Wheeler Real Estate Investment Trust, Inc. · NASDAQ:WHLR
Wheeler Real Estate Investment Trust — Investor Presentation (August 2015)
24 slides from Wheeler Real Estate Investment Trust's investor presentation, Aug 13, 2015
Slide 1: Wheeler Real Estate Investment Trust – August 2015
Exhibit 99.1 NASDAQ: WHLR August 2015
Slide 2: Safe Harbor
SAFE HARBOR Wheeler Real Estate Investment Trust, Inc. (the “Company”) considers portions of the information in this presentation 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,
Slide 3: Company Overview
COMPANY OVERVIEW Wheeler is an internally-managedREIT focused on acquiringwell-located,necessity-based retailproperties Wheeler Real Estate Investment Trust Target grocery-anchored shopping centers in Exchange: Nasdaq secondary and tertiary markets with strong Ticker: WHLR demographics Market Cap(1)
Slide 4: Investment Highlights
INVESTMENT HIGHLIGHTS Necessity-Based Wheeler properties serve the essential day-to-day shopping needs of the surrounding Retail communities Majority of tenants provide non-cyclical consumer goods and services that are less impacted by fluctuations in the economy High Quality Existing Industry leadi
Slide 5: Seasoned, Accomplished & Reputable Management Team
SEASONED, ACCOMPLISHED & REPUTABLE MANAGEMENT TEAM WHLR’s executive officers, together with the management teams of its service companies, have an aggregate of over 150 years of experience in the real estate industry. Jon S. Wheeler Chairman and CEO Over 33 yearsof experiencein the realestateindustr
Slide 6: Growth Story
GROWTH STORY WHEELER REAL ESTATE INVESTMENT TRUST As of August 2015, Wheeler owns 38 Square Footage Completes 3,000,000 properties with GLA of 2,724,334 transiben to an internally-managed REIT with the acquaition of operating square feet, and 8 undeveloped land Coreplenes offering and sale of compan
Slide 7: Stable Portfolio Focused on Necessity-Based Shopping
STABLE PORTFOLIO FOCUSED ON NECESSITY-BASED SHOPPING Company believes necessity-based shopping PredominantlyGrocery-AnchoredPortfolio2 centers are resistant to economic downturns. In Non- Free- standing our view, Necessity = Stability Grocery/ retail Community Center 1% 9% The average consumer in th
Slide 8: Tenant Overview
TENANT OVERVIEW Top tenants represent approximately 40% of Top 10 Tenants 1 portfolio Type GLA % of GLA Tenant concentrationexpectedto be reduced significantlyafter offeringproceedsdeployed Grocery 265,391 11.04% Focuson tenantsthat createconsistentconsumer Grocery 191,280 7.96% demandoffering items
Slide 9: Lease Expiration Schedule
LEASE EXPIRATION SCHEDULE 1 Approximately 83% of GLA leased through 2016 or beyond Weighted average remaining lease term of 4.91 years Weighted average remaining lease term for grocery anchor tenants is 6.54 years % of Total Gross Leasable Area Expiring 1 45.00% 39.27% 40.00% 35.00% 30.00% 25.00% 20
Slide 10: Strong Leasing Trends
STRONG LEASING TRENDS Wheelerhasmaintainedstableoccupancyrates– averageof 94.9%sincethe Company’sIPO 33 renewalsin 2014resultedin a weightedaverageincreaseof 6.6%in baserent For the first six monthsof 2015,approximately155,963squarefeet wasrenewedat a averageweighted increaseof 7.24% Industryaverage
Slide 11: Integrated Platform, Proven Success
INTEGRATED PLATFORM, PROVEN SUCCESS Wheeler has acquisition, leasing, property management, developmentandre-developmentservicesall in–house Asset Over 50associates Management Corporate & Acquisitions & Sincethe acquisitionof Wheeler Developmentin January2014, Accounting Development Wheeler has acqui
Slide 12: Case Study: Forrest Gallery, Tullahoma, TN
CASE STUDY: FORREST GALLERY TULLAHOMA, - TN Investment Summary Purchase Price $11,500,000 LTV 79% Square Feet 214,451 Price / Foot $54 Anchor Kroger Occupancy 92% Acquisition Cap Rate 8.8% Cost of Debt 5.4% Estimated ROE 21.6% Built 1987 Third-party property purchased in 2013 Tullahoma is ranked as
