Exhibit 99.1
SUPPLEMENTAL FINANCIAL INFORMATION
SEPTEMBER 30, 2013
Cedar Realty Trust, Inc.
44 South Bayles Avenue
Port Washington, NY 11050-3765
Tel: (516) 767-6492 Fax: (516) 767-6497
www.cedarrealtytrust.com
CEDAR REALTY TRUST, INC.
Supplemental Financial Information
September 30, 2013
(unaudited)
TABLE OF CONTENTS
| Earnings Press Release |
3-5 | |||
| Financial Information |
||||
| Condensed Consolidated Balance Sheets |
6 | |||
| Condensed Consolidated Statements of Operations |
7 | |||
| Supporting Schedules to Consolidated Statements |
8 | |||
| Funds From Operations and Additional Disclosures |
9 | |||
| Earnings Before Interest, Taxes, Depreciation and Amortization |
10 | |||
| Summary of Outstanding Debt |
11-12 | |||
| Summary of Debt Maturities |
13 | |||
| Portfolio Information |
||||
| Real Estate Summary |
14-16 | |||
| Leasing Activity |
17 | |||
| Tenant Concentration |
18 | |||
| Lease Expirations |
19 | |||
| Same-Property Net Operating Income |
20 | |||
| 2013 Dispositions |
21 | |||
| Summary of Real Estate Held For Sale/Conveyance |
22 | |||
| Non-GAAP Financial Disclosures |
23 |
Forward-Looking Statements
The information contained in this Supplemental Financial Information is unaudited and does not purport to disclose all items required by accounting principles generally accepted in the United States (“GAAP”). In addition, statements made or incorporated by reference herein may include certain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and, as such, may involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements, which are based on certain assumptions and describe the Company’s future plans, strategies and expectations, are generally identifiable by use of the words “may”, “will”, “should”, “estimates”, “projects”, “anticipates”, “believes”, “expects”, “intends”, “future”, and words of similar import, or the negative thereof. Factors which could have a material adverse effect on the operations and future prospects of the Company include, but are not limited to, those set forth under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K. Accordingly, the information contained herein should be read in conjunction with the Company’s Form 10-K for the year ended December 31, 2012 and Form 10-Q for the quarter ended September 30, 2013.
2
CEDAR REALTY TRUST, INC. REPORTS
THIRD QUARTER 2013 RESULTS
• Operating FFO Per Share Increased 18% •
• Agreement to Acquire Fairfield County, Connecticut Center for $34.5 Million •
• Raised 2013 Guidance •
Port Washington, New York – November 7, 2013 – Cedar Realty Trust, Inc. (NYSE: CDR) today reported its financial results for the quarter ended September 30, 2013.
Third Quarter 2013 Highlights
| • | Operating FFO of $0.13 per diluted share, an 18% increase as compared to the same period in 2012 |
| • | Same-property NOI increased 3.2% for the quarter, excluding redevelopment properties; excluding the favorable impact of re-tenanting the dark anchor at Oakland Commons, same-property NOI growth was 2.3% |
| • | Signed new and renewal leases for a total of 227,000 square feet |
| • | Positive leasing spreads of 10.9% on a cash basis (new leases increased 37.0% and renewals increased 7.3%) |
| • | Total portfolio 92.8% leased and same-property portfolio 94.1% leased |
| • | Announced a second dark anchor replacement with a new Walmart Neighborhood Market lease at Kempsville Crossing, located in Virginia |
| • | Signed contract to acquire a 100,000 square foot grocery-anchored shopping center in Fairfield County, Connecticut for $34.5 million |
| • | Ratio of net debt to Adjusted EBITDA reduced to 7.8 times |
| • | Raised 2013 Operating FFO guidance to a new range of $0.50 to $0.51 per diluted share from previous range of $0.47 to $0.49 per diluted share |
Bruce Schanzer, President and CEO of Cedar, stated, “We are pleased with our third quarter results as they are the outgrowth of many measures we have taken over the past two years. The strong leasing results, ever improving balance sheet and consistent growth in earnings are a reflection of actions the team has taken to drive improvement. In addition, the completion of another dark anchor replacement as well as the first acquisition under the new management team point to the steady progress we are making in improving and upgrading our portfolio of grocery-anchored shopping centers straddling the Washington DC to Boston corridor.”
Financial Results
Operating FFO for third quarter 2013 was $9.5 million or $0.13 per diluted share, compared to $8.3 million or $0.11 per diluted share for the same period in 2012. Operating FFO for nine months ended September 30, 2013 was $27.3 million or $0.38 per diluted share, compared to $27.4 million or $0.38 per diluted share for the same period in 2012. Operating FFO for nine months ended September 30, 2012 included $3.4 million, or $0.05 per diluted share, of termination related income in connection with replacing a dark anchor at the Company’s Oakland Commons shopping center in Bristol, Connecticut.
Net loss attributable to common shareholders for third quarter 2013 was $(3.5) million or $(0.05) per diluted share, compared to a net loss of $(4.3) million or $(0.07) per diluted share for the same period in 2012. Net loss attributable to common shareholders for nine months ended September 30, 2013 was $(3.4) million or $(0.06) per diluted share, compared to a net loss of $(12.4) million or $(0.19) per diluted share for the same period in 2012.
3
Portfolio Results
For third quarter 2013, same-property NOI increased 3.2% excluding redevelopment and expansion properties, and 2.8% including redevelopment and expansion properties, compared to the same period in 2012. These figures include the re-tenanting impact from replacing the dark anchor at Oakland Commons with a Walmart Neighborhood Market. Same-property NOI growth excluding this impact was 2.3% for the comparative third quarter periods.
The Company signed 54 leases for 227,000 square feet in third quarter of 2013. On a comparable space basis, the Company leased 216,000 square feet at a positive lease spread of 10.9% on a cash basis (new leases increased 37.0% and renewals increased 7.3%).
Subsequent to quarter-end, the Company also completed a lease for a new Walmart Neighborhood Market at its Kempsville Crossing property. This represents the second lease with Walmart Neighborhood Market to replace a dark anchor.
The Company’s total portfolio, excluding properties held for sale, was 92.8% leased at September 30, 2013, compared to 92.7% at June 30, 2013 and 92.1% at September 30, 2012. The Company’s same-property portfolio was 94.1% leased at September 30, 2013, compared to 93.9% at June 30, 2013 and 93.8% at September 30, 2012.
Balance Sheet Activity
As of September 30, 2013, the Company reported net debt to EBITDA ratio of 7.8 times. The Company had previously announced its plan to divest certain non-core assets in order to improve its geographic and asset type focus and to reduce its debt to EBITDA ratio from in excess of 9.0 times to less than 8.0 times by the third quarter of 2013.
New Acquisition
The Company has entered into a contract to acquire an approximate 100,000 square foot grocery-anchored shopping center located in Fairfield County, Connecticut. The purchase price for the unencumbered property will be $34.5 million, of which $33 million will initially be funded from the Company’s credit facility and the balance by the issuance of OP Units. Closing of the transaction is expected during November 2013. The Company is exploring the disposition of certain additional properties to maintain its improved leverage.
2013 Guidance
The Company raised its 2013 Operating FFO guidance to a new range of $0.50 to $0.51 per diluted share from the previous range of $0.47 to $0.49 per diluted share.
Quarterly Dividends
As previously announced, the Company will pay a cash dividend of $0.05 per share on the Company’s common stock and $0.453125 per share on the Company’s 7.25% Series B Cumulative Redeemable Preferred Stock on November 20, 2013 to shareholders of record as of the close of business on November 8, 2013.
Funds From Operations Reconciliation
The Company reports FFO in accordance with the standards established by the National Association of Real Estate Investment Trusts (“NAREIT”). FFO is a widely-recognized non-GAAP financial measure for REITs that the Company believes, when considered with financial statements prepared in accordance
4
with GAAP, is useful to investors in understanding financial performance and providing a relevant basis for comparison among REITs. The Company’s computation of FFO, as detailed in the attached schedule, is in accordance with NAREIT’s pronouncements. The Company also presents “Operating FFO”, which excludes certain items that are not indicative of the results provided by the Company’s consolidated portfolio and that affect the comparability of the Company’s period-over-period performance, as also detailed in the attached schedule.
Supplemental Financial Information Package
The Company has issued “Supplemental Financial Information” for the period ended September 30, 2013. Such information has been filed today as an exhibit to Form 8-K and will also be available on the Company’s website at www.cedarrealtytrust.com.
Investor Conference Call
The Company will host a conference call today, November 7, 2013, at 5:00 PM (ET) to discuss the third quarter results. The conference call can be accessed by dialing (877) 705-6003 or (1) (201) 493-6725 for international participants. A live webcast of the conference call will be available online on the Company’s website at www.cedarrealtytrust.com.
A replay of the call will be available from 8:00 PM (ET) on November 7, 2013, until midnight (ET) on November 21, 2013. The replay dial-in numbers are (877) 870-5176 or (1) (858) 384-5517 for international callers. Please use passcode 10000441 for the telephonic replay. A replay of the Company’s webcast will be available on the Company’s website for a limited time.
About Cedar Realty Trust
Cedar Realty Trust, Inc. is a fully-integrated real estate investment trust which focuses on the ownership and operation of primarily grocery-anchored shopping centers straddling the Washington DC to Boston corridor. The Company’s portfolio (excluding properties treated as “held for sale”) is comprised of 67 properties, with approximately 10 million square feet of GLA.
For additional financial and descriptive information on the Company, its operations and its portfolio, please refer to the Company’s website at www.cedarrealtytrust.com.
Forward-Looking Statements
Statements made in this press release that are not strictly historical are “forward-looking” statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance and outcomes to differ materially from those expressed or implied in forward-looking statements. Please refer to the documents filed by Cedar Realty Trust, Inc. with the SEC, specifically the Company’s Annual Report on Form 10-K for the year ended December 31, 2012, which identifies important risk factors that could cause actual results to differ from those contained in forward-looking statements.
Contact Information:
Cedar Realty Trust, Inc.
Investor Relations
Brad Cohen
(203) 682-8211
5
CEDAR REALTY TRUST, INC.
