Vital announces interim FY2018 results

INTERIM RESULTS
31 DECEMBER 2017
INVESTING IN AUSTRALASIA’S HEALTHCARE
INFRASTRUCTURE
27 FEBRUARY 2018

AGENDA
►Highlights
►Strategy
►Financials
►Portfolio
►Outlook
VITAL HEALTHCARE PROPERTY TRUST
2

HIGHLIGHTS

HIGHLIGHTS
Financial and portfolio performance delivering on strategy
4
Gross rental income
1
of $44.8m, +17.9%
Operating profit before tax
1
$30.4m, +3.5%
NDI
1
of $22.8m, -4.1%
AFFO
1
of $23.4m, -2.7%
NTA of $2.19, +6.5%
LVR of 36.8%, up from 29.3% at 30 June
2
nd
quarter distribution of 2.125 cents
Positive demographic trend due to ageing
population
65yr+ cohort utilises4x healthcare services
Healthcare is not a discretionary item
Public healthcare under funding pressure
Operators exploring partnership funding
model
Portfolio in great shape
Same property NOI growth of 3.5%
18.6 year WALE (+0.9 yrs), 99.3% occupancy
1.8% p.a. avg. lease expiry in next 10 years
NZ$144m development pipeline
Portfolio WACR firmed 17 bps to 5.85%
Completed five acquisitions for NZ$187m
Deliver strong, operational, financial and
portfolio results
Execution of acquisition & brownfield
pipelines, incremental value-add
Prudently manage balance sheet
Widen relationships with operating partners
Sustainable distribution and long-term value
creation
FinancialsStrategy & drivers
PortfolioOutlook
VITAL HEALTHCARE PROPERTY TRUST
(1) Comparative period results adjusted for $13.8m lease termination receipt in October 2016

-
50
100
150
200
250
300
350
400
Dec-07Dec-08Dec-09Dec-10Dec-11Dec-12Dec-13Dec-14Dec-15Dec-16Dec-17
Index rebased
to 100
10 Year CompoundAnnual Growth Rate
Vital 13.9%
vs.
S&P / NZX All Real Estate Index 8.0%
VHP
S&P/NZX
All Real
Estate
S&P/NZX
50Index
S&P/ASX
200 REIT
Index
VITAL’S PERFORMANCE
Strong execution driving material outperformance
5
VITAL HEALTHCARE PROPERTY TRUST
Source: CraigsInvestment Partners. Data as at 31 January 2018

STRATEGY

STRATEGIC FRAMEWORK
Building (blocks) to a healthy future
7
Stabilised
portfolio,
strong
underlying
thematics
Brownfield
developments
(capacity
expansion)
Acquisitions
Sustainable
long term
earnings &
value
creation
Management
Aligned / Stable / Experienced / Credible / Capable
Capital &
Treasury




Consistently strong performance delivering on overall strategy
VITAL HEALTHCARE PROPERTY TRUST

RECENT ACQUISITIONS
Diversified tenant covenant and extended overall lease term
8
VITAL HEALTHCARE PROPERTY TRUST

ACURITY HEALTHCARE PARTNERSHIP
9
VITAL HEALTHCARE PROPERTY TRUST

WAKEFIELD HOSPITAL, WELLINGTON
10
VITAL HEALTHCARE PROPERTY TRUST
Now
Proposed

BOWEN HOSPITAL, WELLINGTON
11
VITAL HEALTHCARE PROPERTY TRUST

ROYSTON HOSPITAL, HASTINGS
12
VITAL HEALTHCARE PROPERTY TRUST

DEVELOPMENT UPDATE
Development continues to enhance asset quality and portfolio value
13
VITAL HEALTHCARE PROPERTY TRUST
BudgetedSpendForecast
development costto datecompletion
Development(NZ$m)(NZ$m)date
Toronto Private (NSW)10.37.4Apr-18
North West Private (TAS)1.10.3May-18
Lingard Private (NSW)26.28.6Jun-18
Royston Hospital (Hastings, NZ)13.00.0Mid-2019
Wakefield Hospital (Wellington, NZ)82.00.0Mid-2021
Bowen Hospital (Wellington, NZ)11.50.0Mid-2019
Total144.116.3
* NZD/AUD at period end exchange rate of 0.9097

SECTOR DRIVERS AND TRENDS
Periodic regulatory reform, long term trends undeniable
VITAL HEALTHCARE PROPERTY TRUST -MEETING OF UNITHOLDERS
14
Regulatory
Public system
pressure
Relatively
insulated
reform relatively constant,
diversification
critical
private system
critical component
from macro financial,
economic and market
conditions
Economic & market influences
2x
80%~4x
>65 yeardemographic
forecast over
the next 40 years
>65 year demographic
have at least
one chronic disease
utilisation of
healthcare services
by >65 year demographic
Strong forecast demand, undeniable trends

PRIVATE HEALTH INSURANCE TRENDS
Strong PHI trends in NZ. Australian PHI growth stable but sector resilient
15
VITAL HEALTHCARE PROPERTY TRUST
10,000
10,200
10,400
10,600
10,800
11,000
11,200
11,400
11,600
11,800
12,000
1,300
1,310
1,320
1,330
1,340
1,350
1,360
1,370
1,380
1,390
1,400
Lives Covered (000's)
New Zealand (LHS)
Australia (RHS)
New Zealand PHI participation levels are 29%, Australia PHI participation levels are 46%

FINANCIALS

FINANCIAL PERFORMANCE
Core business activities drive positive operating results
17
VITAL HEALTHCARE PROPERTY TRUST
Gross rent growth driven by acquisition, organic growth and development activities
Total expenses higher due to management fees on increased assets under management. Incentive fee of
$5.8m accrued as compared to $3.5m accrued in the same period last year and $13m for the full year 2017.
Vital’spayoutratio for the half year remains conservative at 81%
Actual
Normalised
Change
Change
1H18
1H17*
$m
%
Gross rental income
44.8
38.0
6.8
17.9%
Net rental income
43.2
37.0
6.2
16.6%
Total expenses
12.8
7.7
5.1
67.2%
Operating profit before tax
30.4
29.3
1.0
3.5%
Gross distributable income
25.7
26.1
-0.4
-1.6%
Current tax - New Zealand & Australia
2.9
2.3
0.6
23.6%
Effective tax rate
11.3%
9.0%
Net distributable income
22.8
23.8
-1.0
-4.1%
Net distributable income per unit (earned) (cpu)
5.26c
5.73c
-0.5c
-8.0%
Net distributable income payout ratio
81%
74%
Units on issue (weighted average, millions)
432.8
414.9
Weighted average NZD/AUD exchange rate
0.92
0.95
*adjusted for $13.8m lease termination receipt received in October 2016 and associated tax implications
(in millions of $NZ, except per unit amounts)

