Brookdale Senior Living Inc. - FORM 8-K - EX-99.2 - SUPPLEMENTAL INFORMATION

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8-K - FORM 8-K - Brookdale Senior Living Inc.	form8-k.htm
EX-99.1 - PRESS RELEASE - Brookdale Senior Living Inc.	exhibit99_1.htm

Exhibit 99.2

Brookdale Senior Living Inc.
Corporate Overview - selected financial information
As of December 31, 2014

Corporate Overview

Brookdale Senior Living Inc. ("Brookdale") is the leading operator of senior living communities throughout the United States. The Company is committed to providing senior living solutions primarily within properties that are designed, purpose-built and operated to provide the highest quality service, care and living accommodations for residents. The Company operates independent living, assisted living and dementia-care communities and continuing care retirement centers ("CCRCs"), with 1,143 communities in 46 states and the ability to serve approximately 111,000 residents. Through its ancillary services program, the Company also offers a range of outpatient therapy, home health, personalized living and hospice services.

Stock Listing

Common Stock
NYSE: BKD

Community Information

Ownership Type	Number of Communities		Number of Units		Percentage of Q4 2014 Resident and Management Fees			Percentage of Q4 2014 Facility Operating Income			Percentage of FY 2014 Resident and Management Fees			Percentage of FY 2014 Facility Operating Income
Owned		399		35,032		36.4	%		35.6	%		39.2	%		38.4	%
Leased		583		48,144		51.3	%		54.0	%		49.4	%		52.3	%
Brookdale Ancillary Services		N/A		N/A		10.7	%		5.6	%		10.1	%		5.6	%
Managed		161		27,683		1.6	%		4.8	%		1.3	%		3.7	%
Total		1,143		110,859		100.0	%		100.0	%		100.0	%		100.0	%

Operating Type - By Segment
Retirement Centers		99		17,362		15.2	%		19.5	%		17.4	%		22.0	%
Assisted Living		838		55,232		58.0	%		60.2	%		50.4	%		53.7	%
CCRCs - Rental		45		10,582		14.5	%		9.9	%		14.7	%		10.7	%
CCRCs - Entry Fee ⁽¹⁾		-		-		N/	A		N/	A		6.1	%		4.3	%
Brookdale Ancillary Services		N/A		N/A		10.7	%		5.6	%		10.1	%		5.6	%
Management Services		161		27,683		1.6	%		4.8	%		1.3	%		3.7	%
Total		1,143		110,859		100.0	%		100.0	%		100.0	%		100.0	%

CFFO Per Share

($ except where indicated)	FY 2013										FY 2014
		Q1		Q2		Q3		Q4	Full Year⁽³⁾			Q1		Q2		Q3		Q4	Full Year⁽³⁾
Reported CFFO	$	0.55	$	0.58	$	0.57	$	0.68	$	2.38	$	0.54	$	0.61	$	0.14	$	0.28	$	1.57
Add: integration, transaction and EMR roll-out costs ⁽²⁾		0.02		0.03		0.04		0.03		0.12		0.10		0.10		0.49		0.25		0.94
Adjusted CFFO	$	0.57	$	0.61	$	0.61	$	0.71	$	2.50	$	0.64	$	0.71	$	0.63	$	0.53	$	2.51

Weighted average shares (000's)		122,823		123,405		124,128		124,308				124,478		125,058		159,003		183,432
Period end outstanding shares (excluding unvested restricted shares) (000's)		123,040		124,061		124,285		124,354				124,816		125,408		183,410		183,486

(1) In connection with the transactions completed with HCP on August 29, 2014, the Company contributed all but two of its entry fee CCRCs to the entry fee CCRC venture with HCP, at which time the communities were deconsolidated. The results of the entry fee CCRCs contributed to the venture are reported in the Company's CCRCs - Entry Fee segment for the time periods prior to being contributed to the venture. The results of the two remaining entry fee CCRCs are reported in the Company's CCRCs - Rental segment beginning with the third quarter of 2014. The Company no longer reports operating results for a CCRCs – Entry Fee segment.

(2) Integration and EMR roll-out costs include third party expenses directly related to the integration of Emeritus as well as internal costs such as labor reflecting time spent by Company personnel on integration and transaction activity. Transaction costs include third party costs directly related to the acquisition of Emeritus and the completion of the transactions contemplated by the Master Agreement with HCP and are primarily comprised of legal, finance, consulting, professional fees and other third party costs.

(3) Full year CFFO for all periods is calculated as the sum of the quarterly amounts for the year.

Investor Relations

Ross Roadman
SVP, Investor Relations
Brookdale Senior Living Inc.
111 Westwood Place, Suite 400
Brentwood, TN 37027
Phone (615) 564-8104
rroadman@brookdale.com

Note: See accompanying fourth quarter earnings release for non-GAAP financial measure definitions and reconciliations.

Brookdale Senior Living Inc.
Segment Financial Data
As of December 31, 2014

Financial Data and Operating Information
($ in 000s, except Senior Housing average monthly revenue per unit)

Retirement Centers	FY 2013															FY 2014 (1)
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		128,922			130,170			133,272			133,920			526,284			132,349			133,441			155,227			161,295			582,312
Expenses		75,588			75,993			76,452			75,969			304,002			76,119			76,550			88,022			92,738			333,429
Segment Operating Income		53,334			54,177			56,820			57,951			222,282			56,230			56,891			67,205			68,557			248,883
Segment Operating Margin		41.4	%		41.6	%		42.6	%		43.3	%		42.2	%		42.5	%		42.6	%		43.3	%		42.5	%		42.7	%

Number of communities (period end)		76			76			76			76			76			74			74			100			99			99
Total average units(3)		14,429			14,429			14,444			14,454			14,439			14,161			14,162			16,594			17,315			15,558
Weighted average unit occupancy		89.5	%		89.4	%		90.2	%		90.1	%		89.8	%		89.3	%		88.9	%		89.8	%		89.9	%		89.5	%
Senior Housing average monthly revenue per unit(4)	$	3,328		$	3,362		$	3,408		$	3,426		$	3,381		$	3,490		$	3,532		$	3,472		$	3,454		$	3,485

Assisted Living	FY 2013															FY 2014 (1)
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		260,615			260,497			262,524			268,232			1,051,868			277,431			277,230			516,640			614,262			1,685,563
Expenses		164,330			164,316			165,774			167,770			662,190			172,439			172,984			328,486			403,165			1,077,074
Segment Operating Income		96,285			96,181			96,750			100,462			389,678			104,992			104,246			188,154			211,097			608,489
Segment Operating Margin		36.9	%		36.9	%		36.9	%		37.5	%		37.0	%		37.8	%		37.6	%		36.4	%		34.4	%		36.1	%