Condensed Consolidated Balance Sheets
| September 30, | December 31, | |||||||
| 2013 | 2012 | |||||||
| Assets: |
||||||||
| Real estate |
||||||||
| Land |
$ | 282,710,000 | $ | 282,318,000 | ||||
| Buildings and improvements |
1,185,861,000 | 1,178,111,000 | ||||||
|
|
|
|
|
|||||
| 1,468,571,000 | 1,460,429,000 | |||||||
| Less accumulated depreciation |
(268,309,000 | ) | (237,751,000 | ) | ||||
|
|
|
|
|
|||||
| Real estate, net |
1,200,262,000 | 1,222,678,000 | ||||||
| Real estate held for sale/conveyance |
66,079,000 | 77,858,000 | ||||||
| Cash and cash equivalents |
5,443,000 | 7,522,000 | ||||||
| Restricted cash |
11,174,000 | 13,752,000 | ||||||
| Receivables |
20,581,000 | 18,289,000 | ||||||
| Other assets and deferred charges, net |
32,870,000 | 29,804,000 | ||||||
|
|
|
|
|
|||||
| Total assets |
$ | 1,336,409,000 | $ | 1,369,903,000 | ||||
|
|
|
|
|
|||||
| Liabilities and equity: |
||||||||
| Mortgage loans payable |
$ | 543,279,000 | $ | 605,216,000 | ||||
| Mortgage loans payable—real estate held for sale/conveyance |
18,327,000 | 23,258,000 | ||||||
| Credit facility |
180,000,000 | 156,000,000 | ||||||
| Accounts payable and accrued liabilities |
27,694,000 | 28,179,000 | ||||||
| Unamortized intangible lease liabilities |
26,974,000 | 30,508,000 | ||||||
| Unamortized intangible lease liabilities—real estate held for sale/conveyance |
4,115,000 | 4,992,000 | ||||||
|
|
|
|
|
|||||
| Total liabilities |
800,389,000 | 848,153,000 | ||||||
|
|
|
|
|
|||||
| Noncontrolling interest—limited partners’ mezzanine OP Units |
465,000 | 623,000 | ||||||
| Commitments and contingencies |
— | — | ||||||
| Equity: |
||||||||
| Cedar Realty Trust, Inc. shareholders’ equity: |
||||||||
| Preferred stock |
190,661,000 | 163,669,000 | ||||||
| Common stock and other shareholders’ equity |
338,198,000 | 349,987,000 | ||||||
|
|
|
|
|
|||||
| Total Cedar Realty Trust, Inc. shareholders’ equity |
528,859,000 | 513,656,000 | ||||||
|
|
|
|
|
|||||
| Noncontrolling interests: |
||||||||
| Minority interests in consolidated joint ventures |
5,345,000 | 6,081,000 | ||||||
| Limited partners’ OP Units |
1,351,000 | 1,390,000 | ||||||
|
|
|
|
|
|||||
| Total noncontrolling interests |
6,696,000 | 7,471,000 | ||||||
|
|
|
|
|
|||||
| Total equity |
535,555,000 | 521,127,000 | ||||||
|
|
|
|
|
|||||
| Total liabilities and equity |
$ | 1,336,409,000 | $ | 1,369,903,000 | ||||
|
|
|
|
|
|||||
6
CEDAR REALTY TRUST, INC.
Condensed Consolidated Statements of Operations
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
| 2013 | 2012 | 2013 | 2012 | |||||||||||||
| Revenues: |
||||||||||||||||
| Rents |
$ | 28,557,000 | $ | 26,608,000 | $ | 85,315,000 | $ | 80,145,000 | ||||||||
| Expense recoveries |
6,770,000 | 5,973,000 | 21,704,000 | 19,257,000 | ||||||||||||
| Other |
111,000 | 908,000 | 499,000 | 5,369,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total revenues |
35,438,000 | 33,489,000 | 107,518,000 | 104,771,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Property operating expenses: |
||||||||||||||||
| Operating, maintenance and management |
5,740,000 | 5,295,000 | 18,324,000 | 17,162,000 | ||||||||||||
| Real estate and other property-related taxes |
4,571,000 | 4,389,000 | 13,673,000 | 13,015,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total property operating expenses |
10,311,000 | 9,684,000 | 31,997,000 | 30,177,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Property operating income |
25,127,000 | 23,805,000 | 75,521,000 | 74,594,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Other expenses: |
||||||||||||||||
| General and administrative |
3,248,000 | 3,637,000 | 9,974,000 | 10,999,000 | ||||||||||||
| Employee termination costs |
— | 1,131,000 | 106,000 | 1,131,000 | ||||||||||||
| Impairment reversal |
— | — | (1,100,000 | ) | — | |||||||||||
| Depreciation and amortization |
13,494,000 | 9,254,000 | 33,079,000 | 34,721,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total other expenses |
16,742,000 | 14,022,000 | 42,059,000 | 46,851,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income |
8,385,000 | 9,783,000 | 33,462,000 | 27,743,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Non-operating income and expense: |
||||||||||||||||
| Interest expense |
(8,810,000 | ) | (9,603,000 | ) | (27,055,000 | ) | (29,479,000 | ) | ||||||||
| Early extinguishment of debt costs |
— | — | (106,000 | ) | (2,607,000 | ) | ||||||||||
| Interest income |
1,000 | 63,000 | 3,000 | 187,000 | ||||||||||||
| Equity in income of unconsolidated joint venture |
— | 411,000 | — | 1,432,000 | ||||||||||||
| Gain on sale |
— | 402,000 | 346,000 | 481,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total non-operating income and expense |
(8,809,000 | ) | (8,727,000 | ) | (26,812,000 | ) | (29,986,000 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (Loss) income from continuing operations |
(424,000 | ) | 1,056,000 | 6,650,000 | (2,243,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Discontinued operations: |
||||||||||||||||
| Income from operations |
486,000 | 1,242,000 | 452,000 | 3,680,000 | ||||||||||||
| Impairment reversals, net |
— | — | — | 1,138,000 | ||||||||||||
| Gain on extinguishment of debt |
— | — | 1,298,000 | — | ||||||||||||
| Gain on sales |
— | — | — | 750,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total discontinued operations |
486,000 | 1,242,000 | 1,750,000 | 5,568,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net income |
62,000 | 2,298,000 | 8,400,000 | 3,325,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Less, net loss (income) attributable to noncontrolling interests: |
||||||||||||||||
| Minority interests in consolidated joint ventures |
49,000 | (2,564,000 | ) | 152,000 | (4,272,000 | ) | ||||||||||
| Limited partners’ interest in Operating Partnership |
12,000 | 17,000 | 11,000 | 114,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total net loss (income) attributable to noncontrolling interests |
61,000 | (2,547,000 | ) | 163,000 | (4,158,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net income (loss) attributable to Cedar Realty Trust, Inc. |
123,000 | (249,000 | ) | 8,563,000 | (833,000 | ) | ||||||||||
| Preferred stock dividends |
(3,602,000 | ) | (3,877,000 | ) | (10,811,000 | ) | (11,015,000 | ) | ||||||||
| Preferred stock redemption costs |
— | (173,000 | ) | (1,166,000 | ) | (555,000 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net (loss) attributable to common shareholders |
$ | (3,479,000 | ) | $ | (4,299,000 | ) | $ | (3,414,000 | ) | $ | (12,403,000 | ) | ||||
|
|
|
|
|
|
|
|
|
|||||||||
| Per common share attributable to common shareholders (basic and diluted): |
||||||||||||||||
| Continuing operations |
$ | (0.06 | ) | $ | (0.05 | ) | $ | (0.09 | ) | $ | (0.20 | ) | ||||
| Discontinued operations |
0.01 | (0.02 | ) | 0.03 | 0.01 | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | (0.05 | ) | $ | (0.07 | ) | $ | (0.06 | ) | $ | (0.19 | ) | |||||
|
|
|
|
|
|
|
|
|
|||||||||
| Weighted average number of common shares—basic and diluted |
68,365,000 | 68,232,000 | 68,350,000 | 67,932,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
7
CEDAR REALTY TRUST, INC.
Supporting Schedules to Consolidated Statements
Balance Sheets
| September 30 | December 31, | |||||||
| 2013 | 2012 | |||||||
| Construction in process (included in buildings and improvements) |
$ | 8,018,000 | $ | 6,699,000 | ||||
|
|
|
|
|
|||||
| Receivables |
||||||||
| Rents and other tenant receivables, net |
$ | 5,053,000 | $ | 3,317,000 | ||||
| Straight-line rents |
15,513,000 | 14,353,000 | ||||||
| Other |
15,000 | 619,000 | ||||||
|
|
|
|
|
|||||
| $ | 20,581,000 | $ | 18,289,000 | |||||
|
|
|
|
|
|||||
| Other assets and deferred charges, net |
||||||||
| Lease origination costs |
$ | 14,857,000 | $ | 15,158,000 | ||||
| Financing costs |
5,665,000 | 5,686,000 | ||||||
| Prepaid expenses |
9,077,000 | 5,196,000 | ||||||
| Leasehold improvements, furniture and fixtures |
964,000 | 1,161,000 | ||||||
| Other |
2,307,000 | 2,603,000 | ||||||
|
|
|
|
|
|||||
| $ | 32,870,000 | $ | 29,804,000 | |||||
|
|
|
|
|
|||||
Statements of Operations
| Three months ended September 30, |
Nine months ended September 30, |
|||||||||||||||
| 2013 | 2012 | 2013 | 2012 | |||||||||||||
| Rents |
||||||||||||||||
| Base rents |
$ | 26,824,000 | $ | 24,905,000 | $ | 80,059,000 | $ | 74,429,000 | ||||||||
| Percentage rent |
316,000 | 313,000 | 652,000 | 774,000 | ||||||||||||
| Straight-line rents |
301,000 | 216,000 | 1,195,000 | 778,000 | ||||||||||||
| Amortization of intangible lease liabilities |
1,116,000 | 1,174,000 | 3,409,000 | 4,164,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 28,557,000 | $ | 26,608,000 | $ | 85,315,000 | $ | 80,145,000 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Other revenues |
||||||||||||||||
| RioCan management fees and related leasing commissions (a) |
$ | — | $ | 859,000 | $ | 191,000 | $ | 2,136,000 | ||||||||
| Lease termination income and other |
111,000 | 49,000 | 308,000 | 3,233,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 111,000 | $ | 908,000 | $ | 499,000 | $ | 5,369,000 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) | On October 10, 2012, the Company exited the 20% Cedar / 80% RioCan joint venture that owned 22 retail shopping-center properties. Effective January 31, 2013, the Company’s property management agreement for the sold properties terminated. |
8
CEDAR REALTY TRUST, INC.
