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Segment Disclosures
 9 Months Ended
Sep. 30, 2024
Segment Reporting [Abstract]  
Segment Disclosures Segment Disclosures
The Company’s reportable segments, based on how its CODM evaluates the business and allocates resources, are as follows: (i) outpatient medical, (ii) lab, and (iii) CCRC. The Company has non-reportable segments that are comprised primarily of: (i) an interest in an unconsolidated joint venture that owns 19 senior housing assets (the “SWF SH JV”) and (ii) loans receivable. These non-reportable segments have been presented on an aggregate basis within the Notes to the Consolidated Financial Statements herein. The accounting policies of the segments are the same as those described in Note 2 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 filed with the SEC, as updated by Note 2 herein.
The Company evaluates performance based on property Adjusted NOI. Adjusted NOI is defined as real estate revenues (inclusive of rental and related revenues, resident fees and services, and government grant income and exclusive of interest income), less property level operating expenses; Adjusted NOI excludes all other financial statement amounts included in net income (loss). Adjusted NOI eliminates the effects of straight-line rents, amortization of market lease intangibles, termination fees, actuarial reserves for insurance claims that have been incurred but not reported, and the impact of deferred community fee income and expense.
Adjusted NOI is calculated as Adjusted NOI from consolidated properties, plus the Company’s share of Adjusted NOI from unconsolidated joint ventures (calculated by applying the Company’s actual ownership percentage for the period), less noncontrolling interests’ share of Adjusted NOI from consolidated joint ventures (calculated by applying the Company’s actual ownership percentage for the period). Management utilizes its share of Adjusted NOI in assessing its performance as the Company has various joint ventures that contribute to its performance. The Company does not control its unconsolidated joint ventures, and the Company’s share of amounts from unconsolidated joint ventures does not represent the Company’s legal claim to such items. Adjusted NOI is used to evaluate performance because it provides relevant and useful information by reflecting only income and operating expense items that are incurred at the property level and presenting it on an unlevered basis.
The following tables summarize information for the reportable segments (in thousands).
For the three months ended September 30, 2024:
Outpatient MedicalLabCCRCTotal
Total revenues$317,659 $225,592 $142,845 $686,096 
Healthpeak’s share of unconsolidated joint venture total revenues7,065 5,242 — 12,307 
Noncontrolling interests’ share of consolidated joint venture total revenues(9,734)— — (9,734)
Operating expenses(106,484)(64,075)(109,720)(280,279)
Healthpeak’s share of unconsolidated joint venture operating expenses(2,832)(1,811)— (4,643)
Noncontrolling interests’ share of consolidated joint venture operating expenses2,851 — — 2,851 
Adjustments to NOI(1)
(11,020)(16,900)95 (27,825)
Adjusted NOI for reportable segments
$197,505 $148,048 $33,220 $378,773 
Plus: Adjustments to NOI(1)
27,825 
Interest income and other14,301 
Interest expense(74,105)
Depreciation and amortization(280,019)
General and administrative(23,216)
Transaction and merger-related costs(7,134)
Impairments and loan loss reserves, net(441)
Gain (loss) on sales of real estate, net62,325 
Other income (expense), net982 
Less: Healthpeak’s share of unconsolidated joint venture NOI(7,664)
Plus: Noncontrolling interests’ share of consolidated joint venture NOI6,883 
Income (loss) before income taxes and equity income (loss) from unconsolidated joint ventures$98,510 
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(1)Represents straight-line rents, amortization of market lease intangibles, net, actuarial reserves for insurance claims that have been incurred but not reported, deferral of community fees, and termination fees. Includes the Company’s share of income (loss) generated by unconsolidated joint ventures and excludes noncontrolling interests’ share of income (loss) generated by consolidated joint ventures.
For the three months ended September 30, 2023:
 Outpatient MedicalLabCCRCTotal
Total revenues$191,016 $226,059 $133,808 $550,883 
Healthpeak’s share of unconsolidated joint venture total revenues746 2,425 — 3,171 
Noncontrolling interests’ share of consolidated joint venture total revenues(8,735)(154)— (8,889)
Operating expenses(67,693)(60,268)(104,773)(232,734)
Healthpeak’s share of unconsolidated joint venture operating expenses(301)(958)— (1,259)
Noncontrolling interests’ share of consolidated joint venture operating expenses2,474 33 — 2,507 
Adjustments to NOI(1)
(3,547)(9,842)— (13,389)
Adjusted NOI for reportable segments
$113,960 $157,295 $29,035 $300,290 
Plus: Adjustments to NOI(1)
13,389 
Interest income and other5,360 
Interest expense(50,510)
Depreciation and amortization(184,559)
General and administrative(23,093)
Transaction and merger-related costs(36)
Impairments and loan loss reserves, net550 
Other income (expense), net1,481 
Less: Healthpeak’s share of unconsolidated joint venture NOI(1,912)
Plus: Noncontrolling interests’ share of consolidated joint venture NOI6,382 
Income (loss) before income taxes and equity income (loss) from unconsolidated joint ventures$67,342 
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(1)Represents straight-line rents, amortization of market lease intangibles, net, actuarial reserves for insurance claims that have been incurred but not reported, deferral of community fees, and termination fees. Includes the Company’s share of income (loss) generated by unconsolidated joint ventures and excludes noncontrolling interests’ share of income (loss) generated by consolidated joint ventures.
