INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas

INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
2020 Guidance & Action Plans
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
Forward-Looking Statements; Non-GAAP Financials; 2020 Guidance

This presentation contains “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. These forward-looking statements include, among others, statements of expectations, beliefs, future plans and strategies, anticipated results
from operations and developments and other matters that are not historical facts. The forward-looking statements are based on management’s beliefs as well as on a number of
assumptions concerning future events. Readers of these materials are cautioned not to put undue reliance on these forward-looking statements, which are not a guarantee of
performance and are subject to a number of uncertainties and other factors that could cause actual events or results to differ materially from those expressed or implied by the
forward-looking statements. The most important factors that could prevent the Company from achieving its stated goals include, but are not limited to: (a) the ability and
willingness of the Company’s tenants, operators, borrowers, managers and other third parties to satisfy their obligations under their respective contractual arrangements with the
Company, including, in some cases, their obligations to indemnify, defend and hold the Company harmless from and against various claims, litigation and liabilities; (b) the ability
of the Company’s tenants, operators, borrowers and managers to maintain the financial strength and liquidity necessary to satisfy their respective obligations and liabilities to
third parties, including without limitation obligations under their existing credit facilities and other indebtedness; (c) the Company’s success in implementing its business strategy
and the Company's ability to identify, underwrite, finance, consummate and integrate diversifying acquisitions and investments, including investments in different asset types and
outside the United States; (d) macroeconomic conditions such as a disruption of or a lack of access to the capital markets, changes in the debt rating on U.S. government
securities, default or delay in payment by the United States of its obligations, and changes in the federal or state budgets resulting in the reduction or nonpayment of Medicare or
Medicaid reimbursement rates; (e) the nature and extent of future competition, including new construction in the markets in which the Company’s senior housing communities
and medical office buildings are located; (f) the extent and effect of future or pending healthcare reform and regulation, including cost containment measures and changes in
reimbursement policies, procedures and rates; (g) increases in the Company’s borrowing costs as a result of changes in interest rates and other factors; (h) the ability of the
Company’s tenants, operators and managers, as applicable, to comply with laws, rules and regulations in the operation of the Company’s properties, to deliver high-quality
services, to attract and retain qualified personnel and to attract residents and patients; (i) the Company’s ability and willingness to maintain its qualification as a REIT in light of
economic, market, legal, tax and other considerations; (j) the ability and willingness of the Company’s tenants to renew their leases with the Company upon expiration of the
leases, the Company’s ability to reposition its properties on the same or better terms in the event of nonrenewal or in the event the Company exercises its right to replace an
existing tenant or manager, and obligations, including indemnification obligations, the Company may incur in connection with the replacement of an existing tenant or manager;
(k) consolidation activity in the senior housing and healthcare industries resulting in a change of control of, or a competitor’s investment in, one or more of the Company’s
tenants, operators, borrowers or managers or significant changes in the senior management of the Company’s tenants, operators, borrowers or managers; and (l) the other
factors set forth in the Company‘s periodic filings with the Securities and Exchange Commission.

This presentation contains certain non-GAAP financial measures. You can find a reconciliation of these non-GAAP financial measures in the Investors Relations section of the
Company’s website:

The Company’s 2020 guidance contained herein is based on a number of assumptions that are subject to change and many of which are outside the control of the Company. If
actual results vary from these assumptions, the Company’s expectations may change. There can be no assurance the Company will achieve these results.

                                                                    Guidance & Action Plans - February 2020                                                                                2
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
Table of Contents
Executive Summary                                                                      4

2020 Guidance Building Blocks (4Q 2019 x 4)                                        5 – 10

   A) FFO                                                                           6–7

   B) Senior Housing                                                                   8

   C) Office and Healthcare NNN                                                    9 – 12

Investing in Growth                                                               13 – 25

   A) Senior Housing Action Plan                                                  14 – 17

   B) Perpetual Life Vehicle                                                      18 – 20

   C) Development                                                                 21 – 25

Commitment to ESG                                                                     26

Conclusion                                                                            27

Appendix                                                                          28 – 29

                                        Guidance & Action Plans - February 2020             3
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
Executive Summary: 2020 Guidance & Action Plans
   Delivered 2019 & 4Q enterprise earnings expectations. Same-store segment & portfolio also in line with latest guidance

