Table of Contents |
Overview |
(dollars in thousands, at Welltower pro rata ownership) | |||||||||||||||||
Portfolio Composition | Beds/Unit Mix | ||||||||||||||||
Average Age | Properties | Total | Independent Living | Assisted Living | Memory Care | Long-Term/ Post-Acute Care | |||||||||||
Seniors Housing Operating | 16 | 620 | 74,842 | 36,629 | 26,397 | 11,276 | 540 | ||||||||||
Seniors Housing Triple-net | 13 | 340 | 27,658 | 4,954 | 16,175 | 6,225 | 304 | ||||||||||
Outpatient Medical | 14 | 400 | 23,695,544 | (1) | n/a | n/a | n/a | n/a | |||||||||
Health System | 31 | 215 | 25,943 | 201 | 663 | 3,089 | 21,990 | ||||||||||
Long-Term/Post-Acute Care | 18 | 137 | 16,081 | 40 | 873 | — | 15,168 | ||||||||||
Total | 16 | 1,712 |
NOI Performance | Same Store(2) | In-Place Portfolio(3) | ||||||||||||||||||||
Properties | 1Q19 NOI | 1Q20 NOI | % Change | Properties | Annualized In-Place NOI | % of Total | ||||||||||||||||
Seniors Housing Operating | 425 | $ | 202,782 | $ | 199,458 | (1.6 | )% | 580 | $ | 922,652 | 42.9 | % | ||||||||||
Seniors Housing Triple-net(4) | 293 | 88,970 | 91,680 | 3.0 | % | 320 | 417,104 | 19.4 | % | |||||||||||||
Outpatient Medical | 261 | 81,897 | 83,626 | 2.1 | % | 387 | 487,016 | 22.6 | % | |||||||||||||
Health System | 215 | 35,315 | 35,800 | 1.4 | % | 215 | 144,080 | 6.7 | % | |||||||||||||
Long-Term/Post-Acute Care(4) | 124 | 42,390 | 43,504 | 2.6 | % | 135 | 181,272 | 8.4 | % | |||||||||||||
Total | 1,318 | $ | 451,354 | $ | 454,068 | 0.6 | % | 1,637 | $ | 2,152,124 | 100.0 | % |
Portfolio Performance | Facility Revenue Mix | |||||||||||||||||
Stable Portfolio(5) | Occupancy | EBITDAR Coverage(6) | EBITDARM Coverage(6) | Private Pay | Medicaid | Medicare | Other Government(7) | |||||||||||
Seniors Housing Operating(8) | 86.9 | % | n/a | n/a | 97.4 | % | 0.7 | % | 0.6 | % | 1.3 | % | ||||||
Seniors Housing Triple-net | 86.1 | % | 1.03 | 1.19 | 92.4 | % | 3.6 | % | 0.5 | % | 3.5 | % | ||||||
Outpatient Medical | 94.3 | % | n/a | n/a | 99.5 | % | — | — | 0.5 | % | ||||||||
Health System(9) | 83.4 | % | 2.14 | 2.84 | 36.5 | % | 42.5 | % | 21.0 | % | — | |||||||
Long-Term/Post-Acute Care | 83.0 | % | 1.17 | 1.47 | 28.6 | % | 42.2 | % | 29.2 | % | — | |||||||
Total | 1.30 | 1.61 | 92.7 | % | 3.8 | % | 2.2 | % | 1.3 | % | ||||||||
Portfolio |
(dollars in thousands at Welltower pro rata ownership) | ||||||||||||||||||||||||||||
In-Place NOI Diversification(1) | ||||||||||||||||||||||||||||
By Partner: | Total Properties | Seniors Housing Operating | Seniors Housing Triple-net | Outpatient Medical | Health System | Long-Term/ Post-Acute Care | Total | % of Total | ||||||||||||||||||||
Sunrise Senior Living North America | 126 | $ | 239,843 | $ | — | $ | — | $ | — | $ | — | $ | 239,843 | 11.1 | % | |||||||||||||
Sunrise Senior Living United Kingdom | 45 | 66,135 | — | — | — | — | 66,135 | 3.1 | % | |||||||||||||||||||
ProMedica | 215 | — | — | — | 144,080 | — | 144,080 | 6.7 | % | |||||||||||||||||||
Revera | 94 | 98,463 | — | — | — | — | 98,463 | 4.6 | % | |||||||||||||||||||
Genesis Healthcare | 76 | — | — | — | — | 86,378 | 86,378 | 4.0 | % | |||||||||||||||||||
Belmont Village | 21 | 74,689 | — | — | — | — | 74,689 | 3.5 | % | |||||||||||||||||||
Avery Healthcare | 54 | 6,211 | 61,118 | — | — | — | 67,329 | 3.1 | % | |||||||||||||||||||
Sagora Senior Living | 31 | 39,416 | 25,806 | — | — | — | 65,222 | 3.0 | % | |||||||||||||||||||
Brandywine Living | 27 | 64,880 | — | — | — | — | 64,880 | 3.0 | % | |||||||||||||||||||
Senior Resource Group | 24 | 60,508 | — | — | — | — | 60,508 | 2.8 | % | |||||||||||||||||||
Brookdale Senior Living | 84 | — | 59,172 | — | — | — | 59,172 | 2.7 | % | |||||||||||||||||||
Brookdale Senior Living - Transitions(2) | 3 | 3,735 | — | — | — | — | 3,735 | 0.2 | % | |||||||||||||||||||
Remaining | 837 | 268,772 | 271,008 | 487,016 | — | 94,894 | 1,121,690 | 52.2 | % | |||||||||||||||||||
Total | 1,637 | $ | 922,652 | $ | 417,104 | $ | 487,016 | $ | 144,080 | $ | 181,272 | $ | 2,152,124 | 100.0 | % | |||||||||||||
By Country: | ||||||||||||||||||||||||||||
United States | 1,371 | $ | 703,217 | $ | 328,508 | $ | 466,795 | $ | 144,080 | $ | 174,775 | $ | 1,817,375 | 84.4 | % | |||||||||||||
United Kingdom | 117 | 69,797 | 85,274 | 20,221 | — | — | 175,292 | 8.1 | % | |||||||||||||||||||
Canada | 149 | 149,638 | 3,322 | — | — | 6,497 | 159,457 | 7.4 | % | |||||||||||||||||||
Total | 1,637 | $ | 922,652 | $ | 417,104 | $ | 487,016 | $ | 144,080 | $ | 181,272 | $ | 2,152,124 | 100.0 | % | |||||||||||||
By MSA: | ||||||||||||||||||||||||||||
New York | 79 | $ | 85,093 | $ | 33,147 | $ | 31,210 | $ | 3,512 | $ | 12,096 | $ | 165,058 | 7.7 | % | |||||||||||||
Los Angeles | 69 | 89,608 | 18,103 | 37,631 | 422 | — | 145,764 | 6.8 | % | |||||||||||||||||||
Greater London | 51 | 46,158 | 35,972 | 20,221 | — | — | 102,351 | 4.8 | % | |||||||||||||||||||
Dallas | 57 | 27,182 | 19,019 | 32,301 | 740 | 3,927 | 83,169 | 3.9 | % | |||||||||||||||||||
Philadelphia | 51 | 17,165 | 1,175 | 23,627 | 12,134 | 23,515 | 77,616 | 3.6 | % | |||||||||||||||||||
Washington D.C. | 38 | 41,785 | 831 | 6,473 | 10,207 | 3,020 | 62,316 | 2.9 | % | |||||||||||||||||||
Houston | 32 | 16,099 | 4,469 | 33,509 | — | — | 54,077 | 2.5 | % | |||||||||||||||||||
San Francisco | 20 | 31,110 | 9,725 | — | 4,268 | — | 45,103 | 2.1 | % | |||||||||||||||||||
Chicago | 40 | 20,547 | 9,453 | 4,911 | 9,538 | — | 44,449 | 2.1 | % | |||||||||||||||||||
Seattle | 31 | 24,027 | 3,063 | 14,822 | 1,586 | — | 43,498 | 2.0 | % | |||||||||||||||||||
San Diego | 19 | 26,088 | 6,251 | 7,228 | — | 2,697 | 42,264 | 2.0 | % | |||||||||||||||||||
Toronto | 25 | 37,194 | — | — | — | — | 37,194 | 1.7 | % | |||||||||||||||||||
Miami | 35 | 6,684 | — | 21,632 | 5,078 | — | 33,394 | 1.6 | % | |||||||||||||||||||
Minneapolis | 20 | 2,144 | 14,853 | 15,743 | — | — | 32,740 | 1.5 | % | |||||||||||||||||||
Montréal | 20 | 29,778 | — | — | — | — | 29,778 | 1.4 | % | |||||||||||||||||||
Raleigh | 12 | 6,505 | 17,503 | 950 | — | — | 24,958 | 1.2 | % | |||||||||||||||||||
Boston | 16 | 19,307 | — | 2,428 | — | 2,112 | 23,847 | 1.1 | % | |||||||||||||||||||
Denver | 11 | 10,068 | 4,641 | 1,787 | 2,002 | 5,018 | 23,516 | 1.1 | % | |||||||||||||||||||
Atlanta | 23 | 2,909 | — | 18,482 | 1,759 | — | 23,150 | 1.1 | % | |||||||||||||||||||
Baltimore | 20 | 5,451 | — | 12,844 | 2,901 | 1,723 | 22,919 | 1.1 | % | |||||||||||||||||||
Remaining | 968 | 377,750 | 238,899 | 201,217 | 89,933 | 127,164 | 1,034,963 | 48.1 | % | |||||||||||||||||||
Total | 1,637 | $ | 922,652 | $ | 417,104 | $ | 487,016 | $ | 144,080 | $ | 181,272 | $ | 2,152,124 | 100.0 | % | |||||||||||||
Portfolio |
(dollars in thousands at Welltower pro rata ownership) | |||||||||||||||||||||
Seniors Housing Operating | |||||||||||||||||||||
Total Portfolio Performance(1) | 1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | ||||||||||||||||
Properties | 582 | 619 | 566 | 578 | 586 | ||||||||||||||||
Units | 69,209 | 74,145 | 68,918 | 70,144 | 71,710 | ||||||||||||||||
Total occupancy | 86.2 | % | 85.7 | % | 86.0 | % | 86.1 | % | 85.3 | % | |||||||||||
Total revenues | $ | 841,938 | $ | 880,320 | $ | 805,251 | $ | 804,403 | $ | 821,990 | |||||||||||
Operating expenses | 580,917 | 607,836 | 554,782 | 564,895 | 582,533 | ||||||||||||||||
NOI | $ | 261,021 | $ | 272,484 | $ | 250,469 | $ | 239,508 | $ | 239,457 | |||||||||||
NOI margin | 31.0 | % | 31.0 | % | 31.1 | % | 29.8 | % | 29.1 | % | |||||||||||
Recurring cap-ex | $ | 15,226 | $ | 20,275 | $ | 27,306 | $ | 38,756 | $ | 15,414 | |||||||||||
Other cap-ex | $ | 27,366 | $ | 30,320 | $ | 40,117 | $ | 55,536 | $ | 36,751 |
Same Store Performance(2) | 1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | ||||||||||||||||
Properties | 425 | 425 | 425 | 425 | 425 | ||||||||||||||||
Occupancy | 87.6 | % | 87.2 | % | 87.4 | % | 87.7 | % | 87.0 | % | |||||||||||
Same store revenues | $ | 628,678 | $ | 631,725 | $ | 640,958 | $ | 642,718 | $ | 646,829 | |||||||||||
Compensation | 262,902 | 266,618 | 271,097 | 272,229 | 275,325 | ||||||||||||||||
Utilities | 25,195 | 20,978 | 23,290 | 23,638 | 24,654 | ||||||||||||||||
Food | 22,899 | 22,984 | 23,905 | 24,190 | 23,983 | ||||||||||||||||
Repairs and maintenance | 14,300 | 15,055 | 15,612 | 15,683 | 14,818 | ||||||||||||||||
