TORONTO, Feb. 26, 2018 /CNW/ - NorthWest Healthcare Properties Real Estate Investment Trust (TSX: NWH.UN) (the "REIT") is pleased to announce financial results from NSX-listed Vital Healthcare Property Trust ("Vital Trust") for the interim six month period ended December 31, 2017, released on February 27, 2018 in New Zealand. The REIT owns an approximate 25% interest in Vital Trust. Vital Trust is also managed by a wholly owned subsidiary of the REIT.
Vital Trust continues to be regarded as one of the top performing healthcare property trusts in the region, with strong and improving financial results, a loan to value ratio of 36.8%, a weighted average lease term of 18.6 years, continued high occupancy at 99.3%, and same property NOI growth of 3.5% over the prior year period.
Highlights from Vital Trust's financial reporting for the six months ended December 31, 2017 include the following:
- Net distributable income per unit increased by 3.5% over the prior year period (after adjusting for a one-time lease termination penalty received in the prior year period);
- The Board confirmed the quarterly cash distribution of $0.02125 per unit and reiterated its full year guidance for $0.085 per unit representing a 79% AFFO per unit payout ratio; and
- The fair value of the portfolio increased by 2.9% (NZ$42.8 million; weighted average cap rate of 5.85%).
The increase is over and above acquisitions and development expenditures incurred in the period.
Vital Trust also continues to leverage its management platform for future growth, with:
- Acquisition of the Acurity New Zealand Hospital portfolio, Eden Rehabilitation Clinic and the Hills Clinic in Australia for NZ$187 million;
- Development completions of A$20 million;
- Development pipeline (6 projects) totaling approximately NZ$144 million; and
- Management integration further strengthening its market leading Australasian healthcare platform.
Details on Vital Trust's interim half-year results ending December 31, 2017 are available on Vital Trust's website at www.vitalhealthcareproperty.co.nz.
About NorthWest Healthcare Properties Real Estate Investment Trust
NorthWest Healthcare Properties Real Estate Investment Trust (TSX:NWH.UN) is an unincorporated, open-ended real estate investment trust established under the laws of the Province of Ontario. The REIT provides investors with access to a portfolio of high quality international healthcare real estate infrastructure comprised of interests in a diversified portfolio of 144 income-producing properties and 9.7 million square feet of gross leasable area located throughout major markets in Canada, Brazil, Germany, Australia and New Zealand. The REIT's portfolio of medical office buildings, clinics, and hospitals is characterized by long term indexed leases and stable occupancies. With a fully integrated and aligned senior management team, the REIT leverages over 180 professionals across nine offices in five countries to serve as a long term real estate partner to leading healthcare operators.
This press release contains forward-looking statements which reflect the REIT's current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual results could differ materially from those projected herein. The REIT disclaims any obligation to update these forward-looking statements.
SOURCE NorthWest Healthcare Properties Real Estate Investment Trust