   Post Q3, communicated implied Q4 2019 x 4 ($3.64) a “good start point” for 2020 FFO

   2020 FFO guidance midpoint of $3.63 per share, despite $1.3B / ($0.08) per share of disposition dilution

   Does not include new fees, investments or capital market activities

   Executing senior housing action plan, including:1

       •   Appointed J. Hutchens EVP, North America Senior Housing – a newly created role that greatly expands leadership

       •   Initiated plans to sell $0.6B of non-core senior housing assets

       •   Have taken initial steps to effectuate institutional JV with respect to Eclipse (“ESL”) portfolio

       •   Accelerating targeted capex

       •   Updated SHOP non-GAAP same store methodologies

   Sponsored and formed perpetual life vehicle (the “Fund”) as a new growth platform2
          Additive to VTR’s investment capacity

   Momentum in R&I development with strong pipeline for continued expansion
                                                                                                                1. There can be no assurance as to
   Accelerated ESG leadership                                                                                     whether, when or on what terms these
                                                                                                                   transactions will occur.
                                                                                                                2. There can be no assurance as to
                                                                                                                   whether, when or on what terms the
   Cohesive & aligned team committed to stakeholders                                                              Fund will close.

                                                   Guidance & Action Plans - February 2020                                                                4
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
2020 Guidance Assumptions

Full Year 2020 Earnings Guidance (per share)                         Sources & Uses
   Net Income Attributable to Common                                  Transactions                 $B     Commentary
                                         $1.61 - $1.74
                                                                      Sale of non-core senior             Strategic senior housing
   Nareit FFO                            $3.79 - $3.94                housing assets                      dispositions

   Normalized FFO                        $3.56 - $3.69                Other dispositions & loan           Includes dispositions initially
                                                                      repayments                          targeted for 2019
                                                                      Contribution of Fund seed           Launching a new business line and
Same-Store 2020 vs. 2019 NOI Growth Guidance                                                      $0.6
                                                                      assets                              seeding with 5 Office assets
                                               Range                  Total Sources               $1.3B
  Total Portfolio Same-Store NOI        (1.5%) – 1.0%

                                                                                                          Principally in the Office segment
  Segment Same-Store NOI                                              (Re)development spend       $0.6
                                                                                                          and LGM
  NNN                                     1.5% - 2.5%
                                                                      Debt repayment              $0.7
  SHOP                                 (9.0%) – (4.0%)
                                                                      Total Uses                  $1.3B
  Office                                  3.0% - 4.0%
    R&I Midpoint                                 9.0%
    Medical Office Midpoint                    1.75%

                                          Guidance & Action Plans - February 2020                                                             6
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
2020 Earnings Guidance: Adjusted 2019 4Q x 4 Drives 2020 Expectations
4Q19 Normalized FFO/sh.                                   $0.93

4Q 2019 Adjustments                                      ($0.01) • Fees and a cash tax refund that will not carry over into 2020

4Q2019 Adjusted Normalized FFO                             $0.92

4Q19 Annualized Adjusted Normalized FFO/sh.               $3.68

     1         Senior Housing (NNN & SHOP)                 $0.00 • Senior housing flat relative to 4Q 2019 annualized

     2         Other Property NOI Growth                   $0.04 • Continued strength in Office and NNN healthcare

     3         Capital Recycling                         ($0.05)
                                                                   • Rotating out of ~$750M of non-core seniors housing and other assets to fund investment in R&I
                                                                     and LGM developments

               Asset Contributions to Seed Fund with               • Seeding new business platform with proceeds used to reduce debt ($0.6B at 4.9% cash cap rate)
     4         Proceeds Used to Repay Debt
                                                                   • Expected to be accretive as assets under management scale

     5         Other                                     ($0.01) • Various items

2020 FFO/sh. Guidance Mid-Point                           $3.63

  Guidance midpoint in line with prior communication despite ($0.08)/sh of dilution from incremental dispositions
                                                       Guidance & Action Plans - February 2020                                                                       7
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
Senior Housing Impacted by 2019 Endpoint and Cumulative Supply

SHOP 4Q 2019 x4 Drives 2020 Same-Store                                               VTR U.S. Same-Store SHOP Portfolio Occupancy1

