US Market News
1 month ago
Healthpeak Properties Raises 2026 Earnings Guidance Following Completion of the Janus Living IPO, Accretive Capital Allocation, and Strong First Quarter 2026 ResultsMay 5, 2026 4:15 PM
Business Wire Healthpeak Properties, Inc. (NYSE: DOC), a leading owner, operator, and developer of real estate for healthcare discovery and delivery, today announced results for the quarter ended March 31, 2026. FIRST QUARTER 2026 FINANCIAL PERFORMANCE AND RECENT HIGHLIGHTS Net income of $0.28 per share, Nareit FFO of $0.42 per share, and FFO as Adjusted of $0.45 per share In March 2026, Janus Living, Inc. (NYSE: JAN) ("Janus Living") completed its initial public offering ("IPO") at the high-end of the valuation range, generating approximately $880 million of net proceeds in an oversubscribed and upsized offering, to pursue accretive acquisition and investment opportunities As Janus Living's largest shareholder, Healthpeak's earnings growth will benefit from the favorable senior housing supply-demand fundamentals and Janus Living's accretive external growth opportunities $714 million of previously disclosed Healthpeak senior housing acquisitions contributed to Janus Living as part of the formation transactions Janus Living reported it is under contract on an additional $400 million of senior housing acquisitions As of May 4, 2026, Janus Living had a market capitalization of $6.9 billion, of which Healthpeak owns 81.6% Janus Living reported post-IPO net loss of $(0.05) per share, first quarter net income of $0.13 per share and first quarter FFO as Adjusted of $0.23 per share Year-over-year consolidated revenue and Adjusted EBITDAre growth of 35% and 42%, respectively First quarter Outpatient Medical and Lab new and renewal lease executions totaled 1.2 million square feet: Outpatient Medical new lease executions totaled 195,000 square feet and renewal lease executions totaled 868,000 square feet, with +5.4% cash releasing spreads on renewals Subsequent to the first quarter, and through May 4, 2026, executed 1 million square feet of Outpatient Medical leases and signed letters of intent ("LOI") Lab new lease executions totaled 129,000 square feet and renewal lease executions totaled 12,000 square feet and +3.5% cash releasing spreads on renewals Subsequent to the first quarter, and through May 4, 2026, executed 354,000 square feet of Lab leases and signed LOIs Lab total occupancy increased sequentially and is expected to increase through year-end 2026 Generated $267 million of proceeds from recapitalizations, dispositions, and loan repayments In March 2026, closed on the recapitalization and sale of an 80% joint venture interest in a 100% occupied, six-property outpatient medical portfolio to affiliates of Blackstone at a gross valuation of $212 million, generating proceeds of approximately $170 million In April 2026, repurchased 5.9 million common shares at a weighted average share price of $16.81 for approximately $100 million Net Debt to Adjusted EBITDAre was 5.4x for the quarter ended March 31, 2026 Recent corporate impact and sustainability achievements include: Awarded LEED Silver Core & Shell for Medical City McKinney, an outpatient medical development located in suburban Dallas Named a member of the Dow Jones Best-in-Class (DJBIC) North America Index for the 13th consecutive year Named a constituent in the S&P Global Sustainability Yearbook for the 11th consecutive year To learn more about Healthpeak's commitment to responsible business and view our Corporate Impact Report, please visit www.healthpeak.com/corporate-impact. FIRST QUARTER COMPARISON Three Months Ended
March 31, 2026 Three Months Ended
March 31, 2025 (in thousands, except per share amounts) Amount Per Share Amount Per Share Diluted Net income (loss) applicable to common shares $ 193,484 $ 0.28 $ 42,364 $ 0.06 Diluted Nareit FFO applicable to common shares 301,519 0.42 323,279 0.45 Diluted FFO as Adjusted applicable to common shares 316,853 0.45 329,713 0.46 SAME-STORE ("SS") OPERATING SUMMARY The table below outlines the year-over-year three-month total SS Cash (Adjusted) NOI growth. Year-Over-Year Total Same-Store Adjusted NOI Growth Three Month SS Growth % % of SS Outpatient Medical 2.4 % 55.7 % Lab (7.2 %) 33.6 % Senior Housing 13.8 % 10.7 % Total SS Cash (Adjusted) NOI 0.0 % 100.0 % Nareit FFO, FFO as Adjusted, Total Same-Store Cash (Adjusted) NOI, and Net Debt to Adjusted EBITDAre are supplemental non-GAAP financial measures that we believe are useful in evaluating the operating performance and financial position of real estate investment trusts. See "March 31, 2026 Discussion and Reconciliation of Non-GAAP Financial Measures" for definitions, discussions of their uses and inherent limitations, and reconciliations to the most directly comparable financial measures calculated and presented in accordance with GAAP, available in the Investor Relations section of our website at http://ir.healthpeak.com/quarterly-results. See also the "Funds From Operations" section of this release for additional information. DIVIDEND On April 6, 2026, Healthpeak's Board of Directors declared a monthly common stock cash dividend of $0.10167 per share for each of April, May, and June of 2026, representing cash dividends totaling $0.305 per share for the second quarter, and an annualized dividend amount of $1.22 per share. The dividend is payable on the payment dates set forth in the table below to stockholders of record as of the close of business on the corresponding record date. Record Date Payment Date Amount April 17, 2026 April 30, 2026 $0.10167 per common share May 18, 2026 May 29, 2026 $0.10167 per common share June 15, 2026 June 26, 2026 $0.10167 per common share JANUS LIVING INITIAL PUBLIC OFFERING In March 2026, Janus Living completed its IPO and began trading on the New York Stock Exchange under the ticker symbol “JAN”. The net proceeds from the IPO were approximately $880 million, after deducting underwriting discounts and expenses payable by Janus Living. Janus Living expects to use the net proceeds from the offering to pursue acquisition and investment opportunities that meet its investment criteria and for general corporate purposes. As of the IPO, Healthpeak owned approximately 214.7 million shares of common stock and operating partnership common units in Janus Living, representing an 81.6% equity ownership. JANUS LIVING'S FIRST QUARTER RESULTS On May 5, 2026, Janus Living reported first quarter operating and financial results including year-over-year consolidated revenue and Adjusted EBITDAre growth of 35% and 42%, respectively, resulting in FFO as Adjusted of $0.23 per share. Janus Living is under contract on approximately $400 million of incremental senior housing acquisitions. As of March 31, 2026, Janus Living had $949 million of cash and no outstanding debt. Janus Living also announced its intent to make a pro rata dividend payment for the period between March 20, 2026 and June 30, 2026, based on a distribution rate of $0.1425 per share, representing an annualized dividend of $0.57 per share. Janus Living’s operations are consolidated into Healthpeak’s financial statements, with the approximately 18.4% not owned by Healthpeak reported as noncontrolling interest. SENIOR HOUSING ACQUISITIONS During the first quarter 2026, Healthpeak closed on senior housing acquisitions totaling $714 million across 25 communities. These communities were contributed to Janus Living as part of the formation transactions. A summary of the acquisitions is as follows: Our joint venture partner's 46.5% interest in a 19-community portfolio for $314 million Three communities in the Orlando MSA for $119 million Two communities in the Atlanta MSA for $240 million One community in the Seattle MSA for $41 million SHARE