EXHIBIT 99.3
[HEALTHCARE REALTY TRUST LOGO]
Supplemental Data Report
Three Months Ended June 30, 2004
Dollars in thousands, except per share data, unless otherwise disclosed
Updated as of July 29, 2004
1) RECONCILIATION OF FUNDS FROM OPERATIONS (1) - UNAUDITED
FOR THE THREE MONTHS FOR THE SIX MONTHS
ENDED JUNE 30, ENDED JUNE 30,
------------------------------ ------------------------------
2004 2003 2004 2003
------------- ------------- ------------- -------------
NET INCOME (2) $ 15,625 $ 17,634 $ 33,437 $ 36,203
NET (GAIN)/LOSS ON SALE OF REAL ESTATE PROPERTIES 567 208 567 208
REAL ESTATE DEPRECIATION AND AMORTIZATION 12,900 10,341 24,182 20,319
------------- ------------- ------------- -------------
TOTAL ADJUSTMENTS 13,467 10,549 24,749 20,527
------------- ------------- ------------- -------------
FUNDS FROM OPERATIONS - BASIC AND DILUTED $ 29,092 $ 28,183 $ 58,186 $ 56,730
============= ============= ============= =============
FUNDS FROM OPERATIONS PER COMMON SHARE - BASIC $ 0.70 $ 0.69 $ 1.39 $ 1.39
============= ============= ============= =============
FUNDS FROM OPERATIONS PER COMMON SHARE - DILUTED $ 0.69 $ 0.68 $ 1.37 $ 1.36
============= ============= ============= =============
WTD AVERAGE COMMON SHARES OUTSTANDING - BASIC 41,741,375 40,905,717 41,723,754 40,864,745
============= ============= ============= =============
WTD AVERAGE COMMON SHARES OUTSTANDING - DILUTED 42,414,150 41,635,351 42,434,219 41,610,718
============= ============= ============= =============
(1) Funds From Operations ("FFO") and FFO per share are operating
performance measures adopted by the National Association of Real
Estate Investment Trusts, Inc. ("NAREIT"). NAREIT defines FFO as "the
most commonly accepted and reported measure of REIT operating
performance equal to a REIT's net income, excluding gains or losses
from sales of property and adding back real estate depreciation."
The Company considers FFO to be an informative measure of REIT
performance commonly used in the REIT industry. However, FFO does not
represent cash generated from operating activities determined in
accordance with accounting principles generally accepted in the United
States ("GAAP") and is not necessarily indicative of cash available to
fund cash needs. FFO should not be considered an alternative to net
income as an indicator of the Company's operating performance or as an
alternative to cash flow as a measure of liquidity.
(2) Net income includes non-cash deferred compensation of $849 thousand
and $686 thousand, respectively, for the three months ended June 30,
2004 and 2003, and $1.7 million and $1.4 million, respectively, for
the six months ended June 30, 2004 and 2003.
- -------------------------------------------------------------------------------
Quarterly Supplemental Data Report is also available on the Company's
website-- www.healthcarerealty.com
Bethany A. Mancini (615) 269-8175
Email: BMancini@healthcarerealty.com
- -------------------------------------------------------------------------------
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 1 OF 12
2) CONSOLIDATED BALANCE SHEETS
ASSETS (Unaudited) (1)
JUNE 30, 2004 DEC. 31, 2003
--------------- ---------------
Real estate properties (2):
Land $ 141,166 $ 139,732
Buildings, improvements and lease intangibles 1,582,644 1,405,426
Personal property 14,755 14,416
Construction in progress 28,221 13,198
--------------- ---------------
1,766,786 1,572,772
Less accumulated depreciation (255,787) (232,763)
--------------- ---------------
Total real estate properties, net 1,510,999 1,340,009
Cash and cash equivalents 3,126 3,840
Mortgage notes receivable 81,911 91,835
Other assets, net 95,661 90,026
--------------- ---------------
Total assets $ 1,691,697 $ 1,525,710
=============== ===============
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Notes and bonds payable $ 764,198 $ 590,281
Accounts payable and accrued liabilities 20,231 15,649
Other liabilities 22,791 17,502
--------------- ---------------
Total liabilities 807,220 623,432
--------------- ---------------
Commitments and contingencies 0 0
Stockholders' equity:
Preferred stock, $.01 par value; 50,000,000 shares authorized;
issued and outstanding, none 0 0
Common stock, $.01 par value; 150,000,000 shares authorized;
issued and outstanding, 2004 -- 43,065,185; 2003 -- 42,823,916 431 428
Additional paid-in capital 1,063,423 1,054,465
Deferred compensation (24,162) (18,396)
Cumulative net income 549,096 515,659
Cumulative dividends (704,311) (649,878)
--------------- ---------------
Total stockholders' equity 884,477 902,278
--------------- ---------------
Total liabilities and stockholders' equity $ 1,691,697 $ 1,525,710
=============== ===============
(1) The balance sheet at December 31, 2003 has been derived from audited
financial statements at that date but does not include all of the information
and footnotes required by generally accepted accounting principles for complete
financial statements.
