Document
false0001631569 0001631569 2020-08-04 2020-08-04




UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM 8-K

CURRENT REPORT
Pursuant To Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported): August 4, 2020 (August 4, 2020)

COMMUNITY HEALTHCARE TRUST INCORPORATED
(Exact Name of Registrant as Specified in Charter)
 
 
 
 
 
Maryland
 
001-37401
 
46-5212033
(State or other jurisdiction of incorporation)
 
(Commission File Number)
 
(I.R.S. Employer
Identification No.)

3326 Aspen Grove Drive, Suite 150, Franklin, Tennessee 37067
(Address of principal executive offices) (Zip Code)

(615) 771-3052
(Registrant's telephone number, including area code)

Not Applicable
(Former name or former address, if changed since last report)
 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
 
Title of each Class
Trading Symbol
Name of each exchange on which registered
 
 
Common stock, $0.01 par value per share
CHCT
New York Stock Exchange
 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐





Item 2.02    Results of Operations and Financial Condition

On August 4, 2020, Community Healthcare Trust Incorporated (the "Company") issued a press release announcing its earnings for the second quarter ended June 30, 2020. A copy of this press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference in its entirety.

This information furnished pursuant to this Item 2.02, including Exhibit 99.1, shall not be deemed "filed" for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities under that section and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended (the "Securities Act"), or the Exchange Act.

Item 7.01     Regulation FD Disclosure

The Company is furnishing its Supplemental Information for the second quarter ended June 30, 2020, which is also contained on its website (www.chct.reit). See Exhibit 99.2 to this Current Report on Form 8-K.

The Company has prepared an investor presentation, dated August 2020, that is expected to be used in meetings with current and potential investors. A copy of this presentation is available on the Company's website (www.chct.reit).

This information furnished pursuant to this Item 7.01, including Exhibit 99.2, shall not be deemed "filed" for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities under that section and shall not be deemed to be incorporated by reference into any filing under the Securities Act or the Exchange Act.

Item 9.01 Financial Statements and Exhibits
(d) Exhibits

Exhibit
Number
 
Description
 
99.1
 
 
99.2
 
 








EXHIBIT INDEX

Exhibit
Number
Description
99.1
99.2
 
 







SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
 
 
COMMUNITY HEALTHCARE TRUST INCORPORATED
 
 
 
 
By:
/s/ David H. Dupuy_____________________
David H. Dupuy
Executive Vice President and
Chief Financial Officer
Date: August 4, 2020
 
 






Exhibit 99.1


News Release

Community Healthcare Trust Announces Results for the Three Months Ended June 30, 2020

FRANKLIN, Tenn., August 4, 2020 / PRNewswire / -- Community Healthcare Trust Incorporated (NYSE: CHCT) (the "Company") today announced results for the three months ended June 30, 2020. The Company reported net income for the second quarter of approximately $4.5 million, or $0.19 per diluted common share. Funds from operations and adjusted funds from operations ("AFFO") for the three months ended June 30, 2020 totaled $0.51 and $0.52, respectively, per diluted common share. 

Highlights include:
•
During the second quarter of 2020, the Company issued, through its at-the-market offering program ("ATM Program"), 578,759 shares of common stock at an average gross sales price of $41.70 per share and received net proceeds of approximately $23.7 million at an approximate 4.11% current equity yield.

•
During the second quarter of 2020, the Company acquired seven real estate properties totaling approximately 92,000 square feet and also acquired a land parcel adjacent to one of our existing properties to be used for additional parking for an aggregate purchase price of approximately $21.3 million and cash consideration of approximately $21.5 million. Upon acquisition, the real estate properties were 100% leased in the aggregate with lease expirations through 2035.

•
The Company has two properties under definitive purchase agreements for an aggregate expected purchase price of approximately $2.6 million and expected aggregate returns of approximately 9.3%. The Company expects to close on these properties in the third quarter of 2020; however, the Company cannot provide assurance as to the timing of when, or whether, these transactions will actually close.

•
The Company has three properties under definitive purchase agreements, to be acquired after completion and occupancy, for an aggregate expected purchase price of approximately $68.0 million. The Company's expected aggregate returns on these investments range from approximately 9.5% to 11.0%. The Company expects to close on one of these properties in the fourth quarter and the other two through the middle of 2021; however, the Company cannot provide assurance as to the timing of when, or whether, these transactions will actually close.

•
On August 3, 2020, the Company’s Board of Directors declared a quarterly common stock dividend in the amount of $0.4225 per share. The dividend is payable on August 28, 2020 to stockholders of record on August 17, 2020.

COVID-19 Pandemic
•
Many healthcare providers have been impacted by the COVID-19 pandemic. Some of them were unable to see patients for a period of time; others have seen a reduced number of elective procedures and/or patient visits; while others have experienced limited impact, or have even seen improved cash flows from either increases in census or from government funding.

•
As of July 31, 2020, the Company has entered into, or anticipates entering into, deferral agreements with up to approximately 20 tenants representing less than one percent of our annualized rent. Pursuant to these agreements, the tenants are generally required to repay the deferred amounts in equal monthly installments during the third and fourth quarters of 2020.

Highland Update:
•
On July 1, 2020, the bankruptcy sale of Highland Hospital was completed and the operator who had been managing the facility acquired its operations and entered into a lease with the Company.


1


•
The Company provided debtor in possession financing (the “DIP”) to facilitate the sale and, as of the closing of the sale, had an approximately $1.2 million net payable. In addition, the Company continued to have a net investment of $550,000 in a separate note (the “Note”), secured by all assets of Highland Hospital.

•
As of the date of this filing, the DIP and the Note have been combined into a single net receivable balance of approximately $1.4 million.

•
The Company expects this receivable to be repaid in the next few months, as well as other amounts previously owed to the Company. However, the Company cannot provide assurance as to the timing or whether the receivable and other amounts will be received.


About Community Healthcare Trust Incorporated
Community Healthcare Trust Incorporated is a real estate investment trust that focuses on owning income-producing real estate properties associated primarily with the delivery of outpatient healthcare services in our target sub-markets throughout the United States. The Company had investments of approximately $664.7 million in 131 real estate properties as of June 30, 2020, located in 33 states, totaling approximately 2.8 million square feet.
Additional information regarding the Company, including this quarter's operations, can be found at www.chct.reit.  Please contact the Company at 615-771-3052 to request a printed copy of this information.

Cautionary Note Regarding Forward-Looking Statements
This press release contains statements that are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "believes", "expects", "may", "should", "seeks", "approximately", "intends", "plans", "estimates", "anticipates" or other similar words or expressions, including the negative thereof. Forward-looking statements are based on certain assumptions and can include future expectations, future plans and strategies, financial and operating projections or other forward-looking information. Such forward-looking statements reflect management’s current beliefs and are based on information currently available to management. Because forward-looking statements relate to future events, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company's control. Thus, the Company’s actual results and financial condition may differ materially from those indicated in such forward-looking statements. Some factors that might cause such a difference include the following: general volatility of the capital markets and the market price of the Company's common stock, changes in the Company's business strategy, availability, terms and deployment of capital, the Company's ability to refinance existing indebtedness at or prior to maturity on favorable terms, or at all, changes in the real estate industry in general, interest rates or the general economy, adverse developments related to the healthcare industry, the degree and nature of the Company's competition, the ability to consummate acquisitions under contract, effects on global and national markets as well as businesses resulting from the COVID-19 pandemic, and the other factors described in the section entitled "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2019, in the Quarterly Report on Form 10-Q for the Quarter Ending March 31, 2020, and the Company's other filings with the Securities and Exchange Commission from time to time. Readers are therefore cautioned not to place undue reliance on the forward-looking statements contained herein which speak only as of the date hereof. The Company intends these forward-looking statements to speak only as of the time of this release and the Company undertakes no obligation to update forward-looking statements, whether as a result of new information, future developments, or otherwise, except as may be required by law.


