SITE Centers Reports Second Quarter 2019 Operating Results

BEACHWOOD, Ohio--()--SITE Centers Corp. (NYSE: SITC) today announced operating results for the quarter ended June 30, 2019.

SITE Centers had another strong quarter, characterized by materially stronger than expected operations and continued leasing momentum,” commented David R. Lukes, president and chief executive officer. “We are now well ahead of plan compared to our original 2019 projections and remain on-track to meet our 5-year business plan targets.”

Results for the Quarter

  • Second quarter net income attributable to common shareholders was $8.9 million, or $0.05 per diluted share, as compared to net loss of $11.7 million, or $0.07 per diluted share, in the year ago-period. The year-over-year increase in net income is primarily attributable to lower transaction costs, interest expense and impairment charges in 2019 partially offset by the dilutive impact of the spin-off of Retail Value Inc. (“RVI”) and lower gain on sale of real estate.
  • Second quarter operating funds from operations attributable to common shareholders (“Operating FFO” or “OFFO”) was $57.0 million, or $0.31 per diluted share, compared to $90.5 million, or $0.49 per diluted share, in the year ago-period. The year-over-year decrease in OFFO is primarily attributable to the dilutive impact of the spin-off of RVI partially offset by lower interest expense and higher fee income.

Significant Second Quarter and Recent Activity

  • Sold two shopping centers for an aggregate sales price of $37.8 million, totaling $7.3 million at SITE Centers’ share, including $1.2 million from the repayment of the Company’s preferred equity investment in its two joint ventures with Blackstone.
  • In July 2019, amended and restated its $950 million revolving credit facility to extend the maturity date to January 2024 and reduce the overall interest rate. The Company also amended the interest rate applicable to its unsecured term loan and upsized the facility to $100 million from $50 million.
  • Issued the Company’s fifth annual Corporate Responsibility and Sustainability Report (www.sitecenters.com/2018CSR). This report was completed in accordance with the Global Reporting Institute Standards and outlines the company’s sustainability strategies and the progress and achievements of its comprehensive environmental, social and governance platforms.
  • Recognized as a Silver Green Lease Leader at the 2019 BOMA International Conference & Expo by the Institute for Market Transformation and the U.S. Department of Energy’s Better Buildings Alliance.

Key Quarterly Operating Results

  • Reported 5.7% same store net operating income growth on a pro rata basis for the quarter and 3.8% same store net operating income growth on a pro rata basis for the first six months of 2019.
  • Generated new leasing spreads of 7.1% and renewal leasing spreads of 5.1%, both on a pro rata basis, for the quarter and new leasing spreads of 14.9% and renewal leasing spreads of 6.9%, both on a pro rata basis, for the trailing twelve-month period.
  • Reported a leased rate of 93.9% at June 30, 2019 on a pro rata basis, compared to 93.1% at June 30, 2018.
  • Annualized base rent per occupied square foot on a pro rata basis was $17.98 at June 30, 2019, compared to $17.36 at June 30, 2018.

Guidance

The Company has updated its 2019 full year guidance for net income attributable to common shareholders and Operating FFO per share to include the impact of the second quarter operating results. Disposition and refinancing fees from RVI as well as mark-to-market adjustments of equity awards are excluded from guidance. The guidance update is as follows:

Reconciliation of Net Income Attributable to Common Shareholders to FFO and Operating FFO estimates:

 

 

 

FY2019E (prior)

Per Share – Diluted

FY2019E (revised)

Per Share – Diluted

Net income attributable to common shareholders

 

$0.25 – $0.30

$0.25 – $0.30

Depreciation and amortization of real estate

 

0.83 – 0.85

0.83 – 0.87

Equity in net (income) of JVs

 

(0.02)

(0.04)

JVs' FFO

 

0.14 – 0.16

0.15 – 0.18

Gain on disposition of real estate (six months actual)

 

(0.09)

(0.09)

Impairment of real estate / reserve of preferred equity interests (six months actual)

 

0.01

0.04

FFO (NAREIT) and Operating FFO

 

$1.14 – $1.19

$1.18 – $1.22

Other key assumptions for 2019 guidance include:

 

 

 

FY2019E (prior)

FY2019E (revised)

SSNOI

 

 

1.25% – 2.00%

2.25% – 3.25%

RVI fee income (excluding disposition/refinancing fees)

 

 

$22 – $24 million

$21 – $23 million

Joint Venture fee income

 

 

$21 – $25 million

$23 – $27 million

Interest income

 

 

$14 – $17 million

$14 – $17 million

General & administrative expenses

 

 

$61 million

$60 million

About SITE Centers Corp.

