Inventrust Properties Corp. · NYSE:IVT
Inventrust Properties — Investor Presentation (September 2024)
34 slides from Inventrust Properties's investor presentation, September 2024
Slide 1: Investor Presentation Q2 2024
Kyle Marketplace | MSA: Austin INVESTOR PRESENTATION Q2 2024
Slide 2: Forward-Looking Statements Disclaimer
INTRODUCTORY NOTES FORWARD-LOOKING STATEMENTS DISCLAIMER Forward-Looking Statements in this presentation, which are not historical facts, IVT cautions you not to place undue reliance on any forward-looking are forward-looking statements within the meaning of the Private Securities statements, which
Slide 3: Overview
Plantation Grove | MSA: Orlando OVERVIEW
Slide 4: Company Overview
COMPANY OVERVIEW Portfolio Statistics 64 95% 87% 74 10.5M 164K Retail Sun Belt1 Grocery Anchored1,2 Avg. TAP Score Total GLA Avg. Center Size (Peer Average = 86%)3 (Peer Average = 68)3 Properties (Peer Average = 50%)3 2024 Guidance Long-Term Targets $1.69 - $1.73 2024 Core FFO Growth of 2.4% to 4.8%
Slide 5: A Simple and Focused Investment Opportunity
A SIMPLE AND FOCUSED INVESTMENT OPPORTUNITY Sun Belt Markets with High-Performing, Grocery- Strong, Persistent Migration Anchored Portfolio • Sector-leading Sun Belt • 87% of NOI derived from centers concentration with a grocery presence • Attractive demographic trends – • Long-term stable NOI growt
Slide 6: Strong Fundamentals and Sector Tailwinds
STRONG FUNDAMENTALS AND SECTOR TAILWINDS Historically Low Supply Growth 3.0% Strip Center Supply Growth1 Year-Over-Year 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% Current and Target Sun Robust Sun Belt NOI Growth Belt Markets = % of IVT ABR Top U.S. Growth Markets Estimated Annualized NOI Growth ‘25 to ‘281 3.5%
Slide 7: 2024 Second Quarter Highlights
2024 SECOND QUARTER HIGHLIGHTS Operating Results Financial Performance 2.6% $19.71 92% $0.43 5.2x 28.5% SPNOI Growth ABR Per SF1 Retention Rate Core FFO Per Net Debt-To- Net Leverage Diluted Share Adjusted EBITDA2 Ratio3 96.4% 99.1% 91.7% Leased Occupancy Anchor Tenant Leased Small Shop Leased $384M
Slide 8: Portfolio
Sonterra Village | MSA: San Antonio PORTFOLIO
Slide 9: Sun Belt Focused
SUN BELT FOCUSED Clustered portfolio brings operational efficiencies and detailed market knowledge Established centers with necessity-based tenants drive performance in all economic conditions InvenTrust Portfolio by Percentage of ABR 1 DC Metro 3% Richmond 1% Raleigh / Durham Sun Belt Charlotte 7%
Slide 10: High Quality Assets
HIGH QUALITY ASSETS Established Establishedcenters centerswith withnecessity-based necessity-basedtenants tenantsdrive driveperformance performanceininallalleconomic economicconditions conditions Rio Pinar Plaza | Orlando, FL Shops at Arbor Trails | Austin, TX Sarasota Pavilion | Tampa, FL Shops at
Slide 11: Essential Retail Dominates Merchandise Mix
ESSENTIAL RETAIL DOMINATES MERCHANDISE MIX Recession resistant tenants with limited exposure to distressed tenants TOP 15 TENANTS # Tenant Credit Rating (S&P) # of Leases % of ABR Recently Executed 1 BBB 151 5.0 Leases 2 N/A 152 3.6 ANCHORS 3 A 14 2.5 4 BB+ 6 2.3 5 N/A 53 2.2 6 AA 5 1.4 7 B+ 7 1.3 8
Slide 12: Tenant Composition
TENANT COMPOSITION Diverse and balanced tenant mix provides durable cash flows Tenant Composition % of ABR % of ABR1 Essential Retail Breakout 60% Grocery 18% Other Retail / Health & Beauty Services 11% Services Medical 9% 19% Off Price 5% Grocery / Banks 5% 60% Restaurants 21% Essential Pets 3% Ret