2



COMMUNITY HEALTHCARE TRUST INCORPORATED
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited; Dollars in thousands, except per share amounts)
 
June 30, 2020
 
December 31, 2019
 
 
 
 
ASSETS
 
 
 
Real estate properties:
 
 
 
Land and land improvements
$
78,999

 
$
68,129

Buildings, improvements, and lease intangibles
585,454

 
534,503

Personal property
234

 
220

Total real estate properties
664,687

 
602,852

Less accumulated depreciation
(89,698
)
 
(77,523
)
Total real estate properties, net
574,989

 
525,329

Cash and cash equivalents
4,896

 
1,730

Restricted cash
351

 
293

Other assets, net
32,068

 
35,179

Total assets
$
612,304

 
$
562,531

 
 
 
 
LIABILITIES AND STOCKHOLDERS' EQUITY
 
 
 
Liabilities
 
 
 
Debt, net
$
197,309

 
$
194,243

Accounts payable and accrued liabilities
5,497

 
3,606

Other liabilities
22,395

 
11,271

Total liabilities
225,201

 
209,120

 
 
 
 
Commitments and contingencies
 
 
 
 
 
 
 
Stockholders' Equity
 
 
 
Preferred stock, $0.01 par value; 50,000,000 shares authorized; none issued and outstanding
—

 
—

Common stock, $0.01 par value; 450,000,000 shares authorized; 22,726,141 and 21,410,578 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively
227

 
214

Additional paid-in capital
500,477

 
447,916

Cumulative net income
26,180

 
17,554

Accumulated other comprehensive (loss) income
(13,969
)
 
(4,808
)
Cumulative dividends
(125,812
)
 
(107,465
)
Total stockholders’ equity
387,103

 
353,411

Total liabilities and stockholders' equity
$
612,304

 
$
562,531


The Condensed Consolidated Balance Sheets do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements.
 


3



COMMUNITY HEALTHCARE TRUST INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2020 AND 2019
(Unaudited; Dollars in thousands, except per share amounts)
 
Three Months Ended
June 30,
 
Six Months Ended
June 30,
 
2020
 
2019
 
2020
 
2019
REVENUES
 
 
 
 
 
 
 
Rental income
$
17,830

 
$
13,361

 
$
35,258

 
$
26,259

Other operating interest
450

 
955

 
958

 
1,498

 
18,280

 
14,316

 
36,216

 
27,757

 
 
 
 
 
 
 
 
EXPENSES
 
 
 
 
 
 
 
Property operating
3,223

 
2,993

 
6,566

 
6,068

General and administrative
1,919

 
1,776

 
4,111

 
3,561

Depreciation and amortization
6,119

 
5,299

 
12,178

 
10,545

 
11,261

 
10,068

 
22,855

 
20,174

 
 
 
 
 
 
 
 
OTHER INCOME (EXPENSE)
 
 
 
 
 
 
 
Loss on sale of real estate
(313
)
 
—

 
(313
)
 
—

Interest expense
(2,183
)
 
(2,251
)
 
(4,432
)
 
(4,305
)
Interest and other income, net
3

 
69

 
10

 
238

 
(2,493
)
 
(2,182
)
 
(4,735
)
 
(4,067
)
NET INCOME
$
4,526

 
$
2,066

 
$
8,626

 
$
3,516

 
 
 
 
 
 
 
 
NET INCOME PER COMMON SHARE:
 
 
 
 
 
 
 
Net income per common share – Basic
$
0.19

 
$
0.09

 
$
0.37

 
$
0.16

Net income per common share – Diluted
$
0.19

 
$
0.09

 
$
0.37

 
$
0.16

WEIGHTED AVERAGE COMMON SHARE OUTSTANDING-BASIC
21,264

 
18,246

 
20,999

 
18,101

WEIGHTED AVERAGE COMMON SHARE OUTSTANDING-DILUTED
21,264

 
18,246

 
20,999

 
18,101


The Condensed Consolidated Statements of Income do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements.



4



COMMUNITY HEALTHCARE TRUST INCORPORATED
RECONCILIATION OF FFO and AFFO (1) 
(Unaudited; Amounts in thousands, except per share amounts)
 
Three Months Ended June 30,
 
2020
 
2019
Net income
$
4,526

 
$
2,066

   Real estate depreciation and amortization
6,168

 
5,340

   Loss on sale of depreciable real estate
313

 
—

   Total adjustments
6,481

 
5,340

Funds From Operations
$
11,007

 
$
7,406

   Straight-line rent
(725
)
 
(413
)
   Stock-based compensation
1,070

 
899

AFFO
$
11,352

 
$
7,892

   Funds from Operations per Common Share-Diluted
$
0.51

 
$
0.40

   AFFO Per Common Share-Diluted
$
0.52

 
$
0.42

Weighted Average Common Shares Outstanding-Diluted (2)
21,750

 
18,685

 
(1
)
Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. However, since real estate values have historically risen or fallen with market conditions, many industry investors deem presentations of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. For that reason, the Company considers funds from operations ("FFO") and adjusted funds from operations ("AFFO") to be appropriate measures of operating performance of an equity real estate investment trust ("REIT"). In particular, the Company believes that AFFO is useful because it allows investors, analysts and Company management to compare the Company's operating performance to the operating performance of other real estate companies and between periods on a consistent basis without having to account for differences caused by unanticipated items and other events.

The Company uses the National Association of Real Estate Investment Trusts, Inc. ("NAREIT") definition of FFO. FFO and FFO per share are operating performance measures adopted by NAREIT. NAREIT defines FFO as the most commonly accepted and reported measure of a REIT’s operating performance equal to net income (calculated in accordance with GAAP), excluding gains or losses from the sale of certain real estate assets and gains or losses from change in control, plus depreciation and amortization related to real estate, plus impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity, and after adjustments for unconsolidated partnerships and joint ventures, as well as other items discussed in NAREIT's Funds From Operations White Paper - 2018 Restatement. NAREIT also provides REITs with an option to exclude gains, losses and impairments of assets that are incidental to the main business of the REIT from the calculation of FFO. AFFO presented herein may not be comparable to similar measures presented by other real estate companies due to the fact that not all real estate companies use the same definition.

FFO and AFFO should not be considered as alternatives to net income (determined in accordance with GAAP) as indicators of the Company's financial performance or as alternatives to cash flow from operating activities (determined in accordance with GAAP) as measures of the Company’s liquidity, nor are they necessarily indicative of sufficient cash flow to fund all of the Company’s needs. The Company believes that in order to facilitate a clear understanding of the consolidated historical operating results of the Company, FFO and AFFO should be examined in conjunction with net income as presented elsewhere herein.
(2
)
Diluted weighted average common shares outstanding for FFO are calculated based on the treasury method, rather than the 2-class method used to calculate earnings per share.
 
