Healthpeak held FFO as Adjusted flat at $0.46 a share and raised 2026 guidance to $1.73–$1.77, as 19.2% same-store senior housing growth offset a 3.2% lab decline and a four-point drop in lab occupancy.
Revenue
$772M
+11.1% YoY
Net income
$53M
+66.9% YoY
Diluted EPS
$0.08
+60.0% YoY
Overview
Healthpeak Properties is a real estate investment trust (REIT: a company that owns property and must pay out most of its taxable income as dividends). It owns outpatient medical buildings, lab space for drug developers, and senior housing. In Q2 2026 its main earnings measure was flat: FFO as Adjusted was $0.46 per share, the same as a year earlier. Underneath that flat number, its three businesses moved in very different directions:
Senior housing grew same-store cash profit 19.2%. Most of it is now held through Janus Living, the senior housing REIT Healthpeak took public in March 2026.
Outpatient medical, the largest business, grew 2.5%.
Lab fell 3.2%. Occupancy in the comparable lab buildings dropped from 94.4% to 90.3%.
GAAP net income applicable to common shares rose to $52.7 million ($0.08 per share) from $31.6 million ($0.05). Total revenue rose 11.1% to $771.6 million. Nearly all of that came from senior housing, where resident fees jumped from $148.9 million to $216.5 million. The reason was acquisitions: in January Healthpeak bought out its partner's stake in 19 communities, and it bought more during the year.
Management raised full-year guidance. FFO as Adjusted per share is now expected at $1.73–$1.77, up from $1.71–$1.75.
Key metrics
Metric
Q2 2026
Q2 2025
YoY Change
Total revenue
$771.6M
$694.3M
+11.1%
Net income applicable to common shares
$52.7M
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Outpatient Medical same-store occupancy (end of period)
91.9%
92.4%
-0.5 pts
Interest expense
$92.3M
$75.1M
+22.9%
Terms used throughout:
FFO (funds from operations) is net income with real estate depreciation and gains or losses on property sales added back. Accounting rules write buildings down every year even when their value holds up, so REITs use FFO as a better guide to recurring cash earnings. FFO as Adjusted also removes one-offs such as deal costs, impairments and casualty items. It is the figure Healthpeak gives guidance on.
Same-store cash NOI (Healthpeak calls it "Same-Store Adjusted NOI") is rent and fees minus property operating costs, on a cash basis. It only counts buildings owned and operating in both periods, so it shows how the existing portfolio is doing without the effect of buying or selling.
Occupancy is the share of space, or of senior housing units, that is leased or filled.
Why GAAP profit rose while FFO as Adjusted stayed flat
Most of the 67% jump in GAAP net income came from items that won't repeat. The 10-Q lists these drivers:
A one-time $9 million boost to interest income. In June a borrower repaid about $400 million of a seller-financing loan (money Healthpeak lent to buyers of properties it sold). The early repayment meant Healthpeak had to recognize the rest of the loan's discount all at once. Interest income and other rose to $21.8 million from $15.8 million. Healthpeak's adjustments table doesn't remove this item, so it is part of the $0.46. By our calculation, $9 million across 704.5 million diluted shares is about $0.013 per share, so the underlying result was closer to $0.45.
$10.0 million of gains on property sales, compared with $1.6 million a year earlier. These are left out of FFO.
Casualty recoveries, released loan-loss reserves, and a tax benefit from selling a senior housing community.
Interest earned on cash raised by the Janus Living IPO and its June follow-on offering.
Several things pushed the other way:
Interest expense rose 22.9% to $92.3 million. The 10-Q attributes this to $500 million of 4.75% notes issued in August 2025 and more borrowing through commercial paper (short-term debt).
Depreciation rose to $283.4 million from $265.9 million because of acquisitions.
Outside shareholders now take part of senior housing profit. Public investors own 26.4% of Janus Living, and the noncontrolling interests' share of earnings rose to $10.4 million from $7.3 million.
In total dollars, the 10-Q describes FFO as Adjusted as "decreased," to $321.0 million from $321.2 million. Faster senior housing growth and higher interest income were cancelled out by higher interest costs, weaker lab results, property sales and the Janus Living minority stake. Per share it held at $0.46 because the diluted share count fell to 704.5 million from 709.8 million. That was partly due to the April buyback of 5.95 million shares at $16.81.
Takeaway: The flat $0.46 hides a portfolio being reshaped. Senior housing, the part growing fastest (19.2% same-store), now has 26.4% outside owners through Janus Living. Lab, the part shrinking (down 3.2%, with occupancy down about 4 points), is still owned entirely by Healthpeak. The guidance raise is real, but a one-time loan payoff added roughly a cent a share to this quarter. What matters most for the rest of 2026 is whether lab leasing stops the occupancy decline, more than how fast senior housing grows.
Segment detail
Outpatient Medical: steady, and the core of the portfolio
Same-store cash NOI rose 2.5% to $189.1 million from $184.5 million across 484 buildings. The 10-Q gives three reasons:
"Mark-to-market lease renewals," meaning renewals at today's higher market rents.
Annual rent increases built into leases.
Higher percentage-based rents.
Higher operating expenses offset part of the gain, though bringing property management in-house saved some money. Same-store occupancy slipped to 91.9% from 92.4%. Average annual rent per occupied square foot rose to $39 from $37.