Property taxes | 20,255 | 20,109 | 19,216 | 18,962 | 21,012 | ||||||||||||||||
All other | 80,345 | 81,613 | 79,900 | 84,687 | 87,579 | ||||||||||||||||
Same store operating expenses | 425,896 | 427,357 | 433,020 | 439,389 | 447,371 | ||||||||||||||||
Same store NOI | $ | 202,782 | $ | 204,368 | $ | 207,938 | $ | 203,329 | $ | 199,458 | |||||||||||
Year over year growth rate | (1.6 | )% |
Partners | Properties(3) | Units(3) | Welltower Ownership %(4) | Core Markets | 1Q20 NOI | % of Total | ||||||||||||
Sunrise Senior Living | 171 | 14,548 | 98.2 | % | Southern California | $ | 33,392 | 13.9 | % | |||||||||
Revera | 94 | 11,823 | 75.0 | % | New York / New Jersey | 20,947 | 8.7 | % | ||||||||||
Belmont Village | 21 | 2,952 | 95.0 | % | Northern California | 19,392 | 8.1 | % | ||||||||||
Brandywine Living | 27 | 2,588 | 99.5 | % | Greater London | 12,334 | 5.2 | % | ||||||||||
Senior Resource Group | 24 | 4,656 | 64.7 | % | Washington D.C. | 11,800 | 4.9 | % | ||||||||||
Sagora Senior Living | 14 | 2,697 | 92.8 | % | Toronto | 9,250 | 3.9 | % | ||||||||||
Chartwell Retirement Residences | 40 | 8,071 | 51.4 | % | Boston | 6,714 | 2.8 | % | ||||||||||
Cogir | 18 | 3,268 | 88.2 | % | Montréal | 7,192 | 3.0 | % | ||||||||||
Senior Star Living | 11 | 2,064 | 90.0 | % | Seattle | 5,907 | 2.5 | % | ||||||||||
Frontier Management | 28 | 1,579 | 94.8 | % | Ottawa | 4,511 | 1.9 | % | ||||||||||
Merrill Gardens | 11 | 1,508 | 80.0 | % | Vancouver | 2,486 | 1.0 | % | ||||||||||
Pegasus Senior Living | 35 | 3,812 | 98.0 | % | Birmingham, UK | 2,050 | 0.9 | % | ||||||||||
Clover Management | 32 | 3,892 | 89.8 | % | Manchester, UK | 1,837 | 0.8 | % | ||||||||||
Oakmont Senior Living | 8 | 623 | 100.0 | % | Core Markets | 137,812 | 57.6 | % | ||||||||||
Remaining | 46 | 7,123 | All Other | 101,645 | 42.4 | % | ||||||||||||
Total | 580 | 71,204 | Total | $ | 239,457 | 100.0 | % |
Portfolio |
3-Mile Ring(1) | ||||||||||||||||||||||||||||||
Welltower | Welltower | |||||||||||||||||||||||||||||
MSA | Prop. / Units | Annualized IPNOI(2) | % of US SHO Portfolio | Prop. / Units Under Construction(3) | Prop. / Units Potentially Impacted | IPNOI Potentially Impacted(4) | 5 Year Total Pop. Growth(5) | 5 Year 75+ Pop. Growth(5) | Avg. Pop. Density(6) | Household Income(7) | Housing Value(7) | Est. Net Annual Inventory Growth(8) | Est. Annual Job Growth(9) | |||||||||||||||||
Los Angeles | 31 / 3,676 | $ | 89,608 | 12.7 | % | 6 / 867 | 6 / 652 | $ | 12,291 | 2.6 | % | 12.4 | % | 6,868 | $ | 97,265 | $ | 987,865 | 2.1 | % | 1.7 | % | ||||||||
New York | 30 / 2,587 | 85,093 | 12.1 | % | 3 / 349 | 3 / 258 | 5,705 | 0.4 | % | 5.9 | % | 4,096 | 115,928 | 547,345 | 4.2 | % | 1.0 | % | ||||||||||||
Washington D.C. | 12 / 1,358 | 41,785 | 5.9 | % | 4 / 457 | 4 / 342 | 6,699 | 3.7 | % | 13.9 | % | 5,554 | 137,695 | 730,270 | 4.1 | % | 0.7 | % | ||||||||||||
San Francisco | 13 / 1,623 | 31,110 | 4.4 | % | — | — | — | 4.0 | % | 13.0 | % | 9,068 | 127,452 | 1,128,660 | (0.3 | )% | 1.7 | % | ||||||||||||
Dallas | 15 / 2,278 | 27,182 | 3.9 | % | 1 / 83 | 1 / 52 | 187 | 7.5 | % | 30.4 | % | 3,376 | 85,232 | 338,910 | 3.5 | % | 3.4 | % | ||||||||||||
San Diego | 9 / 1,150 | 26,088 | 3.7 | % | — | — | — | 3.3 | % | 17.0 | % | 5,020 | 106,767 | 885,017 | (0.1 | )% | 1.8 | % | ||||||||||||
Seattle | 17 / 1,987 | 24,027 | 3.4 | % | 3 / 305 | 5 / 680 | 3,578 | 6.3 | % | 21.7 | % | 5,195 | 100,432 | 640,248 | 0.5 | % | 2.9 | % | ||||||||||||
Chicago | 16 / 1,724 | 20,547 | 2.9 | % | 2 / 188 | 3 / 257 | 2,389 | -0.1 | % | 10.3 | % | 3,416 | 87,594 | 314,144 | 0.9 | % | 0.6 | % | ||||||||||||
Boston | 11 / 751 | 19,307 | 2.7 | % | — | — | — | 3.3 | % | 8.4 | % | 2,613 | 134,737 | 749,216 | 3.0 | % | 0.9 | % | ||||||||||||
San Jose | 6 / 735 | 18,074 | 2.6 | % | — | — | — | 4.3 | % | 14.1 | % | 6,386 | 131,182 | 1,342,362 | (1.8 | )% | 1.9 | % | ||||||||||||
Philadelphia | 11 / 885 | 17,165 | 2.4 | % | 3 / 475 | 2 / 146 | 3,099 | 0.9 | % | 5.0 | % | 2,143 | 110,061 | 372,600 | 2.4 | % | 1.0 | % | ||||||||||||
Houston | 9 / 879 | 16,099 | 2.3 | % | 3 / 539 | 3 / 318 | 3,328 | 7.3 | % | 27.4 | % | 3,637 | 83,597 | 398,411 | 5.0 | % | 2.2 | % | ||||||||||||
Sacramento | 7 / 598 | 14,293 | 2.0 | % | 3 / 562 | 3 / 287 | 4,945 | 4.1 | % | 14.4 | % | 3,697 | 90,152 | 508,855 | 3.1 | % | 1.9 | % | ||||||||||||
Boulder, CO | 6 / 518 | 12,644 | 1.8 | % | — | — | — | 6.0 | % | 31.4 | % | 2,029 | 104,712 | 673,537 | N/A | 1.4 | % | |||||||||||||
San Antonio | 4 / 1,075 | 12,267 | 1.7 | % | 2 / 370 | 2 / 512 | 2,537 | 8.8 | % | 30.5 | % | 2,370 | 75,919 | 264,998 | 1.1 | % | 2.8 | % | ||||||||||||
Denver | 4 / 661 | 10,068 | 1.4 | % | 3 / 458 | 1 / 163 | 757 | 7.0 | % | 25.3 | % | 5,056 | 86,266 | 583,763 | 0.7 | % | 2.7 | % | ||||||||||||
Cincinnati | 4 / 662 | 9,222 | 1.3 | % | — | — | — | 1.2 | % | 9.4 | % | 1,981 | 70,241 | 188,997 | 0.2 | % | 0.2 | % | ||||||||||||
Phoenix | 7 / 767 | 8,602 | 1.2 | % | 1 / 118 | 1 / 47 | 767 | 6.7 | % | 13.6 | % | 3,659 | 77,956 | 375,724 | 2.4 | % | 3.2 | % | ||||||||||||
Santa Maria, CA | 2 / 605 | 8,576 | 1.2 | % | — | — | — | 3.1 | % | 6.8 | % | 2,807 | 100,239 | 711,428 | N/A | 2.2 | % | |||||||||||||
Trenton, NJ | 2 / 207 | 7,946 | 1.1 | % | 1 / 120 | 1 / 112 | 3,432 | 2.2 | % | 9.9 | % | 819 | 137,639 | 495,319 | N/A | 1.2 | % | |||||||||||||
Columbus | 4 / 463 | 7,804 | 1.1 | % | 3 / 352 | 2 / 333 | 3,208 | 5.7 | % | 29.5 | % | 2,280 | 99,606 | 335,584 | 3.0 | % | (0.7 | )% | ||||||||||||
Buffalo | 10 / 1,254 | 7,365 | 1.0 | % | — | — | — | 0.4 | % | 3.5 | % | 2,799 | 70,413 | 182,730 | 7.6 | % | (0.2 | )% | ||||||||||||
Las Vegas | 5 / 788 | 7,327 | 1.0 | % | — | — | — | 5.9 | % | 17.6 | % | 5,889 | 60,937 | 282,122 | (1.6 | )% | 1.3 | % | ||||||||||||
Salisbury, MD | 2 / 214 | 7,248 | 1.0 | % | — | — | — | 8.6 | % | 10.7 | % | 643 | 72,695 | 426,614 | N/A | 3.2 | % | |||||||||||||
Austin | 5 / 431 | 7,241 | 1.0 | % | — | — | — | 8.8 | % | 43.0 | % | 2,338 | 131,416 | 696,534 | 11.5 | % | 3.3 | % | ||||||||||||
Total - Top 25 | 242 / 27,876 | $ | 536,688 | 76.3 | % | 38 / 5,243 | 37 / 4,159 | $ | 52,922 | 3.7 | % | 15.2 | % | 4,438 | $ | 105,697 | $ | 671,703 | 2.4 | % | 1.6 | % | ||||||||
All Other US SHO Markets | 141 / 17,456 | 166,529 | 23.7 | % | 16 / 2,390 | 16 / 2,022 | 19,766 | 3.4 | % | 12.0 | % | 2,387 | 76,944 | 337,029 | ||||||||||||||||
Total US SHO | 383 / 45,332 | $ | 703,217 | 100.0 | % | 54 / 7,633 | 53 / 6,181 | $ | 72,688 | 3.6 | % | 14.1 | % | 3,693 | $ | 98,361 | $ | 586,318 | ||||||||||||
% of Total IPNOI | 3.4 | % | ||||||||||||||||||||||||||||
US National Average | 3.3 | % | 11.7 | % | 94 | $ | 66,010 | $ | 245,219 | 2.3 | % | (10) | 1.0 | % | ||||||||||||||||
Portfolio |
5-Mile Ring(1) | ||||||||||||||||||||||||||||||
Welltower | Welltower | |||||||||||||||||||||||||||||
MSA | Prop. / Units | Annualized IPNOI(2) | % of US SHO Portfolio | Prop. / Units Under Construction(3) | Prop. / Units Potentially Impacted | IPNOI Potentially Impacted(4) | 5 Year Total Pop. Growth(5) | 5 Year 75+ Pop. Growth(5) | Avg. Pop. Density(6) | Household Income(7) | Housing Value(7) | Est. Net Annual Inventory Growth(8) | Est. Annual Job Growth(9) | |||||||||||||||||
Los Angeles | 31 / 3,676 | $ | 89,608 | 12.7 | % | 9 / 1,243 | 16 / 1,877 | $ | 27,842 | 2.6 | % | 13.0 | % | 6,666 | $ | 90,893 | $ | 909,301 | 2.1 | % | 1.7 | % | ||||||||
New York | 30 / 2,587 | 85,093 | 12.1 | % | 7 / 839 | 9 / 715 | 14,810 | 0.6 | % | 5.8 | % | 4,022 | 110,695 | 516,582 | 4.2 | % | 1.0 | % | ||||||||||||
Washington D.C. | 12 / 1,358 | 41,785 | 5.9 | % | 7 / 1,010 | 10 / 1,139 | 10,258 | 4.1 | % | 14.6 | % | 5,489 | 128,687 | 700,267 | 4.1 | % | 0.7 | % | ||||||||||||
San Francisco | 13 / 1,623 | 31,110 | 4.4 | % | 1 / 79 | 1 / 171 | 563 | 4.0 | % | 13.2 | % | 7,723 | 125,822 | 1,108,359 | (0.3 | )% | 1.7 | % | ||||||||||||
Dallas | 15 / 2,278 | 27,182 | 3.9 | % | 5 / 1,075 | 4 / 392 | 3,789 | 7.4 | % | 29.2 | % | 3,207 | 77,801 | 325,066 | 3.5 | % | 3.4 | % | ||||||||||||
San Diego | 9 / 1,150 | 26,088 | 3.7 | % | 1 / 200 | 2 / 249 | 3,403 | 3.5 | % | 15.8 | % | 4,895 | 103,987 | 809,194 | (0.1 | )% | 1.8 | % | ||||||||||||
Seattle | 17 / 1,987 | 24,027 | 3.4 | % | 3 / 305 | 5 / 680 | 4,070 | 6.4 | % | 22.8 | % | 4,775 | 99,478 | 630,572 | 0.5 | % | 2.9 | % | ||||||||||||
Chicago | 16 / 1,724 | 20,547 | 2.9 | % | 7 / 1,074 | 7 / 701 | 6,638 | -0.2 | % | 11.0 | % | 3,283 | 89,687 | 321,072 | 0.9 | % | 0.6 | % | ||||||||||||
