Exhibit 99.2
S u p p l e m e n t a l I n f o r m a t i o n
Three Months Ended September 30, 2007
Dollars in thousands, except per share data, unless otherwise disclosed
Furnished as of November 5, 2007
Quarterly Supplemental Information is also available on the Company’s website — www.healthcarerealty.com
Gabrielle M. Andres (615) 269-8471
Email: GAndres@healthcarerealty.com
In addition to the historical information contained within, this enclosed information may contain forward-looking statements that involve
risks and uncertainties, including the development of transactions that may materially differ from the results of these projections. These
risks are discussed in a 10-Q filed with the SEC by Healthcare Realty Trust for the quarter ended September 30, 2007 and in a 10-K filed
with the SEC by Healthcare Realty Trust for the year ended December 31, 2006. Forward-looking statements represent the Company’s
judgment as of the date of the release of this information. The Company disclaims any obligation to update this forward-looking material.
Healthcare Realty Trust Incorporated
Supplemental Information
Three Months Ended September 30, 2007 Page 1 of 9
TABLE OF CONTENTS
| | | | |
Schedule 1 - Corporate Information | | | 3 | |
| | | | |
Schedule 2 - Condensed Consolidated Balance Sheets | | | 4 | |
| | | | |
Schedule 3 - Investment Progression | | | 5 | |
| | | | |
Schedule 4 - Investment by Type and Geographic Location | | | 6 | |
| | | | |
Schedule 5 - - Construction in Progress (CIP) and Developments | | | 7 | |
| | | | |
Schedule 6 - Square Feet Owned and/or Managed | | | 8 | |
| | | | |
Schedule 7 - - Lease Maturity Schedule | | | 9 | |
| | | | |
Schedule 8 - Joint Venture Investments | | | 9 | |
Healthcare Realty Trust Incorporated
Supplemental Information
Three Months Ended September 30, 2007 Page 2 of 9
1) CORPORATE INFORMATION
A) Corporate Headquarters:
Healthcare Realty Trust Incorporated
Healthcare Realty Services Incorporated
3310 West End Avenue, Suite 700
Nashville, TN 37203
Phone: (615) 269-8175
Fax: (615) 269-8461
E-mail: communications@healthcarerealty.com
Regional Offices:
Central Office — Arizona
Eastern Office — Tennessee
Southwestern Office — Texas
Western Office — California
B) Stock Exchange, Symbol and CUSIP Number:
| | | | | | |
Security Description | | Stock Exchange | | Symbol | | CUSIP Number |
Common Stock | | New York Stock Exchange | | HR | | 421946104 |
Senior Notes due 2011 | | OTC | | HR | | 421946AE4 |
Senior Notes due 2014 | | OTC | | HR | | 421946AF1 |
C) Web Site:www.healthcarerealty.com
D) Executive Officers:
David R. Emery, Chairman of the Board and Chief Executive Officer
Scott W. Holmes, Senior Vice President and Chief Financial Officer
B. Douglas Whitman, II, Senior Vice President / Real Estate Investments
John M. Bryant, Jr., Senior Vice President and General Counsel
D) Board of Directors:
David R. Emery, Chairman of the Board and Chief Executive Officer, Healthcare Realty Trust Incorporated
Errol L. Biggs, Ph.D., Director — Center for Health Administration, University of Colorado (Healthcare Academician)
C. Raymond Fernandez, M.D., Chief Executive Officer and Chief Medical Officer, Piedmont Clinic (Physician)
Batey M. Gresham, Jr., A.I.A., Founder, Gresham Smith & Partners (Healthcare Architect)
Marliese E. Mooney (Hospital Operations Consultant)
Edwin B. Morris III, Managing Director, Morris & Morse (Real Estate Finance Executive)
J. Knox Singleton, Chief Executive Officer, INOVA Health Systems (Healthcare Provider Executive)
Bruce D. Sullivan, retired audit partner, Ernst & Young LLP (Accounting and Financial Reporting Executive)
Dan S. Wilford, retired President and Chief Executive Officer, Memorial Hermann Healthcare System (Healthcare Provider
Executive)
E) Professional Affiliations:
Independent Public Auditors
BDO Seidman, LLP
414 Union Street
Suite 1800
Nashville, TN 37219
Transfer Agent
Computershare Trust Company, N.A.
P.O. Box 43010
Providence, RI 02940-3010
Phone: 1-800-733-5001
F) Dividend Reinvestment Plan:
Through the Company’s transfer agent, Computershare, named stockholders of record can re-invest dividends in shares at a 5% discount without a service or sales charge. In addition, up to $60 thousand of HR common stock may be purchased per calendar year through the transfer agent without a service or sales charge to the shareholder. For information, write Computershare, Investor Services, P.O. Box 43010, Providence, RI 02940-3010, or call 1-800-733-5001. Information may also be obtained at the transfer agent’s website, www.computershare.com.