SITE Centers is an owner and manager of open-air shopping centers that provide a highly-compelling shopping experience and merchandise mix for retail partners and consumers. The Company is a self-administered and self-managed REIT operating as a fully integrated real estate company, and is publicly traded on the New York Stock Exchange under the ticker symbol SITC. Additional information about the Company is available at https://www.sitecenters.com. To be included in the Company’s e-mail distributions for press releases and other investor news, please click here.

Conference Call and Supplemental Information

The Company will hold its quarterly conference call today at 9:00 a.m. Eastern Time. To participate with access to the slide presentation, please visit the Investor Relations portion of SITE's website, ir.sitecenters.com, or for audio only, dial 888-317-6003 (U.S.), 866-284-3684 (Canada) or 412-317-6061 (international) using pass code 3093194 at least ten minutes prior to the scheduled start of the call. A replay of the conference call will also be available at ir.sitecenters.com for one year after the call. A copy of the Company’s Supplemental package is available on the Company’s website.

Non-GAAP Measures

Funds from Operations (“FFO”) is a supplemental non-GAAP financial measure used as a standard in the real estate industry and is a widely accepted measure of real estate investment trust (“REIT”) performance. Management believes that both FFO and Operating FFO provide additional indicators of the financial performance of a REIT. The Company also believes that FFO and Operating FFO more appropriately measure the core operations of the Company and provide benchmarks to its peer group.

In December 2018, the National Association of Real Estate Investment Trusts (“NAREIT”) issued NAREIT Funds From Operations White Paper - 2018 Restatement (“2018 FFO White Paper”). The purpose of the 2018 FFO White Paper was not to change the fundamental definition of FFO but to clarify existing guidance and to consolidate into a single document alerts and policy bulletins issued by NAREIT since the last FFO white paper was issued in 2002. The 2018 FFO White Paper was effective starting with first quarter 2019 reporting. The changes to the Company’s calculation of FFO resulting from the adoption of the 2018 FFO White Paper relate to the exclusion of gains or losses on the sale of land as well as related impairments, gains or losses from changes in control and the reserve adjustment of preferred equity interests. The Company adopted changes in its calculation in 2019 on a retrospective basis.

FFO is generally defined and calculated by the Company as net income (loss) (computed in accordance with GAAP), adjusted to exclude (i) preferred share dividends, (ii) gains and losses from disposition of real estate property and related investments, which are presented net of taxes, (iii) impairment charges on real estate property and related investments including reserve adjustments of preferred equity interests, (iv) gains and losses from changes in control and (v) certain non-cash items. These non-cash items principally include real property depreciation and amortization of intangibles, equity income (loss) from joint ventures and equity income (loss) from non-controlling interests and adding the Company’s proportionate share of FFO from its unconsolidated joint ventures and non-controlling interests, determined on a consistent basis. The Company’s calculation of FFO is consistent with the definition of FFO provided by NAREIT. The Company calculates Operating FFO as FFO excluding certain non-operating charges, income and gains. Operating FFO is useful to investors as the Company removes non-comparable charges, income and gains to analyze the results of its operations and assess performance of the core operating real estate portfolio. Other real estate companies may calculate FFO and Operating FFO in a different manner.

In calculating the expected range for or amount of net (loss) income attributable to common shareholders to estimate projected FFO and Operating FFO for future periods, the Company does not include a projection of gain and losses from the disposition of real estate property, potential impairments and reserves of real estate property and related investments, debt extinguishment costs, mark-to-market adjustments of equity awards, hurricane-related activity, certain transaction costs or certain fee income. Other real estate companies may calculate expected FFO and Operating FFO in a different manner.

The Company also uses net operating income (“NOI”), a non-GAAP financial measure, as a supplemental performance measure. NOI is calculated as property revenues less property-related expenses. The Company believes NOI provides useful information to investors regarding the Company’s financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level and, when compared across periods, reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis.