Funds From Operations and Additional Disclosures
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
| 2013 | 2012 | 2013 | 2012 | |||||||||||||
| Net (loss) attributable to common shareholders |
$ | (3,479,000 | ) | $ | (4,299,000 | ) | $ | (3,414,000 | ) | $ | (12,403,000 | ) | ||||
| Real estate depreciation and amortization |
13,401,000 | 9,185,000 | 32,787,000 | 34,577,000 | ||||||||||||
| Limited partners’ interest |
(12,000 | ) | (17,000 | ) | (11,000 | ) | (114,000 | ) | ||||||||
| Impairment reversals, net |
— | — | (1,100,000 | ) | (1,138,000 | ) | ||||||||||
| Gain on sales |
— | (402,000 | ) | (346,000 | ) | (1,231,000 | ) | |||||||||
| Consolidated minority interests: |
||||||||||||||||
| Share of (loss) income |
(49,000 | ) | 2,564,000 | (152,000 | ) | 4,272,000 | ||||||||||
| Share of FFO |
(325,000 | ) | (1,287,000 | ) | (1,020,000 | ) | (4,078,000 | ) | ||||||||
| Unconsolidated joint venture: |
||||||||||||||||
| Share of income |
— | (411,000 | ) | — | (1,432,000 | ) | ||||||||||
| Share of FFO |
— | 1,433,000 | — | 4,488,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Funds From Operations (“FFO”) |
9,536,000 | 6,766,000 | 26,744,000 | 22,941,000 | ||||||||||||
| Adjustments for items affecting comparability: |
||||||||||||||||
| Employee termination costs |
— | 1,131,000 | 106,000 | 1,131,000 | ||||||||||||
| Preferred stock redemption costs |
— | 173,000 | 1,166,000 | 555,000 | ||||||||||||
| Gain on extinguishment of debt |
— | — | (1,298,000 | ) | — | |||||||||||
| Early extinguishment of debt costs |
— | — | 543,000 | 2,607,000 | ||||||||||||
| Share-based compensation mark-to-market adjustments |
— | — | — | 10,000 | ||||||||||||
| Acquisition transaction costs and terminated projects, including Company share from the Cedar/RioCan joint venture |
— | 193,000 | — | 193,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating Funds From Operations (“Operating FFO”) |
$ | 9,536,000 | $ | 8,263,000 | $ | 27,261,000 | $ | 27,437,000 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| FFO per diluted share: |
$ | 0.13 | $ | 0.09 | $ | 0.37 | $ | 0.32 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating FFO per diluted share: |
$ | 0.13 | $ | 0.11 | $ | 0.38 | $ | 0.38 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Weighted average number of diluted common shares: |
||||||||||||||||
| Common shares |
72,287,000 | 71,793,000 | 72,178,000 | 71,161,000 | ||||||||||||
| OP Units |
252,000 | 281,000 | 271,000 | 518,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 72,539,000 | 72,074,000 | 72,449,000 | 71,679,000 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Additional Disclosures (Pro-Rata Share): |
||||||||||||||||
| Straight-line rents |
$ | 298,000 | $ | 381,000 | $ | 1,173,000 | $ | 1,066,000 | ||||||||
| Amortization of intangible lease liabilities |
1,042,000 | 1,251,000 | 3,112,000 | 4,456,000 | ||||||||||||
| Non-real estate amortization |
626,000 | 569,000 | 1,860,000 | 1,877,000 | ||||||||||||
| Share-based compensation, net |
1,144,000 | 1,060,000 | 2,692,000 | 2,604,000 | ||||||||||||
| Maintenance capital expenditures (a) |
1,452,000 | 683,000 | 3,022,000 | 2,253,000 | ||||||||||||
| Lease related expenditures (b) |
982,000 | 345,000 | 2,012,000 | 1,375,000 | ||||||||||||
| Development and redevelopment capital expenditures |
2,542,000 | 6,285,000 | 10,568,000 | 14,300,000 | ||||||||||||
| Capitalized interest and financing costs |
248,000 | 255,000 | 835,000 | 1,000,000 | ||||||||||||
| (a) | Consists of payments for building and site improvements. |
| (b) | Consists of payments for tenant improvements and leasing commissions. |
9
CEDAR REALTY TRUST, INC.
Earnings Before Interest, Taxes, Depreciation and Amortization
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
| 2013 | 2012 | 2013 | 2012 | |||||||||||||
| EBITDA Calculation |
||||||||||||||||
| (Loss) income from continuing operations |
$ | (424,000 | ) | $ | 1,056,000 | $ | 6,650,000 | $ | (2,243,000 | ) | ||||||
| Add (deduct): |
||||||||||||||||
| Interest expense (including early extinguishment of debt costs) |
8,810,000 | 9,603,000 | 27,161,000 | 32,086,000 | ||||||||||||
| Depreciation and amortization |
13,494,000 | 9,254,000 | 33,079,000 | 34,721,000 | ||||||||||||
| Minority interests share of consolidated joint venture EBITDA |
(844,000 | ) | (2,973,000 | ) | (2,561,000 | ) | (9,086,000 | ) | ||||||||
| Discontinued operations: |
||||||||||||||||
| Income from operations |
486,000 | 1,242,000 | 452,000 | 3,680,000 | ||||||||||||
| Interest expense (including early extinguishment of debt costs) |
389,000 | 1,799,000 | 1,735,000 | 5,692,000 | ||||||||||||
| Depreciation and amortization |
— | 28,000 | — | 104,000 | ||||||||||||
| Pro-rata share attributable to Cedar/RioCan joint venture: |
||||||||||||||||
| Depreciation and amortization |
— | 1,021,000 | — | 3,055,000 | ||||||||||||
| Interest expense |
— | 801,000 | — | 2,532,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA |
21,911,000 | 21,831,000 | 66,516,000 | 70,541,000 | ||||||||||||
| Adjustments for items affecting comparability: |
||||||||||||||||
| Employee termination costs |
— | 1,131,000 | 106,000 | 1,131,000 | ||||||||||||
| Gain on sales |
— | (402,000 | ) | (346,000 | ) | (481,000 | ) | |||||||||
| Impairment reversal |
— | — | (1,100,000 | ) | — | |||||||||||
| Share-based compensation mark-to-market adjustments |
— | — | — | 10,000 | ||||||||||||
| Acquisition transaction costs and terminated projects, including Company share from the Cedar/RioCan joint venture |
— | 193,000 | — | 193,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Adjusted EBITDA |
$ | 21,911,000 | $ | 22,753,000 | $ | 65,176,000 | $ | 71,394,000 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Pro-rata share of net debt (a) |
||||||||||||||||
| Pro-rata share of debt |
$ | 709,137,000 | $ | 697,597,000 | $ | 709,137,000 | $ | 697,597,000 | ||||||||
| Pro-rata share of unrestricted cash and cash equivalents |
(4,737,000 | ) | (7,037,000 | ) | (4,737,000 | ) | (7,037,000 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 704,400,000 | $ | 690,560,000 | $ | 704,400,000 | $ | 690,560,000 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Pro-rata fixed charges (a) |
||||||||||||||||
| Interest expense (b) |
$ | 8,365,000 | $ | 10,336,000 | $ | 25,718,000 | $ | 32,007,000 | ||||||||
| Preferred stock dividends |
3,602,000 | 3,877,000 | 10,811,000 | 11,015,000 | ||||||||||||
| Scheduled mortgage repayments |
2,168,000 | 2,471,000 | 6,717,000 | 7,687,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 14,135,000 | $ | 16,684,000 | $ | 43,246,000 | $ | 50,709,000 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Debt and Coverage Ratios |
||||||||||||||||
| Net debt to Adjusted EBITDA (c) |
7.8 | x | 8.6 | x | 8.0 | x | 8.7 | x | ||||||||
| Interest coverage ratio (based on Adjusted EBITDA) |
2.6 | x | 2.2 | x | 2.5 | x | 2.1 | x | ||||||||
| Fixed charge coverage ratio (based on Adjusted EBITDA) |
1.6 | x | 1.4 | x | 1.5 | x | 1.3 | x | ||||||||
| (a) | Includes properties “held for sale/conveyance”. |
| (b) | Excludes early extinguishment of debt costs. |
| (c) | For the purposes of this computation, this ratio has been adjusted to exclude, where applicable, (i) management fee income relating to the terminated Cedar/RioCan joint venture, (ii) the results and debt related to properties in the process of being conveyed to their respective lenders, (iii) the results of properties sold during each of the respective periods as the related debt is no longer outstanding at the end of such period, (iv) lease termination income, and (v) for the 2012 periods, the approximate $114.1 million temporary reduction in the outstanding balance under the Company’s credit facility arising from the sale in September 2012 of Series B Preferred Stock, the proceeds of which were used for redemptions of Series A Preferred Stock in October 2012. |
10
CEDAR REALTY TRUST, INC.
