Selectis Health,inc. · OTC:GBCS
Selectis Health,inc — Global Healthcare REIT — Investor Presentation (September 2015)
22 slides from Selectis Health,inc's investor presentation, Sep 14, 2015
Slide 1: Global Healthcare REIT: Driven by Dividend
OTC: GBCS O GLOBAL HEALTHCARE REIT “Driven by Dividend” Corporate Presentation September 2015
Slide 2: Important Cautions Regarding Forward Looking Statements
Important Cautions Regarding Forward °) Looking Statements eeeiey orczeacs This presentation may contain projections and other forward-looking statements. Any such statement reflects the company's current views with respect to future events and financial performance. No assurances can be given, howe
Slide 3: Key Stats (OTC: GBCS)
Key Stats (OTC: GBCS) Stock Price (3/31/2015) $1.00 Revenue (ttm) $3.6M 52 Week Low-High $0.74-$1.13 Diluted EPS (mrq) $(0.01) Avg. Daily Vol. (30 day) 11,172 Cash (mrq) $1.0M Shares Outstanding 22.3M Total Assets (mrq) $45.8M Public Float, est. 72% Total Debt (mrq) $37.3M Insider Holdings ~17% Tota
Slide 4: Who We Are
Who We Are = Global Healthcare REIT owns healthcare properties and leases them to proven facility operators in the senior care industry = Solid base of revenue-generating assets: 11 senior healthcare facilities leased to operators across Southwest and South Atlantic, with 1,000+ bed = Targeting acqu
Slide 5: Trillion Dollar Market Opportunity
Trillion Dollar Market Opportunity = $1 trillion U.S. Healthcare Real Estate Market? = Target segment of Senior Housing and Skilled Nursing comprises 25% or $250 billion of the total Healthcare REIT market = Strong growth in target market segment = REITs that specialize in health care properties pro
Slide 6: Aging Population a Strong Market Driver
Aging Population a Strong Market Driver Why Senior Healthcare Facilities? U.S. Population Growth of «aps . e 65 & 852 = Demographic “tidal wave” heading toward to a illions) senior care industry 85+ ee = Seniors are the fastest growing population in the 65+ | world* = Affordable Care Act introducing
Slide 7: Competitive Landscape: Highly Fragmented Industry
Competitive Landscape: e) GLOBAL Highly Fragmented Industry orc: Gacs Industry Highly Fragmented and Dominated by Small, Private Facilities Independent Living Companies Assisted Living Companies Nursing Facility Companies 15% 20% 22% 25% 29% H Top 10 H Top 25 Remaining Market Source: IBISWorld, Prov
Slide 8: REIT Industry Trend: Billion Dollar Healthcare
REIT Industry Trend: Billion Dollar Healthcare REIT Spin-off Healthcare Facilities to be Pure Play = Ina recent trend, many REITs are pursuing a strategy of Sales Transactions of Senior simplifying their business models by spinning off units Housing & eS Care into separate identities and then making
Slide 9: Straight-forward Business Model
Straight-forward Business Model = We maintain a strategic combination of short- and long-term leases: . Meadowview Nursing A * Short term leases allow us the opportunity to qe $ Annualized increase rent as the tenant-operator improves facility performance Rent Revenue $361,000 * For more stable situ
Slide 10: Quarterly Dividend Initiated
Quarterly Dividend Initiated = We recently paid a third consecutive quarterly Dividend Yield dividend Historical & Outlook? = Dividend is expected to grow over time with Quarterly cash dividend of 8.0% increasing rent rates and growth in our $0.01 per share for Q3 & healthcare facilities portfolio Q
Slide 11: Asset Acquisition Campaign
fe) Asset Acquisition Campaign GLOBAL ore: Gecs Building a solid base of revenue-generating assets through measured investments in high-quality healthcare facilities leased by experienced operators = As the company continues its acquisition campaign for healthcare real estate, it anticipates revenue
Slide 12: 2014 Acquisition Highlights
2014 Acquisition Highlights = Southern Hills (Tulsa, OK): $3M bargain purchase gain, $660,000 annual stabilized revenues (from 2 of 3 facilities) = MeadowView (Seville, OH): $3M acquisition to generate $152,000 per year in cash MeadowView Senior Living Center in Seville, OH Dp
Slide 13: Summary of Property Portfolio & Pending Acquisition
co) Summary of Property Portfolio & Pending Acquisition GLOBAL EALTHCARE REI orc: cecs ALF = Assisted Living Facility SNF = Skilled Nursing Facility ILF= Independent Living Facility Property Name tent | a Beds/Units Gross Annual Rent Location Date Acquired 1 SNF 100 beds $570,000 Eastman, GA 3-15-20
Slide 14: New Long-term Leases to Increase Rental Revenue
(eo) New Long-term Leases to Increase Rental Revenue GLOBAL ‘orc: Gacs = Global signed three long-term operating leases Three Long-term Leases to Increase for its Greene Pointe, Providence and Randal ReatlRevenue Warrenton facilities in Georgia, replacing (Sin Millions) existing leases which are set
Slide 15: Traditional & HUD Refinancing Opportunities to Lower Interest Rates
Traditional & HUD Refinancing Opportunities to Lower Interest Rates of Facilities = Currently HUD refinancing Goodwill, Middle Georgia —_—S, & Sparta facilities at a long term rate that is ZA expected to be under 4% = Company expects HUD refinancing to further improve its funds from operations (FFO)
Slide 16: Q2 2015 Financial Highlights
Oo Q2 2015 Financial Highlights GLOBAL = Rental revenue increased 273% to $1.2M vs. Total Asset Growth the same year-ago quarter (Sin millions) = Strong quarter-over-quarter growth in rental revenue reflects company’s acquisition of six skilled nursing facilities since the year-ago quarter = Funds f
Slide 17: Expert Leadership from Industry Veteran
(e) Expert Leadership from Industry Veteran GLOBAL EALT ore: Gecs Christopher F. Brogdon, CEO & President = Former chairman of Retirement Care Associates (NYSE: RCA) * Directed expansion from 3 to 120 facilities * Grew annual revenue from $1M to $350M+ aw 4 lan ey. * Sold to Sun Healthcare for $350M
Slide 18: Company Management & Shareholders Profit Together
(@) Company Management & Shareholders Profit Together GLOBAL = Low, steady overhead allows for President & CEO Chris Brogdon increasing marginal returns on cash flow Compensation Schedule Example = Board of directors and CEO compensated GBCS Shares Owned in stock only (May 8, 2015) E022 Ou Dividend
Slide 19: Key Takeaways
Key Takeaways = Strong healthcare REIT growth industry = Robust acquisition pipeline and growth potential = Simple, straight forward business model = Traditional & HUD refinancing opportunites to further improve FFO = Replacing several existing short-term leases with long- term leases to increase an
Slide 20: Contact Us
Contact Us Company Contact Christopher Brogdon President & CEO 404-549-4293 Investor Relations Contact Ron Both Liolios Group, Inc. Tel 949-574-3860 GLOBAL HEALTHCARE REIT 20
Slide 21: Appendix
Slide 22: Note Regarding Non-GAAP Financial Measures
oO Note Regarding Non-GAAP Financial Measures GLOBAL = Beginning with the reporting of results for the first quarter of 2015, the company began to report the measures of funds from operations (FFO) and FFO per share. = Funds from Operations (FFO), as defined by the National Association of Real Estat
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