Slide 13: Strong Leasing Activity Continues
STRONG LEASING ACTIVITY CONTINUES Portfolio is experiencing unprecedented demand and occupancy levels Leased Occupancy 96.2% 96.3% 96.4% 96.1% 93.9% 92.8% 2020 2021 2022 2023 Q1 ’24 Q2 ‘24 Signed Not Opened Spread By Basis Points 290 290 2701 220 110 Investor Presentation 2021 2022 2023 Q1 ‘24 Q2 ‘2
Slide 14: Growing Asset Base Through Acquisitions
GROWING ASSET BASE THROUGH ACQUISITIONS Acquiring necessity-based retail assets in the Sun Belt Established centers with necessity-based tenants drive performance in all economic conditions MAGUIRE GROVES MOORES MILL THE PLANT MSA: Orlando, FL MSA: Atlanta, GA MSA: Phoenix, AZ (New Market) • Acquire
Slide 15: Disciplined Redevelopment Program
DISCIPLINED REDEVELOPMENT PROGRAM Enhancing the consumer experience by revitalizing properties PAVILION at LaQUINTA – La Quinta, CA SOUTHERN PALM CROSSING - Miami, FL BUCKHEAD CROSSING – Atlanta, GA Status: Completed Status: Completed Status: Completed Completion Date: Q2 2024 Completion Date: Q2 20
Slide 16: Balance Sheet and 2024 Outlook
The Parke | MSA: Austin BALANCE SHEET AND 2024 OUTLOOK
Slide 17: Investment-Grade Balance Sheet
INVESTMENT-GRADE BALANCE SHEET1 BBB- / Stable $384 million 5.2x2 Fitch Liquidity Net Debt-to-Adjusted EBITDA 4.2x 4.3% 3.5 Years3 Fixed Charge Coverage Weighted Aver. Interest Rate Weighted Average Maturity Debt Maturity Schedule1,3 ($ Millions) $226 Secured $200 Unsecured $182 $200 $150 $100 $72 $3
Slide 18: Conservative Balance Sheet
CONSERVATIVE BALANCE SHEET InvenTrust maintains a low leverage business model Net Debt-to-Adjusted EBITDA1 6.7x 6.0x 5.7x Peer WTD Average by Market Cap : 5.5x 5.3x 5.1x 4.9x 4.9x Net Leverage Ratio (Net Debt + Preferred As % of Gross Assets) 1 39% 40% 36% 36% Peer Average : 35% 30% 31% 29% Investor
Slide 19: Sustainable Dividend Growth
SUSTAINABLE DIVIDEND GROWTH Steady dividend increases with additional capacity to grow in the future Historical and Projected Dividend Payments Aggregate dividends declared as a percentage of Core FFO = 52%1 $0.91 $0.86 $0.82 $0.78 Investor Presentation 2021 2022 2023 Annualized 2024 1. Aggregate di
Slide 20: InvenTrust Delivers Cash Flow Growth
INVENTRUST DELIVERS CASH FLOW GROWTH 2024 Updated Guidance Net Income Per Diluted Share Nareit FFO Per Diluted Share INITIAL UPDATED INITIAL UPDATED $0.04 to $0.10 $0.08 to $0.12 $1.69 to $1.75 $1.73 to $1.77 Core FFO Per Diluted Share SPNOI Growth INITIAL UPDATED INITIAL UPDATED $1.66 to $1.70 $1.6
Slide 21: Long-Term Growth Profile
LONG-TERM GROWTH PROFILE Stable and durable components of annual cash flow growth EMBEDDED RENT ESCALATIONS POSITIVE LEASING SPREADS FOR NEW AND RENEWALS INCREMENTAL OCCUPANCY INCREASES REDEVELOPMENT Investor Presentation ACQUISITIONS Bay Landing | MSA: Tampa/St. Petersburg 21
Slide 22: Environmental, Social, and Governance
Cyfair Scottsdale NorthTown Center | |MSA: Marketplace MSA:Houston Phoenix ENVIRONMENTAL, SOCIAL, AND GOVERNANCE
Slide 23: ESG Overview
ESG OVERVIEW InvenTrust is committed to the principles of ESG to create long-term shareholder value ENVIRONMENTAL SOCIAL GOVERNANCE • 100% of properties have energy • InvenTrust named a “Top Workplace in • InvenTrust places a strong emphasis on its management systems installed Chicago” by The Chicag
Slide 24: ESG Goals and Progress
