National Healthcare Properties Reports Third Quarter 2026 Results
National Healthcare Properties, Inc. (NHP) filed an SEC Form 8-K — Results of Operations and Financial Condition. National Healthcare Properties Reports Third Quarter 2026 Results — SHOP Same Store Cash NOI increased 13.6% year-over-year — — $664 million of 2026 SHOP acquisitions completed or under definitive agreement — —SHOP Same Store Cash NOI growth guidance increased by 100bps at its mi
How this was made
The 30-second read
Why it matters
The raised guidance and strong NOI growth provide a catalyst for short‑term price appreciation, while the ongoing OMF divestiture adds execution risk.
Market read
First‑time disclosure of earnings and guidance lift makes this a high‑impact news item for NHP and related senior‑housing REITs.
What to watch
Higher debt levels and leverage reduction timeline may temper enthusiasm until the OMF exit completes.
National Healthcare Properties Reports Third Quarter 2026 Results — SHOP Same Store Cash NOI increased 13.6% year-over-year — $664 million of 2026 SHOP acquisitions completed or under definitive agreement — SHOP Same Store Cash NOI growth guidance increased by 100bps at its mid-point
SHOP same-store operating metrics strengthened and full-year SHOP Same Store Cash NOI growth guidance was raised, while FFO per share and Normalized FFO per share declined year-over-year and the OMF segment's Same Store Cash NOI declined.
Actuals vs. the company’s prior outlook
from its previous release| Metric | Guided | Reported | Verdict |
|---|---|---|---|
| SHOP Same Store Cash NOI growth | 15.0% to 18.0% | 13.6% year-over-year | n/a |
| Acquisitions | $375 million to $425 million | Year-to-date, the Company has acquired 25 SHOP communities for approximately $424 million. | n/a |
| General and administrative expense, including equity-based compensation | $27 million to $28 million | 7,806 | n/a |
| Equity-based compensation | $6 million to $7 million | 2,134 | n/a |
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue from tenants, three months ended September 30, 2026GAAP | $103.1M | – | – |
| Revenue from tenants, nine months ended September 30, 2026GAAP | $276.9M | – | – |
| Property operating and maintenance expense, three months ended September 30, 2026GAAP | 69,576 | – | – |
| Property operating and maintenance expense, nine months ended September 30, 2026GAAP | 176,613 | – | – |
| Total expenses, three months ended September 30, 2026GAAP | 109,548 | – | – |
| Total expenses, nine months ended September 30, 2026GAAP | 268,168 | – | – |
| Operating income, three months ended September 30, 2026GAAP | 31,812 | – | – |
| Operating income, nine months ended September 30, 2026GAAP | 47,005 | – | – |
| Net income, three months ended September 30, 2026GAAP | 20,240 | – | – |
| Net income, nine months ended September 30, 2026GAAP | 10,573 | – | – |
| Net income attributable to common stockholders, three months ended September 30, 2026GAAP | 17,778 | – | – |
| Net income attributable to common stockholders, nine months ended September 30, 2026GAAP | 2,034 | – | – |
| Net income per share attributable to common stockholders, basic, three months ended September 30, 2026GAAP | $ 0.24 | – | – |
| Net income per share attributable to common stockholders, diluted, three months ended September 30, 2026GAAP | $ 0.24 | – | – |
| Net income per share attributable to common stockholders, basic, nine months ended September 30, 2026GAAP | $ 0.04 | – | – |
| Net income per share attributable to common stockholders, diluted, nine months ended September 30, 2026GAAP | $ 0.04 | – | – |
| NOI, three months ended Q3 2026non-GAAP | $33.49M | – | – |
| FFO attributable to common stockholders, three months ended Q3 2026non-GAAP | 9,210 | – | – |
| FFO per common share, diluted, three months ended Q3 2026non-GAAP | $ 0.13 | – | decreased 43.5% year-over-year |
| Normalized FFO attributable to common stockholders, three months ended Q3 2026non-GAAP | $13.65M | – | – |
| Normalized FFO per common share, diluted, three months ended Q3 2026non-GAAP | $ 0.19 | – | decreased 29.6% year-over-year |
| Adjusted EBITDA, three months ended Q3 2026non-GAAP | 32,923 | – | – |
| Further Adjusted EBITDA, three months ended Q3 2026non-GAAP | $32.56M | – | – |
| Net Leverage (Net debt / Annualized Adjusted EBITDA), Q3 2026non-GAAP | 5.5 x | – | improved by 3.3x |
| SHOP Same Store Cash NOI growth, third quarter 2026non-GAAP | 13.6% | – | 13.6% year-over-year |
| SHOP Same Store average occupancy, third quarter 2026other | 86.7% | – | an increase of 2.2% year-over-year |
| SHOP Same Store RevPOR, third quarter 2026other | 4.0% | – | increased 4.0% year-over-year |
| SHOP Same Store Cash NOI Margin, third quarter 2026non-GAAP | 24.3% | – | an expansion of 1.5% year-over-year |
| OMF Same Store Cash NOI growth, third quarter 2026non-GAAP | decreased by 0.3% | – | decreased by 0.3% year-over-year |
| OMF Same Store ending occupancy, third quarter 2026other | 95.6% | – | an increase of 0.2% year-over-year |