Number of communities (period end)		431			432			432			438			438			440			440			841			838			838
Total average units(3)		21,556			21,499			21,513			22,149			21,679			22,435			22,463			45,260			55,241			36,350
Weighted average unit occupancy		89.1	%		89.4	%		90.0	%		90.1	%		89.7	%		89.6	%		89.0	%		88.8	%		88.2	%		88.7	%
Senior Housing average monthly revenue per unit(4)	$	4,523		$	4,519		$	4,518		$	4,480		$	4,510		$	4,599		$	4,622		$	4,286		$	4,203		$	4,356

CCRCs - Rental	FY 2013															FY 2014 (1) (2)
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		100,327			97,562			100,076			99,010			396,975			97,944			98,212			144,074			152,943			493,173
Expenses		71,250			71,995			73,063			71,641			287,949			71,114			72,519			109,582			118,297			371,512
Segment Operating Income		29,077			25,567			27,013			27,369			109,026			26,830			25,693			34,492			34,646			121,661
Segment Operating Margin		29.0	%		26.2	%		27.0	%		27.6	%		27.5	%		27.4	%		26.2	%		23.9	%		22.7	%		24.7	%

Number of communities (period end)		27			27			27			26			26			26			26			45			45			45
Total average units(3)		6,687			6,684			6,687			6,617			6,669			6,457			6,469			9,783			10,483			8,298
Weighted average unit occupancy		87.6	%		86.2	%		86.7	%		86.8	%		86.8	%		86.6	%		85.9	%		85.1	%		85.9	%		85.8	%
Senior Housing average monthly revenue per unit(4)	$	5,709		$	5,649		$	5,759		$	5,742		$	5,715		$	5,839		$	5,894		$	5,740		$	5,637		$	5,757

CCRCs - Entry Fee	FY 2013															FY 2014 (2)
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		74,308			74,016			74,110			75,322			297,756			79,169			79,100			44,145			-			202,414
Expenses		54,737			56,244			55,892			54,490			221,363			59,534			60,733			33,714			-			153,981
Segment Operating Income		19,571			17,772			18,218			20,832			76,393			19,635			18,367			10,431			-			48,433
Segment Operating Margin		26.3	%		24.0	%		24.6	%		27.7	%		25.7	%		24.8	%		23.2	%		23.6	%		-			23.9	%

Bridge to Cash Basis for CCRCs - Entry Fee segment
Revenue		74,308			74,016			74,110			75,322			297,756			79,169			79,100			44,145			-			202,414
Less: revenue amortization (non-cash)		(7,133	)		(7,032	)		(7,013	)		(7,831	)		(29,009	)		(7,202	)		(7,547	)		(4,930	)		-			(19,679	)
Add: net entrance fees (cash)		7,553			16,422			11,370			21,661			57,006			6,513			16,711			(576	)		-			22,648
Adjusted revenue		74,728			83,406			78,467			89,152			325,753			78,480			88,264			38,639			-			205,383
Expenses		54,737			56,244			55,892			54,490			221,363			59,534			60,733			33,714			-			153,981
Adjusted Segment Operating Income		19,991			27,162			22,575			34,662			104,390			18,946			27,531			4,925			-			51,402
Adjusted Segment Operating Margin		26.8	%		32.6	%		28.8	%		38.9	%		32.0	%		24.1	%		31.2	%		12.7	%		-			25.0	%

Number of communities (period end)		14			14			14			14			14			15			15			-			-			-
Total average units(3)		5,281			5,295			5,308			5,329			5,303			5,527			5,534			2,954			-			3,504
Weighted average unit occupancy		84.6	%		83.8	%		84.1	%		84.3	%		84.2	%		84.7	%		84.7	%		87.0	%		-			85.2	%
Senior Housing average monthly revenue per unit(4)	$	5,011		$	5,025		$	4,994		$	5,023		$	5,013		$	5,124		$	5,091		$	5,085		$	-		$	5,103

Total Senior Housing		FY 2013														FY 2014
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		564,172			562,245			569,982			576,484			2,272,883			586,893			587,983			860,086			928,500			2,963,462
Expenses		365,905			368,548			371,181			369,870			1,475,504			379,206			382,786			559,804			614,200			1,935,996
Operating Income		198,267			193,697			198,801			206,614			797,379			207,687			205,197			300,282			314,300			1,027,466
Operating Margin		35.1	%		34.5	%		34.9	%		35.8	%		35.1	%		35.4	%		34.9	%		34.9	%		33.9	%		34.7	%
G&A Allocation(5)		25,526			23,224			22,647			24,658			96,055			24,396			22,589			33,912			35,365			116,262
Adjusted Operating Income		172,741			170,473			176,154			181,956			701,324			183,291			182,608			266,370			278,935			911,204
Adjusted Operating Margin		30.6	%		30.3	%		30.9	%		31.6	%		30.9	%		31.2	%		31.1	%		31.0	%		30.0	%		30.7	%

Number of communities (period end)		548			549			549			554			554			555			555			986			982			982
Total average units(3)		47,953			47,907			47,952			48,549			48,090			48,580			48,628			74,591			83,039			63,710
Weighted average unit occupancy		88.5	%		88.3	%		89.0	%		89.0	%		88.7	%		88.6	%		88.1	%		88.5	%		88.3	%		88.3	%
Senior Housing average monthly revenue per unit(4)	$	4,375		$	4,373		$	4,397		$	4,387		$	4,383		$	4,491		$	4,518		$	4,317		$	4,220		$	4,357

Brookdale Senior Living Inc.
Segment Financial Data
As of December 31, 2014

Financial Data and Operating Information (continued)
($ in 000s, except Senior Housing average monthly revenue per unit)

Brookdale Ancillary Services	FY 2013												FY 2014
		Q1		Q2		Q3		Q4		Full Year				Q1		Q2		Q3		Q4		Full Year
Revenue		60,198		58,693		61,162		62,097			242,150			63,417		65,534		95,426		113,458			337,835
Expenses		47,098		47,479		49,398		52,466			196,441			50,664		52,629		77,280		93,799			274,372
Segment Operating Income		13,100		11,214		11,764		9,631			45,709			12,753		12,905		18,146		19,659			63,463
Segment Operating Margin		21.8	%	19.1	%	19.2	%	15.5	%		18.9	%		20.1	%	19.7	%	19.0	%	17.3	%		18.8	%
G&A Allocation(5)		6,055		6,005		5,516		5,806			23,382			5,642		5,908		5,709		9,050			26,309
Adjusted Segment Operating Income		7,045		5,209		6,248		3,825			22,327			7,111		6,997		12,437		10,609			37,154
Adjusted Segment Operating Margin		11.7	%	8.9	%	10.2	%	6.2	%		9.2	%		11.2	%	10.7	%	13.0	%	9.4	%		11.0	%

Brookdale units served:
Outpatient Therapy consolidated		38,017		38,075		38,253		38,308						37,974		38,328		37,899		36,843
Home Health consolidated		32,389		32,864		33,940		33,894						34,518		35,061		33,254		37,006
Outpatient Therapy non-consolidated		13,502		14,177		14,733		14,017						14,138		13,942		18,716		17,164
Home Health non-consolidated		13,326		13,232		13,601		12,884						12,819		12,336		16,036		18,954
Total Brookdale units served:
Outpatient Therapy		51,519		52,252		52,986		52,325						52,112		52,270		56,615		54,007
Home Health		45,715		46,096		47,541		46,778						47,337		47,397		49,290		55,960