G) Direct Deposit of Dividends:
Direct deposit of dividends is offered as a convenience to stockholders of record. For information, write Computershare, Investor Services, P.O. Box 43010, Providence, RI 02940-3010, or call 1-800-733-5001.
H) Investor Relations:
Healthcare Realty Trust Incorporated
3310 West End Avenue, Suite 700
Nashville, TN 37203
Attention: Gabrielle M. Andres
Phone: (615) 269-8471
Fax: (615) 269-8461
E-mail: GAndres@healthcarerealty.com
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 3 of 9
(2) CONDENSED CONSOLIDATED BALANCE SHEETS
| | | | | | | | |
| | September 30, 2007 | | | December 31, 2006 | |
ASSETS | | | | | | | | |
| | | | | | | | |
Real estate properties: | | | | | | | | |
Land | | $ | 101,556 | | | $ | 129,658 | |
Buildings, improvements, and lease intangibles | | | 1,462,963 | | | | 1,737,126 | |
Personal property | | | 15,837 | | | | 22,707 | |
Construction in progress | | | 77,925 | | | | 38,835 | |
| | | | | | |
| | | 1,658,281 | | | | 1,928,326 | |
Less accumulated depreciation | | | (330,223 | ) | | | (373,706 | ) |
| | | | | | |
Total real estate properties, net | | | 1,328,058 | | | | 1,554,620 | |
| | | | | | | | |
Cash and cash equivalents | | | 16,120 | | | | 1,950 | |
| | | | | | | | |
Mortgage notes receivable | | | 16,880 | | | | 73,856 | |
| | | | | | | | |
Assets held for sale and discontinued operations, net (1) | | | 48,015 | | | | 0 | |
| | | | | | | | |
Other assets, net | | | 91,709 | | | | 106,177 | |
| | | | | | |
| | | | | | | | |
Total assets | | $ | 1,500,782 | | | $ | 1,736,603 | |
| | | | | | |
| | | | | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | |
| | | | | | | | |
Liabilities: | | | | | | | | |
Notes and bonds payable | | $ | 780,194 | | | $ | 849,982 | |
| | | | | | | | |
Accounts payable and accrued liabilities | | | 31,373 | | | | 32,448 | |
| | | | | | | | |
Liabilities held for sale and discontinued operations (1) | | | 7,622 | | | | 0 | |
| | | | | | | | |
Other liabilities | | | 35,447 | | | | 28,501 | |
| | | | | | |
| | | | | | | | |
Total liabilities | | | 854,636 | | | | 910,931 | |
| | | | | | | | |
Commitments and contingencies | | | | | | | | |
| | | | | | | | |
Stockholders’ equity: | | | | | | | | |
Preferred stock, $.01 par value; 50,000,000 shares authorized; none issued and outstanding | | | 0 | | | | 0 | |
Common stock, $.01 par value; 150,000,000 shares authorized; 50,681,976 and 47,805,448 shares issued and outstanding at September 30, 2007 and December 31, 2006, respectively | | | 507 | | | | 478 | |
| | | | | | | | |
Additional paid-in capital | | | 1,284,865 | | | | 1,211,234 | |
| | | | | | | | |
Accumulated other comprehensive loss | | | (3,915 | ) | | | (4,035 | ) |
| | | | | | | | |
Cumulative net income | | | 690,594 | | | | 635,120 | |
| | | | | | | | |
Cumulative dividends | | | (1,325,905 | ) | | | (1,017,125 | ) |
| | | | | | |
| | | | | | | | |
Total stockholders’ equity | | | 646,146 | | | | 825,672 | |
| | | | | | |
| | | | | | | | |
Total liabilities and stockholders’ equity | | $ | 1,500,782 | | | $ | 1,736,603 | |
| | | | | | |
| | |
(1) | | In accordance with SFAS No. 144, “Accounting for Impairment or Disposal of Long-Lived Assets,” the Company reports real estate properties and related assets and liabilities to be sold as held for sale and includes the results of operations of real estate properties sold or to be sold in discontinued operations on the Company’s Condensed Consolidated Statements of Income. |
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 4 of 9
(3) INVESTMENT PROGRESSION
A) Construction in Progress (1)
| | | | | | | | | | | | | | | | |
| | | | | | For the Three | | | | | | For the Nine |
| | Number of | | Months Ended | | Number of | | Months Ended |
| | Properties | | September 30, 2007 | | Properties | | September 30, 2007 |
| | | | |
Balance at beginning of period | | | 7 | | | $ | 28,515 | | | | 6 | | | $ | 38,835 | |