Boston | 11 / 751 | 19,307 | 2.7 | % | 3 / 365 | 3 / 261 | 2,595 | 3.3 | % | 8.4 | % | 2,551 | 121,829 | 669,279 | 3.0 | % | 0.9 | % | ||||||||||||
San Jose | 6 / 735 | 18,074 | 2.6 | % | 1 / 200 | 1 / 95 | 1,434 | 4.3 | % | 14.0 | % | 5,477 | 130,074 | 1,331,246 | (1.8 | )% | 1.9 | % | ||||||||||||
Philadelphia | 11 / 885 | 17,165 | 2.4 | % | 5 / 771 | 3 / 215 | 4,854 | 1.0 | % | 5.4 | % | 2,330 | 99,081 | 334,823 | 2.4 | % | 1.0 | % | ||||||||||||
Houston | 9 / 879 | 16,099 | 2.3 | % | 5 / 819 | 4 / 615 | 7,852 | 7.5 | % | 30.5 | % | 3,689 | 80,465 | 309,717 | 5.0 | % | 2.2 | % | ||||||||||||
Sacramento | 7 / 598 | 14,293 | 2.0 | % | 6 / 855 | 5 / 438 | 6,741 | 4.0 | % | 15.0 | % | 3,464 | 88,067 | 483,771 | 3.1 | % | 1.9 | % | ||||||||||||
Boulder, CO | 6 / 518 | 12,644 | 1.8 | % | — | — | — | 6.4 | % | 28.7 | % | 1,406 | 110,648 | 662,057 | N/A | 1.4 | % | |||||||||||||
San Antonio | 4 / 1,075 | 12,267 | 1.7 | % | 2 / 370 | 2 / 512 | 2,537 | 8.6 | % | 29.4 | % | 2,254 | 70,852 | 248,486 | 1.1 | % | 2.8 | % | ||||||||||||
Denver | 4 / 661 | 10,068 | 1.4 | % | 4 / 578 | 2 / 252 | 811 | 6.7 | % | 25.0 | % | 4,589 | 85,506 | 485,840 | 0.7 | % | 2.7 | % | ||||||||||||
Cincinnati | 4 / 662 | 9,222 | 1.3 | % | — | — | — | 1.3 | % | 10.4 | % | 1,662 | 68,624 | 188,655 | 0.2 | % | 0.2 | % | ||||||||||||
Phoenix | 7 / 767 | 8,602 | 1.2 | % | 5 / 616 | 3 / 356 | 2,286 | 7.1 | % | 15.1 | % | 3,463 | 76,010 | 346,043 | 2.4 | % | 3.2 | % | ||||||||||||
Santa Maria, CA | 2 / 605 | 8,576 | 1.2 | % | — | — | — | 3.8 | % | 7.9 | % | 1,667 | 92,110 | 748,551 | N/A | 2.2 | % | |||||||||||||
Trenton, NJ | 2 / 207 | 7,946 | 1.1 | % | 2 / 218 | 1 / 112 | 3,432 | 1.4 | % | 9.8 | % | 1,079 | 125,761 | 454,416 | N/A | 1.2 | % | |||||||||||||
Columbus | 4 / 463 | 7,804 | 1.1 | % | 4 / 466 | 3 / 413 | 5,022 | 5.5 | % | 27.2 | % | 2,104 | 87,647 | 300,639 | 3.0 | % | (0.7 | )% | ||||||||||||
Buffalo | 10 / 1,254 | 7,365 | 1.0 | % | — | — | — | 0.2 | % | 3.5 | % | 2,522 | 66,978 | 173,904 | 7.6 | % | (0.2 | )% | ||||||||||||
Las Vegas | 5 / 788 | 7,327 | 1.0 | % | 1 / 62 | 1 / 80 | 388 | 6.3 | % | 19.7 | % | 5,575 | 58,448 | 276,471 | (1.6 | )% | 1.3 | % | ||||||||||||
Salisbury, MD | 2 / 214 | 7,248 | 1.0 | % | — | — | — | 8.1 | % | 10.2 | % | 556 | 76,643 | 403,261 | N/A | 3.2 | % | |||||||||||||
Austin | 5 / 431 | 7,241 | 1.0 | % | 2 / 118 | 2 / 170 | 954 | 8.6 | % | 40.9 | % | 2,371 | 100,042 | 579,433 | 11.5 | % | 3.3 | % | ||||||||||||
Total - Top 25 | 242 / 27,876 | $ | 536,688 | 76.3 | % | 80 / 11,263 | 84 / 9,443 | $ | 110,279 | 3.7 | % | 15.4 | % | 4,191 | $ | 100,551 | $ | 632,273 | 2.4 | % | 1.6 | % | ||||||||
All Other US SHO Markets | 141 / 17,456 | 166,529 | 23.7 | % | 29 / 4,226 | 31 / 4,264 | 31,251 | 3.3 | % | 12.3 | % | 2,037 | 74,353 | 330,515 | ||||||||||||||||
Total US SHO | 383 / 45,332 | $ | 703,217 | 100.0 | % | 109 / 15,489 | 115 / 13,707 | $ | 141,530 | 3.6 | % | 14.3 | % | 3,409 | $ | 93,867 | $ | 555,286 | ||||||||||||
% of Total IPNOI | 6.6 | % | ||||||||||||||||||||||||||||
US National Average | 3.3 | % | 11.7 | % | 94 | $ | 66,010 | $ | 245,219 | 2.3 | % | (10) | 1.0 | % | ||||||||||||||||
Portfolio |
Seniors Housing Operating Quality Indicators | ||||||||
US Portfolio(1,3,4) | Industry Benchmarks(2) | |||||||
Property age | 15 | 20 | ||||||
5 year total population growth | 3.6 | % | 3.3 | % | ||||
5 year 75+ population growth | 14.1 | % | 11.7 | % | ||||
Housing value | $ | 586,318 | $ | 245,219 | ||||
Household income | $ | 98,361 | $ | 66,010 | ||||
REVPOR | $ | 6,315 | $ | 5,067 | ||||
SS REVPOR growth | 3.6 | % | 2.4 | % | ||||
SSNOI per unit | $ | 23,356 | $ | 18,307 | ||||
SSNOI growth | (1.1 | )% | DNA | |||||
UK Portfolio(1,3,4) | Industry Benchmarks(5) | |||||||
Property age | 11 | 21 | ||||||
Units per property | 80 | 41 | ||||||
5 year total population growth | 3.1 | % | 2.7 | % | ||||
5 year 75+ population growth | 13.0 | % | 18.4 | % | ||||
Housing value | £ | 382,228 | £ | 229,352 | ||||
REVPOR | £ | 6,695 | £ | 3,720 | ||||
SS REVPOR growth | 5.4 | % | 3.3 | % | ||||
SSNOI per unit | £ | 16,860 | £ | 9,544 | ||||
SSNOI growth | 4.0 | % | DNA | |||||
Canadian Portfolio(1,3,4) | Industry Benchmarks(6) | |||||||
5 year total population growth | 5.6 | % | 5.5 | % | ||||
5 year 75+ population growth | 19.0 | % | 22.2 | % | ||||
Housing value | C$ | 569,253 | C$ | 456,053 | ||||
Household income | C$ | 111,736 | C$ | 102,231 | ||||
REVPOR | C$ | 3,712 | C$ | 2,469 | ||||
SS REVPOR growth | 1.8 | % | 3.4 | % | ||||
SSNOI per unit | C$ | 14,611 | DNA | |||||
SSNOI growth | (5.9 | )% | DNA |
Portfolio |
(dollars in thousands at Welltower pro rata ownership) | |||||||||||||||||||||||||
Payment Coverage Stratification | |||||||||||||||||||||||||
EBITDARM Coverage(1) | EBITDAR Coverage(1) | ||||||||||||||||||||||||
% of In-Place NOI | Seniors Housing Triple-net | Long-Term/ Post- Acute Care | Total | Weighted Average Maturity | Number of Leases | Seniors Housing Triple-net | Long-Term/ Post- Acute Care | Total | Weighted Average Maturity | Number of Leases | |||||||||||||||
<0.85x | 0.3 | % | 0.1 | % | 0.4 | % | 5 | 4 | 3.2 | % | 1.1 | % | 4.3 | % | 6 | 12 | |||||||||
0.85x - 0.95x | 1.7 | % | — | % | 1.7 | % | 6 | 2 | 2.0 | % | — | % | 2.0 | % | 12 | 4 | |||||||||
0.95x - 1.05x | 1.2 | % | 0.1 | % | 1.3 | % | 8 | 4 | 2.9 | % | — | % | 2.9 | % | 13 | 5 | |||||||||
1.05x - 1.15x | 2.5 | % | 0.9 | % | 3.4 | % | 10 | 7 | 5.6 | % | 5.7 | % | 11.3 | % | 11 | 7 | |||||||||
1.15x - 1.25x | 2.4 | % | — | % | 2.4 | % | 14 | 4 | 1.6 | % | — | % | 1.6 | % | 9 | 2 | |||||||||
1.25x - 1.35x | 5.9 | % | 1.0 | % | 6.9 | % | 8 | 6 | 2.7 | % | — | % | 2.7 | % | 13 | 1 | |||||||||
>1.35x | 4.0 | % | 5.7 | % | 9.7 | % | 13 | 7 | — | % | 1.0 | % | 1.0 | % | 7 | 3 | |||||||||
Total | 18.0 | % | 7.8 | % | 25.8 | % | 11 | 34 | 18.0 | % | 7.8 | % | 25.8 | % | 11 | 34 | |||||||||
Revenue and Lease Maturity(2) | |||||||||||||||||||||||||||
Rental Income | |||||||||||||||||||||||||||
Year | Seniors Housing Triple-net | Outpatient Medical | Health System | Long-Term / Post-Acute Care | Interest Income | Total Revenues | % of Total | ||||||||||||||||||||
2020 | $ | — | $ | 32,701 | $ | — | $ | 1,565 | $ | 9,411 | $ | 43,677 | 3.3 | % | |||||||||||||
2021 | 3,543 | 49,516 | — | 8,968 | 20,008 | 82,035 | 6.2 | % | |||||||||||||||||||
2022 | 4,677 | 53,873 | — | 5,765 | 20,503 | 84,818 | 6.4 | % | |||||||||||||||||||
2023 | — | 54,391 | — | 840 | — | 55,231 | 4.2 | % | |||||||||||||||||||
2024 | 11,262 | 60,051 | — | — | 1,146 | 72,459 | 5.5 | % | |||||||||||||||||||
2025 | 51,793 | 30,876 | — | — | 207 | 82,876 | 6.2 | % | |||||||||||||||||||
2026 | 86,744 | 36,937 | — | 16,465 | — | 140,146 | 10.6 | % | |||||||||||||||||||
2027 | 31,249 | 24,774 | — | 1,041 | 221 | 57,285 | 4.3 | % | |||||||||||||||||||
2028 | 6,912 | 27,741 | — | 19,796 | 174 | 54,623 | 4.1 | % | |||||||||||||||||||
2029 | 33,042 | 25,374 | — | — | 212 | 58,628 | 4.4 | % | |||||||||||||||||||
Thereafter | 181,377 | 140,369 | 143,199 | 127,618 | 2,204 | 594,767 | 44.8 | % | |||||||||||||||||||
$ | 410,599 | $ | 536,603 | $ | 143,199 | $ | 182,058 | $ | 54,086 | $ | 1,326,545 | 100.0 | % | ||||||||||||||
Weighted Avg Maturity Years | 10 | 7 | 13 | 11 | 2 | 9 | |||||||||||||||||||||
Portfolio |
(dollars in thousands at Welltower pro rata ownership) | ||||||||||||||||||||
Outpatient Medical | ||||||||||||||||||||
Total Portfolio Performance(1) | 1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | |||||||||||||||
Properties | 283 | 340 | 348 | 378 | 388 | |||||||||||||||
Square feet | 17,649,227 | 21,098,926 | 21,472,874 | 23,044,140 | 23,186,273 | |||||||||||||||
Occupancy | 92.9 | % | 93.3 | % | 93.6 | % | 94.0 | % | 94.3 | % | ||||||||||
Total revenues | $ | 139,735 | $ | 154,443 | $ | 175,000 | $ | 180,101 | $ | 193,959 | ||||||||||
Operating expenses | 44,868 | 47,894 | 57,272 | 55,915 | 58,533 | |||||||||||||||
NOI | $ | 94,867 | $ | 106,549 | $ | 117,728 | $ | 124,186 | $ | 135,426 | ||||||||||
NOI margin | 67.9 | % | 69.0 | % | 67.3 | % | 69.0 | % | 69.8 | % | ||||||||||
Revenues per square foot | $ | 33.20 | $ | 30.45 | $ | 33.90 | $ | 32.49 | $ | 36.86 | ||||||||||
NOI per square foot | $ | 22.54 | $ | 21.01 | $ | 22.80 | $ | 22.41 | $ | 25.74 | ||||||||||
