LOS ANGELES—According to the Q1 2014 earnings report from RBC Capital Markets, LTC Properties FFO fell well below estimates. Ending Q1 at $0.63 a share, FFO missed the mark by $0.64 per share, which, according to the report, was largely driven by high interest expenses.

This loss was offset, however, by an AFFO that exceeded estimates by $0.63 per share. And, while investment activity was slow with no new acquisitions or developments, the company continued to grow its $93-million investment portfolio by investing $16 million into $37 million of projects, which will be delivered over the next three quarters. The REIT does have several investments—valued at $250 million—in the pipeline, but won't close on any triple-net transactions until the second half of the year.

The low investment activity during the quarter meant that metrics remained relatively unchanged. The company reported a debt to total capitalization ratio of 16.7%. In the past, the company has indicated it would begin accessing debt once that ratio reached 25%. RBC doesn't expect that to occur until mid-2015.