Healthcare Realty Trust Incorporated Expands Joint Venture with KKR

Healthcare Realty Trust Incorporated, a real estate investment trust (REIT) specializing in medical outpatient buildings, has made significant strides in its joint venture with KKR, a global investment firm. The company has contributed an additional $118 million in properties to the joint venture, generating approximately $94 million in proceeds. This expansion brings the value of the joint venture to nearly $500 million, with the company and KKR exploring additional acquisitions to further grow the partnership. The joint venture aims to capitalize on the increasing demand for medical outpatient services and provide a platform for long-term growth.

Key Takeaways:

• Healthcare Realty Trust Incorporated has contributed $118 million in additional properties to its joint venture with KKR, generating $94 million in proceeds.
• The value of the joint venture is now approaching $500 million, with the company and KKR exploring additional acquisitions to further grow the partnership.
• The joint venture will focus on acquiring medical outpatient buildings, capitalizing on the increasing demand for such facilities.
• The partnership aims to provide a platform for long-term growth and alternative sources of capital.
• Healthcare Realty Trust Incorporated has multiple transactions under contract or LOI that are expected to increase proceeds to over $1 billion.
• The Company's selective growth strategy includes property acquisition and development, with a focus on properties located around market-leading hospital campuses.
• The joint venture is expected to fund accretive, leverage-neutral share repurchases and existing capital commitments.

Statistics:

• The joint venture's value is now approaching $500 million, with additional acquisitions expected to further grow the partnership.
• The company has generated approximately $94 million in proceeds from the additional property contributions.
• The joint venture is expected to fund accretive, leverage-neutral share repurchases and existing capital commitments with proceeds from additional asset sales and joint venture transactions.
• Healthcare Realty Trust Incorporated's portfolio includes nearly 675 medical outpatient buildings, totaling approximately 40 million square feet.
• The majority of the company's transactions under contract or LOI are expected to be completed in the third quarter, with proceeds expected to exceed $1 billion.

Sources:

• Healthcare Realty Trust Incorporated Press Release, dated August 26, 2024.