Welcome!

News Feed Item

Northwest International Healthcare Properties REIT Releases Fourth Quarter 2013 Results

TSX-V: MOB.UN

TORONTO, April 23, 2014 /CNW/ - NorthWest International Healthcare Properties REIT ("NWI" or the "REIT") announced today that it has released its results for the three and twelve months period ended December 31, 2013.

Q4-2013 marked another quarter of significant growth for the REIT with the closing of the sale leaseback transaction of three hospitals in Brazil, increasing its asset base by over $200 million, representing a 35% increase from the prior quarter. This acquisition, representing the REIT's third acquisition in Brazil in just over one year delivers on the REIT's commitment to continue to diversify its portfolio of international healthcare real estate, deliver stable operating performance and accretive growth opportunities. Reflecting on 2013 results, Paul Dalla Lana, Chairman & Chief Executive Officer of the REIT commented:

"We are excited to conclude another year of significant growth in our portfolio and its underlying profitability. During the year, the REIT added key properties in each of its core markets that are accretive in terms of both quality and return.   We begin 2014 even better positioned to deliver on our key business objective of providing investors with stable, growing cash flow distributions through long-term healthcare real estate investments."

Key highlights from the REIT's financial and operating results for the three and twelve months ended December 31, 2013 include:

  • NOI of $4,855,484 in Q4'13, representing a 334% increase over the same period last year and a 13% increase quarter over quarter;
  • NOI for the fiscal year 2013 of $18,026,247;
  • AFFO / unit of $0.18 for fiscal year 2013 and AFFO / unit of $0.04 for Q4'13, in line with the prior quarter;
  • Annual AFFO to distribution payout ratio of approximately 90%, in line with the REIT's quarterly trends ;
  • Leading portfolio occupancy at 96.0% (Canada = 91.3%; International = 99.2%), up 70 bps from prior quarter;
  • Weighted average lease term of 12.4 years (Canada = 4.8 years; International = 17.7 years), an increase of 3.1 years from the prior quarter;
  • Closed the previously announced $205 million sale leaseback of a portfolio of leading Brazilian Hospitals from Rede D'Or Sao Luiz S.A.;
  • Closed a $24 million credit facility; and
  • Completed an equity offering generating $19.7 million of gross proceeds after inclusion of the over-allotment option.

Subsequent to the quarter, the REIT announced a distribution increase of 37% effective January 2014, and in February 2014, the REIT announced the acquisition of 16 medical office buildings of nearly $100 million (the "German MOB Portfolio"), which is expected to close some time in the second quarter of 2014. Upon completion of the German MOB Portfolio, the REIT will have completed more than $600 million of acquisitions since its repositioning to focus on international healthcare real estate in October 2012.

FINANCIAL HIGHLIGHTS

             
    As at
Dec. 31, 2013
  As at
Dec. 31, 2012
Operational Information (1)            
   Number of Properties - 100% of associates     113     31
   Gross Leasable Area (sf) - 100% of associates     7,664,605     1,873,571
   Occupancy % - 100% of associates     94.4%     99.5%
             
Summary of Financial Information            
   Gross Book Value (2)    $ 756,258,230    $ 349,554,285
   Debt - Declaration of Trust (3)    $ 437,642,389    $ 148,144,630
   Debt to Gross Book Value - Declaration of Trust     57.9%     42.4%
   Debt - Including convertible debentures (3)    $ 473,065,389    $ 148,144,630
   Debt to Gross Book Value - Including convertible debentures     62.6%     42.4%
             
   Percentage of Mortgages and Loans Payable at Fixed Rates     59.1%     77.1%
   Weighted-Average Interest Rate on Fixed Rate Mortgages and Loans Payable   6.11%     5.50%
   Adjusted Units Outstanding - period end (4)            
       Basic     146,046,705     98,541,704
       Diluted (7)     146,347,916     98,541,704
             
    For the three
months ended
Dec. 31, 2013
  For the twelve
months ended
Dec. 31, 2013
             
Operating Results            
   Net Income / (Loss)     $ (26,809,534)    $ 21,077,009
   NOI from Continuing Operations (5)    $ 4,855,484    $ 18,026,247
   Funds From Operations ("FFO") (5)(6)    $ (815,635)    $ 10,779,626
   Adjusted Funds From Operations ("AFFO") (5)    $ 5,639,399    $ 21,224,235
   Distributions (7)    $ 5,590,562    $ 19,501,964
             