Fundings on projects in existence at the beginning of the period | | | 0 | | | | 15,713 | | | | 0 | | | | 22,190 | |
New projects started during the period | | | 1 | | | | 8,736 | | | | 4 | | | | 18,557 | |
Land held for development | | | 0 | | | | 24,961 | | | | 0 | | | | 24,961 | |
Completions | | | 0 | | | | 0 | | | | (2 | ) | | | (26,618 | ) |
| | | | |
Balance at end of period | | | 8 | | | $ | 77,925 | | | | 8 | | | $ | 77,925 | |
| | | | |
B) Real Estate Properties (2)
| | | | | | | | | | | | | | | | |
| | | | | | For the Three | | | | | | For the Nine |
| | Number of | | Months Ended | | Number of | | Months Ended |
| | Properties | | September 30, 2007 | | Properties | | September 30, 2007 |
| | | | |
Balance at beginning of period | | | 166 | | | $ | 1,582,558 | | | | 231 | | | $ | 1,889,491 | |
Acquisitions | | | 1 | | | | 22,330 | | | | 3 | | | | 30,596 | |
Additions/Improvements | | | 0 | | | | 6,770 | | | | 0 | | | | 15,906 | |
Land reclassified to CIP | | | (1 | ) | | | (8,328 | ) | | | (1 | ) | | | (8,328 | ) |
Completions (CIP) | | | 0 | | | | 0 | | | | 2 | | | | 26,618 | |
Assets held for sale | | | (1 | ) | | | (11,644 | ) | | | (18 | ) | | | (57,187 | ) |
Sales | | | (1 | ) | | | (11,330 | ) | | | (53 | ) | | | (316,740 | ) |
| | | | |
Balance at end of period | | | 164 | | | $ | 1,580,356 | | | | 164 | | | $ | 1,580,356 | |
| | | | |
C) Mortgage Notes Receivable
| | | | | | | | | | | | | | | | |
| | | | | | For the Three | | | | | | For the Nine |
| | Number of | | Months Ended | | Number of | | Months Ended |
| | Investments | | September 30, 2007 | | Investments | | September 30, 2007 |
| | | | |
Balance at beginning of period | | | 2 | | | $ | 16,886 | | | | 9 | | | $ | 73,856 | |
Funding of mortgages | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Repayments | | | 0 | | | | 0 | | | | (7 | ) | | | (56,957 | ) |
Scheduled principal payments | | | 0 | | | | (6 | ) | | | 0 | | | | (19 | ) |
| | | | |
Balance at end of period | | | 2 | | | $ | 16,880 | | | | 2 | | | $ | 16,880 | |
| | | | |
D) Unconsolidated LLCs
| | | | | | | | | | | | | | | | |
| | | | | | For the Three | | | | | | For the Nine |
| | Number of | | Months Ended | | Number of | | Months Ended |
| | Investments | | September 30, 2007 | | Investments | | September 30, 2007 |
| | | | |
Balance at beginning of period | | | 3 | | | $ | 19,303 | | | | 3 | | | $ | 20,079 | |
New investments during the period | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Additional investments during the period | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Equity income (loss) recognized during the period | | | 0 | | | | 193 | | | | 0 | | | | (59 | ) |
Distributions received during the period | | | 0 | | | | (603 | ) | | | 0 | | | | (1,127 | ) |
| | | | |
Balance at end of period | | | 3 | | | $ | 18,893 | | | | 3 | | | $ | 18,893 | |
| | | | |
| | |
(1) | | See Schedule 5, Construction in Progress (CIP) and Developments. |
|
(2) | | During the third quarter of 2007, the Company purchased a medical office building in Texas. Also, during the third quarter of 2007, the Company sold a medical office building in Texas and two buildings associated with the senior living portfolio. The remaining senior living assets are classified as held for sale. |
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 5 of 9
(4) INVESTMENT BY TYPE AND GEOGRAPHIC LOCATION (1)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Medical | | Physician | | Ambulatory | | Specialty | | Specialty | | | | | | | | |
| | | | | | Office | | Clinics | | Care/Surgery | | Outpatient | | Inpatient | | Other | | | | | | % of |
| | | | | | (MOB) | | (PC) | | (ASC) | | (SOP) | | (SIP) (4) | | (OTH) | | Total | | Total |
| | | | | | |
Master Leases (3) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1 | | | Alabama | | | | | | $ | 17,660 | | | | | | | $ | 2,698 | | | $ | 17,722 | | | $ | 9,445 | | | $ | 47,525 | | | | 2.8 | % |
| 2 | | | Arkansas | | | | | | | | | | | | | | | 3,055 | | | | | | | | | | | | 3,055 | | | | 0.2 | % |