The Company presents NOI information herein on a same store basis or “SSNOI.” The Company defines SSNOI as property revenues less property-related expenses, which exclude straight-line rental income (including reimbursements) and expenses, lease termination income in excess of lost rent, management fee expense, fair market value of leases and expense recovery adjustments. SSNOI also excludes activity associated with development and major redevelopment and includes assets owned in comparable periods (15 months for quarter comparisons). SSNOI excludes all non-property and corporate level revenue and expenses. Other real estate companies may calculate NOI and SSNOI in a different manner. The Company believes SSNOI provides investors with additional information regarding the operating performances of comparable assets because it excludes certain non-cash and non-comparable items as noted above.

FFO, Operating FFO, NOI and SSNOI do not represent cash generated from operating activities in accordance with GAAP, are not necessarily indicative of cash available to fund cash needs and should not be considered as alternatives to net income computed in accordance with GAAP, as indicators of the Company’s operating performance or as alternatives to cash flow as a measure of liquidity. Reconciliations of these non-GAAP measures to their most directly comparable GAAP measures are included in this release and the accompanying financial supplement. Reconciliation of 2019 SSNOI projected growth target to the most directly comparable GAAP financial measure is not provided because the Company is unable to provide such reconciliation without unreasonable effort.

Safe Harbor

SITE Centers Corp. considers portions of the information in this press release to be 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, both as amended, with respect to the Company's expectation for future periods. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. For this purpose, any statements contained herein that are not historical fact may be deemed to be forward-looking statements. There are a number of important factors that could cause our results to differ materially from those indicated by such forward-looking statements, including, among other factors, local conditions such as supply of space or a reduction in demand for real estate in the area; competition from other available space; dependence on rental income from real property; the loss of, significant downsizing of or bankruptcy of a major tenant and the impact of any such event on rental income from other tenants and our properties; redevelopment and construction activities may not achieve a desired return on investment; our ability to buy or sell assets on commercially reasonable terms; our ability to complete acquisitions or dispositions of assets under contract; our ability to secure equity or debt financing on commercially acceptable terms or at all; our ability to enter into definitive agreements with regard to our financing and joint venture arrangements and our ability to satisfy conditions to the completion of these arrangements; the termination of any joint venture arrangements or arrangements to manage real property; property damage, expenses related thereto and other business and economic consequences (including the potential loss of rental revenues) resulting from extreme weather conditions in locations where we own properties, and the ability to estimate accurately the amounts thereof; sufficiency and timing of any insurance recovery payments related to damages from extreme weather conditions; any change in strategy; our ability to maintain REIT status; and the finalization of the financial statements for the period ended June 30, 2019. For additional factors that could cause the results of the Company to differ materially from those indicated in the forward-looking statements, please refer to the Company's most recent reports on Form 10-K and Form 10-Q. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

 

SITE Centers Corp.

Income Statement: Consolidated Interests

 

in thousands, except per share

 

 

 

 

 

2Q19

 

2Q18

 

6M19

 

6M18

 

Revenues:

 

 

 

 

 

 

 

 

Rental income (1)

$112,274

 

$200,002

 

$224,495

 

$403,768

 

Other property revenues

1,177

 

1,219

 

2,646

 

2,410

 

Business interruption income

0

 

3,100

 

0

 

5,100

 

 

113,451

 

204,321

 

227,141

 

411,278

 

Expenses:

 

 

 

 

 

 

 

 

Operating and maintenance (2)

18,743

 

34,060

 

37,584

 

67,087

 

Real estate taxes

17,798

 

30,478

 

35,541

 

62,501

 

 

36,541

 

64,538

 

73,125

 

129,588

 

 

 

 

 

 

 

 

 

 

Net operating income

76,910

 

139,783

 

154,016

 

281,690

 

 

 

 

 

 

 

 

 

 

Other income (expense):

 

 

 

 

 

 

 

 

Fee income (3)

15,206

 

7,195

 

32,538

 

15,306

 

Interest income

4,521

 

5,016

 

9,042

 

10,357

 

Interest expense

(21,087)

 

(44,913)

 

(42,813)

 

(88,953)

 

Depreciation and amortization

(40,060)

 

(72,462)

 

(82,668)

 

(146,886)

 