Outpatient Therapy treatment codes		821,308		840,076		818,758		844,987						812,632		798,754		762,993		679,057
Home Health average census		4,289		4,366		4,574		4,762						5,084		5,257		10,314		12,723

Total Senior Housing and Brookdale Ancillary Services	FY 2013												FY 2014
		Q1		Q2		Q3		Q4		Full Year				Q1		Q2		Q3		Q4		Full Year
Revenue		624,370		620,938		631,144		638,581			2,515,033			650,310		653,517		955,512		1,041,958			3,301,297
Expenses		413,003		416,027		420,579		422,336			1,671,945			429,870		435,415		637,084		707,999			2,210,368
Operating Income		211,367		204,911		210,565		216,245			843,088			220,440		218,102		318,428		333,959			1,090,929
Operating Margin		33.9	%	33.0	%	33.4	%	33.9	%		33.5	%		33.9	%	33.4	%	33.3	%	32.1	%		33.0	%
G&A Allocation(5)		31,581		29,229		28,163		30,464			119,437			30,038		28,497		39,621		44,415			142,571
Adjusted Operating Income		179,786		175,682		182,402		185,781			723,651			190,402		189,605		278,807		289,544			948,358
Adjusted Operating Margin		28.8	%	28.3	%	28.9	%	29.1	%		28.8	%		29.3	%	29.0	%	29.2	%	27.8	%		28.7	%

Management Services	FY 2013															FY 2014
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue (Management Fees)		7,609			7,744			7,622			8,150			31,125			7,402			7,489			10,428			16,920			42,239
Expenses (G&A Allocation)(5)		6,031			6,192			6,106			6,334			24,663			6,116			5,649			7,453			10,732			29,950
Segment Operating Income		1,578			1,552			1,516			1,816			6,462			1,286			1,840			2,975			6,188			12,289
Segment Operating Margin		20.7	%		20.0	%		19.9	%		22.3	%		20.8	%		17.4	%		24.6	%		28.5	%		36.6	%		29.1	%

Number of communities (period end)		101			101			102			95			95			92			92			161			161			161
Total average units(3)		18,114			18,310			18,291			17,618			18,083			17,140			16,978			20,919			27,318			20,589
Weighted average occupancy		84.9	%		84.9	%		85.7	%		86.1	%		85.4	%		86.3	%		86.8	%		86.3	%		86.4	%		86.5	%
Senior Housing average monthly revenue per unit(4)	$	3,460		$	3,505		$	3,499		$	3,588		$	3,512		$	3,706		$	3,701		$	3,949		$	4,236		$	3,943

Total Senior Housing, Brookdale Ancillary and Management Services	FY 2013												FY 2014
		Q1		Q2		Q3		Q4		Full Year				Q1		Q2		Q3		Q4		Full Year
Revenue		631,979		628,682		638,766		646,731			2,546,158			657,712		661,006		965,940		1,058,878			3,343,536
Expenses		413,003		416,027		420,579		422,336			1,671,945			429,870		435,415		637,084		707,999			2,210,368
Operating Income		218,976		212,655		218,187		224,395			874,213			227,842		225,591		328,856		350,879			1,133,168
Operating Margin		34.6	%	33.8	%	34.2	%	34.7	%		34.3	%		34.6	%	34.1	%	34.0	%	33.1	%		33.9	%
G&A Allocation (5)		37,612		35,421		34,269		36,798			144,100			36,154		34,146		47,074		55,147			172,521
Adjusted Operating Income		181,364		177,234		183,918		187,597			730,113			191,688		191,445		281,782		295,732			960,647
Adjusted Operating Margin		28.7	%	28.2	%	28.8	%	29.0	%		28.7	%		29.1	%	29.0	%	29.2	%	27.9	%		28.7	%

(1) During the year ended December 31, 2014, three communities moved between segments to more accurately reflect the underlying product offering of each segment. The movement did not change the Company's reportable segments, but it did impact the operating information reported within the Retirement Centers, Assisted Living, and CCRCs - Rental segments. Prior quarters have not been recast.
(2) In connection with the transactions completed with HCP on August 29, 2014, the Company contributed all but two of its entry fee CCRCs to the entry fee CCRC venture with HCP, at which time the communities were deconsolidated. The results of the entry fee CCRCs contributed to the venture are reported in the Company's CCRCs - Entry Fee segment for the time periods prior to being contributed to the joint venture. The results of the two remaining entry fee CCRCs are reported in the Company's CCRCs - Rental segment beginning with the third quarter of 2014. The Company no longer reports operating results for a CCRCs – Entry Fee segment.
(3) Senior Housing total average units operated represent the average units operated during the period, excluding equity homes.
(4) Average monthly revenue per unit represents the average of the total monthly revenues, excluding amortization of entrance fees and Brookdale Ancillary Services segment revenue, divided by average occupied units.
(5) Excludes non-cash stock-based compensation expense and integration, transaction and EMR roll-out costs.

Brookdale Senior Living Inc.

Senior Housing Data by Ownership Type

As of December 31, 2014

Financial Data
($ in 000s, except Senior Housing average monthly revenue per unit)

Owned Properties	FY 2013															FY 2014
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		266,322			265,139			267,922			273,439			1,072,822			277,700			277,748			369,078			385,654			1,310,180
Expenses		175,672			176,623			178,382			178,941			709,618			182,706			184,773			247,359			260,901			875,739
Segment Operating Income		90,650			88,516			89,540			94,498			363,204			94,994			92,975			121,719			124,753			434,441
Segment Operating Margin		34.0	%		33.4	%		33.4	%		34.6	%		33.9	%		34.2	%		33.5	%		33.0	%		32.3	%		33.2	%

Bridge to Cash Basis for Entrance Fees
Revenue		266,322			265,139			267,922			273,439			1,072,822			277,700			277,748			369,078			385,654			1,310,180
Less: revenue amortization (non-cash)		(4,664	)		(4,821	)		(4,660	)		(5,404	)		(19,549	)		(4,635	)		(4,933	)		(3,878	)		-			(13,446	)
Add: net entrance fees (cash)		5,449			10,936			8,014			13,694			38,093			4,079			11,710			(399	)		-			15,390
Adjusted revenue		267,107			271,254			271,276			281,729			1,091,366			277,144			284,525			364,801			385,654			1,312,124
Expenses		175,672			176,623			178,382			178,941			709,618			182,706			184,773			247,359			260,901			875,739
Adjusted Segment Operating Income		91,435			94,631			92,894			102,788			381,748			94,438			99,752			117,442			124,753			436,385
Adjusted Segment Operating Margin		34.2	%		34.9	%		34.2	%		36.5	%		35.0	%		34.1	%		35.1	%		32.2	%		32.3	%		33.3	%