CONTACT: David H. Dupuy, 615-771-3052
SOURCE: Community Healthcare Trust Incorporated

5



Exhibit 99.2










chctlogoa27.jpg

Supplemental Information
Second Quarter 2020

























NYSE: CHCT
www.chct.reit





TABLE OF CONTENTS













Cautionary Note Regarding Forward-Looking Statements

In addition to the historical information contained within, the matters discussed in this supplemental operating and financial information package may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally identifiable by use of forward-looking terminology such as “believes”, “expects”, “may”, “should”, “seeks”, “approximately”, “intends”, “plans”, “estimates”, “anticipates” or other similar words or expressions, including the negative thereof. Forward-looking statements are based on certain assumptions and can include future expectations, future plans and strategies, financial and operating projections or other forward-looking information. Such forward-looking statements reflect management’s current beliefs and are based on information currently available to management. Because forward-looking statements relate to future events, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the control of Community Healthcare Trust Incorporated (the "Company"). Thus, the Company’s actual results and financial condition may differ materially from those indicated in such forward-looking statements. Some factors that might cause such a difference include the following: general volatility of the capital markets and the market price of the Company’s common stock, changes in the Company’s business strategy, availability, terms and deployment of capital, the Company’s ability to refinance existing indebtedness at or prior to maturity on favorable terms, or at all, changes in the real estate industry in general, interest rates or the general economy, adverse developments related to the healthcare industry, the degree and nature of the Company’s competition, the ability to consummate acquisitions under contract, effects on global and national markets as well as businesses resulting from the COVID-19 pandemic, and the other factors described in the section entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, in the Quarterly Report on Form 10-Q for the Quarter Ending March 31, 2020, and the Company’s other filings with the Securities and Exchange Commission from time to time. Readers are therefore cautioned not to place undue reliance on the forward-looking statements contained herein which speak only as of the date hereof. The Company intends these forward-looking statements to speak only as of the time of this supplemental operating and financial information package and undertakes no obligation to update forward-looking statements, whether as a result of new information, future developments, or otherwise, except as may be required by law.


Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 2


 CORPORATE INFORMATION

Corporate Headquarters
 
 
 
 
 
Community Healthcare Trust Incorporated
3326 Aspen Grove Drive, Suite 150
Franklin, Tennessee 37067
Phone: 615.771.3052
Website: www.chct.reit
 
 
Board of Directors
 
 
 
 
 
Timothy G. Wallace
Alan Gardner
Robert Hensley
Claire Gulmi
R. Lawrence Van Horn
Chairman of the Board,
Chief Executive Officer
and President
Lead Independent
Director
Audit Committee
Chair
Compensation Committee
Chair
Corporate Governance Committee
Chair
 
 
 
 
 
 
 
 
 
 
Executive Management Team
 
 
 
 
Timothy G. Wallace
W. Page Barnes
David H. Dupuy
Leigh Ann Stach
Chief Executive Officer
and President
Executive Vice President,
Chief Operating Officer
Executive Vice President,
Chief Financial Officer
Executive Vice President
Chief Accounting Officer
 
 
 
 
 
 
 
 
Covering Analysts
 
 
A. Goldfarb - Piper Sandler
M. Lewis - SunTrust Robinson Humphrey
S. McGrath - Evercore ISI
R. Stevenson - Janney Capital Markets
B. Maher - B. Riley FBR
N. Crossett - Berenberg Capital Markets
D. Babin - Baird
B. Oxford - D.A. Davidson & Co.
 
 
 
 
Professional Services
 
 
 Independent Registered Public Accounting Firm
Transfer Agent
BDO USA, LLP
American Stock Transfer & Trust Company, LLC
414 Union Street, Suite 1800
Operations Center
Nashville, Tennessee 37219
6201 15th Avenue
 
Brooklyn, New York 11219
 
1.800.937.5449


Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 3



HISTORICAL FFO AND AFFO (1)  
(Amounts in thousands, except per share data)

 
2020
 
2019
 
2018
 
Q2
Q1
 
Q4
Q3
Q2
Q1
 
Q4
Q3
Net income (loss)
$
4,526

$
4,100

 
$
2,213

$
2,647

$
2,066

$
1,450

 
$
(1,885
)
$
1,999

Real estate depreciation and amortization
6,168

6,109

 
5,943

5,812

5,340

5,282

 
5,109

4,918

            Impairment of note receivable (2)
—

—

 
—

—

—

—

 
5,000

—

            Income tax expense (benefit) (2)
—

—

 
1,321

—

—

—

 
(1,321
)
—

Loss (gain) on sale of depreciable real estate
313

—

 
—

—

—

—

 
(295
)
—

Total adjustments
6,481

6,109

 
7,264

5,812

5,340

5,282

 
8,493

4,918

Funds from Operations
$
11,007

$
10,209

 
$
9,477

$
8,459

$
7,406

$
6,732

 
$
6,608

$
6,917

   Straight-line rent
(725
)
(878
)
 
(699
)
(603
)
(413
)
(336
)
 
(126
)
(359
)
   Stock-based compensation
1,070

1,019

 
1,085

1,007

899

853

 
747

690

AFFO
$
11,352

$
10,350

 
$
9,863

$
8,863

$
7,892

$
7,249

 
$
7,229

$
7,248

Funds from Operations per Common Share-Diluted
$
0.51

$
0.48

 
$
0.47

$
0.44

$
0.40

$
0.37

 
$
0.37

$
0.39

AFFO Per Common Share-Diluted
$
0.52

$
0.49

 
$
0.49

$
0.46

$
0.42

$
0.40

 
$
0.41

$
0.40

Weighted Average Common Shares Outstanding-Diluted (3)
21,750

21,310

 
20,220

19,315

18,685

18,343

 
17,848

17,948


(1
)
Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. However, since real estate values have historically risen or fallen with market conditions, many industry investors deem presentations of operating results for real estate companies that use historical cost accounting to be insufficient by themselves. For that reason, the Company considers funds from operations ("FFO") and adjusted funds from operations ("AFFO") to be appropriate measures of operating performance of an equity real estate investment trust ("REIT"). In particular, the Company believes that AFFO is useful because it allows investors, analysts and Company management to compare the Company's operating performance to the operating performance of other real estate companies and between periods on a consistent basis without having to account for differences caused by unanticipated items and other events.

The Company uses the National Association of Real Estate Investment Trusts, Inc. ("NAREIT") definition of FFO. FFO and FFO per share are operating performance measures adopted by NAREIT. NAREIT defines FFO as the most commonly accepted and reported measure of a REIT's operating performance equal to "net income (computed in accordance with GAAP), excluding gains (or losses) from sales of property, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures." The Company has included AFFO which it has defined as FFO excluding certain expenses related to closing costs of properties acquired accounted for as business combinations and mortgages funded, excluding straight-line rent and deferred compensation and may include other non-cash items from time to time. AFFO presented herein may not be comparable to similar measures presented by other real estate companies due to the fact that not all real estate companies use the same definition.

FFO and AFFO should not be considered as alternatives to net income (determined in accordance with GAAP) as indicators of the Company's financial performance or as alternatives to cash flow from operating activities (determined in accordance with GAAP) as measures of the Company’s liquidity, nor are they necessarily indicative of sufficient cash flow to fund all of the Company’s needs. The Company believes that in order to facilitate a clear understanding of the consolidated historical operating results of the Company, FFO and AFFO should be examined in conjunction with net income as presented elsewhere herein.

(2
)
In the fourth quarter of 2018, the Company recorded a $5.0 million impairment related to its mezzanine loan with Highland Hospital and recorded a related tax benefit and deferred tax asset of approximately $1.3 million. This deferred tax asset was impaired in the fourth quarter of 2019 and the tax benefit was reversed resulting in tax expense of $1.3 million. The Company believes that the mezzanine loan is incidental to the main operations of the Company. As such, the Company has excluded the impairment of the note receivable and the related tax impact from its calculation of FFO. The $5.0 million impairment on the loan and related tax benefit of $1.3 million recorded in 2018 was previously recognized as an adjustment to AFFO rather than FFO for the year ended December 31, 2018 and has been reclassified as an adjustment to Funds from Operations rather than to Adjusted Funds from Operations for 2018 to conform to the current year presentation.

(3
)
Diluted weighted average common shares outstanding for FFO are calculated based on the treasury method, rather than the 2-class method used to calculate earnings per share.

Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 4


WEIGHTED AVERAGE SHARES
(Amounts in thousands, except per share data)

 
 
2020
 
 
 
2019
 
 
2018
 
 
Q2
Q1
 
Q4
Q3
Q2
Q1
 
Q4
Q3
Weighted average common shares outstanding:
 
 
 
 
 
 
 
 
 
 
 
Weighted average common shares outstanding
22,286

21,733

 
20,595

19,698

19,055

18,736

 
18,558

18,331

 
Unvested restricted shares
(1,022
)
(998
)
 
(910
)
(865
)
(809
)
(781
)
 
(710
)
(661
)
 
Weighted average common shares outstanding - EPS
21,264

20,735

 
19,685

18,833

18,246

17,955

 
17,848

17,670

 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted average common shares outstanding - FFO Basic
21,264

20,735

 
19,685

18,833

18,246

17,955

 
17,848

17,670

 
Dilutive potential common shares (from below) (1)
486

575

 
535

482

439

388

 
—

278

 
Weighted average common shares outstanding - FFO Diluted
21,750

21,310

 
20,220

19,315

18,685

18,343

 
17,848

17,948

 
 
 
 
 
 
 
 
 
 
 
 
Treasury share calculation:
 
 
 
 
 
 
 
 
 
 
Unrecognized deferred compensation-end of period
$
19,904

$
20,159

 
$
16,570

$
17,655

$
13,645

$
13,919

 
$
12,174

$
12,921

Unrecognized deferred compensation-beginning of period
$
20,159

$
16,570

 
$
17,655

$
14,554

$
13,919

$
12,174

 
$
12,921

$
10,443

 
Average unrecognized deferred compensation
$
20,032

$
18,365

 
$
17,113

$
16,105

$
13,782

$
13,047

 
$
12,548

$
11,682

Average share price per share
$
37.40

$
43.48

 
$
45.59

$
42.13

$
37.23

$
33.23

 
$
29.70

$
30.52

Treasury shares
536

423

 
375

383

370

393

 
422

383

 
 
 
 
 
 
 
 
 
 
 
Unvested restricted shares
1,022

998

 
910

865

809

781

 
710

661

Treasury shares
(536
)
(423
)
 
(375
)
(383
)
(370
)
(393
)
 
(422
)
(383
)
Dilutive potential common shares
486

575

 
535

482

439

388

 
288

278

_____________
 
 
 
 
 
 
 
 
 
 
(1) The Company had a net loss for the 4th quarter of 2018. Including the dilutive effect of the restricted shares would have been anti-dilutive and were, therefore, excluded.


Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 5



BALANCE SHEET INFORMATION
(dollars in thousands, except per share data)

 
2020
2019
2018
 
Q2
Q1
Q4
Q3
Q2
Q1
Q4
Q3
ASSETS
 
 
 
 
 
 
 
 
Real estate properties
 
 
 
 
 
 
 
 
Land and land improvements
$
78,999

$
74,680

$
68,129

$
63,015

$
57,388

$
52,520

$
50,270

$
47,748

Buildings, improvements, and lease intangibles
585,454

566,954

534,503

503,110

454,050

425,763

394,527

376,310

Personal property
234

222

220

202

143

135

133

132

Total real estate properties
664,687

641,856

602,852

566,327

511,581

478,418

444,930

424,190

Less accumulated depreciation
(89,698
)
(83,582
)
(77,523
)
(71,617
)
(65,843
)
(60,544
)
(55,298
)
(50,607
)
Total real estate properties, net
574,989

558,274

525,329

494,710

445,738

417,874

389,632

373,583

Cash and cash equivalents
4,896

3,326

1,730

1,724

9,031

3,868

2,007

1,006

Restricted cash
351

282

293

224

234

166

385

—

Other assets, net
32,068

34,872

35,179

36,414

35,497

34,822

34,546

40,711

Total assets
$
612,304

$
596,754

$
562,531

$
533,072

$
490,500

$
456,730

$
426,570

$
415,300

 
 
 
 
 
 
 
 
 
LIABILITIES AND STOCKHOLDERS' EQUITY
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
Debt, net
$
197,309

$
203,276

$
194,243

$
215,460

$
198,176

$
179,117

$
147,766

$
127,449

Accounts payable and accrued liabilities
5,497

5,297

3,606

4,004

3,395

3,351

3,196

3,818

Other liabilities
22,395

20,406

11,271

12,661

9,809

4,579

3,949

4,716

Total liabilities
225,201

228,979

209,120

232,125

211,380

187,047

154,911

135,983

 
 
 
 
 
 
 
 
 
Commitments and contingencies
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Stockholders' Equity
 
 
 
 
 
 
 
 
Preferred stock, $0.01 par value; 50,000,000 shares authorized
—

—

—

—

—

—

—

—

Common stock, $0.01 par value; 450,000,000 shares authorized
227

221

214

202

194

189

186

185

Additional paid-in capital
500,477

475,824

447,916

391,247

361,913

342,654

337,180

333,468

Cumulative net income
26,180

21,654

17,554

15,341

12,694

10,628

9,178

11,063

Accumulated other comprehensive (loss) income
(13,969
)
(13,426
)
(4,808
)
(6,826
)
(4,769
)
(642
)
633

2,612

Cumulative dividends
(125,812
)
(116,498
)
(107,465
)
(99,017
)
(90,912
)
(83,146
)
(75,518
)
(68,011
)
Total stockholders’ equity
387,103

367,775

353,411

300,947

279,120

269,683

271,659

279,317

Total liabilities and stockholders' equity
$
612,304

$
596,754

$
562,531

$
533,072

$
490,500

$
456,730

$
426,570

$
415,300



Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 6


STATEMENTS OF OPERATIONS INFORMATION
(Amounts in thousands, except per share data)

 
2020
2019
2018
 
Q2
Q1
Q4
Q3
Q2
Q1
Q4
Q3
 
 
 
 
 
 
 
 
 
REVENUES
 
 
 
 
 
 
 
 
Rental income
$
17,830

$
17,428

$
16,292

$
15,718

$
13,361

$
12,898

$
11,715

$
11,926

Other operating interest
450

508

541

541

955

543

479

679

 
18,280

17,936

16,833

16,259

14,316

13,441

12,194

12,605

 
 
 
 
 
 
 
 
 
EXPENSES
 
 
 
 
 
 
 
 
Property operating
3,223

3,343

2,840

3,327

2,993

3,075

2,447

2,627

General and administrative
1,919

2,192

2,126

2,041

1,776

1,785

1,547

1,463

Depreciation and amortization
6,119

6,059

5,906

5,774

5,299

5,246

5,068

4,925

 
11,261

11,594

10,872

11,142

10,068

10,106

9,062

9,015

 
 
 
 
 
 
 
 
 
OTHER INCOME (EXPENSE)
















(Loss) gain on sale of real estate
(313
)
—

—

—

—

—

295

—

Interest expense
(2,183
)
(2,249
)
(2,513
)
(2,483
)
(2,251
)
(2,054
)
(1,817
)
(1,643
)
Impairment of note receivable
—

—

—

—

—

—

(5,000
)
—

Income tax (expense) benefit
—

—

(1,421
)
—

—

—

1,547

—

Interest and other income, net
3

7

186

13

69

169

(42
)
52

 
(2,493
)
(2,242
)
(3,748
)
(2,470
)
(2,182
)
(1,885
)
(5,017
)
(1,591
)
NET INCOME (LOSS)
$
4,526

$
4,100

$
2,213

$
2,647

$
2,066

$
1,450

$
(1,885
)
$
1,999

 
 
 
 
 
 
 
 
 
NET INCOME (LOSS) PER COMMON SHARE
 
 
 
 
 
 
 