General and administrative

(14,932)

 

(17,276)

 

(29,044)

 

(30,121)

 

Other income (expense), net (4)

(85)

 

(36,255)

 

68

 

(97,862)

 

Impairment charges

0

 

(18,060)

 

(620)

 

(48,504)

 

Hurricane property loss

0

 

(224)

 

0

 

(974)

 

Income (loss) before earnings from JVs and other

20,473

 

(37,196)

 

40,519

 

(105,947)

 

 

 

 

 

 

 

 

 

 

Equity in net income of JVs

1,791

 

3,821

 

2,834

 

12,607

 

(Reserve) adjustment of preferred equity interests

(4,634)

 

1,625

 

(5,733)

 

(2,336)

 

Gain on disposition of real estate, net

213

 

29,508

 

16,590

 

39,519

 

Tax expense

(306)

 

(391)

 

(578)

 

(373)

 

Net income (loss)

17,537

 

(2,633)

 

53,632

 

(56,530)

 

Non-controlling interests

(260)

 

(696)

 

(565)

 

(952)

 

Net income (loss) SITE Centers

17,277

 

(3,329)

 

53,067

 

(57,482)

 

Preferred dividends

(8,383)

 

(8,383)

 

(16,766)

 

(16,766)

 

Net income (loss) Common Shareholders

$8,894

 

($11,712)

 

$36,301

 

($74,248)

 

 

 

 

 

 

 

 

 

 

Weighted average shares – Basic – EPS

180,551

 

184,634

 

180,548

 

184,595

 

Assumed conversion of diluted securities

658

 

0

 

826

 

0

 

Weighted average shares – Basic & Diluted – EPS

181,209

 

184,634

 

181,374

 

184,595

 

 

 

 

 

 

 

 

 

 

Earnings per common share – Basic

$0.05

 

$(0.07)

 

$0.20

 

$(0.41)

 

Earnings per common share – Diluted

$0.05

 

$(0.07)

 

$0.20

 

$(0.41)

 

 

 

 

 

 

 

 

 

 

Rental income:

 

 

 

 

 

 

 

(1)

Minimum rents

$74,877

 

$132,077

 

$149,838

 

268,995

 

Ground lease minimum rents

5,023

 

9,601

 

10,041

 

19,570

 

Percentage and overage rent

910

 

1,453

 

2,286

 

3,261

 

Recoveries

27,987

 

50,558

 

55,448

 

101,912

 

Lease termination fees

30

 

2,695

 

2,617

 

3,216

 

Ancillary and other rental income

2,679

 

3,618

 

3,938

 

6,814

 

Bad debt

768

 

N/A

 

327

 

N/A

 

 

 

 

 

 

 

 

 

(2)

Bad debt (prior to adoption of Topic 842)

N/A

 

(198)

 

N/A

 

(101)

 

 

 

 

 

 

 

 

 

(3)

Fee Income:

 

 

 

 

 

 

 

 

JV and other fees

7,245

 

7,195

 

15,122

 

15,306

 

RVI fees

6,446

 

0

 

13,002

 

0

 

RVI disposition fees

1,515

 

0

 

2,614

 

0

 

RVI refinancing fee

0

 

0

 

1,800

 

0

 

 

 

 

 

 

 

 

 

(4)

Other income (expense), net

 

 

 

 

 

 

 

 

Transaction costs - spin-off

0

 

(31,431)

 

0

 

(36,516)

 

Transaction and other expense, net

1

 

(2,856)

 

164

 

(2,946)

 

Debt extinguishment costs, net

(86)

 

(1,968)

 

(96)

 

(58,400)

SITE Centers Corp.