ESG GOALS AND PROGRESS InvenTrust set measurable goals to own and manage environmentally-friendly shopping centers; create innovative and inclusive work and community environments; and execute processes, reporting, and training to conduct business in a manner that upholds high standards of ethics an
Slide 25: Strong and Experienced Board of Directors
STRONG AND EXPERIENCED BOARD OF DIRECTORS Julian E. Whitehurst • Former CEO and President of National Retail Properties, Inc. InvenTrust’s Board of Directors (the Chairperson since 2023 • Previously served as COO of National Retail Properties, Inc. from 2004 to 2017 Director since 2016 • Practiced b
Slide 26: Appendix
PGA Plaza | MSA: Palm Beach APPENDIX
Slide 27: Non-GAAP Measures and Definition of Terms
NON-GAAP MEASURES AND DEFINITION OF TERMS Adjusted EBITDA The Company's non-GAAP measure of Adjusted EBITDA excludes gains (or losses) resulting from debt extinguishments, straight-line rent adjustments, amortization of above and below market leases and lease inducements, and other unique revenue an
Slide 28: Reconciliation of Non-GAAP Measures: Same Property NOI
RECONCILIATION OF NON-GAAP MEASURES Same Property NOI Note: in thousands. Three Months Ended June 30 Six Months Ended June 30 2024 2023 2024 2023 Income Minimum base rent $ 42,021 $ 41,294 $ 77,244 $ 75,824 Real estate tax recoveries 8,185 7,873 15,206 15,453 Common area maintenance, insurance, and
Slide 29: Reconciliation of Net Income to Same Property NOI
RECONCILIATION OF NET (LOSS) INCOME TO SAME PROPERTY NOI Same Property NOI Note: in thousands. Three Months Ended June 30 Six Months Ended June 30 2024 2023 2024 2023 Net income $ 1,498 $ 2,068 $ 4,398 $ 3,201 Adjustments to reconcile to non-GAAP metrics: Other income and expense, net (455) (644) (1
Slide 30: Reconciliation of Non-GAAP Measures: Nareit FFO & Core FFO
RECONCILIATION OF NON-GAAP MEASURES Nareit FFO & Core FFO Note: in thousands. The following table presents a reconciliation of Net Income to Nareit FFO and Core FFO Applicable to Common Shares and Dilutive Securities, and provides additional information related to its operations: Three Months Ended
Slide 31: Reconciliation of Non-GAAP Measures: EBITDA & Adjusted EBITDA
RECONCILIATION OF NON-GAAP MEASURES EBITDA & Adjusted EBITDA EBITDA Note: in thousands. The following table presents a reconciliation of Net Income to EBITDA and Adjusted EBITDA, and provides additional information related to its operations: Three Months Ended June 30 Six Months Ended June 30 2024 2
Slide 32: Reconciliation of Financial Leverage Ratios
RECONCILIATION OF FINANCIAL LEVERAGE RATIOS Net Debt-to-Adjusted EBITDA Note: in thousands. The following table presents the calculation of net debt and Net Debt-to-Adjusted EBITDA: As of June 30 As of December 31 2024 2023 Net Debt: Outstanding Debt, net $ 812,217 $ 814,568 Less: Cash and cash equi
Slide 33: Reconciliation of 2024 Guidance Range
RECONCILIATION OF 2024 GUIDANCE RANGE Estimated net income per share to estimated Nareit FFO and Core FFO per diluted share UPDATED GUIDANCE The following table provides a reconciliation of the range of the Company's 2024 estimated net income per diluted share to estimated Nareit FFO and Core FFO pe
Slide 34: InvenTrust Properties Corp. (IVT)
INVENTRUST Corporate Office 3025 Highland Parkway | Suite 350 PROPERTIES Downers Grove, IL 60515 CORP. (IVT) 630.570.0700 info@InvenTrustProperties.com Investor Relations 630.570.0605 InvestorRelations@InvenTrustProperties.com Transfer Agent Computershare 855.377.0510 Investor Presentation Quarterly
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