WELL - Earnings call transcript Q1 2021

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, thank you for standing by, and welcome to the First Quarter 2021 Welltower Inc. Earnings Conference Call. [Operator Instructions] It is now my pleasure to introduce General Counsel, Matt McQueen.

Matt McQueen

Thank you, and good morning.

As a reminder, certain statements made during this call may be deemed forward-looking statements in the meaning of the Private Securities Litigation Reform Act.

forward-looking give based projected no be any the reasonable results believes attained. can company assurances Welltower statements on are assumptions, will Although that its in to could company's the the materially actual that with statements results Factors from detailed cause filings those the SEC. in forward-looking are differ Shankh with And to I'll remarks. the hand his that, over call for Shankh?

Shankh Mitra

introductory and you, comments I'll and your you Matt, all that of times. of state and Thank the extraordinary are on good healthy safe senior hope make these morning, some everyone. I during families housing also operating detailed business, into a our with current allocation. efforts on ongoing capital thoughts get then operating perspective alignment and partners, Tim our and related will to financial we will results. detailed our provide

the in greenshoots on business are cautiously U.S. U.K. senior emerging optimistic with housing and We

over it increase to too COVID six COVID cases Canada report can an never flag regions. U.S. delighted fear weak XXX ruled increased has of early to bps an in in bps resurgence all due to as out, the remained U.K. performance we're another be growing occupancy XX weeks. optimism across is U.S. U.K., While past raise and in somewhat and in Despite many

properties within and February non-COVID since Despite is XX visitation due of population have March been have residents move of points the the activity senior Quebec, the restricted, loss mid-March. Canada, in the than stores trend from in occupancy in an certain has and higher month basis move of to lockdown led last drag has vaccinated, This ultimately our most areas to improved April. XXXX. impacted in Canadian in has the rollout While to been meaningfully housing broader lagged within which Ontario highly

have described continue past In to hold. addition, rates as quarters, I in

and IL up up business. X.X%. apartments rates As rates XXXX mostly up by down Canadian year, AL X.X%, Senior housing are the rates wellness dragged leap X.X%, are adjusted for are

lifestyle-driven geography, type, build, long We're the surprised in positive seeing in optimistic momentum Fundamental time. our starting seeing our we're activity, are momentum strong tone that most come to a exceeded results continued in from expectations across I've which a irrespective have frankly even the anticipating broad are board way. in operators QX. the heard this QX, customers Our back, and to is partners operating me

this continue our a we additional NOI of provided disclosure what speculation to recovery for look filler of avoid LOI and power the of incremental to this return We While does QX portfolio like, additional XXXX. in additional adding level vacancy million or XXXX and occupancy on believe the results $XXX NOI. it and of the in to similar from portfolio. something of and private seeing have portfolio We're our the return NOI assuming level happening earnings on our growth return a margin, market. to of frictional assume may remember, we assumes any rate arc not And since stable XXXX a

a compared per moot unit. much willing multiple of While cash a what two a lower to is paying to lower ago, years what much as are flow three might pay to evidenced by and point. as multiples be high current price cash we're this flow buying We're a we stabilized

opinion, granular to compares where you I While view business obtain matter simple and in it this could how asset replacement a real cost. very unit other this per most of be estate a price classes, of in is can believe a

administration. plan phenomena recent spilling two to exponentially replacement due $X higher are here trillion can is and years a costs and driving While shooting per into upwards prices announced portfolio now costs ago, costs infrastructure housing material unit to three assets This quarters. to by market with a prices the Biden we different how in sit debate white-hot other compared construction

to continue the also to costs ratcheting minimum rent rise, return acceptable up. achieve market-clearing is As

we'll clearly result demographic be effectively is this to provided. up, lease-up cycle, occupancy. half asset However, current growth the rate pro going of curve along to level Today, as which performance creating first term. This starts the is those enough, now of much The further housing senior backing on that in achieve COVID was unique supply achieve. in a not already interest of on to mode, medium developers remains the the If meaningfully gives easy we of backdrop confidence given to decade new rising outlook, us lower the will are believe in near we returns industry not that the the impact pressure with forma.

terms I Although asset our trajectory in I one and this of analysis at new will time, useful. was a and/or the timing the recovery, you done have of disclosure nothing to hope find add the

to call, quarter, we our by alignment partners have several would housing for to operating interest also first creation announced structural the we strategic with During some and with to shareholders. deals last I restructuring both several our our create to agreements. made like continued our reflects on constructs. changes greater our effort senior with And as mentioned of approach we value of transactions highlight ProMedica, Genesis recently elements relationship

Genesis. First,

acute a and loans time, we and for COVID-XX same through transaction relationship operators to to Ultimately, million local Genesis going Welltower at Genesis, by last a transactions, beneficial $XXX executed which easy. cash this It As the our our fundamentals. wasn't forward. post shareholders. we transitional involved transaction to derisked the a years, Welltower impacted participate nursing announced a post-COVID stream Effectuating exited flow nearly working the mutually substantially we in opportunity pandemic, our XX for in series operator after outstanding creating deeply regional Genesis estate meaningfully skilled access have through month, real of recovery

help we're an post-COVID-XX. the in return relationship. execute X.X% of balance to Welltower, return a For this value Genesis, of favorable that for environment a then and repayment shareholders, reposition And over bid the of position. that the $XXX,XXX generated represents of upon that and potential transaction rise in and X% the will term at to for resulted the company you particularly unlevered Genesis downside upside transaction deleveraging very its the sheet, And with sector faced able which the meaningful debt, even preferred the of par have we challenging outstanding We Welltower post-acute we seen. the light pandemic-induced COVID-related in to the a participating believe further will from full shareholders, equity outcome have

as we our shortly. last will announcement of has result that opportunity expect range the over equity dilution favorable We received have near-term a proceeds specialist for of wish and a team much ultimate in Wilson for structure While of capital of create Harry an named of legacy challenging the million Genesis in with the transactions exited high-quality appreciate shareholders to infusion I outcome. future as a success deployment the Genesis, the some following anticipated month, Welltower, hope our shareholders value significant substantially in earnings we Since CEO. our I'll discuss Genesis $XXX

with our may and several last the done discussed embraced have and situations our over commitment fulfill and relationship to years owners, on their team away solutions, tirelessly calls, we choices to few where the employees. ultimately be work complexity, from imperfect problems various operating partners, doesn't creative and As operating our run fixed

which position and our and to transactions joint the two growth. strengthen ProMedica, announced We continued ProMedica. with relationship venture expand enhance will quality Second, our of