                                                                                                    VTR U.S. SS SHOP YoY RevPOR Growth
   2020 YoY SHOP same-store NOI growth guidance (9%) – (4%)                        87.5%

                                                                                    87.0%           1Q19      2Q19       3Q19     4Q19

   2020 SHOP same-store NOI drivers                                                86.5%
                                                                                                    0.2%      0.4%       0.3%     0.6%
                                                                                                                                                   gapped out             (170bps)
         1.   2H19 revenue trajectory lowered 2020 starting point                   86.0%                                                           (130bps)
                                                                                                                                                   YoY in Sep.
                                                                                                                                                                          YoY gap
                                                                                                                                                                           in 4Q19
                                                                                    85.5%                                                                                   and at
         2.   Cumulative supply                                                                                                                                             12/31

                                                                                              Jan     Feb   Mar   Apr   May Jun   Jul Aug    Sep     Oct    Nov     Dec
                                                                                                                          2018    2019

Eclipse Impacted 2019 Same-Store SHOP Results                                      Triple-net Senior Housing Guidance & Run Rate
YoY Growth
                                   2019            4Q 2019
                                                                                        $10M impact in 2019 (incorporated in 4Q 2019 run rate)
    SHOP Same-Store Growth
                                   (4.4%)          (7.5%)                                becomes $20M in 2020
    SHOP Same-Store Growth
    (Excluding ESL)
                                   (3.1%)          (4.0%)                               Earnings guidance range incorporates incremental impact
                                                                                         if appropriate

    ESL experienced unique performance issues
                                                                                                                                            1.   Based on 2019 U.S. same-store pool
                                                                                                                                                 of 299 properties.

                                                    Guidance & Action Plans - February 2020                                                                                   8
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
Growth from Office & Healthcare NNN Portfolios

           International Hospitals 1%
                   Skilled Nursing 1%     Loans

               IRFs & LTACs                                                     Office and NNN Healthcare (42% of NOI)
               Health                                                           2020 Guidance
NNN          Systems
                                                                                 NNN Healthcare: steady growth with continued
HEALTHCARE                6%                                                      strong performance from Ardent
                                                                                 Office: 3.5% same-store NOI growth at midpoint
                                      ~$2B NOI                                      o MOB: steady 1.75% growth at midpoint
                                                                                    o R&I: robust 9.0% growth at midpoint led by
OFFICE                                                                                developments, complemented by solid organic
27%                                                                                   growth
                                     7%                   Senior
                               R&I                      (Operating
                                                         & NNN)
                                                                                                                       Note: Data per 4Q19 filings as of 2/20/2020.

                                                  Guidance & Action Plans - February 2020                                                                    9
INVESTOR PRESENTATION - 2020 Guidance & Action Plans - Ventas
Office & Triple-Net Healthcare

 R&I: Forward Facing with Exceptional Performance                                Continued Strong Performance from Ardent
 YoY Same-Store Cash NOI Growth & Occupancy                                      Stable EBITDARM Coverage
        YoY Same-Store NOI Growth
        Occupancy (Same-Store)                              97%
                        12.6%                               12.2%
         8.6%                                                                                                 3.1x      3.1x                   3.1x

         Q4'18          Q1'19       Q2'19    Q3'19          Q4'19                          Q4'18              Q1'19     Q2'19                  Q3'19

 Strong Industry Drivers in R&I                                                       Miami Science & Technology Park           The Chesterfield
 Biotech Market Value & Biotechs with >$1B

         Biotechs >$1B (Count)                       $803
         Total Mkt. Value ($B)



 $600                                                               100








                 33                 38                              20

  $0                                                                0

                 2006               2012             2018

                                                                                                                                   Note: Data per 4Q19 filings as of 2/20/2020.