Summary of Outstanding Debt
As of September 30, 2013
| Percent | Maturity | Interest | ||||||||||||||
| Property |
Owned | Date | rate (a) | Amounts | ||||||||||||
| Fixed-rate mortgages: |
||||||||||||||||
| Timpany Plaza (b) |
100 | % | Jan 2014 | 6.1 | % | $ | 7,625,000 | |||||||||
| Trexler Mall |
100 | % | May 2014 | 5.5 | % | 19,767,000 | ||||||||||
| Coliseum Marketplace |
100 | % | Jul 2014 | 6.1 | % | 11,147,000 | ||||||||||
| Fieldstone Marketplace |
100 | % | Jul 2014 | 6.0 | % | 17,128,000 | ||||||||||
| Kings Plaza |
100 | % | Jul 2014 | 6.0 | % | 7,271,000 | ||||||||||
| Liberty Marketplace |
100 | % | Jul 2014 | 6.1 | % | 8,289,000 | ||||||||||
| Yorktowne Plaza |
100 | % | Jul 2014 | 6.0 | % | 19,019,000 | ||||||||||
| Mechanicsburg Center |
100 | % | Nov 2014 | 5.5 | % | 8,482,000 | ||||||||||
| Elmhurst Square |
100 | % | Dec 2014 | 5.4 | % | 3,745,000 | ||||||||||
| New London Mall |
40 | % | Apr 2015 | 4.9 | % | 27,365,000 | ||||||||||
| Oak Ridge Shopping Center |
100 | % | May 2015 | 5.5 | % | 3,247,000 | ||||||||||
| Pine Grove Plaza |
100 | % | Sep 2015 | 5.0 | % | 5,362,000 | ||||||||||
| Groton Shopping Center |
100 | % | Oct 2015 | 5.3 | % | 11,326,000 | ||||||||||
| Southington Center |
100 | % | Nov 2015 | 5.1 | % | 5,370,000 | ||||||||||
| Jordan Lane |
100 | % | Dec 2015 | 5.5 | % | 12,192,000 | ||||||||||
| Oakland Mills |
100 | % | Jan 2016 | 5.5 | % | 4,584,000 | ||||||||||
| Smithfield Plaza |
100 | % | May 2016 | 6.2 | % | 6,727,000 | ||||||||||
| Franklin Village Plaza |
100 | % | Aug 2016 | 4.1 | % | 42,383,000 | ||||||||||
| West Bridgewater Plaza |
100 | % | Sep 2016 | 6.2 | % | 10,472,000 | ||||||||||
| Carman’s Plaza |
100 | % | Oct 2016 | 6.2 | % | 33,500,000 | ||||||||||
| Hamburg Square |
100 | % | Oct 2016 | 6.1 | % | 4,857,000 | ||||||||||
| Meadows Marketplace |
100 | % | Nov 2016 | 5.6 | % | 9,682,000 | ||||||||||
| San Souci Plaza |
40 | % | Dec 2016 | 6.2 | % | 27,200,000 | ||||||||||
| Camp Hill |
100 | % | Jan 2017 | 5.5 | % | 63,606,000 | ||||||||||
| Golden Triangle |
100 | % | Feb 2018 | 6.0 | % | 19,788,000 | ||||||||||
| Townfair Center |
100 | % | Jul 2018 | 5.2 | % | 15,793,000 | ||||||||||
| Gold Star Plaza |
100 | % | May 2019 | 7.3 | % | 1,566,000 | ||||||||||
| Swede Square |
100 | % | Nov 2020 | 5.5 | % | 10,198,000 | ||||||||||
| Colonial Commons |
100 | % | Feb 2021 | 5.5 | % | 26,909,000 | ||||||||||
| Virginia Little Creek |
100 | % | Sep 2021 | 8.0 | % | 303,000 | ||||||||||
| The Point |
100 | % | Nov 2022 | 4.5 | % | 29,612,000 | ||||||||||
| Metro Square |
100 | % | Nov 2029 | 7.5 | % | 8,341,000 | ||||||||||
|
|
|
|||||||||||||||
| Total fixed-rate mortgages |
3.4 years | 5.5 | % | $ | 482,856,000 | |||||||||||
|
|
|
|||||||||||||||
| weighted average | ||||||||||||||||
11
CEDAR REALTY TRUST, INC.
Summary of Outstanding Debt (Continued)
As of September 30, 2013
| Percent | Maturity | Interest | ||||||||||||||||||
| Property |
Owned | Date | rate (a) | Amounts | ||||||||||||||||
| Variable-rate mortgage: |
||||||||||||||||||||
| Upland Square |
100 | % (c) | Oct 2014 | 3.0 | % | 59,718,000 | ||||||||||||||
|
|
|
|||||||||||||||||||
| Total mortgages |
3.2 years | 5.2 | % | 542,574,000 | ||||||||||||||||
|
|
weighted average |
|
||||||||||||||||||
| Unamortized discount/premium |
705,000 | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| Total mortgage debt, net |
|
543,279,000 | ||||||||||||||||||
|
|
|
|||||||||||||||||||
| Credit facility: |
||||||||||||||||||||
| Revolving facility |
Aug 2016 | 2.2 | % | 130,000,000 | ||||||||||||||||
| Term loan |
Aug 2018 | 2.2 | % | 50,000,000 | ||||||||||||||||
|
|
|
|||||||||||||||||||
| 3.4 years | 2.2 | % | 180,000,000 | |||||||||||||||||
|
|
|
|||||||||||||||||||
|
|
weighted average |
|
||||||||||||||||||
| Total Debt (excluding debt on properties held for sale/conveyance ) |
3.2 years | 4.5 | % | $ | 723,279,000 | |||||||||||||||
|
|
|
|||||||||||||||||||
|
|
weighted average |
|
||||||||||||||||||
| Pro-rata share of total debt reconciliation: |
||||||||||||||||||||
| Total debt (excluding debt on properties held for sale/conveyance) |
|
$ | 723,279,000 | |||||||||||||||||
| Less pro-rata share attributable to joint venture minority interests |
|
(32,469,000 | ) | |||||||||||||||||
| Plus pro-rata share attributable to properties held for sale/conveyance (d) |
|
18,327,000 | ||||||||||||||||||
|
|
|
|||||||||||||||||||
| Pro-rata share of total debt |
|
$ | 709,137,000 | |||||||||||||||||
|
|
|
|||||||||||||||||||
| Fixed to variable rate debt ratio: |
||||||||||||||||||||
| Fixed debt |
|
$ | 469,419,000 | 66.2 | % | |||||||||||||||
| Variable debt |
|
239,718,000 | 33.8 | % | ||||||||||||||||
|
|
|
|
|
|||||||||||||||||
| $ | 709,137,000 | 100.0 | % | |||||||||||||||||
|
|
|
|
|
|||||||||||||||||
| (a) | For variable rate debt, rate in effect as of September 30, 2013. |
| (b) | Prepaid on November 1, 2013. |
| (c) | At September 30, 2013, the ownership percentage for this joint venture was 60%. The Company has historically included 100% of this joint venture’s debt and results of operations in its pro-rata calculations, based on partnership earnings promotes, a loan guaranty, and/or other terms of the related joint venture agreement. Further, on October 31, 2013, the Company acquired the remaining 40% interest in the joint venture for $1.6 million. |
| (d) | See “Summary of Real Estate Held For Sale/Conveyance”. |
12
CEDAR REALTY TRUST, INC.
Summary of Debt Maturities
As of September 30, 2013
| Scheduled | Balloon | Credit | ||||||||||||||
| Year |
Amortization | Payments | Facility | Total (a) | ||||||||||||
| 2013 |
$ | 2,217,000 | $ | — | $ | — | $ | 2,217,000 | ||||||||
| 2014 |
7,865,000 | 159,158,000 | (b) | — | 167,023,000 | |||||||||||
| 2015 |
5,786,000 | 63,192,000 | — | 68,978,000 | ||||||||||||
| 2016 |
4,691,000 | 135,014,000 | 130,000,000 | (c) | 269,705,000 | |||||||||||
| 2017 |
2,896,000 | 60,478,000 | — | 63,374,000 | ||||||||||||
| 2018 |
2,389,000 | 31,941,000 | 50,000,000 | 84,330,000 | ||||||||||||
| 2019 |
2,078,000 | — | — | 2,078,000 | ||||||||||||
| 2020 |
2,025,000 | 8,849,000 | — | 10,874,000 | ||||||||||||
| 2021 |
1,277,000 | 22,383,000 | — | 23,660,000 | ||||||||||||
| 2022 |
1,039,000 | 24,323,000 | — | 25,362,000 | ||||||||||||
| Thereafter |
4,501,000 | 472,000 | — | 4,973,000 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 36,764,000 | $ | 505,810,000 | $ | 180,000,000 | 722,574,000 | ||||||||||
|
|
|
|
|
|
|
|||||||||||
| Unamortized (discount)/premium |
|
705,000 | ||||||||||||||
|
|
|
|||||||||||||||
| $ | 723,279,000 | |||||||||||||||
|
|
|
|||||||||||||||
| (a) | Excludes debt on properties held for sale/conveyance. |
| (b) | Includes $7.6 million prepaid on November 1, 2013. |
| (c) | This loan is subject to two one-year extension options. |
13
CEDAR REALTY TRUST, INC.