Recurring cap-ex | $ | 6,400 | $ | 8,528 | $ | 7,296 | $ | 7,794 | $ | 7,202 | ||||||||||
Other cap-ex | $ | 2,860 | $ | 2,374 | $ | 5,989 | $ | 8,618 | $ | 5,893 |
Same Store Performance(2) | 1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | |||||||||||||||
Properties | 261 | 261 | 261 | 261 | 261 | |||||||||||||||
Occupancy | 93.4 | % | 93.5 | % | 93.9 | % | 94.0 | % | 94.3 | % | ||||||||||
Same store revenues | $ | 119,437 | $ | 119,062 | $ | 122,586 | $ | 121,855 | $ | 121,703 | ||||||||||
Same store operating expenses | 37,540 | 36,566 | 39,392 | 38,547 | 38,077 | |||||||||||||||
Same store NOI | $ | 81,897 | $ | 82,496 | $ | 83,194 | $ | 83,308 | $ | 83,626 | ||||||||||
Year over year growth rate | 2.1 | % |
Portfolio Diversification by Tenant(3) | Rental Income | % of Total | Quality Indicators | ||||||||
Kelsey-Seybold | $ | 22,589 | 4.2 | % | Health system affiliated properties as % of NOI(3) | 92.5 | % | ||||
NMC Health | 19,653 | 3.7 | % | Health system affiliated tenants as % of rental income(3) | 66.2 | % | |||||
CommonSpirit Health | 17,461 | 3.3 | % | Retention (trailing twelve months)(3) | 82.4 | % | |||||
Virtua | 16,458 | 3.1 | % | In-house managed properties as % of square feet(3,4) | 81.2 | % | |||||
Baylor Scott & White | 16,395 | 3.1 | % | Average remaining lease term (years)(3) | 6.6 | ||||||
Remaining portfolio | 444,047 | 82.6 | % | Average building size (square feet)(3) | 59,231 | ||||||
Total | $ | 536,603 | 100.0 | % | Average age (years) | 14 |
Expirations(3) | 2020 | 2021 | 2022 | 2023 | 2024 | Thereafter | ||||||||||||
Occupied square feet | 1,330,660 | 2,007,430 | 2,095,954 | 2,158,126 | 2,305,259 | 11,385,548 | ||||||||||||
% of occupied square feet | 6.3 | % | 9.4 | % | 9.8 | % | 10.1 | % | 10.8 | % | 53.6 | % | ||||||
Investment |
Detail of Acquisitions/JVs(1) | ||||||||||||||||||||||||
2016 | 2017 | 2018 | 2019 | 1Q20 | 16-20 Total | |||||||||||||||||||
Count | 22 | 18 | 15 | 27 | 4 | 86 | ||||||||||||||||||
Total | $ | 2,287,973 | $ | 742,020 | $ | 3,788,261 | $ | 4,073,554 | $ | 397,911 | $ | 11,289,719 | ||||||||||||
Low | 10,618 | 7,310 | 4,950 | 7,550 | 28,420 | 4,950 | ||||||||||||||||||
Median | 27,402 | 24,025 | 73,727 | 38,800 | 67,052 | 35,954 | ||||||||||||||||||
High | 1,150,000 | 149,400 | 2,481,723 | 1,250,000 | 235,387 | 2,481,723 |
Investment Timing | ||||||||||||||||||
Acquisitions/Joint Ventures(2) | Yield | Construction Conversions(3) | Yield | Dispositions | Yield | |||||||||||||
January | $ | 321,387 | 5.8 | % | $ | 19,369 | 6.6 | % | $ | 60,946 | 5.8 | % | ||||||
February | 48,104 | 3.9 | % | 34,239 | 9.1 | % | 60,700 | 5.8 | % | |||||||||
March | 28,420 | 6.1 | % | 61,298 | 9.5 | % | 586,563 | 5.3 | % | |||||||||
Total | $ | 397,911 | 5.6 | % | $ | 114,906 | 8.9 | % | $ | 708,209 | 5.4 | % |
Investment |
(dollars in thousands at Welltower pro rata ownership, except per bed / unit / square foot) | |||||||||||||
Gross Investment Activity | |||||||||||||
First Quarter 2020 | |||||||||||||
Properties | Beds / Units / Square Feet | Pro Rata Amount | Investment Per Bed / Unit / SqFt | Yield | |||||||||
Acquisitions / Joint Ventures(1) | |||||||||||||
Seniors Housing Operating | 5 | 1,165 | units | $ | 162,524 | 174,683 | 4.8 | % | |||||
Outpatient Medical | 16 | 505,012 | sf | 235,387 | 466 | 6.1 | % | ||||||
Total acquisitions | 21 | 397,911 | 5.6 | % | |||||||||
Development(2) | |||||||||||||
Development projects: | |||||||||||||
Seniors Housing Operating | 27 | 3,442 | units | 68,079 | |||||||||
Seniors Housing Triple-net | 9 | 855 | units | 21,448 | |||||||||
Outpatient Medical | 6 | 564,271 | sf | 28,904 | |||||||||
Total development projects | 42 | 118,431 | |||||||||||
Expansion projects: | |||||||||||||
Seniors Housing Operating | 4 | 212 | units | 22,131 | |||||||||
Total expansion projects | 4 | 22,131 | |||||||||||
Total development | 46 | 140,562 | 7.8 | % | |||||||||
Total gross investments | 538,473 | 6.2 | % | ||||||||||
Dispositions(3) | |||||||||||||
Seniors Housing Triple-net | 1 | 69 | units | 8,125 | 117,754 | 9.4 | % | ||||||
Outpatient Medical | 31 | 2,201,110 | sf | 637,770 | 329 | 5.4 | % | ||||||
Health System | 3 | 426 | units | 53,168 | 156,009 | 3.8 | % | ||||||
Long-Term/Post-Acute Care | 1 | 123 | beds | 9,146 | 74,357 | 8.0 | % | ||||||
Real property dispositions | 36 | 708,209 | 5.4 | % | |||||||||
Loan payoffs | 9,012 | 7.0 | % | ||||||||||
Total dispositions | 717,221 | 5.4 | % | ||||||||||
Net investments (dispositions) | $ | (178,748 | ) |
Investment |
Property Acquisitions/Joint Ventures Detail | ||||||||||
Operator | Units | Location | MSA | |||||||
Seniors Housing Operating | ||||||||||
Pinnacle Property Management | 344 | 1600 S Valley View Road | Las Vegas | Nevada | US | Las Vegas | ||||
Pinnacle Property Management | 96 | 3300 Winterhaven Street | Las Vegas | Nevada | US | Las Vegas | ||||
Pinnacle Property Management | 180 | 3210 S Sandhill Road | Las Vegas | Nevada | US | Las Vegas | ||||
Kisco Senior Living | 200 | 11289 Oakmond Rd | South Jordan | Utah | US | Salt Lake City | ||||
Chartwell Retirement Residences | 345 | 5885 Chemin de Chambly | Longueuil | Quebec | CA | Montréal | ||||
Total | 1,165 | |||||||||
Outpatient Medical | ||||||||||
Health System | Square Feet | Location | MSA | |||||||
Advocate Aurora Health | 39,734 | 745 Fletcher Drive | Elgin | Illinois | US | Chicago | ||||
Northwest Community Hospital | 16,097 | 1632 W. Central Road | Arlington Heights | Illinois | US | Chicago | ||||
Highmark | 30,076 | 6998 Crider Road | Mars | Pennsylvania | US | Pittsburgh | ||||
Highmark | 61,080 | 2550 Mosside Blvd | Monroeville | Pennsylvania | US | Pittsburgh | ||||
Beaumont Health | 15,921 | 1700 Biddle Ave | Wyandotte | Michigan | US | Detroit | ||||
Fresenius Medical Care | 12,558 | 19401 East 37th Terrace Court South | Independence | Missouri | US | Kansas City | ||||
CommonSpirit Health | 7,436 | 1910 S. Gilbert Road | Mesa | Arizona | US | Phoenix | ||||
CommonSpirit Health | 10,310 | 1833 N. Power Road | Mesa | Arizona | US | Phoenix | ||||
CommonSpirit Health | 39,430 | 9880 West Flamingo Road | Las Vegas | Nevada | US | Las Vegas | ||||
CommonSpirit Health | 41,243 | 4980 West Sahara Ave | Las Vegas | Nevada | US | Las Vegas | ||||
Unaffiliated | 53,606 | 5620 Wilbur Ave | Tarzana | California | US | Los Angeles | ||||
Unaffiliated | 23,643 | 21502 Merchants Way | Katy | Texas | US | Houston | ||||
Unaffiliated | 60,880 | 1331 West Grand Parkway North | Katy | Texas | US | Houston | ||||
Unaffiliated | 36,100 | 1630 Gateway Drive | Sycamore | Illinois | US | Chicago | ||||
Unaffiliated | 32,729 | 467 Pennsylvania Avenue | Fort Washington | Pennsylvania | US | Philadelphia | ||||
Unaffiliated | 24,169 | 5742 Booth Road | Jacksonville | Florida | US | Jacksonville | ||||
Total | 505,012 |
Investment |
(dollars in thousands at Welltower pro rata ownership) | ||||||||||||||||||
Development Summary(1) | ||||||||||||||||||
Unit Mix | ||||||||||||||||||
Facility | Total | Independent Living | Assisted Living | Memory Care | Commitment Amount | Balance at 3/31/20 | Estimated Conversion | |||||||||||
Seniors Housing Operating | ||||||||||||||||||
New York, NY | 151 | — | 69 | 82 | $ | 89,054 | $ | 87,905 | 2Q20 | |||||||||
Shrewsbury, NJ | 81 | — | 52 | 29 | 11,687 | 10,851 | 2Q20 | |||||||||||
Newton, MA | 85 | — | 43 | 42 | 15,392 | 5,487 | 3Q20 | |||||||||||
Potomac, MD | 120 | — | 90 | 30 | 55,302 | 29,292 | 4Q20 | |||||||||||
Medina, OH | 166 | 166 | — | — | 20,520 | 11,912 | 4Q20 | |||||||||||
Collierville, TN | 164 | 164 | — | — | 18,949 | 11,722 | 4Q20 | |||||||||||
Staten Island, NY | 95 | — | 45 | 50 | 21,590 | 6,587 | 1Q21 | |||||||||||
Redwood City, CA | 90 | — | 56 | 34 | 19,465 | 3,843 | 1Q21 | |||||||||||
Fairfax, VA | 84 | — | 51 | 33 | 16,658 | 4,389 | 1Q21 | |||||||||||
Mountain Lakes, NJ | 90 | — | 57 | 33 | 15,063 | 3,382 | 1Q21 | |||||||||||
Franklin Lakes, NY | 88 | — | 51 | 37 | 14,437 | 3,390 | 1Q21 | |||||||||||
Scarborough, ON | 172 | 141 | — | 31 | 31,093 | 10,326 | 2Q21 | |||||||||||
Boynton Beach, FL | 82 | — | 52 | 30 | 11,465 | 7,648 | 2Q21 | |||||||||||
Bellevue, WA | 110 | — | 110 | — | 9,518 | 2,812 | 2Q21 | |||||||||||
White Plains, NY | 132 | 132 | — | — | 59,913 | 14,105 | 3Q21 | |||||||||||
Beckenham, UK | 100 | — | 76 | 24 | 43,983 | 21,606 | 3Q21 | |||||||||||