REPURCHASE ACTIVITY In April 2026, Healthpeak repurchased 5.9 million common shares at a weighted average share price of $16.81 for approximately $100 million under its $500 million share repurchase program. As of May 5, 2026, approximately $306 million remained available for share repurchases under the program. OUTPATIENT MEDICAL JOINT VENTURE RECAPITALIZATION In March 2026, Healthpeak entered into a joint venture with affiliates of Blackstone through the contribution of a 100% occupied, six-property outpatient medical portfolio valued at approximately $212 million. The portfolio comprises approximately 418,000 square feet across California, Maryland, Colorado, Texas, and Nebraska. Under the terms of the joint venture, Blackstone owns an 80% majority interest and Healthpeak retains a 20% minority interest. Healthpeak will serve as operating member of the joint venture and will continue to provide asset and property management services, earning customary fees. The joint venture establishes a platform from which the parties will seek to expand their relationship over time. Healthpeak received gross proceeds of approximately $170 million for the sale of the 80% interest. The transaction implies a trailing cash cap rate of approximately 6.1% and a valuation of approximately $508 per square foot. The transaction reflects continued execution on Healthpeak’s ongoing capital recycling strategy and the strong private market interest in Healthpeak's operating platform and relationships. DISPOSITIONS During the first quarter 2026, Healthpeak closed on approximately $92 million of dispositions and received loan repayments for proceeds of $5 million. Together with the recapitalization, Healthpeak has generated $267 million of net proceeds as of May 5, 2026. BALANCE SHEET As previously disclosed, in March 2026, Healthpeak closed on a new $400 million unsecured delayed-draw term loan facility. The term loan matures in March 2031 and bears interest at SOFR plus 80 basis points, based on Healthpeak’s current credit ratings. The unsecured term loan facility was undrawn as of May 5, 2026. 2026 GUIDANCE We are updating the following guidance ranges for full year 2026: Diluted earnings per common share from $0.34 – $0.38 to $0.46 – $0.50 Diluted Nareit FFO per share from $1.70 – $1.74 to $1.68 – $1.72 Diluted FFO as Adjusted per share from $1.70 – $1.74 to $1.71 – $1.75 We are reaffirming full year 2026 Total Same-Store Cash (Adjusted) NOI growth in the range of (1.0%) – 1.0% These estimates are based on our current view of existing market conditions, transaction timing, and other assumptions for the year ending December 31, 2026. For additional details and assumptions, please see page 10 in our corresponding Supplemental Report and the Discussion and Reconciliation of Non-GAAP Financial Measures, both of which are available in the Investor Relations section of our website at http://ir.healthpeak.com. CONFERENCE CALL INFORMATION Healthpeak has scheduled a conference call and webcast for Wednesday, May 6, 2026, at 10:00 a.m. Eastern Time. Healthpeak’s website: https://ir.healthpeak.com/news-events Webcast: https://events.q4inc.com/attendee/885401057. Joining via webcast is recommended for those who will not be asking questions. Telephone: The participant dial-in number is (833) 461-5787. The international dial-in is (585) 542-9983. The conference ID number is 885401057. A webcast replay will be available on Healthpeak’s website through May 5, 2027. ABOUT HEALTHPEAK Healthpeak Properties, Inc. is a fully integrated real estate investment trust (REIT) and S&P 500 company. Healthpeak owns, operates, and develops high-quality real estate focused on healthcare discovery and delivery. FORWARD-LOOKING STATEMENTS Statements contained in this release that are not historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, among other things, statements regarding our and our officers' intent, belief or expectation as identified by the use of words such as "may," "will," "project," "expect," "believe," "intend," "anticipate," "seek," "target," "forecast," "plan," "potential," "estimate," "could," "would," "should" and other comparable and derivative terms or the negatives thereof. Examples of forward-looking statements include, among other things: (i) statements regarding timing, outcomes and other details relating to the proposed Janus Living IPO or current, pending or contemplated acquisitions, dispositions, developments, redevelopments, joint venture transactions, leasing activity and commitments, financing activities, or other transactions discussed in this release; (ii) the payment of a monthly cash dividend; and (iii) the information presented under the heading "2026 Guidance Information." Pending acquisitions, dispositions, joint venture transactions, leasing activity, and financing activity, including those subject to binding agreements, remain subject to closing conditions and may not be completed within the anticipated timeframes or at all. Forward-looking statements reflect our current expectations and views about future events and are subject to risks and uncertainties that could significantly affect our future financial condition and results of operations. While forward-looking statements reflect our good faith belief and assumptions we believe to be reasonable based upon current information, we can give no assurance that our expectations or forecasts will be attained. Further, we cannot guarantee the accuracy of any such forward-looking statement contained in this release, and such forward-looking statements are subject to known and unknown risks and uncertainties that are difficult to predict. These risks and uncertainties include, but are not limited to: changes to regulatory, funding, staffing, trade, and other policies and actions by the U.S. political administration; macroeconomic trends that may increase borrowing, construction, labor and other operating costs; changes within the life science industry, and significant regulation, funding requirements, and uncertainty faced by our lab tenants; factors adversely affecting our tenants’, operators’, or borrowers’ ability to meet their financial and other contractual obligations to us; the insolvency or bankruptcy of one or more of our major tenants, operators, or borrowers; our concentration of real estate investments in the healthcare property sector, which makes us more vulnerable to a downturn in that specific sector than if we invested across multiple sectors; the illiquidity of real estate investments; our ability to identify and secure new or replacement tenants and operators; our property development, redevelopment, and tenant improvement risks, which can render a project less profitable or unprofitable and delay or prevent its undertaking or completion; the ability of the hospitals on whose campuses our outpatient medical buildings are located and their affiliated healthcare systems to remain competitive or financially viable; operational risks associated with our senior housing properties managed by third parties, including our properties operated through structures permitted by the Housing and Economic Recovery Act of 2008, which includes most of the provisions previously proposed in the REIT Investment Diversification and Empowerment Act of 2007 (commonly referred to as “RIDEA”); the failure of our tenants, operators, and borrowers to comply with federal, state, and local laws and regulations, including resident health and safety requirements, as well as licensure, certification, and inspection requirements; required regulatory approvals to transfer our senior housing properties; compliance with the Americans with Disabilities Act and fire, safety, and other regulations; the requirements of, or changes to, governmental