the lease.

Ratings come from our tenant ratings database, which records the source of each rating; the footnote below shows the source and when ratings were last checked. A rating at or above BBB‑/Baa3 is investment grade; see the investment grade guide.

Source: No agency rating has been verified against a primary source. Ratings checked October 8, 2026.

Select Physical Therapy NNN Cap Rates

Live asking cap rates for Select Physical Therapy and comparable tenants:

Active listings InvestmentGrade.com tracks with an asking cap rate (stated in the listing, or computed from its stated income and price when no rate is stated), listings last observed October 12, 2026. Asking cap rates are not closed-sale cap rates. The middle half is the range from the 25th to the 75th percentile of listings. The 10-year Treasury yield is 5.24% as of October 1, 2026 (FRED series DGS10). Ratings are the agency ratings in our ratings database for the entity shown, which may be a parent company; the rating type (for example issuer, senior unsecured debt, long-term debt or revenue bond ratings) varies by company and is shown on each tenant page. A rating applies to a lease only if the rated entity signs or guarantees it, so confirm the tenant and any guarantor in the lease. n/a means no verified rating is on file. Not shown because fewer than 3 active listings with a published cap rate were observed: Select Physical Therapy, Athletico.

Compare a property with listings of the same tenant and with other outpatient healthcare tenants, and weigh the remaining term heavily: Select Medical reported that its outpatient rehabilitation clinics generally have lease terms of five to 10 years with two renewal options of three to five years (Form 10-K for 2025).

What to Check in a Select Physical Therapy Lease

• Tenant and guarantor: which Select Medical entity signs the lease and whether a parent guarantees it.
• Term: remaining term and renewal options; short terms put more weight on the location.
• Space and re-use: whether the space suits other medical or retail users, plus parking and access.
• Referral market: nearby hospitals, orthopedic practices and competing therapy clinics.
• Ownership change: the June 2026 take-private and any change in the company’s leverage or rating.

Pros and Cons

Sources: Select Medical Holdings Corporation Form 10-K for 2025, Form 10-Q for the quarter ended March 31, 2026, definitive proxy statement (May 20, 2026) and Form 8-K reporting completion of the merger (July 1, 2026).