                                                     Guidance & Action Plans - February 2020                                                                             10
Leading National Medical Office (MOB) Portfolio

          $393M                            358                                     20M                                                      >160                         33
            NOI                                                                                                          Hospital + Health
                                          MOBs                               Outpatient Sq. Ft.                                                                         States
       (20% VTR NOI)                                                                                                     System Affiliations

                                                                                                                                                 VT NH

                                                                       MT                                                                            ME
                                                  OR                                         MN
                                                            ID                                          WI
                                                                                  SD                                                        NY
                                                                        WY                                         MI                                              RI
                                                                                              IA                                       PA                         CT
                                                            ID                    NE
                                                       NV                                                                                                    NJ
                                                                  UT                                         IL   IN    OH
                                                                            CO                                               WV
                                             CA                                                   MO                                   VA
                                                                                       KS                                                           DC
                                                             AZ                         OK         A                         NC
                                                                        NM                                                        SC
                                                                                                                  AL     GA

                                                                                   TX              LA

                                                                                                                                  FL        F

                                    Reliable Cash Flows from High-Quality Outpatient Portfolio                                                                                   Note: Data per 4Q19 filings as
                                                                                                                                                                                 of 2/20/2020.

                                                            Guidance & Action Plans - February 2020                                                                                                      11
            = Top tenant by base rent
Strong VTR Outpatient Positioning
                                                                           On-Campus/Affiliated With Leading Health
  High-Quality Diversified Tenant Mix
                             % ANN.           TENANT
                            BASE RENT         CREDIT

   Ascension Health              4%              AA+

   Advocate Aurora Health        4%              AA

   Providence St. Joseph
                                                                                               97%    96%
                                 4%              AA-
   Health                                                                                    On-Campus/
   Bon Secours Mercy
                                 3%              A+                                           Affiliated

   United Healthcare             2%              A+

   Ohio Health                   2%              AA+

   Remaining Tenants            81%
Executing Senior Housing Action Plans1
   Appointed Justin Hutchens as EVP, North America Senior Housing – a newly created role
          Adds operational focus
          100% dedicated senior housing leader augments & compliments capable existing team
   Initiated plans to sell $0.6B of non-core senior housing assets
       o Targeted dispositions, incorporated in 2020 guidance, improve YoY same store growth expectations by 50-100bps

   Intend to enter into institutional joint venture (JV) on ESL portfolio and have taken steps to effectuate
       o JV is excluded from earnings guidance; impact depends on timing & use of proceeds
   Accelerating targeted capex to protect & enhance competitive position in priority markets
       o Including redevelopments, VTR is forecasting +50% YoY increase in 2020 capital spend
   Updated SHOP non-GAAP same store methodologies – consistent with PEAK
       o Provides enhanced consistency, transparency & comparability between companies
       o Adoption reduces 2020 same store SHOP NOI YoY growth guidance by 50-100bps, as certain non-stabilized
         redevelopments in lease-up are excluded
o Senior housing fundamentals continue to improve with 2019 absorption at highest on record (24K units2), and for the second
  consecutive quarter absorption outpaced inventory growth; starts improved to their lowest level since 3Q 2012
             Coordinated set of actions to improve performance and position Ventas for success and growth
                                                                                                                1. There can be no assurance as to whether, when
                                                                                                                   or on what terms these transactions will occur.
                                                                                                                2. 4Q19 NIC Data for top 99 markets

                                               Guidance & Action Plans - February 2020                                                                      14
Attracting Top Caliber Talent
               Justin Hutchens will join Ventas as Executive Vice President, North America Senior Housing on April 1, 2020
               •   Hutchens is a proven senior housing leader with operating experience and deep industry relationships
               •   Hutchens will oversee Ventas’s Senior Housing business, which includes over 700 properties and represents more
                   than half of the Company’s NOI
               •   Confident in Ventas and senior housing recovery
               Prior Roles:
               • CEO, HC-One, Britain’s largest residential and nursing care home operator with over 300 communities in England, Scotland & Wales
               • President, HCP (now HealthPeak Properties)
               • CEO, Chief Operating Officer and President, National Health Investors
               • Chief Operating Officer, Emeritus Senior Living

               Carey S. Roberts will join Ventas as Executive Vice President, General Counsel and Ethics and Compliance Officer in
               early March
               • Roberts will lead the Company’s legal, compliance and enterprise risk management functions
               • Roberts has a proven ability to serve as a partner and legal advisor
               Prior Roles:
               • Executive Vice President, Chief Legal Officer & Corporate Secretary, Assurant Inc.
               • Deputy General Counsel, Corporate Secretary & Chief Compliance Officer, Marsh & McLennan Companies, Inc.
               • Partner Covington & Burling LLP

