Sila Realty Trust, Inc. · NYSE:SILA
Sila Realty Trust — Investor Presentation (March 2025)
33 slides from Sila Realty Trust's investor presentation, Mar 3, 2025
Slide 1: Company Presentation March 2025: Skillful and Thoughtful Investing
Company Presentation March 2025 Skillful and Thoughtful Investing
Slide 2: Disclosures: Forward Looking Statements
2 Disclosures Forward Looking Statements Certain statements contained herein, other than historical fact, may be considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, an
Slide 3: Introductions
3 3 Michael A. Seton President and Chief Executive Officer Founder and Board Member Kay C. Neely Executive Vice President and Chief Financial Officer Miles F. Callahan Senior Vice President Capital Markets and Investor Relations Introductions Christopher K. Flouhouse Executive Vice President and Chi
Slide 4: Management with a History of Executing on Shareholder Friendly Initiatives
4 Management with a History of Executing on Shareholder Friendly Initiatives Founding of Sila Realty Trust, Inc. 2014 Sale of predecessor company’s data center portfolio, $556.2M special cash distribution ($3.00/share) paid to predecessor company shareholders from the sale proceeds 2018 Merger with
Slide 5: Sila Realty Trust At a Glance
5 Sila Realty Trust At a Glance Sila Realty Trust is a net lease REIT with a strategic focus on investing in the growing and resilient healthcare sector. (1) Excludes two undeveloped land parcels. (2) Net debt leverage ratio is calculated as net debt to enterprise value. (3) EBITDAre is annualized b
Slide 6: Proven Track Record of Value Creation
6Reading Healthcare Facility, Pennsylvania Proven Track Record of Value Creation
Slide 7: Net Lease REIT Focused on High-Quality Healthcare Assets
7 Oklahoma Healthcare Facility VII Net Lease REIT Focused on High-Quality Healthcare Assets Healthcare trends are shifting patients to cost-effective, easy-to-access, healthcare settings, driving demand for strategic asset classes along the healthcare continuum. New Braunfels Healthcare Facility Bro
Slide 8: Geographic Diversification with a Focus on Smile States
8 Geographic Diversification with a Focus on “Smile States” (1) Represents each state’s annualized December 2024 contractual base rent as a percentage of total annualized December 2024 contractual base rent. All data as of December 31, 2024 Top Five States by ABR(1) 28.6% Texas 7.3% Oklahoma 5.8% Lo
Slide 9: Asset Strategy and Platform Positioned for Growth
9 Asset Strategy and Platform Positioned for Growth • On-campus or off-campus facilities in retail-type locations • Strong visibility and access with ample parking • High growth areas near population clusters that are convenient to patients/customers • Near and convenient to the tenant’s patient ref
Slide 10: Broad Acquisition Sourcing Network Affords Opportunity to be Highly Selective
10 Broad Acquisition Sourcing Network Affords Opportunity to be Highly Selective Sila’s Acquisitions and Credit Underwriting teams evaluated over 350 healthcare investment opportunities in 2024. • We believe Relationships and reputation with tenants, brokers, and developers fostered from being a rep
Slide 11: Proven Acquisition Track Record
11 Proven Acquisition Track Record (1) Excludes two undeveloped land parcels. (2) Total real estate investment at cost divided by properties owned, excluding land parcels. (3) Includes 60 healthcare properties acquired in merger with predecessor company for $1.2 billion. (4) Includes the sale of Sil
Slide 12: Mezzanine Loans for Developments
12 Mezzanine Loans for Developments Lynchburg, Virginia • Two mezzanine loans for the development of an inpatient rehabilitation facility and behavioral healthcare facility, with loan amounts of $12.5 million and $5.0 million, respectively • Loans closed November 2024 • Loans include purchase option
Slide 13: Robust Portfolio Delivers Strong Operating and Financial Metrics
NYSE Listing Day | June 13, 2024 Robust Portfolio Delivers Strong Operating and Financial Metrics
Slide 14: Tenant Strength and Recognition
14 2.6% 2.8% 4.6% 5.0% 5.6% 5.6% 5.8% 6.9% 8.0% 15.8% Tenant Strength and Recognition (1) Based on annualized December 2024 contractual base rent. (2) Includes tenants under common control. (3) LifePoint Health, Inc., or LifePoint, is a partner in joint ventures that lease certain of our properties,
Slide 15: EBITDARM Coverage Ratio
15 EBITDARM Coverage Ratio EBITDARM Coverage Ratio(1)(2) % of ABR by EBITDARM Coverage Ratio(1)(2)(4) % of ABR EBITDARM Coverage Medical Outpatient Building 15.6% 7.05x Inpatient Rehabilitation Facility 27.2% 4.22x Surgical and Specialty Facilities(3) 29.1% 5.41x Reporting Properties 71.9% 5.31x Non
Slide 16: Diversified and Secure Tenancy
16 Diversified and Secure Tenancy Sila’s 135 operating healthcare properties are well-diversified through tenancy and across the continuum of care, reducing overexposure to any single healthcare subtype. Property Type Diversification(1) (ABR(2), Properties) 37.6% 30.1% 32.3% Medical Outpatient Build
Slide 17: Strong Operating Metrics from Long-Term Leases
17 Strong Operating Metrics from Long-Term Leases 9.7 Yrs Weighted Avg. Remaining Lease Term 96.0% Weighted Avg. Leased Rate 5.3M Rentable Square Feet 20.3% ABR Maturing in 5 Yrs 169 Total Leases(3) $32.72 Avg. ABR/Leased SF Tenant Lease Expiration Schedule(1) (1) The table includes a tenant who has
Slide 18: Fortified Balance Sheet
18 FFO Payout Ratio (1) 77.7% 74.5% 77.3% 2022 2023 2024 $275 M $250 M 2025 2026 2027 2028 2029 2030 74.2% 68.8% 69.7% 2022 2023 2024 Fortified Balance Sheet (1) FFO Payout Ratio and AFFO Payout Ratio are calculated by dividing dividends paid by FFO or AFFO, respectively, for the period represented.