Real Estate Summary
As of September 30, 2013
| Average | ||||||||||||||||||||||||||||||
| Percent | Year | Percent | base rent per | Major Tenants (a) | ||||||||||||||||||||||||||
| Property Description |
State | owned | acquired | GLA | occupied | leased sq. ft. | Name | GLA | ||||||||||||||||||||||
| Connecticut |
||||||||||||||||||||||||||||||
| Groton Shopping Center |
CT | 100 | % | 2007 | 117,186 | 84.3 | % | $ | 11.70 | TJ Maxx | 30,000 | |||||||||||||||||||
| Jordan Lane |
CT | 100 | % | 2005 | 177,504 | 99.2 | % | 10.92 | Stop & Shop | 60,632 | ||||||||||||||||||||
| CW Price | 39,280 | |||||||||||||||||||||||||||||
| Retro Fitness | 20,283 | |||||||||||||||||||||||||||||
| New London Mall |
CT | 40 | % | 2009 | 259,293 | 93.8 | % | 14.39 | Shop Rite | 64,017 | ||||||||||||||||||||
| Marshalls | 30,354 | |||||||||||||||||||||||||||||
| Home Goods | 25,432 | |||||||||||||||||||||||||||||
| Petsmart | 23,500 | |||||||||||||||||||||||||||||
| A.C. Moore | 20,932 | |||||||||||||||||||||||||||||
| Oakland Commons |
CT | 100 | % | 2007 | 90,100 | 100.0 | % | 6.37 | Walmart | 54,911 | ||||||||||||||||||||
| Bristol Ten Pin | 35,189 | |||||||||||||||||||||||||||||
| Southington Center |
CT | 100 | % | 2003 | 155,842 | 98.5 | % | 6.99 | Walmart | 95,482 | ||||||||||||||||||||
| NAMCO | 20,000 | |||||||||||||||||||||||||||||
| The Brickyard |
CT | 100 | % | 2004 | 249,200 | 68.7 | % | 7.71 | Home Depot | 103,003 | ||||||||||||||||||||
| Kohl’s | 58,966 | |||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Connecticut |
1,049,125 | 88.9 | % | 10.23 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Maryland |
||||||||||||||||||||||||||||||
| Kenley Village |
MD | 100 | % | 2005 | 51,894 | 72.3 | % | 8.60 | Food Lion | 29,000 | ||||||||||||||||||||
| Metro Square |
MD | 100 | % | 2008 | 71,896 | 100.0 | % | 19.06 | Shoppers Food Warehouse | 58,668 | ||||||||||||||||||||
| Oakland Mills |
MD | 100 | % | 2005 | 58,224 | 100.0 | % | 13.64 | Food Lion | 43,470 | ||||||||||||||||||||
| San Souci Plaza |
MD | 40 | % | 2009 | 264,134 | 82.2 | % | 10.68 | Shoppers Food Warehouse | 61,466 | ||||||||||||||||||||
| Marshalls | 27,000 | |||||||||||||||||||||||||||||
| Maximum Health and Fitness | 15,612 | |||||||||||||||||||||||||||||
| St. James Square |
MD | 100 | % | 2005 | 39,903 | 100.0 | % | 11.53 | Food Lion | 33,000 | ||||||||||||||||||||
| Valley Plaza |
MD | 100 | % | 2003 | 190,939 | 100.0 | % | 4.98 | K-Mart | 95,810 | ||||||||||||||||||||
| Ollie’s Bargain Outlet | 41,888 | |||||||||||||||||||||||||||||
| Tractor Supply | 32,095 | |||||||||||||||||||||||||||||
| Yorktowne Plaza |
MD | 100 | % | 2007 | 158,982 | 92.3 | % | 13.65 | Food Lion | 37,692 | ||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Maryland |
835,972 | 91.2 | % | 10.79 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Massachusetts |
||||||||||||||||||||||||||||||
| Fieldstone Marketplace |
MA | 100 | % | 2005/2012 | 193,970 | 95.2 | % | 11.02 | Shaw’s | 68,000 | ||||||||||||||||||||
| Flagship Cinema | 41,975 | |||||||||||||||||||||||||||||
| New Bedford Wine and Spirits | 15,180 | |||||||||||||||||||||||||||||
| Franklin Village Plaza |
MA | 100 | % | 2004/2012 | 303,461 | 94.0 | % | 20.26 | Stop & Shop | 75,000 | ||||||||||||||||||||
| Marshalls | 26,890 | |||||||||||||||||||||||||||||
| Team Fitness | 15,807 | |||||||||||||||||||||||||||||
| Kings Plaza |
MA | 100 | % | 2007 | 168,243 | 93.6 | % | 6.20 | Work Out World | 42,997 | ||||||||||||||||||||
| CW Price | 28,504 | |||||||||||||||||||||||||||||
| Ocean State Job Lot | 20,300 | |||||||||||||||||||||||||||||
| Savers | 19,339 | |||||||||||||||||||||||||||||
| Norwood Shopping Center |
MA | 100 | % | 2006 | 102,459 | 79.9 | % | 9.08 | Hannaford Brothers | 42,598 | ||||||||||||||||||||
| Dollar Tree | 16,798 | |||||||||||||||||||||||||||||
| The Shops at Suffolk Downs |
MA | 100 | % | 2005 | 121,251 | 88.0 | % | 13.10 | Stop & Shop | 74,977 | ||||||||||||||||||||
| Timpany Plaza |
MA | 100 | % | 2007 | 183,775 | 98.1 | % | 6.94 | Stop & Shop | 59,947 | ||||||||||||||||||||
| Big Lots | 28,027 | |||||||||||||||||||||||||||||
| Gardner Theater | 27,576 | |||||||||||||||||||||||||||||
| Webster Plaza (f/k/a Price Chopper Plaza) |
MA | 100 | % | 2007 | 101,824 | 80.0 | % | 10.92 | Price Chopper | 58,545 | ||||||||||||||||||||
| West Bridgewater Plaza |
MA | 100 | % | 2007 | 133,039 | 87.7 | % | 9.32 | Shaw’s | 57,315 | ||||||||||||||||||||
| Big Lots | 25,000 | |||||||||||||||||||||||||||||
| Planet Fitness | 15,000 | |||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Massachusetts |
1,308,022 | 91.3 | % | 11.86 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| New Jersey |
||||||||||||||||||||||||||||||
| Carll’s Corner |
NJ | 100 | % | 2007 | 129,582 | 88.5 | % | 9.09 | Acme Markets | 55,000 | ||||||||||||||||||||
| Peebles | 18,858 | |||||||||||||||||||||||||||||
| Pine Grove Plaza |
NJ | 100 | % | 2003 | 86,089 | 88.9 | % | 11.25 | Peebles | 24,963 | ||||||||||||||||||||
| Washington Center Shoppes |
NJ | 100 | % | 2001 | 157,394 | 94.2 | % | 8.96 | Acme Markets | 66,046 | ||||||||||||||||||||
| Planet Fitness | 20,742 | |||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total New Jersey |
373,065 | 91.0 | % | 9.52 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
14
CEDAR REALTY TRUST, INC.
Real Estate Summary (Continued)
As of September 30, 2013
| Average | ||||||||||||||||||||||||||||||
| Percent | Year | Percent | base rent per | Major Tenants (a) | ||||||||||||||||||||||||||
| Property Description |
State | owned | acquired | GLA | occupied | leased sq. ft. | Name | GLA | ||||||||||||||||||||||
| New York |
||||||||||||||||||||||||||||||
| Carman’s Plaza |
NY | 100 | % | 2007 | 194,082 | 91.8 | % | 17.47 | Pathmark | 52,211 | ||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Extreme Fitness | 27,598 | |||||||||||||||||||||||||||||
| Home Goods | 25,806 | |||||||||||||||||||||||||||||
| Department of Motor Vehicle | 19,310 | |||||||||||||||||||||||||||||
| Pennsylvania |
||||||||||||||||||||||||||||||
| Academy Plaza |
PA | 100 | % | 2001 | 137,592 | 91.2 | % | 13.88 | Acme Markets | 50,918 | ||||||||||||||||||||
| Camp Hill |
PA | 100 | % | 2002 | 470,117 | 99.3 | % | 13.70 | Boscov’s | 167,597 | ||||||||||||||||||||
| Giant Foods | 92,939 | |||||||||||||||||||||||||||||
| LA Fitness | 45,000 | |||||||||||||||||||||||||||||
| Orthopedic Inst of PA | 40,904 | |||||||||||||||||||||||||||||
| Barnes & Noble | 24,908 | |||||||||||||||||||||||||||||
| Staples | 20,000 | |||||||||||||||||||||||||||||
| Carbondale Plaza |
PA | 100 | % | 2004 | 120,689 | 95.4 | % | 7.12 | Weis Markets | 52,720 | ||||||||||||||||||||
| Peebles | 18,000 | |||||||||||||||||||||||||||||
| Circle Plaza |
PA | 100 | % | 2007 | 92,171 | 100.0 | % | 2.74 | K-Mart | 92,171 | ||||||||||||||||||||
| Colonial Commons |
PA | 100 | % | 2011 | 466,205 | 83.2 | % | 12.81 | Giant Foods | 67,815 | ||||||||||||||||||||
| Dick’s Sporting Goods | 56,000 | |||||||||||||||||||||||||||||
| LA Fitness | 41,325 | |||||||||||||||||||||||||||||
| Ross Dress For Less | 30,000 | |||||||||||||||||||||||||||||
| Marshalls | 27,000 | |||||||||||||||||||||||||||||
| JoAnn Fabrics | 25,500 | |||||||||||||||||||||||||||||
| David’s Furniture | 24,970 | |||||||||||||||||||||||||||||
| Office Max | 23,500 | |||||||||||||||||||||||||||||
| Crossroads II |
PA | 100 | % (b) | 2008 | 133,717 | 93.0 | % | 20.08 | Giant Foods | 78,815 | ||||||||||||||||||||
| Fairview Commons |
PA | 100 | % | 2007 | 42,314 | 53.3 | % | 9.23 | Family Dollar | 10,789 | ||||||||||||||||||||
| Fairview Plaza |
PA | 100 | % | 2003 | 71,979 | 100.0 | % | 12.45 | Giant Foods | 61,637 | ||||||||||||||||||||
| Fort Washington Center |
PA | 100 | % | 2002 | 41,000 | 100.0 | % | 19.90 | LA Fitness | 41,000 | ||||||||||||||||||||
| Gold Star Plaza |
PA | 100 | % | 2006 | 71,720 | 82.2 | % | 8.91 | Redner’s | 48,920 | ||||||||||||||||||||
| Golden Triangle |
PA | 100 | % | 2003 | 202,943 | 98.2 | % | 12.88 | LA Fitness | 44,796 | ||||||||||||||||||||
| Marshalls | 30,000 | |||||||||||||||||||||||||||||
| Staples | 24,060 | |||||||||||||||||||||||||||||
| Just Cabinets | 18,665 | |||||||||||||||||||||||||||||
| Aldi | 15,242 | |||||||||||||||||||||||||||||
| Halifax Plaza |
PA | 100 | % | 2003 | 51,510 | 100.0 | % | 11.92 | Giant Foods | 32,000 | ||||||||||||||||||||
| Hamburg Square |
PA | 100 | % | 2004 | 99,580 | 96.4 | % | 6.52 | Redner’s | 56,780 | ||||||||||||||||||||
| Peebles | 19,683 | |||||||||||||||||||||||||||||
| Huntingdon Plaza |
PA | 100 | % | 2004 | 142,845 | 71.9 | % | 4.98 | Sears | 26,150 | ||||||||||||||||||||
| Peebles | 22,060 | |||||||||||||||||||||||||||||
| Lake Raystown Plaza |
PA | 100 | % | 2004 | 142,559 | 95.7 | % | 12.33 | Giant Foods | 63,835 | ||||||||||||||||||||
| Tractor Supply | 32,711 | |||||||||||||||||||||||||||||
| Liberty Marketplace |
PA | 100 | % | 2005 | 68,200 | 98.2 | % | 16.93 | Giant Foods | 55,000 | ||||||||||||||||||||
| Meadows Marketplace |
PA | 100 | % | 2004/2012 | 91,518 | 100.0 | % | 15.52 | Giant Foods | 67,907 | ||||||||||||||||||||
| Mechanicsburg Center |
PA | 100 | % | 2005 | 51,500 | 100.0 | % | 21.78 | Giant Foods | 51,500 | ||||||||||||||||||||
| Newport Plaza |
PA | 100 | % | 2003 | 64,489 | 100.0 | % | 11.69 | Giant Foods | 43,400 | ||||||||||||||||||||
| Northside Commons |
PA | 100 | % | 2008 | 69,136 | 100.0 | % | 9.49 | Redner’s | 53,019 | ||||||||||||||||||||
| Palmyra Shopping Center |
PA | 100 | % | 2005 | 111,051 | 94.5 | % | 6.56 | Weis Markets | 46,912 | ||||||||||||||||||||
| Goodwill | 18,104 | |||||||||||||||||||||||||||||
| Port Richmond Village |
PA | 100 | % | 2001 | 154,908 | 98.2 | % | 13.04 | Thriftway | 40,000 | ||||||||||||||||||||
| Pep Boys | 20,615 | |||||||||||||||||||||||||||||
| City Stores, Inc. | 15,200 | |||||||||||||||||||||||||||||
| River View Plaza |
PA | 100 | % | 2003 | 226,786 | 90.9 | % | 19.19 | United Artists | 77,700 | ||||||||||||||||||||
| Avalon Carpet | 25,000 | |||||||||||||||||||||||||||||
| Pep Boys | 22,000 | |||||||||||||||||||||||||||||
| Staples | 18,000 | |||||||||||||||||||||||||||||
| South Philadelphia |
PA | 100 | % | 2003 | 283,415 | 78.7 | % | 14.81 | Shop Rite | 54,388 | ||||||||||||||||||||
| Ross Dress For Less | 31,349 | |||||||||||||||||||||||||||||
| LA Fitness | 31,000 | |||||||||||||||||||||||||||||
| Modell’s | 20,000 | |||||||||||||||||||||||||||||
15
CEDAR REALTY TRUST, INC.