SHOP Action Plans: Market & Asset Prioritization

   SHOP Actions                                         Prioritization                                         Accelerating targeted capex to protect and enhance
                                                                                                                competitive position in priority markets
                                                                                                               Targeting selective non-strategic dispositions to
                                                                                                                improve near term performance and longer-term
                                                                                                                growth profile
Operational Recovery
Plans with Operators                             Focus of Capital Deployment
                         Market Attractiveness
                                                                                                         Accelerating targeted capital spend

                                                                                                              $350                                                         $2,550
 Capital Deployment                                                                                           $300
                                                                                                              $250                                                         $2,400

                                                                                                                                                                                    $ per unit

                                                                                                 $ Millions
Tactical and Strategic                            Non-Strategic Dispositions                                  $150
   Portfolio Moves
                                                                                                              $100                                                         $2,200
                                                                                                                $0                                                         $2,050
                                                                                                                          2018A           2019A              2020E
                                                     Competitive Position                                            FAD Capex (LH)   Dev/Redev Capex (LH)   FAD Capex/Unit (RH)

                                                       Guidance & Action Plans - February 2020                                                                                        16
Targeted Non-Strategic Dispositions Strengthen SHOP Cash Flows & Portfolio

                       Enhances near-term cash flow growth; +50-100bps benefit to 2020 same-store
                        SHOP growth (included in guidance)
                         • Dispositions concentrated in supply-challenged sub-markets

                       Increases portfolio average NOI margin and occupancy

                       Reduces exposure to high cumulative supply sub-markets
                         • Dispositions concentrated in high supply / low barrier-to-entry markets (e.g.
                           Houston, Atlanta)

                       Includes assets in submarkets in both primary and secondary MSAs

                       Improves overall portfolio demographic profile

                          Sale process is well underway and competitive

                                                                                                      Photos for illustrative purposes

                                 Guidance & Action Plans - February 2020                                                                 17
Perpetual Life Vehicle Targeting Core Life Science, Medical Office &
Senior Housing Real Estate

                        Fund Enhances Long-Term Shareholder Returns
                         Launching in Q1 2020 with over $700M in assets under management and third-party
                          equity commitments of $650M1
                         Builds a new business platform that can augment and drive enterprise growth
                         Fund will utilize Ventas’s brand, industry expertise and team and provides numerous
                          strategic benefits to Ventas including:
                           o Adds incremental acquisition capacity on select set of assets

                           o Expands Ventas’s strategic reach

                           o Enables global institutional investors to invest with Ventas in a public or private investment

                           o Establishes Ventas as a first-mover in private capital formation among public REITs in the
                             life science, medical office and senior housing real estate space

                           o Steady cost of capital further expands and diversifies our capital sources

                                                                                    Note: Photos for illustrative purposes
                                                                                    1. There can be no assurance as to whether, when or on what terms the Fund will close.

                                    Guidance & Action Plans - February 2020                                                                                             19
Perpetual Life Vehicle

                         Fund Structure1
                          Ventas to contribute 5 high-quality, stabilized life science and medical office
                           assets (1.2M sq. ft.) valued at a 4.9% going-in cash cap rate
                          Ventas expected to hold ~20% ownership stake in Fund to participate in
                           cash flows and ensure alignment with Fund investors
                          Conservative capital structure, in line with Ventas targets
                          Perpetual life, expected to grow AUM over time
                          Ventas will earn asset management fees and a promote if Fund investors
                           receive targeted returns
                          Excluded investments include: non-stabilized assets, R&I development
                           pipeline, existing senior housing & other relationships (Atria, Wexford, PMB)
                          Fair allocation methodology for qualifying investments, VTR does not
                           anticipate contributing incremental balance sheet assets
                                                                            Note: Photos for illustrative purposes
                                                                            1. There can be no assurance as to whether, when or on what terms the Fund will close.

