Healthpeak Properties, Inc. · NYSE:DOC
Healthpeak Properties — Investor Presentation (November 2024)
25 slides from Healthpeak Properties's investor presentation, Nov 4, 2024
Slide 1: Investor Presentation November 2024
Investor Presentation November 2024 The Hangar on Vantage Campus South San Francisco, CA
Slide 2: Disclaimers
Disclaimers This Healthpeak Properties, Inc. (the “Company”) presentation is solely for your information, is subject to change and speaks only as of the date hereof. This presentation is not complete and is only a summary of the more detailed information included elsewhere, including in our Securiti
Slide 3: About Healthpeak
About Healthpeak Healthpeak is a leading owner, operator, and developer of real estate for healthcare discovery and delivery. Our real estate is uniquely positioned to benefit from the aging population and universal desire for better health with purpose-built lab campuses and a high-quality outpatie
Slide 4: Why Invest in Healthpeak
Why Invest in Healthpeak 4 ▪ Double digit earnings growth over the last three years (FFO as Adjusted +12% | AFFO +16%) ▪ Increased midpoints of 2024 guidance for FFO as Adjusted and AFFO by +4 pennies and same-store growth by +100 basis points vs original 2024 guidance ▪ Merger synergies tracking to
Slide 5: Under-Levered Balance Sheet with $500M to $1B of Dry Powder
Under-Levered Balance Sheet with $500M to $1B of Dry Powder for Accretive Investments Debt Maturities 5 1) Credit metrics and debt maturities as of 9/30/24. Refer to 3Q24 Non-GAAP at http://ir.healthpeak.com/quarterly-results. Liquidity consists of Healthpeak’s cash and cash equivalents of $180M and
Slide 6: Double Digit Earnings Growth Over the Past Three Years
Double Digit Earnings Growth Over the Past Three Years 6 FFO as Adjusted per Share(1) AFFO per Share(1) $1.61 $1.80 2021 2024 $1.35 $1.57 2021 2024 +12% +16% Investor Presentation – November 2024 Earnings growth driven by development earn-in, property performance, merger synergies, and more efficien
Slide 7: Increased Earnings Guidance Times in 2024
Increased Earnings Guidance 3 Times in 2024 7 FFO as Adjusted Same-Store Growth Original 2024 Guidance(1) Current 2024 Guidance Midpoint Variance $1.76 $1.80 + $0.04 $1.53 $1.57 + $0.04 3.0% 4.0% + 100 bps 1) Represents midpoint of Healthpeak’s original 2024 Outlook Guidance provided on 2/8/2024. Re
Slide 8: Executed Leases to Capture >50% of $60M Cash NOI Upside
Executed Leases to Capture >50% of $60M Cash NOI Upside from Marquee Development and Redevelopment Campuses 8 Vantage Development Gateway Development Portside Redevelopment Directors Place Redevelopment +$15M +$10M +$25M +$10M 1) Estimated stabilized cash NOI is based on a mid-point of current marke
Slide 9: Outperforming Merger Synergy Targets
Outperforming Merger Synergy Targets Investor Presentation – November 2024 9 Accelerated internalization and higher profit margins resulted in +$10 million of additional earnings benefit during 2024 Property Management Internalization Update Market SF (M) Completion Bay Area 6.2 Feb 2024 San Diego 2
Slide 10: Lab Overview
Lab Overview
Slide 11: We Continue to Outperform
We Continue to Outperform Investor Presentation – November 2024 11 Tenant Priority Checklist Prime Locations Brand Name and Reputation High-Quality Portfolio Scale and Expertise Established Industry Relationships Capitalization and Stability Healthpeak Competitive Advantage Exclusively located in to
Slide 12: Strategically Located in Long-Established Life Science Submarkets
Lab Market(1) Submarkets Percent of Total Healthpeak ABR Total SF Occupancy Operating | Total(2) Bay Area South San Francisco 19.4% 5,030K 95% | 83% Redwood City 2.9% 645K 96% | 96% Hayward 1.5% 530K 99% | 99% Boston West Cambridge 5.3% 1,430K 92% | 92% Lexington / Waltham 5.0% 1,315K 100% | 100% Sa
Slide 13: Platform and Footprint to Drive Leasing and Capture Market Share