reimbursement programs such as Medicare or Medicaid; economic conditions, natural disasters, weather, and other conditions that negatively affect geographic areas where we have concentrated investments; uninsured or underinsured losses, which could result in a significant loss of capital invested in a property, lower than expected future revenues, and unanticipated expenses; our use of joint ventures may limit our returns on and our flexibility with jointly owned investments; our use of rent escalators or contingent rent provisions in our leases; competition for suitable healthcare properties to grow our investment portfolio; our ability to exercise rights on collateral securing our real estate-related loans; any requirement that we recognize reserves, allowances, credit losses, or impairment charges; investment of substantial resources and time in transactions that are not consummated; our ability to successfully integrate and/or operate acquisitions or internalize property management; the potential impact of unfavorable resolution of litigation or disputes and resulting rising liability and insurance costs; environmental compliance costs and liabilities associated with our real estate investments; environmental, social and governance and sustainability commitments and changing requirements, as well as stakeholder expectations; epidemics, pandemics, or other infectious diseases, and health and safety measures intended to reduce their spread; our past participation in the Coronavirus Aid, Relief, and Economic Security Act Provider Relief Fund and other Covid-related stimulus and relief programs; laws or regulations prohibiting eviction of our tenants; human capital risks, including the loss or limited availability of our key personnel; our reliance on information technology and any material failure, inadequacy, interruption, or security failure of that technology; the use of, or inability to use, artificial intelligence by us, our tenants, our vendors, and our investors; volatility, disruption, or uncertainty in the financial markets; increased interest rates and borrowing costs, which could impact our ability to refinance existing debt, sell properties, and conduct investment activities; cash available for distribution to stockholders and our ability to make dividend distributions at expected levels; the availability of external capital on acceptable terms or at all; an increase in our level of indebtedness; covenants in our debt instruments, which may limit our operational flexibility, and breaches of these covenants; volatility in the market price and trading volume of our common stock; adverse changes in our credit ratings; the pending initial public offering of Janus Living may not be completed on the currently contemplated timeline or terms, or at all, and may not achieve the intended benefits; our economic exposure to shifts in the price of Janus Living common stock and our ability to control the assets and activities of Janus Living; potential conflicts of interest in our relationship with Janus Living; our ability to maintain our qualification as a real estate investment trust (“REIT”); our taxable REIT subsidiaries being subject to corporate level tax; tax imposed on any net income from “prohibited transactions”; changes to U.S. federal income tax laws, and potential deferred and contingent tax liabilities from corporate acquisitions; calculating non-REIT tax earnings and profits distributions; tax protection agreements that may limit our ability to dispose of certain properties and may require us to maintain certain debt levels; ownership limits in our charter that restrict ownership in our stock, and provisions of Maryland law and our charter that could prevent a transaction that may otherwise be in the interest of our stockholders; conflicts of interest between the interests of our stockholders and the interests of holders of Healthpeak OP, LLC (“Healthpeak OP”) common units; provisions in the operating agreement of Healthpeak OP and other agreements that may delay or prevent unsolicited acquisitions and other transactions; our status as a holding company of Healthpeak OP; and other risks and uncertainties described from time to time in our Securities and Exchange Commission filings. Moreover, other risks and uncertainties of which we are not currently aware may also affect our forward-looking statements, and may cause actual results and the timing of events to differ materially from those anticipated. The forward-looking statements made in this communication are made only as of the date hereof or as of the dates indicated in the forward-looking statements, even if they are subsequently made available by us on our website or otherwise. We do not undertake any obligation to update or supplement any forward-looking statements to reflect actual results, new information, future events, changes in its expectations or other circumstances that exist after the date as of which the forward-looking statements were made. Healthpeak Properties, Inc. Consolidated Balance Sheets In thousands, except share and per share data March 31,
2026 December 31,
2025 Assets Real estate: Buildings and improvements $ 17,168,415 $ 16,593,535 Development costs and construction in progress 1,056,909 1,010,657 Land and improvements 3,221,127 3,007,346 Accumulated depreciation (4,609,647 ) (4,512,443 ) Net real estate 16,836,804 16,099,095 Loans receivable, net of reserves of $9,290 and $11,345 631,648 606,020 Investments in unconsolidated joint ventures 530,354 802,601 Accounts receivable, net of allowance of $3,480 and $2,018 91,467 78,327 Cash and cash equivalents 1,170,992 467,457 Restricted cash 94,917 70,245 Intangible assets 758,495 654,516 Assets held for sale 45,667 80,621 Right-of-use asset 395,929 412,198 Deferred tax assets 120,310 111,248 Goodwill 68,529 68,529 Other assets 871,113 885,161 Total assets $ 21,616,225 $ 20,336,018 Liabilities and Equity Bank line of credit and commercial paper $ 1,751,409 $ 1,078,850 Term loans 1,645,731 1,647,113 Senior unsecured notes 6,779,171 6,772,722 Mortgage debt 246,461 349,209 Intangible liabilities 164,360 173,697 Liabilities related to assets held for sale 545 11,900 Lease liability 290,089 296,260 Accounts payable, accrued liabilities, and other liabilities 671,245 718,509 Deferred revenue 1,007,201 985,307 Total liabilities 12,556,212 12,033,567 Commitments and contingencies Redeemable noncontrolling interests 27,214 159,581 Common stock, $1.00 par value: 1,500,000,000 shares authorized; 695,263,156 and 695,036,731 shares issued and outstanding 695,263 695,037 Additional paid-in capital 13,102,990 12,767,914 Cumulative dividends in excess of earnings (5,971,501 ) (5,952,920 ) Accumulated other comprehensive income (loss) (464 ) (9,937 ) Total stockholders’ equity 7,826,288 7,500,094 Public investors of Janus Living, Inc. 560,426 — Joint venture partners 294,297 295,455 Non-managing member unitholders 351,788 347,321 Total noncontrolling interests 1,206,511 642,776 Total equity 9,032,799 8,142,870 Total liabilities and equity $ 21,616,225 $ 20,336,018 Healthpeak Properties, Inc. Consolidated Statements of Operations In thousands, except per share data Three Months Ended