DISTRIBUTABLE INCOME
Conservative payout ratio at both NDI and AFFO level
18
VITAL HEALTHCARE PROPERTY TRUST
Actual
Normalised
Change
Change
1H18
1H17*
$m
%
Profit before income tax
61.1
41.2
19.9
48.3%
Revaluation (gains)/losses
-42.8
-13.1
-29.7
226.5%
Unrealised FX (gains)/losses
1.6
2.6
-0.9
-35.8%
Derivative fair value adjustment (gains)/losses
-0.1
-8.1
8.0
-98.6%
Managers incentive fee
5.8
3.5
2.3
66.3%
Gross distributable income
25.7
26.1
-0.4
-1.6%
Current tax
2.9
2.3
0.6
23.6%
Net distributable income
22.8
23.8
-1.0
-4.1%
Amortisation of deferred financing charges
0.2
0.2
0.0
11.8%
Amortisation of leasing costs & tenant inducements
0.5
0.3
0.1
45.8%
Funds from operations (FFO)
23.5
24.3
-0.8
-3.3%
Actual capex & leasing from continuing operations
-0.1
-0.3
0.2
-59.6%
Adjusted funds from operations (AFFO)
23.4
24.0
-0.6
-2.7%
AFFO (cpu)
5.40c
5.78c
-0.4c
-6.7%
AFFO payout ratio
79%
73%
*adjusted for $13.8m lease termination receipt received in October 2016 and associated tax implications
(in millions of $NZ, except per unit amounts)

NET OPERATING INCOME
Acquisitions and developments were key drivers of core rent growth
19
VITAL HEALTHCARE PROPERTY TRUST
Same property NOI growth was 3.5% for the 6 month period, over the prior year.

BALANCE SHEET
Strong balance sheet supports execution of strategy
20
VITAL HEALTHCARE PROPERTY TRUST
Portfolio value growth reflects acquisition activity, foreign exchange and revaluation gains
Cost of debt reflective of additional NZ$191m of facility drawdowns at market rates
Gearing at normal levels following partial pay down of facilities in July 2016
Acquisition capacity of approximately NZ$200m
Actual
Actual
change
change
1H18
FY17
$
%
Investment properties
1,670.8
1,376.2
294.6
21.4%
Weighted average cap rate
5.85%
6.03%
-17 bps
Total assets
1,687.4
1,392.2
295.2
21.2%
Bank debt
613.6
401.9
211.7
52.7%
Weighted average cost of debt
1
4.09%
4.34%
-25 bps
LVR
36.8%
29.3%
753 bps
Unitholder funds
952.3
879.8
72.5
8.2%
Units on issue (m)
435.4
428.6
6.8
1.6%
Net Tangible Assets
2.19
2.05
0.13
6.5%
Period end NZD/AUD exchange rate
0.91
0.95
(1) Includes line and margin
(in millions of $NZ, except per unit amounts)

INVESTMENT PROPERTY
Acquisitions and FX key drivers of property uplift over the first six months
21
VITAL HEALTHCARE PROPERTY TRUST
1,376.4
187.4
10.5
42.8
54.0 1,671.0
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
FY17AcquisitionsCapital
additions
Change in
fair value
FX1H18
NZ $millions
NZ
portfolio
in NZ$
Australian
portfolio
in A$
Australian
portfolio
translated into
NZ$
A $1,057.7m
NZ$265.7m
A $1,159.8m
NZ$395.8m

NTA MOVEMENT
NTA uplift reflective of foreign exchange and revaluation gains
22
VITAL HEALTHCARE PROPERTY TRUST

PORTFOLIO

STRONG GEOGRAPHIC DIVERSIFICATION
42 investment properties comprising ~2,550 beds and ~95 operating theatres.
24
VITAL HEALTHCARE PROPERTY TRUST
Indicates number of
assets in each state
Geographic split (%)
76/24
Australia/New Zealand
by value

PORTFOLIO COMPOSITION
New partnership with Acurityincreases weighting to Acute Surgical in New Zealand
25
VITAL HEALTHCARE PROPERTY TRUST
SECTOR DIVERSIFICATIONGEOGRAPHIC DIVERSIFICATION
NSW
33%
NZ
24%
VIC
19%
QLD
13%
SA
4%
TAS
1%
WA
6%
Acute Surgical
58%
Medical office
buildings
12%
Mental health
14%
Rehabilitation
10%
Aged care
4%
Strategic
2%

CORE PORTFOLIO METRICS
Resilient metrics underpin defensive qualities, driving financial performance
26
Consistent occupancy levels
at almost 100% capacity
underpins sustainable
portfolio performance
Long WALE reflects a range
of factors including
proactive management,
partners willing to commit
to quality well-located
facilities, new lease
extensionsand acquisitions
High level of structured
reviews ensures steady
income growth over the long
term, regardless of
economic cycles
VITAL HEALTHCARE PROPERTY TRUST
15.1
17.1
18.4
17.7
18.6
0
4
8
12
16
20
2014
2015
2016
2017
H1 2018
Years
WALE
99.3%
99.4%
99.6%
99.1%
99.3%
95%
96%
97%
98%
99%
100%
2014
2015
2016
2017
H1 2018
Percentage of income
Occupancy
Total income subject to
structured rent reviews
85.4%
72.6%
92.2%
82.9%
85.8%
0%
20%
40%
60%
80%
100%
2014201520162017H1 2018
Percentage of income

LEASE EXPIRY PROFILE
Low risk expiry profile = sustainable, predictable and defensive cash flows
27
VITAL HEALTHCARE PROPERTY TRUST
0%
2%
4%
6%
8%
10%
12%
18
19
20
21
22
23
24
25
26
27
Percentage of portfolio (by income)
Total expiry
Largest single rent expiring
1.8% p.a.
average lease
expiry over the
next 10 years
80% of income expiries
after 2028

INTERIM REVALUATION
Strong interim revaluations validate strategy
28
VITAL HEALTHCARE PROPERTY TRUST
Revaluation summary
Revaluation gain of $42.8m, +2.9% above book value
Values supported by external independent desktop reviews
Majority of gain from Australian portfolio
Australian WACR firmed ~16 bps to 5.85%, New Zealand ~14 bps to 5.86%
Portfolio WACR firmed ~17 bps to 5.85%
Drivers
Firming cap rates for institutional quality healthcare assets
Increased interest in social infrastructure assets from global investment managers
Low interest rate environment, unique and attractive lease terms

OUTLOOK

OUTLOOK
Investing in Australasia’s Healthcare Infrastructure
30
Deliver strong operational, financial and portfolio results -driven by scale and
diversification
Execution of acquisition and development pipelines, continuation of incremental
value-add opportunities
Acquire strategic sites to support operator growth
Prudently deploy balance sheet to appropriate opportunities
Widen and strengthen relationships with operatingpartners to support our strategy
Focus on sustainable distributions and long term-value creation
VITAL HEALTHCARE PROPERTY TRUST