 
Net income (loss) per common share – Basic
$
0.19

$
0.18

$
0.09

$
0.12

$
0.09

$
0.06

$
(0.12
)
$
0.10

Net income (loss) per common share – Diluted
$
0.19

$
0.18

$
0.09

$
0.12

$
0.09

$
0.06

$
(0.12
)
$
0.10

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING-BASIC
21,264

20,735

19,686

18,833

18,246

17,955

17,848

17,670

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING-DILUTED
21,264

20,735

19,686

18,833

18,246

17,955

17,848

17,670

DIVIDENDS DECLARED, PER COMMON SHARE, DURING THE PERIOD
$
0.4200

$
0.4175

$
0.4150

$
0.4125

$
0.4100

$
0.4075

$
0.4050

$
0.4025

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2020
2019
2018
 
Q2
Q1
Q4
Q3
Q2
Q1
Q4
Q3
General and administrative expenses:
 
 
 
 
 
 
 
 
     Non-cash (deferred compensation)
56
%
47
%
51
%
49
%
51
%
48
%
48
%
47
%
     Cash
44
%
53
%
49
%
51
%
49
%
52
%
52
%
53
%





Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 7


EXECUTIVE COMPENSATION


 
 
 
 
 
 
Performance Based Incentive Compensation
Name and Position
Year
Total
Compensation
Salary
Taken In
Stock (1)
Other
(2)
Bonus
Stock
(1)
Alignment
of Interest
Stock (3)
1 Year Total
Shareholder
 Return
 Stock
3 Year Total
Shareholder
 Return
 Stock
Total
Performance
Based
Incentive
Compensation
Percent
of Total
Timothy G. Wallace
2019
$
2,595,964

$
540,000

$
10,800

$
216,000

$
884,164

$
405,000

$
540,000

$
2,045,164

78.8
%
 
Chief Executive Officer and
President
2018
$
2,247,977

$
458,167

$
—

$
183,267

$
690,209

$
458,167

$
458,167

$
1,789,810

79.6
%
 
 
2017
$
1,592,017

$
376,333

$
—

$
150,533

$
500,651

$
282,250

$
282,250

$
1,215,684

76.4
%
 
 
 
 
 
 
 
 
 
 
 
 
David H. Dupuy (4)
2019
$
1,383,110

$
233,333

$
192,729

$
23,333

$
321,215

$
262,500

$
350,000

$
957,048

69.2
%
 
Executive Vice President and
Chief Financial Officer
2018
$
—

$
—

$
—

$
—

—

—

—

$
—

—
%
 
 
2017
$
—

$
—

$
—

$
—

—

—

—

$
—

—
%
 
 
 
 
 
 
 
 
 
 
 
 
W. Page Barnes
2019
$
1,579,239

$
328,000

$
8,930

$
131,200

$
537,109

$
246,000

$
328,000

$
1,242,309

78.7
%
 
Executive Vice President and
Chief Operating Officer
2018
$
1,330,517

$
271,167

$
—

$
108,467

$
408,549

$
271,167

$
271,167

$
1,059,350

79.6
%
 
 
2017
$
906,696

$
214,333

$
—

$
85,723

$
285,140

$
160,750

$
160,750

$
692,363

76.4
%
 
 
 
 
 
 
 
 
 
 
 
 
Leigh Ann Stach
2019
$
1,274,444

$
266,000

$
1,000

$
106,400

$
435,544

$
199,500

$
266,000

$
1,007,444

79.0
%
 
Executive Vice President and
Chief Accounting Officer
2018
$
1,284,916

$
220,500

$
—

$
188,200

$
435,216

$
220,500

$
220,500

$
1,064,416

82.8
%
 
 
2017
$
740,272

$
175,000

$
—

$
70,000

$
232,772

$
131,250

$
131,250

$
565,272

76.4
%
__________________
 
 
 
 
 
 
 
 
 
 
(1) Each Executive Officer has elected to take 100% of their salary and cash bonus in deferred stock with an 8-year cliff vesting.
(2) Other includes employer contributions to the executive officer's health savings account (HSA) and 401(k); moving and relocation expenses for Mr. Dupuy; and the value of the grant of 5,000 shares of restricted stock to Mr. Dupuy upon his joining the Company on May 1, 2019.
(3) Alignment of interest stock grants per the Alignment Interest Program which is part of the Company's Incentive Plan.
(4) Mr. Dupuy joined the Company on May 1, 2019.


 
CEO Pay Ratios
 
CEO and
President
Median
Employee
Average
Employee
Lowest Paid
Employee
Cash
$
—

$
102,000

$
59,897

$
50,000

Compensation Taken in Stock
$
2,585,164

$
—

$
249,207

$
1,000

Other Compensation
10,800

3,761

2,111

667

Total Compensation
$
2,595,964

$
105,761

$
311,215

$
51,667

CEO to Employee Ratio
 
24.55

8.34

50.24






Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 8


PROPERTY LOCATIONS

Approximately 48% of our property revenues are in MSAs with populations over 1,000,000 and approximately 92% are in MSAs with populations over 100,000.
Property Name
Property
 Type
Area
% of
Square
 Feet
Annualized
 Rent (1)
% of Annualized
 Rent
Population
MSA/MISA
Rank
 
 
 
 
($ 000's)
 
 
 
 
Chicago Behavioral Hospital
BF
85,000

3.00
%
$
2,056.6

3.33
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Presence Regional Cancer Center
SC
44,888

1.58
%
$
1,675.8

2.72
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Morris Cancer Center
SC
18,169

0.64
%
$
569.1

0.92
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Skin MD
PC
13,565

0.48
%
$
469.4

0.76
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Gurnee Medical Office Building
MOB
22,943

0.81
%
$
380.2

0.62
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Future Diagnostics Group
SC
8,876

0.31
%
$
375.7

0.61
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Novamed Surgery Center
SCH
30,455

1.07
%
$
351.1

0.57
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Joliet Oncology-Hematology Associates
PC
7,905

0.28
%
$
348.8

0.57
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Presence
MOB
14,863

0.52
%
$
318.8

0.52
%
9,498,716

Chicago-Naperville-Elgin, IL-IN-WI
3
Kindred Healthcare
SC
55,646

1.96
%
$
2,705.2

4.38
%
6,997,384

Houston-The Woodlands-Sugar Land, TX
5
Bayside Medical Center
MOB
50,593

1.79
%
$
735.1

1.19
%
6,997,384

Houston-The Woodlands-Sugar Land, TX
5
Northwest Surgery Center
SCH
11,200

0.40
%
$
466.4

0.76
%
6,997,384

Houston-The Woodlands-Sugar Land, TX
5
Haddon Hill Professional Center
MOB
24,567

0.87
%
$
491.9

0.80
%
6,096,372

Philadelphia-Camden-Wilmington, PA-NJ-DE-MD
8
Mountain View Surgery Center
SCH
13,835

0.49
%
$
325.0

0.53
%
4,857,962

Phoenix-Mesa-Scottsdale, AZ
11
Desert Endoscopy Center
SCH
11,722

0.41
%
$
249.7

0.40
%
4,857,962

Phoenix-Mesa-Scottsdale, AZ
11
Continuum Wellness Center
PC
8,227

0.29
%
$
150.6

0.24
%
4,857,962

Phoenix-Mesa-Scottsdale, AZ
11
Berry Surgical Center
SCH
27,217

0.96
%
$
580.0

0.94
%
4,326,442

Detroit-Warren-Dearborn, MI
14
Associated Surgical Center of Dearborn
SCH
12,400

0.44
%
$
381.3

0.62
%
4,326,442

Detroit-Warren-Dearborn, MI
14
Smokey Point Behavioral
BF
70,100

2.47
%
$
2,612.5

4.23
%
3,939,363

Seattle-Tacoma-Bellevue, WA
15
Sanderling Dialysis
SC
11,300

0.40
%
$
385.0

0.62
%
3,343,364

San Diego-Carlsbad, CA
17
Bay Area Physicians Surgery Center
SCH
18,708

0.66
%
$
712.1

1.15
%
3,142,663

Tampa-St. Petersburg-Clearwater, FL
18
Liberty Dialysis
SC
8,450

0.30
%
$
252.5

0.41
%
2,932,415

Denver-Aurora-Lakewood, CO
19
Eyecare Partners
SCH
16,608

0.59
%
$
282.3

0.46
%
2,805,465

St. Louis, MO-IL
20
Eyecare Partners
PC
6,487

0.23
%
$
126.4

0.20
%
2,805,465

St. Louis, MO-IL
20
Eyecare Partners
PC
6,311

0.22
%
$
45.0

0.07
%
2,805,465

St. Louis, MO-IL
20
Eyecare Partners
PC
5,560

0.20
%
$
41.2

0.07
%
2,805,465

St. Louis, MO-IL
20
Righttime Medical Care
SC
6,236

0.22
%
$
292.6

0.47
%
2,802,789

Baltimore-Columbia-Towson, MD
21
Bassin Center For Plastic-Surgery-Villages
PC
2,894