(2) Total weighted average depreciable life is 34.2 years. (see schedule 5)
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 2 OF 12
3) CONSOLIDATED STATEMENTS OF INCOME
FOR THE THREE MONTHS FOR THE SIX MONTHS
ENDED JUNE 30, ENDED JUNE 30,
----------------------------- ------------------------------
2004 2003 2004 2003
------------ ------------ ------------ ------------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
REVENUES
Master lease rental income $ 22,710 $ 21,970 $ 45,720 $ 44,310
Property operating income 28,392 21,385 53,157 41,186
Straight line rent 308 572 490 1,191
Mortgage interest income 2,819 2,286 5,632 4,967
Interest and other income 1,054 762 1,948 2,342
----------------------------- ------------------------------
55,283 46,975 106,947 93,996
EXPENSES
General and administrative 2,823 2,865 6,240 5,534
Property operating expenses 13,061 8,637 23,424 16,298
Interest 11,783 8,565 20,755 17,010
Depreciation 11,978 10,492 23,065 20,619
Amortization 13 13 26 27
----------------------------- ------------------------------
39,658 30,572 73,510 59,488
----------------------------- ------------------------------
INCOME FROM CONTINUING OPERATIONS 15,625 16,403 33,437 34,508
DISCONTINUED OPERATIONS
Operating income from Discontinued Operations 0 1,439 0 1,903
Gain/(loss) on sale of real estate properties 0 (208) 0 (208)
----------------------------- ------------------------------
0 1,231 0 1,695
NET INCOME $ 15,625 $ 17,634 $ 33,437 $ 36,203
============================= ==============================
BASIC EARNINGS PER COMMON SHARE:
INCOME FROM CONTINUING OPERATIONS PER COMMON SHARE $ 0.37 $ 0.40 $ 0.80 $ 0.84
============================= ==============================
DISCONTINUED OPERATIONS PER COMMON SHARE $ -- $ 0.03 $ -- $ 0.05
============================= ==============================
NET INCOME PER COMMON SHARE $ 0.37 $ 0.43 $ 0.80 $ 0.89
============================= ==============================
DILUTED EARNINGS PER COMMON SHARE:
INCOME FROM CONTINUING OPERATIONS PER COMMON SHARE $ 0.37 $ 0.39 $ 0.79 $ 0.83
============================= ==============================
DISCONTINUED OPERATIONS PER COMMON SHARE $ -- $ 0.03 $ -- $ 0.04
============================= ==============================
NET INCOME PER COMMON SHARE $ 0.37 $ 0.42 $ 0.79 $ 0.87
============================= ==============================
WTD AVERAGE COMMON SHARES OUTSTANDING - BASIC 41,741,375 40,905,717 41,723,754 40,864,745
============================= ==============================
WTD AVERAGE COMMON SHARES OUTSTANDING - DILUTED 42,414,150 41,635,351 42,434,219 41,610,718
============================= ==============================
NOTE: The income statements do not include all of the information and
footnotes required by generally accepted accounting principles for
complete financial statements.
RECONCILIATION OF NET INCOME TO TAXABLE INCOME (UNAUDITED)
FOR THE THREE MONTHS FOR THE SIX MONTHS
ENDED JUNE 30, ENDED JUNE 30,
----------------------------- -------------------------------
2004 2003 2004 2003
------------ ------------ ------------ ------------
NET INCOME $ 15,625 $ 17,634 $ 33,437 $ 36,203
DEPRECIATION AND AMORTIZATION (1) 11,591 10,648 23,092 20,941
DEPRECIATION AND AMORTIZATION (2) (10,372) (8,949) (20,185) (17,546)
GAIN OR LOSS ON DISPOSITION OF DEPRECIABLE ASSETS 8 29 (515) 31
STRAIGHT LINE RENT (308) (606) (490) (1,271)
OTHER 1,383 (2,841) 4,401 (1,867)
----------------------------- -------------------------------
2,302 (1,719) 6,303 288
----------------------------- -------------------------------
TAXABLE INCOME (3) $ 17,927 $ 15,915 $ 39,740 $ 36,491
============================= ===============================
(1) Per books
(2) Tax basis
(3) Before REIT dividend paid deduction
NOTE: The differences between financial statement net income and REIT
taxable income arise from income and expenses included in net income
that are nontaxable or nondeductible, respectively, for federal income
tax purposes, or that are taxable or deductible, respectively, in
another period or periods due to timing differences between the
methods of accounting appropriate under generally accepted accounting
principles and those required for federal income tax purposes. Such
differences for the Company include those listed above in detail and
other differences, which are attributable to deferred rents, reserves
for doubtful accounts and other contingencies, prepaid expenses,
deferred compensation, nondeductible expenses, nontaxable income,
purchase accounting differences arising from tax-free reorganizations,
and other differences between GAAP and federal income tax accounting
methods.
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 3 OF 12
4) INVESTMENT PROGRESSION
A) CONSTRUCTION IN PROGRESS
FOR THE THREE FOR THE SIX
NUMBER OF MONTHS ENDED NUMBER OF MONTHS ENDED
PROPERTIES 06/30/04 PROPERTIES 06/30/04
------------------------------ ------------------------------
Balance at beginning of period 2 $ 15,220 2 $ 13,198
Fundings on projects in existence at
the beginning of the period 0 7,109 0 13,223
New Projects started during the period (1) 1 5,892 2 9,057
Completions (1) (7,257)
------------------------------ ------------------------------
Balance at end of period 3 $ 28,221 3 $ 28,221
============================== ==============================
B) REAL ESTATE PROPERTIES
FOR THE THREE FOR THE SIX
NUMBER OF MONTHS ENDED NUMBER OF MONTHS ENDED
PROPERTIES 06/30/04 PROPERTIES 06/30/04
------------------------------ -----------------------------
Balance at beginning of period 211 $ 1,615,113 202 $ 1,559,574
Acquisitions (2) 12 124,395 20 172,393
Additions/Improvements 0 3,111 0 6,024
Completions (CIP) 0 0 1 7,257
Sales (2) (1) (4,054) (1) (6,683)
------------------------------ -----------------------------
Balance at end of period 222 $ 1,738,565 222 $ 1,738,565
============================== =============================
C) MORTGAGE NOTES RECEIVABLE
FOR THE THREE FOR THE SIX
NUMBER OF MONTHS ENDED NUMBER OF MONTHS ENDED
PROPERTIES 06/30/04 PROPERTIES 06/30/04
------------------------------ -----------------------------
Balance at beginning of period 15 $ 93,057 14 $ 91,835
Funding of Mortgages 0 0 1 1,260
Repayments (2) (3) (11,124) (3) (11,124)
Amortization 0 150 0 289
Scheduled Principal Payments 0 (172) 0 (349)
------------------------------ -----------------------------
Balance at end of period 12 $ 81,911 12 $ 81,911
============================== =============================
(1) During May 2004, land was purchased for the construction of a medical
office building in Honolulu, Hawaii.