March 31, 2026 2025 Revenues: Rental and related revenues $ 538,436 $ 538,141 Resident fees and services 200,345 148,927 Interest income and other 14,171 15,821 Total revenues 752,952 702,889 Costs and expenses: Operating 323,861 273,143 Depreciation and amortization 289,734 268,546 Interest expense 87,292 72,693 General and administrative 24,591 26,118 Transaction costs 24,149 5,534 Impairments and loan loss reserves (recoveries), net (2,275 ) (3,562 ) Total costs and expenses 747,352 642,472 Other income (expense): Gain (loss) on sales of real estate, net 50,669 — Gain (loss) on debt extinguishments (403 ) — Other income (expense), net 139,779 (6,126 ) Total other income (expense), net 190,045 (6,126 ) Income (loss) before income taxes and equity income (loss) from unconsolidated joint ventures 195,645 54,291 Income tax benefit (expense) (254 ) (2,080 ) Equity income (loss) from unconsolidated joint ventures 4,265 (2,147 ) Net income (loss) 199,656 50,064 Noncontrolling interests’ share in earnings (6,023 ) (7,236 ) Net income (loss) attributable to Healthpeak Properties, Inc. 193,633 42,828 Participating securities’ share in earnings (149 ) (464 ) Net income (loss) applicable to common shares $ 193,484 $ 42,364 Earnings per common share: Basic $ 0.28 $ 0.06 Diluted $ 0.28 $ 0.06 Weighted average shares outstanding: Basic 695,161 699,067 Diluted 695,168 699,118 Healthpeak Properties, Inc. Funds From Operations In thousands, except per share data Three Months Ended
March 31, 2026 2025 Net income (loss) applicable to common shares $ 193,484 $ 42,364 Real estate related depreciation and amortization 289,734 268,546 Healthpeak’s share of real estate related depreciation and amortization from unconsolidated joint ventures 7,212 12,200 Noncontrolling interests’ share of real estate related depreciation and amortization (4,702 ) (4,454 ) Loss (gain) on sales of depreciable real estate, net (50,669 ) — Loss (gain) upon change of control, net(1) (138,117 ) — Taxes associated with real estate dispositions 58 — Nareit FFO applicable to common shares 297,000 318,656 Distributions on dilutive convertible units and other 4,519 4,623 Diluted Nareit FFO applicable to common shares $ 301,519 $ 323,279 Diluted Nareit FFO per common share $ 0.42 $ 0.45 Weighted average shares outstanding - Diluted Nareit FFO 709,457 714,174 Impact of adjustments to Nareit FFO: Transaction, merger, and restructuring-related costs(2) $ 20,568 $ 5,534 Other impairments (recoveries) and other losses (gains), net(3) (2,275 ) (3,320 ) Loss (gain) on debt extinguishments 302 — Casualty-related charges (recoveries), net(4) (190 ) 4,226 Recognition (reversal) of valuation allowance on deferred tax assets(5) (3,058 ) — Total adjustments 15,347 6,440 FFO as Adjusted applicable to common shares 312,347 325,096 Distributions on dilutive convertible units and other 4,506 4,617 Diluted FFO as Adjusted applicable to common shares $ 316,853 $ 329,713 Diluted FFO as Adjusted per common share $ 0.45 $ 0.46 Weighted average shares outstanding - Diluted FFO as Adjusted 709,457 714,174 Other operating data: Amortization of deferred financing costs and debt discounts (premiums) $ 8,363 $ 7,852 Non-refundable entrance fee sales in excess of (less than) the related GAAP amortization 7,756 4,696 Stock-based compensation amortization expense 4,502 4,627 Deferred income taxes 3,053 2,570 AFFO capital expenditures (23,956 ) (23,136 ) Straight-line rents (10,905 ) (11,153 ) Amortization of above (below) market lease intangibles, net (6,597 ) (10,212 ) Other items(6) (2,606 ) 1,451 _______________________________________ (1) The three months ended March 31, 2026 includes a gain upon change of control related to (i) the acquisition of the remaining 46.5% interest in the SWF SH JV which held 19 senior housing properties and (ii) the disposition of an 80% interest in six outpatient medical buildings to a third-party. These gains upon change of control are included in other income (expense), net in the Consolidated Statements of Operations. (2) The three months ended March 31, 2026 includes costs incurred related to the Janus Living IPO and investment pursuit costs. The three months ended March 31, 2025 includes costs related to the merger with Physicians Realty Trust, which are primarily comprised of severance, legal, accounting, tax, information technology, and other costs of combining operations with Physicians Realty Trust that were incurred during the period. (3) The three months ended March 31, 2026 and 2025 includes reserves and (recoveries) for expected loan losses recognized in impairments and loan loss reserves (recoveries), net in the Consolidated Statements of Operations. (4) Casualty-related charges (recoveries), net are recognized in other income (expense), net, equity income (loss) from unconsolidated joint ventures, and noncontrolling interests’ share in earnings in the Consolidated Statements of Operations. (5) The three months ended March 31, 2026 includes the income tax impact related to the change in tax status of certain entities in connection with the Janus Living IPO. (6) Primarily includes: (i) amortization of deferred revenue, (ii) noncontrolling interests’ share of senior housing entrance fees in excess (less) than the related GAAP amortization, and (iii) our proportionate share of AFFO capital expenditures and straight-line rents from unconsolidated joint ventures. View source version on businesswire.com: https://www.businesswire.com/news/home/20260505342810/en/ Andrew Johns, CFA
Senior Vice President – Finance and Investor Relations
720-428-5400 Original: Healthpeak Properties Raises 2026 Earnings Guidance Following Completion of the Janus Living IPO, Accretive Capital Allocation, and Strong First Quarter 2026 Results
US Market News
4 months ago
Healthpeak Properties Provides Strategic Initiatives Update and Reports Fourth Quarter 2025 ResultsFebruary 2, 2026 4:15 PM
Business Wire
Healthpeak Properties, Inc. (NYSE: DOC), a leading owner, operator, and developer of real estate for healthcare discovery and delivery, today provided a strategic initiatives update and announced results for the quarter ended December 31, 2025.
STRATEGIC INITIATIVES AND COMMENTARY
We recently announced the formation and planned initial public offering ("IPO") of Janus Living, Inc., a real estate investment trust (“REIT”) dedicated to senior housing. Given its relative scale within Healthpeak, the public markets have had difficulty properly valuing our senior housing portfolio and platform. The IPO is intended to enable Healthpeak to unlock value immediately, and leverage our industry expertise and relationships. Healthpeak will have strong alignment through stock ownership of Janus Living.
We are capitalizing on strong private market demand for outpatient medical real estate by selling fully stabilized assets and recycling capital into higher growth opportunities, including highly strategic life science campuses in our core submarkets at what we believe is an attractive investment basis. We are well underway on our opportunistic capital recycling plan, including $1 billion of asset sales, recapitalizations, and loan repayments in 2026. These potential transactions would provide further flexibility to recycle capital into highly pre-leased outpatient medical developments at higher returns, acquire assets with significant upside, and/or repurchase shares.
Our technology innovation initiatives are focused on automation, superior and faster decision-making, and better servicing our clients. We recently welcomed Omkar Joshi as Head of Enterprise Innovation to lead Healthpeak’s technology, automation, and data initiatives and oversee the continued rollout of our agentic operating system to improve performance across the back office and tenant experience.
Our earnings guidance for 2026 reflects the life science environment over the past several years, which peaked in intensity in the first half of 2025. We believe improvement in biopharma M&A and capital markets activity that started in Fall 2025 has continued into early 2026, new deliveries are minimal, and certain life science buildings are pivoting to alternative uses. This backdrop supports our view that life science real estate fundamentals are at or near an inflection point, while continuing to acknowledge that a full recovery will take time.