DISCLAIMER
This presentation has been prepared by NorthWestHealthcare Properties
Management Limited (the "Manager“, formerly Vital Healthcare
Management Limited) as manager of the Vital Healthcare Property Trust
(the "Trust"). The details in this presentation provide general information
only. It is not intended as investment or financial advice and must not be
relied on as such. You should obtain independent professional advice prior
to making any decision relating to your investment or financial needs.
The provision of this presentation does not constitute an offer, invitation or
recommendation to subscribe for or purchase units in the Trust.
Past performance is no indication of future performance.
No money is currently being sought, and no applications for units will be
accepted, or money received, unless the unitholders have received an
investment statement and a registered prospectus from the Trust.
27 February 2018
31
VITAL HEALTHCARE PROPERTY TRUST

GLOSSARY
32
AFFO
Adjusted Funds From Operations is an alternate measure used for assessing distributable income. Essentially
adjusts NPAT for all non-cash items (i.e. NDI) then makes adjustments for items such as maintenance capex
and lease incentives paid
Cap rate
Capitalisation rate. Generally calculated as net operating income / current market value of investment
property
CPI
Consumer Price Index. An index that measures the change in the cost of a 'basket' of basic goods and
services, showing how the cost of living changes over time. The most widely accepted indicator of inflation
FEC
Foreign Exchange Contract. Generally considered as a contracted commitment to buy/sell a specified amount
of a foreign currency on a fixed date at a fixed rate of exchange
FX
An abbreviation for ‘foreign exchange’ used where there is a transaction in a currency other than the local
currency
LVR
Loan to Value Ratio. Is the ratio of a loan to the value of an asset purchased or total assets. The term is
commonly applied by looking at the level of Borrowings (or debt) versus the Total Assets, or Borrowings
versus the Investment Properties
NDINet Distributable Income. Calculated as Gross Distributable Income less Current tax charges
NTA
Net Tangible Assets. The total assets of the Trust less total liabilities. NTA is normally divided by the number
of units on issue and expressed as an amount per unit
WACR
Weighted Average market CapitalisationRate. The market cap rate for each property weighted by property
value
WALE
Weighted Average Lease term to Expiry.The weighted average lease term remaining to expire across a
portfolio, sometimes also referred to as WALT
VITAL HEALTHCARE PROPERTY TRUST

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vhpt.co.nz
27 February 2018

Vital announces interim FY2018 results
Vital Healthcare Property Trust (Vital) today released its interim results for the six
months ended 31 December 2017 and confirmed a second quarter cash distribution
of 2.125 cents per unit will be paid to unitholders on 29 March 2018.
Highlights
 Portfolio lease term increased to 18.6 years (from 17.7 years at 30 June 2017), while retaining high
occupancy levels at 99.3%
 Same property NOI increased 3.5% over the prior year period
 Net Distributable Income of $22.8m or 5.26c per unit
 AFFO per unit of 5.40c, generating a sector leading payout ratio of approximately 79%
 Cap rate firmed to 5.85% (from 6.03% at 30 June 2017), generating an interim gain of $42.8m
 NTA per unit of $2.19, up 7% from 30 June 2017
 Finance costs declined 57bps to 4.09%, gearing at 36.8%
 Acquisition of Acurity New Zealand Hospital portfolio, Eden Rehabilitation Hospital and The Hills Clinic
in Australia for NZ$187m
 Development pipeline (6 projects) of approximately NZ$144m over the next four years
 Management integration further strengthening market leading Australasian healthcare platform

David Carr, Chief Executive of Vital’s Manager, said, “Aligning with our core strategy, many of Vital’s recent
acquisitions have been ‘off-market’ sale and leaseback investments. These opportunities enable Vital to work
closely with our partners and be thoughtful about lease terms in order to deliver exceptional long term outcomes.
Many of these investments include attractive future development opportunities where we continue to support our
partners with long-term capital, backed by undeniable demographic and healthcare demand trends.
Notwithstanding a busy period looking at new opportunities the team continues to ensure that the core portfolio
remains in great shape. Over the six months we extended our market leading portfolio lease term from 17.7 years
to 18.6 years and continued to maintain portfolio occupancy over 99%.
Investment trends in healthcare real estate, with long-term leases and positive demographic demand trends,
remain competitive, leading to further yield compression in our sector. Accordingly, we continue to see positive
revaluations which has been a consistent driver of NTA growth over recent years, under-pinning unit price
performance.
We retain a positive outlook and we are excited about a range of asset management initiatives and potential
opportunities over the remainder of 2018,” said Mr Carr.
Management integration further strengthens market leading Australasian platform
In January 2018, Vital’s management company announced the integration of its New Zealand and Australian
management platforms. Effective today, Vital’s manager will transition to its new name, NorthWest Healthcare
Properties Management Limited from Vital Healthcare Management Limited. Vital Healthcare Property Trust’s
name will not change, nor will its NZX ticker symbol “VHP”.
David Carr and Stuart Harrison will continue as Chief Executive Officer and Chief Financial Officer, respectively.
There is no change to Vital’s well defined strategy, remaining absolutely focused on healthcare real estate
investment with a continued focus on distribution sustainability and long-term value creation.