Real Estate Summary (Continued)
As of September 30, 2013
| Average | ||||||||||||||||||||||||||||||
| Percent | Year | Percent | base rent per | Major Tenants (a) | ||||||||||||||||||||||||||
| Property Description |
State | owned | acquired | GLA | occupied | leased sq. ft. | Name | GLA | ||||||||||||||||||||||
| Pennsylvania (continued) |
||||||||||||||||||||||||||||||
| Swede Square |
PA | 100 | % | 2003 | 100,816 | 100.0 | % | 16.53 | LA Fitness | 37,200 | ||||||||||||||||||||
| The Commons |
PA | 100 | % | 2004 | 203,426 | 85.1 | % | 7.90 | Bon-Ton | 54,500 | ||||||||||||||||||||
| Shop ‘n Save | 52,654 | |||||||||||||||||||||||||||||
| TJ Maxx | 24,404 | |||||||||||||||||||||||||||||
| The Point |
PA | 100 | % | 2000 | 268,037 | 96.5 | % | 12.45 | Burlington Coat Factory | 76,665 | ||||||||||||||||||||
| Giant Foods | 76,627 | |||||||||||||||||||||||||||||
| A.C. Moore | 24,890 | |||||||||||||||||||||||||||||
| Staples | 24,000 | |||||||||||||||||||||||||||||
| Townfair Center |
PA | 100 | % | 2004 | 218,610 | 100.0 | % | 8.83 | Lowe’s Home Centers | 95,173 | ||||||||||||||||||||
| Giant Eagle | 83,821 | |||||||||||||||||||||||||||||
| Michaels | 17,592 | |||||||||||||||||||||||||||||
| Trexler Mall |
PA | 100 | % | 2005 | 339,279 | 89.5 | % | 9.70 | Kohl’s | 90,230 | ||||||||||||||||||||
| Bon-Ton | 62,000 | |||||||||||||||||||||||||||||
| Lehigh Wellness Partners | 33,227 | |||||||||||||||||||||||||||||
| Trexlertown Fitness Club | 28,870 | |||||||||||||||||||||||||||||
| Marshalls | 28,488 | |||||||||||||||||||||||||||||
| Trexlertown Plaza |
PA | 100 | % | 2006 | 313,929 | 90.6 | % | 12.27 | Giant Foods | 78,335 | ||||||||||||||||||||
| Hobby Lobby | 57,512 | |||||||||||||||||||||||||||||
| Redner’s | 47,900 | |||||||||||||||||||||||||||||
| Big Lots | 33,824 | |||||||||||||||||||||||||||||
| Tractor Supply | 19,097 | |||||||||||||||||||||||||||||
| Upland Square |
PA | 100 | %(c) | 2007 | 391,578 | 94.8 | % | 17.00 | Giant Foods | 78,900 | ||||||||||||||||||||
| Carmike Cinema | 45,276 | |||||||||||||||||||||||||||||
| LA Fitness | 42,000 | |||||||||||||||||||||||||||||
| Best Buy | 30,000 | |||||||||||||||||||||||||||||
| TJ Maxx | 25,000 | |||||||||||||||||||||||||||||
| Bed, Bath & Beyond | 24,721 | |||||||||||||||||||||||||||||
| A.C. Moore | 21,600 | |||||||||||||||||||||||||||||
| Staples | 18,336 | |||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Pennsylvania |
5,243,619 | 92.2 | % | 12.64 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Virginia |
||||||||||||||||||||||||||||||
| Annie Land Plaza |
VA | 100 | % | 2006 | 42,500 | 97.2 | % | 9.48 | Food Lion | 29,000 | ||||||||||||||||||||
| Coliseum Marketplace |
VA | 100 | % | 2005 | 105,998 | 100.0 | % | 16.05 | Farm Fresh | 57,662 | ||||||||||||||||||||
| Michaels | 23,981 | |||||||||||||||||||||||||||||
| Elmhurst Square |
VA | 100 | % | 2006 | 66,250 | 88.1 | % | 9.54 | Food Lion | 38,272 | ||||||||||||||||||||
| Fredericksburg Way |
VA | 100 | % | 2005 | 63,000 | 100.0 | % | 18.47 | Ukrop’s Supermarket | 63,000 | ||||||||||||||||||||
| General Booth Plaza |
VA | 100 | % | 2005 | 71,639 | 96.6 | % | 13.05 | Farm Fresh | 53,758 | ||||||||||||||||||||
| Glen Allen Shopping Center |
VA | 100 | % | 2005 | 63,328 | 100.0 | % | 6.61 | Giant Foods | 63,328 | ||||||||||||||||||||
| Kempsville Crossing |
VA | 100 | % | 2005 | 94,477 | 96.1 | % | 11.17 | Farm Fresh | 73,878 | ||||||||||||||||||||
| Oak Ridge Shopping Center |
VA | 100 | % | 2006 | 38,700 | 92.2 | % | 10.59 | Food Lion | 33,000 | ||||||||||||||||||||
| Smithfield Plaza |
VA | 100 | % | 2005/2008 | 134,664 | 96.7 | % | 9.26 | Farm Fresh | 45,544 | ||||||||||||||||||||
| Maxway | 21,600 | |||||||||||||||||||||||||||||
| Peebles | 21,600 | |||||||||||||||||||||||||||||
| Suffolk Plaza |
VA | 100 | % | 2005 | 67,216 | 100.0 | % | 9.40 | Farm Fresh | 67,216 | ||||||||||||||||||||
| Virginia Little Creek |
VA | 100 | % | 2005 | 69,620 | 100.0 | % | 11.12 | Farm Fresh | 66,120 | ||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Virginia |
817,392 | 97.2 | % | 11.50 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total (92.8% leased at September 30, 2013) |
9,821,277 | 92.0 | % | $ | 12.01 | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| (a) | Major tenants are determined as tenants with 15,000 or more sq.ft of GLA, tenants at single-tenant properties, or the largest tenant at a property. |
| (b) | Although the ownership percentage for this joint venture is 60%, the Company has included 100% of this joint venture’s debt and results of operations in its pro-rata calculations, based on partnership earnings promotes, loan guaranties, and/or other terms of the related joint venture agreement. |
| (c) | At September 30, 2013, the ownership percentage for this joint venture was 60%. The Company has historically included 100% of this joint venture’s debt and results of operations in its pro-rata calculations, based on partnership earnings promotes, a loan guaranty, and/or other terms of the related joint venture agreement. Further, on October 31, 2013, the Company acquired the remaining 40% interest in the joint venture for $1.6 million. |
16
CEDAR REALTY TRUST, INC.
