SCOTTSDALE, Ariz., Sept. 13, 2021 /PRNewswire/ -- Healthcare Trust
of America, Inc. (NYSE:HTA or the "Company") provided a business
update regarding recent investment and development activities.
"Our recent progress across the portfolio demonstrates HTA's
continued success in penetrating key markets and positioning the
Company to capitalize on the ongoing industry shift toward
outpatient care," said Peter Foss,
Interim President and Chief Executive Officer of HTA. "With a
dedicated Board and management team, a strong balance sheet and an
extensive pipeline of projects in development, HTA is
well-positioned to continue servicing our properties and tenants,
executing on infrastructure initiatives, and driving shareholder
value creation."
Investment Activity
As of August 31, 2021, HTA has
closed on four medical office building investments in the third
quarter of 2021. These investments total $130 million with 469,000 square feet of GLA
anticipated with in-place year one yields of 5.7%. These
acquisitions increase market densification in HTA's existing key
markets and include:
- Houston Medical Center MOB (Houston, TX). HTA acquired the MOB
at 6655 Travis in the Texas Medical Center with 127,000 square feet
of GLA. Including the previously announced Horizon Tower
development, HTA's exposure in the Texas Medical Center will
increase to more than 1 million square feet of GLA with more than
$300 million invested. The Texas
Medical Center is the largest medical complex in the world, with 10
million patient visits per year and more than 50 million square
feet of patient care, research and education.
- Twelve Oaks MOB (Houston,
TX). HTA acquired a 140,000 square feet MOB
located in Houston, 4-miles
northwest of the Texas Medical Center. This fee-simple
building is on-campus with River Oaks Medical Center.
- Clint Moore Medical Facility (Boca
Raton, FL). HTA acquired a MOB with 102,000 square
feet of GLA. This MOB is 100% occupied and is located in
close proximity to Tenet's Delray Medical Center as well as two
academic institutions.
- Austin Bluffs MOB (Colorado
Springs, CO). HTA acquired a MOB with 100,000
square feet of GLA located within a dynamic submarket of
Denver.
Year-to-date, HTA has closed on $183
million of medical office investments totaling more than
625,000 square feet of GLA, with an additional $121 million of investments encompassing more
than 280,000 square feet of GLA under contract or exclusive letters
of intent, subject to customary closing conditions. These
properties are approximately 85% leased as of closing and are well
located within HTA's key markets.
Development Update
In August, HTA completed core and shell construction on its
109,000 square feet Class A medical office development located on
HCA's new Medical City Heart & Spine Hospital in Dallas, Texas. This building is
currently 74% pre-leased with cash rents expected to commence in
the fourth quarter of 2021, and HTA's investment on this campus
exceeds more than 300,000 square feet of fee-simple MOBs, with
additional land for a fourth MOB on-site.
CEO Search Process
As previously announced on September 9,
2021, in connection with its search process to identify the
next Chief Executive Officer of HTA, the Board of Directors has
formed an independent Search Committee comprising Chairman of the
Board W. Bradley Blair, II, and
directors Vicki U. Booth and
Jay P. Leupp, to oversee the search
process. The Board has retained Spencer
Stuart, a leading global executive search firm, to assist
with these efforts.
About HTA
Healthcare Trust of America, Inc. (NYSE: HTA) is the largest
dedicated owner and operator of medical office buildings in
the United States, comprising
approximately 25.3 million square feet of GLA, with $7.5 billion invested primarily in medical office
buildings as of June 30, 2021.
HTA provides real estate infrastructure for the integrated delivery
of healthcare services in highly-desirable locations.
Investments are targeted to build critical mass in 20 to 25 leading
gateway markets that generally have leading university and medical
institutions, which translates to superior demographics,
high-quality graduates, intellectual talent and job growth.
The strategic markets HTA invests in support a strong, long-term
demand for quality medical office space. HTA utilizes an
integrated asset management platform consisting of on-site leasing,
property management, engineering and building services, and
development capabilities to create complete, state of the art
facilities in each market. This drives efficiencies, strong
tenant and health system relationships, and strategic partnerships
that result in high levels of tenant retention, rental growth and
long-term value creation. Headquartered in Scottsdale, Arizona, HTA has developed a
national brand with dedicated relationships at the local level.
Founded in 2006 and listed on the New York Stock Exchange in
2012, HTA has produced attractive returns for its stockholders that
have outperformed the US REIT index. More information about
HTA can be found on the Company's Website (www.htareit.com),
Facebook, LinkedIn and Twitter.
Forward-Looking Language
This press release contains certain forward-looking
statements. Forward-looking statements are based on current
expectations, plans, estimates, assumptions and beliefs, including
expectations, plans, estimates, assumptions and beliefs about HTA,
stockholder value and earnings growth.
The forward-looking statements included in this press release
are subject to numerous risks and uncertainties that could cause
actual results to differ materially from those expressed or implied
in the forward-looking statements. Assumptions relating to
the foregoing involve judgments with respect to, among other
things, future economic, competitive and market conditions and
future business decisions, all of which are difficult or impossible
to predict accurately and many of which are beyond HTA's
control. Although HTA believes that the expectations
reflected in such forward-looking statements are based on
reasonable assumptions, HTA's actual results and performance could
differ materially and in adverse ways from those set forth in the
forward-looking statements. Factors which could have a
material adverse effect on HTA's operations and future prospects
include, but are not limited to:
- the Company's ability to effectively deploy proceeds of
offerings of securities;
- changes in economic conditions affecting the healthcare
property sector, the commercial real estate market and the credit
market;
- competition for acquisition and development of medical office
buildings and other facilities that serve the healthcare
industry;
- the Company's ability to acquire or develop real properties,
and to successfully operate those properties once acquired or
developed;
- pandemics and other health concerns, and the measures intended
to prevent their spread, including the currently ongoing COVID-19
pandemic;
- economic fluctuations in certain states in which the Company's
investments are geographically concentrated;
- financial stability and solvency of the Company's tenants,
including the ability and willingness of the Company's tenants or
borrowers to satisfy obligations under their respective contractual
arrangements with the Company and the potential inability of the
Company to enforce its rights under its leases during the pendency
of any pandemic;
- the ability and willingness of the Company's tenants to renew
their leases with the Company upon expiration of the leases or the
Company's ability to reposition its properties on the same or
better terms in the event of a nonrenewal or in the event the
Company exercises its right to replace an existing tenant;
- fluctuations in reimbursements from third party payors such as
Medicare and Medicaid;
- supply and demand for operating properties in the market areas
in which the Company operates;
- changes in operating expenses of the Company's properties
including, but not limited to, expenditures for property taxes,
property and liability insurance premiums, and utility rates;
- the Company's ability and the ability of its tenants to obtain
and maintain adequate property, liability and other insurance from
reputable, financial stable providers;
- restrictive covenants on certain of the Company's properties
subject to ground leases that may restrict or limit the uses of its
properties and the types of tenants the Company is able to lease
to, and the Company's ability to attract new tenants;
- the impact from damage to the Company's properties from, or
increased operating costs associated with, catastrophic weather and
other natural events and the physical effect of climate
change;
- retention of the Company's senior management team and its
ability to attract and retain qualified key personnel;
- legislative and regulatory changes, including changes to laws
governing the taxation of real estate investment trusts ("REITs")
and changes to laws governing the healthcare industry;
- changes in interest rates, including changes as a result of the
phasing out of the London Inter-bank Offered Rate ("LIBOR")
effective June 30, 2023;
- the availability of capital and financing;
- restrictive covenants in the Company's credit facilities;
- changes in the Company's credit ratings;
- HTA's ability to remain qualified as a REIT;
- changes in accounting principles generally accepted in
the United States of America,
policies and guidelines applicable to REITs; and
- the risk factors set forth in HTA's most recent Annual Report
on Form 10-K and in HTA's most recent Quarterly Reports on Form
10-Q.
Forward-looking statements speak only as of the date made.
Except as otherwise required by the federal securities laws, HTA
undertakes no obligation to update any forward-looking statements
to reflect the events or circumstances arising after the date as of
which they are made. As a result of these risks and
uncertainties, readers are cautioned not to place undue reliance on
the forward-looking statements included in this press release or
that may be made elsewhere from time to time by, or on behalf of,
HTA.
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SOURCE Healthcare Trust of America, Inc.