Reconciliation: Net Income (Loss) to FFO and Operating FFO

and Other Financial Information

 

in thousands, except per share

 

 

 

 

 

2Q19

 

2Q18

 

6M19

 

6M18

 

Net income (loss) attributable to Common Shareholders

$8,894

 

($11,712)

 

$36,301

 

($74,248)

 

Depreciation and amortization of real estate

38,638

 

70,895

 

79,595

 

143,755

 

Equity in net income of JVs

(1,791)

 

(3,821)

 

(2,834)

 

(12,607)

 

JVs' FFO

7,696

 

6,641

 

15,671

 

13,811

 

Non-controlling interests

28

 

506

 

56

 

559

 

Impairment of real estate

0

 

18,060

 

620

 

48,504

 

Reserve (adjustment) of preferred equity interests

4,634

 

(1,625)

 

5,733

 

2,336

 

Gain on disposition of real estate, net

(213)

 

(29,508)

 

(16,590)

 

(39,519)

 

FFO attributable to Common Shareholders

$57,886

 

$49,436

 

$118,552

 

$82,591

 

RVI disposition and refinancing fees

(1,515)

 

0

 

(4,414)

 

0

 

Mark-to-market adjustment (PRSUs)

501

 

0

 

1,400

 

0

 

Hurricane property loss, net

0

 

(89)

 

0

 

2,445

 

Separation charges

0

 

4,641

 

0

 

4,641

 

Debt extinguishment, transaction, net

99

 

36,255

 

121

 

97,862

 

Joint ventures - debt extinguishment, other

32

 

249

 

46

 

703

 

Total non-operating items, net

(883)

 

41,056

 

(2,847)

 

105,651

 

Operating FFO attributable to Common Shareholders

$57,003

 

$90,492

 

$115,705

 

$188,242

 

 

 

 

 

 

 

 

 

 

Weighted average shares & units – Basic: FFO & OFFO

180,693

 

184,786

 

180,691

 

184,760

 

Assumed conversion of dilutive securities

658

 

6

 

826

 

7

 

Weighted average shares & units – Diluted: FFO & OFFO

181,351

 

184,792

 

181,517

 

184,767

 

 

 

 

 

 

 

 

 

 

FFO per share – Basic

$0.32

 

$0.27

 

$0.66

 

$0.45

 

FFO per share – Diluted

$0.32

 

$0.27

 

$0.65

 

$0.45

 

Operating FFO per share – Basic

$0.32

 

$0.49

 

$0.64

 

$1.02

 

Operating FFO per share – Diluted

$0.31

 

$0.49

 

$0.64

 

$1.02

 

Common stock dividends declared, per share

$0.20

 

$0.38

 

$0.40

 

$0.76

 

 

 

 

 

 

 

 

 

 

Capital expenditures (SITE Centers share):

 

 

 

 

 

 

 

 

Development and redevelopment costs

14,537

 

13,043

 

21,387

 

33,517

 

Maintenance capital expenditures

4,429

 

3,049

 

5,827

 

3,570

 

Tenant allowances and landlord work

6,696

 

10,460

 

15,006

 

19,878

 

Leasing commissions

1,240

 

943

 

2,083

 

1,840

 

Construction administrative costs (capitalized)

934

 

1,191

 

1,560

 

2,561

 

 

 

 

 

 

 

 

 

 

Certain non-cash items (SITE Centers share):

 

 

 

 

 

 

 

 

Straight-line rent

516

 

277

 

832

 

(91)

 

Straight-line fixed CAM

185

 

0

 

385

 

0

 

Amortization of (above)/below-market rent, net

1,074

 

(1,317)

 

2,270

 

526

 

Straight-line ground rent expense

(415)

 

(25)

 

(835)

 

(76)

 

Debt fair value and loan cost amortization

(1,140)

 

(2,801)

 

(2,262)

 

(5,274)

 

Capitalized interest expense

279

 

345

 

550

 

668

 

Stock compensation expense

(2,713)

 

(1,392)

 

(5,467)

 

(3,084)

 

Non-real estate depreciation expense

(1,372)

 

(1,525)

 

(2,930)

 

(3,048)

 

 

 

 

 

 

 

 

 

SITE Centers Corp.

Balance Sheet: Consolidated Interests

 

$ in thousands

 

 

 

 

 

At Period End

 

 

2Q19

 

4Q18

 

Assets:

 

 

 

 

Land

$861,438

 

$873,548

 

Buildings

3,217,382

 

3,251,030

 

Fixtures and tenant improvements

461,187

 

448,371

 

 

4,540,007

 

4,572,949

 

Depreciation

(1,231,448)

 

(1,172,357)

 

 

3,308,559

 

3,400,592

 

Construction in progress and land

72,124

 

54,917

 

Real estate, net

3,380,683

 

3,455,509

 

 

 

 

 

 

Investments in and advances to JVs

170,568

 

