AlphaMadera

SILA Sila Realty Trust, Inc.

$30.36

Real Estate Investment Trust 85%

P/FFO × Healthcare REIT Multiple

Moderate · Conviction

Undervalued

Trading 34.6% below fair value

You pay $30.36

Bear $36.09

Fair $46.40

Bull $56.71

Bear $36.09 +18.9% $1.98 FFO × 18x

Fair $46.40 +52.8% $1.98 FFO × 23x

Bull $56.71 +86.8% $1.98 FFO × 29x

Adjust Assumptions

P/FFO Multiple

23.4x

FFO per Share

1.98$

Key Value Driver

FFO/share ($1.98) × healthcare P/FFO multiple

Terminal Value % of EV

Implied Market Multiple 15.3x

Market is pricing in (growth)

Summary

At $1.98 FFO/share with a 23x healthcare REIT multiple, the base-case value is $46.40 per share. Dividend yield: 5.3%.

Warnings

⚠ Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.

⚠ Dividend yield of 5.3% is unusually high — make sure the company generates enough cash to keep paying it.

Key Risks

P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
Interest rate sensitivity: REIT multiples compress when rates rise
FFO approximation (NI + D&A) may include gains on property sales — verify