Platform and Footprint to Drive Leasing and Capture Market Share Investor Presentation – November 2024 13 Select 2024 Lease Executions Existing Tenant Quarter Signed Campus Tenant Type Tenant Total SF SF Increase 4Q Portside Private Life Science 205,000 ~150,000 4Q Vantage Private Biotech 63,000 17,
Slide 14: Biotech Capital Markets Activity Has Increased Significantly
Biotech Capital Markets Activity Has Increased Significantly 14 Source: Baird Biotech Monthly ECM Report, October 2024. Percent increases may not add due to rounding. Investor Presentation – November 2024 Increased capital raising is having a direct and positive impact on Healthpeak’s leasing activi
Slide 15: Healthpeak Leasing Activity Has Accelerated
Healthpeak Leasing Activity Has Accelerated Investor Presentation – November 2024 15 2024 leasing activity has increased significantly, Healthpeak is capturing market share, and the pipeline remains strong Key YTD 2024 Lab Leasing Statistics 0M 1M 2M 2023 1Q - Oct. 2024 1Q - Oct. Lab Lease Execution
Slide 16: New Supply is Declining Precipitously with Essentially NO New Starts
New Supply is Declining Precipitously with Essentially NO New Starts 16 1) Source: JLL Research; Includes lab deliveries in Greater DC, Boston, Denver, Philadelphia, New Jersey, Bay Area, Raleigh-Durham, San Diego, and Seattle. Investor Presentation – November 2024 The supply / demand environment is
Slide 17: Limited 2025 & 2026 Lab Lease Maturities
Limited 2025 & 2026 Lab Lease Maturities The majority of 2025 leasing requirements are either under LOI, in active discussions, or are anticipated redevelopments 2025 Lab Lease Expirations(1) 786K SF 207K SF under LOI Investor Presentation – November 2024 17 115K SF in active discussions 326K SF to
Slide 18: Outpatient Medical Overview
Outpatient Medical Overview
Slide 19: Unmatched Outpatient Medical Portfolio & Platform
4.7M 3.7M 2.0M 1.9M 1.5M 1.3M 1.3M 1.3M 1.3M 1.1M Dallas, TX Houston, TX Nashville, TN Louisville, KY Phoenix, AZ Denver, CO Atlanta, GA Philadelphia, PA Minneapolis, MN Seattle, WA Unmatched Outpatient Medical Portfolio & Platform 19 Best-in-class portfolio and platform differentiate Healthpeak 5.6
Slide 20: Superior Relationships with Leading Health Systems in Each Local Market
Anchored Assets(1) 68 Leased Area (SF) 5.0M Superior Relationships with Leading Health Systems in Each Local Market Investor Presentation – November 2024 20 Seattle Swedish CommonSpirit Healthpeak Relationships Within Top 10 OM Markets(2) 1) Anchor presence in table above defined as a >20,000 square
Slide 21: Development & Loan Opportunities Create Pipeline for External Growth
Abrazo Buckeye (Loan) Phoenix, AZ Estimated: 1Q 2025 Investment $21M Interest Rate 9.4% Size (SF) 63K % Pre-Leased 90% HonorHealth Pima (Loan) Phoenix, AZ Estimated: 4Q 2025 Investment $44M Interest Rate 7.5% Size (SF) 97K % Pre-Leased 86% Northside Medical Buford Atlanta, GA Delivered: 2Q 2024 Inve
Slide 22: Favorable Sector Fundamentals
… with care delivery migrating to outpatient settings due to lower cost and consumer preference. Healthcare expenditures are increasing alongside the aging of America… Favorable Sector Fundamentals Sources: Kaiser Family Foundation (KFF) analysis of CMS ‘National Health Expenditure’ data; KFF analys
Slide 23: Recent Dispositions Enhance Portfolio Quality
2,300 3,600 OM Dispositions Retained OM Assets Population Density Recent Dispositions Enhance Portfolio Quality Note: Dispositions include two properties currently under contract. 1) Current 5-mile population density shown as people per square mile. 5-mile population growth expectation from 2023-202
Slide 24: CommonSpirit Renewal Exceeded Street Expectations
Discussion Lease KPIs & Maturity Schedule CommonSpirit Renewal Exceeded Street Expectations Investor Presentation – November 2024 24 ■ In July 2024, Healthpeak executed an early lease renewal with CommonSpirit, extending the entirety of the Company’s 2M square foot relationship □ Prior to this exten
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