Canada NewsWire
TORONTO, May 9, 2019
TORONTO, May 9, 2019 /CNW/ - NorthWest Healthcare Properties Real Estate Investment Trust (the "REIT") (TSX: NWH.UN), Canada's leading global diversified healthcare real estate investment trust, today announced its results for the three months ended March 31, 2019.
Commenting on the activity, Paul Dalla Lana, CEO of the REIT, said:
"So far in 2019, the REIT has executed on its largest strategic priority, entering into a transaction to acquire 11 high quality Australian hospitals from Healthscope for $1.2 billion and confirming our existing institutional joint venture partner's commitment to participate. This highly accretive transaction, which is expected to close in the June, solidifies the REIT's position as the dominant player in Australasian healthcare real estate and further strengthens ties with its JV partner. Outside of Australia, the business is similarly firing on all cylinders with momentum in the European platform with five high quality property acquisitions totaling $150M closed and committed as well as in the capital markets where the REIT completed a $144M equity financing, broadened its institutional investor base and was added to the S&P/TSX REIT Index.
As we look forward, the opportunities in front of the REIT continue to grow as the trends of healthcare operator consolidation and a shift towards a capital light model play out globally, unlocking high quality real estate opportunities across our platform. With strong relationships, established high quality local operating platforms and strong access to public and increasingly attractively priced private capital, the REIT is well positioned to execute on further strategic transactions."
2019 First Quarter Financial and Operational Highlights:
For the three months ended March 31, 2019, the REIT delivered another quarter of strong financial and operating results with key highlights as follows:
During the first quarter and subsequent to quarter end, the REIT has continued to execute on committed, low-risk development and expansion projects, completing accretive debt and equity financings and pursuing select accretive acquisitions. Significant achievements included:
Looking ahead and building on strong and consistent quarterly operational results, the REIT is focused on further deleveraging consistent with its 50% LTV target as well as continuing to execute on its accretive acquisition and development pipeline. Over the balance of 2019, the REIT will continue to advance ongoing discussions with institutional capital partners in each of its international markets as a means to leverage its platform in the continuing consolidation of healthcare real estate globally.
Selected Financial Information:
(unaudited) ($000's, except unit and per unit amounts) | Three months | Three months |
Number of properties | 158 | 156 |
Gross leasable area (sf) | 11,922,414 | 11,244,071 |
Occupancy (1) | 96.8% | 96.7% |
Weighted Average Lease Expiry (Years) | 13.0 | 12.6 |
Net Operating Income | $69,092 | $66,802 |
Net Income (Loss) attributable to unitholders | $(57,988) | $72,744 |
Funds from Operations ("FFO") | $26,756 | $26,525 |
Adjusted Funds from Operations ("AFFO") | $25,045 | $24,569 |
Debt to Gross Book Value - Declaration of Trust | 46.3% | 47.8% |
Debt to Gross Book Value - Including Convertible Debentures | 54.5% | 55.7% |
The REIT invites you to participate in its conference call with senior management to discuss our first quarter 2019 results on Friday, May 10, 2019 at 10:00 AM (Eastern).
The conference call can be accessed by dialing 416-764-8609 or 1 (888) 390-0605. The conference ID is 74932532.
Audio replay will be available until May 10, 2019 through May 17, 2019 by dialing 416-764-8677 or 1 (888) 390-0541. The reservation number is 932532#.
In conjunction with the release of the REIT's first quarter 2019 financial results, the REIT will post a current investor update presentation to its website where additional information on the REIT's investments and operating performance may be found. Please visit the REIT's website at www.nwhreit.com/Investors/Presentations
Vital Healthcare Property Trust
On May 9, 2019, Vital Trust also announced its financial results for the three months ended March 31, 2019. Details on Vital Trust's financial results are available on Vital Trust's website at www.vitalhealthcareproperty.co.nz
About NorthWest Healthcare Properties Real Estate Investment Trust
NorthWest Healthcare Properties Real Estate Investment Trust (TSX: NWH.UN) (NorthWest) is an unincorporated, open-ended real estate investment trust established under the laws of the Province of Ontario. As at March 31, 2019 the REIT provides investors with access to a portfolio of high quality international healthcare real estate infrastructure comprised of interests in a diversified portfolio of 158 income-producing properties and 11.9 million square feet of gross leasable area located throughout major markets in Canada, Brazil, Europe, Australia and New Zealand. The REIT's portfolio of medical office buildings, clinics, and hospitals is characterized by long term indexed leases and stable occupancies. With a fully integrated and aligned senior management team, the REIT leverages over 180 professionals in nine offices in five countries to serve as a long term real estate partner to leading healthcare operators.
Non-IFRS Measures
Some financial measures used in this press release, such as Operating Income, adjusted same-property NOI, FFO, AFFO, Normalized AFFO, Net Asset Value per Unit, portfolio occupancy and weighted average lease expiry, are used by the real estate industry to measure and compare the operating performance of real estate companies, but they do not have any standardized meaning prescribed by IFRS. As such, they are unlikely to be comparable to similar measures presented by other real estate companies. These non-IFRS measures are more fully defined and discussed in the REIT's Management's Discussion and Analysis ("MD&A") for the first quarter ending March 31, 2019, which is available on the SEDAR website at www.sedar.com. Also on SEDAR are the condensed consolidated unaudited interim financial statements of the REIT for the three months ended March 31, 2019.
Forward-Looking Statements
This press release may contain forward-looking statements with respect to the REIT, its operations, strategy, financial performance and condition. These statements generally can be identified by use of forward-looking words such as "may", "will", "expect", "estimate", "anticipate", "intends", "believe", "normalized", "contracted", "stabilized" or "continue" or the negative thereof or similar variations. The REIT's actual results and performance discussed herein could differ materially from those expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations, including that the transactions contemplated herein are completed. Important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, competition, changes in government regulations and the factors described under "Risks and Uncertainties" in the REIT's Annual Information Form and the risks and uncertainties set out in the MD&A which are available on www.sedar.com. These cautionary statements qualify all forward-looking statements attributable to the REIT and persons acting on its behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release, and, except as expressly required by applicable law, the REIT assumes no obligation to update such statements.
SOURCE NorthWest Healthcare Properties Real Estate Investment Trust
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