Federal Realty Investment Trust · NYSE:FRT
Federal Realty Investment Trust — Q4 2023 Earnings Presentation
28 slides from Federal Realty Investment Trust's earnings presentation, Feb 12, 2024
Slide 1: Investor Presentation Fourth Quarter 2023
[FEDERAL| 1962 Investor Presentation FOURTH QUARTER 2023
Slide 2: Federal Realty Investment Trust
Federal Realty Investment Trust Fully in etail real estate-based company focused on risk-adjusted capital allocation d high-quality open air shopping centers in first-ring suburban locations rties include ial nillion square feet jal uni Strong balance sheet with BBB+/Baal stable ratings! Included in
Slide 3: 4Q & Full-Year 2023 Overview
4Q & Full-Year 2023 Overview ~ FFO per share of $1.64 for the quarter, $6.55 for the year > Expanded ~$835 million of redevelopment and expansions in process delivering over the next few years > Announced second phase of residential > Strong comparable PO! growth excluding lease redevelopment at Bal
Slide 4: 2024 Guidance
2024 Guidance Current Considerations Earnings per diluted share $2.72 - $2.94 NAREIT FFO per diluted share $6.65 - $6.87 Growth over 2023 ~15% - 5% Growth of ~3% at the midpoint Key Assumptions Current Comparable PO! growth 2% - 3.5% Comparable PO! growth excluding prior period rents and lease term
Slide 5: Best-in-Class Demographics
Best-in-Class Demographics Income matters in an inflationary environment $115,000 $110,000 FRT $105,000 © REG > Ina landscape marked by cautious consumer spending, FRT's targeted $100,000 investment on high-income markets not only differentiates us but also smchore our portfolio . $95,000 anchors ou
Slide 6: Cycle-Tested
Cycle-Tested Cumulative change in Nareit FFO per share since 2005 Business Plan vs. large-cap, national peers ——FRT 140% ——KIM 120% FRT, 121% 100% > Business plan and balance sheet built to manage through various 80% economic cycles 60% > History of managing through and 40% outperforming during diff
Slide 7: Cycle-Tested Business Plan (cont.)
Cycle-Tested Business Plan (cont.) TRACK RECORD MATTERS Global Financial Crisis (2008 - 2012) COVID-19 Pandemi We believe our outperformance in the Global Financial Crisis was driven by + Disproportionally affected by COVID-19 due to « Our sector-leading demographics > consumers in our markets were
Slide 8: Investment Highlights
Investment Highlights Open-air properties located in drivable close-in suburbs of 9 major metropolitan markets, with high barriers to entry Diverse income stream by market, region, use, format, tenant & tenant category with contractual near-term upside De-risked expansion pipeline of new product at
Slide 9: 1st Ring Suburbs of Strategic High-Barrier Markets
1st Ring Suburbs of 9 Strategic High-Barrier Markets 102 open-air properties located in 1* ring suburbs of 9 major high-barrier markets Drivable markets with public transit access . BOSTON 102 properties include: p Ped ~3,300 commercial tenants NEW YORK ~26 million commercial square feet on 15 Prope
Slide 10: Diversified Income Stream
Diversified Income Stream By Market sosron © WASHINGTON, DC SOUTHERN CALIFORNIA iis Ss By Format PERCENT OF 2023 POI
Slide 11: Diversified Income Stream: Portfolio Composition and Top Tenants
Diversified Income Stream Portfolio Composition by ABR' on a PO! bas 1 PO Mixed Use Office 10% Top 10 Tenants by ABR? 3.0% 2.7% 2.5% 2.0% 7% 17% 15% 15% 13% 1.3% 1.3% 1.0% 1.0 % 0.9 % 0.9 % 0.5% 0.0 % ai)4 Abe © FUNetapp —splunk> = WEVS—Gapinn RS S&P A BBB+ BBB+ NR BBB BB B- BB+ BBB+ A Moody's A2 Ba
Slide 12: Contractual Rent Growth
Contractual LeaseA Lease B Lease C ent umps Rope 2% Rent Bumps Annually 10% Rent Bump in Year 5 tt Initial Rent $ 20.00 Initial Rent $ 20.00 Initial Rent $ 20.00 Term 10 years Term 10 years Term 10 years Square Feet 10,000 SF Square Feet 10,000 SF Square Feet 10,000 SF Year! $ 20.00 Year! $ 20.00 Ye
Slide 13: Residential Portfolio
Residential Portfolio MAXIMIZING REAL ESTATE VALUE ing as of 4Q23 Total Units 3,104 Leased 95.9% Comparable as of 4Q23 SantanaRow e—() siLicon vaLtey 662 units Total Units 2,480 SOUTHERN CALIFORNIA Leased 95.9% re) Residential units represent 13% of total ABR, less on a PO! basis Potential source of
Slide 14: Mixed-Use Office Portfolio
Mixed-Use Office Portfolio MAXIMIZING REAL ESTATE VALUE 2.0 million SF of amenitized Class A office space in our mixed-use portfolio + Representative of 10% of total ABR, less on a PO! basis Ability to realize additional value through office and residential after creating the right retail street Hig