health new premium focus age economic to quality deploy a XX/XX our Care. of already profile age XX has and provider improving immediate successful investment of doing assets, XX transaction, provider be with maintain XX% of of rates which determine is in XX% basis Welltower result this portfolio a ProMedica been to At the our other of progress our able the involved growth to venture firmly favorable IRR philosophy. million The healthcare or Promedica over terms example so not not-for-profit leading skilled half of assets sale an value-oriented stake to capital the rebranded of of our of ownership which an choice $XXX separate the of that a evolution. these We're assets yet have as in to on our We team unlevered developing investment are far-direct nursing Through transaction pleased yield represents years, as all with at with two in the ProMedica also with stakeholders. will the the is joint improvement is of asset, as a we the at state-of-the-art and ours. been same a assumed ProMedica transaction we'll time, which which of first contributed quality making true has we portfolio. relationship while creative average at Senior an believe partner another power crystallized This success. years ProMedica. of that systems hopeful reflection innovative cap operations

acquisitions operator you in pleased very that partnered accretive largest to to to we the to in recapitalize of communities care capital most deployment, in billion have with of we closed with have HC-One, of IRR, investment we of date announce Safanad attractive year excess a happy particular, unlevered group extremely Speaking led that U.K. with are share $X.X homes and reputable

debt equity Our investment real in estate comes in on in $XXX of HC-One's first form million and mortgage excess recapitalization. of

fulfill opportunity value us we gaining experienced March have the and in We that upside U.K. the upgrade to would option There platform quality executing. HC-One portfolio, trough. HC-One significant asset process broader operating in are care, bps management occupancy deliver is and also weeks, received in occupancy the our the as focused to U.K. confident tremendous of along same further to participate in James a allow their positive with the and confidence significant that add David warrants In residents of platform. this that highest portfolio, post-COVID we the to momentum has our base, high-end from employee people recent XXXX satisfaction. to XX and mission will

to warrants. far is equity exposure under from Our of generate is closed mid-teens highly our excess a $XX,XXX of October billion IRR X.X%, represents so on we'll acquisitions. a be strategic the boldness. have virtue moment that we deals boldness partner adding into a from believe basis. we on of here, This end. our a we team. to debt to attractive We discount at very the acquisition and it also resilience was the of in pipeline, in yield in is We our unrelenting this we then, we'll contract we Since story. is and fill institutional we acquisitions, year addition focus U.K. in thinking given stabilize we while gap think and important in highly last found didn't and while higher extraordinary an call, of relied think significantly the able give just imperative on to significant to With a of basis expect represents transaction occasional The mentioned replacement number. currently on When patience the able is independent costs, about and and which have this risk-adjusted visible very upside a and uncertain investment will statistic unit return portfolio environment through tranche remain to headline and initial bullish this have opportunities our pressures, be whole We $X.X several execute but low

asset to acquisition on the While XXXX will accretive right basis and I'm of our be right be the class earnings our focus accretive significantly and immediately and continues operator, with to the to XXXX hopeful beyond. be that right XXXX will with

capital think would asked senior an vertically housing, we execution investor address received for the it is in profoundly question such real We an this local return. is implementing integration. This a integrating. in combination politics view Notwithstanding strategy decentralized why was and long-term decentralized off view We in ecosystem from I the execution on have our be believe I and rooted partners the vertical an creates estate, centralized call. believe especially law energy keeps and very reflecting this will and belief costs an business. to RIDEA deserves a allocation we're interesting excellent That I have we of moment. is some better in post is partner relates question selection that important whether emphasis of the of that off which bay. and best our industrial of a last at better Lastly,

no However, we but our our with so overall, in for by the satisfied. are to create value execution far we partial shareholders, happy means are year

challenges. Tim. fundamental and to are our to it create cautiously the attract Tim? environment optimistic quality opportunity relationships, about assets, I'll excited We pass acquire new that, about and With over

Timothy McHugh

all liquidity and XXXX capital update, Thank a in sheet you, activity, comments the started segments will focus most My environment operating infection yet. finally, in challenges moving move-in restrictions, of defined in our counts quarter, our Shank. up our an performance today of in the on across outlook the With results, partners, hitting balance we our incredible and arguably XXXX first-quarter case for restrictions quarter. our addition a operating and and lockstep. for new investment the After three protocols, year by challenging second highs geographies to

population, with to of the the of general the early second the to resident The of of dropped be and economy, in weeks timing effectiveness to and further end vaccines reopening result February, of unpredictable we short by virus stabilization. the are Canadian are the hit our vaccine significant the finished. communities just the within improved, a across U.K., vaccine precipitously, notably environment timing nearly in and of see XX% respect our is signs counts restrictions, had population. U.S. X The their the with to portfolio. we the facilities while rapid deployment among And of the and starting near-term stride our the prevalence encouraged felt last Towards of rollbacks that, operating portfolio the across remains our and remains especially operating rollout respect although started its term. recovery of the highly of uncertainty Case

As a a we outlook last with night. one-quarter results uncertainty, like last result of quarter, our this provided

level done frequent for moderate as continue have providing that intention with as will the on variables reliable As to more XX-plus over a we allows information and months, soon update the a forecasting. to virus-related past more outlook we of complete the disclose basis a

on of common of $X.XX normalized per providing Now quarter. provider to also guidance the million share the income HHS relief of and Welltower $XX funds, in guidance million When funds $X.XX of stockholders share. $X.X for in per programs $X.XX quarter. out-of-period recognizing contemplating quarter, per Therefore, operations $X.X up $X.XX top an to normalized the these investments, of in moves of funds, payments share. last reported termination that HHS guidance, to million turning out $X.XX basis, guidance not our Removing $X.XX of along our $X.XX per FFO housing attributable from management above provided fee share. million diluted which share the our net end funds to adjusted ended approximately we versus we prior with senior company HHS with similar was impact received the of of expectations apples-to-apples diluted We for $XX.X came of Canada. per was we received to one along $X.XX

Now components. turning individual our to portfolio

portfolios. lease triple-net our First,

a and stats As lease coverage our in reminder, triple-net one occupancy quarter reported portfolio years.