vhpt.co.nz
Vital unitholders will benefit from a larger team working on their behalf, in both New Zealand and Australia,
strengthening and broadening key relationships as Australasia’s pre-eminent healthcare management platform.
Interim valuations and portfolio activity
In order to assess whether any valuation change has occurred for the half year to 31 December 2017, the
incumbent independent valuers from 30 June 2017 were commissioned to provide external desktop reviews. As a
result, Vital recorded an increase of $42.8m in the fair value of its portfolio to $1.67bn, or 2.9% over carrying book
value. The increase is over and above acquisitions and development expenditure incurred in the period.
Vital’s WACR for the six months to 31 December 2017 firmed approximately 17 bps to 5.85%. The Australian
portfolio reported a 16 bps firming in capitalisation rate to 5.85% and the New Zealand portfolio firmed 14 bps to
5.86%. The valuation uplift was primarily driven by firmer capitalisation rates, but also supported by incremental
increases in income as a result of rent reviews over the period.
Vital’s WALE increased to 18.6 years (from 17.7 years) primarily reflecting the recent acquisition of the Acurity
portfolio with initial lease terms of 30 years. The long WALE and consistently high occupancy levels of above 99%
are portfolio traits that underpin Vital’s sustainable distribution and reflect the depth of established long-term
relationships with key partners.
A total of 31 rent reviews (approximately 22% of total income) were completed to 31 December 2017, resulting in
rent growth of 1.1%. With around 45% of Vital’s total income remaining subject to review to 30 June 2018, we
expect these reviews will contribute to forecast income growth over the period approximately in line with inflation.
With a relatively benign lease expiry profile at the start of FY18 representing 1.7% of total income (22 leases),
approximately half of these renewals or expiries are now completed, with a 100% retention rate. We look to
resolve the remaining expiries over the next six months with a high expectation of renewal and we also continue to
proactively focus on expiries beyond 2018.
Financial performance
Gross rental income grew 17.9% during the period after adjusting for a one-off lease termination receipt of $13.8m
relating to two Gold Coast properties in the prior year. After property expenses, net income grew 16.6%.
This strong operating result was driven by same-property income growth of 3.5% and over NZ$410m of
acquisitions and approximately NZ$40m of developments over the last 24 months.
Finance expense of $10.5m was up 55% from the prior year owing to higher overall debt levels during the last 12
months. This reflects significant acquisition and development activity following the pay down of bank facilities on
the back of the July 2016 capital raise.
Other expenses increased to $12.8m primarily the result of an accrual provision for a manager incentive fee of
$5.8m ($3.5m in 1H17) along with base management fees increasing to $5.6m ($3.7m in 1H17) due to the higher
asset base over the previous period. The incentive fee provision is calculated in accordance with the Trust Deed
and based on the average increase in the value of the Trust’s assets over book value for the last three years, and
does not crystallise until the end of the financial year following completion of the 30 June 2018 year-end
independent asset valuations.
Net distributable income for the period was $22.8m equating to 5.26 cpu. Adjusting for income related to a one-off
lease termination and rental reversion on re-leasing at two Gold Coast properties, net distributable income per unit
for the period increased 3.5% from the prior year. AFFO, which adjusts for maintenance capital expenditure and
lease incentives, was broadly in line with net distributable income on a per unit basis.
For the six months to 31 December 2017, Vital’s AFFO payout ratio reflected a prudent and sustainable 79%.
Treasury & capital management
Vital’s loan-to-value ratio (LVR) was 36.8% at 31 December 2017, up from 24.4% the same time last year. It
remains well below bank and Trust Deed covenants of 50%. Accordingly, the Trust maintains an appropriate level
of flexibility to finance announced development commitments over the next four years.
Partially offsetting the increased finance expense due to higher gearing was a 57bps decrease in Vital’s weighted
average cost of debt to 4.09% (including bank line and margin fees) compared to the prior year.
At year end Vital had a hedged interest rate position of 51.9% with a 5.76 year average duration.
Acquisitions
Vital acquired five properties in the first half of the year for a total cost of NZ$187m.
In July 2017, Vital closed on the acquisition of The Hills Clinic in Kellyville, NSW, 40km north-west of the Sydney
CBD for A$30.3m. The Hills is a two-storied purpose-built mental health hospital leased to Healthe Care,
Australia’s third largest corporate private hospital operator and pan-Asian healthcare services group, on a 30-year
lease.

About Vital Healthcare Property Trust

Vital Healthcare Property Trust (NZX: VHP) is Australasia’s largest listed investor in healthcare real estate. Tenants include hospital operators and
healthcare practitioners who deliver a wide range of medical and healthcare related services. The Manager of Vital Healthcare Property Trust is
NorthWest Healthcare Properties Management Limited (formerly Vital Healthcare Management Limited).

.vhpt.co.nz
In December 2017, Vital acquired Eden Rehabilitation Hospital in Cooroy, Queensland for A$23.8m. Eden is a
private rehabilitation hospital leased to Healthe Care Australia for 20 years, with future brownfield potential.
Also in December 2017, Vital received OIO approval to acquire the previously announced Wakefield and Bowen
Hospitals in Wellington and acquired a third asset from Acurity Health Group, Royston Hospital in Hastings, for a
combined NZ$122m. Vital has also committed to fund up to NZ$106.5m of brownfield development at the three
hospitals over the next four years.
Development activity
In the first half of the year, Vital completed brownfield developments at Sportsmed Consulting in Adelaide,
Maitland Private Hospital in NSW and the Palm Beach Currumbin Clinic in Queensland representing value-add
investments of approximately A$20m over the life of these projects.
Three further projects, totalling approximately A$34m remain in various stages of development. The projects will
facilitate expansion of healthcare services including additional operating theatres, ward expansions and new
consulting suites to meet increased demand for services. These three projects are forecast for completion
between April and June 2018, with approximately A$21m in costs to complete.
The longer term brownfield development programme, which totals approximately NZ$144m including the
aforementioned projects under construction and planned works in the Acurity portfolio, remains a core part of
Vital’s scale and diversification strategy. It will continue to underpin earnings sustainability, improve asset quality
and enhance long-term value.
Distribution
The Board confirmed that investors will receive a second quarter distribution of 2.125 cents per unit with 0.1543
cpu of imputation credits attached. The record date is 15 March 2018 and payment will be made on 29 March
2018. Vital’s Distribution Reinvestment Plan remains available to investors for this distribution with a 1.0%
discount being applied when determining the strike price.
The Board has also reconfirmed its full year guidance for a cash distribution of 8.5 cents per unit.
Outlook
Mr Carr said “With a solid foundation and a defensive and resilient portfolio position, we look forward to the
continued execution of our disciplined scale and diversification strategy.
Irrespective of periodic political or regulatory interference in otherwise entrenched healthcare systems in New
Zealand and Australia, we continue to see strong demographic, aging and technological trends driving demand for
healthcare services – delivered from quality healthcare infrastructure. Vital is at the forefront of this structural
growth opportunity with the most experienced healthcare real estate management team in Australasia and the
reputation as a preferred healthcare real estate capital partner, we are well placed for the future”.
Vital’s management team will present these results via a live webcast from 2pm NZ time today. Please refer to our
market release dated 13 February 2018 for details or click here.