Number of communities (period end)		219			220			220			225						226			226			403			399
Total average units(1)		22,243			22,153			22,190			22,754						22,775			22,799			32,079			34,904
Weighted average unit occupancy		88.8	%		88.7	%		89.1	%		89.2	%					88.5	%		88.0	%		88.2	%		87.6	%
Senior Housing average monthly revenue per unit(2)	$	4,416		$	4,416		$	4,438		$	4,402					$	4,516		$	4,532		$	4,302		$	4,202

Leased Properties with Purchase Options	FY 2013															FY 2014
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		75,096			74,504			75,902			76,651			302,153			77,863			77,418			87,008			86,441			328,730
Expenses		47,706			48,319			48,458			48,811			193,294			49,497			49,719			57,026			57,839			214,081
Segment Operating Income		27,390			26,185			27,444			27,840			108,859			28,366			27,699			29,982			28,602			114,649
Segment Operating Margin		36.5	%		35.1	%		36.2	%		36.3	%		36.0	%		36.4	%		35.8	%		34.5	%		33.1	%		34.9	%

Number of communities (period end)		83			83			84			84						84			84			111			112
Total average units(1)		6,313			6,309			6,357			6,381						6,391			6,391			7,347			7,555
Weighted average unit occupancy		89.6	%		89.4	%		89.8	%		89.8	%					89.0	%		88.4	%		88.6	%		88.5	%
Senior Housing average monthly revenue per unit(2)	$	4,313		$	4,298		$	4,318		$	4,348					$	4,447		$	4,440		$	4,394		$	4,312

Leased Properties without Purchase Options	FY 2013															FY 2014
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		222,754			222,602			226,158			226,394			897,908			231,330			232,817			404,000			456,405			1,324,552
Expenses		142,527			143,606			144,341			142,118			572,592			147,003			148,294			255,419			295,460			846,176
Segment Operating Income		80,227			78,996			81,817			84,276			325,316			84,327			84,523			148,581			160,945			478,376
Segment Operating Margin		36.0	%		35.5	%		36.2	%		37.2	%		36.2	%		36.5	%		36.3	%		36.8	%		35.3	%		36.1	%

Number of communities (period end)		246			246			245			245						245			245			472			471
Total average units(1)		19,397			19,445			19,405			19,414						19,414			19,438			35,165			40,580
Weighted average unit occupancy		87.9	%		87.6	%		88.5	%		88.6	%					88.2	%		87.9	%		88.6	%		88.8	%
Senior Housing average monthly revenue per unit(2)	$	4,344		$	4,348		$	4,381		$	4,377					$	4,491		$	4,533		$	4,314		$	4,218

Total Senior Housing	FY 2013															FY 2014
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year
Revenue		564,172			562,245			569,982			576,484			2,272,883			586,893			587,983			860,086			928,500			2,963,462
Expenses		365,905			368,548			371,181			369,870			1,475,504			379,206			382,786			559,804			614,200			1,935,996
Operating Income		198,267			193,697			198,801			206,614			797,379			207,687			205,197			300,282			314,300			1,027,466
Operating Margin		35.1	%		34.5	%		34.9	%		35.8	%		35.1	%		35.4	%		34.9	%		34.9	%		33.9	%		34.7	%

Number of communities (period end)		548			549			549			554						555			555			986			982
Total average units(1)		47,953			47,907			47,952			48,549						48,580			48,628			74,591			83,039
Weighted average unit occupancy		88.5	%		88.3	%		89.0	%		89.0	%					88.6	%		88.1	%		88.5	%		88.3	%
Senior Housing average monthly revenue per unit(2)	$	4,375		$	4,373		$	4,397		$	4,387					$	4,491		$	4,518		$	4,317		$	4,220

(1) Senior Housing total average units operated represent the average units operated during the period, excluding equity homes.

(2) Average monthly revenue per unit represents the average of the total monthly revenues, excluding amortization of entrance fees and Brookdale Ancillary Services segment revenue, divided by average occupied units.

Brookdale Senior Living Inc.
Same Community and Capital Expenditure Information
As of December 31, 2014

Same Community Information

($ in 000s, except Avg. Mo. Revenue/Unit)	Legacy Brookdale Senior Housing									Legacy Brookdale Senior Housing
	Three Months Ended December 31,									Year Ended December 31,
	2014			2013			% Change			2014			2013			% Change
Revenue	$	483,815		$	470,145			2.9	%	$	1,885,371		$	1,832,998			2.9	%
Operating Expense		325,731			297,975			9.3	%		1,223,943			1,177,932			3.9	%
Facility Operating Income	$	158,084		$	172,170			-8.2	%	$	661,428		$	655,066			1.0	%
Facility Operating Margin		32.7	%		36.6	%		-3.9	%		35.1	%		35.7	%		-0.6	%

# Communities		509			509						500			500
Avg. Period Occupancy		88.8	%		89.6	%		-0.8	%		88.7	%		89.2	%		-0.5	%
Avg. Mo. Revenue/Unit	$	4,524		$	4,356			3.9	%	$	4,514		$	4,367			3.4	%


		Legacy Emeritus Senior Housing									Legacy Emeritus Senior Housing
		Three Months Ended December 31,									Year Ended December 31,
		2014			2013		% Change				2014			2013		% Change
Revenue	$	400,226		$	400,672			-0.1	%	$	1,417,778		$	1,405,712			0.9	%
Operating Expense		258,896			254,229			1.8	%		933,501			914,650			2.1	%
Facility Operating Income	$	141,330		$	146,443			-3.5	%	$	484,277		$	491,062			-1.4	%
Facility Operating Margin		35.3	%		36.5	%		-1.2	%		34.2	%		34.9	%		-0.7	%

# Communities		442			442						397			397
Avg. Period Occupancy		88.1	%		89.0	%		-0.9	%		88.1	%		88.2	%		-0.1	%
Avg. Mo. Revenue/Unit	$	3,902		$	3,867			0.9	%	$	3,957		$	3,921			0.9	%


		Combined Brookdale and Emeritus Senior Housing									Combined Brookdale and Emeritus Senior Housing
		Three Months Ended December 31,									Year Ended December 31,
		2014			2013		% Change				2014			2013		% Change
Revenue	$	884,041		$	870,817			1.5	%	$	3,303,149		$	3,238,710			2.0	%
Operating Expense		584,627			552,204			5.9	%		2,157,444			2,092,582			3.1	%
Facility Operating Income	$	299,414		$	318,613			-6.0	%	$	1,145,705		$	1,146,128			-
Facility Operating Margin		33.9	%		36.6	%		-2.7	%		34.7	%		35.4	%		-0.7	%

# Communities		951			951						897			897
Avg. Period Occupancy		88.4	%		89.3	%		-0.9	%		88.4	%		88.7	%		-0.3	%
Avg. Mo. Revenue/Unit	$	4,220		$	4,117			2.5	%	$	4,257		$	4,162			2.3	%

Same Community Information reflects historical results from operations for same store communities (utilizing the Company's methodology for determining same store communities).