statistics reflect trailing these XX ending the XX/XX/XXXX. months So

in a as X.XX. year prior times the that decreased net sequential year rate to leases cash rent Same-store coverage collection of moved X% first rent the received. housing portfolio. rent the basis XX% EBITDAR our in period. triple-net in X.XX remained having Starting high prior we quarter, on for comp portfolio our decline the against with Importantly, recognition triple full contractual the over quarters in year continue collected senior to contractual due

we assets, four transition. quarter, transitioned various a capital moving the to the triple-net the under new five operator structure with senior structure During one other to until CSU and remaining

of total also four net properties by impact the transitions in management portfolio new agreement. completed had times positive under We These of a a Hearth to coverage. transition X.XX leased lease Storypoint

year-over-year X.XX increased EBITDAR X.X% positive times. post-new long-term coverage generated same-store our times X.XX sequentially portfolio to Next, growth, and

than to Care. for points As of XX total already total transitions. joint basis operator of the X% the properties, health ProMedica moved by less to assets growth Senior lastly, XX trailing Genesis is of which comprised reduced times. was began of year the JV, call, NOI ProMedica NOI. over X.X And year be XX our former already-completed Healthcare XX represents nine of Pro in-place transitioned including Senior forma same-store with will this coverage post-acute and care systems, EBITDAR venture assets Genesis Powerback ProMedica System. had long-term which have And X.X% ProMedica NOI. Health We XX positive as

medical, XXX% made Welltower has going reflect at always to to occupancy change presentation on impact no highlight Historically, Before economics. present our want to This ownership outpatient But presented disclosure. of reported ownership. at has which I share. Welltower's supplemental a to NOI, we disclosure share will pro-rata occupancy forward, been turning we both we better to in our Welltower's

a occupancy ownership We of if operating have footnoted portion housing office in presented the XXX% levels the both senior and our medical supplement.

more cash to strong platform amount turning acceleration square the in higher highest our delivered profitability XX.X% we growth, rent same-store which ever quarter, growth as retention space of to our year-over-year in feet executed continued X.X% to Now outpatient be combined the on renewals medical NOI producing in growth. at than quarter, Tenant and as portfolio, reported. XXX,XXX positive

of Estate also of year. the on completed completed outpatient quarter, with we've assets portfolio executed increases our last Wafra. our medical second for we the seen with Additionally, joint term in to renewal venture first Also compared length and Real a Invesco

Our allowed these best-in-class partners asset ventures and further from importantly, we platform. last in-house period growing generated capital maintain the us relationships market during capital forward. We two time, capital the turbulence. relationships over more years has form At significant going forward to to look same management tenant diversified with access of to our ability to joint scale our a the

to our housing Now portfolio. senior turning operating

point getting provider of Act Services Department into this out approximately Health $XX that from Before quarter's we fund. Cares Human to I and results, relief want million our received

through first in these quarter and in program the received. of tied results, As out normalized In as on to out basis, same-store same-store however, we've normalizing approximately are will occur period are funds a such, past there any expenses metrics, matched We're our were done along flow the $XX.X housing HHS funds the the financials they other of quarters, HHS they in recognized million cash the the with government reimbursement mainly U.S. funds senior operating received the they're quarter, of not received. in

quarter. as NOI revenue driven XXX XX% in QX, from average X.X% down compared basis to XX.X% first-quarter XXXX our the was basis quarter. a fourth guidance versus of decreased results to Now points. drop by XXX sequentially turning same-store decreased Sequential midpoint primarily for Same-store the in occupancy and point

for rent portfolio the picture the as year mix revenue X.X% over per REVPOR Turning negative X.X%, leap the rent moves breaking in total of but in and Show year, comparable And growth are name an living to down basis. adjusting individual portfolio respectively. positive quarter. and positive is over of distorting X.X%, positive quarter metrics living X.X%, leap-year When our shift REVPOR was on adult extra of the XX% assisted our REVPOR out year-over-year independent day derived a of and growth growth our segments reported to X%. active year, true segments,

mentioned of As is few considerable quarters, I the past the year-over-year units combined impacted composition a occupied in in total in portfolio change metric the portfolio. the by being

on units portion occupied of than the having Our appear reported lower and of aggregate of mathematical which across units. front lower held in statistics. would rent-paying Rental impact and has COVID, higher living senior resilient proving therefore, a since lower occupancy being resilient, portfolio acuity portfolio total comprised up independent our the acuity properties our more of departments the are rates our start considerably better

in significant relevant the these trends XX.X%. had expenses expenses. to lower year XXX COVID XX-basis-point on XX current combined the margins, to impact which dramatically decline changes with sequential Total our driven dropped basis operating meaningful focus year sequentially points declined points line, top costs in cost operating was The decreased in cover environment. basis by case operating in sequentially. a over as March. pressures declined same-store to expense our more sequential mainly I'll since counts Lastly, are decline and X.X% The

include expenses the to earlier noted we government tied not not reimbursement by negatively $XX.X call, that impacted COVID expenses. I And same-store parity As did in was million. therefore,

funds We outlook. are into any HHS second-quarter not factoring our

XX experienced data U.K. up while quarter, we've is points. basis to basis April U.S., XX with down the basis forward already starting with points the observed, Canada Looking points, XX XX we've second the through XX, quarter-to-date April and and respectively,

and While the of effectiveness uncertainty the has XX XXX-basis-point we of trends, trend, increase and U.K. and we put the Canada. XX. encouraged of June are acceleration precedents through in underneath we historical cautious lack a in that the are the a results, in particularly recent basis, an a projecting by On currently recovery operating hopeful March on are U.S. floor in given vaccines spot occupancy projecting reopening from remain

extra plus day expect monthly sequentially, to be XQ although sequentially. in REVPOR the We XQ versus basis plus X.X% to points adjusting XX reduced for

effectively we total Lastly, flat. be expect to expenses

a in operating should higher in from COVID-related expenses. by increases reduction offset occupancy costs be As

capital activity. Turning market to

of all We us senior capital issued these interest continue notes balance XXXX, maximizing unsecured execute flexibility to an X.X%, to attractive on proceeds of maintaining March, We're strategy position advantage of to XXXX. senior remaining and stability. opportunities. rate our to bearing we of In unsecured take due $XXX due June sheet redeem used deployment million notes

years. As unsecured extend and for eight debt to we able maturity all our a result, weighted nearly average maturities beyond, senior XXXX were extend profile to

extinguished debt also quarter. in million interest X.X% February, highlighted deployment of average In We rate we blended a at of capital opportunities. pipeline robust $XX a the secured of

average shares along balance from materialize, common at of will sheet, weighted our per million, pipeline transactions $X and enable to will initial generate and date capital utilized pipeline with million deployment approximately these future opportunities. officially price X.X an gross $XXX cash billion we've share. shares us grown, program, $XX.XX visible stock These highly of of our forward ATM to has proceeds selling As capitalize the of our of

impact COVID. leverage. point Moving of X.XX EBITDA, We debt over times increase by underlying previous to on be as continue quarter basis the pressured cash quarter net at to flows XX ended a the to adjusted the

transactions flows to high leverage, from the and before quarters. begin sale the adjusting common increase housing leverage in proceeds in naturally after in slight proceeds a ramp result sixes will million leverage expect senior held we for forward stock, coming $XXX for expected the quarter the cash second in lower of in sale the settle assets While drive in closed from to

ability significantly positive quarterly this has to flow cash access keep when through to and on future. leverage recovery along this able in our the portfolio. the of sales, Speaking remains impact confident Shankh significant metrics. is senior growth return most our a cash since although that of historical our And earlier within last a leaves optimistic equity about with that from potential senior balance our times, the asset uncertain, difficult quarter, spoke we'll position inflection to magnitude equity have recovery in levels the the us highly proceeds the us to pre-COVID levels market the the be will point margins And recovery, sheet returning begun. of in occupancy strength well target This it deleveraging in just housing as of a of housing flow-based operating natural returns not-too-distant duration demonstrated even

$X.XX to per our outlook. $X.XX. for normalized second-quarter of of stockholders an And $X.XX $X.XX share diluted night, share. per Lastly, share FFO attributable net we moving Last common to to outlook diluted to provided the per quarter income second of

I earlier, U.K. this Canada. consideration noted or government HHS As funds the in guidance and not programs take similar further into any does

and increase share normalized net A segments, an $X.XXX new and offsetting my in sequential transitions a comments, and per the over related of in $X.XX medical call back in second-quarter The comparison, as sequentially from $X.XX costs, is mainly dilution with operating average of I'll expected loan investment increase driven share, expected post increase our our increase guidance sequential driven by which in from share represents mentioned a senior $X.XXX offset midpoint this increase triple-net reductions a the and housing the programs turn initial $X.XX to a $X.XXX occupancy increase this in I earlier activity So increase increase as the On COVID to share per portfolio, operator share per investments NOI $X.XXX strong Genesis. XQ. is from well. of is when outpatient hires. And to reduction benefits by per comparing $X.XX composed first that, our Shankh. quarter from G&A, the of sequential these number by per excludes use quarter in FFO

Shankh Mitra

Despite in you, the business, ESG our resolute commitment pandemic the posed our by on to have Tim. Thank remained challenges initiatives. we

In to pleased progress, received, fact, over this platform, strengthen ESG our action only just front and fruit bear and many year, also we expand to terms not efforts report past grown which by have numerous significant come. our awards we are believe of have and the but years accolades will on in our in we to

We recently elevated of award EPA's Partner the program. for the consecutive year have level Energy Energy within the the of recognition received sustained highest Star Star the Year the excellence, to and third

for of not for also our and our social in per can diverse are up A of Directors, sustainable one it we well-respected been questions. but We the have most the category. honored MSCI, proud of and the in that, value global least, ESG we with be the ESG practices in IFF, highest our shareholder commitment organization of to I'm the widely, And that quality one operator, by continue this to open last our create America one to extremely score most initiatives disclosures. With we recognized long-term social with Board ranking initiatives. receive through an broader rating working Corporate share from

Operator

first [Operator question comes Rich Instructions] Our the SMBC. from line Anderson of with

Rich Anderson

up to morning I six in be first got line. at this

because to can't to be, question earnings. great. now, you in disclosure we every I have the what of my comment number-one right appreciate is elevated with it an conversations is because recovery that trajectory or on deal So of but going trough one multiple know the And is the

My down so XX% versus all to And look pre-COVID people want to noise. this estimates like. know snapback the are because is going what of

I to say, way committing one? guess what disappoint in you as least be if not Would would trajectory, would disappointment." And of Can years, there quite if can't to opposed back that would I we're is, you to of a one. square the range of you getting at in expectations give terms the so a ask question "Boy, kind two you triangulate

Shankh Mitra

from on. at of to to simply X as number important the asset it a up it's hope from by much, So in a.m. from hard looks assets, the of precedence these question, you, back lot to But like. Yes. our the if any our address Thank going a answer figure don't bought of just line. as for we I'll where you end you, you is us sold so wake an is We're NOI is I of because we right? what's out to to very definitive very guess assets, the you assets exercise for lot be were, historical first it's no telling Rich. there's go just supplement have a understand have asset what much

So we of we that for like. like? QX stabilize of what just And the add and will try that went combined question back what filler we NOI the the answer look to pool 'XX, portfolio to does stabilized assets look that, if that

you've the cannot or whether in Now or really to years two I it's answer expectation. context - your four got question, that it's and years put the

stabilized years It it XXXX from that a.k.a. just today to a a this, I we expanded rent say will take assume QX say very point. NOI. four that it's if this However, get is let's to will that level level important of and to you out,

in XXXX. stabilize to going it's So

right, You have flat rent that of remains the NOI, the to happening. we don't is think achieve business assume to obviously which

of get contribution has that. high years you We Obviously, bottom of line. rent growth have growth and will it margin that continued you rent to the get get that added might later, up, a to right? expect rent but to to very growth it falls hold number x say that we that's So will

get growth. say, On rent that going earlier, get as okay, much are the other we if hand, to not to going we're you

just that get, And rent two to so to from get only get 'XX. I'm you years, you're making instead years going 'XX say there decide the up. right, 'XX in this You two will to 'XX up, of will you only that growth

a in ultimately the is of So so think way all you here I'm you now. shorter. need a why higher gestation I'm willing versus will that, pointing that frankly And because there say talking but are on period That's underwriting longer we know. guess. that through. out The a We're speaking, have basis. I'm about focused that's don't the to can rent levers assets to we're guess, aspect to that bring many it growth I right number

our a at you look real If it's company. estate stock,

price You and it and on can go about to portfolio. looks look think unit the build per at basis, what that then like takes what a basis

that portfolio significant discount will You build see to trade you. it had today. it a Thank takes what to

Operator

question And from the Jordan next KeyBanc. comes Sadler with line of our

JordanSadler

I but in of on the pre-pandemic indexed your help be really above on call. deck. on to levels different move-ins seemed now they move-ins It's a of pacing move in that And the that question, outs. and what you little are which or XXXX Wanted Slide last XX couldn't notice a to were March, Tim, something, at least hone addressed is of bit

interesting. - pretty And addressed trajectory so the move and it's I really And in. potential that's probably don't speak know of to Shankh, you want you just to

in one-one outs? talk So March. at I They're just get totally about move that. you negative us Can to maybe

your or levels remain the So a of pre-pandemic would we've sort able for improve forward? you that recently below. - them? pace be them even would that seen? levels period how would to indexes they keep sort they're operators absorption net able of maintain be would keep How below below to Or pre-pandemic this going Why sustained