– ENDS -


ENQUIRIES
David Carr, Chief Executive Officer
NorthWest Healthcare Properties Management Ltd, Telephone 09 973 7301, Email dcarr@vhpt.co.nz

Stuart Harrison, Chief Financial Officer
NorthWest Healthcare Properties Management Ltd, Telephone 09 973 7302, Email sharrison@vhpt.co.nz

Jason Kepecs, Manager, Investor Relations
NorthWest Healthcare Properties Management Ltd, Telephone 09 973 7303, Email jkepecs@vhpt.co.nz

---

Reporting Period6 months to 31 December 2017
Previous Reporting Period6 months to 31 December 2016
Amount
NZ$000s
Percentage
change
Revenue from ordinary activities
-15.1%
Profit (loss) from ordinary activities after tax
attributable to security holder
16.2%
Net profit (loss) attributable to security holders
52,88016.2%
Interim/Final DividendAmount per
security
Imputed amount
per security
NZ$0.02125NZ$0.001543
Record Date
Dividend Payment Date
Comments:Refer
announcement
43,153
52,880
VITAL HEALTHCARE PROPERTY TRUST
Results for announcement to the market
15 March 2018
29 March 2018

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
1FINANCIAL STATEMENTS
FINANCIAL
STATEMENTS
FOR THE PERIOD
ENDED
31 DECEMBER
2017

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-1FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
For the period ended 31 December 2017
Note
Unaudited
6 months
Dec-17
$000s
Unaudited
6 months
Dec-16
$000s
Gross property income from rentals44,75251,775
Gross property income from expense recoveries5,1833,353
Property expenses(6,782)(4,315)
Net property income343,15350,813
Other income/(expenses)(12,794)(7,650)
Finance income5771
Finance expense(10,540)(6,817)
Operating Profit19,87636,417
Other gains/(losses)
Revaluation gain/(loss) on investment property642,77413,100
Fair value gain/(loss) on foreign exchange derivatives(284)(701)
Fair value gain/(loss) on interest rate derivatives1168,080
Unrealised gain/(loss) on foreign exchange(1,366)(1,869)
41,24018,610
Profit before income tax61,11655,027
Taxation expense4(8,236)(9,503)
Profit for the period attributable to unitholders of the Trust52,88045,524
Other comprehensive income
Items that may be reclassified subsequently to profit and loss:
Movement in foreign currency translation reserve34,020(4,547)
Realised foreign exchange gains/(losses) on hedges1,63410,129
Current taxation (expense)/credit(458)(2,836)
Unrealised foreign exchange gains/(losses) on hedges(3,656)(8,505)
Deferred taxation (expense)/credit1,0242,381
Fair value gain/(loss) on net investment hedges(4,445)715
Deferred taxation (expense)/credit1,244(200)
Total other comprehensive income/(loss) after tax29,363(2,863)
Total comprehensive income after tax82,24342,661
Earnings per unit
Basic and diluted earnings per unit (cents)512.2210.97
The notes on pages FIN-5 to FIN-14 form part of and are to be read in conjunction with these financial statements.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-2FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
As at 31 December 2017
Note
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
Non-current assets
Investment properties61,670,8461,376,243
Derivative financial instruments71,0751,499
Other non-current assets326327
Total non-current assets1,672,2471,378,069
Current assets
Cash and cash equivalents10,4533,352
Trade and other receivables1,368367
Other current assets2,2427,886
Derivative financial instruments71,0992,554
Total current assets15,16214,159
Total assets1,687,4091,392,228
Unitholders' funds
Units on issue8553,824538,469
Reserves11,557(11,295)
Retained earnings386,933352,647
Total unitholders' funds952,314879,821
Non-current liabilities
Borrowings9613,588401,879
Income in advance1,1361,541
Derivative financial instruments711,54312,142
Deferred tax77,88071,719
Total non-current liabilities704,147487,281
Current liabilities
Trade and other payables9,70211,537
Income in advance3,1142,407
Derivative financial instruments72,64097
Taxation payable15,49211,085
Total current liabilities30,94825,126
Total liabilities735,095512,407
Total unitholders' funds and liabilities1,687,4091,392,228
For and on behalf of the Manager, Vital Healthcare Management Limited
G. Horsley, ChairmanC. Higgins, Director
27 February 2018
The notes on pages FIN-5 to FIN-14 form part of and are to be read in conjunction with these financial statements.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-3FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the period ended 31 December 2017
Units on issue
$000s
Retained
earnings
$000s
Translation
of foreign
operations
$000s
Foreign
exchange
hedges
$000s
Share based
payments
$000s
Total
unitholders'
funds
$000s
For the six months ended
31 December 2016 (Unaudited)
Balance at the start of the period369,220171,617(81,530)58,0956,317523,719
Changes in unitholders' funds166,056---(6,317)159,739
Manager's incentive fee----3,4903,490
Profit for the period-45,524---45,524
Distributions to unitholders-(18,363)---(18,363)
Other comprehensive income for
the period
Movement in foreign currency
translation reserve--(4,547)--(4,547)
Realised foreign exchange gains
on hedges---7,293-7,293
Unrealised foreign exchange gains/
(losses) on hedges---(6,124)-(6,124)
Fair value gains on net investment
hedges---515-515
Balance at the end of the period535,276198,778(86,077)59,7793,490711,246
For the six months ended
31 December 2017 (Unaudited)
Balance at the start of the period538,469352,647(83,713)60,10412,314879,821
Changes in unitholders' funds15,355---(12,314)3,041
Manager's incentive fee----5,8035,803
Profit for the period-52,880---52,880
Distributions to unitholders-(18,594)---(18,594)
Other comprehensive income for
the period
Movement in foreign currency
translation reserve--34,020--34,020
Realised foreign exchange gains on
hedges---1,176-1,176
Unrealised foreign exchange gains/
(losses) on hedges---(2,632)-(2,632)
Fair value losses on net investment
hedges---(3,201)-(3,201)
Balance at the end of the period553,824386,933(49,693)55,4475,803952,314
The notes on pages FIN-5 to FIN-14 form part of and are to be read in conjunction with these financial statements.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-4FINANCIAL STATEMENTS
CONSOLIDATED STATEMENT OF CASH FLOWS
For the period ended 31 December 2017
Note
Unaudited
6 months
Dec-17
$000s
Unaudited
6 months
Dec-16
$000s
Cash flows from operating activities
Property income44,94255,923
Recovery of property expenses4,3083,213
Interest received4364
Property expenses(6,167)(6,298)
Management and trustee fees(5,575)(3,910)
Interest paid(9,620)(6,566)
Tax (paid)/refund755(2,839)
Other trust expenses(1,014)(3,452)
Net cash provided by/(used in) operating activities27,67236,135
Cash flows from investing activities
Receipts from foreign exchange derivatives1,63411,087
Capital additions on investment properties(9,801)(9,921)
Purchase of properties(182,510)(103,649)
Prepaid acquistion costs(1,003)(51)
Tenant incentives(2,314)(1,088)
Payments for foreign exchange derivatives(171)-
Net cash provided by/(used in) investing activities(194,165)(103,622)
Cash flows from financing activities
Debt drawdown189,16886,504
Issue of units (net of issue costs)-156,525
Repayment of debt-(169,356)
Costs associated with Distribution Reinvestment Plan(14)(12)
Distributions paid to unitholders(15,553)(15,643)
Net cash from/(used in) financing activities173,60158,018
Net increase/(decrease) in cash and cash equivalents7,108(9,469)
Effect of exchange rate changes on cash and cash equivalents(7)14
Cash and cash equivalents at the beginning of the period3,35212,980
Cash and cash equivalents at the end of the period10,4533,525
The notes on pages FIN-5 to FIN-14 form part of and are to be read in conjunction with these financial statements.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-5FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
For the six months ended 31 December 2017
1 GENERAL INFORMATION
Vital Healthcare Property Trust ("VHP" or the "Trust") is a unit trust established under the Unit Trusts Act 1960 by
a Trust Deed dated 11 February 1994 as subsequently amended and replaced, domiciled in New Zealand. The
Trust is managed by Vital Healthcare Management Limited (the Manager). The Manager is a registered managed
investment scheme manager under the Financial Markets Conduct Act.
The condensed consolidated interim financial statements of VHP for the period ended 31 December 2017
comprise VHP and its subsidiaries (together referred to as the Group). VHP is listed on the New Zealand Stock
Exchange (NZX) and is a FMC reporting entity for the purpose of the Financial Markets Conduct Act 2013.
The Trust's principal activity is the investment in health sector related properties.
The condensed consolidated interim financial statements are presented in New Zealand Dollars ($) which is the
Trust's functional and presentation currency. All information has been rounded to the nearest thousand dollars
($000), unless stated otherwise.
These condensed consolidated interim financial statements were approved by the Board of Directors of the
Manager on 27 February 2018.
2 BASIS OF PREPARATION
Statement of compliance
These condensed consolidated interim financial statements have been prepared in accordance with Generally
Accepted Accounting Practice in New Zealand (NZ GAAP), NZ IAS 34 and IAS 34 Interim Financial Reporting. The
accounting policies have been consistently applied, when compared to those used in the 2017 Annual Report. The
2017 Annual Report complies with New Zealand equivalents to International Financial Reporting Standards (NZ
IFRS) and other applicable Financial Reporting Standards issued and effective at the time of preparing those
statements.
Basis of measurement
The condensed consolidated interim financial statements have been prepared on the historical cost basis except
for derivative financial instruments and investment properties which are measured at fair value.
Use of estimates and judgements
The preparation of financial statements in conformity with NZ IFRS requires the use of certain critical accounting
estimates and judgements that affect the application of policies and reported amount of assets and liabilities,
income and expenses. The areas involving a higher degree of judgement or complexity, or areas where
assumptions and estimates are significant to the financial statements are as follows:
•
Note 4 - taxation
•
Note 6 - valuation of investment property
Amendments to NZ IFRS
All standards and amendments effective in the current period have been adopted and have no impact on these
condensed consolidated interim financial statements.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-6FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
3 SEGMENT INFORMATION
The principal business activity of the Trust and its subsidiaries is to invest in Health Sector related properties. NZ
IFRS 8 requires operating segments to be identified on the basis of internal reports about components of the
Group that are regularly reviewed by the Board of Directors of the Manager, which is the chief operating decision
maker in order to allocate resources to the segments and to assess their performance.
The information reported to the Group's chief operating decision maker is based on primarily one industry sector,
investing in Health Sector related properties. The Group operates in both Australia and New Zealand.
The following is an analysis of the Group's revenue and results from continuing operations by reportable segment.
Australia
$000s
New Zealand
$000s
Total
$000s
Segment profit for the period ended
31 December 2017 (Unaudited):
Net property income34,4378,71643,153
Other expense(5,004)(7,790)(12,794)
Net finance expense(5,548)(4,935)(10,483)
23,885(4,009)19,876
Fair value gain/(loss) on interest rate derivatives-116116
Revaluation gains on investment properties37,8074,96742,774
Other foreign exchange gains/(losses)-(1,650)(1,650)
Total segment profit before income tax61,692(576)61,116
Taxation (expense)--(8,236)
Profit for the period--52,880
Segment profit for the period ended
31 December 2016 (Unaudited):
Net property income42,9337,88050,813
Other expense(3,497)(4,153)(7,650)
Net finance expense(2,809)(3,937)(6,746)
36,627(210)36,417
Fair value gain/(loss) on interest rate derivatives-8,0808,080
Revaluation gains on investment properties10,3992,70113,100
Other foreign exchange gains/(losses)(3)(2,567)(2,570)
Total segment profit before income tax47,0238,00455,027
Taxation (expense)--(9,503)
Profit for the period--45,524