                                  Guidance & Action Plans - February 2020                                                                                       20
R&I Development Pipeline: Driving Value Creation
           $ in Millions                                                                                                                             Expected
                                                     Sq. Ft.         Total         Total       Life-to-Date    Expected         Expected            Stable Cash
          Property Name               MSA(s)         (000’s)     Project Costs   VTR Share     VTR Share      Completion       Stabilization        Yield & NOI           % Leased

          University of Pittsburgh    Pittsburgh           353           $277          $266             $26           2021                2023                 7.0%          70%

          One uCity Square            Philadelphia         400            271           250              16           2022                2023                 7.0%           0%

          Drexel University
          College of Nursing and      Philadelphia         450            275           265              11           2022                2022                 7.0%          100%
          Health Professions

          4210 Duncan                 St. Louis            317            117           111               4           2021                2024                 7.0%           0%

          Arizona State University    Phoenix              227             77            74              19           2020                2022                 7.7%          50%

          Total R&I                                     1,747K        $1,018M        $965M            $74M                                                   ~$70M            46%

                                     Committed to expanding premier position in university-based R&I sector
                                     via exclusive relationship with Wexford, which is excluded from the Fund

                             Majority of current Wexford development NOI does not come online until late 2021
                                                                                                                  Note: Data per 4Q 2019 press release and supplemental as of 2/20/2020.

                                                     Guidance & Action Plans - February 2020                                                                                               22
Philadelphia (uCity) Snapshot: Going from Strength to Strength

                                                                                          Drexel School
                                    3711                                                  of Nursing and      One        Developable     DEVELOPMENTS
                                               3737 Market    3401 Market   3675 Market                                                                            + LAND
                                   Market                                                     Health          uCity         Land             TOTAL

    Completion Year1                2008          2011           2004          2018           2022            2022            --

    # Properties / Parcels            1             1              1             1              1              1              6               2                            8

                                                                                              Active          Active     Opportunistic
    Status                        Stabilized    Stabilized     Stabilized    Stabilized
                                                                                           Development     Development   Development

    Square Feet                     155K          33K             91K          356K           450K            400K          ~3M+             850K                  ~3.5M-4.0M+

    % Leased                        98%           100%           100%          96%            100%             --             --

    Purchase Price / Total Cost
    / Potential Developable         $86M          $91M           $26M         $186M           $275M          $271M          $1B+             $0.5B                     $1.5B+
    Cash / GAAP Expected
                                  8% / 8%      10% / 14%        8% / 8%       8% / 9%       7% / 10%         7% / 8%         n/a           ~7% / ~9%               ~7%+ / ~8%+
    2020 / Stabilized Yield

                                                                                             Updates on next slide

                                                                                                                                                  1. Where applicable, completion date is
                                                                                                                                                  as of last renovation.

                                                             Guidance & Action Plans - February 2020                                                                                  23
uCity Continues to Experience Strong Demand

                                                                                                           Ventas and Wexford commenced
 Drexel University exercised option to increase         In November 2019, Amicus Therapeutics
                                                                                                            construction at One uCity
  size of its build-to-suit development to 450K sq.       (“Amicus”) took possession of its 76K sq. ft.
  ft. (from 258K sq. ft.) during Q4 2019                  space at 3675 Market Street                      $271M expected total project costs
 The Drexel College of Nursing and Health               Amicus selected Philadelphia and 3675            400K sq. ft.
  Professions is 100% leased to Drexel                    Market Street to be its gene therapy             Ventas’ existing 4 buildings in the thriving
                                                          research hub after announcing a major             uCity sub-market are nearly 100% leased
 $275M expected total project costs (previously
                                                          collaboration with University of
  $153M)                                                                                                   Experiencing strong leasing interest
                                                          Pennsylvania School of Medicine for gene
 7% cash yield (nearly 10% GAAP yield)                   therapy in October 2018                          One uCity is designed to capture
  expected                                                                                                  momentum and fill robust leasing demand
 Expected to open in 2022                                                                                  in exciting uCity submarket
                                                                                                           The project is expected to open in early

                                                      Guidance & Action Plans - February 2020                                                              24
Le Groupe Maurice Developments: Attractive Growth & Value Creation

                                IVVI                      Vast                    Elogia II                 Cornelius                      Liz

   Location               Montreal, Quebec          Montreal, Quebec          Montreal, Quebec          Montreal, Quebec           Montreal, Quebec

   Expected Delivery            2020                      2020                      2021                      2022                        2022

   Units                        399                       378                       287                        291                         366

