Press Release: National Healthcare Properties Reports Second Quarter 2026 Results

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SHOP Same Store Cash NOI increased 20.1% on a year-over-year basis

$400 million of 2026 SHOP acquisitions completed or under definitive agreement

Secured an additional $650 million of credit facility commitments at improved spreads and terms

Transformed net leverage profile with successful IPO

Appointed Albert M. Campbell to Board of Directors, including its audit committee

NEW YORK, Aug. 05, 2026 (GLOBE NEWSWIRE) -- National Healthcare Properties, Inc. (Nasdaq: NHP) (the "Company"), a self-managed real estate investment trust focused on acquiring, owning and investing in a diversified portfolio of healthcare real estate, with an emphasis on providing senior housing to serve a growing elderly population in the United States, today announced results for the quarter ended June 30, 2026.

Michael Anderson, Chief Executive Officer and President, commented, "The second quarter marked an important inflection point for the Company as we completed our transition to the public markets. Since then, we have executed decisively on the outlined agenda. We closed 19 acquisitions, delivered solid organic growth across our SHOP portfolio and also made meaningful progress towards building a balance sheet consistent with an investment-grade, unsecured issuer. We are pleased to strengthen our Board with the addition of Al Campbell, reinforcing our commitment to strong governance as we scale. Together, these results reflect disciplined capital allocation which the Company expects will drive sustained value creation for our shareholders."

Financial Performance and Recent Highlights

   -- Net loss attributable to common stockholders of $(0.13) per basic and 
      diluted share. Nareit defined Funds From Operations ("FFO") of $0.19 per 
      diluted share and Normalized Funds From Operations ("Normalized FFO") of 
      $0.18 per diluted share. 
 
          -- FFO per share was consistent year-over-year. 
 
          -- Normalized FFO per share decreased (18.2)% year-over-year. 
 
   -- Second quarter portfolio Same Store Cash Net Operating Income ("NOI") 
      growth was 6.8% year-over-year. 

Senior Housing Operating Portfolio ("SHOP") Segment:

   -- Same Store Cash NOI growth was 20.1% on a year-over-year basis. 
 
   -- Same Store average occupancy totaled 84.1%, an increase of 1.4% on a 
      year-over-year basis. 
 
   -- Same Store RevPOR increased 5.9% on a year-over-year basis. 
 
   -- Same Store Cash NOI Margin of 22.4%, an expansion of 2.3% on a 
      year-over-year basis. 

Outpatient Medical Facility ("OMF") Segment:

   -- Same Store Cash NOI decreased by (0.4)% on a year-over-year basis. 
 
   -- Same Store ending occupancy totaled 94.3%, an increase of 0.2% on a 
      year-over-year basis. 

Transactional Activity

Acquisitions and Pipeline

In late June 2026, the Company acquired two SHOP communities located in the Midwest with 211 total units for a purchase price of $98 million. The communities will be managed by Senior Lifestyle Corporation.

In early July 2026, the Company acquired 16 SHOP communities comprised of 916 total units and located across several Midwestern, Southern, Mid-Atlantic and Pacific Northwest states for an aggregate purchase price of approximately $166 million. The communities will be managed by the Company's existing operating partners. Thirteen of these communities were acquired through a joint venture with Discovery Senior Living. The Company owns approximately 98.5% of the joint venture and, as part of this transaction, holds a right of first refusal and purchase option on an additional 13 senior living communities managed by Discovery Senior Living.

In late July 2026, the Company acquired one SHOP community located in Iowa with 87 total units for a purchase price of approximately $16 million. The community will be managed by one of the Company's existing operating partners.

In late June 2026, the Company entered into a definitive purchase and sale agreement to acquire three SHOP communities located in Illinois with 178 total units for a purchase price of approximately $30 million. This transaction is expected to close in the third quarter of 2026, subject to closing conditions and applicable regulatory approvals as specified in the purchase and sale agreement.