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-7FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
3 SEGMENT INFORMATION (continued)
Net property income consists of revenue generated from external tenants less property operating expenditure.
The Group has two tenants with over 10% of gross property income from rentals totalling $25.4m, all in Australia
(31 December 2016: two tenants totalling $33.7m).
Included in net property income for the six months ended 31 December 2016 is a lease termination receipt of
$13.8m.
Segment profit represents the profit earned by each segment including allocation of identifiable administration
costs, finance costs, revaluation gains/(losses) on investment properties, and gains/(losses) on disposal of
investment properties. This is the measure reported to the chief operating decision maker for the purposes of
resource allocation and assessment of segment performance.
Australia
$000s
New Zealand
$000s
Total
$000s
Segment assets at 31 December 2017 (Unaudited):
Investment properties1,275,012395,8341,670,846
Other non-current assets2931,1081,401
Current assets7,0758,08715,162
Consolidated assets1,282,380405,0291,687,409
Segment assets at 30 June 2017 (Audited):
Investment properties1,110,530265,7131,376,243
Other non-current assets2861,5401,826
Current assets4,8139,34614,159
Consolidated assets1,115,629276,5991,392,228
Segment liabilities at 31 December 2017 (Unaudited):
Borrowings476,303137,285613,588
Other liabilities90,04231,465121,507
Consolidated liabilities566,345168,750735,095
Segment liabilities at 30 June 2017 (Audited):
Borrowings270,855131,024401,879
Other liabilities77,90732,621110,528
Consolidated liabilities348,762163,645512,407
For the purposes of monitoring segment performance and allocating resources between segments:
•
All assets are allocated to reportable segments
•
All liabilities are allocated to reportable segments

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-8FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
4 TAXATION
Unaudited
6 months
Dec-17
$000s
Unaudited
6 months
Dec-16
$000s
Profit before tax for the period61,11655,027
Taxation expense - 28% on profit before income tax(17,113)(15,408)
Effect of different tax rates in foreign jurisdictions8,0204,560
Tax exempt income1,796736
Foreign tax credits1,7632,918
Tax charges on overseas investments(4,279)(2,668)
Over/(under) provided in prior periods1,26375
Other adjustments314284
Taxation (expense)(8,236)(9,503)
The taxation (expense) is made up as follows:
Current taxation(2,890)(4,411)
Deferred taxation(5,346)(5,092)
Total taxation (expense)(8,236)(9,503)

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-9FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
5 EARNINGS PER UNIT
Basic and diluted earnings per unit is calculated by dividing the profit attributable to unitholders of the Trust by the
weighted average number of ordinary units on issue during the period.
Unaudited
Dec-17
Unaudited
Dec-16
Profit attributable to unitholders of the Trust ($000s)52,88045,524
Weighted average number of units on issue (000's of units)432,849414,852
Basic and diluted earnings per unit (cents)12.2210.97