   Pre-leasing         Currently 79% reserved;   Currently 72% reserved;   Currently 67% reserved;     Sales office will open   Sales office not currently
   Momentum              41% of reservations       17 reservations per       13 reservations per     Spring 2020 with opening             open
                        already converted into     month on average          month on average         occupancy targeted at
                                leases                                                                         75%

                                Strong Fundamentals & Momentum in Quebec, Canada
                                             • Large, thriving independent living market
   Quebec is the Strongest                   • High quality product at affordable rates
  Senior Housing Market in                   • ~18% penetration rate (2x Canadian average)
   Canada, with Favorable                    • Over 93% occupancy in Quebec,170bps above the national average; 190bps improvement since 2013
      Demographics &                         • Senior population expected to grow at 3.6% CAGR over next 20 yrs – doubling base
        Penetration                          • Growth requires 6,600+ new SH units annually over next 20 years to keep up with demand
                                             • Required supply equivalent to 20 large-scale, 300+ unit projects each year

                                                            Guidance & Action Plans - February 2020                                                          25
Accelerated Environmental, Social and Governance (ESG) Leadership

   Achievements in Major Sustainability Ratings & Rankings                                        Industry Leadership & Reputation

        First Time Inclusion in the 2020 Bloomberg Gender-                                  Company Leadership Recognitions
        Equality Index (GEI), earning strong scores for overall                             HBR 100 Best Performing CEOs in the World; Modern
        disclosures, and data excellence in gender pay parity and                           Healthcare 100 Most Influential People in Healthcare;
        sexual harassment policies                                                          Elected Chair of the Real Estate Roundtable

        First Time Inclusion in Dow Jones Sustainability World                              Environmental, Social and Governance
        Index of Public Real Estate Companies in 2019, which only
        includes companies that rank in the top 10% of their                                • Published 2019 Corporate Sustainability Report in
        industries                                                                            accordance with international gold standard (Global
                                                                                              Reporting Initiative)
        Maintained 1st Place Ranking among four listed Healthcare                             Report is organized around three key pillars: people,
        Real Estate participants in 2019 GRESB ESG Assessment                                 performance & planet, based on a materiality assessment
        for the third consecutive year                                                        with key internal & external stakeholders

        Nareit Leader in the Light: Nareit Leader in the Light for the
        third consecutive year in 2019

        Inclusion as a top 10 constituent of two new green REIT
        indices: S&P Dow Jones Green REIT Index and FTSE
        EPRA Nareit Green Index

                                                  Guidance & Action Plans - February 2020                                                           26

1. 2020 FFO & Property Guidance
      FFO In line with Q4 2019 X 4
      Senior housing supply impacts
      Strength in Office and Healthcare NNN

2. Taking Action to Position for Growth & Success

3. Growth Vehicles
      Fund
      Development

4. Commitment to ESG

5. Cohesive & Aligned Team Committed to Stakeholders

                                      Guidance & Action Plans - February 2020   27
Normalized FFO Considerations (as presented in November 2019)

                                             Implied Q4 2019 Normalized FFO = $0.91 at midpoint1
                      2019E Normalized       Note: 2018 Q4 ($0.96) annualized within 2019 Normalized FFO expectations of $3.81
                      FFO/sh Guidance        - $3.85

                                             2020 Considerations2
Q4 Implied

  at FY

                                             1. Senior Housing:
                                             •   2H 2019 SHOP trends have significant implications for 2020
                                             •   2020 carryover for NNN senior housing 2019 impact nearly double 2019 impact
                                             •   Any incremental NNN senior housing impact dependent on market conditions
                                             2. Other Property:
   Q1-Q3 Actuals

                                             •   Stable growth with GAAP same-store NOI growth typically 100 bps below cash
                                             •   R&I development NOI is largely expected to come online 2021/22 and beyond
                                             3. Other Considerations:
                                             •   Carryover impact of LGM investments
                                             •   Carryover impact of late 2019 dispositions
                                                                                                                     1: Data per Q3 2019 press release, supplemental,
                                             •   Excludes new unannounced investments or capital markets activity    and earnings conference call dated 10/25/2019.
                                                                                                                     2: Excludes the impact of unannounced new
                   2019E Normalized FFO/Sh

                                                 Guidance & Action Plans - February 2020                                                                      29
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