FOURTH QUARTER 2025 FINANCIAL PERFORMANCE AND RECENT HIGHLIGHTS
Net income of $0.16 per share, Nareit FFO of $0.47 per share, FFO as Adjusted of $0.47 per share, AFFO of $0.40 per share, and Total Merger-Combined Same-Store Cash (Adjusted) NOI growth of +3.9%
On January 4, 2026, Healthpeak's Board of Directors declared a monthly common stock cash dividend of $0.10167 per share for each of January, February, and March of 2026, representing cash dividends totaling $0.305 per share for the first quarter, and an annualized dividend amount of $1.22 per share
Fourth quarter new and renewal lease executions totaled 2.1 million square feet:
Outpatient Medical new lease executions totaled 288,000 square feet and renewal lease executions totaled 1.5 million square feet, with +4.4% cash releasing spreads on renewals
Subsequent to the fourth quarter, and through February 2, 2026, executed approximately 910,000 square feet of Outpatient Medical leases and signed letters of intent ("LOI")
Lab new lease executions totaled 261,000 square feet and renewal lease executions totaled 72,000 square feet, with renewals averaging an 84-month term, $0.11 per square foot per year average tenant improvements, and -1.7% cash releasing spreads on renewals
Subsequent to the fourth quarter, and through February 2, 2026, executed approximately 100,000 square feet of Lab leases and signed LOIs
Life Plan fourth quarter year-over-year and sequential Merger-Combined Same-Store Cash (Adjusted) NOI growth of +16.7% and +15.4%, respectively
Acquired a 1.4 million square foot campus in South San Francisco for $600 million
Acquired the remaining 46.5% joint venture partner’s interest in a 19-community senior housing portfolio for $314 million and entered into a purchase and sale agreement ("PSA") or LOI for an additional $360 million of senior housing acquisitions
Closed on $325 million of outpatient medical sales and received loan repayments totaling $24 million in the fourth quarter 2025
In January 2026, executed an LOI for the recapitalization and sale of an 80% joint venture interest in a six-property outpatient medical portfolio with a gross valuation of $212 million, which is expected to generate proceeds of approximately $170 million
Net Debt to Adjusted EBITDAre was 5.2x for the quarter ended December 31, 2025
FULL YEAR 2025 HIGHLIGHTS
Net income of $0.10 per share, Nareit FFO of $1.81 per share, FFO as Adjusted of $1.84 per share, AFFO of $1.69 per share, and Total Merger-Combined Same-Store Cash (Adjusted) NOI growth of +4.0%
Outpatient Medical new lease executions totaled a record 1 million square feet and renewal lease executions totaled 3.9 million square feet with 79% retention and +5.0% cash releasing spreads on renewals
Lab new lease executions totaled 562,000 square feet and renewal lease executions totaled 889,000 square feet with 72% retention and +5.0% cash releasing spreads on renewals
Life Plan full year Merger-Combined Same-Store Cash (Adjusted) NOI growth of +12.6% and record high non-refundable entry fee cash collections of $153 million
2025 marked Healthpeak's fourth consecutive year of record non-refundable entry fee cash collections
Asset sales and loan repayments totaling $511 million
2025 sustainability and responsible business recognitions include:
Obtained 6 new LEED certifications, 14 new ENERGY STAR certifications, 135 ENERGY STAR recertifications, and 13 ENERGY STAR NextGen certifications in 2025
Received a Green Star rating from the Global Real Estate Sustainability Benchmark (“GRESB”)
Named to Newsweek’s America’s Most Responsible Companies list for the seventh consecutive year
Named a constituent S&P Global North America Dow Jones Sustainability Index for the twelfth consecutive year and named a constituent in the S&P Global Dow Jones Sustainability World Index for the fifth time
Named to the S&P Global Sustainability Yearbook for the tenth consecutive year
To learn more about Healthpeak's commitment to responsible business and view our Corporate Impact Report, please visit www.healthpeak.com/corporate-impact.
FOURTH QUARTER COMPARISON
Three Months Ended
December 31, 2025
Three Months Ended
December 31, 2024
(in thousands, except per share amounts)
Amount
Per Share
Amount
Per Share
Diluted Net income (loss) applicable to common shares
$
113,848
$
0.16
$
4,400
$
0.01
Diluted Nareit FFO applicable to common shares
333,105
0.47
311,396
0.44
Diluted FFO as Adjusted applicable to common shares
331,713
0.47
329,264
0.46
Diluted AFFO applicable to common shares
284,130
0.40
311,923
0.44
FULL YEAR COMPARISON
Year Ended
December 31, 2025
Year Ended
December 31, 2024
(in thousands, except per share amounts)
Amount
Per Share
Amount
Per Share
Diluted Net income (loss) applicable to common shares
$
70,513
$
0.10
$
242,491
$
0.36
Diluted Nareit FFO applicable to common shares
1,287,192
1.81
1,108,941
1.61
Diluted FFO as Adjusted applicable to common shares
1,310,448
1.84
1,247,929
1.81
Diluted AFFO applicable to common shares
1,201,778
1.69
1,156,876
1.68
MERGER-COMBINED SAME-STORE ("SS") OPERATING SUMMARY
The table below outlines the year-over-year three-month and full year total Merger-Combined SS Cash (Adjusted) NOI growth.
Year-Over-Year Total Merger-Combined SS Cash (Adjusted) NOI Growth
Three Month
Full Year
SS Growth %
% of SS
SS Growth %
% of SS
Outpatient Medical
4.1
%
54.1
%
3.9
%
54.8
%
Lab
(0.3
%)
33.9
%
1.5
%
34.1
%
Life Plan
16.7
%
12.0
%
12.6
%
11.1
%
Total Merger-Combined SS Cash (Adjusted) NOI
3.9
%
100.0
%
4.0
%
100.0
%
Nareit FFO, FFO as Adjusted, AFFO, Total Merger-Combined Same-Store Cash (Adjusted) NOI, and Net Debt to Adjusted EBITDAre are supplemental non-GAAP financial measures that we believe are useful in evaluating the operating performance and financial position of real estate investment trusts. See "December 31, 2025 Discussion and Reconciliation of Non-GAAP Financial Measures" for definitions, discussions of their uses and inherent limitations, and reconciliations to the most directly comparable financial measures calculated and presented in accordance with GAAP, available in the Investor Relations section of our website at http://ir.healthpeak.com/quarterly-results. See also the "Funds From Operations" and "Adjusted Funds From Operations" sections of this release for additional information.
DIVIDEND
On January 4, 2026, Healthpeak's Board of Directors declared a monthly common stock cash dividend of $0.10167 per share for each of January, February, and March of 2026, representing cash dividends totaling $0.305 per share for the first quarter, and an annualized dividend amount of $1.22 per share. The dividend is payable on the payment dates set forth in the table below to stockholders of record as of the close of business on the corresponding record date.
Record Date
Payment Date
Amount
January 16, 2026
January 30, 2026
$0.10167 per common share
February 13, 2026
February 27, 2026
$0.10167 per common share
March 17, 2026
March 31, 2026
$0.10167 per common share
SENIOR HOUSING ACQUISITIONS
In December 2025, Healthpeak assembled an approximately $675 million pipeline of senior housing investments. In January 2026, Healthpeak closed on the buyout of its joint venture partner's share of a portfolio totaling approximately $314 million. The remaining approximately $360 million acquisition pipeline is anticipated to close during the first quarter 2026. Healthpeak is targeting 8% to 9% cash NOI yields upon stabilization across these investments. No assurance can be given that such cash NOI yields ranges will be achieved.
JOINT VENTURE BUYOUT
In January 2026, Healthpeak acquired its joint venture partner’s 46.5% interest in a previously unconsolidated joint venture that held a portfolio of 19 senior housing communities for approximately $314 million. The portfolio is concentrated in high-growth markets, including Houston and Denver, and comprises 3,355 units, with independent living units representing approximately 73% of the total units. Occupancy in the portfolio was 81.7% as of the fourth quarter of 2025.
Healthpeak now has full decision-making control of the portfolio and has reached management transition agreements with Pegasus Senior Living and Ciel Senior Living. The new contracts include strong alignment through performance incentives. Healthpeak believes these operator transitions will position the properties to capture embedded occupancy and NOI growth from improved operational performance.
$360 MILLION ACQUISITION PIPELINE
Healthpeak entered into a PSA for a two-building senior housing portfolio in the Atlanta MSA, and is also under LOI on a three-building senior housing portfolio in the Orlando MSA. The projects represent over 700 units on a combined basis and will be operated by leading operators well known to Healthpeak under management contracts with strong alignment.
GATEWAY CROSSING CAMPUS ACQUISITION
As previously announced, in December 2025 and January 2026, Healthpeak closed on the acquisition of Gateway Crossing, a 1.4-million square foot campus on 29 acres located on Gateway Boulevard in South San Francisco for a total of $600 million, representing a low-6% going-in yield.