Unaudited
Dec-17
$000's
Unaudited
Dec-16
$000's
Distributable income
Profit before income tax61,11655,027
Revaluation (gains)(42,774)(13,100)
Unrealised foreign exchange (gain)/loss1,3661,869
Unrealised foreign exchange (gain)/loss derivatives284701
Unrealised interest rate (gain)/loss derivatives(116)(8,080)
Manager's incentive fee5,8033,490
Profit used in calculating gross distributable income25,67939,907
Current tax charge(2,890)(4,411)
Profit used in calculating net distributable income22,78935,496
Gross distributable income (cpu) *5.939.62
Net distributable income (cpu) *5.268.56
* Based on weighted average number of units on issue.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-10FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
6 INVESTMENT PROPERTIES
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
Carrying value of investment property at the beginning of the period1,376,243951,879
Acquisition of properties187,384223,562
Capitalised costs10,23331,637
Capitalised interest costs402302
Net capitalised incentives(167)2,048
Foreign exchange translation difference53,977(1,734)
Change in fair value42,774168,549
Carrying value of investment property at the end of the period1,670,8461,376,243
Carrying value of investment property includes:
Fair value of investment properties1,668,2561,372,587
Income in advance2,5903,656
Carrying value of investment property at the end of the period1,670,8461,376,243
Investment Properties Valuation
The Group's policy is for investment property to be measured at fair value for which the Group completes property
valuations at least annually by independent registered valuers. All investment property was valued by independent
registered valuers as at 30 June 2017. The fair value of investment property as at 31 December 2017 was
determined by the Manager, using market data provided by independent valuers and based on independent
valuation advice. This follows recent comparable transactional evidence of market property sale transactions and
a review of leasing activity undertaken in the period.
The Group holds the freehold to all properties except the car parks at the rear of Ascot Hospital and Ascot
Central. The total value of leasehold property at 31 December 2017 was $3.1m (30 June 2017: $3.2m)
representing 0.2% of the total investment property portfolio (30 June 2017: 0.2%). The weighted average lease
length of leasehold property at 31 December 2017 was 1.3 years (30 June 2017: 1.8 years).
Acquisition of properties
During the period, the Group acquired five healthcare properties. Three properties are located in New Zealand, two
in Wellington and one in Hastings.Two properties are in Australia, one in Cooroy, Queensland, and one in Kellyville,
New South Wales . The purchase prices included Australian stamp duty and other transaction costs.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-11FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
7 DERIVATIVE FINANCIAL INSTRUMENTS
Hedge Accounting
The Group is exposed to foreign exchange risk on its net investment in its Australian functional currency
subsidiaries and hedges this risk using Australian denominated borrowings and foreign exchange derivatives.
The Group has designated Australian denominated borrowings and foreign exchange derivatives as hedges of a net
investment in a foreign operation (net investment hedge). The Group prospectively and retrospectively tests the
hedges for effectiveness on a semi-annual basis. The portion of the foreign exchange differences arising on the
hedging instruments determined to be an effective hedge is recognised in other comprehensive income. Any
ineffective portion is recognised in profit or loss.
The face value of hedging instruments designated in net investment hedges is:
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
Borrowings98,93494,488
Forward exchange contracts (nominal amount)219,853104,987
Interest rate swaps
Interest rate swaps are measured using a valuation model based on the present value of estimated future cash
flows and discounted based on the applicable yield curves derived from observable market interest rates. The
Group has determined the interest rate swaps are Level 2 fair value measurements. The fair value of interest rates
swaps is a liability of $10,624,836.
Foreign exchange derivatives
Foreign exchange derivatives are measured using a valuation model based on the applicable forward price curves
derived from observable forward prices. The Group has determined the foreign exchange derivatives are Level 2
fair value measurements. The fair value of foreign exchange derivatives is a liability of $1,384,237.
There have been no reclassifications of fair value instruments between levels in the period ended 31 December
2017 and 30 June 2017.
Derivatives are all carried at fair value on the Statement of Financial Position. The carrying amounts of all other
financial instruments approximate their fair value.
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
Nominal value of foreign exchange contracts - AUD100,00050,000
Nominal value of foreign exchange options - AUD100,00050,000

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-12FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
8 UNITS ON ISSUE
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
Balance at the beginning of the period538,469369,220
Issue of units under Distribution Reinvestment Plan3,0735,928
Issue of units under Rights Issue-159,932
Issue of units to satisfy Manager's incentive fee12,3146,317
Issue costs of units(32)(2,928)
15,355169,249
Balance at the end of the period553,824538,469
Unaudited
Dec-17
000s
Audited
Jun-17
000s
Reconciliation of number of units
Balance at the beginning of the period428,562345,998
Issue of units under the Distribution Reinvestment Plan1,4062,795
Units issued under Rights Issue-76,891
Units issued to satisfy Manager's incentive fee5,4402,878
Balance at the end of the period435,408428,562
The number of units on issue at 31 December 2017 was 435,408,454 (30 June 2017: 428,562,486). The units have
no par value and are fully paid. Fully paid ordinary units carry one vote per unit and carry the right to distributions.
On 23 August 2017, 5,440,157 units were issued against the 2017 Manager's incentive fee of $12,314,339 (30 June
2017: $6,316,611).
Capital risk management
The Group is subject to imposed capital requirements arising from the Trust Deed, which requires the total
borrowings do not exceed 50% of the gross value of the Trust Fund.
The Group's banking covenants require that the aggregate principal amount of the loan outstanding does not
exceed 50%, (30 June 2017: 50%) of the fair market value of property at all times calculated to the Australian
dollar equivalent. All banking covenants have been met during the period.
The Group manages its capital to ensure that entities in the Group will be able to continue as a going concern
while maximising the return to stakeholders through the optimisation of the debt and equity balance. The Group's
policies in respect of capital management and allocation are reviewed regularly by the Board of Directors of the
Manager. There have been no material changes in the Group's overall capital risk management strategy during the
period.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-13FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
9 BORROWINGS
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
AUD denominated loans614,628402,649
Borrowing costs(1,040)(770)
Total borrowings613,588401,879
The Group has a syndicated revolving multi-currency facility with ANZ Bank New Zealand Limited, Australia and
New Zealand Banking Group Limited and Bank of New Zealand. The multi-currency facilities of A$600.0m and NZ
$20.0m are split between: Tranche A: A$125.0m and Tranche B: A$100.0m which are due to expire on 31 March
2019; and Tranche C: A$100.0m, Tranche D: A$100.0m and NZ Dollar Facility: NZ$20.0m which are due to expire
on 31 October 2020; and Tranche E: A$175m which is due to expire on 20 November 2021.
The effective interest rate on the borrowings as at 31 December 2017 was 4.09% per annum (30 June 2017:
4.34%).
Borrowings are secured by a Security Trust Deed dated 1 April 2003 and as amended and restated on
29 November 2016. The Security Provider comprises T.E.A. Custodians Limited in its capacity as nominee of the
VHP Trustee as supervisor of the Trust and the Trust's subsidiaries. Pursuant to the Deed, a security interest has
been granted of first ranking mortgages over the respective investment properties by a General Security Deed over
the assets and undertakings of Vital Healthcare Property Limited and fixed and floating charges over the assets
and undertakings of Vital Healthcare Australian Property Pty Limited in its capacity as trustee for Vital Healthcare
Australian Property Trust and Vital Healthcare Investment Trust.
10 COMMITMENTS
Unaudited
Dec-17
$000s
Audited
Jun-17
$000s
Capital Commitments
The Group was party to contracts to purchase or construct property for the
following amounts:36,77078,234
Lease Commitments
The property rental income expected to be earned by the Group from its investment property, all of which is
leased out under operating leases, is set out in the table below:
Not later than one year
95,95480,901
Later than one year and not later than five years357,609293,850
Later than five years1,355,9031,059,951
1,809,4661,434,702
As a condition of listing on the New Zealand Stock Exchange (NZSX), NZSX requires all issuers to provide a bank
bond to NZSX under NZSX/DX Listing Rule 2.6.2. The bank bond required by the Trust for listing on the NZSX is
$50,000.

