Subsequent Events

On April 1, 2016, 44,685 Series A Preferred Units issued in conjunction with the Minnetonka MOB acquisition were redeemed for a total value of $9.8 million.

On April 5, 2016, the Trust announced the execution of a series of purchase and sale agreements and a letter of intent (and negotiations to purchase with respect to two medical office facilities) with regional health systems controlled by Catholic Health Initiatives (“CHI”) to acquire 52 medical office facilities (the “CHI Portfolio”) from CHI containing 3,159,495 rentable square feet located in 10 states (the “CHI Acquisition”). The purchase price for these facilities is approximately $724.9 million, which includes an obligation to fund $32.9 million of future capital improvements. The Trust expects to use proceeds from its unsecured line of credit and the proceeds from its follow-on offering of common shares of the Company completed on April 11, 2016 to fund the purchase.

The CHI Acquisition is expected to close in two or more tranches of assets during the second quarter of 2016. The first tranche is expected to close in mid May, for a total purchase price of approximately $335 million. The closing of the CHI Acquisition is subject to customary conditions to closing and, in addition, the second tranche closing is subject to certain third party approvals.

On April 11, 2016, the Trust completed a follow-on public offering of 25,875,000 common shares of beneficial interest, including 3,375,000 common shares issued upon exercise of the underwriters’ overallotment option, resulting in net proceeds to the Company of approximately $442.7 million. The Trust contributed the net proceeds of this offering to the Operating Partnership in exchange for 25,875,000 OP Units, and the Operating Partnership used the net proceeds of the public offering to repay borrowings under its unsecured revolving credit facility, for general corporate and working capital purposes, funding acquisitions, and expects to use the net proceeds to fund a portion of the purchase price for the CHI Acquisition.

The Trust, through subsidiaries of its Operating Partnership, closed on the below acquisitions:



Property	Location	Acquisition Date	Purchase Price (in thousands)
Gardendale Surgery Center	Gardendale, AL	April 11, 2016	$	7,450
Health East Facilities	Minneapolis-St.Paul, MN	April 14, 2016	10,169
			$	17,619