Schedule of Capital Expenditures
($ in 000s)

	Three Months Ended December 31,
Type	2014		2013
Recurring	$	16,353	$	10,786
Corporate (1)		11,450		3,282
EBITDA-enhancing / Major Projects (2)		35,727		50,598
Program Max / Development, net (3)		21,610		17,119
Net Total Capital Expenditures (4)	$	85,140	$	81,785

Brookdale Senior Living Inc.

Capital Structure - selected financial information

As of December 31, 2014

($ in 000s)

Debt Maturities and Scheduled Principal Repayments

	Maturities
	Mortgage		weighted			Line of		weighted			Capital and		weighted			Total
	Debt (1)		rate (2)			Credit		rate (2)			Financing Leases		rate (2)			Debt

2015	$	159,923		4.53	%	$	-		-		$	52,084		8.16	%	$	212,007
2016		67,837		5.03	%		-		-			134,497		9.78	%		202,334
2017		556,195		5.87	%		-		-			99,349		8.18	%		655,544
2018		1,301,374		4.59	%		-		-			93,182		7.66	%		1,394,556
2019		148,471		6.09	%		-		-			121,532		8.18	%		270,003
Thereafter		1,282,930		4.03	%		100,000		2.65	%		2,148,582		8.58	%		3,531,512
Total	$	3,516,730		4.66	%	$	100,000		2.65	%	$	2,649,226		8.57	%	$	6,265,956

Coverage Ratios

	Year ended December 31, 2014
							Interest/Cash Lease
	Units		FOI		Adj. FOI **		Payments		Coverage
Owned communities		35,032	$	451,882	$	369,286	$	128,002		2.9	x
Leased communities *		48,144	$	614,377	$	509,242	$	456,177		1.1	x

* The leased communities include the capital leases.

** Adjusted for 5% management fee and capital expenditures @ $350/unit.

Debt Amortization

	Year ended December 31,
	2014		2013
Scheduled debt amortization	$	65,505	$	50,425
Lease financing debt amortization - FMV or no purchase option (3)		28,618		13,927
Lease financing debt amortization - bargain purchase option		13,417		17,244
Total debt amortization	$	107,540	$	81,596

Line Availability

	12/31/13		03/31/14		06/30/14		09/30/14		12/31/14

Total line commitment	$	250,000	$	250,000	$	250,000	$	250,000	$	500,000

Line availability (5)	$	250,000	$	250,000	$	250,000	$	202,860	$	488,389
Ending line balance		30,000		25,000		12,000		-		100,000
Available to draw	$	220,000	$	225,000	$	238,000	$	202,860	$	388,389
Cash and cash equivalents		58,511		45,701		50,934		238,324		104,083
Total liquidity (available to draw + cash)	$	278,511	$	270,701	$	288,934	$	441,184	$	492,472

Total letters of credit outstanding	$	72,464	$	71,675	$	71,650	$	74,488	$	72,730

Leverage Ratios

		Annualized
		Leverage
Three months ended December 31, 2014 annualized Adjusted EBITDAR	1,190,948
Less: cash lease expense	(386,360)
Three months ended December 31, 2014 annualized Adjusted EBITDA	804,588
Less: cash capital and financing lease payments	(240,804)
Three months ended December 31, 2014 annualized Adjusted EBITDA after capital and financing lease payments	563,784

Debt	3,516,730	6.2x
Line of credit	100,000
Less: unrestricted cash	(104,083)
Less: cash held as collateral against existing debt	(2,935)
Total net debt	3,509,712	6.2x

Plus: Three months ended December 31, 2014 annualized cash capital and financing lease payments multiplied by 8	1,926,432
Total net debt after capital and financing leases	5,436,144	6.8x

Three months ended December 31, 2014 annualized cash lease expense multiplied by 8	3,090,880
Total adjusted net debt	8,527,024	7.2x

Debt Structure

			Weighted
	Balance		rate (2)
Fixed rate debt (1)	$	2,553,870		5.28	%
Variable rate debt (1)		962,860		3.01	%
Capital and financing leases		2,649,226		8.57	%
Line of credit (cash borrowings)		100,000		2.65	%
Total debt	$	6,265,956

	Balance		% of total
Variable rate debt with interest rate caps (1) (4)	$	826,220		85.8	%
Variable rate debt - unhedged (1)		136,640		14.2	%
Total variable rate debt (1)	$	962,860		100.0	%

(1) Includes mortgage debt and convertible notes, but excludes capital and financing leases and line of credit.

(2) Pertaining to variable rate debt, reflects a) market rates for stated reporting period and b) applicable cap rates for hedged debt.

(3) Payments are included in CFFO.

(4) Weighted cap rate for stated reporting period of 4.31% is materially above current market rates, therefore caps have no impact on consolidated interest expense for given period.

(5) The actual amount available to borrow under the line may vary from time to time as it is based on borrowing base calculations related to the value and performance of the communities securing the facility.

Brookdale Senior Living Inc.
CFFO Reconciliation
As of December 31, 2014

CFFO Calculation
($ in 000s)
				Three Months Ended December 31,
				2014						2013

Net cash provided by operating activities (includes non-refundable entrance fees)				$	85,804				$	117,046
Changes in operating assets and liabilities (eliminates cash flow effect)					(18,610	)				(27,473		)
Add: Refundable entrance fees received					12					18,875
Less: Entrance fee refunds disbursed					(538	)				(10,821		)
Less: Recurring capital expenditures, net					(16,353	)				(10,786		)
Less: Lease financing debt amortization with fair market value or no purchase options					(10,028	)				(3,594		)
Less: Distributions from unconsolidated ventures from cumulative share of net earnings					(630	)				(602		)
Add: CFFO from unconsolidated ventures					11,662					1,825
Cash From Facility Operations				$	51,319				$	84,470

Add: Integration, transaction and EMR roll-out costs					46,023					4,078
Adjusted Cash From Facility Operations				$	97,342				$	88,548

Revenue Reconciliation (1)
($ in 000s except average monthly revenue per quarter)

	FY 2013															FY 2014															Q4 2014 CFFO Distribution
		Q1			Q2			Q3			Q4		Full Year				Q1			Q2			Q3			Q4		Full Year			Owned			Other (3)			Transaction/ Integration
Revenue reconciliation excl. entrance fee amortization
Average monthly revenue per quarter		4,375			4,373			4,397			4,387			4,383			4,491			4,518			4,317			4,220			4,357			4,202			4,232			-
Average monthly units (excluding equity homes) available		47,956			47,929			47,953			48,548			48,097			48,562			48,608			74,538			82,995			254,923			34,923			48,141			-
Average occupancy for the quarter		88.5	%		88.3	%		89.0	%		89.0	%		88.7	%		88.6	%		88.1	%		88.5	%		88.3	%		88.3	%		87.6	%		88.7	%		-
Senior Housing resident fee revenue	$	557,039		$	555,213		$	562,969		$	568,653		$	2,243,874		$	579,691		$	580,436		$	854,329		$	927,786		$	2,942,242		$	385,654		$	542,132		$	-