Slide 13: Growth Strategy
GROWTH STRATEGY Well locatedproperties in secondaryandtertiary markets High unleveredreturns (expectedcaprates of ~9%) Focus on best in market grocery-anchoredcenters with necessity-based inlinetenants National & regionaltenants High traffic count andeaseof access Ancillary & SpecialtyIncome Opportu
Slide 14: Acquisition Update
ACQUISITION UPDATE Year to date,the Companyhasclosedon eight shoppingcenter properties: Alex City Marketplace,Butler Square,Brook Run, Beaver Ruin I, Beaver Ruin II, ChesapeakeSquare,Pierpont Center and SunshinePlaza for a total acquisition value of approximately$85.4 million with an averagecap rate
Slide 15: Current Pipeline (as of 8/11/2015)
CURRENT PIPELINE (as of 8/11/2015) Status Property Name Location SquareFootage Anchor Price Cap InterestRate LTV Pierpont Center Morgantown, WV 122,259 Shop n Save $ 13,885,000 9.23% 4.15% 70.58% Alex Marketplace Alexander City, AL 147,791 Winn Dixie $ 10,250,000 8.99% 3.95% 56.10% Butler Square Mau
Slide 16: Investment Highlights
INVESTMENT HIGHLIGHTS Necessity-based Retail Internally-Managed, High Quality Existing Scalable Platform Portfolio Attractive Niche Market Opportunity 16
Slide 17: Appendix
Appendix WHEELER REAL ESTATE INVESTMENT TRUST
Slide 18: Property Overview (as of 8/11/2015)
PROPERTY OVERVIEW (as of 8/11/2015) Number of Net Leasable Annualized Base Rent Property Location Tenants Square Feet Total Square Feet Leased Percentage Leased Annualized Base Rent per Leased Square Foot Alex City Marketplace Alexander City, AL 17 147,791 127,141 86.03% $ 951,791 $ 7.49 AmscotBuild
Slide 19: Debt / Maturity Profile
DEBT / MATURITY PROFILE 1 Strong lending relationships with nationally recognized banks; strong capital position expectedto significantlyimprovebargainingpower Recently expanded revolving credit facility with KeyBankNational Association for $45 million with an accordionfeaturefor up to $100 million
Slide 20: Consolidated Statement of Operations
CONSOLIDATED STATEMENT OF OPERATIONS Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 (unaudited) TOTAL REVENUES 6,703,361 $ 3,633,694 $ 12,455,502 $ 7,297,846 OPERATING EXPENSES: Property operations 1,901,313 909,037 3,533,492 1,832,219 Non-REIT management and leasing servi
Slide 21: Balance Sheet Summary
BALANCE SHEET SUMMARY June 30, December 31, 2015 2014 ASSETS: (unaudited) Investment properties, net $ 192,945,133 152,250,986 Cash and cash equivalents 49,165,844 9,969,748 Rents and other tenant receivables, net 2,193,602 1,985,466 Goodwill 5,485,823 7,004,072 Above market lease intangible, net 5,
Slide 22: FFO and Core FFO
FFO and CORE FFO Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 (unaudited) Total FFO (1,220,489) $ (169,497 (2,207,194 370,217 Preferred stock dividends (8,334,102) (423,555 (10,836,325 (464,258 Preferred stock accretion adjustments 5,768,361 67,137 6,979,563 67,137 Total
Slide 23: Capital Structure
CAPITAL STRUCTURE March 31, 2015 June 30, 2015 PostExchange1 Debt Outstanding ($000) Outstanding ($000) Outstanding ($000) Security SeniorNon-ConvertibleDebt (9%Coupon,Dec-15/ Jan-16Maturity) 2 $6,160 $6,160 $6,160 SeniorConvertible Debt (9%Coupon,Dec-18Maturity) 3 $3,000 $3,000 $3,000 Property Debt
Slide 24: Think Retail. Think Wheeler. – For Additional Information
NASDAQ: WHLR For Additional Information At the Company: Investor Relations Counsel: The Equity Group Inc. Robin Hanisch Laura Nguyen Terry Downs Adam Prior Corporate Secretary Director of CapitalMarkets Associate Senior Vice President Robin@whlr.us Laura@whlr.us TDowns@equityny.com APrior@equityny.c
Wheeler Real Estate Investment Trust — Investor Presentation (August 2015) on 6ix