Leasing Activity
| Tenant | Average | |||||||||||||||||||||||||||
| Leases | Square | New Rent | Prior Rent | Cash Basis | Improvements | Lease | ||||||||||||||||||||||
| Signed | Feet | Per. Sq. Ft (a) | Per. Sq. Ft (a) | % Change | Per. Sq. Ft (b) | Term (Yrs) | ||||||||||||||||||||||
| Total Comparable Leases |
||||||||||||||||||||||||||||
| 3rd Quarter 2013 |
52 | 215,800 | $ | 13.62 | $ | 12.28 | 10.9 | % | $ | 1.87 | 4.3 | |||||||||||||||||
| 2nd Quarter 2013 |
33 | 343,600 | $ | 12.82 | $ | 11.62 | 10.3 | % | $ | 1.45 | 4.9 | |||||||||||||||||
| 1st Quarter 2013 |
36 | 162,700 | $ | 13.80 | $ | 12.75 | 8.2 | % | $ | 5.29 | 5.3 | |||||||||||||||||
| 4th Quarter 2012 |
37 | 175,200 | $ | 16.27 | $ | 15.02 | 8.3 | % | $ | 2.27 | 5.3 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| Total (c) |
158 | 897,300 | $ | 13.86 | $ | 12.65 | 9.6 | % | $ | 2.41 | 4.9 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| New Leases—Comparable |
||||||||||||||||||||||||||||
| 3rd Quarter 2013 |
7 | 25,300 | $ | 17.24 | $ | 12.58 | 37.0 | % | $ | 15.95 | 8.2 | |||||||||||||||||
| 2nd Quarter 2013 |
8 | 15,700 | $ | 24.02 | $ | 20.39 | 17.8 | % | $ | 31.84 | 7.7 | |||||||||||||||||
| 1st Quarter 2013 |
10 | 39,300 | $ | 11.32 | $ | 10.07 | 12.3 | % | $ | 21.93 | 7.5 | |||||||||||||||||
| 4th Quarter 2012 |
11 | 45,400 | $ | 18.41 | $ | 16.72 | 10.1 | % | $ | 8.75 | 7.7 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| Total (c) |
36 | 125,700 | $ | 16.66 | $ | 14.27 | 16.7 | % | $ | 17.20 | 7.7 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| Renewals—Comparable |
||||||||||||||||||||||||||||
| 3rd Quarter 2013 |
45 | 190,500 | $ | 13.14 | $ | 12.24 | 7.3 | % | $ | 0.00 | 3.7 | |||||||||||||||||
| 2nd Quarter 2013 |
25 | 327,900 | $ | 12.28 | $ | 11.20 | 9.7 | % | $ | 0.00 | 4.8 | |||||||||||||||||
| 1st Quarter 2013 |
26 | 123,400 | $ | 14.59 | $ | 13.60 | 7.3 | % | $ | 0.00 | 4.6 | |||||||||||||||||
| 4th Quarter 2012 |
26 | 129,800 | $ | 15.52 | $ | 14.43 | 7.6 | % | $ | 0.00 | 4.5 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| Total |
122 | 771,600 | $ | 13.41 | $ | 12.38 | 8.3 | % | $ | 0.00 | 4.4 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| Total Comparable and Non-Comparable |
||||||||||||||||||||||||||||
| 3rd Quarter 2013 |
54 | 227,400 | $ | 14.29 | N/A | N/A | $ | 1.77 | 4.5 | |||||||||||||||||||
| 2nd Quarter 2013 |
37 | 349,500 | $ | 12.95 | N/A | N/A | $ | 1.49 | 4.9 | |||||||||||||||||||
| 1st Quarter 2013 |
40 | 225,400 | $ | 12.12 | N/A | N/A | $ | 6.34 | 6.5 | |||||||||||||||||||
| 4th Quarter 2012 |
40 | 189,500 | $ | 16.03 | N/A | N/A | $ | 2.32 | 5.6 | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| Total |
171 | 991,800 | $ | 13.65 | N/A | N/A | $ | 2.82 | 5.3 | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (a) | New rent per sq. ft. represents the minimum cash rent under the new lease for the first 12 months of the term. Prior rent per sq. ft. represents the minimum cash rent under the prior lease for the last 12 months of the previous term. |
| (b) | Includes tenant allowance and landlord work. Excludes first generation space. |
| (c) | For spaces vacant less than 12 months, the results for the trailing four quarters are as follows: |
| Leases | Square | Cash Basis | ||||||||||
| Signed | Feet | % Change | ||||||||||
| Total Comparable Leases |
140 | 832,800 | 9.8 | % | ||||||||
| New Leases—Comparable |
18 | 61,200 | 29.3 | % | ||||||||
17
CEDAR REALTY TRUST, INC.
Tenant Concentration (Based on Annualized Base Rent)
As of September 30, 2013
| Number | Annualized | Percentage | ||||||||||||||||||||||
| of | Annualized | base rent | annualized | |||||||||||||||||||||
| Tenant |
stores | GLA | % of GLA | base rent | per sq. ft. | base rents | ||||||||||||||||||
| Top twenty tenants (a): |
||||||||||||||||||||||||
| Giant Foods |
14 | 912,000 | 9.3 | % | $ | 13,789,000 | $ | 15.12 | 12.7 | % | ||||||||||||||
| LA Fitness |
7 | 282,000 | 2.9 | % | 4,574,000 | 16.22 | 4.2 | % | ||||||||||||||||
| Farm Fresh |
6 | 364,000 | 3.7 | % | 3,909,000 | 10.74 | 3.6 | % | ||||||||||||||||
| Stop & Shop |
4 | 271,000 | 2.8 | % | 2,805,000 | 10.35 | 2.6 | % | ||||||||||||||||
| Dollar Tree |
19 | 194,000 | 2.0 | % | 1,955,000 | 10.08 | 1.8 | % | ||||||||||||||||
| Food Lion |
7 | 243,000 | 2.5 | % | 1,925,000 | 7.92 | 1.8 | % | ||||||||||||||||
| Staples |
5 | 104,000 | 1.1 | % | 1,729,000 | 16.63 | 1.6 | % | ||||||||||||||||
| Shop Rite |
2 | 118,000 | 1.2 | % | 1,695,000 | 14.36 | 1.6 | % | ||||||||||||||||
| Redner’s |
4 | 207,000 | 2.1 | % | 1,514,000 | 7.31 | 1.4 | % | ||||||||||||||||
| United Artists |
1 | 78,000 | 0.8 | % | 1,425,000 | 18.27 | 1.3 | % | ||||||||||||||||
| Shaw’s |
2 | 125,000 | 1.3 | % | 1,389,000 | 11.11 | 1.3 | % | ||||||||||||||||
| Shoppers Food Warehouse |
2 | 120,000 | 1.2 | % | 1,237,000 | 10.31 | 1.1 | % | ||||||||||||||||
| Ukrop’s Supermarket |
1 | 63,000 | 0.6 | % | 1,163,000 | 18.46 | 1.1 | % | ||||||||||||||||
| Kohl’s |
2 | 149,000 | 1.5 | % | 1,113,000 | 7.47 | 1.0 | % | ||||||||||||||||
| Marshalls |
5 | 143,000 | 1.5 | % | 1,110,000 | 7.76 | 1.0 | % | ||||||||||||||||
| Carmike Cinema |
1 | 45,000 | 0.5 | % | 1,034,000 | 22.98 | 1.0 | % | ||||||||||||||||
| TJ Maxx |
4 | 106,000 | 1.1 | % | 1,007,000 | 9.50 | 0.9 | % | ||||||||||||||||
| Giant Eagle |
1 | 84,000 | 0.9 | % | 922,000 | 10.98 | 0.8 | % | ||||||||||||||||
| Walmart |
2 | 150,000 | 1.5 | % | 838,000 | 5.59 | 0.8 | % | ||||||||||||||||
| Dick’s Sporting Goods |
1 | 56,000 | 0.6 | % | 812,000 | 14.50 | 0.7 | % | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Sub-total top twenty tenants |
90 | 3,814,000 | 38.8 | % | 45,945,000 | 12.05 | 42.4 | % | ||||||||||||||||
| Remaining tenants |
825 | 5,220,000 | 53.2 | % | 62,538,000 | 11.98 | 57.6 | % | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Sub-total all tenants (b) |
915 | 9,034,000 | 92.0 | % | $ | 108,483,000 | $ | 12.01 | 100.0 | % | ||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||
| Vacant space |
N/A | 787,000 | 8.0 | % | ||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||
| Total |
915 | 9,821,000 | 100.0 | % | ||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||
| (a) | Several of the tenants listed above share common ownership with other tenants: |
(1) Giant Foods and Stop & Shop, (2) Farm Fresh, Shoppers Food Warehouse, and Shop ‘n Save (GLA of 53,000; annualized base rent of $120,000), (3) Marshalls, TJ Maxx and Home Goods (GLA of 51,000; annualized base rent of $583,000), and (4) Shaw’s and Acme Markets (GLA of 172,000; annualized.base rent of $756,000).
| (b) | Comprised of large tenants (15,000 or more GLA) and small tenants as follows: |
| Annualized | Percentage | |||||||||||||||||||
| Annualized | base rent | annualized | ||||||||||||||||||
| GLA | % of GLA | base rent | per sq. ft. | base rents | ||||||||||||||||
| Large tenants |
6,404,000 | 70.9 | % | $ | 64,141,000 | $ | 10.01 | 59.1 | % | |||||||||||
| Small tenants |
2,630,000 | 29.1 | % | 44,342,000 | 16.86 | 40.9 | % | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
9,034,000 | 100.0 | % | $ | 108,483,000 | $ | 12.01 | 100.0 | % | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
18
CEDAR REALTY TRUST, INC.
Lease Expirations
As of September 30, 2013
| Percentage | ||||||||||||||||||||||||
| Number | Percentage | Annualized | Annualized | of annualized | ||||||||||||||||||||
| Year of lease | of leases | GLA | of GLA | expiring | expiring base | expiring | ||||||||||||||||||
| expiration |
expiring | expiring | expiring | base rents | rents per sq. ft. | base rents | ||||||||||||||||||
| Month-To-Month |
44 | 145,000 | 1.6 | % | $ | 1,812,000 | $ | 12.50 | 1.7 | % | ||||||||||||||
| 2013 |
23 | 59,000 | 0.7 | % | 1,068,000 | 18.10 | 1.0 | % | ||||||||||||||||
| 2014 |
135 | 912,000 | 10.1 | % | 8,964,000 | 9.83 | 8.3 | % | ||||||||||||||||
| 2015 |
144 | 1,231,000 | 13.6 | % | 13,248,000 | 10.76 | 12.2 | % | ||||||||||||||||
| 2016 |
127 | 938,000 | 10.4 | % | 10,668,000 | 11.37 | 9.8 | % | ||||||||||||||||
| 2017 |
120 | 945,000 | 10.5 | % | 12,324,000 | 13.04 | 11.4 | % | ||||||||||||||||
| 2018 |
99 | 807,000 | 8.9 | % | 11,100,000 | 13.75 | 10.2 | % | ||||||||||||||||
| 2019 |
54 | 706,000 | 7.8 | % | 7,932,000 | 11.24 | 7.3 | % | ||||||||||||||||
| 2020 |
41 | 965,000 | 10.7 | % | 9,096,000 | 9.43 | 8.4 | % | ||||||||||||||||
| 2021 |
38 | 420,000 | 4.6 | % | 6,396,000 | 15.23 | 5.9 | % | ||||||||||||||||
| 2022 |
20 | 139,000 | 1.5 | % | 1,896,000 | 13.64 | 1.7 | % | ||||||||||||||||
| 2023 |
25 | 250,000 | 2.8 | % | 3,132,000 | 12.53 | 2.9 | % | ||||||||||||||||
| Thereafter |
45 | 1,517,000 | 16.8 | % | 20,847,000 | 13.74 | 19.2 | % | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| All tenants |
915 | 9,034,000 | 100.0 | % | $ | 108,483,000 | $ | 12.01 | 100.0 | % | ||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||
| Vacant space |
N/A | 787,000 | N/A | |||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||
| Total portfolio |
915 | 9,821,000 | N/A | |||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||
19
CEDAR REALTY TRUST, INC.