Per Unit Amounts (4)            
   FFO per unit - Basic (6)    $ (0.01)    $ 0.09
   FFO per unit - Adjusted fully diluted  (8)    $ (0.01)    $ 0.09
   AFFO per unit - Basic    $ 0.04    $ 0.18
   AFFO per unit - Adjusted fully diluted  (8)    $ 0.04    $ 0.18
   Distributions per unit     $ 0.04    $ 0.16
   AFFO Payout Ratio      98%     90%
   AFFO Payout Ratio - Adjusted fully diluted  (8)     98%     90%
             
Adjusted Weighted Average Units Outstanding (4)            
   Basic      138,120,778     119,519,921
   Diluted (8)     138,228,362     119,616,222

 

Full financial statements and MD&A will be available on SEDAR (www.sedar.com) as well as the Investors section of the REIT's website (www.nwireit.com).

Notes

(1)      Operational information includes 100% of Vital Trust and NWHP REIT. The REIT has an exposure to an approximate 24% interest in Vital Trust and approximate 26% interest in NWHP REIT.
(2)      Gross Book Value is defined as total assets.
(3)      Indebtedness as defined in the Declaration of Trust includes the principal balance of mortgages, securities lending agreement, margin facilities, term loan, line of credit, and deferred consideration. The REIT's total debt also includes convertible debentures (at fair value).
(4)      Under IFRS the REIT's Class B LP exchangeable units are treated as a financial liability rather than equity. As permitted under IFRS the REIT has chosen to present an adjusted basic and diluted per unit measure that includes the Class B LP exchangeable units in basic and diluted units outstanding/weighted average units outstanding. There were 91,068,320 Class B LP exchangeable units outstanding as at December 31, 2013 and 55,944,444 Class B LP exchangeable units outstanding at December 31, 2012.
(5)      NOI, FFO and AFFO are not measures recognized under IFRS and do not have standardized meanings prescribed by IFRS. NOI, FFO and AFFO as computed by the REIT may differ from similar computations as reported by other real estate investment trusts and, accordingly, may not be comparable to NOI, FFO and AFFO as reported by other such issuers. These terms are defined in this MD&A and reconciled to IFRS-based amounts reported in the consolidated financial statements of the REIT.
(6)      FFO and FFO per unit for both the three months and year ended December 31, 2013 includes the incentive fee expense of $4,103,617. For the three months ended December 31, 2013, excluding the incentive fee, FFO and FFO per unit (basic) would be $3,287,982 and $0.02 respectively. For the year ended December 31, 2013, excluding the incentive fee, FFO and FFO per unit (basic) would be $14,883,243 and $0.12 respectively.
(7)      Represents distributions to Unitholders and Class B LP exchangeable unitholders on an accrual basis. Distributions are payable as at the end of the period in which they are declared by the Board of Trustees, and are paid on or around the 15th day of the following month.
(8)      Diluted units include the conversion of the REIT's convertible debentures and warrants if the conversion price or exercise price is greater than the closing price of the Trust Unit as at the end of the reporting period. Otherwise the convertible debentures and warrants are considered anti-dilutive.

About NorthWest International Healthcare Properties Real Estate Investment Trust

The REIT is an unincorporated, open-ended real estate investment trust established under the laws of the Province of Ontario. The REIT's objectives are to: (i) provide its unitholders with stable and growing cash distributions from investments focused on international healthcare properties, on a tax efficient basis; (ii) enhance the value of the REIT's assets and maximize long-term unit value; and (iii) expand the asset base of the REIT.

Reader Advisory

This news release contains "forward-looking statements" within the meaning of applicable securities laws. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the ability of the REIT to pay the distribution on the date specified. The statements in this news release are made as of the date of this release. Although the REIT believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. A discussion of the risk factors applicable to the REIT is contained under the heading "Risk Factors" in the REIT's annual information form dated April 23, 2014 and audited consolidated financial statements and management's discussion and analysis for the year ended December 31, 2013, copies of which each may be obtained on the SEDAR website at www.sedar.com.

Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) has approved or disapproved the contents of this press release.

