NORTHWEST HEALTHCARE PROPERTIES REAL ESTATE INVESTMENT TRUST REPORTS STRONG SECOND QUARTER RESULTS AND CONTINUED PROGRESS ON STRATEGIC INITIATIVES

TORONTO, Aug. 11, 2022 /CNW/ – NorthWest Healthcare Houses Actual Property Funding Accept as true with (the “REIT”) (TSX: NWH.UN), lately introduced its effects for the 3 and 6 months ended June 30, 2022.

NorthWest’s inflation listed $10.2 billion, 232 estate portfolio carried out neatly in the second one quarter of 2022 and the REIT delivered robust monetary effects, highlighted by way of AFFO consistent with unit of $0.20 (see Show off 2) and yr over yr NAV consistent with unit enlargement of 8.0% (see Show off 4). Those effects are underpinned by way of the REIT’s foundational pillars together with:

Defensive Actual Property Portfolio:

The REIT’s top of the range and defensive portfolio delivered robust operational effects together with 3.6% identical estate NOI enlargement which is up 120 bp from final quarter as rentals that go the once a year hire overview dates start to roll at upper charges. The REIT continues to have marketplace main money glide balance with portfolio occupancy at 97%, a weighted moderate rent expiry of 14.1 years and 82% of the portfolio topic to hire indexation.

Capital Formation:

The REIT finished a chain of necessary projects all through the quarter together with supporting Important’s $175 million (NZ$200 million) fairness providing that closed on Might 6, 2022 with an roughly $50 million  (NZ$55.0 million) lead order to care for its pro-rata possession. This funding will improve the following leg of Important’s enlargement which is underpinned by way of roughly $240 million (NZ$293 million) of dedicated building tasks along side a possible long term building pipeline of roughly $1.5 billion (NZ$1.8 billion), either one of which can be key drivers of the REIT’s control charge revenue.

Following at the good fortune of its preliminary Australian Institutional three way partnership with GIC, Singapore’s sovereign wealth fund, on Might 10, 2022 the REIT entered right into a three way partnership settlement to shape a 2d Australian Core Sanatorium Joint Mission with a complete preliminary dedication of $2.1 billion (A$2.4 billion) to proceed the a hit courting in Australia.

Moreover, the REIT’s UK and US three way partnership projects proceed to growth at tempo regardless of macro–financial uncertainty. The REIT is actively engaged with a brief record of certified companions and is operating in opposition to finalizing phrases and finishing those projects by way of year-end.

Development on its enjoy making an investment in healthcare precincts, the REIT is operating on a brand new $5 billion International Healthcare Precinct Fund that specialize in the advance of recent technology belongings on the intersection of healthcare, analysis and training. The REIT is in early-stage discussions with institutional buyers and has recognized a seed portfolio with which to release the fund.

Price range Control:

In-place capital commitments and deployed charge bearing capital general $10.8 billion and $5.6 billion, respectively. The REIT’s price range control industry continues to unexpectedly scale up and on finishing touch of the United Kingdom and US joint ventures is predicted to have deployed and dedicated capital of $14.1 billion and $7.3 billion, respectively. At a goal possession degree of between 20% – 30% throughout its capital platforms the REIT anticipates producing marketplace main enlargement in each AFFO and NAV on a consistent with unit foundation because of leveraging its capital gentle type and internally generated capital to fund enlargement.

Enlargement:

In Q2, the REIT finished acquisitions totaling roughly $870 million ($934 million YTD) together with its preliminary US acquisition for $775 million (US$602 million) that closed April 14, 2022. Whilst the emerging rate of interest surroundings is leading to decrease near-term transaction quantity, the REIT stays positive at the long-term call for components that pressure worth introduction in healthcare actual property. With a rising funding pipeline the REIT continues to guage new funding alternatives inside of its charge bearing capital cars on an opportunistic foundation whilst final disciplined in its capital allocation methods.

Stability Sheet Projects

12 months-to-Date the REIT has refinanced or prolonged greater than 93% of its 2022 maturing debt and has larger its weighted moderate time period to adulthood (“WATM”) to three.3 years.

With proportionate debt remarkable of $3.6 billion, a 54.2% LTV ratio and 64% of its debt at floating charges, the REIT expects leverage to lower to roughly 45% and publicity to floating charge to say no by way of 34 share issues to 30% of the REIT’s general debt upon finishing touch of each the United Kingdom and US JV projects.

Commenting on NorthWest’s robust effects and growth on key strategic projects Paul Dalla Lana, Chairman and CEO mentioned:

“We’re happy with portfolio’s efficiency with occupancy and WALE conserving at marketplace main ranges however extra necessary is that same-property NOI enlargement has larger which demonstrates the worth of the REIT’s listed money flows in an inflationary surroundings.”

2022 2d Quarter Monetary and Operational Highlights:

For the 3 and 6 months ended June 30, 2022, the REIT delivered robust monetary and operational efficiency with an more and more conservative stability sheet throughout an expanded 232 estate, 18.5 million sq. foot defensive acute healthcare actual property portfolio underpinned by way of long-term inflation listed rentals. Key highlights are as follows:

• Q2 2022 earnings of $111.8M, enlargement of 24% yr over yr;
• Q2 2022 AFFO of $0.20 consistent with unit is down 6.8% from the former quarter (see Show off 2);
• 12 months up to now AFFO payout ratio of 100% in line with the REIT’s $0.80 annualized distribution;
• Identical Belongings NOI enlargement of three.6% in Q2 2022 as in comparison to Q2 2021, pushed basically by way of annual hire indexation (see Show off 3);
• Robust portfolio occupancy of 97% solid quarter over quarter with the global portfolio conserving solid at 98.4%;
• Weighted moderate rent expiry of 14.1 years is underpinned by way of the global portfolio’s Sanatorium and Well being Care Facility Belongings’ weighted moderate rent expiry of 17.2 years;
• Overall belongings below control (“AUM”) larger 22.9% yr over yr to $10.2 billion;
• Overall capital deployed in charge bearing cars is $5.6 billion up 14.3% yr over yr. Undeployed capital in present charge bearing cars totals $4.4 billion;
• Web asset worth (“NAV”) consistent with unit larger by way of 8% yr over yr to $14.19 pushed basically by way of truthful worth positive factors as a result of the execution of the REIT’s UK asset control projects (see Show off 4);
• Debt to Gross E book Price – Together with Convertible Debentures of 46.4% has larger 330 bps, yr over yr, and is predicted to lower by way of an additional 880 bp during the seeding of the brand new UK JV in addition to the conversion of within the cash convertible debentures.

Decided on Monetary Data:

Q2 2022 Convention Name: 

The REIT invitations you to take part in its convention name with senior control to talk about our 2d quarter 2022 effects on Friday, August 12, 2022 at 10:00 AM (Japanese).

The convention name may also be accessed by way of dialing 416-764-8609 or 1 (888) 390-0605. The convention ID is 01667744#.

Audio replay might be to be had from August 12, 2022 thru August 19, 2022 by way of dialing 416-764-8677 or 1 (888) 390-0541. The reservation quantity is 667744#.

At the side of the discharge of the REIT’s 2d quarter 2022 monetary effects, the REIT will put up a present investor replace presentation to its web page the place additional info at the REIT’s investments and working efficiency could also be discovered. Please talk over with the REIT’s web page at www.nwhreit.com/Traders/Displays

Important Healthcare Belongings Accept as true with

On August 12, 2022 Important Accept as true with additionally introduced its monetary effects for the fiscal yr ended June 30, 2022. Main points on Important Accept as true with’s monetary effects are to be had on Important Accept as true with’s web page at www.vitalhealthcareproperty.co.nz

About NorthWest Healthcare Houses Actual Property Funding Accept as true with

NorthWest Healthcare Houses Actual Property Funding Accept as true with (TSX: NWH.UN) (NorthWest) is an unincorporated, open-ended actual property funding accept as true with established below the regulations of the Province of Ontario. As at June 30, 2022, the REIT supplies buyers with get entry to to a portfolio of top of the range global healthcare actual property infrastructure created from pursuits in a varied portfolio of 232 income-producing homes and 18.5 million sq. toes of gross leasable space positioned all the way through primary markets in Canada, America, Brazil, Europe, Australia and New Zealand. The REIT’s portfolio of scientific place of work structures, clinics, and hospitals is characterised by way of longer term listed rentals and solid occupancies. With a completely built-in and aligned senior control staff, the REIT leverages over 250 pros in 9 workplaces in 5 international locations to function a longer term actual property spouse to main healthcare operators.

Non-IFRS Monetary Measures

Some monetary measures used on this press unlock, reminiscent of SPNOI, Consistent Foreign money SPNOI, FFO, FFO consistent with Unit, AFFO, AFFO consistent with Unit, AFFO Payout Ratio, NAV, NAV consistent with Unit, portfolio occupancy and weighted moderate rent expiry, are utilized by the true property business to measure and examine the working efficiency of actual property firms, however they don’t have any standardized which means prescribed by way of IFRS. As such, they’re not going to be related to an identical measures introduced by way of different actual property firms. Those non- IFRS measures are extra absolutely outlined and mentioned within the shows to this information unlock and within the REIT’s Control’s Dialogue and Research (“MD&A”) for the 3 and 6 months ended June 30, 2022, within the “Efficiency Dimension” and “Effects from Operations” sections. The MD&A is to be had at the SEDAR web page at www.sedar.com.