(2) On April 1, 2004, the Company acquired an assisted living facility in
Florida for $4.8 million; on April 21, 2004, the Company acquired four
ancillary hospital facilities in Maryland and Washington D.C. for $42.4
million; and on April 23, 2004, the Company acquired six ancillary hospital
facilities in Tennessee for $71.0 million. Also during the second quarter of
2004, the Company sold one assisted living facility in Georgia for $4.1
million. Additionally, a $1.1 million mortgage note receivable on an assisted
living facility in Georgia was repaid in full; a $5.3 million mortgage note
receivable on an independent living facility in Florida was repaid in full; and
a $4.7 million mortgage on a skilled nursing facility in Tennessee was
converted to an owned and managed facility.
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 4 OF 12
5) INVESTMENT BY TYPE AND GEOGRAPHIC LOCATION
INPATIENT FACILITIES
--------------------------------------------------------------------
MEDICAL OFFICE/ ASSISTED SKILLED INPATIENT INDEPENDENT OTHER
OUTPATIENT LIVING NURSING REHAB LIVING INPATIENT % OF
FACILITIES FACILITIES FACILITIES FACILITIES FACILITIES FACILITIES (1) TOTAL TOTAL
-------------- ---------- ---------- ---------- ---------- -------------- --------- -------
MASTER LEASES
1 Alabama $ 55,405 $ 4,395 $17,722 $77,522 4.19%
2 Arizona 5,274 $ 2,874 8,148 0.44%
3 Arkansas 3,055 3,055 0.17%
4 California 25,834 $12,688 38,522 2.08%
5 Colorado 4,967 21,441 26,408 1.43%
6 Connecticut 12,189 12,189 0.66%
7 Florida 100,030 26,716 10,206 11,703 148,655 8.04%
8 Georgia 7,022 6,025 13,047 0.71%
9 Illinois 13,425 13,425 0.73%
10 Indiana 3,640 3,640 0.20%
11 Kansas 7,593 7,593 0.41%
12 Massachusetts 12,034 12,034 0.65%
13 Michigan 21,913 13,859 35,772 1.93%
14 Mississippi 4,498 3,498 7,996 0.43%
15 Missouri 20,939 6,250 11,139 38,328 2.07%
16 Nevada 10,835 10,835 0.59%
17 New Jersey 19,047 19,047 1.03%
18 North Carolina 3,982 3,982 0.22%
19 Ohio 4,612 4,612 0.25%
20 Oklahoma 13,341 13,341 0.72%
21 Pennsylvania 32,179 21,765 113,867 167,811 9.08%
22 Tennessee 5,750 3,899 14,512 24,161 1.31%
23 Texas 67,054 28,895 19,466 13,203 $43,680 6,023 178,321 9.65%
24 Virginia 27,102 17,675 37,234 82,011 4.44%
----------------------------------------------------------------------------------------------------------
TOTAL MASTER
LEASES 358,257 174,329 185,124 156,495 43,680 32,570 950,455 51.41%
----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
SAME FACILITY NOI GROWTH FOR MASTER LEASES: 2.1%
- ----------------------------------------------------------------------------------------------------------------------------------
OPERATING PROPERTIES
1 Arizona $ 26,222 $26,222 1.42%
2 California 94,966 94,966 5.14%
3 District of Columbia 28,455 28,455 1.54%
4 Florida 112,199 112,199 6.07%
5 Georgia 7,047 7,047 0.38%
6 Hawaii 26,602 26,602 1.44%
7 Illinois 18,031 18,031 0.98%
8 Kansas 11,204 11,204 0.61%
9 Louisiana 11,126 11,126 0.60%
10 Maryland 13,952 13,952 0.75%
11 Michigan 21,086 21,086 1.14%
12 Mississippi 9,177 9,177 0.50%
13 Missouri 18,149 18,149 0.98%
14 Nevada 45,346 45,346 2.45%
15 Pennsylvania 23,509 23,509 1.27%
16 Tennessee 157,100 157,100 8.50%
17 Texas 117,571 117,571 6.36%
18 Virginia 46,133 46,133 2.50%
19 Wyoming 19,172 19,172 1.04%
----------------------------------------------------------------------------------------------------------
TOTAL OPER.
