Healthcare Realty Trust Incorporated · NYSE:HR
Healthcare Realty Trust — Healthcare Trust of America — Investor Presentation (July 2014)
21 slides from Healthcare Realty Trust's investor presentation, Jul 9, 2014
Slide 1: Healthcare Trust of America, Inc. Shareholder Presentation
JULY 2014 Healthcare Trust of America, Inc. (HTA) Shareholder Presentation Exhibit 99.1
Slide 2: Forward Looking Statements
Leading owner of Medical Office Buildings Forward Looking Statements This document contains both historical and forward-looking statements. Forward-looking statements are based on current expectations, plans, estimates, assumptions and beliefs, including expectations, plans, estimates, assumptions a
Slide 3: HTA Summary
HTA Summary 3 Dedicated Medical Office Building Owner Core, Critical Real Estate Nationally Focused Asset Management & Leasing Platform Disciplined, Accretive Investments Strong, Conservative Investment Grade Balance Sheet Unique Corporate Focus & Execution in Attractive Sector
Slide 4: HTA Overview
HTA Overview 4 • We believe MOBs are attractive investments given their long term performance o Stable asset class – defensive cash flows o Long-term appreciation through well located and efficient properties o Strong outlook for continued tenant demand • Healthcare is experiencing significant growt
Slide 5: Experienced Management Team
Experienced Management Team Scott D. Peters Chairman, CEO, and President • Co-Founded HTA in 2006 (NYSE 2012) • CEO & Director of Grubb & Ellis (NYSE), ‘07-’08 • CEO & Director of NNN Realty Advisors, ‘06-’08 • EVP, CFO, Triple Net Properties, Inc., ‘04-’06 • Co-Founder, CFO & Director of Golf Trust
Slide 6: Execution Since NYSE Listing
Execution Since NYSE Listing 6 Lincoln Medical Center Lincoln, CO | Acquired 2013
Slide 7: Accomplishments Since NYSE Listing
Accomplishments Since NYSE Listing 7 HTA listed its shares on the NYSE on June 6, 2012. Since then, we have executed on all aspects of our company philosophy, delivering superior returns for our shareholders. • Grew quarterly Normalized FFO per Share by 29% to $0.18 in 1Q14 • Operated our portfolio
Slide 8: Strong Execution Equals Strong Shareholder Returns
NYSE Listed Strong Execution Equals Strong Shareholder Returns 8 • Strong, predictable dividend. Current yield of 4.8% • Since Founding: Total Returns of 103%, over 9.5% per annum (1/1/2007 to 6/30/2014) • Significantly outperformed RMZ and S&P during both of these periods HTA Total Returns Since In
Slide 9: Company & Sector Overview
Company & Sector Overview 9 Largo Medical Center Largo, FL | Acquired 2013
Slide 10: Favorable Macroeconomic Trends
Favorable Macroeconomic Trends 10 Aging Population Healthcare Sector is Growing Sources: Centers for Medicare & Medicaid Services, U.S. Census Bureau, Bureau of Labor Statistics, Congressional Budget Office, Rosen Consulting Group 41% 38% 25% 24% 24% 18% 11% 0% 20% 40% 60% Occupational Therapists &…
Slide 11: MOB Supply And Demand
MOB Supply And Demand Sources: Marcus & Millichap, Rosen Consulting Group 11 Limited New Supply • Rental rates are still below 2008 levels • Rates are now experiencing positive growth • Supply and demand could have favorable impact on rates in the future • Barriers to entry for On-Campus MOBs • Reco
Slide 12: Portfolio Overview
Portfolio Overview 12 GHS Patewood MOB A Greenville, SC| Acquired 2009
Slide 13: National Portfolio That Is Traditional Real Estate
Leading owner of Medical Office Buildings National Portfolio That Is Traditional Real Estate 13 Key Markets * As of 03/31/14, including announced acquisitions closed or under contract National Portfolio: Presence in 27 States Lincoln Medical Center Lincoln, CO | Acquired 2013 % b y G LA Operating Po
Slide 14: National Property Management & Leasing Platform
Leading owner of Medical Office Buildings National Property Management & Leasing Platform 14 Lincoln Medical Center Lincoln, CO | Acquired 2013 In-House Property Management Fully Integrated Platform for Tenant Satisfaction 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 2010 2011 2012 201
Slide 15: Strong Portfolio Growth from Asset Management
Leading owner of Medical Office Buildings Strong Portfolio Growth from Asset Management 15 Strong Portfolio Fundamentals = Same Store Growth Portfolio Escalators Increasing Occupancy Improving Operating Efficiencies for Savings Operating Performance is Strong • Same Store Growth over 3.0% for last 6
Slide 16: Investments Overview
Investments Overview 16 Forest Park Tower Dallas, TX| Acquired 2013
Slide 17: Investment Criteria
Leading owner of Medical Office Buildings Investment Criteria 17 Disciplined growth while focused on maintaining a strong balance sheet Key Investment Criteria (i) On-Campus – Core, Critical Real Estate (ii) Affiliated with dominant health system expanding on-campus (iii) Ability to service with HTA
Slide 18: Recent Acquisitions
Leading owner of Medical Office Buildings Recent Acquisitions 18 Acquired 2014 | $69 Million Acquired 2013 | $64 Million Acquired 2013 | $29 Million Acquired 2013 | $49 Million Acquired 2013 | $40 Million Acquired 2013 | $20 Mil io
Slide 19: Financial Policies and Performance
Financial Policies and Performance 19 Texas A&M Health Science Center Bryan, TX| Acquired 2013
Slide 20: Strong, Flexible Balance Sheet
• $27 million of unrestricted cash as of 03/31/14 • $575 million credit facility availability as of 03/31/14 • Weighted average borrowing cost of 3.82% • Weighted average debt maturity of 5.0 yrs3 Strong, Flexible Balance Sheet Total Debt / 2014 EBITDA2 03/31/2014 Capital Structure1 1 Based on gross
Slide 21: HTA – Company Highlights
HTA – Company Highlights Medical Office Building Specialist 91.2% Leased Rate in Defensive, Growing Asset Class Low Leverage, High Liquidity Strong Industry & Macroeconomic Trends 21 Portfolio Expansion through Disciplined Acquisitions Strong Historical Returns
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