8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 1, 2020

 PHYSICIANS REALTY TRUST

PHYSICIANS REALTY L.P.

(Exact name of registrant as specified in its charter)

Maryland	(Physicians Realty Trust)	001-36007	46-2519850
Delaware	(Physicians Realty L.P.)	333-205034-01	80-0941870
(State of Organization)		(Commission File Number)	(IRS Employer Identification No.)
309 N. Water Street, Suite 500		53202
Milwaukee	Wisconsin
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s telephone number, including area code: (414) 367-5600

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐      Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐      Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐       Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐       Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Common stock, $0.01 par value per share	DOC	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Physicians Realty Trust Emerging growth company ☐ Physicians Realty L.P. Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Physicians Realty Trust o  Physicians Realty L.P. o 

Item 7.01. Regulation FD Disclosure.

On July 1, 2020, Physicians Realty Trust (the "Company") issued a press release announcing the publication of a Supplemental Update presentation pertaining to June rent collections. This Supplemental Update will be utilized by members of senior management to conduct discussions with investors and analysts about the Company's June rent collections. Copies of the press release and the Supplemental Update will be available on the Company’s website, www.docreit.com, and have been furnished as Exhibits 99.1 and 99.2, respectively, to this Current Report on Form 8-K and incorporated herein by reference.

The information in this Item 7.01, including Exhibits 99.1 and 99.2, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be incorporated by reference into a filing under the Securities Act of 1933, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01. Financial Statement and Exhibits.

(d)  Exhibits.

99.1	Press Release, dated July 1, 2020, issued by Physicians Realty Trust
99.2	June Collections Supplemental Update, dated July 1, 2020
104	Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized.

Date:	July 1, 2020		PHYSICIANS REALTY TRUST
		By:	/s/ John T. Thomas
			John T. Thomas
			President and Chief Executive Officer

Date:	July 1, 2020		PHYSICIANS REALTY L.P.
			by: Physicians Realty Trust, its general partner
		By:	/s/ John T. Thomas
			John T. Thomas
			President and Chief Executive Officer

EXHIBIT INDEX

Exhibit No.	Description
99.1	Press Release, dated July 1, 2020, issued by Physicians Realty Trust
99.2	June Collections Supplemental Update, dated July 1, 2020
104	Cover Page Interactive Data File (embedded within the Inline XBRL document)

EX-99.2

Exhibit 99.2 June Collections Update July 1, 2020

This document may contain “forward-looking” statements as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements concern and are based upon, among other things, the possible expansion of the company’s portfolio; the sale of properties; the performance of its operators/tenants and properties; its ability to enter into agreements with new viable tenants for vacant space or for properties that the company takes back from financially troubled tenants, if any; its occupancy rates; its ability to acquire, develop and/or manage properties; the ability to successfully manage the risks associated with international expansion and operations; its ability to make distributions to shareholders; its policies and plans regarding investments, financings and other matters; its tax status as a real estate investment trust; its critical accounting policies; its ability to appropriately balance the use of debt and equity; its ability to access capital markets or other sources of funds; its ability to meet its earnings guidance; and its ability to finance and complete, and the effect of, future acquisitions. When the company uses words such as “may,” “will,” “intend,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate” or similar expressions, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties. The company’s expected results may not be achieved, and actual results may differ materially from expectations. This may be a result of various factors, including, but not limited to: the unknown duration and economic, operational, and financial impacts of the global outbreak of the COVID-19 pandemic and the actions taken by governmental authorities in connection with the pandemic on the Company’s business; material differences between actual results and the assumptions, projections and estimates of occupancy rates, rental rates, operating expenses and required capital expenditures; the status of the economy; the status of capital markets, including the availability and cost of capital; issues facing the healthcare industry, including compliance with, and changes to, regulations and payment policies, responding to government investigations and punitive settlements and operators’/tenants’ difficulty in cost-effectively obtaining and maintaining adequate liability and other insurance; changes in financing terms; competition within the healthcare, seniors housing and life science industries; negative developments in the operating results or financial condition of operators/tenants, including, but not limited to, their ability to pay rent and repay loans; the company’s ability to transition or sell facilities with profitable results; the failure to make new investments as and when anticipated; acts of God affecting the company’s properties; the company’s ability to re-lease space at similar rates as vacancies occur; the failure of closings to occur as and when anticipated, including the receipt of third-party approvals and healthcare licenses without unexpected delays or conditions; the company’s ability to timely reinvest sale proceeds at similar rates to assets sold; operator/tenant or joint venture partner bankruptcies or insolvencies; the cooperation of joint venture partners; government regulations affecting Medicare and Medicaid reimbursement rates and operational requirements; regulatory approval and market acceptance of the products and technologies of life science tenants; liability or contract claims by or against operators/tenants; unanticipated difficulties and/or expenditures relating to future acquisitions and the integration of multi-property acquisitions; environmental laws affecting the company’s properties; changes in rules or practices governing the company’s financial reporting; the movement of U.S. and foreign currency exchange rates; and legal and operational matters, including real estate investment trust qualification and key management personnel recruitment and retention. Finally, the company assumes no obligation to update or revise any forward-looking statements or to update the reasons why actual results could differ from those projected in any forward-looking statements. 1