| 3 | | | California | | | | | | | 8,363 | | | $ | 1,046 | | | | | | | | 12,688 | | | | | | | | 22,097 | | | | 1.3 | % |
| 4 | | | Florida | | $ | 41,257 | | | | 37,372 | | | | 9,521 | | | | 3,411 | | | | 11,703 | | | | | | | | 103,264 | | | | 6.1 | % |
| 5 | | | Georgia | | | 7,486 | | | | 2,683 | | | | 1,595 | | | | | | | | | | | | | | | | 11,764 | | | | 0.7 | % |
| 6 | | | Illinois | | | 11,939 | | | | | | | | 1,486 | | | | | | | | | | | | | | | | 13,425 | | | | 0.8 | % |
| 7 | | | Indiana | | | | | | | 21,597 | | | | | | | | | | | | 43,406 | | | | | | | | 65,003 | | | | 3.8 | % |
| 8 | | | Massachusetts | | | | | | | 12,035 | | | | | | | | | | | | | | | | | | | | 12,035 | | | | 0.7 | % |
| 9 | | | Michigan | | | | | | | | | | | | | | | | | | | 13,859 | | | | | | | | 13,859 | | | | 0.8 | % |
| 10 | | | Missouri | | | | | | | | | | | 4,708 | | | | 16,370 | | | | | | | | | | | | 21,078 | | | | 1.2 | % |
| 11 | | | Nevada | | | | | | | | | | | 3,801 | | | | | | | | | | | | | | | | 3,801 | | | | 0.2 | % |
| 12 | | | Pennsylvania | | | | | | | | | | | | | | | | | | | 113,867 | | | | | | | | 113,867 | | | | 6.7 | % |
| 13 | | | Tennessee | | | 2,611 | | | | 3,139 | | | | | | | | | | | | | | | | 7,316 | | | | 13,066 | | | | 0.8 | % |
| 14 | | | Texas | | | 18,485 | | | | 3,714 | | | | 17,314 | | | | | | | | 19,225 | | | | | | | | 58,738 | | | | 3.5 | % |
| 15 | | | Virginia | | | 30,964 | | | | 30,911 | | | | | | | | 2,166 | | | | | | | | 9,181 | | | | 73,222 | | | | 4.4 | % |
| | | | | | |
| | | | Master Leases | | $ | 112,742 | | | $ | 137,474 | | | $ | 39,471 | | | $ | 27,700 | | | $ | 232,470 | | | $ | 25,942 | | | $ | 575,799 | | | | 34.0 | % |
| | | | | | |
| | | | | | | | | | | | | (2) Normalized same facility NOI growth for Master Leases (3Q2007 vs. 3Q2006): | | 2.6 | % |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Operating Properties (3) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1 | | | Arizona | | | 37,432 | | | | 1,942 | | | | | | | | | | | | | | | | | | | | 39,374 | | | | 2.3 | % |
| 2 | | | California | | | 60,761 | | | | | | | | 38,206 | | | | | | | | | | | | 27 | | | | 98,994 | | | | 5.8 | % |
| 3 | | | Colorado | | | 7,002 | | | | | | | | | | | | | | | | | | | | | | | | 7,002 | | | | 0.4 | % |
| 4 | | | District of Columbia | | | 29,773 | | | | | | | | | | | | | | | | | | | | | | | | 29,773 | | | | 1.8 | % |
| 5 | | | Florida | | | 79,528 | | | | 16,462 | | | | | | | | | | | | | | | | | | | | 95,990 | | | | 5.7 | % |
| 6 | | | Hawaii | | | 35,591 | | | | | | | | | | | | | | | | | | | | | | | | 35,591 | | | | 2.1 | % |
| 7 | | | Illinois | | | 21,225 | | | | | | | | | | | | | | | | | | | | | | | | 21,225 | | | | 1.3 | % |
| 8 | | | Kansas | | | 12,917 | | | | | | | | | | | | | | | | | | | | | | | | 12,917 | | | | 0.8 | % |
| 9 | | | Louisiana | | | 11,685 | | | | | | | | | | | | | | | | | | | | | | | | 11,685 | | | | 0.7 | % |
| 10 | | | Maryland | | | 15,534 | | | | | | | | | | | | | | | | | | | | | | | | 15,534 | | | | 0.9 | % |
| 11 | | | Michigan | | | 21,710 | | | | | | | | | | | | | | | | | | | | | | | | 21,710 | | | | 1.3 | % |
| 12 | | | Mississippi | | | 7,201 | | | | | | | | | | | | | | | | | | | | | | | | 7,201 | | | | 0.4 | % |
| 13 | | | Missouri | | | 19,714 | | | | | | | | | | | | | | | | | | | | | | | | 19,714 | | | | 1.2 | % |
| 14 | | | Nevada | | | 54,294 | | | | | | | | | | | | | | | | | | | | | | | | 54,294 | | | | 3.2 | % |
| 15 | | | Pennsylvania | | | 10,789 | | | | | | | | | | | | | | | | | | | | | | | | 10,789 | | | | 0.6 | % |
| 16 | | | Tennessee | | | 157,018 | | | | 2,333 | | | | | | | | | | | | | | | | 797 | | | | 160,148 | | | | 9.5 | % |
| 17 | | | Texas | | | 328,513 | | | | 16,588 | | | | 23,666 | | | | | | | | 3,152 | | | | 9,223 | | | | 381,142 | | | | 22.3 | % |
| 18 | | | Virginia | | | 1,015 | | | | | | | | | | | | | | | | | | | | | | | | 1,015 | | | | 0.1 | % |
