Slide 1: Earnings Presentation: First Quarter 2023
Earnings Presentation: First Quarter 2023 May 8, 2023
Slide 2: Non-GAAP Financial Measures & Cautionary Statements
Non-GAAP Financial Measures & Cautionary Statements Certain of the information contained herein, including certain operating and clinical information, such as patient and resident pricing and rate information, lead and move-in data and number of confirmed cases of COVID- 19, has been provided by our
Slide 3: Table of Contents
Table of Contents First Quarter Earnings & Full Year 2023 Outlook 5–8 SHOP First Quarter 2023 Performance 10 – 14 SHOP Growth & Recovery Opportunity 16 – 21 Office First Quarter 2023 Performance 23 – 25 Santerre Portfolio 27 – 28 Financial Strength & Flexibility 30 – 31 3
Slide 4: First Quarter Earnings & Full Year 2023 Outlook
First Quarter Earnings & Full Year 2023 Outlook
Slide 5: Executive Summary
Executive Summary Key Highlights ▪ Ventas reported excellent first quarter enterprise results ahead of expectations, with Normalized FFO per share of $0.74 and Total Company same-store cash NOI growth of 8.1% ▪ Performance was led by outstanding top- and bottom-line growth in SHOP, complemented by f
Slide 6: First Quarter 2023 Financial Performance
First Quarter 2023 Financial Performance First Quarter 2023 Earnings First Quarter 2023 Property Performance ▪ Net Income Attributable to Common Stockholders (“Attributable Net Income”) YoY Segment Results per share of $0.04 Properties 1Q23 1Q22 % Growth ▪ Normalized Funds from Operations (“Normaliz
Slide 7: Full Year 2023 Outlook
Full Year 2023 Outlook1,2 2023 Guidance Ranges & Midpoints Key Comments ▪ Re-affirming FY23 guidance As of 2/9/23 As of 5/8/23 ▪ Ventas experienced a strong start to the year with first quarter Normalized Attributable Net Income Per Share Range $0.20 - $0.34 $0.20 - $0.34 FFO per share of $0.74 Attr
Slide 8: Other Notable Developments
Other Notable Developments Ardent OpCo Value Creation ESG ▪ In May, Ventas closed on the previously announced sale of ~24% of its ▪ In April, Ventas received the 2023 ENERGY STAR Partner of the Year successful investment in Ardent OpCo for ~$50 million in total Sustained Excellence in Energy Managem
Slide 9: SHOP First Quarter 2023 Performance
SHOP First Quarter 2023 Performance
Slide 10: SHOP Trends – 1Q23 SS YoY Assets
SHOP Trends – 1Q23 SS YoY 507 Assets1 U.S. SHOP2 Key Commentary ▪ 1Q23 SHOP same-store NOI grew +17.4% 1Q23 Same-Store YoY Assets 434 Assets o U.S. communities led growth with +22.4% YoY 1Q23 o Highly occupied Canadian portfolio continued to grow 77.2% average o Ventas OITM driving outsized growth i
Slide 11: Strong NOI Growth from the U.S. SHOP Portfolio Powered by Ventas OI
Strong NOI Growth from the U.S. SHOP Portfolio Powered by Ventas OITM Is Fueling the Recovery Momentum Commentary 1Q23 Same-Store Year-Over-Year NOI Growth (U.S.)1,2 ▪ U.S. NOI growth exceeded 22% YoY in 1Q23, which was broad- based across the legacy portfolio (+20%) and communities that transitione
Slide 12: High-Quality, Highly Occupied Canadian Communities
High-Quality, Highly Occupied Canadian Communities Premium Real Estate Portfolio Canada Same-Store NOI Composition By Operator1 Commentary1 ▪ Highly occupied portfolio at 94.2% in 1Q23 27% o The Canadian portfolio has remained above 90% occupancy since 1Q19 LGM o Led by LGM which has been above 93%
Slide 13: Significant Pricing Power
Significant Pricing Power Positive Contributors to Revenue Growth In-Place Rent Increases1 Care Pricing2 Street Rates3 Street rates have Pre-Covid 1Q 2022 1Q 2023 Care rates continued to improve and 5% ~8% >11% up ~9% YoY increased ~7% YoY driving positive re-leasing spreads in the first quarter Yea
Slide 14: Senior Housing Operating Expense Trends
Senior Housing Operating Expense Trends 1Q23 SS SHOP Operating Results Composition1 Key Commentary1 (1Q23 SS YOY pool of 507 assets) Revenue Composition1 Other OpEx ▪ Operating expenses grew 5% year-over-year in 1Q23, in-line with the FY23 guidance expectations Cash NOI Utilities ~8% ~5% Food ~24% ~
Slide 15: SHOP Growth & Recovery Opportunity
SHOP Growth & Recovery Opportunity
Slide 16: Unprecedented Organic Growth Opportunity
Unprecedented Organic Growth Opportunity U.S. 80+ Population Anticipated to Grow by 23%+ Through 2027 1 Incremental 80+ Population to Accelerate Through This Decade1 5-Years Post 5-Years Post +906K p.a Financial COVID 20M Crisis +22.7% growth 15M +525K p.a +7.2% growth 10M +215K p.a 5M 0M '12-'22 '2
