Federal Realty Investment Trust · NYSE:FRT
Federal Realty Investment Trust — Q3 2023 Earnings Presentation
28 slides from Federal Realty Investment Trust's earnings presentation, Nov 2, 2023
Slide 1: Investor Presentation Third Quarter 2023
[FEDERAL| 1962 Investor Presentation THIRD QUARTER 2023
Slide 2: Federal Realty Investment Trust
Federal Realty Investment Trust Fully integrated US retail real estate-based company focused on risk-adjusted capital allocation Own, manage and re/de p and high-quality open air shopping centers in first-ring suburban locations Strategically selected first-ring suburbs of nine metro markets with hi
Slide 3: 3Q 2023 Overview
3Q 2023 Overview ~ FFO per share of $1.65 for the quarter > ~$180 million of spend remaining on ~$750 million of redevelopment and expansions in process delivering over the next few years > 3.8% comparable PO! growth over 3Q 2022 > 56" consecutive year of increased annual > Highest year-to-date comp
Slide 4: 2023 Guidance
2023 Guidance Current Previous Considerations Earnings per diluted share $2.65 - $2.73 $2.64 - $2.76 NAREIT FFO per diluted share $6.50 - $6.58 $6.46 - $6.58 Growth over 2021 ~3% -4% ~2% - 4% Growth of ~3.5% at the current midpoint Key Assumptions Current Previous Comparable PO! growth 2.5% - 4% 2%
Slide 5: Best-in-Class Demographics
Best-in-Class Demographics “Consumers are still spending, but headwinds are getting Income matters in an inflationary environment $115,000 increasingly fierce.... [our] lower-income shoppers those with household incomes of $75,000 or less - are trading §110,000 down to less expensive items while mid
Slide 6: Cycle-Tested Business Plan
Cycle-Tested Business Plan > Business plan and balance sheet built to manage through various economic cycles > History of managing through and outperforming during difficult times > Demonstrated consistency, stability and conservatism over the years Cumulative change in Nareit FFO per share since 20
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 first-ring 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
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 ies ii - Regional Office 102 properties include: ; P 7 properties ~3,300 commercial tenants NEW YORK ~26 millio
Slide 10: Diversified Income Stream
Diversified Income Stream By Market NEW YORK WASHINGTON, DC SOUTHERN CALIFORNIA N Virginia 11% of POL By Format PERCENT OF 2023E PO!'
Slide 11: Diversified Income Stream
Diversified Income Stream Portfolio Composition by AB! Mixed Use Office 10% Top 10 Tenants by ABR? 3.0% 2.7% 2.5% 2.0 % 1.7% 17% 1.4 % 15% 1.3% 13% 13% 1.0% 1.0 % 0.9 % 0.9 % 0.5% 0.0 % mx ANR,. MUNetApp = splunk> = WEVS Gagne, RS S&P A BBB+ BBB+ NR BBB BB B- BB+ BBB+ A Moody's A2 Baal Baa2 NR Baa2
Slide 12: Contractual Rent Growth
Contractual Lease A Lease B Lease C ent umps smerny holy 2% Rent Bumps Annvelly 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 $ 2
Slide 13: Residential Portfolio
Residential Portfolio MAXIMIZING REAL ESTATE VALUE Existing as of 3Q23 Total Units 3,104 Leased 97.8% Santana Row «—() siLICON vaLLeY 662 units Comparable as of 3Q23 —_—__—eEeeaeaSaYyqmwm SOUTHERN CALIFORNIA Total Units 2,480 fe} O Proenix Leased 97.7% Residential units represent 13% of total ABR Po
Slide 14: Mixed-Use Office Portfolio
Mixed-Use Office Portfolio MAXIMIZING REAL ESTATE VALUE Existing Portfolio Total SF 2.0 million SF % of Total ABR 10% Leased (as of 9/30/23) 96% 2.0 million SF of amenitized Class A office space in our mixed-use portfolio WAVG Lease Term! 7 years * Representative of 10% of total ABR Ability to reali
Slide 15: Mixed-Use Office Portfolio Leading Office Roster
Mixed-Use Office Portfolio Leading Office Roster MAXIMIZING REAL ESTATE VALUE Assembly Row Bethesda Row Santana Row «—{O} aiiGon vatiey ’ ills SHSEEeAE + 376k SF underway RAS MERRILL SoS SOUTHERN CALIFORNIA PHOENIX. CocoWalk ak SF Hilton Village C Unites . 212k SF Y‘ Solutions stfnetfee cisco. Mian
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 915 Meeting Street
Slide 17: In-Process Strategic Redevelopment Pipeline
In-Process Strategic Redevelopment Pipeline Integrated team focused on real estate expansion and 7 additional redevelopment projects underway in 2023, stabilizing redevelopment projects over the next 2 years Successful track record of completing complex redevelopment ~$33 million of remaining redeve
Slide 18: Entitlements
Entitlements PIPELINE OF ADDITIONAL DENSIFICATION OPPORTUNITIES * ~1I 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 = Pike & Rose, Assembly Row and Santana Row © Primarily in o
Slide 19: Balance Sheet Snapshot
Balance Sheet Snapshot Credit Ratings Ample Liquidity & Financial Flexibility 3Q23 Balance Sheet Update $1.33 billion of total liquidity in cash and credit annuc o EBITDA facility as of 9/30/2023, for our ~$100 million of cash available $1.2 billion of availability on our revolving € er the next cre
Slide 20: Cycle-Tested Management Team
Cycle-Tested Management Team Lean and nimble loser to th n ability to make smart, ri throughout investment cycles Total Annual Return since 2003'2 10.4% S&P 500 AIIREITs Shopping Center REITs hy oe DON WOOD CEO Joined 1998 DAN GUGLIELMONE EVP, CFO & Treasurer Joined 2016 President Joined 2002 EVP, P
Slide 21: Consecutive Years of Increased Dividends
56 Consecutive Years of Increased Dividends 1 OF 49 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 qq wl wall St 1967 56 Year CAG
Slide 22: Environmental, Social and Governance Snapshot
Environmental, Social and Nf > Governance J Oloe|d Og Snapshot Advance Decarbonization Strengthen Re 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 cli
Slide 23: Connect Communities
(3) “@ Connect Communities 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
Slide 24: ESG Program Information, 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 September 30, 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 2023. Estimates do not include the impact from potential acquisitions or dispositio
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: Federal Realty ir.federalrealty.com
[FEDERAL| 1962 ir.federalrealty.com
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