For the nine months ended September 30, 2024:
 Outpatient MedicalLabCCRCTotal
Total revenues$888,446 $663,619 $422,512 $1,974,577 
Healthpeak’s share of unconsolidated joint venture total revenues16,707 14,404 — 31,111 
Noncontrolling interests’ share of consolidated joint venture total revenues(27,952)(196)— (28,148)
Operating expenses(299,455)(177,571)(320,809)(797,835)
Healthpeak’s share of unconsolidated joint venture operating expenses(6,380)(4,663)— (11,043)
Noncontrolling interests’ share of consolidated joint venture operating expenses7,889 52 — 7,941 
Adjustments to NOI(1)
(27,573)(51,624)(1,645)(80,842)
Adjusted NOI for reportable segments
$551,682 $444,021 $100,058 $1,095,761 
Plus: Adjustments to NOI(1)
80,842 
Interest income and other27,884 
Interest expense(209,922)
Depreciation and amortization(782,736)
General and administrative(73,233)
Transaction and merger-related costs(122,113)
Impairments and loan loss reserves, net(11,346)
Gain (loss) on sales of real estate, net187,624 
Other income (expense), net83,502 
Less: Healthpeak’s share of unconsolidated joint venture NOI(20,068)
Plus: Noncontrolling interests’ share of consolidated joint venture NOI20,207 
Income (loss) before income taxes and equity income (loss) from unconsolidated joint ventures$276,402 
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(1)Represents straight-line rents, amortization of market lease intangibles, net, actuarial reserves for insurance claims that have been incurred but not reported, deferral of community fees, and termination fees. Includes the Company’s share of income (loss) generated by unconsolidated joint ventures and excludes noncontrolling interests’ share of income (loss) generated by consolidated joint ventures.
For the nine months ended September 30, 2023:
 Outpatient MedicalLabCCRCTotal
Total revenues$564,644 $654,829 $391,076 $1,610,549 
Government grant income(1)
— — 184 184 
Healthpeak’s share of unconsolidated joint venture total revenues2,245 6,519 — 8,764 
Noncontrolling interests’ share of consolidated joint venture total revenues(26,364)(449)— (26,813)
Operating expenses(197,442)(172,666)(307,551)(677,659)
Healthpeak’s share of unconsolidated joint venture operating expenses(895)(2,987)— (3,882)
Noncontrolling interests’ share of consolidated joint venture operating expenses7,477 108 — 7,585 
Adjustments to NOI(2)
(11,373)(25,618)(679)(37,670)
Adjusted NOI for reportable segments
$338,292 $459,736 $83,030 $881,058 
Plus: Adjustments to NOI(2)
37,670 
Interest income and other16,802 
Interest expense(147,547)
Depreciation and amortization(561,357)
General and administrative(73,576)
Transaction and merger-related costs(3,098)
Impairments and loan loss reserves, net156 
Gain (loss) on sales of real estate, net86,463 
Other income (expense), net4,208 
Less: Government grant income(184)
Less: Healthpeak’s share of unconsolidated joint venture NOI(4,882)
Plus: Noncontrolling interests’ share of consolidated joint venture NOI19,228 
Income (loss) before income taxes and equity income (loss) from unconsolidated joint ventures$254,941 
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(1)Represents government grant income received under the CARES Act, which is recorded in other income (expense), net in the Consolidated Statements of Operations (see Note 2).
(2)Represents straight-line rents, amortization of market lease intangibles, net, actuarial reserves for insurance claims that have been incurred but not reported, deferral of community fees, and termination fees. Includes the Company’s share of income (loss) generated by unconsolidated joint ventures and excludes noncontrolling interests’ share of income (loss) generated by consolidated joint ventures.
The following table summarizes the Company’s revenues by reportable segment (in thousands):
 Three Months Ended
September 30,		Nine Months Ended
September 30,
Segment2024202320242023
Outpatient medical
$317,659 $191,016 $888,446 $564,644 
Lab
225,592 226,059 663,619 654,829 
CCRC142,845 133,808 422,512 391,076 
Total revenues for reportable segments
686,096 550,883 1,974,577 1,610,549 
Interest income and other
14,301 5,360 27,884 16,802 
Total revenues$700,397 $556,243 $2,002,461 $1,627,351 
See Note 3 for impacts to segment assets as a result of the Merger. See these Notes to the Consolidated Financial Statements for other significant transactions impacting the Company’s segment assets during the periods presented.