0.10
%
$
158.0

0.26
%
2,572,962

Orlando-Kissimmee-Sanford, FL
22
Medical Village at Wintergarden
MOB
21,648

0.76
%
$
548.6

0.89
%
2,572,962

Orlando-Kissimmee-Sanford, FL
23
Orthopaedic Associates of Osceola
PC
15,167

0.54
%
$
340.4

0.55
%
2,572,962

Orlando-Kissimmee-Sanford, FL
23
Bassin Center For Plastic Surgery-Orlando
PC
2,420

0.09
%
$
132.1

0.21
%
2,572,962

Orlando-Kissimmee-Sanford, FL
23
Kissimmee Physicians Clinic
PC
4,902

0.17
%
$
101.0

0.16
%
2,572,962

Orlando-Kissimmee-Sanford, FL
23
Baptist Health
MOB
13,500

0.48
%
$
358.2

0.58
%
2,518,036

San Antonio-New Braunfels, TX
24
San Antonio Head & Neck Surgical Associates
MOB
6,500

0.23
%
$
177.1

0.29
%
2,518,036

San Antonio-New Braunfels, TX
24
 
 
 
(continued)

 


 
 
 

Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 9


Property Name
Property
 Type
Area
% of
Square
 Feet
Annualized
 Rent (1)
% of Annualized
 Rent
Population
MSA/MISA
Rank
 
 
 
 
($ 000's)
 
 
 
 
Forefront Dermatology Building
MOB
15,650

0.55
%
$
313.0

0.51
%
2,324,743

Pittsburg, PA
27
Butler Medical Center
MOB
10,116

0.36
%
$
265.3

0.43
%
2,324,743

Pittsburgh, PA
27
Vascular Access Centers of Southern Nevada
SC
4,800

0.17
%
$
—

—
%
2,231,647

Las Vegas-Henderson-Paradise, NV
28
Assurance Health System
BF
14,381

0.51
%
$
515.4

0.84
%
2,190,209

Cincinnati, OH-KY-IN
29
Fresenius Florence Dialysis Center
SC
17,845

0.63
%
$
290.8

0.47
%
2,190,209

Cincinnati, OH-KY-IN
29
Cavalier Medical & Dialysis Center
MOB
36,986

1.31
%
$
210.2

0.34
%
2,190,209

Cincinnati, OH-KY-IN
29
Davita Commercial Way
SC
4,980

0.18
%
$
106.6

0.17
%
2,190,209

Cincinnati, OH-KY-IN
29
Prairie Star Medical Facility I
MOB
24,724

0.87
%
$
868.0

1.41
%
2,143,651

Kansas City, MO-KS
31
Prairie Star Medical Facility II
MOB
24,840

0.88
%
$
236.3

0.38
%
2,143,651

Kansas City, MO-KS
31
Sedalia Medical Center
MOB
20,064

0.71
%
$
302.4

0.49
%
2,106,541

Columbus, OH
32
Hopebridge - Columbus
BOS
13,969

0.49
%
$
164.8

0.27
%
2,106,541

Columbus, OH
32
Court Street Surgery Center
SCH
7,787

0.27
%
$
—

—
%
2,106,541

Columbus, OH
32
Rockside Medical Center
MOB
55,279

1.95
%
$
1,385.1

2.24
%
2,057,009

Cleveland-Elyria, OH
33
Brook Park Medical Building
MOB
18,444

0.65
%
$
364.6

0.59
%
2,057,009

Cleveland-Elyria, OH
33
Hopebridge - Westlake
BOS
15,057

0.53
%
$
220.4

0.36
%
2,057,009

Cleveland, OH
33
Kindred Hospital Indianapolis North
LTACH
37,270

1.32
%
$
1,439.2

2.33
%
2,048,703

Indianapolis-Carmel-Anderson, IN
34
Assurance Health System
BF
13,722

0.48
%
$
461.5

0.75
%
2,048,703

Indianapolis-Carmel-Anderson, IN
34
Assurance Health, LLC
BF
10,200

0.36
%
$
337.5

0.55
%
2,048,703

Indianapolis-Carmel-Anderson, IN
34
Virginia Orthopaedic & Spine Specialists
PC
8,445

0.30
%
$
147.2

0.24
%
1,728,733

Virginia Beach-Norfolk-Newport News, VA-NC
37
Ortho RI - West Bay HQ
MOB
21,252

0.75
%
$
552.1

0.89
%
1,621,337

Providence-Warwick, RI
38
Sanderling Dialysis
SC
10,133

0.36
%
$
513.0

0.83
%
1,350,620

Memphis, TN-MS-AR
43
Memphis Center
PC
11,669

0.41
%
$
108.0

0.18
%
1,350,620

Memphis, TN-MS-AR
43
Glastonbury
MOB
50,519

1.78
%
$
858.7

1.39
%
1,206,300

Hartford-West Hartford-East Hartford, CT
48
Gardendale MOB
0
12,956

0.46
%
$
272.5

0.44
%
1,151,801

Birmingham, AL
49
Sterling Medical Center
MOB
28,702

1.01
%
$
406.6

0.66
%
1,130,152

Buffalo-Cheektowaga-Niagara Falls, NY
50
Worcester Behavioral Hospital
BF
81,972

2.89
%
$
2,573.3

4.17
%
947,866

Worcester, MA-CT (part)
57
Los Alamos Professional Plaza
MOB
41,797

1.48
%
$
440.4

0.71
%
865,939

McAllen-Edinburg-Mission, TX
65
Cardiology Associates of Greater Waterbury
PC
16,793

0.59
%
$
310.7

0.50
%
857,620

New Haven-Milford
66
Columbia Gastroenterology Surgery Center
SCH
17,016

0.60
%
$
299.0

0.48
%
832,666

Columbia, SC
70
Davita Turner Road
SC
18,125

0.64
%
$
376.0

0.61
%
806,548

Dayton, OH
73
Davita Business Center Court
SC
13,048

0.46
%
$
260.7

0.42
%
806,548

Dayton, OH
73
Davita Springboro Pike
SC
10,510

0.37
%
$
213.5

0.35
%
806,548

Dayton, OH
73
Parkway Professional Plaza
MOB
40,036

1.41
%
$
630.1

1.02
%
708,009

Lakeland-Winter Haven, FL
81
UH Walden Health Center
PC
11,000

0.39
%
$
320.5

0.52
%
704,845

Akron, OH
82
Novus Clinic
SCH
14,315

0.51
%
$
283.3

0.46
%
704,845

Akron, OH
82
UW Health Clinic- Portage
PC
14,000

0.49
%
$
306.3

0.50
%
660,422

Madison, WI
85
Daytona Medical Office
MOB
19,156

0.68
%
$
230.5

0.37
%
659,605

Deltona-Daytona Beach-Ormond Beach, FL
86
 
 
 