Add: Brookdale Ancillary Services segment revenue		60,198			58,693			61,162			62,097			242,150			63,417			65,534			95,426			113,458			337,835			-			113,458			-
Add: management fee revenue		7,609			7,744			7,622			8,150			31,125			7,402			7,489			10,428			16,920			42,239			-			16,920			-
Total revenues excluding entrance fee amortization	$	624,846		$	621,650		$	631,753		$	638,900		$	2,517,149		$	650,510		$	653,459		$	960,183		$	1,058,164		$	3,322,316		$	385,654		$	672,510		$	-

CFFO Reconciliation to the Income Statement

Resident and management fee revenue	$	631,979		$	628,682		$	638,766		$	646,731		$	2,546,158		$	657,712		$	661,006		$	965,940		$	1,058,878		$	3,343,536		$	385,654		$	673,224		$	-
Less: Entrance fee amortization		(7,133	)		(7,032	)		(7,013	)		(7,831	)		(29,009	)		(7,202	)		(7,547	)		(5,757	)		(714	)		(21,220	)		-			(714	)		-
Adjusted revenues		624,846			621,650			631,753			638,900			2,517,149			650,510			653,459			960,183			1,058,164			3,322,316			385,654			672,510			-

Less: Facility operating expenses		(413,003	)		(416,027	)		(420,579	)		(422,336	)		(1,671,945	)		(429,870	)		(435,415	)		(637,084	)		(707,999	)		(2,210,368	)		(260,901	)		(447,098	)		-
Add: Change in future service obligation		-			-			-			(1,917	)		(1,917	)		-			-			-			670			670			-			670			-
Adjusted facility operating expenses		(413,003	)		(416,027	)		(420,579	)		(424,253	)		(1,673,862	)		(429,870	)		(435,415	)		(637,084	)		(707,329	)		(2,209,698	)		(260,901	)		(446,428	)		-

Less: G&A including non-cash stock-based compensation expense		(46,018	)		(44,944	)		(44,161	)		(45,504	)		(180,627	)		(44,665	)		(47,008	)		(90,020	)		(98,574	)		(280,267	)		(16,055	)		(44,221	)		(38,298	)
Less: Transaction costs		(593	)		(1,091	)		(1,663	)		(574	)		(3,921	)		(10,844	)		(6,808	)		(41,572	)		(7,725	)		(66,949	)		-			-			(7,725	)
Add: G&A non-cash stock-based compensation expense		6,894			6,988			6,894			5,202			25,978			7,572			7,729			7,869			5,129			28,299			1,366			3,763			-
Net G&A (4)		(39,717	)		(39,047	)		(38,930	)		(40,876	)		(158,570	)		(47,937	)		(46,087	)		(123,723	)		(101,170	)		(318,917	)		(14,689	)		(40,458	)		(46,023	)

Less: Facility lease expense		(69,019	)		(68,777	)		(69,232	)		(69,701	)		(276,729	)		(69,869	)		(70,030	)		(91,462	)		(92,469	)		(323,830	)		-			(92,469	)		-
Add: Straight-line lease expense		748			684			818			347			2,597			(223	)		(217	)		2,840			(961	)		1,439			-			(961	)		-
Add: Amortization of (above) below market lease, net		-			-			-			-			-			-			-			(1,377	)		(2,067	)		(3,444	)		-			(2,067	)		-
Less: Amortization of deferred gain		(1,093	)		(1,093	)		(1,093	)		(1,093	)		(4,372	)		(1,093	)		(1,093	)		(1,093	)		(1,093	)		(4,372	)		-			(1,093	)		-
Net lease expense		(69,364	)		(69,186	)		(69,507	)		(70,447	)		(278,504	)		(71,185	)		(71,340	)		(91,092	)		(96,590	)		(330,207	)		-			(96,590	)		-

Add: Entrance fee receipts		16,873			23,878			19,098			32,482			92,331			14,959			25,924			9,576			2,587			53,046			-			2,587			-
Less: Entrance fee disbursements		(9,320	)		(7,456	)		(7,728	)		(10,821	)		(35,325	)		(8,446	)		(9,213	)		(7,668	)		(538	)		(25,865	)		-			(538	)		-
Net entrance fees		7,553			16,422			11,370			21,661			57,006			6,513			16,711			1,908			2,049			27,181			-			2,049			-

Adjusted EBITDA		110,315			113,812			114,107			124,985			463,219			108,031			117,328			110,192			155,124			490,675			110,064			91,083			(46,023	)

Less: Recurring capital expenditures, net		(9,324	)		(10,664	)		(12,127	)		(10,786	)		(42,901	)		(9,369	)		(11,841	)		(13,199	)		(16,353	)		(50,762	)		(6,382	)		(9,971	)		-
Less: Interest expense, net		(30,668	)		(29,591	)		(29,170	)		(30,557	)		(119,986	)		(29,677	)		(29,372	)		(73,030	)		(91,933	)		(224,012	)		(41,759	)		(50,174	)		-
Less: Lease financing debt amortization with fair market value or no purchase options		(3,371	)		(3,444	)		(3,518	)		(3,594	)		(13,927	)		(3,897	)		(3,983	)		(10,710	)		(10,028	)		(28,618	)		-			(10,028	)		-
Add: CFFO from unconsolidated ventures		1,958			2,099			1,922			1,825			7,804			2,241			1,996			9,435			11,662			25,334			-			11,662			-
Less: Other		(1,068	)		(1,060	)		(655	)		2,597			(186	)		133			2,528			217			2,847			5,725			-			2,847			-

Reported CFFO	$	67,842		$	71,152		$	70,559		$	84,470		$	294,023		$	67,462		$	76,656		$	22,905		$	51,319		$	218,342		$	61,923		$	35,419		$	(46,023	)

Add: integration, transaction and EMR roll-out costs		2,105			3,626			4,661			4,078			14,470			11,783			11,941			76,649			46,023			146,396			-			-			46,023
Adjusted CFFO	$	69,947		$	74,778		$	75,220		$	88,548		$	308,493		$	79,245		$	88,597		$	99,554		$	97,342		$	364,738		$	61,923		$	35,419		$	-




CFFO Per Share

($ except where indicated)	FY 2013															FY 2014															Q4 2014 Distribution
		Q1			Q2			Q3			Q4		Full Year(2)				Q1			Q2			Q3			Q4		Full Year(2)			Owned			Other			Transaction/ Integration
Reported CFFO	$	0.55		$	0.58		$	0.57		$	0.68		$	2.38		$	0.54		$	0.61		$	0.14		$	0.28		$	1.57		$	0.34		$	0.19		$	(0.25	)
Add: integration, transaction and EMR roll-out costs		0.02			0.03			0.04			0.03			0.12			0.10			0.10			0.49			0.25			0.94			-			-			0.25
Adjusted CFFO	$	0.57		$	0.61		$	0.61		$	0.71		$	2.50		$	0.64		$	0.71		$	0.63		$	0.53		$	2.51		$	0.34		$	0.19		$	-

Shares used in calculation of CFFO (000's)		122,823			123,405			124,128			124,308						124,478			125,058			159,003			183,432						183,432			183,432			183,432

(1) Revenue excludes reimbursed costs incurred on behalf of managed communities.

