SITE Centers Reports Fourth Quarter and Year-End 2019 Operating Results

BEACHWOOD, Ohio--()--SITE Centers Corp. (NYSE: SITC) today announced operating results for the quarter and year ended December 31, 2019.

Fourth quarter results were well ahead of plan capping an excellent first full year of operations since our investor day highlighted by accelerated anchor openings and leasing momentum,” commented David R. Lukes, President and Chief Executive Officer. “We ended the year with a stronger portfolio and balance sheet and are excited about the prospects for 2020 and continued execution on all three drivers of our five-year business plan.”

Results for the Quarter

  • Fourth quarter net income attributable to common shareholders was $9.7 million, or $0.05 per diluted share, as compared to net income of $172.5 million, or $0.93 per diluted share, in the year-ago period. The year-over-year decrease in net income was primarily attributable to higher gains on the sale of real estate in 2018.
  • Fourth quarter operating funds from operations attributable to common shareholders (“Operating FFO” or “OFFO”) was $62.3 million, or $0.33 per diluted share, compared to $58.0 million, or $0.31 per diluted share, in the year-ago period. The year-over-year increase in OFFO was primarily attributable to lower general and administrative expenses as well as lower interest expense due to deleveraging efforts.

Results for the Year

  • Net income attributable to common shareholders for the year ended December 31, 2019, was $61.3 million, or $0.33 per diluted share, which compares to net income of $80.9 million, or $0.43 per diluted share for the prior year.
  • Generated Operating FFO of $1.27 per diluted share for the full year 2019, which compares to $1.66 per diluted share for 2018.

Significant Fourth Quarter Activity

  • Announced the expected sale of SITE Centers’ 15% stake in the DDRTC Joint Venture to its partner, TIAA-CREF, based on a gross fund value of $1.14 billion. The transaction is expected to close in the first quarter of 2020.
  • Acquired three shopping centers for an aggregate sales price of $85.1 million.
  • Sold two shopping centers and land for an aggregate sales price of $287.6 million, totaling $76.4 million at SITE Centers’ share, including $46.6 million from the repayment of the Company’s preferred equity investment in its joint venture with Blackstone.
  • Issued 13.225 million common shares resulting in net proceeds of approximately $195.0 million and redeemed all $200.0 million aggregate liquidation preference of its outstanding 6.50% Series J Cumulative Redeemable Preferred Shares (“Class J Preferred Shares”).

Significant Full Year Activity

  • Sold ten shopping centers and land for an aggregate sales price of $550.2 million, or $211.5 million at SITE Centers’ share, including $61.4 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.

Key Quarterly Operating Results

  • Reported 5.1% same store net operating income growth on a pro rata basis for the quarter and 3.6% same store net operating income growth on a pro rata basis for the year ended December 31, 2019.
  • Generated new leasing spreads of 14.5% and renewal leasing spreads of 1.4%, both on a pro rata basis, for the quarter and new leasing spreads of 13.9% and renewal leasing spreads of 4.7%, both on a pro rata basis, for the trailing twelve-month period.
  • Reported a leased rate of 93.8% on a pro rata basis at December 31, 2019, compared to 92.7% at December 31, 2018.
  • Annualized base rent per occupied square foot on a pro rata basis was $18.25 at December 31, 2019, compared to $17.86 at December 31, 2018.

Guidance

The Company estimates net income attributable to common shareholders for 2020 to be from $0.23 to $0.29 per diluted share and Operating FFO to be $1.10 to $1.14 per diluted share. Disposition fees, debt extinguishment and mark-to-market adjustments of equity awards are excluded from guidance.

