John Massocca

Justin Haasbeek

Bryan Maher

Michael Carroll

- Diversified Healthcare Trust (DHC) reported a **net loss of $91.6 million, or $0.38 per share**, and **Normalized FFO of $18.6 million, or $0.08 per share**, for the second quarter of 2025.  **[1075415_0001104659-25-097738_tm2528229d1_ex99-1.htm:4]** **[1075415_0001104659-25-097738_tm2528229d1_ex99-1.htm:14]** 
- The company provided **2025 guidance** including total Net Operating Income (NOI) between **$265 million and $285 million**, and estimated disposition proceeds of **$625 million to $635 million**, with **$369 million completed year-to-date** as of October 3, 2025.  **[1075415_0001104659-25-097738_tm2528229d1_ex99-1.htm:4]** 
- DHC is undergoing a strategic transaction where AlerisLife Inc. is selling its management agreements for **116 SHOP communities** to **seven new operators**, with transitions expected to be completed by year-end 2025.  **[1075415_0001104659-25-097738_tm2528229d1_ex99-1.htm:6]** 
- The company improved its leverage from **11.2x in Q4 2024 to 8.7x in Q2 2025**, and both Moody's and S&P Global upgraded DHC to **Caa1 and B-**, respectively, in Q3 2025.

Diversified Healthcare Trust Reports Q2 2025 Financials and Updates 2025 Guidance

- Diversified Healthcare Trust (DHC) completed a private offering of **$375,000,000** in aggregate principal amount of **7.250% senior secured notes due 2030** on **September 26, 2025**.  **[1075415_0001104659-25-094123_tm2526908d1_8k.htm:1]** 
- The offering generated approximately **$365.9 million** in net proceeds.  **[1075415_0001104659-25-094123_tm2526908d1_8k.htm:1]** 
- A portion of these net proceeds, specifically **$307.0 million**, was used to fund the partial redemption of the company's **senior secured notes due 2026**.  **[1075415_0001104659-25-094123_tm2526908d1_8k.htm:1]** 
- The new notes are secured by a first-priority lien on equity interests in subsidiaries that own **36 fee-owned real properties** and are subject to restrictive financial and operating covenants.  **[1075415_0001104659-25-094123_tm2526908d1_8k.htm:1]**

Diversified Healthcare Trust Completes Senior Secured Notes Offering and Partial Redemption

- Diversified Healthcare Trust (DHC) announced the sale by AlerisLife Inc. of management agreements for **116** of DHC's senior living communities to **seven different operators**, with the transition expected to be completed by year-end 2025.  **[1075415_0001104659-25-086699_tm2525088d1_ex99-2.htm:0]**  
- DHC anticipates receiving **$25 million to $40 million** in net proceeds from its **34%** ownership stake in AlerisLife, which is winding down its business, and plans to use these funds to reduce leverage and for general business purposes.  **[1075415_0001104659-25-086699_tm2525088d1_ex99-2.htm:0]**  
- This strategic transaction is expected to improve the operating performance of DHC\u2019s SHOP communities, strengthen its balance sheet, and drive operational efficiencies and growth.  **[1075415_0001104659-25-086699_tm2525088d1_ex99-2.htm:0]** 
- For Q2 2025, DHC reported a **net loss of $91.6 million**, or **$0.38 per share**, and **Normalized FFO of $18.6 million**, or **$0.08 per share**.  **[1075415_0001104659-25-086699_tm2525088d1_8k.htm:3]** 
- DHC's leverage improved from **11.2x in Q4 2024 to 8.7x in Q2 2025**.  **[1075415_0001104659-25-086699_tm2525088d1_ex99-1.htm:6]**

DIVERSIFIED HEALTHCARE TRUST (DHC)