For the whole outpatient portfolio, including buildings bought or sold, cash NOI fell slightly to $198.0 million from $198.9 million because of property sales. The segment made up 56.4% of same-store NOI.
Leasing was active. Healthpeak signed 327,000 square feet of new outpatient leases and 916,000 square feet of renewals in the quarter. The earnings release says about 204,000 more square feet were signed after the quarter ended. Another roughly 882,000 square feet are under signed letters of intent, which are non-binding agreements that usually come before a lease.
Lab: the weak spot
Same-store cash NOI fell 3.2% to $114.2 million from $118.0 million. The 10-Q names the causes as "lower occupancy" and "higher operating expenses," partly offset by built-in rent increases. End-of-period occupancy fell:
In the 101-building same-store lab portfolio: to 90.3% from 94.4%.
Across the full lab portfolio: to 87.5% from 95.5%.
Rent per occupied square foot is still rising, to $92 from $89. Tenants who stay are paying more, but fewer are staying. On a GAAP basis the drop was bigger: same-store lab NOI fell $12.3 million, to $116.4 million from $128.7 million. The cash measure fell less because non-cash rent adjustments shrank.
The earnings release shows some signs of stabilizing:
A broader lab "total occupancy" measure than the 10-Q's table rose 0.8 points from Q1, to 78.5%.
Healthpeak signed 222,000 square feet of new lab leases and 159,000 square feet of renewals in Q2.
After the quarter, about 480,000 square feet of lab space went under signed letters of intent.
Letters of intent are not leases. Whether these turn into signed leases is the main thing to watch.
Senior Housing: the growth engine, now shared with Janus Living's public shareholders
The same-store pool is 15 communities that Healthpeak owned and operated through both periods. Cash NOI there (Healthpeak's 73.6% share) rose 19.2% to $32.1 million from $26.9 million. The 10-Q credits "increased rates for resident fees" and "higher occupancy." Average occupancy rose to 88.6% from 86.0%. Monthly revenue per occupied unit (RevPOR) rose to $8,589 from $8,169. Higher costs for labor, food, utilities, repairs and operator fees took back part of the gain.
The total senior housing portfolio grew from 34 to 41 communities. Most of that came from January's $312 million purchase of the partner's 46.5% stake in 19 communities, plus other 2026 acquisitions. Janus Living reported revenue of $216 million (up 45%) and Adjusted EBITDAre of $79 million (up 34%). After the quarter, and through August 3, Janus Living closed about $1.0 billion of further acquisitions.
Balance sheet and capital moves
Brookfield joint venture (July 2026). Healthpeak sold a 49% stake in 86 outpatient buildings (5.6 million square feet) to affiliates of Brookfield. The deal valued the portfolio at about $2.1 billion and raised about $1.025 billion. That implies a trailing cash cap rate of about 5.9%, meaning the buildings' cash income was about 5.9% of their price (a lower rate means a higher price). Healthpeak keeps 51% and manages the buildings. The money repaid $650 million of 3.25% notes that came due in July and about $375 million of commercial paper.
Proceeds so far this year. Counting the loan repayment and property sales, Healthpeak reported $1.75 billion of proceeds through August 3.
Leverage. Net debt to Adjusted EBITDAre was 4.7x. That is debt minus cash, divided by a year of operating cash earnings. Liquidity was $3.4 billion as of August 3.
Cash and short-term debt. Cash at June 30 was $1.63 billion, up from $0.47 billion at year-end, mostly from the Janus Living offerings. Bank line and commercial paper borrowings were $1.50 billion.
Buybacks. In July the board approved a new $500 million share repurchase program, replacing the old one.
Dividend. The monthly dividend is $0.10167 per share, or $1.22 a year. By our calculation that is about 70% of the $1.75 guidance midpoint for FFO as Adjusted.
Guidance and outlook
Full-year 2026 guidance, updated August 4, 2026:
Measure
Prior (May 5)
Updated (Aug 4)
Diluted EPS
$0.46–$0.50
$0.48–$0.52
Diluted FFO as Adjusted per share
$1.71–$1.75
$1.73–$1.77
Total same-store cash NOI growth
(1)%–1%
0%–1.5%
First-half FFO as Adjusted was $0.91 per share, compared with $0.92 a year earlier. Hitting the $1.75 midpoint would take about $0.84 in the second half, or roughly $0.42 a quarter. That is below the recent $0.45–$0.46 pace. The known reasons for the drop:
The Brookfield deal moves 49% of that outpatient portfolio's income to a partner.
The $9 million one-time interest item won't happen again.
Our view: Healthpeak is deliberately changing its mix. It is selling stakes in stable outpatient buildings at about a 5.9% cap rate and putting money into senior housing through Janus Living, where same-store growth is running near 20%. The numbers support that shift. The cost is that Healthpeak now keeps only 73.6% of senior housing's growth, while lab, still a third of same-store NOI, keeps shrinking. The best early signal is the roughly 480,000 square feet of signed lab letters of intent. If they become leases, lab occupancy should bottom out this year. If they don't, lab could keep dragging on per-share growth into 2027.
Source: Healthpeak Properties Form 10-Q for the quarter ended June 30, 2026 (filed August 5, 2026) and the Q2 2026 earnings release (Form 8-K Exhibit 99.1, August 4, 2026). The per-share effect of the one-time interest item, the implied second-half FFO and the dividend-to-FFO ratio are our own calculations from those figures.