Slide 19: Sila Demonstrates Strong Metrics Relative to Peers
19 Sila Demonstrates Strong Metrics Relative to Peers 9.7 Yrs 11.0 Yrs 5.7 Yrs SILA Net Lease Peer Average Healthcare Peer Average Long Lease Term 96.0% 99.3% 92.4% SILA Net Lease Peer Average Healthcare Peer Average Portfolio Leased 3.3x 5.0x 6.3x SILA Net Lease Peer Average Healthcare Peer Average
Slide 20: Experienced Leadership Team
NYSE Listing Day | June 13, 2024 Experienced Leadership Team
Slide 21: Experienced Management Team
21 Experienced Management Team Michael A. Seton President and Chief Executive Officer • 30+ years of experience in real estate investment and finance, completing billions of dollars in real estate transactions • Formerly served as Managing Director and Division Head of Originations at Eurohypo AG (n
Slide 22: Robust Corporate Governance Led by Experienced Board of Directors
22 Robust Corporate Governance Led by Experienced Board of Directors * Denotes Independent Director Jonathan Kuchin, Chairman of the Board* Member of Audit Committee • Formerly Tax Partner at PWC - Focused on public and private REITS, SEC reporting for public REITS and income tax accounting • Prior
Slide 23: Commitment to Corporate Governance
23 23 Commitment to Corporate Governance ✓ Experienced Board of Directors, Audit Committee, Compensation Committee, and Nominating and Corporate Governance Committee ✓ Majority independent Board of Directors (83%), who bring a diverse array of backgrounds, experience, and perspectives ✓ 10+ years as
Slide 24: Appendix
Marana Healthcare Facility, Arizona Appendix
Slide 25: Non-GAAP Measures and Definition of Terms
25 Non-GAAP Measures and Definition of Terms Adjusted Fair Value of Real Estate Investments Adjusted fair value of real estate investments is calculated using the real estate values determined as of the most recent NAV (as defined below), adjusted for property acquisitions and dispositions, major ca
Slide 26: Non-GAAP Measures and Definition of Terms
26 Non-GAAP Measures and Definition of Terms Earnings Before Interest, Taxes, Depreciation, Amortization, Rent and Management Fees (EBITDARM) The Company utilizes EBITDARM, a supplemental non-GAAP performance measure, to evaluate the core operations of our tenants and/or guarantors (together, the “O
Slide 27: Non-GAAP Measures and Definition of Terms
27 Non-GAAP Measures and Definition of Terms Enterprise Value Enterprise value represents market capitalization plus net debt. Funds from Operations (FFO), Core FFO, and Adjusted FFO (AFFO) FFO, a non-GAAP financial measure, is calculated consistent with NAREIT’s definition, as net income (loss) (ca
Slide 28: Non-GAAP Measures and Definition of Terms: FFO, Core FFO, AFFO
28 Non-GAAP Measures and Definition of Terms Funds from Operations (FFO), Core FFO, and Adjusted FFO (AFFO) (Cont’d) (1) The year ended December 31, 2023, includes $5.7 million of gross lease termination fee income received, and the three months ended March 31, 2024, and year ended December 31, 2024
Slide 29: Non-GAAP Measures and Definition of Terms
29 Non-GAAP Measures and Definition of Terms Liquidity A financial metric that represents the outstanding cash and cash equivalents combined with the remaining borrowing base availability on the Company’s credit facility at a point in time. Market Capitalization The total number of outstanding share
Slide 30: Non-GAAP Measures and Definition of Terms: NOI
30 Non-GAAP Measures and Definition of Terms Net Operating Income (NOI), Cash NOI and Same Store Cash NOI NOI, a non-GAAP financial measure, is defined as rental revenue, less rental expenses, on an accrual basis. Cash NOI is calculated to exclude the impact of GAAP adjustments to rental revenue and
Slide 31: Non-GAAP Measures and Definition of Terms: NOI (Cont'd)
31 Non-GAAP Measures and Definition of Terms Net Operating Income (NOI), Cash NOI and Same Store Cash NOI (Cont’d) December 31, December 31, December 31, December 31, 2024 2023 2024 2023 Rental revenue 186,856$ 189,065$ 46,545$ 45,914$ Rental expenses (23,138) (20,196) (5,912) (5,468) Net operating
Slide 32: Non-GAAP Measures and Definition of Terms
32 Non-GAAP Measures and Definition of Terms Remaining Lease Term The number of periods remaining in each tenant’s lease, calculated on a weighted average basis using annualized base rent. Rent Escalation The amount of base rent increases that are included within each tenant’s lease, calculated on a
Slide 33: Contact Information
Contact Information Corporate Address www.SilaRealtyTrust.com 1001 Water Street Suite 800 Tampa, FL 33602 Miles Callahan Senior Vice President, Capital Markets & Investor Relations IR@silarealtytrust.com
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