The seven-building campus is 63% occupied and includes a 15,000-square foot amenity building, along with additional density potential that could support lab, office, or mixed-use development over time. The acquisition deepens and expands Healthpeak’s tenant relationships within the submarket. Healthpeak’s footprint in South San Francisco now totals approximately 6.5 million square feet across 210 acres, further solidifying its leadership position in one of the world’s most dynamic biopharma submarkets.
DISPOSITIONS AND LOAN REPAYMENTS
DISPOSITIONS
In January 2026, Healthpeak executed an LOI for the recapitalization and sale of an 80% joint venture interest in a six-property outpatient medical portfolio with a gross valuation of $212 million, which is expected to generate proceeds of approximately $170 million.
In January 2026, Healthpeak closed on a previously disclosed sale of a leasehold interest in a four-building, 239,000 square foot lab campus in Salt Lake City, Utah as part of a contractual purchase option with the ground lessor. The purchase price was approximately $68 million, representing a cash capitalization rate of approximately 11%.
As previously disclosed, during the fourth quarter of 2025, Healthpeak closed on 834,000 square feet of outpatient medical dispositions for approximately $325 million, representing a low-6% cash capitalization rate.
LOAN REPAYMENTS
During the fourth quarter of 2025, Healthpeak received loan repayments of $24 million at a blended interest rate of 8.2%, bringing total 2025 loan repayments to $150 million at a blended interest rate of 9.9%.
PLATFORM ENHANCEMENTS
Over the past year, Healthpeak has continued to strengthen its platform with key leadership additions across enterprise innovation, finance, legal, life science, and transactions.
Omkar Joshi joined Healthpeak in January 2026 as Head of Enterprise Innovation. Mr. Joshi joins Healthpeak from Palantir Technologies, where he spent a decade deploying operational AI for enterprise and public-sector clients and leading data-driven strategy, analytics, and technology-enabled transformation. Most recently, Mr. Joshi led Palantir’s Real Estate solutions for both private and public institutional investors.
Jonathan Hughes, CFA, joined Healthpeak in January 2026 as Senior Vice President to lead finance and investor relations activities related to our senior housing portfolio. Mr. Hughes brings 16 years of capital markets experience, most recently covering REITs at Raymond James.
Jeff Miller rejoined Healthpeak in January 2026 as Senior Vice President – General Counsel to lead legal activities related to our senior housing portfolio. Mr. Miller brings decades of healthcare REIT experience, including eight years at Healthpeak as General Counsel and Head of Senior Housing.
Austin Lee rejoined Healthpeak in 2026 as Vice President – Investments, with a focus on Senior Housing investments. Mr. Lee returns to Healthpeak following work in real estate private equity where he focused on senior housing acquisitions, asset management, and business development.
Denis Sullivan joined Healthpeak in August 2025 as Managing Director – Lab Investments and San Diego Market Lead. Mr. Sullivan brings two decades of life science real estate leadership, with experience spanning investments, operations, and capital strategy having served as CIO / CFO at BioMed Realty.
Claire Donegan Brown joined Healthpeak in January 2025 as Senior Vice President, assuming leadership of the company’s Boston lab portfolio. Ms. Brown brings 13 years of experience in leasing, development, and asset management within the Boston market, including prior roles at BXP, a publicly traded REIT, and Greatland Realty Partners, an owner and developer of lab real estate in Boston.
BALANCE SHEET
In January 2026, Healthpeak repaid $103 million of senior housing secured mortgage debt. Following the repayment, Healthpeak's senior housing portfolio is unencumbered.
JANUS LIVING
On January 7, 2026, Healthpeak announced the formation and planned IPO of Janus Living, Inc., a REIT dedicated to senior housing. Additionally, on January 7, 2026, Healthpeak also announced it confidentially submitted a draft registration statement on Form S-11 to the United States Securities and Exchange Commission (“SEC”) in December 2025 related to the proposed Janus Living IPO.
Healthpeak expects to complete the IPO in the first half of 2026, subject to market conditions, receipt of regulatory approvals, completion of the related financings, completion of the SEC’s review, and other customary conditions.
An investor presentation regarding the transaction can be found on the Investor Relations section of Healthpeak’s website, ir.healthpeak.com
2026 GUIDANCE
For the full year 2026, we have established the following guidance ranges:
Diluted earnings per common share from $0.34 – $0.38
Diluted Nareit FFO per share of $1.70 – $1.74
Diluted FFO as Adjusted per share of $1.70 – $1.74
Total Merger-Combined Same-Store Cash (Adjusted) NOI growth of (1%) – 1%
These estimates are based on our current view of existing market conditions, transaction timing, and other assumptions for the year ending December 31, 2026. For additional details and assumptions, please see page 13 in our corresponding Supplemental Report and the Discussion and Reconciliation of Non-GAAP Financial Measures, both of which are available in the Investor Relations section of our website at http://ir.healthpeak.com.
CONFERENCE CALL INFORMATION
Healthpeak has scheduled a conference call and webcast for Tuesday, February 3, 2026, at 8:00 a.m. Mountain Time.
The conference call can be accessed in the following ways:
Healthpeak’s website: https://ir.healthpeak.com/news-events
Webcast: https://events.q4inc.com/attendee/580523964. Joining via webcast is recommended for those who will not be asking questions.
Telephone: The participant dial-in number is (800) 715-9871
An archive of the webcast will be available on Healthpeak’s website through February 2, 2027, and a telephonic replay can be accessed through February 10, 2026, by dialing (800) 770-2030 and entering conference ID number 95156.
ABOUT HEALTHPEAK
Healthpeak Properties, Inc. is a fully integrated real estate investment trust (REIT) and S&P 500 company. Healthpeak owns, operates, and develops high-quality real estate focused on healthcare discovery and delivery.