Same-Property Net Operating Income (“Same-property NOI”)
Same-Property NOI (a) (b)
| Three months ended September 30, | ||||||||
| 2013 | 2012 | |||||||
| Base Rents |
$ | 22,241,000 | $ | 21,714,000 | ||||
| Expense Recoveries |
5,817,000 | 5,325,000 | ||||||
|
|
|
|
|
|||||
| Total Revenues |
28,058,000 | 27,039,000 | ||||||
| Operating expenses |
8,120,000 | 7,719,000 | ||||||
|
|
|
|
|
|||||
| NOI |
$ | 19,938,000 | $ | 19,320,000 | ||||
|
|
|
|
|
|||||
| Occupied |
93.5 | % | 92.3 | % | ||||
| Leased |
94.1 | % | 93.8 | % | ||||
| Number of same properties |
61 | 61 | ||||||
| NOI growth, excluding dark anchor re-tenanting |
2.3% | |||||||
| Nine months ended September 30, | ||||||||
| 2013 | 2012 | |||||||
| Base Rents |
$ | 65,803,000 | $ | 64,815,000 | ||||
| Expense Recoveries |
18,271,000 | 17,058,000 | ||||||
|
|
|
|
|
|||||
| Total Revenues |
84,074,000 | 81,873,000 | ||||||
| Operating expenses |
25,139,000 | 23,776,000 | ||||||
|
|
|
|
|
|||||
| NOI |
$ | 58,935,000 | $ | 58,097,000 | ||||
|
|
|
|
|
|||||
| Occupied |
93.5 | % | 92.3 | % | ||||
| Leased |
94.1 | % | 93.8 | % | ||||
| Number of same properties |
61 | 61 | ||||||
| NOI growth, excluding dark anchor re-tenanting |
1.6% | |||||||
| (a) | Same- property NOI includes properties that were owned and operated for the entirety of both periods being compared, except for properties undergoing significant redevelopment and expansion until such properties have stabilized, and properties classified as “held for sale/conveyance”. |
| (b) | Same-property NOI (i) excludes non-cash revenues such as straight-line rent adjustments and amortization of intangible lease liabilities, (ii) reflects internal management fees charged to properties, and (iii) excludes infrequent items, such as lease termination fee income. |
| (c) | Excludes the re-tenanting impact resulting from replacing the dark anchor at Oakland Commons with a Walmart Neighborhood Market. NOI growth including this impact was 3.2% and 1.4%, respectively, for the comparative three and nine month periods. |
20
CEDAR REALTY TRUST, INC.
2013 Dispositions
| Date | Sales | |||||||||||||
| Property |
Location | GLA | Sold | Price | ||||||||||
| East Chestnut |
Lancaster, PA | 21,180 | 1/3/2013 | $ | 3,100,000 | |||||||||
| Huntingdon Plaza land parcel |
Huntingdon, PA | N/A | 3/29/2013 | 390,000 | ||||||||||
| Columbia Mall |
Bloomsburg, PA | 352,544 | 4/17/2013 | 2,775,000 | ||||||||||
| Heritage Crossing |
Limerick, PA | 28,098 | 5/9/2013 | 9,400,000 | ||||||||||
| Westlake Discount Drug Mart |
Westlake, OH | 55,775 | 6/5/2013 | 2,240,000 | ||||||||||
|
|
|
|||||||||||||
| Total |
$ | 17,905,000 | ||||||||||||
|
|
|
|||||||||||||
21
CEDAR REALTY TRUST, INC.
Summary of Real Estate Held for Sale/Conveyance
As of September 30, 2013
| Average | Debt | |||||||||||||||||||||||||||||||
| Percent | Percent | base rent per | Maturity | Interest | ||||||||||||||||||||||||||||
| Property Description |
State | owned | GLA | occupied | leased sq. ft. | Amounts | Date | rate | ||||||||||||||||||||||||
| Ohio Discount Drug Mart Portfolio |
||||||||||||||||||||||||||||||||
| Gahanna Discount Drug Mart Plaza (a) |
OH | 100 | % | 48,667 | 82.3 | % | $ | 13.90 | $ | 4,704,000 | Nov 2016 | 10.8 | %(a) | |||||||||||||||||||
| Single-Tenant/Triple-Net-Lease Property |
||||||||||||||||||||||||||||||||
| McCormick Place (a) |
OH | 100 | % | 46,000 | 100.0 | % | 4.50 | 2,518,000 | Aug 2017 | 11.1 | %(a) | |||||||||||||||||||||
| Mall |
||||||||||||||||||||||||||||||||
| Harbor Square (f/k/a Shore Mall) (b) |
NJ | 100 | % | 344,179 | 98.6 | % | 7.46 | |||||||||||||||||||||||||
| Other Non-Core Assets |
||||||||||||||||||||||||||||||||
| Dunmore Shopping Center |
PA | 100 | % | 101,080 | 89.2 | % | 6.34 | |||||||||||||||||||||||||
| Maxatawny Marketplace |
PA | 100 | % | 55,775 | 88.0 | % | 5.83 | |||||||||||||||||||||||||
| Oakhurst Plaza |
PA | 100 | % | 111,869 | 66.2 | % | 15.02 | |||||||||||||||||||||||||
| Roosevelt II (c) |
PA | 100 | % | 180,088 | 0.0 | % | — | 11,105,000 | Mar 2012 | 6.5 | % | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Properties Held for Sale/Conveyance |
|
887,658 | 71.9 | % | $ | 8.25 | $ | 18,327,000 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Land Parcels Previously Acquired for Development |
||||||||||||||||||||||||||||||||
| Four land parcels in Pennsylvania |
PA | 100 | % | 42 | acres | |||||||||||||||||||||||||||
| Harbor Square (f/k/a Shore Mall) |
NJ | 100 | % | 50 | acres | |||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||
| Total Land Parcels Previously Acquired for Development |
|
92 | acres | |||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||
| (a) | Properties in the process of being conveyed to their respective lenders, either through short sale, foreclosure, or deed-in-lieu of foreclosure processes. Until the conveyances of the properties are completed, interest is being recorded (but not paid) at the default interest rates noted above which are approximately 500 basis points higher than the stated rates. |
| (b) | Property in the process of being demalled. The above statistics reflect the completion of demalling. |
| (c) | Lender has agreed to accept a deed in lieu of foreclosure, which is expected to be completed prior to December 31, 2013. |
22
CEDAR REALTY TRUST, INC.
Non-GAAP Financial Disclosures
Use of Funds From Operations (“FFO”)
FFO is a widely-recognized non-GAAP financial measure for REITs that the Company believes, when considered with financial statements prepared in accordance with GAAP, is useful to investors in understanding financial performance and providing a relevant basis for comparison among REITs. In addition, FFO is useful to investors as it captures features particular to real estate performance by recognizing that real estate generally appreciates over time or maintains residual value to a much greater extent than do other depreciable assets. Investors should review FFO, along with GAAP net income, when trying to understand a REIT’s operating performance. The Company considers FFO an important supplemental measure of its operating performance and believes that it is frequently used by securities analysts, investors and other interested parties in the evaluation of REITs.
The Company computes FFO in accordance with the “White Paper” published by the National Association of Real Estate Investment Trusts (“NAREIT”), which defines FFO as net income applicable to common shareholders (determined in accordance with GAAP), excluding impairment charges, excluding gains or losses from debt restructurings and sales of properties, plus real estate-related depreciation and amortization, and after adjustments for partnerships and joint ventures (which are computed to reflect FFO on the same basis). FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income applicable to common shareholders or to cash flow from operating activities. FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. Although FFO is a measure used for comparability in assessing the performance of REITs, as the NAREIT White Paper only provides guidelines for computing FFO, the computation of FFO may vary from one company to another.
The Company also presents “Operating FFO”, which excludes certain items that are not indicative of the results provided by the Company’s operating portfolio and that affect the comparability of the Company’s period-over-period performance, such as management transition charges and employee termination costs, amounts relating to early extinguishment of debt, mark-to-market adjustments related to share-based compensation, and preferred stock redemption costs.
Use of Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”)
EBITDA is another widely-recognized non-GAAP financial measure that the Company believes, when considered with financial statements prepared in accordance with GAAP, is useful to investors and lenders in understanding financial performance and providing a relevant basis for comparison among other companies, including REITs. While EBITDA should not be considered as a substitute for net income attributable to the Company’s common shareholders, net operating income, cash flow from operating activities, or other income or cash flow data prepared in accordance with GAAP, the Company believes that EBITDA may provide additional information with respect to the Company’s performance or ability to meet its future debt service requirements, capital expenditures and working capital requirements. The Company computes EBITDA by excluding interest expense and amortization of deferred financing costs, and depreciation and amortization, from income from continuing operations.
The Company also presents “Adjusted EBITDA”, which excludes certain items that are not indicative of the results provided by the Company’s operating portfolio and that affect the comparability of the Company’s period-over-period performance, such as mark-to-market adjustments related to share-based compensation, management transition charges and employee termination costs, gain on sales of real estate, and impairment charges/reversals. The ratios of debt to Adjusted EBITDA, Adjusted EBITDA to interest expense, and Adjusted EBITDA to fixed charges are additional related measures of financial performance. Because EBITDA from one company to another excludes some, but not all, items that affect net income, the computations of EBITDA may vary from one company to another.
23