Inland Real Estate Income Tr Inc · OTC:INRE
Inland Real Estate Income Tr — Inland Real Estate Income Trust — Shareholder Meeting (June 2019)
27 slides from Inland Real Estate Income Tr's shareholder meeting presentation, Jun 4, 2019
Slide 1: 2019 Annual Stockholders Meeting
2019 ANNUAL JUNIE A, 20a9 || 2A@200 AM Sm je Real Estate Income Trust, Inc. THIS IS NEITHER AN OFFER TO SELL NOR A SOLICITATION OF AN OFFER TO BUY ANY SECURITY
Slide 2: Disclaimer
DISCLAIMER > This material is neither an offer to sell nor the solicitation of an offer to buy any security, which can be made only by a prospectus, which has been filed or registered with appropriate state and federal regulatory agencies, and sold only by broker dealers and registered investment ad
Slide 3: Risk Factors
RISK FACTORS > Some of the risks related to investing in commercial real estate include, but are not limited to: market risks such as local property supply and demand conditions; tenants’ inability to pay rent; tenant turnover; inflation and other increases in operating costs; adverse changes in law
Slide 4: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS > In addition to historical information, this presentation contains "forward-looking statements" made under the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The statements may be identified by terminology such as "may," “can,” "would,"
Slide 5: Agenda
AGENDA > Call to Order and Opening Remarks: Daniel L. Goodwin, Chairman, Inland Real Estate Income Trust, Inc. * Report of Quorum and Presentation of the Affidavit of Mailing of Proxy Solicitation: Cathleen M. Hrtanek, Secretary, Inland Real Estate Income Trust, Inc. * Proxy Vote: Daniel L. Goodwin,
Slide 6: Board of Directors & Executive Officers
BOARD OF DIRECTORS & EXECUTIVE OFFICERS > Lee A. Daniels Lead Independent Director Mitchell A. Sabshon Director, President and 6 | COMPANY UPDATE , Chief Executive Officer dr Stephen L. Davis Independent Director ah Catherine L. Lynch Chief Financial Officer and Treasurer on ah Bernard J. Michael In
Slide 7: Mitchell Sabshon
MITCHELL SABSHON | Real Estate Income Trust, Inc.
Slide 8: Shifting Consumer Preferences
SHIFTING. CONSUMER PREFERENCES > Retail real estate is evolving to meet the needs of today’s consumers De) CoStar” “Store closures have affected many shopping centers in the last few years as growing e-commerce sales challenge some traditional retailers. Landlords have responded in various ways, suc
Slide 9: Portfolio Overview
PORTFOLIO OVERVIEW 59 24 | 94-4" 741) 6.9 Properties States Economic Occupancy Tenants Million Sq. Ft. 9| COMPANY UPDATE
Slide 10: Long-Term Plan
LONG-TERM £2 Move toward a liquidity event, market conditions permitting, potentially through a listing on a public securities exchange Portfolio Repositioning Capital Reallocation Liquidity Event 0 | COMPANY UPDATE, * There can be no assurance that the Company's long-term plan will not evolve or ch
Slide 11: Asset Management Plan
ASSET MANGEMENT _ PLAN Opportunistic sale of non-core assets* * The Company has identified a select number of properties that it w consider selling and has recently begun marketing those properti Redevelopment of non-strategic assets
Slide 12: Enhance Capital Structure
& ERA ENHANCE CAPITAL STRUCTURE
Slide 13: Fee Elimination: No Transaction Fees
FEE Capturing an opportunities to enhance entity level performance NO TRANSACTION FEES Eliminated acquisition and disposition fees 13 | COMPANY UPDATE
Slide 14: Retail Market Overview
Wages up 3.4% from year-end 2017 to year-end 2018 Chain Store Age. CPG forecasts stellar year for retailers. February 7, 2019. 14 | COMPANY UPDATE RETAIL MARKET OVERVIEW a Ky) 3-5 million new jobs created in 2017 and 2018 with unemployment rate falling to 3.6% in March 2019 Chain Store Age. CPG fore
Slide 15: Daniel Zatloukal
DANIEL ZATLOUKAL NSE A ND #RiEQAMIERRESS vate ONGV E Sol M/E NNGISGSORSP5O: RSA T | O=N Inland je Real Estate Income Trust, Inc.
Slide 16: Geographic Diversification
GEOGRAPHIC DIVERSIFICATION > Nationwide Reach 4% 25% 22% West South Midwest East 16 | COMPANY UPDATE Based on Annvalized Base Rent as of March 32, 2039
Slide 17: Top Tenants by Annualized Base Rent
Top Tenants by Annualized Base Rent As of March 31, 2019 DICK'S Wax rersaarr OSS LS @ ULTA Albertsons BEAUTY 17 |COMPANY UPDATE KOHLS LA|FITNESS ES
Slide 18: Annualized Base Rent by Property Type
ANNUALIZED BASE RENT BY PROPERTY TYPE 1% seve @ Single Tenant m@ Community & Power Centers Grocery-Anchored Grocery Shadow-Anchored 51% 18 | COMPANY UPDATE Data as of March 32, 2019
Slide 19: ABR by Property Type
$20.00 $18.00 $16.00 $14.00 $12.00 $10.00 $8.00 $6.00 $4.00 $2.00 $0.00 ag | COMPANY UPDATE ABR By Property Type $17.73 $13.90 $12.43 $10.12 Grocery Anchored Community & Power Centers. Grocery Shadow-Anchored Data as of March 32, 2019 Single Tenant
Slide 20: Featured Property: Oquirrh Mountain Marketplace
PEATE FEATURED PROPERTY* Oquirrh Mountain Marketplace Phasel South Jordan, Utah Square Footage: 75950 Physical Occupancy: 00% ABRPerSquareFoot: $21.38 Small Shop by ABR: 52% Change in Same Store NOI: ae 3Mile Population: 106,724 3lile Average Househaldincome. $198:399 Anchors: + Sprouts Farmers Mark
Slide 21: Featured Property
FEATURED PROPERTY* Square Footage: Physical Occupancy: Small Shop by ABR: Change in Same Store NOI: 3-Mile Population: 3-Mile Average Household Income: Anchor: ABR Per Square Foot: 111,720 96.1% $31.46 79% 4.8% 50,392 $113,336 * Whole Foods As oftzinj2038 21 | COMPANY.UPDATE »* Thefeatured pragerty
Slide 22: Catherine Lynch
Wary CATHERINE LYNCH Chief Financial Officer a & Treasurer |@ ;Q 7 Intan E L= Je Real Estate Income Trust, Inc.
Slide 23: Consolidated Financial Highlights
CONSOLIDATED FINANCIAL HIGHLIGHTS > aie eres mae Ses Total Assets: $1,316,067 $1,383,777 Stockholders’ Equity: $501,914 $578,746 Distributions Paid: $11,924 $4,537 Cash Flow Provided by Operations: $10,567 $11,842 GAAP Net Loss: $(2,953) $(2,240) Funds from Operations (FFO): $11,573 $12,520 Modified
Slide 24: FFO and MFFO Calculations
FFO AND MFFO CALCULATIONS March 31, 2019 March 31, 2018 (in thousands) (in thousands) Net loss $(2,953) $(2,240) Add: Depreciation and amortization related to investment properties $14,526 $14,760 Funds from operations (FFO) $11,573 $12,520 Add: Acquisition related costs --- $(7) Less: Amortization
Slide 25: Debt Profile & Maturities
DEBT PROFILE & MATURITIES > Maturities of Mortgage Loans and Credit Facility Payable $200 $150 $139 $350 3135 E $104 E $100 E $85 ll Mortgage Loans Payable mCredit Facility $50 Payable $7 so |} r r r 1 2019 2020 2022 2022 2023 Thereafter 25 | COMPANY UPDATE Data as of March 31, 2019
Slide 26: Same Store NOI
SAME STORE NOI > 3 Months Ended 3 Months Ended 3/31/2019 3/31/2018 Rental income $31,805 $31,930 $(125) Other property income $3 $108 $(55) Total income $31,858 $32,038 $(180) Property operating expenses $5,474 $5,646 $(172) Real estate tax expense $4,248 $4,501 $(253) Total property operating expen
Slide 27: Reconciliation
RECONCILIATION 3 Months Ended {in thousands) 3/31/2019 3/31/2018 Straight-line income (expense), net $220 $331 $(a11) Intangible amortization and inducement $196 $115 $81 General and administrative expenses $(1,512) $(1,116) $(396) Acquisition related costs -- $7 $(7) Business management fee $(2,333
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