PROPERTIES 807,047 - - - - - 807,047 43.65%
----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
SAME FACILITY NOI GROWTH FOR OPERATING PROPERTIES: 1.8%
- ----------------------------------------------------------------------------------------------------------------------------------
Corporate
Property 9,284 0.50%
----------------------------------------------------------------------------------------------------------
TOTAL EQUITY
INVESTMENTS $1,165,304 $ 174,329 $ 185,124 $ 156,495 $ 43,680 $ 32,570 $ 1,766,786 95.57%
==========================================================================================================
- ----------------------------------------------------------------------------------------------------------------------------------
Wtd Avg
Depreciable
Life (yrs): 33.8 32.4 34.5 34.8 31.6 34.6 34.2
Wtd Avg Period
Held (yrs): 6.1 5.0 6.8 5.7 5.7 6.5 5.9
- ----------------------------------------------------------------------------------------------------------------------------------
MORTGAGES
1 Arizona $ 4,605 $16,498 $ 21,103 1.14%
2 California 4,860 4,860 0.26%
3 Florida $ 1,260 11,320 $18,317 30,897 1.67%
4 Idaho 4,700 4,700 0.25%
5 Michigan $1,554 1,554 0.08%
6 Oregon 2,721 2,721 0.15%
7 South Carolina 2,873 2,873 0.16%
8 Tennessee 13,203 13,203 0.71%
----------------------------------------------------------------------------------------------------------
TOTAL MTG.
INVESTMENTS $ 1,260 $ 31,079 $ 14,757 $ -- $ 18,317 $ 16,498 $ 81,911 4.43%
----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
SAME FACILITY NOI GROWTH FOR MORTGAGES: 0.8%
- ----------------------------------------------------------------------------------------------------------------------------------
TOTAL
INVESTMENTS $1,166,564 $ 205,408 $ 199,881 $ 156,495 $ 61,997 $ 49,068 $ 1,848,697 100.00%
==========================================================================================================
PERCENT OF
$ INVESTED 63.43% 11.17% 10.87% 8.51% 3.37% 2.67% 100.00%
==========================================================================================================
NUMBER OF
PROPERTIES 145 37 36 9 5 5 237
==========================================================================================================
NUMBER OF
BEDS 2,762 3,719 766 909 374 8,530
========================================================================================
(1) 4 facility types <2% each.
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 5 OF 12
6) SQUARE FEET OWNED AND/OR MANAGED
A) BY GEOGRAPHIC LOCATION
Number Of Properties Owned
----------------------------- ------------------------------ Third Party
Third Mort- Not Construction Property
Owned Party gages Total Managed In Progress Managed Management Mortgages Total Percent
---------------------------- -------------------------------- ---------------------------------------------
1 Texas 31 31 845,864 276,705 991,438 2,114,007 15.45%
2 Florida 34 6 4 44 799,791 704,690 60,055 576,425 2,140,961 15.65%
3 Tennessee 22 5 1 28 166,849 1,277,494 276,909 160,132 1,881,384 13.75%
4 Virginia 25 25 577,282 483,103 111,998 1,172,383 8.57%
5 Pennsylvania 20 20 722,053 117,996 840,049 6.14%
6 California 12 1 13 184,913 458,465 50,000 693,378 5.07%
7 Michigan 11 1 12 315,227 198,293 49,408 562,928 4.11%
8 Connecticut 1 35 36 59,387 469,534 528,921 3.87%
9 Alabama 10 10 507,530 507,530 3.71%
10 Missouri 10 10 201,167 106,146 307,313 2.25%
11 Arizona 8 2 10 74,507 160,780 60,078 295,365 2.16%
12 Hawaii 3 3 144,000 138,450 282,450 2.06%
13 Colorado 3 3 277,083 277,083 2.02%
14 Illinois 3 3 256,865 256,865 1.88%
15 Nevada 3 3 16,878 224,765 241,643 1.77%
16 Mississippi 3 3 6 25,000 94,987 75,336 195,323 1.43%
17 District of Columbia 2 2 182,836 182,836 1.34%
18 Wyoming 1 1 2 139,647 139,647 1.02%
19 Oklahoma 5 5 139,216 139,216 1.02%
20 Georgia 4 4 56,992 73,504 130,496 0.95%
21 Louisiana 2 2 129,770 129,770 0.95%
22 Kansas 2 2 57,035 70,908 127,943 0.93%
23 New Jersey 2 2 110,844 110,844 0.81%
24 Massachusetts 2 2 92,742 92,742 0.68%
25 Maryland 2 2 90,893 90,893 0.66%
26 Oregon 0 1 1 80,429 80,429 0.59%
27 North Carolina 1 1 33,181 33,181 0.24%
28 Ohio 1 1 33,181 33,181 0.24%
29 Indiana 1 1 29,500 29,500 0.22%
30 Idaho 0 1 1 29,118 29,118 0.21%
31 South Carolina 0 1 1 23,000 23,000 0.17%
32 Arkansas 1 1 11,963 11,963 0.09%
33 New York 0 1 1 1,926 1,926 0.01%
---------------------------- ------------------------------------------------------------------------------
TOTAL SQUARE FEET 5,595,050 420,705 5,644,165 995,758 1,028,590 13,684,268 100.00%
========= ====================================================================
TOTAL PROPERTIES 225 51 12 288
===========================
B) BY FACILITY TYPE
Owned
------------------------------------------------- Third Party
Not Construction Total Property
Managed In Progress Managed Owned Management Mortgages Total Percent
------------------------------------------------- -------------------------------------------
Medical Office/Outpatient Facilities 2,020,519 420,705 5,644,165 8,085,389 961,803 22,500 9,069,692 66.28%
Skilled Nursing Facilities 1,351,448 1,351,448 209,540 1,560,988 11.41%
Assisted Living Facilities 1,054,617 1,054,617 340,707 1,395,324 10.20%
Independent Living Facilities 308,742 308,742 446,265 755,007 5.52%
Inpatient Rehab Hospitals 643,383 643,383 643,383 4.70%
Other Inpatient Facilities 216,341 216,341 33,955 9,578 259,874 1.90%
------------------------------------------------- -------------------------------------------
TOTAL SQUARE FEET 5,595,050 420,705 5,644,165 11,659,920 995,758 1,028,590 13,684,268 100.00%
================================================= ===========================================