Timothy McHugh

Jordan. due the question, Good building. mainly just Yes. lower to in It's occupancy

XXX where front. basis X,XXX were seeing below basis were we below we're - now, right we points points occupancy on pre-COVID So

So residents you've just in building. substantially of the got lower number

builds outs changes running February been gets then looking kind in If a has moving occupancy COVID. January, stay, move elevated this that during It months historical move-outs natural a levels. of obviously the certainly historical start talked kind higher really a I at period. levels outs. ticking kind you to indexed is recovery. historical around should resident we've can from levels, think, you what XXs. So a - XX% that of consistent been pretty mid December, from churn what's moves if as be bit, and the COVID through of last, kind That of spike But match about move at the seen to run of probably in six upper we've levels, of, historical tough it But and churn to acuity through

pretty there month something a again, last off level purely move-ins, occupancy return that of of expect, are because level. occupancy to in it's mathematically is what from basis getting XX, comment percentage, back we occupancy quarter back in giving be see was of levels think just the out XX% in March would the drive you're But going can getting XX buildings, to type closely. level the that XXXX made move-outs watching of that we're move by just of certainly the level lower, I a levels kind from starting historical to points of churn. to a historical you I kind a based of But

Operator

the from Nick Joseph with comes Citi. question line next our And of

Nick Joseph

on a the I details and warrants? them? the the previous of MEZ then was happened terms loan investment transaction more of the strike in on the amount HC-One with the rate to price get hoping And then to what few and

Shankh Mitra

par. One was Thank we paid three-part you, is And IRR. warrant. QX that generate off to think of Nick. type we mortgage, combination The combination low previous And equity as a a at investments in investment. mid-double-digit MEZ will and first seeing are

We the to you it's is substantial that but of a slightly as well. majority cost we discount capital, also the give invested higher, basis a which replacement equity basis

to already the So much to management we've that you What direction. specific the right out we multiple. in a need IRRS, you to expansion the the not hit going noted the is need really those EBITDA break I'm of moving of is back, executing. already And is think which occupancy come part. don't

what the willing investment that's success. with believe get and to We know do determining cap success consistent believe and basis and rates that, are in IRRs are You provide. we to that and investment yields not we

Operator

comes with line And our Stanley. next question Vikram the Morgan of Malhotra from

Vikram Malhotra

you here, underwriting, don't But need terms I'm because asked obviously, $XX time talks talk you obviously, if of it that before because - you period just your still if the levels. to over returns? of pre-COVID you evolved about all last a you can underwriting, could set your expands your in math U.K. Shankh a or just or the your But a And and assets, about pre-COVID, think since maybe HC-One differently Tim, you five-year the of in of it's and also know, acquisition opportunity of months four three terms the opportunity billion We just we talked had potentially supply. I set if describe time. described over last that can obviously set in not opportunity about you as correct, occupancy call, the referenced set basis. opportunity because just loss I

helpful. there's the if underwriting set theoretically, So more perspective, opportunity it would you even be But and about upside. can talk from that

Shankh Mitra

Yes.

Okay. Thank Vikram. you,

big see understand, as we I've my its clarify strategic billion investment. just First this expands that number prepared footprint, opportunity, to I one-year a multiyear is hole transaction $XX obviously, HC-One, not our company, opportunity, I fills the an not opportunity. its investment with that looked opportunity with But a expansion right? in in I right is investment, financial you're a that is want mentioned, want and at a remarks, said we this So a just the that portfolio. it's And obviously to management, that. in you expanding

focused different We to an is our so opportunity thinking MEZ and equity capital talked we and do approach That's option. that is in go which three the value the Our going about. very on a into do it. have tremendous don't to opportunity That's able be to value the about aligned can or it then we execute an first about we to it, to think do we just than right lend we end, we is didn't HC-One in to that Think opportunity think get look tranches buy participating high the opportunities, that asset, is investment there not the debt, strategic invest very not we'll how or. we'll at it's about think return. option, And That's got first. how we grow be the with portfolio it. what in a platform. are U.K. just we've We structured equity, And an asset we'll and partners. We investment take. how we'll through risk-adjusted we

important to obviously us, of an you You look the on different at capital. structure of opportunity and a capital risk the, of of think about they investors. Spanning group collection is in, led that Safanad their point. there of create this think transaction. obviously, Remember, for $XXX in best they're equity asset million obviously others, So or or includes where portfolio for in the your value an a bringing assets Right? return which top investment and investors spectrum even the very extraordinary are that's and There there's

It's we we that a single-digit HC-One, single-digit, do, But is of replacement the have we'll that. to can and is going back that and environment you of And that pipeline is significant. housing, primarily pipeline, we hit cost it talked given It's large. We many many, this the Now our said about. to to IRR. to opportunities It's we of that have sit much described pipeline low very that we'll hit that think very Hope we're discount seeing capital, still return, reflects double-digit significant have kind don't cost. need every to as and the tell to will you going many, contract of we sort we here. but deal get still double-digit type to is high today return is under low of senior that IRR, that in before, very kind which not believe that high robust. We're here in today, the helps. necessarily, what

Operator

Bank. Johnston line the Derek question next of our Deutsche with And from is

Derek Johnston

secondly, new is certainly It still indicators encouraging levels. community almost back demand markets? vaccinated. see the visitation toward, Then level requirement impacted to in restrictions component welcome. of the It's two communal the if perhaps quarantine weeks lower by quarantine dining being geographic or in-person historic One not leading Any for negatively other context missing versus current residents. On and to and is longer, Canada is that details. is

Timothy McHugh

Yes. Thanks, Derek.

start I'll question the with So quarantine. on

a around from it's of local of in from around this that regulations part from lot back the is uncertainty So comments of my last this year. opening is last COVID a scaling state-by-state comments, restrictions the year, process, my part regulations

unfold of in quarantining now U.S. to So state. are the largely, we're come seeing kind if restrictions you gone, state But vaccinated. it

But second question statistics. the you seeing and have then come dragging you're the do you're population over quarantining. Canada quarantine we're U.S. and largely that then is on eliminating vaccination that come If success through in period. of the in XX the move-ins you've seen down you don't now of vaccinated And the majority correct. tours, in vaccinated, of

improvement vast to in tours. state, a state states a Canada seen in state. largely, allowing And the you've is is So all still of more bit restricted a a in-person U.S. different but now are U.K., the little

Operator

comes question RBC line next from our with Capital of Michael Markets. Carroll And the

Michael Carroll

I wanted to jump on the HC-One transaction.

investment, confusing I I to mean, since already that kind you grow little it's was this Shankh, it as should operator? type Or think, of is strategic you about ability for strategic type? more But of a on an I opportunistic think of you in deal, the an investment, to the that this U.K. a answered a little a we nature with it of debt more think it. of continue guess, when bit.