| Cash and cash equivalents as of September 30, 2026GAAP | 125,069 | – | – |
| Total debt outstanding, net of discounts and unamortized debt issuance costs, as of September 30, 2026other | approximately $851.2 million | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| OMF SegmentOMF segment Same Store Cash NOI decreased by 0.3% year-over-year, while Same Store ending occupancy totaled 95.6%, an increase of 0.2% year-over-year. | $22.34M | – | – |
| SHOP SegmentSHOP Same Store Cash NOI growth was 13.6% year-over-year; Same Store average occupancy totaled 86.7%, an increase of 2.2% year-over-year; Same Store RevPOR increased 4.0% year-over-year; and Same Store Cash NOI Margin was 24.3%, an expansion of 1.5% year-over-year. | $80.72M | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Full Year 2026 outlook
- Operating expensesGeneral and administrative expense, including equity-based compensation: $27 million to $28 million; Equity-based compensation: $6 million to $7 million
- NoteSHOP Same Store Cash NOI growth: 16.5% to 18.5%
- NoteAcquisitions: $425 million to $645 million
- NoteDispositions: $1.1 billion
- NoteSame Store SHOP Recurring Capital Expenditures: $10 million to $11 million
- NoteTotal OMF Portfolio Recurring Capital Expenditures: $7 million to $8 million
Capital returns
- A quarterly dividend of $0.075 per share of common stock was declared on July 1, 2026 and paid in cash on July 30, 2026.
- A quarterly dividend of $0.075 per share of common stock was declared on October 1, 2026 and paid in cash on October 16, 2026.
- On September 4, 2026, the Company redeemed all 3,289,061 outstanding shares of its 7.375% Series A Cumulative Redeemable Perpetual Preferred Stock at $25.00 per share plus accrued and unpaid dividends thereon.
- On October 6, 2026, the Company redeemed all 2,850,427 outstanding shares of its 7.125% Series B Cumulative Redeemable Perpetual Preferred Stock at $25.00 per share plus accrued and unpaid dividends thereon.
- The Company expects to save approximately $11 million in annual preferred dividends as a result of the preferred-stock redemptions.
What drove it
- Third quarter portfolio Same Store Cash NOI growth was 8.4% year-over-year.
- During the third quarter, the Company acquired 22 SHOP communities, consisting of 1,381 units, for a total purchase price of $300 million.
- Subsequent to the third quarter, the Company acquired one SHOP community, consisting of 79 units, for a purchase price of $26 million.
- The Company has signed purchase and sale agreements for approximately $240 million of SHOP acquisitions with estimated weighted average year-one and year-three cap rates of approximately 7.4% and 8.7%, respectively, plus an additional approximately $148 million of SHOP acquisitions under non-binding letters of intent.
- In September 2026, the Company completed the sale of the first 30 OMFs in its previously announced 86-OMF portfolio sale for approximately $198 million.
- The remaining 56 OMFs are subject to a $219 million loan assumption and are expected to close in Q4 2026 for $331 million.
Concerns
- FFO per share decreased 43.5% year-over-year to $ 0.13 per diluted share.
- Normalized FFO per share decreased 29.6% year-over-year to $ 0.19 per diluted share.
- OMF Same Store Cash NOI decreased by 0.3% year-over-year.
- The Company stated that there can be no assurance that pending acquisition and disposition transactions will close on the terms described, or at all.
- The Company reported impairment charges of 6,874 for the three months ended September 30, 2026.
What to watch
- Completion of the remaining 56 OMF dispositions expected to close in Q4 2026 for $331 million.
- Execution of the definitive agreement to sell an additional 40 OMFs for approximately $531 million and the non-binding letter of intent for the remaining four OMFs.
- Closing and integration of approximately $240 million of SHOP acquisitions under signed purchase and sale agreements and approximately $148 million under non-binding letters of intent.
- Delivery against full-year SHOP Same Store Cash NOI growth guidance of 16.5% to 18.5%.
- Progress toward fully exiting the OMF segment and achieving a SHOP-only portfolio.
Balance sheet and cash flow
- Cash and cash equivalents were 125,069 as of September 30, 2026, versus 57,620 as of December 31, 2025.
- Total assets were $ 1,914,815 as of September 30, 2026, versus $ 1,711,772 as of December 31, 2025.
- Total debt outstanding, net of discounts and unamortized debt issuance costs, was approximately $851.2 million as of September 30, 2026, with a weighted average economic interest rate of 5.12% and an average remaining term of 4.9 years.
- In August 2026, the Company repaid the $332 million outstanding under its Fannie Mae secured debt due to mature in November 2026.
- The Company repaid in full Secured Term Loan 1 due 2028 and Secured Term Loan 3 due 2031, totaling $119 million, in connection with the sale of the first 30 OMFs.