| 19 | | | Wyoming | | | 19,676 | | | | | | | | | | | | | | | | | | | | | | | | 19,676 | | | | 1.2 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | |
| | | | Oper. Properties | | $ | 931,378 | | | $ | 37,325 | | | $ | 61,872 | | | $ | — | | | $ | 3,152 | | | $ | 10,047 | | | $ | 1,043,774 | | | | 61.6 | % |
| | | | | | |
| | | | | | | | | | | | | (2) Normalized same facility NOI growth for Operating Properties (3Q2007 vs. 3Q2006): | | 2.6 | % |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Land Held for Development | | | | | | | | | | | | | | | | | | | | | | | | | | | 24,961 | | | | 1.5 | % |
Corporate Property | | | | | | | | | | | | | | | | | | | | | | | | | | | 13,747 | | | | 0.8 | % |
| | | | | | |
| | | | Total Equity Investments | | $ | 1,044,120 | | | $ | 174,799 | | | $ | 101,343 | | | $ | 27,700 | | | $ | 235,622 | | | $ | 35,989 | | | $ | 1,658,281 | | | | 97.9 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage Investments | | | | | | | 16,880 | | | | | | | | | | | | | | | | | | | | 16,880 | | | | 1.0 | % |
| | | | | | |
| | | | Mtg. Investments | | $ | — | | | $ | 16,880 | | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 16,880 | | | | 1.0 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Unconsolidated LLCs (Joint Venture Investments) | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1 | | | Oregon | | | 2,001 | | | | | | | | | | | | | | | | | | | | | | | | 2,001 | | | | 0.1 | % |
| 2 | | | Utah | | | | | | | | | | | | | | | | | | | | | | | 6,627 | | | | 6,627 | | | | 0.4 | % |
| 3 | | | Washington | | | 10,265 | | | | | | | | | | | | | | | | | | | | | | | | 10,265 | | | | 0.6 | % |
| | | | | | |
| | | | LLC Investments | | $ | 12,266 | | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 6,627 | | | $ | 18,893 | | | | 1.1 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | Total Investments | | $ | 1,056,386 | | | $ | 191,679 | | | $ | 101,343 | | | $ | 27,700 | | | $ | 235,622 | | | $ | 42,616 | | | $ | 1,694,054 | | | | 100.0 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | Percent of $ Invested | | | 63.8 | % | | | 11.6 | % | | | 6.1 | % | | | 1.7 | % | | | 14.2 | % | | | 2.6 | % | | | 100.0 | % | | | | |
| | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | Number of Investments | | | 106 | | | | 34 | | | | 12 | | | | 6 | | | | 14 | | | | 5 | | | | 177 | | | | | |
| | | | | | | |
| | |
(1) | | Excludes assets held for sale. |
|
(2) | | The ‘same facility’ portfolio includes those properties that were in operation for the full quarter and for the full corresponding quarter of the prior year. The normalized growth rate in the same facility portfolio is not representative of the entire portfolio. ‘Normalized’ means adjusted for items that would otherwise prohibit meaningful comparison of NOI for the two periods. Approximately 87.8% of the portfolio is included in the calculation of the ‘same facility’ growth. |
|
(3) | | The economic occupancy of the Owned and Managed portfolio is 83.9%. Properties under a Property Operating Agreement and Master Lease Agreement are considered to have 100% economic occupancy. Therefore, the economic occupancy of the entire portfolio is 89.9%. |
|
(4) | | The Inpatient Rehab Facilities (included in SIP) have EBITDARM coverages ranging from 2.8 to 3.0 times and have a combined occupancy of approximately 60.0% |
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 6 of 9
(5) CONSTRUCTION IN PROGRESS (CIP) AND DEVELOPMENTS
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Estimated | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Completion | | | | | | | | | | | | | | | | | | Estimated | | Estimated |
| | | | | | | | Date - Core | | Property | | | | | | Approximate | | Investment | | Remaining | | Total |
| | State | | Start Date | | and Shell (1) | | Type | | Properties | | Square Feet | | to Date (2) | | Fundings | | Investment (3) |
| | |