FORWARD-LOOKING STATEMENTS
Statements contained in this release that are not historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, among other things, statements regarding our and our officers' intent, belief or expectation as identified by the use of words such as "may," "will," "project," "expect," "believe," "intend," "anticipate," "seek," "target," "forecast," "plan," "potential," "estimate," "could," "would," "should" and other comparable and derivative terms or the negatives thereof. Examples of forward-looking statements include, among other things: (i) statements regarding timing, outcomes and other details relating to the proposed Janus Living IPO or current, pending or contemplated acquisitions, dispositions, developments, redevelopments, joint venture transactions, leasing activity and commitments, financing activities, or other transactions discussed in this release; (ii) the payment of a monthly cash dividend; and (iii) the information presented under the heading "2026 Guidance Information." Pending acquisitions, dispositions, joint venture transactions, leasing activity, and financing activity, including those subject to binding agreements, remain subject to closing conditions and may not be completed within the anticipated timeframes or at all. Forward-looking statements reflect our current expectations and views about future events and are subject to risks and uncertainties that could significantly affect our future financial condition and results of operations. While forward-looking statements reflect our good faith belief and assumptions we believe to be reasonable based upon current information, we can give no assurance that our expectations or forecasts will be attained. Further, we cannot guarantee the accuracy of any such forward-looking statement contained in this release, and such forward-looking statements are subject to known and unknown risks and uncertainties that are difficult to predict. These risks and uncertainties include, but are not limited to: changes to regulatory, funding, staffing, trade, and other policies and actions by the U.S. political administration; macroeconomic trends that may increase borrowing, construction, labor and other operating costs; changes within the life science industry, and significant regulation, funding requirements, and uncertainty faced by our lab tenants; factors adversely affecting our tenants’, operators’, or borrowers’ ability to meet their financial and other contractual obligations to us; the insolvency or bankruptcy of one or more of our major tenants, operators, or borrowers; our concentration of real estate investments in the healthcare property sector, which makes us more vulnerable to a downturn in that specific sector than if we invested across multiple sectors; the illiquidity of real estate investments; our ability to identify and secure new or replacement tenants and operators; our property development, redevelopment, and tenant improvement risks, which can render a project less profitable or unprofitable and delay or prevent its undertaking or completion; the ability of the hospitals on whose campuses our outpatient medical buildings are located and their affiliated healthcare systems to remain competitive or financially viable; operational risks associated with our senior housing properties managed by third parties, including our properties operated through structures permitted by the Housing and Economic Recovery Act of 2008, which includes most of the provisions previously proposed in the REIT Investment Diversification and Empowerment Act of 2007 (commonly referred to as “RIDEA”); the failure of our tenants, operators, and borrowers to comply with federal, state, and local laws and regulations, including resident health and safety requirements, as well as licensure, certification, and inspection requirements; required regulatory approvals to transfer our senior housing properties; compliance with the Americans with Disabilities Act and fire, safety, and other regulations; the requirements of, or changes to, governmental reimbursement programs such as Medicare or Medicaid; economic conditions, natural disasters, weather, and other conditions that negatively affect geographic areas where we have concentrated investments; uninsured or underinsured losses, which could result in a significant loss of capital invested in a property, lower than expected future revenues, and unanticipated expenses; our use of joint ventures may limit our returns on and our flexibility with jointly owned investments; our use of rent escalators or contingent rent provisions in our leases; competition for suitable healthcare properties to grow our investment portfolio; our ability to exercise rights on collateral securing our real estate-related loans; any requirement that we recognize reserves, allowances, credit losses, or impairment charges; investment of substantial resources and time in transactions that are not consummated; our ability to successfully integrate and/or operate acquisitions or internalize property management; the potential impact of unfavorable resolution of litigation or disputes and resulting rising liability and insurance costs; environmental compliance costs and liabilities associated with our real estate investments; environmental, social and governance and sustainability commitments and changing requirements, as well as stakeholder expectations; epidemics, pandemics, or other infectious diseases, and health and safety measures intended to reduce their spread; our past participation in the Coronavirus Aid, Relief, and Economic Security Act Provider Relief Fund and other Covid-related stimulus and relief programs; laws or regulations prohibiting eviction of our tenants; human capital risks, including the loss or limited availability of our key personnel; our reliance on information technology and any material failure, inadequacy, interruption, or security failure of that technology; the use of, or inability to use, artificial intelligence by us, our tenants, our vendors, and our investors; volatility, disruption, or uncertainty in the financial markets; increased interest rates and borrowing costs, which could impact our ability to refinance existing debt, sell properties, and conduct investment activities; cash available for distribution to stockholders and our ability to make dividend distributions at expected levels; the availability of external capital on acceptable terms or at all; an increase in our level of indebtedness; covenants in our debt instruments, which may limit our operational flexibility, and breaches of these covenants; volatility in the market price and trading volume of our common stock; adverse changes in our credit ratings; the pending initial public offering of Janus Living may not be completed on the currently contemplated timeline or terms, or at all, and may not achieve the intended benefits; our economic exposure to shifts in the price of Janus Living common stock and our ability to control the assets and activities of Janus Living; potential conflicts of interest in our relationship with Janus Living; our ability to maintain our qualification as a real estate investment trust (“REIT”); our taxable REIT subsidiaries being subject to corporate level tax; tax imposed on any net income from “prohibited transactions”; changes to U.S. federal income tax laws, and potential deferred and contingent tax liabilities from corporate acquisitions; calculating non-REIT tax earnings and profits distributions; tax protection agreements that may limit our ability to dispose of certain properties and may require us to maintain certain debt levels; ownership limits in our charter that restrict ownership in our stock, and provisions of Maryland law and our charter that could prevent a transaction that may otherwise be in the interest of our stockholders; conflicts of interest between the interests of our stockholders and the interests of holders of Healthpeak OP, LLC (“Healthpeak OP”) common units; provisions in the operating agreement of Healthpeak OP and other agreements that may delay or prevent unsolicited acquisitions and other transactions; our status as a holding company of Healthpeak OP; and other risks and uncertainties described from time to time in our Securities and Exchange Commission filings.
Moreover, other risks and uncertainties of which we are not currently aware may also affect our forward-looking statements, and may cause actual results and the timing of events to differ materially from those anticipated. The forward-looking statements made in this communication are made only as of the date hereof or as of the dates indicated in the forward-looking statements, even if they are subsequently made available by us on our website or otherwise. We do not undertake any obligation to update or supplement any forward-looking statements to reflect actual results, new information, future events, changes in its expectations or other circumstances that exist after the date as of which the forward-looking statements were made.
Healthpeak Properties, Inc.
Consolidated Balance Sheets
In thousands, except share and per share data
December 31,
2025
December 31,
2024
Assets
Real estate:
Buildings and improvements
$
16,593,535
$
16,115,283
Development costs and construction in progress
1,010,657
880,393
Land and improvements
3,007,346
2,918,758
Accumulated depreciation
(4,512,443
)
(4,083,030
)
Net real estate
16,099,095
15,831,404
Loans receivable, net of reserves of $11,345 and $10,499
606,020
655,917
Investments in unconsolidated joint ventures
802,601
936,814
Accounts receivable, net of allowance of $2,018 and $2,243
78,327
76,810
Cash and cash equivalents
467,457
119,818
Restricted cash
70,245
64,487
Intangible assets
654,516
817,254
Assets held for sale
80,621
7,840
Right-of-use asset
412,198
424,173
Deferred tax assets
111,248
115,258
Goodwill
68,529
68,529
Other assets
885,161
819,951
Total assets
$
20,336,018
$
19,938,255
Liabilities and Equity
Bank line of credit and commercial paper
$
1,078,850
$
150,000
Term loans
1,647,113
1,646,043
Senior unsecured notes
6,772,722
6,563,256
Mortgage debt
349,209
356,750
Intangible liabilities
173,697
191,884
Liabilities related to assets held for sale
11,900
—
Lease liability
296,260
307,220
Accounts payable, accrued liabilities, and other liabilities
718,509
725,342
Deferred revenue
985,307
940,136
Total liabilities
12,033,567
10,880,631
Commitments and contingencies
Redeemable noncontrolling interests
159,581
2,610
Common stock, $1.00 par value: 1,500,000,000 shares authorized; 695,036,731 and 699,485,139 shares issued and outstanding
695,037
699,485
Additional paid-in capital
12,767,914
12,847,252
Cumulative dividends in excess of earnings
(5,952,920
)
(5,174,279
)
Accumulated other comprehensive income (loss)
(9,937
)
28,818
Total stockholders’ equity
7,500,094
8,401,276
Joint venture partners
295,455
315,821
Non-managing member unitholders
347,321
337,917
Total noncontrolling interests
642,776
653,738
Total equity
8,142,870
9,055,014
Total liabilities and equity
$
20,336,018
$
19,938,255
Healthpeak Properties, Inc.