Shankh Mitra

Yes.

through It great debt equity a ownership future stakes. a question. structured a deployed It comes of a through of ownership kind is but capital very and also kind not debt investment. a a it's is warrant the warrant a ownership through investment, equity it as debt, it's is significant lot or Mike, with So,

investment. it. how This This not opportunistic that's we is thought investment. is So about strategic an a

week. business, let's call - value the can will private look kind depth in GBP week side, there's of That's - XXX you on of pay of GBP X,XXX option tremendous per our X,XXX you needed it, we a If think need kind a you per is week U.K. to X,XXX, GBP to is of X,XXX of. real plus majority our U.K. And GBP spot. at see in, our amount per tremendous that X,XXX there GBP portfolio, in GBP sweet portfolio the

a is. fills who our it to hole have company for we which and months, we this quality will hole. deployment we coming be That's have that in strategic lot will have a providers through X,XXX the last week. capital this business That's to per if not platform. vision in So our - seen speak go a and you And further the that that I activity do vision Safanad, and have long don't what here the we X,XXX just of in HC-One, believe that they're that from talked talked as to segment. The our it I pivoting time, not see fill not suddenly strategic GBP not to there's run looking to want as think demand segment. of portfolio, to for a is week going We're James management. the going grab the a segment, we been and to lot a that of And investment. deep always David, have in GBP we not true XX we think partners

that's So see what here. we

Operator

line our of Jonathan from question the Raymond And next with Hughes James. comes

Jonathan Hughes

do than show the forward. your But increases over the to the X% country, X% past seems increases properties? for operators labor partners XX% going to of senior operating which I potential have operator, look of to just an couple as could inflate or when housing staff raise And given expectation of understand faster at I your across costs up rents even rates. these costs quarters. were wage it costs, Labor labor fast like

expectations great. cost labor you would and that on on Slide how color XX be any So incorporated

Shankh Mitra

five inflation. do all frankly acute have regardless sort moved of Jonathan. locations as where - when cost not of seen all that speaking, that or the $XX our above given you have last will of are, will I the labor Yes, at years that no portfolios, of believe question numbers. you be type have problem There's local regulations as

to margin see labor that expansion labor I as the have margins of expansion talked increase you previously, we very historic seen Tim going you also level. a margin think from, the back about So Absolutely. believe significant cost. will will Will see you But see you inflation? cost

the short of up. a thing, labor volatility people We there. look and as I of the So projecting the costs you month sort and noise fact one not This received tell though. term. one I it's that or stimulus dries of one win at that will to believe you a lot this will encourage the lot have is at and quarter end. would around has impacted not that sustained check, be a of do highly

Right? in are they because such that the However, their will you the sectors, be seeing lodging are all but was all they other will and case. off sectors, other as laid employees, inflation in you sectors, what That it labor remain, what right shutdown. see cost have not you

communities issue? and about offsetting the - to think employ never Is down. not, so. there obviously, to Absolutely continues. shut residents, For changes we're of because us, They our no have take our that continue I care than it Obviously, remain will our hearing do, know less is less - potential you would an also encourage impact. to immigration I you probably - about. has but that that also

come long-term just it choices problem, of but other labor will impacts talk we it understanding of relates So how it's go also that as into We'll people's at demand-supply about this as place. a it. through all and to demand-supply people the home,

Operator

question the Mueller JPMorgan. next comes line of our from And with Mike

Mike Mueller

new at occupancy that the you Just properties trending have? the are established development, how the trends compared say, filler wondering more to properties

Timothy McHugh

we're a across board. recovery of I'd much uniform pretty not seeing there's now, difference. Right say the

see seeing you of recovery by start But just pretty start across as we'll properties the some board. accelerate So right purely that now, change their occupancy likely, we're uniform to filler the current level. to see

Operator

Our comes BMO Markets. from line Capital Sanabria with of Juan the question next

Juan Sanabria

hasn't on But date kind spend decrease amount of low of straight-line of quarter focus. done to triple-net to been in slides. had the had driven time a your presumably some seniors was some And help first what the just like has some the could X% same some supplemental restructurings it quarter the you of little understand to try looks hoping in per housing rent same-store coverage, the Just - some us think as in I you business by adjustments. that the NOI rectify or of write-offs to if

through of date going big to left once shop that's like with think more done and you've side? clarity on a think forward look because the us help just I piece could you could to maybe the do the that If what's about bottoms recovery what what portfolio

Timothy McHugh

Yes, Juan.

about think around it investors as triple-net been win seems rent focus think it cash. of So senior be is, XX% to to us. I main way the the housing think that And has it now for But I in-place in is right the for portfolio, well.

underlying buildings. much pretty those economics in the reflects it So

have are tenants We pretty been when cash quick to the move paying we have not rent. that

there tenants So that are their so And I paying that are be at us will because business. recovery, seen that very doing of those think quarter enhances think - looking rent looking our and won't the we've impairment I belief if metrics, anything, from first a start the our current what at much much are in belief on long-term in coverage here. their in-place, there of be

assets, value. And the underlying and cash seeing other you're flow board, think here I thing the the think I think, I difference are this the holding is, between value. across

term. cash recovery. So the to impairment short there's speaks flow, the a is think, I to That view

of And being a value with Welltower, kind prop the to so I don't think operators. if short-term liquidity and problem a anything, about this

Shankh Mitra

probably I've said, every just I'll as we call it. add, discussed

us. should the why RIDEA our see reflect just see you Juan, we majority those lease. assets - propco not focus. and I'm So and behind in as leases are well. operator's these our have, owned there's not and backed jointly lease, does - the not the sure, of And what collateral as a that the the Usually, interest owned propco rent operator you think portfolio A is by you we're seeing that a.k.a, from the the been

see, that substantial the things own they will estate, value and really their will create real will back will our shareholders. downside interest notice of that you get protection rent you of these operators restructured, propco As for this

want So details too much is before done. everything I get don't of to into

short-term flowing rent continue seeing And cash I've much flow? you're of you Absolutely to said to will that diminution will. there of Will As from through. think not. Absolutely continue we be there this Do value? dilution get how be will portfolio? before, we that be surprised

what pandemic, which that's to slide, to So believe, up. hold will average and in is slide, up, have you hundred-year once But that's statement. a continue that's continue seen held hundred-year we general through a that a what this

Operator

Siversky Connor the line And our Berenberg. of from next question comes with

Connor Siversky

on Thanks call. the me having for

what all Just this if I'm the color some on what at to could could follow-up we going tenants? we to expect you forward? if can top wondering maybe And the writedown in seen some related straight-line or of know we've provide Juan's on question. was movement so,

Shankh Mitra

No.

talk will that's specific about not, We call. do not Connor. this And not on relevant. operators We

said, I that that As restructured, that. only this you're one lease we seeing of side

the You part in a has to haven't our we respected operator a And one an seeing their only and the side. extraordinarily substantial amount and that is it. for operator works and seen think rent, shareholders point propco. ownership you other ownership backed highly And of and the ownership of the are get we'll that operator, this

result will we of arrangement, Just value. time, where into to able will will be beneficial protect a you see all give it our us and mutually

Operator

line of the from comes question Steven next with Our Valiquette Barclays.

