n HCP , ;t" % \\\ /OVA kAl0 or March 2017 Experienced - PowerPoint PPT Presentation

Investor Presentation n HCP , ;t" % \\\ /OVA kAl0 or March 2017

Experienced Senior Leadership Team Michael McKee Michael McKee Executive Chairman Executive Chairman Tom Herzog Tom Herzog Chief Executive Officer Chief Executive Officer 1 Troy McHenry Troy McHenry Peter Scott Peter Scott Justin Hutchens Justin Hutchens General Counsel and General Counsel and Chief Financial Officer Chief Financial Officer President President Corporate Secretary Corporate Secretary Jon Bergschneider Kai Hsiao Tom Klaritch Senior Managing Director Senior Managing Director Senior Managing Director Life Science Properties Senior Housing Properties Medical Office Properties Senior Managing Directors Average 20 Years of Direct Property Segment Experience HCP Overview

2016 and Recent Accomplishments Completed on October 31, 2016 Executed the Spin-off of the HCR ManorCare Portfolio Will be reduced from 34% Reduced and Improved Brookdale Concentration immediately post-spin to 27% via announced transactions (1) 2 Executing asset sale and financing Improved Balance Sheet Metrics plan announced in May 2016 2017 Guidance in-line with initial Affirmed 2017 FFO as Adjusted Guidance Outlook provided in November 2016 Revamped and enhanced Improved Transparency and Financial Disclosure Supplemental disclosures in 3Q16 (1) Concentration is based on Cash NOI plus interest income. Reflects the announced RIDEA II transaction, sale of 64 Brookdale triple-net leased assets and sale or transfer of 25 Brookdale triple-net leased assets. HCP Overview

2017 Goals and Priorities Key Goals and Priorities Commentary Grow 2-3% same-property Cash NOI growth • Organically Recycle capital into higher-growth opportunities • including our development pipeline Improve Execute on and expand MOB redevelopment pipeline • Portfolio Quality Close announced Brookdale 64 & 25 transactions • 3 and continue to manage concentration over time Target Net Debt/EBITDA in low to mid-6x and • Strengthen the leverage to 43-44% using Brookdale asset sale Balance Sheet proceeds and further improvement over time Accretive Grow opportunistically in Senior Housing, Medical • External Growth Office, and Life Science segments when accretive HCP Overview

What Differentiates HCP  High-quality, 94% private-pay portfolio with a balanced emphasis on Senior Housing, Medical Office, and Life Science real estate  Strong and improving investment grade balance sheet with ample liquidity and no significant debt  Strong and improving investment grade balance sheet with ample maturities through end of 2018 post the closing of announced Brookdale transactions liquidity and no significant debt maturities through end of 2018  Diversified senior housing portfolio: triple-net leases are well covered and 65% independent-living in our SHOP assets  Premier Life Science portfolios in San Francisco and San Diego  82% on-campus MOB portfolio with stable and consistent performance 4  $875 million development and redevelopment pipeline with an additional 2 million square feet of entitlements  Smaller investment base from which to grow Senior Housing - The Solana Preserve Houston, TX We Will Strive to be Recognized for Our:  Investment plan emphasizing prudent capital allocation and accretive growth objectives  Improvement in credit metrics over time to regain Baa1/BBB+ ratings  Best-in-class disclosures and transparency  Global leader in sustainability East Mesa MOB Mesa, AZ HCP Overview

HCP in Context within the U.S. Healthcare Real Estate Market  U.S. healthcare real estate market is large and fragmented with favorable demographic trends  Provides HCP with a deep pipeline for future growth Estimated Market Value of U.S. HCP’s Portfolio (2) Healthcare Real Estate (1) Other owners of Senior (3) Other healthcare real estate Housing 13% NNN 24% $25B 5 $1.1 Medical HCP HCP Enterprise Office 22% Trillion Value Other public SHOP 20% REITs Life Science 21% For the next 20 years, an average of 10,000 U.S. seniors per day will reach age 65 (1) Sources: National Investment Center for Seniors Housing & Care (NIC), HCP research. (2) Enterprise value based on HCP’s share price of $32.12 on 2/23/2017 and total consolidated debt and HCP’s share of unconsolidated JV debt as of 12/31/16. Percentages by segment represent Cash NOI based on HCP’s Guidance provided on 2/13/17. (3) Primarily consists of hospitals, U.K. real estate, and all debt investments. HCP Overview