(2) Full year CFFO for all periods is calculated as the sum of the quarterly amounts for the year.

(3) Other includes financial data and operating information from leased communities, Brookdale Ancillary Services, and Management Services.

(4) Allocation of G&A to Owned and Other is based upon a percentage of revenue and excludes non-cash stock-based compensation expense and integration, transaction and EMR roll-out costs.

Note: CFFO is a measurement of liquidity that is not calculated in accordance with GAAP and should not be considered in isolation as a substitute for any GAAP financial measure. CFFO is not a measure of financial performance under GAAP. We strongly urge you to review the reconciliation of CFFO to GAAP net cash provided by operating activities, along with our consolidated financial statements, included in the accompanying earnings release.

Brookdale Senior Living Inc.
CFFO from Unconsolidated Ventures
As of December 31, 2014

CFFO from Unconsolidated Ventures reconciliation

($ in 000s)	Entrance Fee Ventures						Senior Housing Rental Ventures
	FY 2014						FY 2014
		Q3			Q4			Q3			Q4

Resident revenue	$	33,257		$	85,546		$	80,862		$	125,970
Less: Entrance fee amortization		(638	)		(554	)		-			-
Adjusted revenues		32,619			84,992			80,862			125,970

Less: Facility operating expenses		(25,040	)		(69,459	)		(51,698	)		(84,306	)
Add: Change in future service obligation		-			-			-			-
Adjusted facility operating expenses		(25,040	)		(69,459	)		(51,698	)		(84,306	)

Less: G&A including non-cash stock-based compensation expense		(6,015	)		(3,777	)		(3,925	)		(6,077	)
Add: G&A non-cash stock-based compensation expense		-			-			-			-
Net G&A		(6,015	)		(3,777	)		(3,925	)		(6,077	)

Add: Entrance fee receipts		16,112			26,210			-			-
Less: Entrance fee disbursements		(4,780	)		(13,888	)		-			-
Net entrance fees		11,332			12,322			-			-

Adjusted EBITDA		12,896			24,078			25,239			35,587

Less: Recurring capital expenditures, net		(193	)		(1,347	)		(974	)		(2,431	)
Less: Interest expense, net		(1,161	)		(1,575	)		(15,648	)		(26,447	)
Less: Other		-			-			-			(276	)

Reported Cash From Facility Operations for Unconsolidated Ventures	$	11,542		$	21,156		$	8,617		$	6,433

Add: integration, transaction and EMR roll-out costs		4,088			210			738			-
Adjusted Cash From Facility Operations for Unconsolidated Ventures	$	15,630		$	21,366		$	9,355		$	6,433


Brookdale Weighted Average Ownership %		51.7	%		51.0	%		14.5	%		11.9	%
CFFO from Unconsolidated Ventures	$	8,081		$	10,896		$	1,354		$	766

Leverage Ratio for Unconsolidated Ventures
Debt Principal as of December 31, 2014	$	196,761		1,332,020
Annualized Adjusted EBITDA		96,312		142,348
Annualized Leverage		2.0	x	9.4	x

Unconsolidated Ventures Schedule of Capital Expenditures

($ in 000s)	FY 2014
Type		Q3		Q4
Recurring	$	1,167	$	3,778
EBITDA-enhancing / Major Projects		5,247		17,199
Program Max / Development, net		2,758		3,665
Net Total Capital Expenditures	$	9,172	$	24,642

Brookdale Senior Living Inc.
Cash Lease and Interest Expense
As of December 31, 2014

Cash Lease and Interest Expense

($ in 000s)	FY 2014
		Q3		Q4

Facility Lease Payments

Facility lease expense		91,462		92,469
Less: Straight-line lease expense		(1,463	)	3,028
Add: Amortization of deferred gain		1,093		1,093
Cash lease payments - Operating Leases		91,092		96,590
Supplemental breakout:
Communities with purchase options		5,590		6,320
Communities without purchase options		85,502		90,270
		91,092		96,590

Capital Lease Interest		40,916		56,873
Capital Lease Interest - noncash		(5,947	)	(6,700	)
Capital lease principal (1)		10,710		10,028
Net lease payments - Capital and Financing Leases		45,679		60,201
Supplemental breakout:
Communities with purchase options		13,571		14,755
Communities without purchase options		32,108		45,446
		45,679		60,201

Total net lease payments		136,771		156,791

Interest Expense

Property level debt interest expense		36,278		39,930
Convertible debt interest expense		2,174		2,174
Total debt interest payments		38,452		42,104
Less: interest income		(392	)	(345	)
Interest expense, net		38,060		41,759

(1) Includes lease financing debt amortization on communities with FMV or no purchase option. Payments are included in CFFO.

Brookdale Senior Living Inc.

Quarterly Cash Flow Statements

As of December 31, 2014

($ in 000s)