Resilient Pandemic Performance June Collections Status DOC’s focus on essential procedures and investment grade tenants have kept rent collection levels high during the COVID pandemic nd Not Collected, 2 Quarter Collections by Credit Type Cash Collected, 4% 96% $33mm Rent & CAM Billed Tenant Credit % Billings % Collected Deferred, 0% Investment Grade 59% 97% Non-Investment Grade 41% 97% Total 100% 97% April & May Status 2nd Quarter Collections by Campus Proximity 98% + 0.7% Campus Proximity % Billings % Collected April Billings Collected April Collections, On-Campus / Adjacent MOB 48% 97% st st thru July 1 Since June 1 Off-Campus / Affiliated MOB 37% 97% Off-Campus / Unaffiliated MOB 10% 95% 97% + 3.9% Hospital & LTACH 5% 100% May Billings Collected May Collections, Total 100% 97% thru July 1st Since June 1st Rent Collections as of July 1, 2020 2

EX-99.1

Exhibit 99.1

PRESS RELEASE

Contact:
Physicians Realty Trust
John T. Thomas
President and CEO
(214) 549-6611
jtt@docreit.com
Jeffrey N. Theiler
Executive Vice President and CFO
(414) 367-5610
jnt@docreit.com

Physicians Realty Trust Provides Supplemental Update Pertaining to June Rent Collections

Reports June Rent Collection of 95.9%

Milwaukee, WI – July 1, 2020– Physicians Realty Trust (NYSE:DOC) (the “Company”) has provided a Supplemental Update pertaining to the status of June rent collections, which can be found on the Company’s homepage and within the Investor Relations portion of the Company’s website at www.docreit.com.

John T. Thomas, President and Chief Executive Officer of the Company, commented, “Through Wednesday, July 1st, we have collected 95.9% of June Rent and Common Area Charges, representing a continued acceleration of collections pace relative to the collections in April (93.5%) and May (93.3%) over a comparable time period. Further, as of July 1st we have now collected a total of 97.5% of April and 97.2% of May charges, resulting in current overall collections of 96.9% for the second quarter. New tenant relief requests received in June were de minimis, and no rent deferral requests have been granted this quarter.

“The DOC Portfolio continues to demonstrate resilience during the COVID-19 pandemic, with each of our assets open and operating to support our nation’s healthcare providers and patients. This includes our medical facilities in Texas, which are unaffected by the recently announced restrictions imposed on the performance of scheduled procedures in inpatient hospitals.

“We encourage everyone to practice social distancing and wear a mask to help address the current spike in COVID-19 cases across the United States. This is especially important as we celebrate our freedom and independence as a country. We do this not only for our own safety, but also for the benefit of our healthcare providers and the most vulnerable members of our society,” Mr. Thomas concluded.

Current Liquidity

As of June 30, 2020, the Company’s cash balance, net of outstanding checks, is $3.1 million and the outstanding balance of the Company’s unsecured revolving credit facility is $70.0 million. The total current borrowing capacity of the unsecured revolving credit facility is $850.0 million.

About Physicians Realty Trust

Physicians Realty Trust is a self-managed healthcare real estate company organized to acquire, selectively develop, own and manage healthcare properties that are leased to physicians, hospitals and healthcare delivery systems. The Company invests in real estate that is integral to providing high quality healthcare. The Company is a Maryland real estate investment trust and has elected to be taxed as a REIT for U.S. federal income tax purposes. The Company conducts its business through an UPREIT structure in which its properties are owned by the Operating Partnership, directly or through limited partnerships, limited liability companies or other subsidiaries.

Forward-Looking Statements

This press release contains statements that are “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, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “anticipate”, “believe”, “expect”, “estimate”, “plan”, “outlook”, “continue”, “intend”, and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward looking statements may include statements regarding the Company’s strategic and operational plans, the Company’s ability to generate internal and external growth, the future outlook, anticipated cash returns, cap rates or yields on properties, anticipated closing of property acquisitions, ability to execute its business plan, and the impact of the COVID-19 pandemic on the Company’s business. While forward-looking statements reflect our good faith beliefs, they are not guarantees of future performance. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on information available at the time those statements are made and/or management’s good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward looking statements. These forward-looking statements are subject to various risks and uncertainties, not all of which are known to the Company and many of which are beyond the Company’s control, which could cause actual results to differ materially from such statements. These risks and uncertainties are described in greater detail in the Company’s filings with the Securities and Exchange Commission (the “Commission”), including, without limitation, the Company’s annual and periodic reports and other documents filed with the Commission. Unless legally required, the Company disclaims any obligation to update any forward-looking statements after the date of this release, whether as a result of new information, future events or otherwise. For a description of factors that may cause the Company’s actual results or performance to differ from its forward-looking statements, please review the information under the heading “Risk Factors” included in the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2020 filed by the Company with the Commission on May 8, 2020 and the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 filed by the Company with the Commission on February 27, 2020.

Source: Physicians Realty Trust

XML

Cover Statement	Jul. 01, 2020
Entity Information [Line Items]
Amendment Flag	false
Title of 12(b) Security	Common stock, $0.01 par value per share
Entity Incorporation, State or Country Code	MD
Entity File Number	001-36007
Document Type	8-K
Document Period End Date	Jul. 01, 2020
Entity Registrant Name	PHYSICIANS REALTY TRUST
Entity Tax Identification Number	46-2519850
Entity Address, Address Line One	309 N. Water Street, Suite 500
Entity Address, City or Town	Milwaukee
Entity Address, State or Province	WI
Entity Address, Postal Zip Code	53202
City Area Code	414
Local Phone Number	367-5600
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Trading Symbol	DOC
Security Exchange Name	NYSE
Entity Emerging Growth Company	false
Entity Central Index Key	0001574540
Physicians Realty L P [Member]
Entity Information [Line Items]
Amendment Flag	false
Entity Incorporation, State or Country Code	DE
Entity File Number	333-205034-01
Entity Registrant Name	PHYSICIANS REALTY L.P.
Entity Tax Identification Number	80-0941870
Entity Central Index Key	0001583994