139,732

 

Investment in and advances to affiliate (1)

223,759

 

223,985

 

Receivable – preferred equity interests, net

170,313

 

189,891

 

Cash

9,421

 

11,087

 

Restricted cash

1,744

 

2,563

 

Notes receivable

19,670

 

19,675

 

Receivables and straight-line (2)

63,935

 

67,335

 

Intangible assets, net (3)

84,093

 

77,419

 

Other assets, net

18,556

 

19,135

 

Total Assets

4,142,742

 

4,206,331

 

 

 

 

 

 

Liabilities and Equity:

 

 

 

 

Revolving credit facilities

75,000

 

100,000

 

Unsecured debt

1,646,985

 

1,646,007

 

Unsecured term loan

49,698

 

49,655

 

Secured debt

87,192

 

88,743

 

 

1,858,875

 

1,884,405

 

Dividends payable

44,641

 

45,262

 

Other liabilities (4)

211,975

 

203,662

 

Total Liabilities

2,115,491

 

2,133,329

 

 

 

 

 

 

Preferred shares

525,000

 

525,000

 

Common shares

18,472

 

18,471

 

Paid-in capital

5,546,407

 

5,544,220

 

Distributions in excess of net income

(4,016,360)

 

(3,980,151)

 

Deferred compensation

8,046

 

8,193

 

Other comprehensive income

(769)

 

(1,381)

 

Common shares in treasury at cost

(56,659)

 

(44,278)

 

Non-controlling interests

3,114

 

2,928

 

Total Equity

2,027,251

 

2,073,002

 

 

 

 

 

 

Total Liabilities and Equity

$4,142,742

 

$4,206,331

 

 

 

 

 

(1)

Preferred investment in RVI

$190,000

 

$190,000

 

Receivable from RVI

33,759

 

33,985

 

 

 

 

 

(2)

Straight-line rents receivable

31,041

 

31,098

 

 

 

 

 

(3)

Operating lease right of use assets (related to adoption of Topic 842)

21,961

 

0

 

 

 

 

 

(4)

Operating lease liabilities (related to adoption of Topic 842)

40,691

 

0

 

Below-market leases, net

47,621

 

50,332

SITE Centers Corp.

Reconciliation of Net Income (Loss) Attributable to SITE to Same Store NOI (1)

$ in thousands

 

 

 

 

 

 

 

 

 

 

 

 

At SITE Centers Share

(Non-GAAP)

 

2Q19

 

2Q18

 

2Q19

 

2Q18

GAAP Reconciliation:

 

 

 

 

 

 

 

Net income (loss) attributable to SITE Centers

$17,277

 

($3,329)

 

$17,277

 

($3,329)

Fee income

(15,206)

 

(7,195)

 

(15,206)

 

(7,195)

Interest income

(4,521)

 

(5,016)

 

(4,521)

 

(5,016)

Interest expense

21,087

 

44,913

 

21,087

 

44,913

Depreciation and amortization

40,060

 

72,462

 

40,060

 

72,462

General and administrative

14,932

 

17,276

 

14,932

 

17,276

Other expense, net

85

 

36,255

 

85

 

36,255

Impairment charges

0

 

18,060

 

0

 

18,060

Hurricane property loss

0

 

224

 

0

 

224

Equity in net income of joint ventures

(1,791)

 

(3,821)

 

(1,791)

 

(3,821)

Reserve (adjustment) of preferred equity interests

4,634

 

(1,625)

 

4,634

 

(1,625)

Tax expense

306

 

391

 

306

 

391

Gain on disposition of real estate, net

(213)

 

(29,508)

 

(213)

 

(29,508)

Income from non-controlling interests

260

 

696

 

260

 

696

Consolidated NOI

76,910

 

139,783

 

76,910

 

139,783

SITE Centers' consolidated JV

0

 

0

 

(434)

 

(383)

Consolidated NOI, net of non-controlling interests

76,910

 

139,783

 

76,476

 

139,400

 

 

 

 

 

 

 

 

Net income from unconsolidated joint ventures

1,153

 

12,623

 

1,571

 

3,529

Interest expense

25,286

 

24,946

 

4,395

 

3,806

Depreciation and amortization

36,969

 

37,299

 

6,004

 