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

 

 

 

FY2020E
Per Share – Diluted

Net income attributable to common shareholders

 

$0.24 – $0.29

Depreciation and amortization of real estate

 

0.75 – 0.77

Equity in net (income) of JVs

 

(0.01) – (0.02)

JVs' FFO

 

0.10 – 0.12

FFO (NAREIT) and Operating FFO

 

$1.10 – $1.14

 

Other key assumptions for 2020 guidance include:

 

 

 

FY2020E

SSNOI excluding redevelopment (1)

 

1.0% – 2.0%

SSNOI including redevelopment (1)

 

2.0% – 3.0%

RVI fee income (excluding disposition fees) (2)

 

$12 – $18 million

Joint Venture fee income

 

$16 – $20 million

Interest income

 

$10 – $13 million

(1)

Excludes impact of lease termination fees and lost rent adjustment.

(2)

Consistent with 2019, guidance excludes impact of disposition fees from Retail Value Inc. for the full year.

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 0413839 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 gains 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 at its effective ownership interest 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 2020 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 the supply of, and demand for, retail real estate space in the area; the impact of e-commerce; 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; impairment charges; 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; valuation and risks relating to our joint venture and preferred equity investments; 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 or natural disasters 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 or natural disasters; any change in strategy; our ability to maintain REIT status; and the finalization of the financial statements for the period ended December 31, 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

 

 

 

 

 

 

4Q19

 

4Q18

 

12M19

 

12M18

 

 

Revenues:

 

 

 

 

 

 

 

 

 

Rental income (1)

$110,866

 

$120,678

 

$443,421

 

$650,594

 

 

Other property revenues

926

 

811

 

4,330

 

4,266

 

 

Business interruption income

0

 

0

 

885

 

6,884

 

 

 

111,792

 

121,489

 

448,636

 

661,744

 

 

Expenses:

 

 

 

 

 

 

 

 

 

Operating and maintenance (2)

17,033

 

18,759

 

71,355

 

104,232

 

 

Real estate taxes

16,046

 

20,048

 

68,308

 

103,760

 

 

 

33,079

 

38,807

 

139,663

 

207,992

 

 

 

 

 

 

 

 

 

 

 

 

Net operating income

78,713

 

82,682

 

308,973

 

453,752

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense):

 

 

 

 

 

 

 

 

 

Fee income (3)

13,992

 

15,087

 

59,352

 

45,511

 

 

Interest income

4,351

 

5,025

 

18,009

 

20,437

 

 

Interest expense

(20,748)

 

(25,390)

 

(84,721)

 

(141,305)

 

 

Depreciation and amortization

(41,687)

 

(45,587)

 

(165,087)

 

(242,102)

 

 

General and administrative (4)

(14,036)

 

(16,286)

 

(58,384)

 

(61,639)

 

 

Other income (expense), net (5)

611

 

(11,579)

 

357

 

(110,895)

 

 

Impairment charges

0

 

(930)

 

(3,370)

 

(69,324)

 

 

Hurricane property loss

0

 

0

 

0

 

(817)

 

 

Income (loss) before earnings from JVs and other

21,196

 

3,022

 

75,129

 

(106,382)

 

 

 

 

 

 

 

 

 

 

 

 

Equity in net income (loss) of JVs

6,073

 

(322)

 

11,519

 

9,365

 

 

Reserve of preferred equity interests

(3,438)

 

(6,885)

 

(15,544)

 

(11,422)

 

 

Gain on disposition of real estate, net

293

 

185,763

 

31,380

 

225,406

 

 

Tax benefit (expense)

168

 

(251)

 

(659)

 

(862)

 

 

Net income

24,292

 

181,327

 

101,825

 

116,105

 

 

Non-controlling interests

(290)

 

(480)

 

(1,126)

 

(1,671)

 

 

Net income SITE Centers

24,002

 

180,847

 

100,699

 

114,434

 

 

Write-off of preferred share original issuance costs

(7,176)

 

0

 

(7,176)

 

0

 

 

Preferred dividends

(7,082)

 

(8,383)

 

(32,231)

 

(33,531)

 

 

Net income Common Shareholders

$9,744

 

$172,464

 

$61,292

 

$80,903

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares – Basic – EPS

190,360

 

184,266

 

183,026

 

184,528

 

 

Assumed conversion of diluted securities

162

 

146

 

228

 

7

 

 

Weighted average shares – Basic & Diluted – EPS

190,522

 

184,412

 

183,254

 

184,535

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share – Basic

$0.05

 

$0.94

 

$0.33

 

$0.43

 

 

Earnings per common share – Diluted

$0.05

 

$0.93

 

$0.33

 

$0.43

 

 

 

 

 

 

 

 

 

 

(1)

 

Rental income:

 

 

 

 

 

 

 

 

 

Minimum rents

$76,121

 

$82,779

 

$301,252

 

$438,627

 

 

Ground lease minimum rents

5,213

 

5,198

 

20,272

 

30,073

 

 

Percentage and overage rent

1,278

 

1,323

 

4,117

 

5,184

 

 

Recoveries

25,529

 

29,474

 

106,995

 

163,337

 

 

Lease termination fees

214

 

459

 

3,219

 

3,775

 

 

Ancillary and other rental income

2,306

 

1,445

 

7,539

 

9,598

 

 

Bad debt

205

 

N/A

 

27

 

N/A

 

 

 

 

 

 

 

 

 

 

(2)

 

Bad debt (prior to adoption of Topic 842)

N/A

 

(302)

 

N/A

 

(334)

 

 

 

 

 

 

 

 

 

 

(3)

 

Fee Income:

 

 

 

 

 

 

 

 

 

JV and other fees

7,399

 

6,854

 

29,305

 

28,425

 

 

RVI fees

6,401

 

6,896

 

24,895

 

14,127

 

 

RVI disposition fees

192

 

1,337

 

3,352

 

2,959

 

 

RVI refinancing fee

0

 

0

 

1,800

 

0

 

 

 

 

 

 

 

 

 

 

(4)

 

Mark-to-market adjustment (PRSUs)

928

 

21

 

(1,891)

 

0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$ in thousands

 

 

 

 

 

 

 

 

 

 

4Q19

 

4Q18

 

12M19

 

12M18

(5)

 

Other income (expense), net

 

 

 

 

 

 

 

 

 

Transaction costs - spin-off

0

 

(26)

 

0

 

(37,702)

 

 

Transaction and other expense, net

611

 

(1,766)

 

775

 

(4,973)

 

Debt extinguishment costs, net

0

 

(9,787)

(418)

(68,220)

SITE Centers Corp.

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

and Other Financial Information

 

in thousands, except per share

 

 

 

 

4Q19

 

4Q18

 

12M19

 

12M18

Net income attributable to Common Shareholders

$9,744

 

$172,464

 

$61,292

 

$80,903

Depreciation and amortization of real estate

39,889

 

44,154

 

158,813

 

236,151

Equity in net (income) loss of JVs

(6,073)

 

322

 

(11,519)

 

(9,365)

JVs' FFO

9,359

 

7,134

 

33,528

 

27,982

Non-controlling interests

28

 

28

 

113

 

615

Impairment of real estate

0

 

930

 

3,370

 

69,324

Reserve of preferred equity interests

3,438

 

6,885

 

15,544

 

11,422

Gain on disposition of real estate, net

(293)

 

(185,551)

 

(31,380)

 

(225,194)

FFO attributable to Common Shareholders

$56,092

 

$46,366

 

$229,761

 

$191,838

RVI disposition and refinancing fees

(192)

 

(1,337)

 

(5,152)

 

(2,959)

Mark-to-market adjustment (PRSUs)

(928)

 

0

 

1,891

 

0

Hurricane property (income) loss, net

0

 

135

 

(885)

 

639

Separation charges

0

 

0

 

0

 

4,641

Debt extinguishment, transaction, net

189

 

12,759

 

632

 

112,096

Joint ventures - debt extinguishment, other

(53)

 

106

 

