Diversified Healthcare Trust · NASDAQ:DHC
Diversified Healthcare Trust — Senior Housing Properties Trust — Q4 2011 Earnings Presentation
31 slides from Diversified Healthcare Trust's earnings presentation, Feb 16, 2012
Slide 1: Senior Housing Properties Trust Fourth Quarter 2011 Supplemental Operating and Financial Data
Exhibit 99.2 Senior Housing Properties Trust Fourth Quarter 2011 Supplemental Operating and Financial Data All amounts in this report are unaudited. Premier Residences of Chevy Chase Chevy Chase, MD. AL/IL. Living Units: 337.
Slide 2: Table of Contents
TABLE OF CONTENTS ONTENTS PAGE/EXHIBIT CORPORATE INFORMATION 5 ABLE OF CO Company Profile 6 Investor Information 8 Research Coverage 9 FINANCIAL INFORMATION 10 Key Financial Data 11 TA C d Condensed dCConsolidated lid t d B Balance l Sheet Sh t 12 Condensed Consolidated Statement of Income 13 Conden
Slide 3: Warning Concerning Forward Looking Statements
ATEMENTS WARNING CONCERNING FORWARD LOOKING STATEMENTS OKING STAT THIS SUPPLEMENTAL PRESENTATION OF OPERATING AND FINANCIAL DATA REPORT CONTAINS STATEMENTS WHICH CONSTITUTE FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OTHER SECURITIES LAWS
Slide 4: Warning Concerning Forward Looking Statements (continued)
TEMENTS (ccontinued) FOR EXAMPLE: • FIVE STAR IS OUR LARGEST TENANT AND FIVE STAR MAY EXPERIENCE FINANCIAL DIFFICULTIES AS A RESULT OF A NUMBER OF FACTORS, INCLUDING BUT NOT LIMITED TO: • CHANGES IN MEDICARE AND MEDICAID PAYMENTS, PAYMENTS INCLUDING THOSE RESULTING FROM PPACA AND OTHER RECENTLY ENAC
Slide 5: Corporate Information
CORPORATE INFORMATION Crimson Pointe, Rockford, IL. Senior Housing Properties Trust AL. Supplemental Operating and Financial Data, December 31, 2011 Units: 73
Slide 6: Company Profile
Y PROFILE COMPANY COMPANY PROFILE The Company: Strategy: Senior Housing Properties Trust, or SNH, we, our or us, is a real estate investment trust, or REIT, which Our business plan is to maintain our portfolio of independent and assisted living communities, owns independent and assisted living commu
Slide 7: Company Profile (continued)
PROFILE (ccontinued) COMPANY PROFILE (continued) Portfolio Concentration byy Facilityy Type yp (as ( of 12/31/11)) (($ in 000): ) Number of Number of Units/Beds or Carrying Value of Properties Square Feet Investment (1) Percent Q4 2011 NOI (2) Percent Independent living (3) 56 14,163 $ 1,638,263 34.
Slide 8: Investor Information
INVESTOR INFORMATION ORMATION Board of Trustees Barryy M. Portnoyy Adam D. Portnoyy STOR INFO Managing Trustee Managing Trustee John L. Harrington Jeffrey P. Somers Independent Trustee Independent Trustee INVES Frederick N. Zeytoonjian Independent Trustee Senior Management David J. Hegarty Richard A
Slide 9: Research Coverage
RESEARCH COVERAGE OVERAGE Equity Research Coverage Bank of America / Merrill Lynch R.W. Baird Jana Galan David AuBuchon SEARCH CO (646) 855-3081 8 3081 (314) 44 445-6520 6 20 Jefferies & Company Sandler O'Neill & Partners Tayo Okusanya James Milam (212) 336-7076 (212) 466-8066 JMP Securities Stifel
Slide 10: Financial Information
FINANCIAL INFORMATION Racine Clinic, Racine, WI. Medical Office Building. Senior Major Tenant: Housing Aurora Properties Trust Healthcare. 10 Supplemental Square Feet: 82,154. Operating and Financial Data, December 31, 2011
Slide 11: Key Financial Data
KEY FINANCIAL DATA CIAL DATA (share amounts and dollars in thousands, except per share data) As of and For the Three Months Ended 12/31/2011 9/30/2011 6/30/2011 3/31/2011 12/31/2010 Shares Outstanding (1): Common shares outstanding (at end of period) 162,646 153,446 141,874 141,864 141,855 Weighted