Ahead-Having a look Statements

This press unlock would possibly comprise forward-looking statements with appreciate to the REIT, its operations, technique, monetary efficiency and situation. Those statements typically may also be recognized by way of use of forward-looking phrases reminiscent of “would possibly”, “will”, “be expecting”, “estimate”, “watch for”, “intends”, “consider”, “normalized”, “shrunk”, or “proceed” or the unfavorable thereof or an identical permutations. Examples of such statements on this press unlock would possibly come with statements regarding the REIT’s place as a number one healthcare actual property asset supervisor globally, geographic growth, ESG projects, increasing AUM, stability sheet optimization preparations, the proposed U.Ok. three way partnership and doable acquisitions, inclinations and different transactions, together with a possible UK three way partnership and a possible transaction involving Australian Team spirit. The REIT’s exact effects and function mentioned herein may fluctuate materially from the ones expressed or implied by way of such statements. The forward-looking statements contained on this press unlock are in line with a large number of assumptions which would possibly end up flawed and which might motive exact effects or occasions to fluctuate materially from the forward-looking statements. Such assumptions come with, however aren’t restricted to (i) assumptions with regards to finishing touch of expected acquisitions, inclinations, building, three way partnership, deleveraging and different transactions (a few of which stay topic to finishing documentation) on phrases disclosed; (ii) the REIT’s homes proceeding to accomplish as they’ve lately, (iii) the REIT effectively integrating previous and long term acquisitions, together with the conclusion of synergies in connection therewith; (iv) quite a lot of basic financial and marketplace components, together with trade charges final consistent, native actual property stipulations final robust, rates of interest final at present ranges, the affects of COVID-19 at the REIT’s industry ameliorating or final solid; and (vii) the provision of fairness and debt financing to the REIT. Such forward-looking statements are certified of their entirety by way of the inherent dangers and uncertainties surrounding long term expectancies, together with that the transactions pondered herein are finished. Vital components that might motive exact effects to fluctuate materially from expectancies come with, amongst different issues, basic financial and marketplace components, festival, adjustments in govt rules and the standards described below “Dangers and Uncertainties” within the REIT’s Annual Data Shape and the dangers and uncertainties set out within the MD&A which can be to be had on www.sedar.com. Those cautionary statements qualify all forward-looking statements on account of the REIT and individuals performing on its behalf. Until another way mentioned, all forward-looking statements discuss most effective as of the date of this press unlock, and, aside from as expressly required by way of acceptable regulation, the REIT assumes no legal responsibility to replace such statements.

Monetary Shows

Show off 1 – Price range From Operations Reconciliation

FFO is a supplemental non-IFRS business huge monetary measure of a REIT’s working efficiency. The REIT calculates FFO in line with positive changes to web revenue (computed in line with IFRS) as detailed underneath. FFO is extra absolutely outlined and mentioned within the REIT’s MD&A (see “Efficiency Dimension” and “Price range From Operations“).

Show off 2 – Adjusted Price range From Operations Reconciliation

AFFO is a supplemental non-IFRS monetary measure of a REIT’s working efficiency and is meant to mirror a stabilized industry surroundings. The REIT calculates AFFO as FFO, plus/minus positive changes as detailed underneath. AFFO is extra absolutely outlined and mentioned within the REIT’s MD&A (see “Efficiency Dimension” and “Adjusted Price range From Operations“).

Show off 3 – Consistent Foreign money Identical Belongings NOI

Consistent Foreign money Identical Belongings NOI, on occasion additionally introduced as “Identical Belongings NOI” or “SPNOI”, is a non-IFRS monetary measure, outlined as NOI for funding homes that have been owned for a complete reporting length in each the present and comparative yr, topic to positive changes together with: (i) straight-line apartment earnings popularity; (ii) amortization of working rentals; (iii) rent termination charges; and (iv) non-recurring transactions that aren’t anticipated to recur (v) except homes held for redevelopment and (vi) except have an effect on of foreign currencies translation by way of changing the foreign currencies denominated SPNOI from comparative length at present length moderate trade charges. Control considers. SPNOI is extra absolutely outlined and mentioned within the REIT’s MD&A (see “Efficiency Dimension“).

Show off 4 – Web Asset Price (‘NAV’) consistent with Unit

“NAV consistent with Unit” or on occasion introduced as “NAV/unit” is an extension of NAV and outlined as NAV divided by way of the collection of devices remarkable on the finish of the length. NAV and NAV/unit is extra absolutely outlined and mentioned within the REIT’s MD&A (see “Efficiency Dimension” and “Phase IX – Web Asset Price“).

Show off 5 – Proportionate Control Charges

“Proportionate Control Charges” is a non-IFRS monetary measure outlined because the REIT’s general control charges earned from 3rd events adjusted to be mirrored on a proportionately consolidated foundation on the REIT’s possession share (see “Efficiency Dimension” “PART III – RESULTS FROM OPERATIONS – NET INCOME“).

SOURCE NorthWest Healthcare Houses Actual Property Funding Accept as true with

For additional knowledge: Paul Dalla Lana, CEO at (416) 366-8300 x 1001