VITAL HEALTHCARE PROPERTY TRUST FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2017
FIN-14FINANCIAL STATEMENTS
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (CONT.)
11 CONTINGENCIES
There were no contingencies as at 31 December 2017 (30 June 2017: nil).
12 SUBSEQUENT EVENTS
On 26 February 2018 the manager changed its name from Vital Healthcare Management Limited, to NorthWest
Healthcare Properties Management Limited.
On 27 February 2018 a gross distribution of 2.125 cents per unit was announced by the Trust. The record date for
the distribution is 15 March 2018 and a payment is scheduled to unitholders on 29 March 2018. There will be
0.1543 cents per unit of imputation credits attached to the distribution.
13 RELATED PARTY TRANSACTIONS
The Manager
The Trust is managed by Vital Healthcare Management Limited (the "Manager"). The Manager is a wholly owned
subsidiary of NWI Healthcare Properties LP. The Manager is related to the Trust and its subsidiaries as the
manager of the Trust.
Remuneration of the Manager
The Trust paid management fees to the Manager. The calculation of management fees and incentive fees is
stipulated in the Trust Deed. Management fees have been charged at 0.75% of the monthly average of the gross
value of the assets of the Trust for the quarter ended on the last day of that month. Incentive fees are payable
when there is an average annual increase in the gross value of the assets of the Trust Fund over the relevant
financial year and the two preceding financial years. The incentive fee calculation may give rise to an excess or
deficit to be applied in the calculation of future incentive fees. The incentive fee is 10% of the amount of the
increase with payment being made by way of subscribing for new units. The management and incentive fees shall
not exceed an amount equal to 1.75% per annum of the gross value of the Trust.
Transactions with related parties include:
Unaudited
Dec-17
$000s
Unaudited
Dec-16
$000s
Total fees incurred
Management fees5,5893,743
Manager's incentive fees5,8033,490
Expenses charged by Vital Healthcare Management Limited92218
Expenses charged by Vital Healthcare Australian Property Pty Limited1,1791,290
12,6638,741
Properties owned by the Trust have been managed by Vital Healthcare Management Limited, a subsidiary of NWI
Healthcare Properties LP. Property management fees charged are either included in property expenses or
capitalised. The amount paid to Vital Healthcare Management Limited for reimbursement of expenses was
$92,430 (31 December 2016: $218,108). The amount not recovered from tenants was nil (31 December 2016: nil).

15
INDEPENDENT REVIEW REPORT
TO THE UNITHOLDERS OF VITAL HEALTHCARE PROPERTY TRUST
We have reviewed the condensed consolidated interim financial statements of Vital Healthcare Property Trust and its
subsidiaries (together referred to as ‘the Trust’) which comprise the consolidated statement of financial position as at 31
December 2017, and the consolidated statement of comprehensive income, consolidated statement of changes in equity
and consolidated statement of cash flows for the six month period ended on that date, and a summary of significant
accounting policies and other explanatory information on pages FIN-1 to FIN-14.
This report is made solely to the Trust’s unitholders, as a body. Our review has been undertaken so that we might state to
the Trust’s unitholders those matters we are required to state to them in a review report and for no other purpose. To the
fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Trust’s unitholders as
a body, for our engagement, for this report, or for the opinions we have formed.
Manager’s Responsibilities
The Board of Directors of the Manager are responsible for the preparation and fair presentation of the condensed
consolidated interim financial statements, in accordance with NZ IAS 34 Interim Financial Reporting and IAS 34 Interim
Financial Reporting and for such internal control as the Board of Directors of the Manager determine is necessary to
enable the preparation and fair presentation of the condensed consolidated interim financial statements that are free
from material misstatement, whether due to fraud or error.
Our Responsibilities
Our responsibility is to express a conclusion on the condensed consolidated interim financial statements based on our
review. We conducted our review in accordance with NZ SRE 2410 Review of Financial Statements Performed by the
Independent Auditor of the Entity (‘NZ SRE 2410’). NZ SRE 2410 requires us to conclude whether anything has come to
our attention that causes us to believe that the condensed consolidated interim financial statements, taken as a whole,
are not prepared, in all material respects, in accordance with NZ IAS 34 Interim Financial Reporting and IAS 34 Interim
Financial Reporting. As the auditor of Vital Healthcare Property Trust, NZ SRE 2410 requires that we comply with the
ethical requirements relevant to the audit of the annual financial statements.
A review of the condensed consolidated interim financial statements in accordance with NZ SRE 2410 is a limited
assurance engagement. The auditor performs procedures, primarily consisting of making enquiries, primarily of persons
responsible for financial and accounting matters, and applying analytical and other review procedures.
The procedures performed in a review are substantially less than those performed in an audit conducted in accordance
with International Standards on Auditing (New Zealand). Accordingly we do not express an audit opinion on those
financial statements.
Other than in our capacity as auditor, we have no relationship with or interests in Vital Healthcare Property Trust or its
subsidiaries or the Manager.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the condensed consolidated interim
financial statements of the Trust do not present fairly, in all material respects, the financial position of the Group as at 31
December 2017 and its financial performance and cash flows for the six month period ended on that date in accordance
with NZ IAS 34 Interim Financial Reporting and IAS 34 Interim Financial Reporting.
Chartered Accountants
AUCKLAND, NEW ZEALAND
27 February 2018