PERCENT OF TOTAL SQUARE FOOTAGE 40.89% 3.07% 41.25% 85.21% 7.28% 7.52% 100.00%
================================================= ===========================================
TOTAL NUMBER OF PROPERTIES 135 3 87 225 51 12 288
================================================= ===========================================
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 6 OF 12
7) SQUARE FOOTAGE BY OWNERSHIP TYPE
A) OCCUPANTS GREATER THAN 1% (1)
INPATIENT FACILITIES
-----------------------------------------------------------------------
MEDICAL % OF
OFFICE/ ASSISTED SKILLED INPATIENT INDEPENDENT OTHER TOTAL(2)
OUTPATIENT LIVING NURSING REHAB LIVING INPATIENT SQUARE
FACILITIES FACILITIES FACILITIES FACILITIES FACILITIES FACILITIES TOTAL FEET
---------- ------------------------------------------------------------------------------
1 Healthsouth 105,176 643,383 748,559 5.90%
2 Life Care Centers of America 51,319 512,060 563,379 4.44%
3 Emeritus Corporation 502,119 502,119 3.96%
4 Senior Lifestyles 308,742 308,742 2.43%
5 Summerville Senior Living 292,231 292,231 2.30%
6 Lewis-Gale Clinic LLC 291,818 291,818 2.30%
7 Centennial Healthcare Corporation 151,172 151,172 1.19%
8 Ascension Nashville 150,612 150,612 1.19%
9 Melbourne Internal Medicine Assocs 140,125 140,125 1.10%
10 HCA 129,464 129,464 1.02%
All Other Occupants: 7,268,194 208,948 688,216 -- -- 216,341 8,381,699 66.06%
--------------------------------------------------------------------------------------------
TOTAL 8,085,389 1,054,617 1,351,448 643,383 308,742 216,341 11,659,920 91.89%
--------------------------------------------------------------------------------------------
B) MORTGAGEES GREATER THAN 1%
INPATIENT FACILITIES
------------------------------------------------------------
MEDICAL % OF
OFFICE/ ASSISTED SKILLED INPATIENT INDEPENDENT OTHER TOTAL(2)
OUTPATIENT LIVING NURSING REHAB LIVING INPATIENT SQUARE
FACILITIES FACILITIES FACILITIES FACILITIES FACILITIES FACILITIES TOTAL FEET
---------- ------------------------------------------------------------------------------
1 Aston Care Systems, Inc. 446,265 446,265 3.52%
2 Life Care Centers of America 23,000 108,813 131,813 1.04%
3 Prestige Care 129,618 129,618 1.02%
All Other Mortgagees: 22,500 188,089 100,727 -- -- 9,578 320,894 2.53%
--------------------------------------------------------------------------------------------
TOTAL 22,500 340,707 209,540 -- 446,265 9,578 1,028,590 8.11%
--------------------------------------------------------------------------------------------
(1) Medical Office/Outpatient Facilities consists of approximately 2,000
occupants with an average square footage of approximately 3,800 feet
per each, while Inpatient Facilities consists of 18 occupants with an
average square footage of approximately 198,000 feet per each.
(2) Based on Total Square Footage of Owned Properties and Mortgages.
8) LEASE/MORTGAGE MATURITY SCHEDULE
A) LEASES
WEIGHTED
NUMBER OF AVERAGE
OPERATING ESTIMATED PERCENT OF REMAINING
NUMBER OF PROPERTY ANNUALIZED ANNUALIZED LEASE
MASTER LEASES LEASES NET REVENUE NET REVENUE TERM (YEARS)
----------------------------------------------------------------------------------
2004 7 195 $ 15,434 8.73% 0.01
2005 4 169 12,035 6.81% 0.04
2006 3 136 12,158 6.88% 0.09
2007 8 130 14,318 8.10% 0.23
2008 14 73 12,938 7.32% 0.44
2009 26 92 25,769 14.58% 0.82
2010 13 16 11,055 6.25% 0.52
2011 8 15 18,703 10.58% 0.53
2012 8 8 7,245 4.10% 0.39
2013 28 18 26,889 15.21% 1.53
2014 3 13 2,825 1.60% 0.07
2015 8 1 4,837 2.74% 0.38
After 2015 5 3 12,593 7.12% 1.61
---------------------------------------------------------------------------
TOTAL 135 869 $ 176,799 100.00% 6.64
===========================================================================
NUMBER OF PROPERTIES REPRESENTED: 225
B) MORTGAGES
WEIGHTED
AVERAGE
ESTIMATED PERCENT OF REMAINING
NUMBER OF ANNUALIZED ANNUALIZED MORTGAGE
MORTGAGES NET REVENUE NET REVENUE TERM (YEARS)
---------------------------------------------------------------------
2004 3 $ 2,456 24.89% 0.07
2005 3 787 7.98% 0.14
2006 2 3,991 40.45% 0.57
2007 0 -- 0.00% 0.00
2008 2 860 8.72% 0.35
2009 1 550 5.57% 0.33
2010 0 -- 0.00% 0.00
2011 0 -- 0.00% 0.00
2012 0 -- 0.00% 0.00
2013 1 1,222 12.39% 1.45
2014 0 -- 0.00% 0.00
2015 0 -- 0.00% 0.00
After 2015 0 -- 0.00% 0.00
---------------------------------------------------------------------
TOTAL 12 $ 9,866 100.00% 2.92
=====================================================================
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 7 OF 12
9) CONSTRUCTION IN PROGRESS - AS OF JUNE 30, 2004
Investment Remaining Total
Operator Properties Balance Commitment Real Estate (1)
------------------------------ -------------------------------------------------------------------
Baylor Medical Center at Plano 1 $18,554 $13,781 $ 32,335
Baylor Medical Center at Irving 1 3,775 18,035 21,810
Hawaii MOB (2) 1 5,892 41,108 47,000
-------------------------------------------------------------------
TOTAL (3) 3 $28,221 $72,924 $101,145
===================================================================
Percentage of construction in progress to total investment portfolio: 1.53%
=========
(1) Projected Timing of Conversion to Revenue Producing Assets:
2004 2005
------------------------------------------------------------------------------
QTR 1 QTR 2 QTR 3 QTR 4 QTR 1 QTR 2 QTR 3 Total
------------------------------------------------------------------------------
$0 $0 $0 $32,335 $21,810 $0 $0 $54,145
==============================================================================
(2) During the second quarter of 2004, the Company acquired land
in Honolulu. The site is currently under preparation and the
building is in the design phase.