Orange, CA | 91 | — | 49 | 42 | 18,578 | 3,118 | 3Q21 | |||||||||||
Livingston, NJ | 103 | — | 77 | 26 | 17,375 | 2,251 | 3Q21 | |||||||||||
Hendon, UK | 102 | — | 78 | 24 | 52,107 | 25,889 | 4Q21 | |||||||||||
Barnet, UK | 100 | — | 76 | 24 | 48,092 | 21,166 | 4Q21 | |||||||||||
Coral Gables, FL | 91 | — | 55 | 36 | 18,225 | 3,656 | 4Q21 | |||||||||||
San Francisco, CA | 214 | 11 | 170 | 33 | 110,905 | 75,875 | 1Q22 | |||||||||||
Alexandria, VA | 93 | — | 66 | 27 | 20,624 | 10,676 | 1Q22 | |||||||||||
New York, NY | 528 | 400 | 92 | 36 | 149,331 | 21,722 | 2Q22 | |||||||||||
Subtotal | 3,132 | 1,014 | 1,415 | 703 | $ | 889,326 | $ | 399,610 | ||||||||||
Seniors Housing Triple-net | ||||||||||||||||||
Union, KY | 162 | 162 | — | — | $ | 34,600 | $ | 28,823 | 2Q20 | |||||||||
Apex, NC | 152 | 98 | 30 | 24 | 30,883 | 23,514 | 2Q20 | |||||||||||
Westerville, OH | 102 | — | 82 | 20 | 27,200 | 23,806 | 2Q20 | |||||||||||
Droitwich, UK | 70 | — | 45 | 25 | 15,769 | 12,626 | 2Q20 | |||||||||||
Edenbridge, UK | 85 | — | 51 | 34 | 19,876 | 14,542 | 3Q20 | |||||||||||
Thousand Oaks, CA | 82 | — | — | 82 | 24,763 | 12,100 | 4Q20 | |||||||||||
Redhill, UK | 76 | — | 46 | 30 | 19,797 | 8,477 | 1Q21 | |||||||||||
Wombourne, UK | 66 | — | 41 | 25 | 14,941 | 3,330 | 4Q21 | |||||||||||
Leicester, UK | 60 | — | 36 | 24 | 13,945 | 3,320 | 4Q21 | |||||||||||
Subtotal | 855 | 260 | 331 | 264 | $ | 201,774 | $ | 130,538 | ||||||||||
Outpatient Medical | ||||||||||||||||||
Rentable Square Ft | Preleased % | Health System Affiliation | Commitment Amount | Balance at 3/31/20 | Estimated Conversion | |||||||||||||
Lowell, MA | 50,668 | 100 | % | Yes | $ | 12,300 | $ | 11,684 | 2Q20 | |||||||||
Katy, TX | 36,500 | 100 | % | Yes | 12,028 | 6,063 | 2Q20 | |||||||||||
Brooklyn, NY | 140,955 | 100 | % | Yes | 105,306 | 86,990 | 3Q20 | |||||||||||
Charlotte, NC | 176,640 | 100 | % | Yes | 95,703 | 65,250 | 4Q20 | |||||||||||
Charlotte, NC | 104,508 | 100 | % | Yes | 52,255 | 27,871 | 4Q20 | |||||||||||
Subtotal | 509,271 | $ | 277,592 | $ | 197,858 | |||||||||||||
Total Development Projects | $ | 1,368,692 | $ | 728,006 | ||||||||||||||
Investment |
(dollars in thousands at Welltower pro rata ownership) | ||||||||||||||||||||||||
Development Funding Projections(1) | ||||||||||||||||||||||||
Projected Future Funding | ||||||||||||||||||||||||
Projects | Beds / Units / Square Feet | Projected Yields(2) | 2020 Funding | Funding Thereafter | Total Unfunded Commitments | Committed Balances | ||||||||||||||||||
Seniors Housing Operating | 24 | 3,132 | 7.9 | % | $ | 321,148 | $ | 168,568 | $ | 489,716 | $ | 889,326 | ||||||||||||
Seniors Housing Triple-net | 9 | 855 | 7.4 | % | 61,845 | 9,391 | 71,236 | 201,774 | ||||||||||||||||
Outpatient Medical | 5 | 509,271 | 6.5 | % | 79,734 | — | 79,734 | 277,592 | ||||||||||||||||
Total | 38 | 7.5 | % | $ | 462,727 | $ | 177,959 | $ | 640,686 | $ | 1,368,692 |
Development Project Conversion Estimates(1) | ||||||||||||||||
Quarterly Conversions | Annual Conversions | |||||||||||||||
Amount | Projected Yields(2) | Amount | Projected Yields(2) | |||||||||||||
1Q20 actual | $ | 93,877 | 8.6 | % | 2020 estimate | $ | 735,464 | 7.5 | % | |||||||
2Q20 estimate | 233,521 | 7.4 | % | 2021 estimate | 446,245 | 8.6 | % | |||||||||
3Q20 estimate | 140,574 | 7.8 | % | 2022 estimate | 280,860 | 6.2 | % | |||||||||
4Q20 estimate | 267,492 | 7.1 | % | Total | $ | 1,462,569 | 7.6 | % | ||||||||
1Q21 estimate | 107,010 | 8.9 | % | |||||||||||||
2Q21 estimate | 52,076 | 8.5 | % | |||||||||||||
3Q21 estimate | 139,849 | 8.4 | % | |||||||||||||
4Q21 estimate | 147,310 | 8.5 | % | |||||||||||||
1Q22 estimate | 131,529 | 6.8 | % | |||||||||||||
2Q22 estimate | 149,331 | 5.7 | % | |||||||||||||
Total | $ | 1,462,569 | 7.6 | % |
Unstabilized Properties | |||||||||||||||||
12/31/2019 Properties | Stabilizations | Construction Conversions(3) | Acquisitions/ Dispositions | 3/31/2020 Properties | Beds / Units | ||||||||||||
Seniors Housing Operating | 29 | (3 | ) | 3 | — | 29 | 3,821 | ||||||||||
Seniors Housing Triple-net | 10 | (1 | ) | — | — | 9 | 697 | ||||||||||
Long-Term/Post-Acute Care | 1 | — | — | — | 1 | 120 | |||||||||||
Total | 40 | (4 | ) | 3 | — | 39 | 4,638 |
Occupancy | 12/31/2019 Properties | Stabilizations | Construction Conversions(3) | Acquisitions/ Dispositions | Progressions | 3/31/2020 Properties | |||||||||||||
0% - 50% | 13 | — | 3 | — | (2 | ) | 14 | ||||||||||||
50% - 70% | 11 | — | — | — | 3 | 14 | |||||||||||||
70% + | 16 | (4 | ) | — | — | (1 | ) | 11 | |||||||||||
Total | 40 | (4 | ) | 3 | — | — | 39 | ||||||||||||
Occupancy | 3/31/2020 Properties | Months In Operation | Revenues | % of Total Revenues(4) | Gross Investment Balance | % of Total Gross Investment | |||||||||||||
0% - 50% | 14 | 6 | $ | 18,079 | 0.4 | % | $ | 347,577 | 1.0 | % | |||||||||
50% - 70% | 14 | 22 | 53,843 | 1.1 | % | 564,569 | 1.6 | % | |||||||||||
70% + | 11 | 20 | 55,505 | 1.1 | % | 272,485 | 0.8 | % | |||||||||||
Total | 39 | 15 | $ | 127,427 | 2.6 | % | $ | 1,184,631 | 3.4 | % | |||||||||
Financial |
(dollars in thousands at Welltower pro rata ownership) | ||||||||
Components of NAV | ||||||||
Stabilized NOI | Pro rata beds/units/square feet | |||||||
Seniors Housing Operating(1) | $ | 922,652 | 58,307 | units | ||||
Seniors Housing Triple-net | 417,104 | 24,289 | units | |||||
Outpatient Medical | 487,016 | 20,484,257 | square feet | |||||
Health System | 144,080 | 20,754 | units/beds | |||||
Long-Term/Post-Acute Care | 181,272 | 13,596 | beds | |||||
Total In-Place NOI(2) | 2,152,124 | |||||||
Incremental stabilized NOI(3) | 60,626 | |||||||
Total stabilized NOI | $ | 2,212,750 | ||||||
Obligations | ||||||||
Lines of credit and commercial paper(4) | $ | 845,000 | ||||||
Senior unsecured notes(4) | 10,306,873 | |||||||
Secured debt(4) | 3,154,966 | |||||||
Financing lease liabilities | 108,348 | |||||||
Total debt | $ | 14,415,187 | ||||||
Add (Subtract): | ||||||||
Other liabilities (assets), net(5) | $ | 79,883 | ||||||
Cash and cash equivalents and restricted cash | (393,066 | ) | ||||||
Net obligations | $ | 14,102,004 | ||||||
Other Assets | ||||||||
Land parcels | $ | 177,347 | Effective Interest Rate(8) | |||||
Real estate loans receivable(6) | 189,110 | 7.7% | ||||||
Non real estate loans receivable(7) | 373,179 | 8.2% | ||||||
Joint venture real estate loans receivables(9) | 248,766 | 5.2% | ||||||
Other investments(10) | 8,034 | |||||||
Investments held for sale(11) | 386,459 | |||||||
Development properties:(12) | ||||||||
Current balance | $ | 767,360 | ||||||
Unfunded commitments | 645,474 | |||||||
Committed balances | $ | 1,412,834 | ||||||
Projected yield | 7.5 | % | ||||||
Projected NOI | $ | 105,963 | ||||||
Common Shares Outstanding(13) | 418,787 |
Unearned revenues | $ | 206,699 | ||
Below market tenant lease intangibles, net | 45,879 | |||
Deferred taxes, net | (20,729 | ) | ||
Available-for-sale equity investments | (8,034 | ) | ||
In place lease intangibles, net | (37,223 | ) | ||
Other non-cash liabilities / (assets), net | 2,447 | |||
Total non-cash liabilities/(assets), net | $ | 189,039 |
Financial |
(dollars in thousands at Welltower pro rata ownership) | ||||||||||||||||||||
Net Operating Income(1) | ||||||||||||||||||||
1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Seniors Housing Operating | ||||||||||||||||||||
Resident fees and services | $ | 837,866 | $ | 878,933 | $ | 803,904 | $ | 802,452 | $ | 820,828 | ||||||||||
Interest income | — | — | — | 36 | 104 | |||||||||||||||
Other income | 4,072 | 1,387 | 1,347 | 1,915 | 1,058 | |||||||||||||||
Total revenues | 841,938 | 880,320 | 805,251 | 804,403 | 821,990 | |||||||||||||||
Seniors Housing Triple-net | ||||||||||||||||||||
Rental income | 113,874 | 107,220 | 114,419 | 115,717 | 85,409 | |||||||||||||||
Interest income | 5,660 | 7,701 | 5,910 | 6,303 | 5,810 | |||||||||||||||
Other income | 945 | 1,105 | 1,312 | 1,403 | 1,159 | |||||||||||||||
Total revenues | 120,479 | 116,026 | 121,641 | 123,423 | 92,378 | |||||||||||||||
Outpatient Medical | ||||||||||||||||||||
Rental income | 139,295 | 154,044 | 174,330 | 177,840 | 193,084 | |||||||||||||||
Interest income | 173 | 238 | 358 | 426 | 466 | |||||||||||||||
Other income | 267 | 161 | 312 | 1,835 | 409 | |||||||||||||||