Cash Flow Statements

		Q1 2013			Q2 2013			Q3 2013			Q4 2013		FY 2013				Q1 2014			Q2 2014			Q3 2014			Q4 2014		FY 2014
Cash Flows from Operating Activities
Net income (loss)	$	3,558		$	(5,200	)	$	(967	)	$	(975	)	$	(3,584	)	$	(2,299	)	$	(3,295	)	$	(37,036	)	$	(106,796	)	$	(149,426	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Loss on extinguishment of debt		-			893			53			319			1,265			-			3,197			569			2,621			6,387
Depreciation and amortization, net		69,228			71,602			72,744			72,237			285,811			74,334			75,166			178,810			216,202			544,512
Asset impairment		-			2,154			504			10,233			12,891			-			-			-			9,992			9,992
Equity in (earnings) loss of unconsolidated ventures		(115	)		(445	)		(431	)		(493	)		(1,484	)		(636	)		(1,523	)		1,246			742			(171	)
Distributions from unconsolidated ventures from cumulative share of net earnings		668			773			648			602			2,691			245			370			595			630			1,840
Amortization of deferred gain		(1,093	)		(1,093	)		(1,093	)		(1,093	)		(4,372	)		(1,093	)		(1,093	)		(1,093	)		(1,093	)		(4,372	)
Amortization of entrance fees		(7,133	)		(7,032	)		(7,013	)		(7,831	)		(29,009	)		(7,202	)		(7,547	)		(5,757	)		(714	)		(21,220	)
Proceeds from deferred entrance fee revenue		9,237			12,124			9,223			13,607			44,191			9,035			14,906			6,188			2,575			32,704
Deferred income tax (benefit) provision		-			-			-			(183	)		(183	)		598			(5	)		(116,757	)		(66,207	)		(182,371	)
Change in deferred lease liability		748			684			818			347			2,597			(223	)		(217	)		2,840			(961	)		1,439
Change in fair value of derivatives		(135	)		(1,836	)		1,377			(386	)		(980	)		847			1,322			10			532			2,711
(Gain) loss on sale of assets		(926	)		24			26			(96	)		(972	)		76			39			200			(761	)		(446	)
Change in future service obligation		-			-			-			(1,917	)		(1,917	)		-			-			-			670			670
Non-cash stock-based compensation		6,894			6,988			6,894			5,202			25,978			7,572			7,729			7,869			5,129			28,299
Non-cash interest expense on financing leases		-			-			-			-			-			-			-			5,947			6,700			12,647
Amortization of (above) below market rents, net		-			-			-			-			-			-			-			(1,377	)		(2,067	)		(3,444	)
Changes in operating assets and liabilities:
Accounts receivable, net		(9,064	)		1,736			(2,154	)		4,033			(5,449	)		(2,499	)		3,914			23,671			(21,576	)		3,510
Prepaid expenses and other assets, net		9,140			(12,679	)		734			10,288			7,483			(5,816	)		(8,369	)		(53,861	)		15,178			(52,868	)
Accounts payable and accrued expenses		(10,871	)		12,926			18,540			13,242			33,837			(27,561	)		14,245			6,222			23,906			16,812
Tenant refundable fees and security deposits		(335	)		(258	)		(235	)		36			(792	)		(615	)		138			(674	)		(32	)		(1,183	)
Deferred revenue		(5,316	)		(1,018	)		4,579			(126	)		(1,881	)		7,933			(7,459	)		(4,978	)		1,134			(3,370	)
Net cash provided by operating activities		64,485			80,343			104,247			117,046			366,121			52,696			91,518			12,634			85,804			242,652
Cash Flows from Investing Activities
(Increase) decrease in lease security deposits and lease acquisition deposits, net		(1,952	)		(1,066	)		972			(5	)		(2,051	)		7			(73	)		3,326			(52,204	)		(48,944	)
Decrease (increase) in cash and escrow deposits — restricted		826			2,195			(537	)		8,242			10,726			6,627			(6,039	)		14,052			42,295			56,935
Additions to property, plant and equipment and leasehold intangibles, net		(51,614	)		(48,677	)		(61,231	)		(96,005	)		(257,527	)		(59,717	)		(73,712	)		(79,104	)		(91,712	)		(304,245	)
Acquisition of assets, net of related payables and cash received		(2	)		(4,833	)		(2,559	)		(27,292	)		(34,686	)		(515	)		-			(39,303	)		(623	)		(40,441	)
Acquisition of Emeritus Corporation, net of cash acquired		-			-			-			-			-			-			-			28,429			-			28,429
(Issuance of) payment on notes receivable, net		(17	)		(47	)		159			73			168			76			2,564			73			556			3,269
Investment in unconsolidated ventures		(5,843	)		(2,149	)		(9,180	)		-			(17,172	)		-			-			(25,532	)		(967	)		(26,499	)
Distributions received from unconsolidated ventures		-			-			100			1,500			1,600			-			2,643			9,414			218			12,275
Proceeds from sale of assets, net		440			7,114			-			26,582			34,136			-			-			-			4,339			4,339
Net cash used in investing activities		(58,162	)		(47,463	)		(72,276	)		(86,905	)		(264,806	)		(53,522	)		(74,617	)		(88,645	)		(98,098	)		(314,882	)
Cash Flows from Financing Activities
Proceeds from debt		8,955			418,667			170,230			65,082			662,934			20,516			159,638			46,356			100,129			326,639
Repayment of debt and capital and financing lease obligations		(17,707	)		(470,825	)		(163,209	)		(72,392	)		(724,133	)		(22,401	)		(159,412	)		(92,568	)		(309,964	)		(584,345	)
Proceeds from line of credit		105,000			85,000			130,000			105,000			425,000			70,000			12,000			160,000			200,000			442,000
Repayment of line of credit		(140,000	)		(60,000	)		(155,000	)		(120,000	)		(475,000	)		(75,000	)		(25,000	)		(172,000	)		(100,000	)		(372,000	)
Proceeds from public equity offering, net		-			-			-			-			-			-			-			330,405			(19	)		330,386
Payment of financing costs, net of related payables		(2,200	)		(5,695	)		(3,299	)		(382	)		(11,576	)		(2,905	)		2,087			(202	)		(8,373	)		(9,393	)
Refundable entrance fees:
Proceeds from refundable entrance fees		7,636			11,754			9,875			18,875			48,140			5,924			11,018			3,388			12			20,342
Refunds of entrance fees		(9,320	)		(7,456	)		(7,728	)		(10,821	)		(35,325	)		(8,446	)		(9,213	)		(7,668	)		(538	)		(25,865	)
Cash portion of loss on extinguishment of debt		-			(453	)		(49	)		-			(502	)		-			(3,180	)		(921	)		-			(4,101	)
Payment on lease termination		-			-			-			-			-			-			-			(3,875	)		(3,875	)		(7,750	)
Purchase of derivatives		-			(1,489	)		(1,374	)		-			(2,863	)		-			-			-			-			-
Other		315			321			327			318			1,281			328			394			486			681			1,889
Net cash (used in) provided by financing activities		(47,321	)		(30,176	)		(20,227	)		(14,320	)		(112,044	)		(11,984	)		(11,668	)		263,401			(121,947	)		117,802
Net (decrease) increase in cash and cash equivalents		(40,998	)		2,704			11,744			15,821			(10,729	)		(12,810	)		5,233			187,390			(134,241	)		45,572
Cash and cash equivalents at beginning of period		69,240			28,242			30,946			42,690			69,240			58,511			45,701			50,934			238,324			58,511
Cash and cash equivalents at end of period	$	28,242		$	30,946		$	42,690		$	58,511		$	58,511		$	45,701		$	50,934		$	238,324		$	104,083		$	104,083

(1) Corporate includes capital expenditures for information technology systems and equipment and expenditures supporting the expansion of our support platform and ancillary services programs.

(2) Includes EBITDA-enhancing projects (primarily community renovations and apartment upgrades) and other major building infrastructure projects.

(3) Includes community expansions and major repositioning or upgrade projects. Also includes de novo community developments. Amounts shown are amounts invested, net of third party lessor funding received of $6.6 million and $14.2 million for the three months ended December 31, 2014 and 2013, respectively.

(4) Approximately $16.9 million and $11.2 million of expense was recognized during the three months ended December 31, 2014 and 2013, respectively, for normal repairs and maintenance and capital spend under $1,500 per invoice, except for unit turnovers.