(3) During the three and six months ending June 30, 2004, the
Company capitalized interest in the amount of $341 and $593
thousand.
10) DIVIDEND HISTORY (DOLLARS NOT ROUNDED TO THOUSANDS)
A) COMMON STOCK
Increase
From Prior
Operating Period Payment Date Amount Quarter Annualized
-------------------------------------------------------------------------------------------------------------
First Quarter 1999 May 17, 1999 0.535 0.005 2.14
Second Quarter 1999 Aug. 16, 1999 0.540 0.005 2.16
Third Quarter 1999 Nov. 16, 1999 0.545 0.005 2.18
Fourth Quarter 1999 Feb. 16, 2000 0.550 0.005 2.20
First Quarter 2000 May 17, 2000 0.555 0.005 2.22
Second Quarter 2000 Aug. 16, 2000 0.560 0.005 2.24
Third Quarter 2000 Dec. 6, 2000 0.565 0.005 2.26
Fourth Quarter 2000 Mar. 7, 2001 0.570 0.005 2.28
First Quarter 2001 June 7, 2001 0.575 0.005 2.30
Second Quarter 2001 Sept. 6, 2001 0.580 0.005 2.32
Third Quarter 2001 Dec. 6, 2001 0.585 0.005 2.34
Fourth Quarter 2001 Mar. 6, 2002 0.590 0.005 2.36
First Quarter 2002 June 6, 2002 0.595 0.005 2.38
Second Quarter 2002 Sept. 5, 2002 0.600 0.005 2.40
Third Quarter 2002 Dec. 5, 2002 0.605 0.005 2.42
Fourth Quarter 2002 Mar. 6, 2003 0.610 0.005 2.44
First Quarter 2003 June 5, 2003 0.615 0.005 2.46
Second Quarter 2003 Sept. 4, 2003 0.620 0.005 2.48
Third Quarter 2003 Dec. 4, 2003 0.625 0.005 2.50
Fourth Quarter 2003 Mar. 4, 2004 0.630 0.005 2.52
First Quarter 2004 June 3, 2004 0.635 0.005 2.54
Second Quarter 2004 Sept. 3, 2004 0.640 0.005 2.56
B) PREFERRED STOCK
On September 30, 2002, the Company redeemed all of the 3,000,000
shares of Preferred Stock then outstanding, pursuant to the terms of
issuance, at the redemption price of $25.00 per share. Prior to the
redemption, the Company made quarterly cash distributions on the
Preferred Stock at an annualized rate of $2.22 per share. Healthcare
Realty Trust Incorporated is authorized to issue 50,000,000 shares of
Preferred Stock.
C) INFORMATION REGARDING TAXABLE STATUS OF 2003 CASH DISTRIBUTIONS
Cash Taxable Total
Distribution Ordinary Return of Capital
Per Share Dividend Capital Gain
--------------------------------------------------------------
HR COMMON $ 2.470000 $1.497420 $0.972580 $ --
CUSIP # 421946104
NOTE: On May 28, 2003 the Jobs and Growth Tax Relief Reconciliation
Act of 2003 ("JGTRRA") was signed into law which, as part of an
effort to correct the effects of double taxation of certain corporate
dividends, included a measure to lower the tax rate on dividends paid
to shareholders. However, dividends paid by REITs have not
historically been subject to this double taxation and therefore, the
lower rate applied to dividends in the new law will not apply to the
dividends paid by the Company. The dividends paid by the Company will
continue to be taxed at the current ordinary income rates of the
taxpayer.
Additionally, the JGTRRA lowered the capital gains rates. These
capital gain rate reductions apply to shareholders with any type of
capital gain, including those that are created by a REIT. Therefore,
these lower rates will apply to capital gains of the Company which
any shareholder may have.
