EXHIBIT 12.2

EPR PROPERTIES

COMPUTATION OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS

(Dollars in thousands)

 

		Year Ended December 31,
		2015				2014				2013				2012				2011
Earnings:
Income before equity in income from joint ventures and other items (1)		$	170,017			$	177,278			$	152,193			$	140,881			$	127,241
Fixed charges before preferred dividends		98,672				88,996				83,988				77,738				71,980
Distributions from equity investments		540				810				985				1,046				2,848
Capitalized interest		(18,547		)		(7,525		)		(2,763		)		(859		)		(498		)
Adjusted Earnings		$	250,682			$	259,559			$	234,403			$	218,806			$	201,571
Fixed Charges:
Interest expense, net (including amortization of deferred financing fees)		$	79,915			$	81,270			$	81,056			$	76,656			$	71,295
Interest within rental expense (2)		185				174				145				156				154
Interest income		25				27				24				67				33
Capitalized interest		18,547				7,525				2,763				859				498
Preferred dividends		23,806				23,807				23,806				24,508				28,140
Combined Fixed Charges and Preferred Dividends		$	122,478			$	112,803			$	107,794			$	102,246			$	100,120
Ratio of Earnings to Combined Fixed Charges and Preferred Dividends		2.0		x		2.3		x		2.2		x		2.1		x		2.0		x

 

(1)	Earnings before equity in income from joint ventures and other items for the year ended December 31, 2015 includes $18.6 million of retirement severance expense and $0.3 million in costs associated with loan payoff. Earnings before equity in income from joint ventures and other items for the year ended December 31, 2014 includes $3.8 million in provision for loan losses and $0.3 million in costs associated with loan payoff. Earnings before equity in income from joint ventures and other items for the year ended December 31, 2013 includes $6.2 million in costs associated with loan refinancing and a $4.5 million gain on early extinguishment of debt. Earnings before equity in income from joint ventures and other items for the year ended December 31, 2012 includes $3.1 million in impairment charges for properties held and used and $0.6 million in costs associated with loan refinancing. Earnings before equity in income from joint ventures and other items for the year ended December 31, 2011 includes $2.5 million in impairment charges for properties held and used and $1.9 million in costs associated with loan refinancing.
(2)	Interest within rental expense represents one-third of rental expense (the approximate portion of rental expense representing interest).