(continued)

 


 
 
 

Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 10


Property Name
Property
 Type
Area
% of
Square
 Feet
Annualized
 Rent (1)
% of Annualized
 Rent
Population
MSA/MISA
Rank
 
 
 
 
($ 000's)
 
 
 
 
Debary Professional Plaza
MOB
23,019

0.81
%
$
126.1

0.20
%
659,605

Deltona-Daytona Beach-Ormond Beach, FL
86
Cypress Medical Center
MOB
39,746

1.40
%
$
817.0

1.32
%
644,888

Wichita, KS
89
Family Medicine East
PC
16,581

0.59
%
$
410.8

0.67
%
644,888

Wichita, KS
89
Grene Vision Center
PC
11,891

0.42
%
$
311.8

0.51
%
644,888

Wichita, KS
89
Perrysburg Medical Arts Building
MOB
25,789

0.91
%
$
383.1

0.62
%
602,871

Toledo, OH
93
St. Vincent Mercy Medical Center, Inc.
MOB
23,368

0.82
%
$
301.4

0.49
%
602,871

Toledo, OH
93
Bassin Center For Plastic Surgery-Melbourne
PC
5,228

0.18
%
$
285.4

0.46
%
596,849

Palm Bay-Melbourne-Titusville, FL
94
Penn State Health - Harrisburg
SC
10,000

0.35
%
$
200.0

0.32
%
574,659

Harrisburg-Carlisle, PA
97
Penn State Health - Camp Hill
SC
8,400

0.30
%
$
168.0

0.27
%
574,659

Harrisburg-Carlisle, PA
97
Riverview Medical Center
SCH
26,199

0.92
%
$
425.0

0.69
%
555,485

Scranton--Wilkes-Barre--Hazleton, PA
100
Eynon Surgery Center
SCH
6,500

0.23
%
$
166.3

0.27
%
555,485

Scranton--Wilkes-Barre--Hazleton, PA
100
Manteca Medical Group Building
MOB
10,564

0.37
%
$
304.2

0.49
%
549,128

Modesto, CA
101
Everest Rehabilitation Hospital
IRF
38,817

1.37
%
$
2,090.0

3.39
%
549,128

Fayetteville-Springdale-Rogers, AR-MO
102
Grandview Plaza
PC
20,000

0.71
%
$
290.9

0.47
%
543,557

Lancaster, PA
103
Pinnacle Health
MOB
10,753

0.38
%
$
231.8

0.38
%
543,557

Lancaster, PA
103
AMG Specialty Hospital - Lafayette
BF
29,062

1.03
%
$
—

—
%
489,364

Lafayette, LA
109
Treasure Coast Medical Pavilion
MOB
57,254

2.02
%
$
709.5

1.15
%
482,040

Port St. Lucie, FL
110
Everest Rehabilitation Hospital
IRF
38,817

1.37
%
$
2,090.0

3.39
%
451,679

Killeen-Temple, TX
119
Martin Foot & Ankle Clinic
PC
27,100

0.96
%
$
391.1

0.63
%
448,273

York-Hanover, PA
120
Affinity Health Center
MOB
47,366

1.67
%
$
707.2

1.15
%
398,655

Canton-Massillon, OH
135
Prattville Town Center Medical Office Bldg
MOB
13,319

0.47
%
$
371.0

0.60
%
373,225

Montgomery, AL
143
Bristol Pediatric Associates
MOB
10,975

0.39
%
$
230.8

0.37
%
306,616

Kingsport-Bristol-Bristol, TN-VA
162
Wellmont Bristol Urgent Care
SC
4,548

0.16
%
$
73.9

0.12
%
306,616

Kingsport-Bristol-Bristol, TN-VA
162
Bluewater Orthopedics Center
MOB
10,255

0.36
%
$
210.2

0.34
%
278,644

Crestview-Fort Walton Beach-Destin, FL
173
Londonderry Centre
MOB
19,801

0.70
%
$
388.3

0.63
%
271,942

Waco, TX
179
Everest Rehabilitation Hospital
IRF
38,817

1.37
%
$
2,090.0

3.39
%
219,417

Longview,TX
205
Gulf Coast Cancer Centers-Foley
SC
6,146

0.22
%
$
162.2

0.26
%
218,022

Daphne-Fairhope-Foley, AL
206
Gulf Coast Cancer Centers- Gulf Shores
SC
6,398

0.23
%
$
—

—
%
218,022

Daphne-Fairhope-Foley, AL
206
Meridian Behavioral Health Systems
BF
132,430

4.67
%
$
2,531.7

4.10
%
211,037

Charleston, WV
212
Fresenius Ft. Valley
SC
4,920

0.17
%
$
94.5

0.15
%
193,835

Warner Robins, GA
225
Tuscola Professional Building
MOB
25,500

0.90
%
$
586.5

0.95
%
190,800

Saginaw, MI
227
Monroe Surgical Hosptial
SCH
58,121

2.05
%
$
2,202.5

3.57
%
176,805

Monroe, LA
240
Kedplasma
SC
12,870

0.45
%
$
272.1

0.44
%
166,436

Burlington, NC
256
Decatur Morgan Hospital Medical Office Building
MOB
35,943

1.27
%
$
613.3

0.99
%
152,046

Decatur, AL
271
Provena Medical Center
MOB
53,653

1.89
%
$
499.1

0.81
%
110,024

Kankakee, IL
339
Parkside Family & Davita Clinics
MOB
15,515

0.55
%
$
214.7

0.35
%
99,619

Victoria, TX
354
Russellville Medical Plaza
MOB
29,129

1.03
%
$
148.4

0.24
%
 City: 9,697; County: 31,432

RURAL - NO CBSA
N/A
Tri Lakes Behavioral
BF
58,400

2.06
%
$
513.9

0.83
%
 City: 7,463; County: 33,994

RURAL - NO CBSA
N/A
 
 
 
(continued)

 
 
 
 
 

Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 11


Property Name
Property
 Type
Area
% of
Square
 Feet
Annualized
 Rent (1)
% of Annualized
 Rent
Population
MSA/MISA
Rank
 
 
 
 
($ 000's)
 
 
 