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 8 OF 12
11) LONG-TERM DEBT INFORMATION - AS OF JUNE 30, 2004
A) BREAKDOWN BETWEEN FIXED AND VARIABLE RATE DEBT:
Balance Effective Rate
--------------------------------------
Fixed Rate Debt:
Senior Notes due 2006 49,700 9.49%
Senior Notes due 2011, net 306,856 7.218% See Note (C)
Senior Notes due 2014, net 298,524 5.190% See Note (F)
Mortgage Notes Payable 51,951 Range from 7.22% to 7.76% See Note (D)
Other Note Payable 1,167 7.53%
--------
708,198
--------
Variable Rate Debt:
Unsecured Credit Facility due 2006
56,000 1.10% over LIBOR See Note (E)
--------
56,000
--------
TOTAL $764,198
========
B) FUTURE MATURITIES:
2009
2004 2005 2006 2007 2,008 and After Total
-----------------------------------------------------------------------------------
Fixed Rate Debt:
Senior Notes due 2006 20,300 29,400 $ 49,700
Senior Notes due 2011, net 864 1,822 1,956 2,099 2,254 297,861 306,856
Senior Notes due 2014, net (60) (124) (131) (138) (133) 299,110 298,524
Mortgage Notes Payable 2,013 3,747 4,037 4,348 4,681 33,125 51,951
Other Note Payable 1,167 1,167
Variable Rate Debt:
Unsecured Credit Facility due 2006 56,000 56,000
-----------------------------------------------------------------------------------
$ 2,817 $ 26,912 $ 91,262 $ 6,309 $ 6,802 $ 630,096 $ 764,198
===================================================================================
C) In May 2001, the Company sold $300 million principal amount of
unsecured Senior Notes due May 2011. The notes were priced to yield
8.202%. The Company also entered into an interest rate swap agreement
with two banks on $125 million of these notes on which the Company
will effectively pay interest at the equivalent rate of 4.12% over
six month LIBOR. The rate is established each May 1 and November 1
for the previous six month period. The fair value of the interest
rate swap is combined with the principal balance of the Senior Notes
due 2011.
D) In April 2001, the Company entered into six Mortgage Notes Payable
with an aggregate principal balance of $35 million related to
collateral with a book value at March 31, 2001 of $78.2 million.
These Mortgage Notes Payable and related collateral are held by
special purpose entities whose sole members are solely owned
subsidiaries of HR. These Mortgage Notes Payable bear interest at
7.22%, are payable in monthly installments of principal and interest
and mature in May 2011.
E) In October 2003, the Company entered into a new three year $300
million senior unsecured revolving credit facility. The new facility
may be increased to $350 million at any time during the first 2 years
of the facility term at the Company's request subject to the
availability of additional capital commitments and may be extended
for one additional year. The facility bears interest at LIBOR rates
plus 1.10%, payable quarterly, and matures in October 2006. In
addition, the Company pays a facility fee of 0.35% on the commitment,
and is subject to other terms and conditions customary for
transactions of this nature.
F) In March 2004, the Company sold at a discount $300 million principal
amount of 5.125% unsecured Senior Notes due April 2014. The notes
were priced to yield 5.19%. The proceeds from the offering were used
to repay in full the amount outstanding under the Company's Unsecured
Credit Facility due 2006, to repay maturing indebtedness on the
Company's 9.49% Senior Notes due 2006, and for general corporate
purposes.
G) CREDIT RATING:
Moody's Investors Service has assigned a "Baa3" credit rating to the
Company's Senior Notes due 2006, 2011, and 2014.
Standard & Poor's Investors Service has assigned a "BBB-" credit
rating to the Company's Senior Notes due 2006, 2011, and 2014.
Fitch Ratings has assigned a "BBB" credit rating to the Company's
Senior Notes due 2006, 2011, and 2014.
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 9 OF 12
12) COMMON SHARES INFORMATION
The share amounts below set forth the computation of basic and diluted
shares (in accordance with FASB Statement No. 128) which will be used as
the denominator in the computation of EPS and FFO per share amounts:
FOR THE THREE MONTHS FOR THE SIX MONTHS
ENDED JUNE 30, ENDED JUNE 30,
------------------------------ -------------------------------
2004 2003 2004 2003
------------------------------ -------------------------------
TOTAL COMMON SHARES OUTSTANDING 43,065,185 42,041,430 43,065,185 42,041,430
============================== ===============================
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING 43,048,851 42,024,071 43,005,762 41,983,099
Weighted Average Actual Restricted Stock Shares (1,307,476) (1,118,354) (1,282,008) (1,118,354)
------------------------------ -------------------------------
DENOMINATOR SHARES FOR BASIC COMMON SHARE EPS AND FFO 41,741,375 40,905,717 41,723,754 40,864,745
Dilutive effect of restricted stock shares 630,619 696,183 649,342 702,127
Dilutive effect of employee stock purchase plan 42,156 33,451 61,123 43,846
------------------------------ -------------------------------
DENOMINATOR SHARES FOR DILUTED COMMON SHARE EPS AND FFO 42,414,150 41,635,351 42,434,219 41,610,718
============================== ===============================
Note 1: As of June 30, 2004, HR had approximately 1,909 shareholders of record.
13) BENEFICIAL SECURITY OWNERSHIP BY MANAGEMENT AND DIRECTORS AS OF
JUNE 30, 2004
Officers Owned Restricted (1) Reserved Options Total
-------------------------------------------------------------------------------------------------------------
David R. Emery 144,800(2) 813,680 0 0 958,480
Roger O. West 5,832 420,735 0 0 426,567
Scott W. Holmes 2,310 9,654 0 0 11,964
J.D. Carter Steele 3,723 9,277 0 0 13,000
John M. Bryant 854 4,087 0 0 4,941
Other Officers as a group 27,692 45,833 0 0 73,525
Directors as a group 49,572 3,150 0 0 52,722
------------------------------------------------------------------------
TOTAL 234,783 1,306,416 0 0 1,541,199
========================================================================
(1) These shares are subject to long-term vesting requirements pursuant to
the terms of the 1993 Employees Stock Incentive Plan, the 2003 Employees
Restricted Stock Incentive Plan and the HR Discretionary Bonus Program.