Steven Valiquette

And Slide million versus other on the add XX far the debate construction as the that's $XXX one as the into So mix embedded really point of to NOI. inventory.

from margins As increase in construction. your XXXX. your XX% XX%, it, it know, XXXX XXXX, that from, SHO NOI that at to we went of let's lot portfolio, I big in call A was to don't look

down, that way Now which some well. of shows alleviate the slide should coming that's as pressure

just here And that extent to industry, Slide just overall of strategic plus lower the think bottom on as from have just the So of that the you on as you in on do about that side. visibility, that I review to your goes the wanted construction maybe versus? the XX some chart number talk far

Shankh Mitra

my remarks. things in an have economically address all that So, Look, portion. Steve, will to tried prepared And is I assume guessing. that that's extremely people we're we to beneficial that to them. do Right? important

much how years. at let's three let's in look just talk just have - cost about the last changed, you costs say If the

X%, XX% cost you percent, low is of And of at up impacting up not suddenly are model if cost sort looks development model. you housing is labor. places coast, what's What yield backing going leveraged in on, a model, if The a is like going is with costs rates in just hand, talking trouble. very loans, of in you and But the and are is Nashville, if cost So high a interest the is on of etc. make backing rate now see - highly thought probably model. have you're significantly up. which leveraged and Dallas, is You some you in cost highly So availability one to about, definition XX%. look between now is market up But impact construction the XX%. locations and XX-plus the have lumber, you but big if that's everybody Right? X% development you interest a the leveraged Charlotte, on other Right?

difficult. is that in make don't see your is suggesting, the develop and for to money. This farther an proposition can't increasingly can to fun, and develop people I'm a it's location So money, very not want make This not into two eating becoming pro - go is forma. That's comment. point. develop industrywide given building assuming they you a not And if those combinations,

the as an getting talking XX As attractiveness parabolic. is becoming just much of debt call in harder. not three difficult. hit been it, is of to wide, meaningfully much, particularly etc. make last, availability people last model The it capital, that years, develop industry much about housing to months, want more assuming And proposition gone who I'm money, has has even

the to dollar of players, 'XX, as lot are Also basis. people involved was that well. right a And in to it industry including a see has in the by premium industry basis. very, 'XX who're been on 'XX the, very was, think created our it, very the not gone boom less context, 'XX. frankly, is supply lot sort of on call the those from will $X.X the People the was lot than paid in meaningfully of in we company, the anymore. supply the be, of obviously, on take-out I the between sort So a there buying assets do the focused today, they're participants - $X.XX,

is to reasonable So things it expect. of all put that think we if those together, we

forecast see in-flight five at the that be expect nonetheless. rent yes, point the number, a is do supply what lot what a will trying and industry, basis. you to you rent, takes make basis accurately basis a think on on of or rent to to beauty today our but the is future to just what problem. look have make huge build is to new new more value - You And at can you X%, is than less will the be. make potential saying can acceptable think in not our never build return, what the XXX, It last much supply that development and rent. Welltower. to yield the to you existing versus what potential it what's some I'm not call may I years what work versus next need, company, you takes there's is encourage should highly will the to is that into you which in minimum insight the what of may that gap will all I you to if get? is And the will look growth, it the like. was the give industry rental between That's the whatever of years, is per that what five reasonable versus it And our we impact it, be do and bring

Operator

And question from Omotayo line with of Mizuho. our the next comes Okusanya

Omotayo Okusanya

be those a get in to given the little on made again, tenants some about of that wanted kinds just some you to structures the ultimately kind kind question some about these talk recover? And, this of when of in back help tenant kind back to point starts kind you go you've of benefits or whatever what to of lease a the restructured and you make Juan bit benefits lease of working you're Could of Shankh, initial of of to terms short you would Connor's term. just sure, breaks those kind I leases. recover rent

Shankh Mitra

That's Yes. question. good very a

are many ways there So do you can this.

If can you can create years short-term years under assets rate the EBITDA. on keep three and out, obviously the - you of but level you give depending out, lease, two

of comes to point not Right? cash interest in it, behind all leases. You can sort flow bells is the back. sits There's leases. the now is And nothing So are leases that's the Remember, do propco - obviously, flow if that's this the these retain - behind as rent come to cash Remember we're a you lease. back. recoup make. and starting there's to trying vessels that

a have So protection. value you

If that in to you of RIDEA? Right? we landlord. a did level You afraid production. higher, substantially XX% - right, quarter you the Because bought you new higher, of go where a right, a that if and are highly rent portfolio, reported was sustainable look was of to not say, would - is new you the we bought, the take didn't a previous case, saw net. the what, respected a what It that rent level what we particular RIDEA, why triple to from get stance, before they do us the that assets paying that sustainable just operator. In if rent bought are we is we at in bunch a

set a sort then Our it some rent of We is have much But lower. in we catch-up. a way.

moving rent the the Our direction. as by that EBITDA and back goes not up, in comes X%, but EBITDA is significantly, already

probably from leverage on provision a so to basis helps are the it get on more, So is flow. of And going higher, cash put assets two high works level, will more, will they lower. The basis current end in a forward. this more up rent. does case, form rest sides. they from as the well LTV the the Right? a a you point, out some the XX% or fundamentally and you at parties, both owner of money have make issue for operator, low keep to you but if much the Because XX% is lease LTV the works operators sides. is In a the out a were - It of basis Why and a rent both then as it high some they paying loan ends. problems for We put it's lease, XX% not creating paying higher also that is kind very both credit rent.

your development the has substantial question, and through behind particular interest of of a respected one a of that that from Juan is operator, specific through you're Connor, which these collateral machine to propco lot back interest created most there's operators leases very space, This And lease. now 'XXs. this they Going sits behind propco sits about. a in significant and specific our asking have that issue that amount that

you lost aka So do lease. an will to an opportunity a you future it fact same we we asset. liability let's about just and can acted the own Right? the can amount. go have and not have is to you is to And or think estate, If way their to If the the lower, a that a it. real that, of ownership say, that Right? That's a the change more backed you go lease, restructuring RIDEA statement reflect RIDEA. we from go This just to RIDEA. will a in

Operator

of comes from line next Yulico Nick the our And question with Scotiabank.

