67 WALL STREET, New York - August 4, 2014 - The Wall Street Transcript has just published its Medical Real Estate Report offering a timely review of the sector to serious investors and industry executives. This special feature contains expert industry commentary through in-depth interviews with public company CEOs and Equity Analysts. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: REIT Access to Capital - Affordable Care Act and Reimbursements - Hospitals, Senior Housing, Skilled Nursing and Acute Care - Medicare and Medicaid Reimbursements - Consolidation Activity - Health Care REITs - Medical Office Real Estate
Companies include: Healthcare Realty Trust Inc. (HR) and many more.
In the following excerpt from the Medical Real Estate Report, the Executive Vice President – Investments - of Healthcare Realty Trust Inc. (HR) discusses company strategy and the outlook for this vital industry:
TWST: Let's start with a bit of historical background on Healthcare Realty, and a snapshot of your portfolio and operations today.
Mr. Meredith: Healthcare Realty was founded in 1992 by our Chairman and CEO, David Emery, and became a public company in May of 1993 with an initial portfolio of MOBs and outpatient medical properties valued at about $130 million. In 1995, Healthcare Realty acquired a small firm that specialized in developing and managing medical office properties, which gave the company a chance to provide services to its partners and its tenants, including capital investment, development, leasing and property management.
In 1998, the company more than doubled its size through the acquisition of another diversified health care REIT. In 2007, Healthcare Realty sold the senior living portion of that company for about $400 million and returned the company to its focus on primarily medical office and outpatient properties. Over the last 10 to 15 years, the company has grown steadily by - about two-thirds acquisitions and one-third development activity - investing in properties aligned with market-leading, investment-grade, not-for-profit health systems located in markets with strong demographics.
Fast forwarding to today, Healthcare Realty is currently a $3.2 billion company in terms of investments, with 201 properties and mortgages in 28 states. The company owns 14 million square feet, and internally leases and manages over 10 million square feet of that portfolio. About 85% of the portfolio is comprised of MOBs and outpatient properties; 80% are properties that are located on or immediately adjacent to a hospital campus, which we believe is a key factor in the long-term ability to maintain occupancy and steadily increase rents. Our biggest markets are Dallas, Charlotte, Nashville, Denver, San Antonio, Houston and Indianapolis, and some of our largest affiliations with health system partners are Baylor, Ascension, Catholic Health Initiatives, Carolinas HealthCare, Bon Secours, Indiana University Health and others of that ilk.
TWST: What would you say distinguishes your company from other REITs that are focused on medical properties, whether from a stock investor's perspective or a tenant's point of view?
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.