Slide 12: Condensed Consolidated Balance Sheet
CONDENSED CONSOLIDATED BALANCE SHEET CE SHEET (amounts in thousands, except share data) As of As of December 31, December 31, 2011 2010 ASSETS ED BALANC Real estate pproperties: p Land $ 564,628 $ 446,622 Buildings, improvements and equipment 4,156,963 3,315,090 4,721,591 3,761,712 Less accumulated
Slide 13: Condensed Consolidated Statement of Income
CONDENSED CONSOLIDATED STATEMENT OF INCOME F INCOME (amounts in thousands, except per share data) For the Three Months Ended For the Year Ended 12/31/2011 12/31/2010 12/31/2011 12/31/2010 Revenues: Rental income (1) $ 120,327 $ 97,363 $ 422,166 $ 340,113 TEMENT OF Residents fees and services (2) 16,
Slide 14: Condensed Consolidated Statement of Cash Flows
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS SH FLOWS (amounts in thousands) For the Year Ended 12/31/2011 12/31/2010 Cash flows from operating activities: Net income $ 151,419 $ 116,485 Adjustments to reconcile net income to cash provided by operating activities: Depreciation 113,265 113 265 90,4
Slide 15: Debt Summary
DEBT SUMMARY SUMMARY (dollars in thousands) Coupon Interest Principal Maturity Due at Years to Rate Rate (1) Balance (2) Date Maturity Maturity Secured Debt: Secured Fixed Rate Debt: Mortgage - secured by 1 property (3) 6.030% 6.030% $ 12,400 3/11/2012 $ 12,372 0.2 Mortgage - secured by 1 property 6
Slide 16: Debt Maturity Schedule
CHEDULE ATURITY SC DEBT MATURITY SCHEDULE (dollars in thousands) DEBT MA Scheduled Principal Payments During Period Secured Fixed Rate Secured Unsecured Unsecured Debt and Floating Floating Fixed Year Capital Leases Rate Debt Rate Debt (1) Rate Debt Total (2) 2012 $ , 58,748 $ 2,371 , $ - $ 225,000
Slide 17: Leverage Ratios, Coverage Ratios and Public Debt Covenants
OVENANTS OS AND PUBLIC DEBT CO LEVERAGE RATIOS RATIOS, COVERAGE RATIOS AND PUBLIC DEBT COVENANTS As of and For the Three Months Ended 12/31/2011 9/30/2011 6/30/2011 3/31/2011 12/31/2010 Leverage Ratios: Total debt / total market capitalization 33.4% 32.7% 31.8% 29.2% 27.9% Total debt / total book ca
Slide 18: Acquisitions / Dispositions Information Since 1/1/2011
ACQUISITIONS / DISPOSITIONS INFORMATION SINCE 1/1/2011 ATION SINCE 1/1/2011 Senior Living Acquisitions: (1) (dollars and sq. ft. in thousands, except per sq. ft. amounts) Purchase Initial Date Number of Purchase Price Lease / Cap Acquired Location Type of Property Properties Units Price (2) Per Unit
Slide 19: Portfolio Information
Sadler Clinic, Conroe, TX. Medical Office Building. Major Tenant: Montgomery County Management Co., LLC. Square Feet: 58,605. PORTFOLIO INFORMATION Senior Housing Properties Trust 19 Supplemental Operating and Financial Data, December 31, 2011
Slide 20: Portfolio Summary by Facility Type and Tenant
D TENANT Y TYPE AND PORTFOLIO SUMMARY BY FACILITY TYPE AND TENANT (dollars in thousands except annualized rental income per living unit, bed or square foot) Number of Investment Number of Units / Beds Carrying Value of per Unit / Bed Properties or Square Feet Investment (1) Percent or Square Foot (2
Slide 21: Occupancy by Property Type and Tenant
D TENANT OCCUPANCY BY PROPERTY TYPE AND TENANT For the Twelve Months Ended (1) Y TYPE AND 9/30/2011 6/30/2011 3/31/2011 12/31/2010 9/30/2010 Property Type: Independent living (2) 87.0% 87.1% 87.3% 87.4% 87.1% Assisted living (2) 86.3% 86.7% 87.0% 87.3% 87.6% Nursing homes (2) 80.7% 81.8% 82.4% 82.8%