Slide 15: Mixed-Use Office Portfolio Leading Office Roster
Mixed-Use Office Portfolio Leading Office Roster MAXIMIZING REAL ESTATE VALUE MERRILL fs Assembly Row 373k SF Bethesda Row n NetApp sontona Row «—(O) siicon vaisey sodexo lb Susana’. + 376k SF underway SOUTHERN CALIFORNIA CocoWalk ; PHOENIX 121k SF - vil itn vtoge «= OIL Qua Sthens splunk> otftettes
Slide 16: In-Process Mixed-Use Expansion Pipeline
In-Process Mixed-Use Expansion Pipeline ~$515 MILLION OF MIXED-USED EXPANSION PROJECTS IN PROCESS * Projects located in the 1* ring suburbs of major metro markets with significant demand drivers Near job centers with continued growth Established places Amenitized environments * Delivering desirable
Slide 17: In-Process Strategic Redevelopment Pipeline
In-Process Strategic Redevelopment Pipeline ~$320 MILLION OF PROJECTS IN PROCESS ° Integrated team focused on real estate expansion and * 6 additional redevelopment projects underway in 2023, stabilizing redevelopment projects over the next few years * Successful track record of completing complex r
Slide 18: Entitlements
Entitlements PIPELINE OF ADDITIONAL DENSIFICATION OPPORTUNITIES * ~1 million SF and 250+ residential units shovel ready ¢ ~7 million SF and 2,000+ residential units of additional (i.e. entitled and designed) expansions vested entitlements 2 Pike & Rose, Assembly Row and Santana Row © Primarily in ou
Slide 19: Balance Sheet Snapshot
Balance Sheet Snapshot Credit Ratings Ample Liquidity & Financial Flexibility 4Q23 Balance Sheet Update $133 billion of total liquidity in cash and credit 9x annual n o EBITDA facility proforma for January financing activity & dividends paid t a ratio in the mid 5x over the next Undrawn $1.25 billio
Slide 20: Cycle-Tested Management Team
Cycle-Tested Management Team al Realty and 25+ y naging through difficult real ability tom throughout investment c’ Total Annual Return since 2003'2 All REITs Shopping Center REITs hy wy DON WooD JEFF BERKES CEO P, President & COO Joined 1998 Joined 2000 DAN GUGLIELMONE PAWN BECKER EVP, CFO & Treasu
Slide 21: Consecutive Years of Increased Dividends
56 Consecutive Years of Increased Dividends 1 OF 56 PUBLICLY TRADED COMPANIES CONSIDERED A DIVIDEND KING coviD-19 Pandemic $4.36 * Financial crisis Inflation hits low of 1.1% Asian and Russian rs) Inflation in the U.S. hits 14.8% OPEC imposes oil . oO embargo on the US “a cuumtll 1967 56 Year CAGR:
Slide 22: Environmental, Social and Governance Snapshot
Environmental, Social and ~, i> Governance Snapshot Advance Decarbonization Strengthen Resiliency Minimize the carbon footprint of our company and Invest in and manage our assets to protect value our assets from increasing frequency and severity of weather- . related events and other hazards of clim
Slide 23: Connect Communities, Empower Teams, Govern Responsibly
Connect Commu: Use our real estate to contribute to social and economic prosperity of the community and advance social equity. Empower Teams Create a work environment that is diverse, engaging and helps employees grow personally and professionally. Govern Responsibly Establish foundation to run the
Slide 24: More information about our ESG program; Awards & Recognition
> More information about our ESG program can be found in our 2022 Environmental Social and Governance Report, which provides additional detailed information in alignment with the frameworks established by the Global Reporting Initiative, Task Force for Climate Related Financial Disclosures and Susta
Slide 25: [FEDERAL|
[FEDERAL| 1962 25
Slide 26: Appendix: Reconciliation of FFO Guidance
Appendix Reconciliation of FFO Guidance as of December 31, 2023 The following tables provide a reconciliation of the range of estimated earnings per diluted share to estimated FFO per diluted share for the full year 2024. Estimates do not include the impact from potential acquisitions or disposition
Slide 27: Safe Harbor and Non-GAAP Information
Safe Harbor and Non-GAAP Information Certain matters included in this presentation may be forward looking statements within the meaning of federal securities laws. Actual future performance and results may differ materially from those included in forward looking statements. Please refer to our most
Slide 28: ir.federalrealty.com
[FEDERAL| 1962 ir.federalrealty.com
Federal Realty Investment Trust — Q4 2023 Earnings Presentation on 6ix