June 2020 This presentation contains disclosures that are - PowerPoint PPT Presentation

June 2020

This presentation contains disclosures that are “forward-looking statements” as defjned in 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 all statements that do not relate solely to historical or current facts and can be identifjed by the use of words and phrases such as “can,” “may,” “payable,” “indicative,” "predictive," “annualized,” “expect,” “expected,” “range of expectations,” "would have been," "budget," and other comparable terms in this presentation. These forward-looking statements are made as of the date of this presentation and are not guarantees of future performance. These statements are based on the current plans and expectations of Company management and are subject to a number of unknown risks, uncertainties, assumptions and other factors that could cause actual results to difger materially from those described in this release or implied by such forward-looking statements. Such risks and uncertainties include, among other things, the following: the duration and scope of the COVID-19 pandemic; the impact of the COVID-19 pandemic on occupancy rates and on the operations of the Company and its tenants; actions governments take in response to the COVID-19 pandemic, including the introduction of public health measures and other regulations afgecting the Company’s properties and the operations of the Company and its tenants; the efgects of health and safety measures adopted by the Company and its tenants related to the COVID-19 pandemic; the impact of the COVID-19 pandemic on the business and fjnancial condition of tenants; general economic uncertainty in key markets as a result of the COVID-19 pandemic and a worsening of global economic conditions or low levels of economic growth changes in the economy; increases in interest rates; the availability and cost of capital at expected rates; changes to facility-related healthcare regulations; competition for quality assets; negative developments in the operating results or fjnancial condition of the Company's tenants, including, but not limited to, their ability to pay rent and repay loans; the Company's ability to reposition or sell facilities with profjtable results; the Company's ability to re-lease space at similar rates as vacancies occur; the Company's ability to renew expiring long-term single-tenant net leases; the Company's ability to timely reinvest proceeds from the sale of assets at similar yields; government regulations afgecting tenants' Medicare and Medicaid reimbursement rates and operational requirements; unanticipated diffjculties and/or expenditures relating to future acquisitions and developments; changes in rules or practices governing the Company's fjnancial reporting; the Company may be required under purchase options to sell properties and may not be able to reinvest the proceeds from such sales at rates of return equal to the return received on the properties sold; uninsured or underinsured losses related to casualty or liability; the incurrence of impairment charges on its real estate properties or other assets; and other legal and operational matters. Other risks, uncertainties and factors that could cause actual results to difger materially from those projected are detailed under the heading “Risk Factors,” in the Company's Annual Report on Form 10-K fjled with the Securities and Exchange Commission (“SEC”) for the year ended December 31, 2019, under the heading "Risk Factors" in the Company's Quarterly Report on Form 10-Q fjled with the SEC for the quarter ended March 31, 2020, and other risks described from time to time thereafter in the Company's SEC fjlings. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Information as of March 31, 2020 unless otherwise disclosed

The Big Picture $5.7B $5.7B 212 212 15.8M 15.8M 94 % 94 88 88 % ENTERPRISE VALUE PROPERTIES OWNED SF OWNED, 12.0M SF MEDICAL OFFICE AND ON/ADJACENT TO IN 25 STATES MANAGED INTERNALLY OUTPATIENT HOSPITAL CAMPUSES TOP MSAs MSA RANK SQ FT % Dallas 4 2,374,808 15.0% Seattle 15 1,524,230 9.6% Nashville 36 875,214 5.5% Charlotte 22 860,735 5.4% Los Angeles 2 859,783 5.4% Denver 19 788,231 5.0% Houston 5 620,930 3.9% Atlanta 9 608,373 3.8% Richmond 44 548,801 3.5% Des Moines 87 532,610 3.4% % of Total SF MSA RANK MOB/Outpatient Top 25 66% Top 50 89% Top 75 91% Top 100 96% 3

Health System Affjliations 89% of Healthcare Realty's out- patient properties are associated with an investment-grade rated (CHI) healthcare provider. (Ascension) Associated SF as a % of total SF HEALTH SYSTEM MOB/Outpatient RANK (1) Top 25 48% Top 50 66% (Ascension) (CHI) Top 75 72% Top 100 (2) 85% (1) Ranked by revenue based on Modern Healthcare's Healthcare Systems Financial Database (2) Have gross revenue of $2.7B or greater 4

