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National Healthcare Properties Reports 11.8% Increase in Same Store Revenue

By Mari Nicholson

National Healthcare Properties Inc., a public non-listed real estate investment trust focused on outpatient medical facilities and senior housing operating properties, announced its financial results for the second quarter of 2025, reporting an 11.8% increase in same store revenue.

The company, formerly known as Healthcare Trust Inc. and externally managed by AR Global, said it is well-positioned for listing on a national securities exchange in the future.

“We are very pleased with our second quarter results, headlined by exceptional same-store cash net operating income growth in each of the senior housing operating property and outpatient medical facility segments,” said Michael Anderson, chief executive officer and president of National Healthcare Properties. “This across-the-board operational strength demonstrates the capabilities of our team and the quality of our portfolio, providing a tremendous backdrop for the company as we prepare for an eventual public listing.”

For Q2 2025, the REIT reported a net loss of $0.85 per share. However, key performance indicators showed positive trends:

  • Same-Store cash NOI for the overall portfolio grew by 8.5% year-over-year;
  • The senior housing operating property segment saw a 17.3% year-over-year increase in same-store cash NOI, with average occupancy rising by 5% to 82.8%;
  • The outpatient medical facility segment also performed well, with same-store cash NOI growing by 4.4% year-over-year;
  • Funds from operations per diluted share increased by 35.7% quarter-over-quarter, reaching $0.19; and
  • Adjusted funds from operations per diluted share was $0.32, marking a 3.2% increase from the previous quarter.

In Q1 2025, AltsWire reported that the REIT posted FFO of $4.12 million, up from $0.91 million in the same quarter a year earlier, a 353% increase.

During the quarter, National Healthcare Properties completed the sale of six non-core properties – three outpatient medical facilities and three senior housing operating properties – for a total of $21.4 million. These dispositions resulted in a net gain of $2.7 million, according to the company.

The REIT used proceeds from its year-to-date dispositions to pay down $83.1 million in debt, including the full repayment of its $21.7 million Capital One OMF Warehouse Facility in April 2025. This focus on debt reduction helped improve the company’s net leverage ratio to 9.3x, a 0.4x improvement from the previous quarter. As of June 30, 2025, the company’s total debt outstanding was $1 billion, with a weighted average interest rate of 5.1%.

Additionally, the company completed the repurchase of $1.8 million of previously outstanding shares of preferred stock at a weighted average yield of 12.8%, representing a $10.87 discount to face value and reducing leverage by $1.3 million on a net debt + preferred basis.

Finally, the company’s board declared dividends on both its Series A and Series B cumulative redeemable perpetual preferred stock, which were paid on July 15. The Series A dividend was $0.4609375 per share and Series B was $0.4453125 per share.

The REIT internalized its management in late 2024 and estimated an annualized cost savings exceeding $25 million. The internalization fee totaled $98.2 million and was fully paid in early 2025.

As of Dec. 31, 2024, the REIT’s estimated net asset value per share was $32.15 following the company’s 4-for-1 reverse stock split executed in September 2024. The unadjusted per share NAV would equal $8.04. National Healthcare’s common stock was originally sold to individual investors for $25 per share.

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