Premier Portfolio in Attractive Healthcare Markets (1) Senior Housing - NNN  Improved lease coverage with announced Brookdale transactions (2) 24%  73% located in Top 50 MSAs (3)  Limited expirations – weighted average remaining term of 9 years Senior Housing - SHOP  65% of SHOP Cash NOI from Independent Living and CCRC assets (1) 20%  80% located in Top 50 MSAs (3)  5-mile radius median income and 75+ net worth above the national average (4) 6 Life Science  93% located in 2 of the top 3 core markets (3) 21%  Largest owner and developer on the West Coast  87% of revenues from public or well-established private companies Medical Office  82% located on-campus; 13% adjacent or anchored; 85% in Top 50 MSAs (3)  95% affiliated with 150+ hospitals and healthcare systems (3) 22%  Steady occupancy consistently above 90% (1) Percentages by segment are based on Cash NOI based on HCP’s guidance provided on 2/13/17. Excludes other non-reportable segments, which primarily consists of hospitals, U.K. real estate, and all debt investments. (2) After giving effect to the announced Brookdale transactions, EBITDAR-to-rent coverage for the retained 78 triple-net leased properties increases to 1.21x for the trailing 12 months ended 12/31/16 reported one quarter in arrears. (3) Percentage based on Cash NOI for senior housing and square footage for medical office and life science. (4) Demographic data provided by ESRI for 2016. HCP Overview

Where We Plan to Grow Senior Housing Medical Office Life Science The Solana Preserve Parker Adventist The Cove Houston, TX Denver, CO South San Francisco, CA Investable 7  ~$250 billion  ~$350 billion  ~$50 billion Universe (1)  Fragmented ownership - only  Aging population is increasing  Pharma and biotech addressing ~15% owned by public REITs demand for healthcare services “patent cliff” with research and development of new products  Undercapitalized operators  Value-based healthcare driving Overview  Historically high investment in value lower-cost REIT capital consolidation and efficiencies LS companies by VCs, public  ~55% IL and 45% AL per NIC  Continued shift from acute markets and established towards outpatient setting biotech/LS companies in ’14-’16  Focus on a select group of  Preference for on-campus  Investment focus on nationally- quality operating partners with and/or assets located in elite recognized top-tier research high-growth potential clusters with a critical mass of clusters Growth primary care doctors, specialists  NNN acquisition opportunities  Shortened decision making Priorities and diagnostic testing are currently limited; SHOP- window of LS companies structures offer better supports selective speculative alignment activity (1) Sources: NIC and HCP research. HCP Overview

Development and Redevelopment ' y H-F1-77- W117/777/01/t/011illill / The Cove at Oyster Point South San Francisco, CA

Value Creation from Development Pipeline (1)  Phases I & II of The Cove development are a $820M of Committed combined 86% leased; recently commenced Ground-up Developments Phase III representing ~336,000 sq. ft.  Medical Office developments are 64% leased and affiliated with / anchored by strong health Lif Life systems (Memorial Hermann and HCA) Science Science Medical Medical 16% Office ffice 84%  Development program targets 150-200 basis point spread between development yield and market cap rates; current pipeline expected yield is above the high-end of this range 9 Driv Driver to er to Incr Increase ease NA NAV and Earnings Ov V and Earnings Over T er Time me $820 ($ millions)  Represents a driver of $390 accretive NAV and Pipeline Pipeline Expected Expected to Stabilize in to Stabilize in Phases over Phases over Next Next Three Three Years Years remaining earnings growth upon spend stabilization, supplementing $430 funded to internal growth $228 $221 $211 date $103  $390M of remaining $140 $37 $20 placed in spend to be funded service with retained cash 1H 2H 1H 2H 1H 2H 2016 2017 2018 2019 flow and non-core 2017 2018 2019 asset sales (1) Reflects committed ground-up development projects as of 12/31/16. Development and Redevelopment

The Cove at Oyster Point Development  Pr Premier Class emier Class A Lif A Life Science Science development project totaling one million sq. ft. at the gateway to South San Francisco  $620 million delivered or in-process; 16 164,000 000 Can we get an in process pic? sq. ft. of remaining entitlements sq. ft. of r maining entitlements  Phase I & II: 477,000 sq. ft.; 86% leased  Commencing Phase III ; 336,000 sq. ft. in two 10 10 buildings; anticipated delivery 4Q 2018  LEED Silv LEED Silver er campus with rich amenity profile, including food service, fitness, meeting space, hotel & retail CX CYTOMX THERAPEUTICS > / Development and Redevelopment