Slide 17: Senior Housing NOI Opportunity
Senior Housing NOI Opportunity Illustrative SHOP NOI Recovery Opportunity1 Incremental growth potential from favorable supply / demand trends could cause NOI to exceed pre-COVID levels 1Q23 Annualized Illustrative SHOP Total Portfolio SHOP Cash NOI at Cash NOI Recovery Annualized SHOP 81% Occupancy
Slide 18: Strategic Actions Taken Since 2020 To Position SHOP
Strategic Actions Taken Since 2020 To Position SHOP For The Compelling Growth Opportunity Ahead Acquisitions, NNN Resolutions / SHOP Operator NOI-Generating Ventas OITM Dispositions & New Team Build Out Conversions Transitions Capital Expenditures Development Initiated industry-leading Multiple leas
Slide 19: Ventas OI Platform: Capex Strategy
Ventas OI™ Platform: Capex Strategy TM Right Market Right Asset Right Operator Over 100 NOI-generating capex projects underway prioritized through Ventas OITM 19
Slide 20: Case Study: Initial NOI-Generating Capex Projects Generating Strong Results
Case Study: Initial NOI-Generating Capex Projects Generating Strong Results Recently Completed Projects Right Market Discovery Senior Living, North Carolina Right Asset Right Operator R E S U LT S A C R O S S 3 C O M M U N I T I E S 150%+ 31%+ $1.4M+ Sodalis Senior Living, Georgia YTD Leads as a % I
Slide 21: Completed Refresh Projects
Completion Of NOI-Generating Projects To Provide Incremental Growth Catalyst TM Right Market Right Asset Right Operator Over 100 NOI-generating capex projects underway prioritized through Ventas OITM ~100 NOI-generating CapEx Projects Expected to Complete by the 2023 Key Selling Season 108 Completed
Slide 22: Office First Quarter 2023 Performance
Office First Quarter 2023 Performance
Slide 23: Medical Office (MOB) Operating Platform Delivers Consistent Growth
Medical Office (MOB) Operating Platform Delivers Consistent Growth Same-Store Occupancy1 Same-Store OpEx Growth1 Seven Consecutive Quarters of YoY Same-Store Occupancy Growth Strong Expense Control Programs Keep Costs Below Inflation 92.5% 92.0% 92.0% 91.7% 91.8% 91.8% 91.3% 91.4% 91.5% 91.2% 91.0%
Slide 24: Excellent University-Based Life Science, R&I Credit
Excellent University-Based Life Science, R&I Credit1,2 High-Quality Life Science, R&I Tenant Base Pharma/Biotech Tenants by Development Stage % Annualized Base Rent Science, Tech, Healthcare 5% % Annualized Base Rent Flexible Innovation Space 6% Commercial - Other 9% Other Other IG or Public 18% >$1
Slide 25: Top Tier University Partners with Leading NIH Funding
Top Tier University Partners with Leading NIH Funding Ventas partners with high credit universities with strong endowments that consistently receive NIH funding above the 90 th percentile Percentile of 2022 NIH Funding1 Ventas’s University Partners Pitt Wash U Duke UPenn >99th Johns Hopkins 100% Yal
Slide 26: Santerre Portfolio
Santerre Portfolio
Slide 27: Ventas Takes Ownership of Santerre Portfolio
Ventas Takes Ownership of Santerre Portfolio Capital Structure Prior to May 1, 2023 Equitization of Mezzanine Investment (Closed May 1, 2023) ▪ On May 1, Ventas completed its previously announced plan to take ownership of the Santerre Portfolio through the equitization of the $486 million principal
Slide 28: Santerre Portfolio
Santerre Portfolio Portfolio Facts Santerre / VTR MOB Portfolio Overlap1 Medical Office Buildings (>40% of NOI) ✓ 89 Medical Office Buildings located in 18 states with >3M square feet 75% of MOB NOI in MSAs with current Ventas MOB presence ✓ Over 75% affiliated with health systems, predominantly inv
Slide 29: Financial Strength & Flexibility
Financial Strength & Flexibility
Slide 30: Access to Diverse Forms of Attractive Capital Through Cycles
Access to Diverse Forms of Attractive Capital Through Cycles Cumulative Capital Raised1 VLSHRE Fund (Dollars in billions) R&I JV + $59 $60 $61 $53 $50 $44 $42 $37 $35 $28 $26 $22 $19 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 YTD 2023 Revolving Credit Facilities Term Loans Mortgage
Slide 31: Proactive Balance Sheet Management
Proactive Balance Sheet Management Successfully Refinanced >70% of Maturing 2023 Debt1 Proactively Addressing 2024 Maturities ▪ In April, issued 5-year, CAD $600M Senior Note at a 5.398% fixed rate Only 1% of total consolidated debt is maturing for the balance of 2023 o Deal initially launched at CA