4,957

Impairment charges

0

 

0

 

0

 

0

Preferred share expense

5,484

 

6,317

 

274

 

316

Other expense, net

5,885

 

6,616

 

1,026

 

1,044

Loss (gain) on disposition of real estate, net

321

 

(12,356)

 

30

 

(1,877)

Unconsolidated NOI

75,098

 

75,445

 

13,300

 

11,775

 

 

 

 

 

 

 

 

Total Consolidated + Unconsolidated NOI

152,008

 

215,228

 

89,776

 

151,175

Less: Non-Same Store NOI adjustments

(5,605)

 

(73,499)

 

(4,882)

 

(70,858)

Total SSNOI

$146,403

 

$141,729

 

$84,894

 

$80,317

 

 

 

 

 

 

 

 

SSNOI % Change

3.3%

 

 

 

5.7%

 

 

 

 

 

 

 

 

 

 

(1) Excludes major redevelopment activity.

SITE Centers Corp.

Reconciliation of Net Income (Loss) Attributable to SITE to Same Store NOI (1)

$ in thousands

 

 

 

 

 

 

 

 

 

 

 

 

At SITE Centers Share

(Non-GAAP)

 

6M19

 

6M18

 

6M19

 

6M18

GAAP Reconciliation:

 

 

 

 

 

 

 

Net income (loss) attributable to SITE Centers

$53,067

 

($57,482)

 

$53,067

 

($57,482)

Fee income

(32,538)

 

(15,306)

 

(32,538)

 

(15,306)

Interest income

(9,042)

 

(10,357)

 

(9,042)

 

(10,357)

Interest expense

42,813

 

88,953

 

42,813

 

88,953

Depreciation and amortization

82,668

 

146,886

 

82,668

 

146,886

General and administrative

29,044

 

30,121

 

29,044

 

30,121

Other (income) expense, net

(68)

 

97,862

 

(68)

 

97,862

Impairment charges

620

 

48,504

 

620

 

48,504

Hurricane property loss

0

 

974

 

0

 

974

Equity in net income of joint ventures

(2,834)

 

(12,607)

 

(2,834)

 

(12,607)

Reserve of preferred equity interests

5,733

 

2,336

 

5,733

 

2,336

Tax expense

578

 

373

 

578

 

373

Gain on disposition of real estate, net

(16,590)

 

(39,519)

 

(16,590)

 

(39,519)

Income from non-controlling interests

565

 

952

 

565

 

952

Consolidated NOI

154,016

 

281,690

 

154,016

 

281,690

SITE Centers' consolidated JV

0

 

0

 

(878)

 

(782)

Consolidated NOI, net of non-controlling interests

154,016

 

281,690

 

153,138

 

280,908

 

 

 

 

 

 

 

 

Net income from unconsolidated joint ventures

7,819

 

36,028

 

2,345

 

11,981

Interest expense

50,942

 

49,189

 

8,824

 

7,555

Depreciation and amortization

76,473

 

76,976

 

12,171

 

10,138

Impairment charges

12,267

 

16,910

 

2,453

 

846

Preferred share expense

10,943

 

12,825

 

547

 

641

Other expense, net

11,341

 

14,037

 

2,022

 

2,333

Gain on disposition of real estate, net

(15,645)

 

(50,376)

 

(1,525)

 

(9,325)

Unconsolidated NOI

154,140

 

155,589

 

26,837

 

24,169

 

 

 

 

 

 

 

 

Total Consolidated + Unconsolidated NOI

308,156

 

437,279

 

179,975

 

305,077

Less: Non-Same Store NOI adjustments

(19,158)

 

(154,835)

 

(13,746)

 

(144,916)

Total SSNOI

$288,998

 

$282,444

 

$166,229

 

$160,161

 

 

 

 

 

 

 

 

SSNOI % Change

2.3%

 

 

 

3.8%

 

 

 

 

 

 

 

 

 

 

(1) Excludes major redevelopment activity.

 

Contacts

SITE Centers Corp.
Matthew Ostrower, EVP and Chief Financial Officer
216-755-5500

Release Summary

SITE Centers Reports Second Quarter 2019 Operating Results

Contacts

SITE Centers Corp.
Matthew Ostrower, EVP and Chief Financial Officer
216-755-5500