Inventrust Properties Corp. · NYSE:IVT
Inventrust Properties — Inland American Real Estate Trust — Investor Presentation (October 2013)
24 slides from Inventrust Properties's investor presentation, Oct 24, 2013
Slide 1: Strategy & Performance Update: Capturing the Recovery Cycle
Oct. 24, 2013 Strategy & Performance Update Capturing the Recovery Cycle: A Focus on Growth, A Commitment to Value Creation Exhibit 99.1
Slide 2: Forward-Looking Statements
Forward-Looking Statements The companies depicted in the photographs herein may have proprietary interests in their trade names and trademarks and nothing herein shall be considered to be an endorsement, authorization or approval of Inland American by the companies. Furthermore, none of these compan
Slide 3: Today's Agenda
Today’s Agenda Long-Term Strategy Review & Execution Financial Review Other Topics Q&A Session
Slide 4: Inland American's Long-Term Strategy
Inland American’s Long-Term Strategy Sustainable stockholder distributions while maintaining capital preservation Tailoring our portfolio into Retail, Lodging and Student Housing o Expand & perfect these growth portfolios Position for stockholder liquidity o Multiple liquidity events **Our goals ant
Slide 5: Strategy Execution – Tailoring Our Portfolio
Strategy Execution – Tailoring Our Portfolio Net Lease Transaction - Details o Initial closing – Occurred in late Sept. (Net proceeds about $314M) o Second closing – End of 2013 or early 2014 o Final closing - First half of 2014 On Aug. 9 , we announced a deal to sell $2.1B of net lease assets The t
Slide 6: Strategy Execution – Tailoring Our Portfolio
Strategy Execution – Tailoring Our Portfolio Net Lease Transaction - Details Other Potential Uses: We are evaluating alternatives to provide liquidity to our stockholders, such as a share repurchase. This transaction is expected to provide us with approximately $1 billion in additional capital to su
Slide 7: Core Portfolio as of 12/31/12
Core Portfolio as of 12/31/12 Portfolio contained approximately $3 billion of net lease properties Based on undepreciated asset values 37% Retail $4.1B 585 Properties 29% Lodging $3.3B 16,345 Rooms 17% Office $1.9B 42 Properties 9% Ind / Dist $1.0B 53 Properties 8% Multi-Family $0.9B 5,311 Units 5,2
Slide 8: Inland American Portfolio by Mid-2014
Inland American Portfolio by Mid-2014 Many variables exist over the next 8 months before the final closing of the net lease transaction, so the final portfolio breakdown by asset class may differ from portfolio shown above Lodging Office & Ind Student Housing Multi-Tenant Retail
Slide 9: Strategy Execution - Recent Acquisitions
Strategy Execution - Recent Acquisitions
Slide 10: Student Housing Portfolio Strategies
Student Housing Portfolio Strategies Continue to grow the student housing portfolio Purpose built – acquisition or development Large universities Continue to invest in innovative design and technology ideas and operational excellence programs to attract students Create and reinforce relationships wi
Slide 11: Retail Portfolio Strategies
Retail Portfolio Strategies Focus portfolio towards multi-tenant assets in favorable demographic & geographic locations Rotate capital out of single-tenant assets into multi-tenant anchored centers Maintain operational efficiencies
Slide 12: Lodging Portfolio Strategies
Lodging Portfolio Strategies Expand ownership of premium branded upper-upscale hotels to further enhance our portfolio Harvest positive fundamentals / Capital rotation Historically low supply growth is forecasted Upper upscale segment should see continued strong revenue growth Look for high barriers
Slide 13: Same-Store NOI Growth
Same-Store NOI Growth Up 2.2% for the first half of 2013 0.3% 8.4% 1.8% 1.4% 4.9% 2.2% 4% 2% 0% 2% 4% 6% 8% 10% Retail Lodging Office Industrial Family Total - - - - - Multi-
Slide 14: Funds from Operations
Funds from Operations First half of 2013 - $247.0 million or $0.276 per share Maintaining guidance of $0.50 to $0.51 for the year (assumes some dilution due to dispositions and acquisitions during 2013) $226,686 $246,718 $200,000 $220,000 $240,000 $260,000 YTD 2012 YTD 2013 FFO in ‘000s
Slide 15: Distributions
Distributions $0.50 per share annualized $223.8 million paid in the first half of 2013 $2.6 billion paid since inception As of September 2013, Inland American investors have received between $2.33 to $4.29 per share in distributions depending on the timing of their investment.
Slide 16: Debt Maturities
Debt Maturities % of Total Debt as of 06/30/13 12.3% 17.5% 25.8% 28.0% $274M $590M $650M $921M $1,359M $1,479M $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 Thereafter Fixed Variable 5.2% 11.2%
Slide 17: Additional Subjects to Discuss Today
Additional Subjects to Discuss Today Estimated per Share Value for 2013 Timing of Potential Liquidity Events for Targeted Asset Classes Proxy / Charter Changes
Slide 18: Estimated Per Share Value
Estimated Per Share Value The valuation will be performed by Real Globe. Real Globe will manage the process independently and they will use the Net Asset Value method, which is the same method used in 2012. We expect the process to be completed in mid- December.
Slide 19: Potential Liquidity Events for Stockholders
Potential Liquidity Events for Stockholders Evaluating alternatives to provide liquidity, such as exploring options for a share repurchase. Funds would likely come from net lease disposition. Timing for larger liquidity events (Listings, Spin-Offs, Mergers) would follow continued execution of long-t
Slide 20: Proxy / Charter Changes
Proxy / Charter Changes Proxy filed last week / contains charter changes Increases the options available to the Company to provide liquidity events Removes or revises certain provisions in connection with our capital raise from 2006 to 2009 Have the charter comparable to those of other traded compan
Slide 21: Key Points & Themes to Remember
Key Points & Themes to Remember Our overall cash flow and operating performance continues to improve Made significant progress on our stated long-term strategy Our debt maturities and capital structure are stable, providing us flexibility to execute our business strategies We have dedicated and capa
Slide 22: Q&A Session
Oct. 24, 2013 Q&A Session Capturing the Recovery Cycle: A Focus on Growth, A Commitment to Value Creation
Slide 23: FFO Reconciliation Slide
FFO Reconciliation Slide In Millions 6/30/2013 6/30/2012 Net income (loss) attributable to the Company (28,270) (48,193) Add: Depreciation and amortization related to investment properties and investment in unconsolidated entities 221,213 242,489 Provision for asset impairment reflected in continuin
Slide 24: Additional Proxy Information & Where to Find It
Additional Proxy Information & Where to Find It The Company plans to file a definitive proxy statement with the Securities and Exchange Commission (the “SEC”) in connection with its 2013 annual meeting of stockholders. The Company and its Business Manager, and their directors and certain of their of
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