Moody's Investors Service Revises Welltower's Outlook to Stable and Affirms 'Baa1' Issuer Credit Rating

TOLEDO, Ohio, Oct. 8, 2021 /PRNewswire/ -- Welltower Inc. (NYSE: WELL) announced today that Moody's Investors Service ("Moody's") has revised its rating outlook for Welltower to Stable from Negative and affirmed Welltower's issuer credit rating as 'Baa1'. Moody's emphasized that the stable outlook reflects steady improvement in the seniors housing operating portfolio and a continued recovery in cash flows. Notably, the Company's seniors housing operating portfolio has already reported occupancy gains of 380 basis points (bps) since trough occupancy on March 12, 2021, led by the US and UK portfolios which have reported occupancy gains of 520 basis points and 440 basis points, respectively¹. Moody's also noted that given the strong demographic trends driving demand and declining levels of new supply, the long-term fundamentals for the seniors housing business remain positive.

In addition to the continued recovery in the seniors housing operating business, Moody's highlighted the Company's excellent liquidity position and commitment to strong financial governance through the pandemic, including funding investment activity through asset sales and common equity issuances to manage leverage levels. The Company has continued to maintain a sound capital structure, ending 2Q21 with $4.8 billion of liquidity, including a $4.0 billion undrawn revolving credit facility. In its report, Moody's noted that the management team's commitment to its financial policies and the steady recovery in operating fundamentals will lead to continued improvement in leverage levels over the next year.

"We are pleased with Moody's upgrade of our rating outlook to stable," commented Tim McHugh, Welltower's Chief Financial Officer. "This outlook upgrade from a second rating agency validates the prudent measures Welltower has taken to maintain strong liquidity and balance sheet strength through the COVID-19 pandemic. The proven liquidity of our asset class along with our leading access to public and private capital allowed the Company to mitigate risk as uncertainty increased and move quickly to capture significant value as fundamentals have begun to improve." 

Moody's full report on Welltower can be found on Moody's website at www.moodys.com.

About Welltower

Welltower® Inc. (NYSE: WELL), an S&P 500 company headquartered in Toledo, Ohio, is driving the transformation of health care infrastructure. The Company invests with leading seniors housing operators, post-acute providers and health systems to fund the real estate and infrastructure needed to scale innovative care delivery models and improve people's wellness and overall health care experience. Welltower, a real estate investment trust ("REIT"), owns interests in properties concentrated in major, high-growth markets in the United States, Canada and the United Kingdom, consisting of seniors housing, post-acute communities and outpatient medical properties. More information is available at www.welltower.com

¹ As of September 3, 2021

SOURCE Welltower Inc.

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