 
Batesville Regional Medical Center
MOB
9,263

0.33%

$
46.1

0.07
%
 City: 7,463; County: 33,994

RURAL - NO CBSA
N/A
North Mississippi Health Services
MOB
27,743

0.98%

$
138.0

0.22
%
 City: 7,316; County: 36,989

RURAL - NO CBSA
N/A
North Mississippi Health Services
MOB
18,074

0.64%

$
89.9

0.15
%
 City: 7,316; County: 36,989

RURAL - NO CBSA
N/A
North Mississippi Health Services
MOB
17,629

0.62%

$
87.7

0.14
%
 City: 7,316; County: 36,989

RURAL - NO CBSA
N/A
North Mississippi Health Services
MOB
9,890

0.35%

$
49.2

0.08
%
 City: 7,316; County: 36,989

RURAL - NO CBSA
N/A
North Mississippi Health Services
MOB
3,378

0.12%

$
16.8

0.03
%
 City: 7,316; County: 36,989

RURAL - NO CBSA
N/A
Sanderling Dialysis Center
SC
5,217

0.18%

$
252.4

0.41
%
 City: 5,771; County: 14,003

RURAL - NO CBSA
N/A
Dahlonega Medical Mall
MOB
22,227

0.78%

$
193.9

0.31
%
 City: 5,242; County: 32,873

RURAL - NO CBSA
N/A
Rettig Family Healthcare
PC
12,000

0.42%

$
180.0

0.29
%
 City: 4,328; County: 23,384

RURAL - NO CBSA
N/A
Haleyville Physicians Professional Building
MOB
29,515

1.04%

$
150.4

0.24
%
 City: 3,982; County: 23,722

RURAL - NO CBSA
N/A
Wellmont Lebanon Urgent Care
SC
8,369

0.30%

$
97.7

0.16
%
 City: 3,424; County: 28,897

RURAL - NO CBSA
N/A
Fresenius Gallipolis Dialysis Center
SC
15,110

0.53%

$
159.3

0.26
%
56,697

Point Pleasant, WV-OH
N/A
Wellmont Associates Complex
MOB
32,542

1.15%

$
499.4

0.81
%
56,503

Big Stone Gap, VA
N/A
Wellmont Norton Urgent Care
SC
5,000

0.18%

$
57.5

0.09
%
56,503

Big Stone Gap, VA
N/A
Davita Etowah Dialysis Center
SC
4,720

0.17%

$
71.8

0.12
%
53,285

Athens, TN
N/A
Fresenius Dialysis Center
SC
17,699

0.62%

$
132.0

0.21
%
48,701

Corsicana, TX
N/A
Arkansas Valley Surgery Center
SCH
10,853

0.38%

$
248.8

0.40
%
48,021

Cañon City, CO
N/A
Davita Dialysis
SC
12,545

0.44%

$
436.8

0.71
%
45,346

Pahrump, NV
N/A
Ottumwa Medical Clinic
MOB
75,448

2.66%

$
898.7

1.46
%
44,222

Ottumwa, IA
N/A
Eyecare Partners
PC
8,421

0.30%

$
122.1

0.20
%
37,620

Centralia, IL
N/A
Gulf Coast Cancer Centers-Brewton
SC
3,971

0.14%

$
104.8

0.17
%
36,748

Atmore, AL
N/A
Sanderling Dialysis Center
SC
4,186

0.15%

$
274.0

0.44
%
27,828

Crescent City, CA
N/A
 
 
 
 
 
 
 
 
 
(1) Annualized rent was calculated by multiplying base rent for the month of June 2020 by 12.

Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 12


INVESTMENT ACTIVITY


2020 INVESTMENT ACTIVITY
 
 
 
 
 
 
 
 
 
 
 
Location
Property
Type
Acquisition Date
Purchase Price (in thousands)
Square Feet
Aggregate
Leased
% at
Acquisition
Property Acquisitions:
 
 
 
 
 
 
San Antonio, TX
MOB
1/27/2020
$
4,003

13,500

100.0
%
 
San Antonio, TX
MOB
1/27/2020
1,931

6,500

100.0
%
 
Decatur, AL
MOB
2/18/2020
5,784

35,943

93.9
%
 
Ramona, CA
SC
3/13/2020
4,100

11,300

100.0
%
 
Cuero, TX
SC
3/18/2020
2,153

15,515

100.0
%
 
Rogers, AR
IRF
3/27/2020
19,000

38,817

100.0
%
 
Oak Lawn, IL (Land)
MOB
4/20/2020
400

—

—
%
 
Germantown, TN
SC
4/29/2020
3,900

10,600

100.0
%
 
Westlake, OH
SC
6/5/2020
2,443

15,057

100.0
%
 
Columbus, IN
SC
6/5/2020
1,813

13,969

100.0
%
 
Niceville, FL
MOB
6/15/2020
2,294

10,250

100.0
%
 
Greensburg, PA
MOB
6/16/2020
3,389

15,650

100.0
%
 
Gardendale, AL
MOB
6/24/2020
2,948

12,956

100.0
%
 
Prattville, AL
MOB
6/24/2020
4,091

13,319

100.0
%
 
 
 
 
 
 
 
Total / Weighted Average
 
 
$
58,249

213,376

99.0
%


Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 13


LEASING INFORMATION


LEASE EXPIRATION SCHEDULE (1) 


 
 
Total Leased Square Footage
Annualized Lease Revenue
Year
Number of
Leases
Expiring
Amount
Percent (%)
Amount ($)
(in thousands)
Percent (%)
2020
22

126,825

5.0
%
2,460

4.0
%
2021
31

180,788

7.1
%
3,843

6.2
%
2022
39

227,567

9.0
%
5,034

8.1
%
2023
47

272,537

10.7
%
5,422

8.8
%
2024
21

135,631

5.4
%
3,086

5.0
%
2025
20

179,032

7.1
%
5,161

8.4
%
2026
15

207,252

8.2
%
4,427

7.2
%
2027
4

12,325

0.5
%
354

0.6
%
2028
7

112,611

4.4
%
2,133

3.4
%
2029
11

163,432

6.4
%
4,751

7.7
%
Thereafter
35

890,228

35.1
%
24,554

39.8
%
Month-to-Month
12

28,593

1.1
%
474

0.8
%
Totals
264

2,536,821

100.0
%
$
61,699

100.0
%

(1) Total portfolio was approximately 89.5% leased in the aggregate at June 30, 2020 with lease expirations ranging from 2020 through 2035.





Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 14


PROPERTY DIVERSIFICATION



chart-f6a638223dd351c0ad4.jpg
Property Type (1)
Number of
Properties

Annualized
Rent (1)
($ in thousands)
Annualized Rent
(%)
Medical Office Building (MOB)
55
$
21,129

34.3
%
Behavioral Inpatient Acute (BIA)
4
9,774

15.9
%
Inpatient Rehabilitation Facilities (IRF)
4
8,975

14.5
%
Physician Clinics (PC)
26
6,792

11.0
%
Specialty Centers (SC)
25
6,439

10.4
%
Surgical Centers and Hospitals (SCH)
10
4,937

8.0
%
Behavioral Other Specialty (BOS)
6
2,214

3.6
%
Long-term Acute Care Hospitals (LTACH)
1
1,439

2.3
%
Total
131
$
61,699

100.0
%
______________________
 
 
 
(1) Annualized rent was calculated based on the contractual monthly rent amount for June 2020.














Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 15



PROPERTY DIVERSIFICATION
(continued)



chart-93d751965d1c5f30909.jpg

State
Number of
Properties
Annualized
Rent (1)
($ in thousands)
Annualized
Rent
(%)
TEXAS
12
$
9,977

16.2
%
ILLINOIS
15
7,662

12.4
%
OHIO
16
5,900

9.5
%
FLORIDA
12
4,184

6.8
%
KANSAS
5
2,644

4.3
%
WASHINGTON
1
2,612

4.2
%
MASSACHUSETTS
1
2,573

4.2
%
WEST VIRGINIA
1
2,532

4.1
%
PENNSYLVANIA
9
2,451

4.0
%
INDIANA
4
2,403

3.9
%
LOUISIANA
2
2,203

3.6
%
ARKANSAS
1
2,090

3.4
%
OTHER (Less than 3%)
52
14,468

23.4
%
TOTAL
131
$
61,699

100.0
%
_________________
 
 
 
(1) Annualized rent was calculated based on the contractual monthly rent amount for June 2020.







Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 16



PROPERTY DIVERSIFICATION
(continued)


chart-889301c50f9e5d83955.jpg

Tenant
Annualized
Rent (1)
($ in thousands)
Annualized Rent
(%)
Everest Rehabilitation
$
6,270

10.1
%
US Healthvest
4,669

7.6
%
Post Acute Medical
2,705

4.4
%
Worcester Behavioral Hospital
2,573

4.2
%
Highland Hospital
2,532

4.1
%
AMITA Health
2,494

4.0
%
BCBS of Louisiana
2,202

3.6
%
Assurance Health
1,873

3.0
%
All Others (Less than 3%)
36,381

59.0
%
 
$
61,699

100.0
%
__________________
 
 
(1) Annualized rent was calculated based on the contractual monthly rent amount for June 2020.


            


Community Healthcare Trust / 2Q 2020 Supplemental Information
 
Page 17