In July 2026, the Company entered into a definitive purchase and sale agreement to acquire two SHOP communities located in Florida with 200 total units for a purchase price of $90 million. The transaction is expected to close in the third quarter of 2026, subject to closing conditions and applicable regulatory approvals as specified in the purchase and sale agreement.

Non-Core SHOP Disposition

In May 2026, the Company entered into a definitive purchase and sale agreement to sell one non-core SHOP community in California for approximately $42 million, equating to a 1.7% trailing twelve-month yield.

Balance Sheet and Capital

As of June 30, 2026, total debt outstanding (net of discounts and unamortized debt issuance costs) was approximately $0.8 billion with a weighted average economic interest rate of 5.69% (when giving effect to interest rate hedges and caps) and an average remaining term of 3.6 years.

Net Leverage (Net Debt as of June 30, 2026 to Annualized Adjusted EBITDA for the quarter ended June 30, 2026) improved 4.3x to 4.9x as of June 30, 2026 from 9.2x as of June 30, 2025.

In April 2026, the Company repaid in full the $186 million of indebtedness under its revolving facility with proceeds from its initial public offering.

In August 2026, the Company recast its senior unsecured credit facilities, which provide for, among other things, (i) an increase in total lender commitments from $550 million to $1.2 billion, with the revolving facility increasing from $400 million to $750 million, the term loan increasing from $150 million to $300 million and a new $150 million delayed draw term loan facility being added, (ii) an extension of the maturity of the revolving facility and the term loan (including the delayed draw term loan) to August 2030 and August 2029, respectively, and (iii) a reduction in the applicable pricing for interest rates based on the Company's corporate leverage ratio. In connection with the credit facilities recast, the Company repaid the $332 million outstanding under its Fannie Mae secured debt due to mature in November 2026.

 
                              Credit Facilities 
                         Prior                         Current 
---------------  ---------------------  -------------------------------------- 
Total Facility            $550 million                            $1.2 billion 
   Accordion              $450 million                              $1 billion 
  Unused Fee              15 to 20 bps                                     N/A 
 
   Revolver 
    Spread       SOFR + 155 to 210 bps                   SOFR + 105 to 155 bps 
 Facility Fee                      N/A                            15 to 35 bps 
   Capacity               $400 million                            $750 million 
 
  Term Loans 
    Spread       SOFR + 155 to 210 bps          SOFR + 110 to 180 bps 
   Capacity          $150 million        $300 million + $150 million Delayed 
                                                         Draw 
---------------  ---------------------  -------------------------------------- 
 

Common and Preferred Stock

Common Stock

In April 2026, the Company completed its public offering (the "Offering") and issued an aggregate of 44.3 million shares of Class A common stock, $0.01 par value per share ("Class A common stock"), for aggregate gross offering proceeds of approximately $531.3 million. In connection with the Offering, the Class A common stock became listed on The Nasdaq Global Market ("Nasdaq") under the symbol "NHP" and began trading on April 22, 2026.

On July 1, 2026, the Board of Directors declared a quarterly dividend of $0.075 per share of its common stock (including its Class A Common Stock). The dividend was paid in cash on July 30, 2026 to holders of record as of the close of business on July 15, 2026.

Preferred Stock

On June 22, 2026, the Board of Directors declared dividends on the Company's outstanding preferred stock as follows:

   -- A dividend of $0.4609375 per share on its 7.375% Series A Preferred Stock 
      to holders of record at the close of business on July 2, 2026. The 
      dividend was paid on July 15, 2026. 
 
   -- A dividend of $0.4453125 per share on its 7.125% Series B Preferred Stock 
      to holders of record at the close of business on July 2, 2026. The 
      dividend was paid on July 15, 2026. 

During the three months ended June 30, 2026, the Company completed its tender offer of previously outstanding preferred stock with an aggregate liquidation preference of approximately $28.1 million at a weighted average yield of 8.1%, representing a $2.50 discount to the liquidation preference of $25.00 per share and resulting in dividend savings of $2.0 million annually.

Appointment of Albert M. Campbell to the Board of Directors

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