Consolidated Statements of Operations
In thousands, except per share data
Three Months Ended
December 31,
Year Ended
December 31,
2025
2024
2025
2024
Revenues:
Rental and related revenues
$
549,029
$
535,131
$
2,156,743
$
2,087,196
Resident fees and services
155,749
145,963
603,989
568,475
Interest income and other
14,624
16,894
61,780
44,778
Total revenues
719,402
697,988
2,822,512
2,700,449
Costs and expenses:
Operating
287,853
277,026
1,129,099
1,074,861
Depreciation and amortization
262,086
274,469
1,058,865
1,057,205
Interest expense
80,638
70,508
305,178
280,430
General and administrative
23,627
23,929
90,416
97,162
Transaction and merger-related costs
7,351
10,572
25,520
132,685
Impairments and loan loss reserves (recoveries), net
(776
)
11,632
(893
)
22,978
Total costs and expenses
660,779
668,136
2,608,185
2,665,321
Other income (expense):
Gain (loss) on sales of real estate, net
56,352
(8,929
)
69,488
178,695
Other income (expense), net
10,137
(24,157
)
479
59,345
Total other income (expense), net
66,489
(33,086
)
69,967
238,040
Income (loss) before income taxes and equity income (loss) from unconsolidated joint ventures
125,112
(3,234
)
284,294
273,168
Income tax benefit (expense)
(6,027
)
14,014
(9,283
)
(4,350
)
Equity income (loss) from unconsolidated joint ventures
2,707
(108
)
(173,984
)
(1,515
)
Net income (loss)
121,792
10,672
101,027
267,303
Noncontrolling interests’ share in earnings
(7,824
)
(6,125
)
(29,680
)
(24,161
)
Net income (loss) attributable to Healthpeak Properties, Inc.
113,968
4,547
71,347
243,142
Participating securities’ share in earnings
(120
)
(147
)
(834
)
(758
)
Net income (loss) applicable to common shares
$
113,848
$
4,400
$
70,513
$
242,384
Earnings (loss) per common share:
Basic
$
0.16
$
0.01
$
0.10
$
0.36
Diluted
$
0.16
$
0.01
$
0.10
$
0.36
Weighted average shares outstanding:
Basic
694,976
699,457
696,026
675,680
Diluted
694,985
699,596
696,044
676,233
Healthpeak Properties, Inc.
Funds From Operations
In thousands, except per share data
Three Months Ended
December 31,
Year Ended
December 31,
2025
2024
2025
2024
Net income (loss) applicable to common shares
$
113,848
$
4,400
$
70,513
$
242,384
Real estate related depreciation and amortization
262,086
274,469
1,058,865
1,057,205
Healthpeak’s share of real estate related depreciation and amortization from unconsolidated joint ventures
12,806
12,441
50,110
44,961
Noncontrolling interests’ share of real estate related depreciation and amortization
(3,824
)
(4,622
)
(16,511
)
(18,328
)
Loss (gain) on sales of depreciable real estate, net
(56,352
)
8,929
(69,488
)
(178,695
)
Loss (gain) upon change of control, net
—
—
—
(77,548
)
Taxes associated with real estate dispositions
—
(1,879
)
(335
)
9,633
Impairments (recoveries) of real estate, net(1)
—
13,118
175,827
13,118
Nareit FFO applicable to common shares
328,564
306,856
1,268,981
1,092,730
Distributions on dilutive convertible units and other
4,541
4,540
18,211
16,211
Diluted Nareit FFO applicable to common shares
$
333,105
$
311,396
$
1,287,192
$
1,108,941
Diluted Nareit FFO per common share
$
0.47
$
0.44
$
1.81
$
1.61
Weighted average shares outstanding - Diluted Nareit FFO
709,412
714,648
710,509
689,638
Impact of adjustments to Nareit FFO:
Transaction, merger, and restructuring-related costs(2)
$
7,351
$
6,181
$
25,520
$
115,105
Other impairments (recoveries) and other losses (gains), net(3)
(776
)
(2,360
)
(651
)
9,381
Casualty-related charges (recoveries), net
(7,968
)
25,260
(1,594
)
25,848
Recognition (reversal) of valuation allowance on deferred tax assets
—
(11,196
)
—
(11,196
)
Total adjustments
(1,393
)
17,885
23,275
139,138
FFO as Adjusted applicable to common shares
327,171
324,741
1,292,256
1,231,868
Distributions on dilutive convertible units and other
4,542
4,523
18,192
16,061
Diluted FFO as Adjusted applicable to common shares
$
331,713
$
329,264
$
1,310,448
$
1,247,929
Diluted FFO as Adjusted per common share
$
0.47
$
0.46
$
1.84
$
1.81
Weighted average shares outstanding - Diluted FFO as Adjusted
709,412
714,648
710,509
689,638
____________________
(1)
The year ended December 31, 2025 includes other-than-temporary impairment charges on certain unconsolidated real estate joint ventures, which are recognized in equity income (loss) from unconsolidated joint ventures in the Consolidated Statements of Operations.
(2)
The three months and year ended December 31, 2025 include costs related to the merger, which are primarily comprised of advisory, legal, accounting, tax, information technology, post-combination severance and stock compensation expense, and other costs of combining operations with Physicians Realty Trust that were incurred during the year then ended. The year ended December 31, 2025 also includes costs incurred related to the formation and planned initial public offering of Janus Living and investment pursuit costs.
(3)
The three months and year ended December 31, 2025 include reserves and (recoveries) for expected loan losses recognized in impairments and loan loss reserves (recoveries), net in the Consolidated Statements of Operations.
Healthpeak Properties, Inc.
Adjusted Funds From Operations
In thousands, except per share data
Three Months Ended
December 31,
Year Ended
December 31,
2025
2024
2025
2024
FFO as Adjusted applicable to common shares
$
327,171
$
324,741
$
1,292,256
$
1,231,868
Stock-based compensation amortization expense
4,000
3,608
14,410
15,543
Amortization of deferred financing costs and debt discounts (premiums)
8,199
9,727
31,907
28,974
Straight-line rents
(8,355
)
(8,385
)
(39,190
)
(41,276
)
AFFO capital expenditures
(57,825
)
(39,040
)
(133,951
)
(115,784
)
Life plan community entrance fees
17,355
23,148
53,805
53,697
Deferred income taxes
2,739
3,846
7,728
6,176
Amortization of above (below) market lease intangibles, net
(8,345
)
(7,430
)
(36,747
)
(30,755
)
Other AFFO adjustments
(5,349
)
(2,832
)
(6,650
)
(7,778
)
AFFO applicable to common shares
279,590
307,383
1,183,568
1,140,665
Distributions on dilutive convertible units and other
4,540
4,540
18,210
16,211
Diluted AFFO applicable to common shares
$
284,130
$
311,923
$
1,201,778
$
1,156,876
Diluted AFFO per common share
$
0.40
$
0.44
$
1.69
$
1.68
Weighted average shares outstanding - Diluted AFFO
709,412
714,648
710,509
689,638
View source version on businesswire.com: https://www.businesswire.com/news/home/20260202980616/en/
Andrew Johns, CFA
Senior Vice President – Finance and Investor Relations
720-428-5400
Original: Healthpeak Properties Provides Strategic Initiatives Update and Reports Fourth Quarter 2025 Results
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