Total revenues | 139,735 | 154,443 | 175,000 | 180,101 | 193,959 | |||||||||||||||
Health System | ||||||||||||||||||||
Rental income | 43,036 | 43,036 | 43,036 | 43,036 | 42,818 | |||||||||||||||
Total revenues | 43,036 | 43,036 | 43,036 | 43,036 | 42,818 | |||||||||||||||
Long-Term/Post-Acute Care | ||||||||||||||||||||
Rental income | 65,456 | 62,640 | 60,479 | 53,422 | 53,388 | |||||||||||||||
Interest income | 9,286 | 9,417 | 9,369 | 8,953 | 8,861 | |||||||||||||||
Other income | 375 | 173 | 517 | 473 | 514 | |||||||||||||||
Total revenues | 75,117 | 72,230 | 70,365 | 62,848 | 62,763 | |||||||||||||||
Corporate | ||||||||||||||||||||
Other income | 2,031 | 327 | 712 | 385 | 294 | |||||||||||||||
Total revenues | 2,031 | 327 | 712 | 385 | 294 | |||||||||||||||
Total | ||||||||||||||||||||
Rental income | 361,661 | 366,940 | 392,264 | 390,015 | 374,699 | |||||||||||||||
Resident fees and services | 837,866 | 878,933 | 803,904 | 802,452 | 820,828 | |||||||||||||||
Interest income | 15,119 | 17,356 | 15,637 | 15,718 | 15,241 | |||||||||||||||
Other income | 7,690 | 3,153 | 4,200 | 6,011 | 3,434 | |||||||||||||||
Total revenues | $ | 1,222,336 | $ | 1,266,382 | $ | 1,216,005 | $ | 1,214,196 | $ | 1,214,202 | ||||||||||
Property operating expenses: | ||||||||||||||||||||
Seniors Housing Operating | $ | 580,917 | $ | 607,836 | $ | 554,782 | $ | 564,895 | $ | 582,533 | ||||||||||
Seniors Housing Triple-net | 8,935 | 7,219 | 8,282 | 7,473 | 8,363 | |||||||||||||||
Outpatient Medical | 44,868 | 47,894 | 57,272 | 55,915 | 58,533 | |||||||||||||||
Health System | 20 | 20 | 20 | 20 | 20 | |||||||||||||||
Long-Term/Post-Acute Care | 5,905 | 5,475 | 5,503 | 4,595 | 4,799 | |||||||||||||||
Total property operating expenses | $ | 640,645 | $ | 668,444 | $ | 625,859 | $ | 632,898 | $ | 654,248 | ||||||||||
Net operating income: | ||||||||||||||||||||
Seniors Housing Operating | $ | 261,021 | $ | 272,484 | $ | 250,469 | $ | 239,508 | $ | 239,457 | ||||||||||
Seniors Housing Triple-net | 111,544 | 108,807 | 113,359 | 115,950 | 84,015 | |||||||||||||||
Outpatient Medical | 94,867 | 106,549 | 117,728 | 124,186 | 135,426 | |||||||||||||||
Health System | 43,016 | 43,016 | 43,016 | 43,016 | 42,798 | |||||||||||||||
Long-Term/Post-Acute Care | 69,212 | 66,755 | 64,862 | 58,253 | 57,964 | |||||||||||||||
Corporate | 2,031 | 327 | 712 | 385 | 294 | |||||||||||||||
Net operating income | $ | 581,691 | $ | 597,938 | $ | 590,146 | $ | 581,298 | $ | 559,954 | ||||||||||
Financial |
(dollars in thousands) | ||||||||
Leverage and EBITDA Reconciliations(1) | ||||||||
Twelve Months Ended | Three Months Ended | |||||||
3/31/2020 | 3/31/2020 | |||||||
Net income (loss) | $ | 1,367,488 | $ | 329,380 | ||||
Interest expense | 552,334 | 142,007 | ||||||
Income tax expense (benefit) | 6,177 | 5,442 | ||||||
Depreciation and amortization | 1,057,942 | 274,801 | ||||||
EBITDA | $ | 2,983,941 | $ | 751,630 | ||||
Loss (income) from unconsolidated entities | (47,941 | ) | 3,692 | |||||
Stock-based compensation(2) | 24,601 | 7,083 | ||||||
Loss (gain) on extinguishment of debt, net | 68,436 | — | ||||||
Loss (gain) on real estate dispositions, net | (843,456 | ) | (262,824 | ) | ||||
Impairment of assets | 55,960 | 27,827 | ||||||
Provision for loan losses | 7,072 | 7,072 | ||||||
Loss (gain) on derivatives and financial instruments, net | 5,739 | 7,651 | ||||||
Other expenses(2) | 48,327 | 6,031 | ||||||
Other impairment(3) | 32,268 | 32,268 | ||||||
Total adjustments | (648,994 | ) | (171,200 | ) | ||||
Adjusted EBITDA | $ | 2,334,947 | $ | 580,430 | ||||
Interest Coverage Ratios | ||||||||
Interest expense | $ | 552,334 | $ | 142,007 | ||||
Capitalized interest | 17,691 | 4,746 | ||||||
Non-cash interest expense | (11,599 | ) | (8,125 | ) | ||||
Total interest | $ | 558,426 | $ | 138,628 | ||||
EBITDA | $ | 2,983,941 | $ | 751,630 | ||||
Interest coverage ratio | 5.34 | x | 5.42 | x | ||||
Adjusted EBITDA | $ | 2,334,947 | $ | 580,430 | ||||
Adjusted Interest coverage ratio | 4.18 | x | 4.19 | x | ||||
Fixed Charge Coverage Ratios | ||||||||
Total interest | $ | 558,426 | $ | 138,628 | ||||
Secured debt principal amortization | 56,308 | 15,526 | ||||||
Total fixed charges | $ | 614,734 | $ | 154,154 | ||||
EBITDA | $ | 2,983,941 | $ | 751,630 | ||||
Fixed charge coverage ratio | 4.85 | x | 4.88 | x | ||||
Adjusted EBITDA | $ | 2,334,947 | $ | 580,430 | ||||
Adjusted Fixed charge coverage ratio | 3.80 | x | 3.77 | x | ||||
Net Debt to EBITDA Ratios | ||||||||
Total debt(4) | $ | 14,073,418 | ||||||
Less: cash and cash equivalents(5) | (303,423 | ) | ||||||
Net debt | $ | 13,769,995 | ||||||
EBITDA Annualized | $ | 3,006,520 | ||||||
Net debt to EBITDA ratio | 4.58 | x | ||||||
Adjusted EBITDA Annualized | $ | 2,321,720 | ||||||
Net debt to Adjusted EBITDA ratio | 5.93 | x | ||||||
Financial |
(in thousands except share price) | |||||||||
Leverage and Current Capitalization(1) | |||||||||
% of Total | |||||||||
Book Capitalization | |||||||||
Lines of credit and commercial paper(2) | $ | 844,985 | 2.70 | % | |||||
Long-term debt obligations(2) | 13,228,433 | 42.31 | % | ||||||
Cash and cash equivalents(3) | (303,423 | ) | (0.97 | )% | |||||
Net debt to consolidated book capitalization | $ | 13,769,995 | 44.04 | % | |||||
Total equity(4) | 17,495,696 | 55.96 | % | ||||||
Consolidated book capitalization | $ | 31,265,691 | 100.00 | % | |||||
Joint venture debt, net(5) | 250,328 | ||||||||
Total book capitalization | $ | 31,516,019 | |||||||
Undepreciated Book Capitalization | |||||||||
Lines of credit and commercial paper(2) | $ | 844,985 | 2.27 | % | |||||
Long-term debt obligations(2) | 13,228,433 | 35.58 | % | ||||||
Cash and cash equivalents(3) | (303,423 | ) | (0.82 | )% | |||||
Net debt to consolidated undepreciated book capitalization | $ | 13,769,995 | 37.04 | % | |||||
Accumulated depreciation and amortization | 5,910,979 | 15.90 | % | ||||||
Total equity(4) | 17,495,696 | 47.06 | % | ||||||
Consolidated undepreciated book capitalization | $ | 37,176,670 | 100.00 | % | |||||
Joint venture debt, net(5) | 250,328 | 186.271 | |||||||
Total undepreciated book capitalization | $ | 37,426,998 | |||||||
Enterprise Value | |||||||||
Lines of credit and commercial paper(2) | $ | 844,985 | 2.47 | % | |||||
Long-term debt obligations(2) | 13,228,433 | 38.63 | % | ||||||
Cash and cash equivalents(3) | (303,423 | ) | (0.89 | )% | |||||
Net debt to consolidated enterprise value | $ | 13,769,995 | 40.22 | % | |||||
Common shares outstanding | 417,391 | ||||||||
Period end share price | 45.78 | ||||||||
Common equity market capitalization | $ | 19,108,160 | 55.80 | % | |||||
Noncontrolling interests(4) | 1,362,913 | 3.98 | % | ||||||
Consolidated enterprise value | $ | 34,241,068 | 100.00 | % | |||||
Joint venture debt, net(5) | 250,328 | ||||||||
Total enterprise value | $ | 34,491,396 | |||||||
Secured Debt as % of Total Assets | |||||||||
Secured debt(2) | $ | 2,901,232 | 8.81 | % | |||||
Total assets | $ | 32,923,028 | |||||||
Total Debt as % of Total Assets | |||||||||
Total debt(2) | $ | 14,073,418 | 42.75 | % | |||||
Total assets | $ | 32,923,028 | |||||||
Unsecured Debt as % of Unencumbered Assets | |||||||||
Unsecured debt(2) | $ | 11,063,838 | 36.95 | % | |||||
Unencumbered assets | $ | 29,944,113 | |||||||
Financial |
(dollars in thousands) | |||||||||||||||||||||||||||||
Debt Maturities and Principal Payments(1) | |||||||||||||||||||||||||||||
Year | Lines of Credit and Commercial Paper(2) | Senior Unsecured Notes(3,4,5,6) | Consolidated Secured Debt | Share of Unconsolidated Secured Debt | Noncontrolling Interests' Share of Consolidated Secured Debt | Combined Debt(7) | % of Total | Wtd. Avg. Interest Rate | |||||||||||||||||||||
2020 | $ | 50,000 | $ | — | $ | 275,279 | $ | 18,019 | $ | (68,059 | ) | $ | 275,239 | 1.92 | % | 2.59 | % | ||||||||||||
2021 | — | — | 424,952 | 47,867 | (131,399 | ) | 341,420 | 2.39 | % | 3.32 | % | ||||||||||||||||||
2022 | — | 10,000 | 449,900 | 33,081 | (66,043 | ) | 426,938 | 2.98 | % | 3.40 | % | ||||||||||||||||||
2023 | 795,000 | 1,777,054 | 473,564 | 74,780 | (107,734 | ) | 3,012,664 | 21.06 | % | 2.57 | % | ||||||||||||||||||
2024 | — | 1,350,000 | 295,714 | 39,484 | (78,950 | ) | 1,606,248 | 11.23 | % | 3.84 | % | ||||||||||||||||||
2025 | — | 1,250,000 | 202,340 | 451,648 | (33,979 | ) | 1,870,009 | 13.07 | % | 3.92 | % | ||||||||||||||||||