 

 

SOURCE NorthWest International Healthcare Properties REIT

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
"Avere Systems is a hybrid cloud solution provider. We have customers that want to use cloud storage and we have customers that want to take advantage of cloud compute," explained Rebecca Thompson, VP of Marketing at Avere Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
SYS-CON Events announced today that Dataloop.IO, an innovator in cloud IT-monitoring whose products help organizations save time and money, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Dataloop.IO is an emerging software company on the cutting edge of major IT-infrastructure trends including cloud computing and microservices. The company, founded in the UK but now based in San Fran...
Updating DevOps to the latest production data slows down your development cycle. Probably it is due to slow, inefficient conventional storage and associated copy data management practices. In his session at @DevOpsSummit at 20th Cloud Expo, Dhiraj Sehgal, in Product and Solution at Tintri, will talk about DevOps and cloud-focused storage to update hundreds of child VMs (different flavors) with updates from a master VM in minutes, saving hours or even days in each development cycle. He will also...
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
SYS-CON Events announced today that Linux Academy, the foremost online Linux and cloud training platform and community, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Linux Academy was founded on the belief that providing high-quality, in-depth training should be available at an affordable price. Industry leaders in quality training, provided services, and student certification passes, its goal is to c...
The unique combination of Amazon Web Services and Cloud Raxak, a Gartner Cool Vendor in IT Automation, provides a seamless and cost-effective way of securely moving on-premise IT workloads to Amazon Web Services. Any enterprise can now leverage the cloud, manage risk, and maintain continuous security compliance. Forrester's analysis shows that enterprises need automated security to lower security risk and decrease IT operational costs. Through the seamless integration into Amazon Web Services, ...
In the next five to ten years, millions, if not billions of things will become smarter. This smartness goes beyond connected things in our homes like the fridge, thermostat and fancy lighting, and into heavily regulated industries including aerospace, pharmaceutical/medical devices and energy. “Smartness” will embed itself within individual products that are part of our daily lives. We will engage with smart products - learning from them, informing them, and communicating with them. Smart produc...
"We provide DevOps solutions. We also partner with some key players in the DevOps space and we use the technology that we partner with to engineer custom solutions for different organizations," stated Himanshu Chhetri, CTO of Addteq, in this SYS-CON.tv interview at DevOps at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Providing the needed data for application development and testing is a huge headache for most organizations. The problems are often the same across companies - speed, quality, cost, and control. Provisioning data can take days or weeks, every time a refresh is required. Using dummy data leads to quality problems. Creating physical copies of large data sets and sending them to distributed teams of developers eats up expensive storage and bandwidth resources. And, all of these copies proliferating...
“DevOps is really about the business. The business is under pressure today, competitively in the marketplace to respond to the expectations of the customer. The business is driving IT and the problem is that IT isn't responding fast enough," explained Mark Levy, Senior Product Marketing Manager at Serena Software, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
"We got started as search consultants. On the services side of the business we have help organizations save time and save money when they hit issues that everyone more or less hits when their data grows," noted Otis Gospodnetić, Founder of Sematext, in this SYS-CON.tv interview at @DevOpsSummit, held June 9-11, 2015, at the Javits Center in New York City.
Hardware virtualization and cloud computing allowed us to increase resource utilization and increase our flexibility to respond to business demand. Docker Containers are the next quantum leap - Are they?! Databases always represented an additional set of challenges unique to running workloads requiring a maximum of I/O, network, CPU resources combined with data locality.
The speed of software changes in growing and large scale rapid-paced DevOps environments presents a challenge for continuous testing. Many organizations struggle to get this right. Practices that work for small scale continuous testing may not be sufficient as the requirements grow. In his session at DevOps Summit, Marc Hornbeek, Sr. Solutions Architect of DevOps continuous test solutions at Spirent Communications, explained the best practices of continuous testing at high scale, which is rele...
The emerging Internet of Everything creates tremendous new opportunities for customer engagement and business model innovation. However, enterprises must overcome a number of critical challenges to bring these new solutions to market. In his session at @ThingsExpo, Michael Martin, CTO/CIO at nfrastructure, outlined these key challenges and recommended approaches for overcoming them to achieve speed and agility in the design, development and implementation of Internet of Everything solutions with...
"What is the next step in the evolution of IoT systems? The answer is data, information, which is a radical shift from assets, from things to input for decision making," stated Michael Minkevich, VP of Technology Services at Luxoft, in this SYS-CON.tv interview at @ThingsExpo, held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA.