Kite Realty Group Trust · NYSE:KRG
Kite Realty Group Trust — Investor Presentation (February 2015)
22 slides from Kite Realty Group Trust's investor presentation, Feb 24, 2015
Slide 1: Investor Presentation As Of Q4 2014
* Investor Presentation As Of Q4 2014
Slide 2: Company Overview
* COMPANY OVERVIEW City Center White Plains, NY
Slide 3: Company Snapshot / ABR by Geography
* COMPANY SNAPSHOT * ABR BY GEOGRAPHY (1) ABR excludes ground lease revenue attributable to parcels and outlots owned by the Company and ground leased to tenants. Note: All data as of December 31, 2014 unless otherwise noted. Sale assets include states that will be fully exited upon closing which is
Slide 4: Current Portfolio Overview
CURRENT PORTFOLIO OVERVIEW * (1) As of Q4 2014. (2) Other includes office, unanchored strip centers and single tenant assets. (3) Pro forma for tranche II sale of announced disposition. Source: demographic data from AGS. Total Leased (Owned SF) Total Leased (Owned SF) 94.8% Shop Leased (Owned SF) Sh
Slide 5: Kite 2.0
KITE 2.0 * 2010 Today Enhanced Scale 63 Properties 9 States 127 Properties 26 States Strong Leasing 78.0% Small Shops Leased 85.7% Small Shops Leased Quality Markets $12.80 ABR per GLA $15.15 ABR per GLA Geographically Diverse 41.1% % of ABR from IN ~13% % of ABR from IN Reduced Risk 15.5% CIP & LHD
Slide 6: Portfolio Update
* PORTFOLIO UPDATE Plaza at Cedar Hill Dallas, TX Delray Marketplace Delray, FL
Slide 7: 2014 Operational Recap
2014 OPERATIONAL RECAP * FFO per share grew ~9% over the same period last year AFFO grew ~19% year-over-year Dividend growth of 13% over the last 12 months ABR per square foot grew 15% year-over-year Average center size increased over 12% year-over-year Executed 229 new and renewal leases for over 1
Slide 8: Improving Portfolio Quality While Delevering
IMPROVING PORTFOLIO QUALITY WHILE DELEVERING Growing ABR Through High-Quality Assets While Still Strengthening The Balance Sheet 1. Base rent shown for retail operating properties at the end of each period. Source: Company filings. *
Slide 9: Consistent Operational Performance
CONSISTENT OPERATIONAL PERFORMANCE Same-Property NOI Growth > 4% For 2 Years Average Cash Lease Spreads Of 15% 1. Base rent shown for retail operating properties at the end of each period. Source: Company filings. * Average: ~15%
Slide 10: Key Sub-Markets Drive Future Growth
KEY SUB-MARKETS DRIVE FUTURE GROWTH * . Source: demographic data from AGS; 3-mile radius shown. Note: demographic data is pro forma for announced asset dispositions. Portfolio Quality Supported By Strongest Sub-Markets Within Top 5 States Median Household Income ($000’s)
Slide 11: High-Quality & Diversified Tenants Remain Core to Kite 2.0
HIGH-QUALITY & DIVERSIFIED TENANTS REMAIN CORE TO KITE 2.0 Strong relationships represented by top tenants by ABR; healthy diversification persists with no single tenant contributing >3.5% of ABR Top 10 Tenants By ABR (1) As of Q4 2014, includes development and redevelopment projects. TJ Maxx includ
Slide 12: Rampart Acquisition
RAMPART ACQUISITION * Key Acquisition Highlights Summerlin-area of Las Vegas, Nevada ~81,000 SQFT shopping center; 100% leased Trade area estimated population: ~104,000 Trade area avg. household income: ~$111,000 Currently pursuing repositioning opportunities for the asset
Slide 13: Balance Sheet
* BALANCE SHEET Parkside Town Commons Cary, NC Beechwood Promenade Athens, GA
Slide 14: A Balanced Approach to Capital Management
* A BALANCED APPROACH TO CAPITAL MANAGEMENT Extended Debt Maturities Lower Net Debt/EBITDA Fixed Charge Coverage 3 years 5 years 9.1x 6.5x 1.8x 3.0x Achieved Investment Grade Credit Ratings of Baa3 / BBB- (Moody’s / S&P) Committed To Investment Grade Ratings – Target Metrics To Achieve And Maintain:
Slide 15: Well-Laddered Maturity Profile
* WELL-LADDERED MATURITY PROFILE ($mm) ___________________________ (1) Chart excludes scheduled principal payments and net premiums. Term Loan is shown at final maturity after extension option exercised. Revolver scheduled to mature in 2019, after extension option exercised. Annual total amounts are
Slide 16: Future Growth Initiatives
* FUTURE GROWTH INITIATIVES Portofino Shopping Center Houston, TX Kingwood Commons Houston, TX
Slide 17: NOI Growth Composition
NOI GROWTH COMPOSITION * 2015 guidance assumes only the $80mm of identified acquisition opportunities Additional investments will grow NOI further Contractual rent bumps to add ~1.25% of NOI growth annually (2015-2016) Target 3% annual rent bumps Lease-up opportunities Increase shop occupancy to 90%
Slide 18: Future Redevelopment: City Center
FUTURE REDEVELOPMENT: CITY CENTER * Proposed Redevelopment Highlights Located in White Plains, NY Recent JV buyout provides full flexibility Redevelopment to commence in 2016 Significant repositioning of the asset to solidify its position within the market
Slide 19: Future Development: Tamiami Crossing
FUTURE DEVELOPMENT: TAMIAMI CROSSING * Development Highlights 25 acre lot located in Naples, FL Stein Mart will anchor the center, along with 5 junior anchors and an outlot space Expected GLA: 120,000 Expected incremental return of ~7.5-8.0% Engaged in active negotiations with each junior anchor spa
Slide 20: First Class Real Estate
FIRST CLASS REAL ESTATE * High-Quality Portfolio Well-Anchored Assets Strong Demographics $15.15 $14.67 63% 36% $81K $63K ABR Per SQFT Source: Company filings; SNL Financial and third party research. Peers include BRX, DDR, EQY, KIM, REG, RPAI, RPT, WRI. KRG demographic data per AGS; pro forma for a
Slide 21: Significant Value Opportunity Remains
SIGNIFICANT VALUE OPPORTUNITY REMAINS * FFO Multiple Below Peer Average Of 16.6x AFFO Multiple Below Peer Average Of 20.0x Source: Bloomberg; consensus data per SNL Financial, FactSet. Data as of 02/19/15. Average: 20.0x Average: 16.6x
Slide 22: Forward-Looking Statements
Certain statements in this presentation that are not in the present or past tense or that discuss the Company’s expectations (including any use of the words “anticipate,” “assume,” “believe,” “estimate,” “expect,” “forecast,” “guidance,” “intend,” “may,” “might,” “outlook,” “project,” “should,” or s
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