Slide 22: Rent Coverage by Tenant
MMUNITIES) NAGED COM RENT COVERAGE BY TENANT (EXCLUDING MOBs and MANAGED COMMUNITIES) For the Twelve Months Ended Tenant 9/30/2011 6/30/2011 3/31/2011 12/31/2010 9/30/2010 OBs and MAN Five Star (Lease No. 1) 1.23x 1.26x 1.31x 1.31x 1.28x Five Star (Lease No. 2) 1.42x 1.41x 1.39x 1.37x 1.34x Five Sta
Slide 23: MOB Portfolio and Same Store Portfolio - Results of Operations
MOB PORTFOLIO - RESULTS OF OPERATIONS ERATIONS (dollars and sq. ft. in thousands) As of and For the Three Months Ended As of and For the Year Ended 12/31/2011 12/31/2010 12/31/2011 12/31/2010 LTS OF OPE Number of Properties 108 82 108 82 Square Feet (1) 7,630 5,163 7,630 5,163 Occupancy (2) 95.9% 97
Slide 24: MOB Tenant Improvements, Leasing Costs and Capital Improvements
OVEMENTS STS AND CAPITAL IMPRO MOB TENANT IMPROVEMENTS IMPROVEMENTS, LEASING COSTS AND CAPITAL IMPROVEMENTS (dollars and sq. ft. in thousands, except per sq. ft. data) For the Three Months Ended (1) 12/31/2011 9/30/2011 6/30/2011 3/31/2011 12/31/2010 Tenant improvements (TI) $ 822 $ 992 $ 1,468 $ 97
Slide 25: MOB Leasing Summary
MOB LEASING SUMMARY SUMMARY (dollars and sq. ft. in thousands, except per sq. ft. data) As of and For the Three Months Ended 12/31/2011 9/30/2011 6/30/2011 3/31/2011 12/31/2010 MOB LEASING S Properties 108 105 91 89 82 Total sq. ft. (1) 7,630 7,490 6,147 5,982 5,163 Occupancy (2) 95.9% 96.4% 96.6% 9
Slide 26: MOB Tenants Representing 1% or More of Total MOB Rent
MOB RENT OF TOTAL M MOB TENANTS REPRESENTING 1% OR MORE OF TOTAL MOB RENT (dollars and sq. ft. in thousands) Annualized % of % of Total Rental Income Annualized Rental Tenant Sq. q Ft. ((1)) Sq. q Ft. ((1)) 12/31/2011 ((2)) Income ((2)) Expiration p OR MORE O 1 Aurora Health Care, Inc. 643 8.8% $ 16
Slide 27: Portfolio Lease Expiration Schedule
PORTFOLIO LEASE EXPIRATION SCHEDULE CHEDULE (dollars in thousands) Annualized Rental Income (1) Percent of Cumulative Total Percentage of PIRATION SC Short and Long Term Annualized Annualized Residential Care Wellness Rental Income Rental Income Year Communities (2) MOBs Centers Total Expiring Expir
Slide 28: Exhibits
Clear Creek Surgery Center, Wheat Ridge, CO. Medical Office Building. Square Feet: 14,695. EXHIBITS Senior Housing Properties Trust Supplemental Operating and Financial Data, December 31, 2011
Slide 29: Calculation and Reconciliation of Net Operating Income (NOI)
EXHIBIT A COME (NOI) CALCULATION AND RECONCILIATION OF NET OPERATING INCOME (NOI) (amounts in thousands) For the Three Months Ended For the Year Ended PERATING INC 12/31/2011 12/31/2010 12/31/2011 12/31/2010 Calculation of NOI: Revenues: Rental income $ 120,327 $ 97,363 $ 422,166 $ 340,113 Residents
Slide 30: Calculation and Reconciliation of EBITDA
EXHIBIT B OF EBITDA CALCULATION AND RECONCILIATION OF EBITDA CILIATION O (dollars in thousands) For the Three Months Ended For the Year Ended 12/31/2011 12/31/2010 12/31/2011 12/31/2010 Net income $ 38 599 38,599 $ 33,864 33 864 $ 151,419 151 419 $ 116,485 116 485 LATION AND RECONC Plus: interest ex
Slide 31: Calculation and Reconciliation of FFO and Normalized FFO
OPERATIONS (FFO) AND EXHIBIT C NORMAALIZED FFO CALCULATION AND RECONCILIATION OF FUNDS FROM OPERATIONS (FFO) AND NORMALIZED FFO (amounts in thousands, except per share data) For the Three Months Ended For the Year Ended 12/31/2011 12/31/2010 12/31/2011 12/31/2010 NDS FROM O Net income $ 38,599 $ 33,
Senior Housing Properties Trust — Q4 2011 Earnings Presentation on 6ix