2026 | — | 700,000 | 60,761 | 16,338 | (18,908 | ) | 758,191 | 5.30 | % | 4.18 | % | ||||||||||||||||||
2027 | — | 712,465 | 153,496 | 61,126 | (42,896 | ) | 884,191 | 6.18 | % | 2.96 | % | ||||||||||||||||||
2028 | — | 1,434,804 | 77,857 | 21,512 | (13,610 | ) | 1,520,563 | 10.63 | % | 4.47 | % | ||||||||||||||||||
2029 | — | 550,000 | 248,895 | 28,955 | (2,388 | ) | 825,462 | 5.77 | % | 3.54 | % | ||||||||||||||||||
Thereafter | — | 2,522,550 | 241,880 | 81,303 | (59,819 | ) | 2,785,914 | 19.47 | % | 4.38 | % | ||||||||||||||||||
Totals | $ | 845,000 | $ | 10,306,873 | $ | 2,904,638 | $ | 874,113 | $ | (623,785 | ) | $ | 14,306,839 | 100.00 | % | ||||||||||||||
Weighted Avg Interest Rate(8) | 1.64 | % | 3.97 | % | 3.63 | % | 3.70 | % | 3.67 | % | 3.77 | % | |||||||||||||||||
Weighted Avg Maturity Years | 3.1 | (2) | 8.6 | 5.2 | 8.1 | 4.8 | 7.7 | (2) | |||||||||||||||||||||
% Floating Rate Debt | 100.00 | % | 6.67 | % | 41.66 | % | 18.59 | % | 55.47 | % | 17.88 | % |
Debt by Local Currency(1) | |||||||||||||||||||||||||||||
Lines of Credit and Commercial Paper | Senior Unsecured Notes | Consolidated Secured Debt | Share of Unconsolidated Secured Debt | Noncontrolling Interests' Share of Consolidated Secured Debt | Combined Debt(7) | Investment Hedges(9) | |||||||||||||||||||||||
United States | $ | 845,000 | $ | 8,610,000 | $ | 1,685,274 | $ | 654,008 | $ | (344,693 | ) | $ | 11,449,589 | $ | — | ||||||||||||||
United Kingdom | — | 1,307,354 | 167,690 | — | (41,923 | ) | 1,433,121 | 1,669,315 | |||||||||||||||||||||
Canada | — | 389,519 | 1,051,674 | 220,105 | (237,169 | ) | 1,424,129 | 495,751 | |||||||||||||||||||||
Totals | $ | 845,000 | $ | 10,306,873 | $ | 2,904,638 | $ | 874,113 | $ | (623,785 | ) | $ | 14,306,839 | $ | 2,165,066 | ||||||||||||||
Glossary |
Supplemental Reporting Measures |
Supplemental Reporting Measures |
(dollars in thousands) | |||||||||||||||||||||||
Non-GAAP Reconciliations | |||||||||||||||||||||||
NOI Reconciliation | 1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | ||||||||||||||||||
Net income (loss) | $ | 292,302 | $ | 150,040 | $ | 647,932 | $ | 240,136 | $ | 329,380 | |||||||||||||
Loss (gain) on real estate dispositions, net | (167,409 | ) | 1,682 | (570,250 | ) | (12,064 | ) | (262,824 | ) | ||||||||||||||
Loss (income) from unconsolidated entities | 9,199 | 9,049 | (3,262 | ) | (57,420 | ) | 3,692 | ||||||||||||||||
Income tax expense (benefit) | 2,222 | 1,599 | 3,968 | (4,832 | ) | 5,442 | |||||||||||||||||
Other expenses | 8,756 | 21,628 | 6,186 | 16,042 | 6,292 | ||||||||||||||||||
Impairment of assets | — | 9,939 | 18,096 | 98 | 27,827 | ||||||||||||||||||
Provision for loan losses | 18,690 | — | — | — | 7,072 | ||||||||||||||||||
Loss (gain) on extinguishment of debt, net | 15,719 | — | 65,824 | 2,612 | — | ||||||||||||||||||
Loss (gain) on derivatives and financial instruments, net | (2,487 | ) | 1,913 | 1,244 | (5,069 | ) | 7,651 | ||||||||||||||||
General and administrative expenses | 35,282 | 33,741 | 31,019 | 26,507 | 35,481 | ||||||||||||||||||
Depreciation and amortization | 243,932 | 248,052 | 272,445 | 262,644 | 274,801 | ||||||||||||||||||
Interest expense | 145,232 | 141,336 | 137,343 | 131,648 | 142,007 | ||||||||||||||||||
Consolidated net operating income | 601,438 | 618,979 | 610,545 | 600,302 | 576,821 | ||||||||||||||||||
NOI attributable to unconsolidated investments(1) | 21,827 | 21,518 | 21,957 | 22,031 | 21,150 | ||||||||||||||||||
NOI attributable to noncontrolling interests(2) | (41,574 | ) | (42,559 | ) | (42,356 | ) | (41,035 | ) | (38,017 | ) | |||||||||||||
Pro rata net operating income (NOI)(3) | $ | 581,691 | $ | 597,938 | $ | 590,146 | $ | 581,298 | $ | 559,954 |
In-Place NOI Reconciliation | ||||||||||||||||||||||||||||
At Welltower pro rata ownership | Seniors Housing Operating | Seniors Housing Triple-net | Outpatient Medical | Health System | Long-Term /Post-Acute Care | Corporate | Total | |||||||||||||||||||||
Revenues | $ | 821,990 | $ | 92,378 | $ | 193,959 | $ | 42,818 | $ | 62,763 | $ | 294 | $ | 1,214,202 | ||||||||||||||
Property operating expenses | (582,533 | ) | (8,363 | ) | (58,533 | ) | (20 | ) | (4,799 | ) | — | (654,248 | ) | |||||||||||||||
NOI(3) | 239,457 | 84,015 | 135,426 | 42,798 | 57,964 | 294 | 559,954 | |||||||||||||||||||||
Adjust: | ||||||||||||||||||||||||||||
Interest income | (104 | ) | (5,810 | ) | (466 | ) | — | (8,861 | ) | — | (15,241 | ) | ||||||||||||||||
Other income | (1,058 | ) | (1,159 | ) | (409 | ) | — | (514 | ) | (294 | ) | (3,434 | ) | |||||||||||||||
Sold / held for sale(4) | (1,931 | ) | (524 | ) | (8,279 | ) | (108 | ) | (63 | ) | — | (10,905 | ) | |||||||||||||||
Developments / land | 603 | — | 69 | — | — | — | 672 | |||||||||||||||||||||
Non In-Place NOI(5) | (5,521 | ) | 27,754 | (5,660 | ) | (6,670 | ) | (3,208 | ) | — | 6,695 | |||||||||||||||||
Timing adjustments(6) | (783 | ) | — | 1,073 | — | — | — | 290 | ||||||||||||||||||||
Total adjustments | (8,794 | ) | 20,261 | (13,672 | ) | (6,778 | ) | (12,646 | ) | (294 | ) | (21,923 | ) | |||||||||||||||
In-Place NOI | 230,663 | 104,276 | 121,754 | 36,020 | 45,318 | — | 538,031 | |||||||||||||||||||||
Annualized In-Place NOI | $ | 922,652 | $ | 417,104 | $ | 487,016 | $ | 144,080 | $ | 181,272 | $ | — | $ | 2,152,124 | ||||||||||||||
Same Store Property Reconciliation | ||||||||||||||||||
Seniors Housing Operating | Seniors Housing Triple-net | Outpatient Medical | Health System | Long-Term /Post-Acute Care | Total | |||||||||||||
Total properties | 620 | 340 | 400 | 215 | 137 | 1,712 | ||||||||||||
Recent acquisitions/ development conversions(7) | (69 | ) | (10 | ) | (124 | ) | — | — | (203 | ) | ||||||||
Under development | (24 | ) | (7 | ) | (3 | ) | — | (1 | ) | (35 | ) | |||||||
Under redevelopment(8) | (12 | ) | — | (2 | ) | — | — | (14 | ) | |||||||||
Current held for sale(4) | (7 | ) | (4 | ) | (2 | ) | — | (2 | ) | (15 | ) | |||||||
Land parcels, loans and sub-leases | (9 | ) | (10 | ) | (8 | ) | — | (7 | ) | (34 | ) | |||||||
Transitions(9) | (73 | ) | (16 | ) | — | — | (3 | ) | (92 | ) | ||||||||
Other(10) | (1 | ) | — | — | — | — | (1 | ) | ||||||||||
Same store properties | 425 | 293 | 261 | 215 | 124 | 1,318 |
Supplemental Reporting Measures |
(dollars in thousands at Welltower pro rata ownership) | ||||||||||||||||||||||
Same Store NOI Reconciliation | 1Q19 | 2Q19 | 3Q19 | 4Q19 | 1Q20 | Y/o/Y | ||||||||||||||||
Seniors Housing Operating | ||||||||||||||||||||||
NOI | $ | 261,021 | $ | 272,484 | $ | 250,469 | $ | 239,508 | $ | 239,457 | ||||||||||||
Non-cash NOI on same store properties | 553 | (90 | ) | (3,866 | ) | (795 | ) | (839 | ) | |||||||||||||
NOI attributable to non-same store properties | (52,927 | ) | (68,426 | ) | (40,129 | ) | (35,141 | ) | (40,059 | ) | ||||||||||||
Currency and ownership adjustments(1) | 2,106 | 1,879 | 1,521 | 817 | 1,272 | |||||||||||||||||
Normalizing adjustment for policy change(2) | (464 | ) | (1,575 | ) | 294 | (1,276 | ) | (1,593 | ) | |||||||||||||
Normalizing adjustment for health insurance costs(3) | — | — | — | — | 1,499 | |||||||||||||||||
Normalizing adjustment for insurance reimbursement(4) | (4,987 | ) | — | — | — | — | ||||||||||||||||
Normalizing adjustment for real estate taxes(5) | (2,492 | ) | — | — | — | — | ||||||||||||||||
Other normalizing adjustments(6) | (28 | ) | 96 | (351 | ) | 216 | (279 | ) | ||||||||||||||
SSNOI(7) | 202,782 | 204,368 | 207,938 | 203,329 | 199,458 | (1.6 | )% | |||||||||||||||
Seniors Housing Triple-net | ||||||||||||||||||||||
NOI | 111,544 | 108,807 | 113,359 | 115,950 | 84,015 | |||||||||||||||||
Non-cash NOI on same store properties | (3,978 | ) | (4,809 | ) | (4,300 | ) | (3,079 | ) | 22,334 | |||||||||||||
NOI attributable to non-same store properties | (18,380 | ) | (14,764 | ) | (20,188 | ) | (22,144 | ) | (14,471 | ) | ||||||||||||
Currency and ownership adjustments(1) | (97 | ) | 207 | 1,010 | 171 | 313 | ||||||||||||||||
Normalizing adjustment for development fee(8) | — | — | — | — | (511 | ) | ||||||||||||||||
Other normalizing adjustments(6) | (119 | ) | 274 | 50 | 64 | — | ||||||||||||||||
SSNOI | 88,970 | 89,715 | 89,931 | 90,962 | 91,680 | 3.0 | % | |||||||||||||||
Outpatient Medical | ||||||||||||||||||||||