Portfolio History $4,500 $4,500 MEDICAL OFFICE BUILDING SPECIALITY INPATIENT 2017 Acquired WellStar SENIOR HOUSING Portfolio 4,000 4,000 OTHER/OFFICE 2011 3,500 3,500 Acquired Bon Secours Portfolio 2008 Acquired Atrium Health Portfolio 3,000 3,000 2007 Sold Senior Living Facilities and paid special dividend of 2,500 2,500 $4.75 per share ASSETS (in millions) ASSETS (in millions) 1998 2004 Acquired Capstone Acquired Baylor Capital Corporation Healthcare Portfolio 2,000 2,000 1,500 1,500 1,000 1,000 500 500 0 16 16 17 17 18 18 19 19 93 93 94 94 95 95 96 96 97 97 98 98 99 99 00 00 01 01 02 02 03 03 04 04 05 05 06 06 07 07 08 08 09 09 10 10 11 11 12 12 13 13 14 14 15 15 75% MOB 75% MOB 72% MOB 72% MOB 94% MOB 94% MOB 27% 27% MULTI-TENANT MULTI-TENANT 55% 55% MULTI-TENANT MULTI-TENANT 92% 92% MULTI-TENANT MULTI-TENANT 51,000 51,000 AVG SF / BUILDING AVG SF / BUILDING 54,000 54,000 AVG SF / BUILDING AVG SF / BUILDING 75,000 AVG SF / BUILDING 75,000 AVG SF / BUILDING 52% ON/ADJACENT TO CAMPUS 52% ON/ADJACENT TO CAMPUS 74% ON/ADJACENT TO CAMPUS 74% ON/ADJACENT TO CAMPUS 88% 88% ON/ADJACENT TO CAMPUS ON/ADJACENT TO CAMPUS 5

Industry Landscape $1.5 TRILLION OF HEALTHCARE REAL ESTATE VALUE $1.5 TRILLION OF HEALTHCARE REAL ESTATE VALUE ACUTE CARE ACUTE CARE Hospitals ACUITY ACUITY $626B LTCH OUTPATIENT CARE OUTPATIENT CARE IRF $18B $15B MOB/Outpatient $420B RECOVERY & REHABILITATION RECOVERY & REHABILITATION Skilled Nursing RESIDENTIAL CARE RESIDENTIAL CARE $145B Senior Housing $300B SETTING SETTING Source: Stifel Nicolaus, Revista, CBRE, Green Street Advisors 6

Who Owns MOBs? % OF MOBS IN PORTFOLIO % OF MOBS IN PORTFOLIO (1) 23% 23% 19% 19% 26% 26% 1% 1% 95% 95% 94% 94% 95% 95% 22% 22% 1% 1% 74% 74% 31% 31% 57% 57% HR HR WELL WELL VTR VTR PEAK PEAK MPW MPW HTA HTA DOC DOC DHC DHC NHI NHI UHT UHT CHCT CHCT GMRE GMRE 95 95 73 73 61 61 % Multi-tenant % Multi-tenant Healthcare REITs without MOBs HTA HTA HR HR DOC DOC OHI OHI CTRE CTRE 88 88 SBRA SBRA SNR SNR 56 56 % On or adjacent % On or adjacent 49 49 LTC LTC to campus to campus (2) HTA HTA HR HR DOC DOC 73k 73k SF SF 53k 53k 52k 52k Avg building size Avg building size SF SF SF SF HTA HTA HR HR DOC DOC MOB STATS (3) (1) Includes only public REITs (2) Based on mapping of individual properties. May not match company reports. (3) By square feet Source: Company Filings 7

MOB Proximity to Hospital (1) O O N N O O S S O O S S - - N N U U N N U U C C S S - - - - A A U U P P P P M M P P C C A A M M C C A A M M 0 0 S S 0 0 S S 0 0 S S 2 2 S S D D D D D D - - - - - - R R R R R R 5 5 E E 2 2 A A 2 2 A A 2 2 2 2 A A S S 5 5 Y Y 5 5 Y Y 5 5 Y Y 0 0 0 0 0 0 1 1 L L 5 5 E E S S 2 2 Y Y I I 1 1 5 5 M M L L E E A A 1 1 Y Y I I R R L L M M 5 5 A A I I Y Y D D M M 2 2 R R S S A A 5 5 R R 0 0 . . D D 2 2 5 5 S S - - 0 0 . . 2 2 D D S S - - - - 0 0 . . O O S S O O S S O O S S F F U U F F U U F F U U F F P P F F P P F F P P - - C C A A M M - - C C A A M M - - C C A A M M HR HR HTA HTA DOC DOC SF % OF TOTAL SF % OF TOTAL SF % OF TOTAL On-campus 9.9M 66.2% 7.6M 33.0% 4.2M 31.5% Adjacent 3.2M 21.6% 5.2M 22.8% 2.3M 17.3% 87.8% 87.8% 55.8% 55.8% 48.8% 48.8% 0 - 250 yards 1.9M 12.8% 3.6M 15.8% 1.4M 10.6% 251 yards - 0.25 miles 1.3M 8.8% 1.6M 7.0% 879K 6.7% Ofg-campus 1.8M 12.2% 10.3M 44.2% 6.7M 51.2% 0.25 - 0.5 miles 287K 1.9% 98K 0.4% 458K 3.5% 0.5 - 1 miles 281K 1.9% 1.4M 6.1% 700K 5.3% 1 - 2 miles 554K 3.7% 2.7M 11.6% 1.2M 9.3% 2 - 5 miles 352K 2.4% 3.5M 15.0% 2.7M 20.2% 5 - 10 miles 206K 1.4% 2.4M 10.4% 1.2M 9.2% 10 + miles 132K 0.9% 163K 0.7% 497K 3.7% TOTAL SF 14.9M 100.0% 23.1M 100.0% 13.2M 100.0% (1) Based on mapping of individual properties. May not match company reports. Source: Company reports; S&P Global Market Intelligence; other public sources 8