- Total lender commitments under amended and restated senior unsecured credit facilities increased from $550 million to $1.2 billion.
- No operating cash flow or free cash flow was reported in the filing.
Analysis
National Healthcare Properties reported stronger SHOP operating momentum in the third quarter. Portfolio Same Store Cash NOI growth was 8.4% year-over-year, led by 13.6% growth in SHOP Same Store Cash NOI. SHOP average occupancy reached 86.7%, up 2.2% year-over-year, RevPOR increased 4.0% year-over-year, and SHOP Same Store Cash NOI Margin was 24.3%, an expansion of 1.5% year-over-year. OMF Same Store Cash NOI decreased by 0.3% year-over-year despite ending occupancy of 95.6%, up 0.2% year-over-year.
Revenue from tenants was $ 103,062 for the three months ended September 30, 2026, compared with $ 86,026 in the prior-year period. GAAP operating income was 31,812, compared with 2,375, and GAAP net income was 20,240, compared with a net loss of (12,534). The quarter included a gain on sale of real estate investments of 38,298 and impairment charges of 6,874. FFO per common share was $ 0.13, down 43.5% year-over-year, while Normalized FFO per common share was $ 0.19, down 29.6% year-over-year.
The portfolio is being reshaped toward SHOP through acquisitions and OMF dispositions. The Company acquired 22 SHOP communities for a total purchase price of $300 million during the third quarter, and year-to-date acquisitions totaled approximately $424 million across 25 SHOP communities. It completed the sale of 30 OMFs for approximately $198 million in September and expects to fully exit the OMF segment inclusive of announced and contemplated transactions. Pending SHOP acquisitions include approximately $240 million under signed agreements and approximately $148 million under non-binding letters of intent.
Balance-sheet actions reduced secured debt and expanded unsecured borrowing capacity. The Company repaid $332 million of Fannie Mae secured debt in August and repaid $119 million of secured term loans following the first OMF sale. Total debt outstanding was approximately $851.2 million as of September 30, 2026, and Net Leverage was 5.5 x, compared with 8.8 x as of September 30, 2025. The preferred-stock redemptions are expected to save approximately $11 million in annual preferred dividends.
Full-year guidance reflects the SHOP operating performance and portfolio repositioning. The Company raised SHOP Same Store Cash NOI growth guidance to 16.5% to 18.5% from 15.0% to 18.0%, raised acquisition guidance to $425 million to $645 million, and raised disposition guidance to $1.1 billion. General and administrative expense guidance remained $27 million to $28 million, including equity-based compensation guidance of $6 million to $7 million. The key execution items are the remaining OMF exits, the pending SHOP acquisitions, and delivery of the higher SHOP same-store growth outlook.
Management, verbatim
2026 continues to be a transformational year for the Company, and the third quarter included important milestones in our pursuit of a SHOP-only portfolio and an investment grade balance sheet. During the quarter, we succeeded in strategically increasing our same-store SHOP occupancy to improve our operating position into the fourth quarter, closed on more than $300 million of SHOP acquisitions at attractive yields, and utilized proceeds from our new unsecured term loan and the first tranche of our OMF exit to significantly reduce our secured debt. We enter the fourth quarter with a stronger platform and clear momentum, focused on delivering long-term value for our shareholders
Michael Anderson, Chief Executive Officer and President
Not in the filing
stated, not guessed- Gross margin was not reported.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Share repurchases were not reported.
- Quarterly revenue growth percentage was not reported on the revenue line.
- Quarterly operating-income growth percentage was not reported on the operating-income line.
- Quarterly net-income growth percentage was not reported on the net-income line.
- Prior-year SHOP Same Store Cash NOI Margin was not reported.
- Prior-year SHOP Same Store average occupancy was not reported.
- Prior-year OMF Same Store ending occupancy was not reported.
- Full-year revenue, gross-margin, tax-rate, FFO, Normalized FFO, EPS and cash-flow guidance were not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
The filing is a standard SEC Form 8‑K reporting quarterly results for a publicly listed REIT focused on senior housing.
Ticker impact
National Healthcare Properties disclosed Q3 2026 results, including a 13.6% same‑store SHOP NOI growth and raised SHOP NOI guidance by 100bps.
likely upward pressure as investors price in higher NOI growth and stronger balance sheet.
The 8‑K is the first public release of the quarter's numbers and guidance lift, providing fresh material for valuation.
Market effects
Highlights strength in senior‑housing REITs, may boost sentiment for the broader healthcare real‑estate sector.
U.S. REIT market could see modest gains as a mid‑cap player reports better‑than‑expected performance.
Limited to U.S. investors; no direct global macro effect.
Counterpoint
The decline in FFO per share and ongoing OMF exit could signal underlying earnings pressure despite NOI growth.
Key entities
- companyNational Healthcare Properties, Inc.
NASDAQ‑listed REIT (ticker NHP) reporting Q3 2026 results.