NOI | 94,867 | 106,549 | 117,728 | 124,186 | 135,426 | |||||||||||||||||
Non-cash NOI on same store properties | (2,505 | ) | (2,043 | ) | (1,808 | ) | (2,422 | ) | (1,974 | ) | ||||||||||||
NOI attributable to non-same store properties | (4,841 | ) | (16,212 | ) | (27,468 | ) | (31,138 | ) | (43,599 | ) | ||||||||||||
Currency and ownership adjustments(1) | (6,042 | ) | (5,823 | ) | (5,258 | ) | (6,462 | ) | (6,195 | ) | ||||||||||||
Other normalizing adjustments(6) | 418 | 25 | — | (856 | ) | (32 | ) | |||||||||||||||
SSNOI | 81,897 | 82,496 | 83,194 | 83,308 | 83,626 | 2.1 | % | |||||||||||||||
Health System | ||||||||||||||||||||||
NOI | 43,016 | 43,016 | 43,016 | 43,016 | 42,798 | |||||||||||||||||
Non-cash NOI on same store properties | (7,184 | ) | (7,184 | ) | (6,858 | ) | (6,694 | ) | (6,670 | ) | ||||||||||||
NOI attributable to non-same store properties | (517 | ) | (517 | ) | (520 | ) | (522 | ) | (107 | ) | ||||||||||||
Other normalizing adjustments(6) | — | — | — | — | (221 | ) | ||||||||||||||||
SSNOI | 35,315 | 35,315 | 35,638 | 35,800 | 35,800 | 1.4 | % | |||||||||||||||
Long-Term/Post-Acute Care | ||||||||||||||||||||||
NOI | 69,212 | 66,755 | 64,862 | 58,253 | 57,964 | |||||||||||||||||
Non-cash NOI on same store properties | (4,467 | ) | (3,726 | ) | (3,698 | ) | (3,493 | ) | (3,232 | ) | ||||||||||||
NOI attributable to non-same store properties | (22,751 | ) | (20,665 | ) | (18,542 | ) | (11,821 | ) | (11,260 | ) | ||||||||||||
Currency and ownership adjustments(1) | 17 | 27 | 6 | 5 | 32 | |||||||||||||||||
Other normalizing adjustments(6) | 379 | 377 | 255 | — | — | |||||||||||||||||
SSNOI | 42,390 | 42,768 | 42,883 | 42,944 | 43,504 | 2.6 | % | |||||||||||||||
Corporate | ||||||||||||||||||||||
NOI | 2,031 | 327 | 712 | 385 | 294 | |||||||||||||||||
NOI attributable to non-same store properties | (2,031 | ) | (327 | ) | (712 | ) | (385 | ) | (294 | ) | ||||||||||||
SSNOI | — | — | — | — | — | |||||||||||||||||
Total | ||||||||||||||||||||||
NOI | 581,691 | 597,938 | 590,146 | 581,298 | 559,954 | |||||||||||||||||
Non-cash NOI on same store properties | (17,581 | ) | (17,852 | ) | (20,530 | ) | (16,483 | ) | 9,619 | |||||||||||||
NOI attributable to non-same store properties | (101,447 | ) | (120,911 | ) | (107,559 | ) | (101,151 | ) | (109,790 | ) | ||||||||||||
Currency and ownership adjustments(1) | (4,016 | ) | (3,710 | ) | (2,721 | ) | (5,469 | ) | (4,578 | ) | ||||||||||||
Normalizing adjustments, net | (7,293 | ) | (803 | ) | 248 | (1,852 | ) | (1,137 | ) | |||||||||||||
SSNOI | $ | 451,354 | $ | 454,662 | $ | 459,584 | $ | 456,343 | $ | 454,068 | 0.6 | % | ||||||||||
Supplemental Reporting Measures |
(dollars in thousands, except REVPOR, SS REVPOR and SSNOI/unit) | ||||||||||||||||
SHO REVPOR Reconciliation | United States | United Kingdom | Canada | Total | ||||||||||||
Consolidated SHO revenues | $ | 655,185 | $ | 85,524 | $ | 110,419 | $ | 851,128 | ||||||||
Unconsolidated SHO revenues attributable to Welltower(1) | 23,264 | — | 21,132 | 44,396 | ||||||||||||
SHO revenues attributable to noncontrolling interests(2) | (41,367 | ) | (7,660 | ) | (24,507 | ) | (73,534 | ) | ||||||||
Pro rata SHO revenues(3) | 637,082 | 77,864 | 107,044 | 821,990 | ||||||||||||
SHO interest and other income | (993 | ) | (20 | ) | (149 | ) | (1,162 | ) | ||||||||
SHO revenues attributable to sold and held for sale properties | (9,789 | ) | — | — | (9,789 | ) | ||||||||||
Currency and ownership adjustments(4) | — | 1,167 | 2,125 | 3,292 | ||||||||||||
SHO local revenues | 626,300 | 79,011 | 109,020 | 814,331 | ||||||||||||
Average occupied units/month | 33,519 | 3,068 | 13,060 | 49,647 | ||||||||||||
REVPOR/month in USD | $ | 6,315 | $ | 8,704 | $ | 2,821 | $ | 5,543 | ||||||||
REVPOR/month in local currency(4) | £ | 6,695 | C$ | 3,712 |
Reconciliations of SHO SS REVPOR Growth, SSNOI Growth and SSNOI/Unit | |||||||||||||||||||||||||||||||
United States | United Kingdom | Canada | Total | ||||||||||||||||||||||||||||
1Q19 | 1Q20 | 1Q19 | 1Q20 | 1Q19 | 1Q20 | 1Q19 | 1Q20 | ||||||||||||||||||||||||
SHO SS REVPOR Growth | |||||||||||||||||||||||||||||||
Consolidated SHO revenues | $ | 677,782 | $ | 655,185 | $ | 80,951 | $ | 85,524 | $ | 113,653 | $ | 110,419 | $ | 872,386 | $ | 851,128 | |||||||||||||||
Unconsolidated SHO revenues attributable to WELL(1) | 23,466 | 23,264 | — | — | 20,281 | 21,132 | 43,747 | 44,396 | |||||||||||||||||||||||
SHO revenues attributable to noncontrolling interests(2) | (42,178 | ) | (41,367 | ) | (6,625 | ) | (7,660 | ) | (25,392 | ) | (24,507 | ) | (74,195 | ) | (73,534 | ) | |||||||||||||||
SHO pro rata revenues(3) | 659,070 | 637,082 | 74,326 | 77,864 | 108,542 | 107,044 | 841,938 | 821,990 | |||||||||||||||||||||||
Non-cash revenues on same store properties | (631 | ) | (800 | ) | (19 | ) | — | — | — | (650 | ) | (800 | ) | ||||||||||||||||||
Revenues attributable to non-same store properties | (199,230 | ) | (158,662 | ) | (13,087 | ) | (13,467 | ) | (4,253 | ) | (2,872 | ) | (216,570 | ) | (175,001 | ) | |||||||||||||||
Currency and ownership adjustments(4) | 5,901 | — | (100 | ) | 967 | 1,086 | 2,062 | 6,887 | 3,029 | ||||||||||||||||||||||
Normalizing adjustment for policy change(5) | (464 | ) | (1,593 | ) | — | — | — | — | (464 | ) | (1,593 | ) | |||||||||||||||||||
Normalizing adjustment for insurance reimbursement(6) | (2,813 | ) | — | — | — | — | — | (2,813 | ) | — | |||||||||||||||||||||
Other normalizing adjustments(7) | 534 | (796 | ) | (184 | ) | — | — | — | 350 | (796 | ) | ||||||||||||||||||||
SHO SS revenues(8) | 462,367 | 475,231 | 60,936 | 65,364 | 105,375 | 106,234 | 628,678 | 646,829 | |||||||||||||||||||||||
Avg. occupied units/month(9) | 21,773 | 21,608 | 2,519 | 2,564 | 12,800 | 12,680 | 37,092 | 36,852 | |||||||||||||||||||||||
SHO SS REVPOR(10) | $ | 7,177 | $ | 7,433 | $ | 8,176 | $ | 8,616 | $ | 2,782 | $ | 2,831 | $ | 5,728 | $ | 5,932 | |||||||||||||||
SS REVPOR YOY growth | — | % | 3.6 | % | — | % | 5.4 | % | — | % | 1.8 | % | — | 3.6 | % | ||||||||||||||||
SHO SSNOI Growth | |||||||||||||||||||||||||||||||
Consolidated SHO NOI | $ | 202,210 | $ | 185,133 | $ | 20,941 | $ | 20,317 | $ | 41,549 | $ | 37,807 | $ | 264,700 | $ | 243,257 | |||||||||||||||
Unconsolidated SHO NOI attributable to WELL(1) | 8,475 | 7,072 | — | — | 7,964 | 7,882 | 16,439 | 14,954 | |||||||||||||||||||||||
SHO NOI attributable to noncontrolling interests(2) | (9,918 | ) | (9,439 | ) | (891 | ) | (957 | ) | (9,309 | ) | (8,358 | ) | (20,118 | ) | (18,754 | ) | |||||||||||||||
SHO pro rata NOI(3) | 200,767 | 182,766 | 20,050 | 19,360 | 40,204 | 37,331 | 261,021 | 239,457 | |||||||||||||||||||||||
Non-cash NOI on same store properties | 568 | (845 | ) | (15 | ) | 2 | — | 4 | 553 | (839 | ) | ||||||||||||||||||||
NOI attributable to non-same store properties | (48,980 | ) | (37,393 | ) | (3,280 | ) | (2,212 | ) | (667 | ) | (454 | ) | (52,927 | ) | (40,059 | ) | |||||||||||||||
Currency and ownership adjustments(4) | 1,730 | 343 | (27 | ) | 222 | 403 | 707 | 2,106 | 1,272 | ||||||||||||||||||||||
Normalizing adjustment for policy change(5) | (464 | ) | (1,593 | ) | — | — | — | — | (464 | ) | (1,593 | ) | |||||||||||||||||||
Normalizing adjustment for health insurance costs(11) | — | 1,499 | — | — | — | — | — | 1,499 | |||||||||||||||||||||||
Normalizing adjustment for insurance reimbursement(6) | (4,987 | ) | — | — | — | — | — | (4,987 | ) | — | |||||||||||||||||||||
Normalizing adjustment for real estate taxes(12) | (2,492 | ) | — | — | — | — | — | (2,492 | ) | — | |||||||||||||||||||||
Other normalizing adjustments(7) | 2 | (279 | ) | (30 | ) | — | — | — | (28 | ) | (279 | ) | |||||||||||||||||||
SHO pro rata SSNOI(8) | $ | 146,144 | $ | 144,498 | $ | 16,698 | $ | 17,372 | $ | 39,940 | $ | 37,588 | $ | 202,782 | $ | 199,458 | |||||||||||||||
SHO SSNOI growth | (1.1 | )% | 4.0 | % | (5.9 | )% | (1.6 | )% | |||||||||||||||||||||||
SHO SSNOI/Unit | |||||||||||||||||||||||||||||||
Trailing four quarters' SSNOI(8) | $ | 589,491 | $ | 67,748 | $ | 157,854 | $ | 815,093 | |||||||||||||||||||||||
Average units in service(13) | 25,239 | 3,091 | 14,216 | 42,546 | |||||||||||||||||||||||||||
SSNOI/unit in USD | $ | 23,356 | $ | 21,918 | $ | 11,104 | $ | 19,158 | |||||||||||||||||||||||
SSNOI/unit in local currency(4) | £ | 16,860 | C$ | 14,611 |
Forward-Looking Statement and Risk Factors |