Under construction: | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Texas | | | 3Q 2006 | | | | 4Q 2007 | | | MOB | | | 1 | | | | 150,000 | | | $ | 15,145 | | | $ | 9,769 | | | $ | 24,914 | |
| | Colorado | | | 1Q 2007 | | | | 3Q 2008 | | | MOB | | | 2 | | | | 170,000 | | | | 7,002 | | | | 20,401 | | | | 27,403 | |
| | Arizona | | | 4Q 2007 | | | | 4Q 2008 | | | MOB | | | 2 | | | | 191,200 | | | | 6,669 | | | | 24,374 | | | | 31,043 | |
| | Texas | | | 4Q 2007 | | | | 2Q 2009 | | | MOB | | | 1 | | | | 125,000 | | | | 8,736 | | | | 24,264 | | | | 33,000 | |
| | Texas | | | 1Q 2008 | | | | 2Q 2009 | | | SIP | | | 1 | | | | 45,000 | | | | 3,152 | | | | 9,248 | | | | 12,400 | |
| | Hawaii | | | 2Q 2004 | | | | 4Q 2009 | | | MOB | | | 1 | | | | 121,000 | | | | 12,260 | | | | 61,318 | | | | 73,578 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Land held for development: | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Illinois | | | | | | | | | | | | | | | | | | | | | | | 5,859 | | | | | | | | | |
| | Illinois | | | | | | | | | | | | | | | | | | | | | | | 8,413 | | | | | | | | | |
| | Texas | | | | | | | | | | | | | | | | | | | | | | | 4,731 | | | | | | | | | |
| | Texas | | | | | | | | | | | | | | | | | | | | | | | 5,958 | | | | | | | | | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | 8 | | | | 802,200 | | | $ | 77,925 | | | $ | 149,374 | | | $ | 202,338 | |
| | | | | | | | | | | | | | | | |
Properties transferred from CIP into real estate, but not yet stabilized: (4)
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | Estimated | | | | |
| | Date | | | | | | | | | | | | | | Remaining | | Estimated | | |
| | Transferred | | | | | | Square | | Investment | | Tenant | | Total | | 3Q 2007 |
State | | from CIP | | Property Type | | Feet | | to Date (2) | | Improvements | | Investment (3) | | NOI (5) |
|
Texas | | 1Q 2007 | | MOB | | | 185,092 | | | $ | 10,776 | | | $ | 882 | | | $ | 11,658 | | | $ | 111 | |
Texas | | 2Q 2007 | | MOB | | | 73,324 | | | | 20,105 | | | | 10,199 | | | | 30,304 | | | | 35 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | |
| | | | | | | | | 258,416 | | | $ | 30,881 | | | $ | 11,081 | | | $ | 41,962 | | | $ | 146 | |
| | | | | | | | |
| | |
(1) | | The in-service date is the estimated date of completion of the core and shell of the building, based upon current expectations, and is therefore subject to change. |
|
(2) | | As of September 30, 2007. |
|
(3) | | Total estimated cost of the project upon completion of construction and first generation tenant improvements. This amount is subject to change. |
|
(4) | | Not yet stabilized development properties are defined as properties that have been completed within the last 24-month period or have not achieved a 70% occupancy level. |
|
(5) | | Represents the Net Operating Income (“NOI”) on these respective properties that is included in the Company’s Condensed Consolidated Statements of Income for the three months ended September 30, 2007 and is not the NOI expected upon stabilization. |
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 7 of 9
(6) SQUARE FEET OWNED AND/OR MANAGED (1)
A)By Geographic Location
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Number of Properties | | Owned | | Third Party | | | | |
| | | | | | | | | | Third | | | | | | Not | | Construction | | | | | | Property | | | | |
| | | | | | Owned | | Party | | Total | | Managed | | in Progress | | Managed | | Management | | Total | | Percent |
| | | | | | | | |
| 1 | | | Texas | | | 44 | | | | | | | | 44 | | | | 297,010 | | | | 320,000 | | | | 2,578,387 | | | | | | | | 3,195,397 | | | | 28.8 | % |
| 2 | | | Tennessee | | | 18 | | | | 5 | | | | 23 | | | | 118,932 | | | | | | | | 1,260,260 | | | | 251,871 | | | | 1,631,063 | | | | 14.7 | % |
| 3 | | | Florida | | | 26 | | | | | | | | 26 | | | | 572,884 | | | | | | | | 534,213 | | | | | | | | 1,107,097 | | | | 10.0 | % |
| 4 | | | Virginia | | | 14 | | | | 1 | | | | 15 | | | | 685,882 | | | | | | | | 7,093 | | | | 111,998 | | | | 804,973 | | | | 7.3 | % |