(60)

 

1,019

Write-off of preferred share original issuance costs

7,176

 

0

 

7,176

 

0

Total non-operating items, net

6,192

 

11,663

 

3,602

 

115,436

Operating FFO attributable to Common Shareholders

$62,284

 

$58,029

 

$233,363

 

$307,274

 

 

 

 

 

 

 

 

Weighted average shares & units – Basic: FFO & OFFO

190,501

 

184,413

 

183,168

 

184,684

Assumed conversion of dilutive securities

162

 

5

 

228

 

7

Weighted average shares & units – Diluted: FFO & OFFO

190,663

 

184,418

 

183,396

 

184,691

 

 

 

 

 

 

 

 

FFO per share – Basic

$0.29

 

$0.25

 

$1.25

 

$1.04

FFO per share – Diluted

$0.29

 

$0.25

 

$1.25

 

$1.04

Operating FFO per share – Basic

$0.33

 

$0.31

 

$1.27

 

$1.66

Operating FFO per share – Diluted

$0.33

 

$0.31

 

$1.27

 

$1.66

Common stock dividends declared, per share

$0.20

 

$0.20

 

$0.80

 

$1.16

 

 

 

 

 

 

 

 

Capital expenditures (SITE Centers share):

 

 

 

 

 

 

 

Development and redevelopment costs

15,052

 

8,551

 

56,647

 

53,611

Maintenance capital expenditures

2,871

 

7,051

 

12,544

 

14,797

Tenant allowances and landlord work

12,435

 

9,274

 

36,040

 

34,371

Leasing commissions

1,891

 

807

 

5,516

 

3,508

Construction administrative costs (capitalized)

1,272

 

1,999

 

3,756

 

5,681

 

 

 

 

 

 

 

 

Certain non-cash items (SITE Centers share):

 

 

 

 

 

 

 

Straight-line rent

(76)

 

276

 

1,322

 

385

Straight-line fixed CAM

195

 

0

 

776

 

0

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

1,266

 

1,215

 

4,594

 

2,853

Straight-line rent expense

(69)

 

(657)

 

(1,089)

 

(770)

Debt fair value and loan cost amortization

(1,128)

 

(1,119)

 

(4,557)

 

(7,526)

Capitalized interest expense

329

 

212

 

1,280

 

1,148

Stock compensation expense

(146)

 

(1,752)

 

(9,241)

 

(6,273)

Non-real estate depreciation expense

(1,746)

 

(1,385)

 

(6,027)

 

(5,775)

SITE Centers Corp.

Balance Sheet: Consolidated Interests

   

 

 

$ in thousands

 

 

 

 

 

 

At Period End

 

 

 

4Q19

 

4Q18

 

 

Assets:

 

 

 

 

 

Land

$881,397

 

$873,548

 

 

Buildings

3,277,440

 

3,251,030

 

 

Fixtures and tenant improvements

491,312

 

448,371

 

 

 

4,650,149

 

4,572,949

 

 

Depreciation

(1,289,148)

 

(1,172,357)

 

 

 

3,361,001

 

3,400,592

 

 

Construction in progress and land

59,663

 

54,917

 

 

Real estate, net

3,420,664

 

3,455,509

 

 

 

 

 

 

 

 

Investments in and advances to JVs

181,906

 

139,732

 

 

Investment in and advances to affiliate (1)

190,105

 

223,985

 

 

Receivable – preferred equity interests, net

112,589

 

189,891

 

 

Cash

16,080

 

11,087

 

 

Restricted cash

3,053

 

2,563

 

 

Notes receivable

7,541

 

19,675

 

 

Receivables and straight-line (2)

60,594

 

67,335

 

 

Intangible assets, net (3)

79,813

 

77,419

 

 

Other assets, net

21,277

 

19,135

 

 

Total Assets

4,093,622

 

4,206,331

 

 

 

 

 

 

 

 

Liabilities and Equity:

 

 

 

 

 

Revolving credit facilities

5,000

 

100,000

 

 

Unsecured debt

1,647,963

 

1,646,007

 

 

Unsecured term loan

99,460

 

49,655

 

 

Secured debt

94,874

 

88,743

 

 

 

1,847,297

 

1,884,405

 

 

Dividends payable

44,036

 

45,262

 

 

Other liabilities (4)

220,811

 

203,662

 

 

Total Liabilities

2,112,144

 

2,133,329

 

 

 

 

 

 

 

 

Preferred shares

325,000

 

525,000

 

 

Common shares

19,382

 

18,471

 

 

Paid-in capital

5,700,400

 

5,544,220

 

 

Distributions in excess of net income

(4,066,099)

 

(3,980,151)

 

 

Deferred compensation

7,929

 

8,193

 

 

Other comprehensive income

(491)

 

(1,381)

 

 

Common shares in treasury at cost

(7,707)

 

(44,278)

 

 

Non-controlling interests

3,064

 

2,928

 

 

Total Equity

1,981,478

 

2,073,002

 

 

 

 

 

 

 

 

Total Liabilities and Equity

$4,093,622

 

$4,206,331

 

 

 

 

 

 

(1)

 

Preferred investment in RVI

$190,000

 

$190,000

 

 

Receivable from RVI

105

 

33,985

 

 

 

 

 

 

(2)

 

Straight-line rents receivable

31,231

 

31,098

 

 

 

 

 

 

(3)

 

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

21,792

 

0

 

 

 

 

 

 

(4)

 

Operating lease liabilities (related to adoption of Topic 842)

40,725

 

0

 

 

Below-market leases, net

46,961

 

50,332

SITE Centers Corp.

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

 

$ in thousands

 

 

 

 

 

 

 

 

4Q19

 

4Q18

 

4Q19

 

4Q18

 

SITE Centers at 100%

 

At SITE Centers Share
(Non-GAAP)

GAAP Reconciliation:

 

 

 

 

 

 

 

Net income attributable to SITE Centers

$24,002

 

$180,847

 

$24,002

 

$180,847

Fee income

(13,992)

 

(15,087)

 

(13,992)

 

(15,087)

Interest income

(4,351)

 

(5,025)

 

(4,351)

 

(5,025)

Interest expense

20,748

 

25,390

 

20,748

 

25,390

Depreciation and amortization

41,687

 

45,587

 

41,687

 

45,587

General and administrative

14,036

 

16,286

 

14,036

 

16,286

Other (income) expense, net

(611)

 

11,579

 

(611)

 

11,579

Impairment charges

0

 

930

 

0

 

930

Hurricane property income

0

 

0

 

0

 

0

Equity in net (income) loss of joint ventures

(6,073)

 

322

 

(6,073)

 

322

Reserve of preferred equity interests

3,438

 

6,885

 

3,438

 

6,885

Tax (benefit) expense

(168)

 

251

 

(168)

 

251

Gain on disposition of real estate, net

(293)

 

(185,763)

 

(293)

 

(185,763)

Income from non-controlling interests

290

 

480

 

290

 

480

Consolidated NOI

78,713

 

82,682

 

78,713

 

82,682

SITE Centers' consolidated JV

0

 

0

 

(473)

 

(435)

Consolidated NOI, net of non-controlling interests

78,713

 

82,682

 

78,240

 

82,247

 

 

 

 

 

 

 

 

Net income (loss) from unconsolidated joint ventures

63,196

 

(58,751)

 

5,828

 

(6,797)

Interest expense

20,415

 

23,997

 

3,666

 

3,985

Depreciation and amortization

36,409

 

34,541

 

5,991

 

5,189

Impairment charges

1,540

 

72,732

 

77

 

9,719

Preferred share expense

5,345

 

5,801

 

268

 

290

Other expense, net

4,205

 

5,394

 

990

 