Nick Yulico

trying a at have this to guys together. just looking slides all couple So of you different and put

you the not slide you're the full-year providing that's yet future this guidance getting time, So year. for NOI to this back same pre-COVID at had And showing occupancy. potential

higher you confidence get now. XX the than just like talking hand, an that you're smaller earlier right seem to you put about which not a guess it's I really a Yet out the implying back I number, a April month. lot getting to back wondering is So year. what to to presentation benefit were commit going on about what with points are your a giving optimism occupancy you occupancy much number level. on where mean, range you're occupancy one is of willing you to I'm than of occupancy this you're basis an higher And benefit weekly when

backlog should the increase pre-COVID going back just something just can there's pent-up us get here we sort to, that I'm to So else as move-ins third you that I I'm that quarter what to occupancy? give of demand wondering you're of from point that a to that you you into have learning trying point - residents can confidence you're beyond? if to and to get think going mean, you prospective

Shankh Mitra

Yes.

you if that and said, go time. do back margin we if and point looks this in the numbers said that is at to back cost it at that rent So no that nowhere of was that go assumption we the on see this We under slide, just like we will. occupancy, what

have will a of fact. we go or we of whether on matter stated slide decide opinion. will back that is back, that's not go matter You a What

XX baking. So one Number mentioned time within two is presentation clue. perspective will the have an Third, see of we'll time yet frankly, our it it. that's see on are partners are we raised, on most the on - We're optimistic sort I've presentation heard, not all We're of in sort to you Hopefully, momentum number it. that a we're We're the that giving seen a industry on sort that you Hopefully, you not per were of remarks, or Full-year nowhere and not point, of Slide of that prepared guidance, to guidance our FFO specific answers from FFO not probably that simply straight-lining no operating frame. what on to We're an XXX, se. that specific we occupancy. your We're that number telling occupancy a guidance, point. we have what frame is guidance committing you is my so Right? because, we I far. have question. you counting time which implying get an specific basically this giving underlies that is frame. which

Operator

Our line Street. of next with Hartwich the from question Green Lukas comes

Lukas Hartwich

just the looks the over of little in or increase your steady, numbers kind curious more of bottom-on about based kind on the bumpier? put it it You that in hoping some cadence is said but occupancy And occupancy. you looks Is steady past the weeks? I'm release, bit talk a six it of of Just what shop can you like.

Shankh Mitra

might what you But us project. lower frame Six if weeks today if over frame, enough the have and that have the enough want out. Remember, get seen talk worse us significant it sit you is weeks weeks - least not that But see things the of trend. much might time tell project get more a first the things points is seen six good environment. our than to that. It's going is we're better to tell than here But to Right? go things possibility you tone some is higher operating about have We're then weeks, things try positive can we see is it. we're tell were just can not I guess If environment. a resurgence long seeing every COVID, to just secret can you we play basis just are than This we there the highly of is uncertain I uncertain insist, XX we you the that. we will Lukas, to sauce you're a closer don't and not a what farther what obviously, week, are seasonally, have you things not things, XX. you a confidence of six give to that how to a sort we're improving. weeks it telling two can successively lot At for a time I out are seeing, So just and partners ready telling to seeing. numbers us. have get worse. highly to not and and or in you from a

Operator

of question And from our line comes next Bernstein with the One. Capital Daniel

Daniel Bernstein

numbers, my I senior as it's just significantly, XX years. wanted home run been to probably go back but housing the the And is guess portable to rising prices with as the idea is of housing. pricing last in power I within senior fully significantly, rising prices haven't rent about

how changed don't does occupancy if have that you discussions for occupancy the equation the maybe equation or know it power, need industry or be what pricing but XX% for some. - to think maybe to of with pricing had but has about better your power? I operators, Traditionally, about So the you've change thought

-- just So

Shankh Mitra

Yes. in nonetheless. of - many a But a HPA the I correlation to guesswork with speaking, a can I'm this start happy am is very - tell guesswork ways. rent price strong it sort historically interesting a appreciation very or very growth. index I question. But has many, you. to obviously, engage in Right? good unprecedented you, Dan, house It's is with, market. happy

housing shortage with of You demand. haven't this seen kind combined

rent this should the difficult if escalation I rent of something. haven't fact the entire to but very, comfortable very cost industry you mean, Reasonably lease-up. that those growth. together, time, rent same growth, lot build kind growth have seen that of I you also of speaking, say, a So I makes you rent are At that will Right? - like all are believe you to see would You acknowledge I it seeing. is not am of see in modest underwriting

years are be from the think know I now, today. I Do think That's No. will sure? to But growth do better three reasonable I that's that expect. expect. seeing Now for what reasonable we to than rent

Operator

Lukas Hartwich we have from And Green a follow-up with Street. question

Lukas Hartwich

Thanks.

just what or company? that that you the On debt from free I'm if the on coverage, provide looks loan, HC-One like NOI curious that could portfolio service

Shankh Mitra

substantial a and head. loan, which give my is real V replacement have you actual my Lukas, And on you that. if the cost. don't mind. on it's not LTV you you, coverage number. the I ratio ascribe to don't can I basis, low. extremely overall But I I I to just LTV basis substantial, on you pre-COVID service to can have in that of the tell business, estate, that to get will value the get in discount that on call off-line that? backs back an you top no back the I'll

Operator

we the a question with follow-up Mizuho. of Okusanya line from And Omotayo have

Omotayo Okusanya

Yes.

quarter, I noticed for that quick Tim, an a this a million. Tim. of $XXX about Just one issuance equity bit was there little

made so sheet. bit talk guys that about have balance you the why again, little cash Just when, much decision on a was

Timothy McHugh

to really Yes. has It's confidence in and pipeline. do a question, our it great with

So external it forward done seeing, do, seeing got it's between it will in a the visible that's occurs, is structure highly spend development we've activity opportunities and why we're got fund when less you're it but a it's our activity. to and

Operator

Thank Thank and you conference you. for now may disconnect. and today's call. Ladies you gentlemen, this concludes participating

Welltower (WELL) 29 Apr 212021 Q1 Earnings call transcript