(2) Includes 143,352 shares owned by the Emery Family Limited Partnership
and 1,448 shares owned by the Emery Family 1993 Irrevocable Trust. Mr.
Emery is a limited partner of the partnership and a beneficiary of the
trust, but has no voting or investment power with respect to the shares
owned by such partnership or trust.
14) INSTITUTIONAL HOLDINGS AS OF MARCH 31, 2004
A) Institutional Shares Held: 21,874,074 (Source: Form 13F Filings)
===========
B) Number of Institutions: 175
===========
C) Percentage of Common Shares Outstanding: 50.81%
===========
15) BOOK VALUE PER COMMON SHARE
Total Stockholders' Equity $ 884,477
-----------
Total Common Shares Outstanding 43,065,185
-----------
Book Value Per Common Share $ 20.54
===========
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 10 OF 12
16) OTHER 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: hrinfo@healthcarerealty.com
OTHER OFFICES:
Central Regional Office - Arizona
Eastern Regional Office - Georgia
Tennessee Regional Office - Tennessee
Texas Regional Office - Texas
Western Regional 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) CORPORATE OFFICERS:
HEALTHCARE REALTY TRUST INCORPORATED
David R. Emery, Chairman of the Board and
Chief Executive Officer
John M. Bryant, Jr., Senior Vice President and
General Counsel
Scott W. Holmes, Senior Vice President and Chief Financial
Officer
J. D. Carter Steele, Senior Vice President and Chief
Operating Officer
Eric W. Fischer, Senior Vice President / Real Estate
Investments
Fredrick M. Langreck, Senior Vice President / Treasurer
Donald L. Husi, Vice President / Senior Living Investments
Leigh Ann Stach, Vice President / Financial Reporting
Roger O. West, Vice President
B. Douglas Whitman, Vice President / Real Estate Investments
Brince R. Wilford, Vice President / Real Estate Investments
Stephen E. Cox, Associate Vice President / Operations Counsel
William R. Davis, Associate Vice President / Information
Technology
Toni L. Ewing, Associate Vice President / Asset Administration
Rita H. Todd, Corporate Secretary
HEALTHCARE REALTY SERVICES INCORPORATED
B. Bart Starr, Chairman of the Board
Anne C. Barbour, Vice President / Project Development Services
Thomas M. Carnell, Vice President / Design & Construction
Stephen E. Hull, Vice President / Asset Management
Gilbert T. Irvin, Vice President / Operations
E) 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 & Financial Reporting Executive)
Dan S. Wilford, retired President and Chief Executive
Officer, Memorial Hermann Healthcare System (Healthcare
Provider Executive)
HEALTHCARE REALTY TRUST
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 11 OF 12
16) OTHER CORPORATE INFORMATION (CONT.)
F) PROFESSIONAL AFFILIATIONS:
INDEPENDENT PUBLIC AUDITORS
KPMG LLP
1900 Nashville City Center
511 Union Street
Nashville, TN
37219-1735
TRANSFER AGENT
EquiServe
P.O. Box 43010
Providence, RI 02940-3010
Phone: 781-575-3400
G) DIVIDEND REINVESTMENT PLAN:
Through the Company's transfer agent, EquiServe, named
Shareholders 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
EquiServe, Shareholder Services, P.O. Box 43010, Providence,
RI 02940-3010, or call (781) 575-3400.
H) DIRECT DEPOSIT OF DIVIDENDS:
Direct deposit of dividends is offered as a convenience to
stockholders of record. For information, write EquiServe,
Shareholder Services, P.O. Box 43010, Providence, RI
02940-3010, or call (781) 575-3400.
I) ANALYSTS PROVIDING RESEARCH COVERAGE ON HR:
A.G. Edwards & Sons, Inc. John Sheehan (314) 955-5834
Advest, Inc. Robert Mains (518) 587-7250
Banc of America Securities Gary Taylor (212) 847-5174
Legg Mason Wood Walker Inc. Jerry Doctrow (410) 454-5142
Prudential Securities, Inc. Jim Sullivan (212) 778-2515
Wachovia Securities, Inc. Stephen Swett (212) 909-0954
J) PROJECTED DATES FOR 2004 DIVIDEND AND EARNINGS PRESS RELEASES:
DIVIDEND EARNINGS
-------------------- ------------------
Second Quarter 2004 July 27, 2004 July 30, 2004
Third Quarter 2004 October 26, 2004 October 29, 2004
Fourth Quarter 2004 January 25, 2005 January 28, 2005
NOTE: A conference call will be scheduled at 9:00 AM Central
time the morning of the earnings press release.
K) INVESTOR RELATIONS:
Healthcare Realty Trust Incorporated
3310 West End Avenue, Suite 700
Nashville, TN 37203
Attention: Bethany A. Mancini
Phone: 615-269-8175
Fax: 615-269-8461
E-mail: BMancini@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-K filed with the SEC by Healthcare Realty Trust Incorporated
for the year ended December 31, 2003. The 10-K is available via the Company's
web site or by calling Investor Relations at (615) 269-8175. 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
SUPPLEMENTAL DATA REPORT
THREE MONTHS ENDED JUNE 30, 2004 PAGE 12 OF 12