968

Gain on disposition of real estate, net

(51,806)

 

(10,829)

 

(2,665)

 

(1,111)

Unconsolidated NOI

$79,304

 

$72,885

 

14,155

 

12,243

 

 

 

 

 

 

 

 

Total Consolidated + Unconsolidated NOI

 

 

 

 

92,395

 

94,490

Less: Non-Same Store NOI adjustments

 

 

 

 

(7,673)

 

(13,872)

Total SSNOI

 

 

 

 

$84,722

 

$80,618

 

 

 

 

 

 

 

 

SSNOI % Change

 

 

 

 

5.1%

 

 

 

 

 

 

 

 

 

 

(1) Excludes major redevelopment activity.

$ in thousands

 

 

 

 

 

 

 

 

12M19

 

12M18

 

12M19

 

12M18

 

SITE Centers at 100%

 

At SITE Centers Share
(Non-GAAP)

GAAP Reconciliation:

 

 

 

 

 

 

 

Net income attributable to SITE Centers

$100,699

 

$114,434

 

$100,699

 

$114,434

Fee income

(59,352)

 

(45,511)

 

(59,352)

 

(45,511)

Interest income

(18,009)

 

(20,437)

 

(18,009)

 

(20,437)

Interest expense

84,721

 

141,305

 

84,721

 

141,305

Depreciation and amortization

165,087

 

242,102

 

165,087

 

242,102

General and administrative

58,384

 

61,639

 

58,384

 

61,639

Other (income) expense, net

(357)

 

110,895

 

(357)

 

110,895

Impairment charges

3,370

 

69,324

 

3,370

 

69,324

Hurricane property loss

0

 

817

 

0

 

817

Equity in net income of joint ventures

(11,519)

 

(9,365)

 

(11,519)

 

(9,365)

Reserve of preferred equity interests

15,544

 

11,422

 

15,544

 

11,422

Tax expense

659

 

862

 

659

 

862

Gain on disposition of real estate, net

(31,380)

 

(225,406)

 

(31,380)

 

(225,406)

Income from non-controlling interests

1,126

 

1,671

 

1,126

 

1,671

Consolidated NOI

308,973

 

453,752

 

308,973

 

453,752

SITE Centers' consolidated JV

0

 

0

 

(1,787)

 

(1,620)

Consolidated NOI, net of non-controlling interests

308,973

 

453,752

 

307,186

 

452,132

 

 

 

 

 

 

 

 

Net income (loss) from unconsolidated joint ventures

77,042

 

(73,582)

 

10,504

 

(2,551)

Interest expense

93,887

 

96,312

 

16,408

 

15,229

Depreciation and amortization

149,749

 

145,849

 

24,186

 

20,093

Impairment charges

13,807

 

177,522

 

2,530

 

23,747

Preferred share expense

21,832

 

24,875

 

1,092

 

1,244

Other expense, net

20,563

 

24,891

 

3,978

 

4,263

Gain on disposition of real estate, net

(67,011)

 

(93,753)

 

(4,180)

 

(13,749)

Unconsolidated NOI

$309,869

 

$302,114

 

54,518

 

48,276

 

 

 

 

 

 

 

 

Total Consolidated + Unconsolidated NOI

 

 

 

 

361,704

 

500,408

Less: Non-Same Store NOI adjustments

 

 

 

 

(38,701)

 

(188,675)

Total SSNOI

 

 

 

 

$323,003

 

$311,733

 

 

 

 

 

 

 

 

SSNOI % Change

 

 

 

 

3.6%

 

 

 

 

 

 

 

 

 

 

(1) Excludes major redevelopment activity.

 

Contacts

Conor Fennerty, 216-755-5500
EVP and Chief Financial Officer

Release Summary

SITE Centers Reports Fourth Quarter and Year-End 2019 Operating Results

Contacts

Conor Fennerty, 216-755-5500
EVP and Chief Financial Officer