| 5 | | | California | | | 11 | | | | | | | | 11 | | | | 97,913 | | | | | | | | 458,465 | | | | | | | | 556,378 | | | | 5.0 | % |
| 6 | | | Pennsylvania | | | 7 | | | | | | | | 7 | | | | 437,601 | | | | | | | | 63,914 | | | | | | | | 501,515 | | | | 4.5 | % |
| 7 | | | Arizona | | | 9 | | | | 1 | | | | 10 | | | | | | | | 191,200 | | | | 205,010 | | | | 59,106 | | | | 455,316 | | | | 4.1 | % |
| 8 | | | Alabama | | | 6 | | | | | | | | 6 | | | | 327,535 | | | | | | | | | | | | | | | | 327,535 | | | | 3.0 | % |
| 9 | | | Michigan | | | 4 | | | | | | | | 4 | | | | 113,555 | | | | | | | | 199,749 | | | | | | | | 313,304 | | | | 2.8 | % |
| 10 | | | Hawaii | | | 3 | | | | | | | | 3 | | | | | | | | 121,000 | | | | 138,450 | | | | | | | | 259,450 | | | | 2.3 | % |
| 11 | | | Illinois | | | 3 | | | | | | | | 3 | | | | 115,100 | | | | | | | | 142,955 | | | | | | | | 258,055 | | | | 2.3 | % |
| 12 | | | Nevada | | | 3 | | | | | | | | 3 | | | | 16,878 | | | | | | | | 225,456 | | | | | | | | 242,334 | | | | 2.2 | % |
| 13 | | | Missouri | | | 5 | | | | | | | | 5 | | �� | | 81,580 | | | | | | | | 106,146 | | | | | | | | 187,726 | | | | 1.7 | % |
| 14 | | | District of Columbia | | | 2 | | | | | | | | 2 | | | | | | | | | | | | 182,836 | | | | | | | | 182,836 | | | | 1.7 | % |
| 15 | | | Indiana | | | 2 | | | | | | | | 2 | | | | 175,999 | | | | | | | | | | | | | | | | 175,999 | | | | 1.6 | % |
| 16 | | | Colorado | | | 2 | | | | | | | | 2 | | | | | | | | 170,000 | | | | — | | | | | | | | 170,000 | | | | 1.5 | % |
| 17 | | | Wyoming | | | 1 | | | | | | | | 1 | | | | | | | | | | | | 139,647 | | | | | | | | 139,647 | | | | 1.3 | % |
| 18 | | | Louisiana | | | 2 | | | | | | | | 2 | | | | | | | | | | | | 133,211 | | | | | | | | 133,211 | | | | 1.2 | % |
| 19 | | | Mississippi | | | 1 | | | | 1 | | | | 2 | | | | — | | | | | | | | 58,036 | | | | 39,648 | | | | 97,684 | | | | 0.9 | % |
| 20 | | | Maryland | | | 2 | | | | | | | | 2 | | | | | | | | | | | | 94,664 | | | | | | | | 94,664 | | | | 0.9 | % |
| 21 | | | Massachusetts | | | 2 | | | | | | | | 2 | | | | 84,242 | | | | | | | | | | | | | | | | 84,242 | | | | 0.8 | % |
| 22 | | | Georgia | | | 3 | | | | | | | | 3 | | | | 78,779 | | | | | | | | | | | | | | | | 78,779 | | | | 0.7 | % |
| 23 | | | Kansas | | | 1 | | | | | | | | 1 | | | | | | | | | | | | 70,908 | | | | | | | | 70,908 | | | | 0.6 | % |
| 24 | | | Arkansas | | | 1 | | | | | | | | 1 | | | | 11,963 | | | | | | | | | | | | | | | | 11,963 | | | | 0.1 | % |
| | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | Total Properties / Square Feet | | | 172 | | | | 8 | | | | 180 | | | | 3,215,853 | | | | 802,200 | | | | 6,599,400 | | | | 462,623 | | | | 11,080,076 | | | | 100.00 | % |
| | | | | | | | |
B)By Facility Type
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Owned | | Third Party | | | | |
| | Not | | Construction | | | | | | Total | | Property | | | | |
| | Managed | | in Progress | | Managed | | Owned | | Management | | Total | | Percent |
| | |
Medical Office | | | 805,598 | | | | 757,200 | | | | 6,073,542 | | | | 7,636,340 | | | | 462,623 | | | | 7,956,439 | | | | 73.1 | % |
Physician Clinics | | | 802,644 | | | | | | | | 242,891 | | | | 1,045,535 | | | | | | | | 1,045,535 | | | | 9.4 | % |
Specialty Inpatient | | | 977,249 | | | | 45,000 | | | | | | | | 1,022,249 | | | | | | | | 1,022,249 | | | | 9.2 | % |
Ambulatory Care/Surgery | | | 165,113 | | | | | | | | 282,967 | | | | 448,080 | | | | | | | | 448,080 | | | | 4.0 | % |
Other | | | 347,121 | | | | | | | | | | | | 347,121 | | | | | | | | 347,121 | | | | 3.1 | % |
Specialty Outpatient | | | 118,128 | | | | | | | | | | | | 118,128 | | | | | | | | 118,128 | | | | 1.1 | % |
| | |
Total Square Feet | | | 3,215,853 | | | | 802,200 | | | | 6,599,400 | | | | 10,617,453 | | | | 462,623 | | | | 11,080,076 | | | | 100.0 | % |
| | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Percent of Total Square Footage | | | 29.0 | % | | | 7.2 | % | | | 59.6 | % | | | 95.8 | % | | | 4.2 | % | | | 100.0 | % | | | | |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Number of Properties | | | 67 | | | | 8 | | | | 97 | | | | 172 | | | | 8 | | | | 180 | | | | | |
| | | | | | |
C)By Occupancy (2)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | % of Total |
| | Medical | | Physician | | Ambulatory | | Specialty | | Specialty | | | | | | | | | | Square |
| | Office (3) | | Clinics | | Care/Surgery | | Outpatient | | Inpatient | | Other | | Total | | Feet |
| | |
Occupants Greater than 1% | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
1 Healthsouth | | | 116,431 | | | | | | | | | | | | | | | | 643,383 | | | | | | | | 759,814 | | | | 7.2 | % |
2 Baylor Health Systems | | | 743,167 | | | | | | | | | | | | | | | | | | | | | | | | 743,167 | | | | 7.0 | % |
3 HCA | | | 376,027 | | | | | | | | | | | | | | | | | | | | | | | | 376,027 | | | | 3.5 | % |
5 Ascension Nashville | | | 209,460 | | | | | | | | | | | | | | | | | | | | | | | | 209,460 | | | | 2.0 | % |
4 OrthoIndy | | | | | | | 58,474 | | | | | | | | | | | | 117,525 | | | | | | | | 175,999 | | | | 1.7 | % |
6 Melbourne Internal Medicine Assocs | | | 140,128 | | | | | | | | | | | | | | | | | | | | | | | | 140,128 | | | | 1.3 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
All Other Occupants Less than 1% | | | 6,051,127 | | | | 987,061 | | | | 448,080 | | | | 118,128 | | | | 261,341 | | | | 347,121 | | | | 8,212,858 | | | | 77.4 | % |
| | |
Total Square Feet | | | 7,636,340 | | | | 1,045,535 | | | | 448,080 | | | | 118,128 | | | | 1,022,249 | | | | 347,121 | | | | 10,617,453 | | | | 100.0 | % |
| | |
| | |
(1) | | Mortgages, investments in unconsolidated limited liability companies and assets classified as held for sale are excluded. |
|
(2) | | Excludes investments noted above in footnote (1), as well as third party managed properties. |
|
(3) | | Medical Office consists of approximately 2,465 occupants with an average square footage of approximately 3,040 square feet per occupant. |
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 8 of 9
| | |
(7) | | LEASE MATURITY SCHEDULE |
| | | | | | | | | | | | |
| | Annualized | | | | |
| | Minimum | | Number of | | Percentage |
| | Rents (1) | | Leases | | of Revenues |
| | |
2007 | | $ | 12,312 | | | | 217 | | | | 6.9 | % |
2008 | | | 23,730 | | | | 350 | | | | 13.3 | % |
2009 | | | 37,639 | | | | 389 | | | | 20.9 | % |
2010 | | | 18,056 | | | | 214 | | | | 10.1 | % |
2011 | | | 22,027 | | | | 161 | | | | 12.3 | % |
2012 | | | 17,369 | | | | 127 | | | | 9.7 | % |
2013 | | | 16,442 | | | | 43 | | | | 9.2 | % |
2014 | | | 9,828 | | | | 51 | | | | 5.5 | % |
2015 | | | 3,670 | | | | 19 | | | | 2.1 | % |
2016 | | | 7,132 | | | | 14 | | | | 4.0 | % |
Thereafter | | | 10,737 | | | | 27 | | | | 6.0 | % |
| | |
(1) | | Represents the annualizedminimum rentson leases in place, excluding the impact of renewals, future step-ups in rent, or sponsor support payments under property operating agreements. |
(8) JOINT VENTURE INVESTMENTS
| | | | | | | | | | | | |
| | Washington | | Oregon | | Utah |
HR Ownership % | | | 75 | % | | | 50 | % | | | 10 | % |
HR Investment in JV, net (1) | | $ | 10,265 | | | $ | 2,001 | | | $ | 6,627 | |
Income (loss) recorded by HR (2) | | $ | 195 | | | $ | (2 | ) | | $ | 268 | |
Facility type | | MOB | | MOB | | OTH |
Total unconsolidated assets of JV (3) | | $ | 61,266 | | | $ | 17,249 | | | $ | 29,923 | |
Total unconsolidated debt of JV (3) | | $ | 49,527 | | | $ | 12,900 | | | $ | 26,009 | |
Total unconsolidated equity of JV (3) | | $ | 10,634 | | | $ | 4,002 | | | $ | 3,915 | |
| | |
(1) | | As of September 30, 2007. |
|
(2) | | Included in “Other operating income” on the Company’s Condensed Consolidated Statements of Income for the three months ended September 30, 2007. |
|
(3) | | Unaudited information provided by the joint venture. |
Healthcare Realty Trust
Supplemental Information
Three Months Ended September 30, 2007 Page 9 of 9