Inventrust Properties Corp. · NYSE:IVT
Inventrust Properties — Inland American Real Estate Trust — Corporate Update (January 2014)
17 slides from Inventrust Properties's corporate update, Jan 9, 2014
Slide 1: Financial Update & Estimated Share Price Presentation
Financial Update & Estimated Share Price Presentation
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains “forward-looking statements,” which are not historical facts, within the meaning of the Private Securities Litigation Reform Act of 1995. We intend that these forward-looking statements be subject to the safe harbor provisions created by Section
Slide 3: 2013 Accomplishments
2013 Accomplishments • Announced a transaction to sell $2.1 billion of our net lease assets • Sold an apartment portfolio for $460 million • Formed a new $600 million joint venture with PGGM, a highly respected Dutch pension fund • Completed more than $1.2 billion in acquisitions, including 14 lodgi
Slide 4: 2013 Accomplishments
2013 Accomplishments • Closed on a new $500 million credit facility • Proposed important charter changes to give us a greater ability to execute on our long-term strategy. WE DID ALL THIS WHILE • Minimized earnings dilution • Maintained our annualized distribution rate • Slightly increased the share
Slide 5: Quick Financial Update
Quick Financial Update Up 4.3% for the first 9 months of 2013 Same-Store NOI Growth FFO for First Months - $0.39 per share 0.1% 8.6% 4.9% 4.3% -6% -2% 2% 6% 10% Retail Lodging Student Housing Non-Core Total $350,521 $345,669 $300,000 $320,000 $340,000 $360,000 YTD 2013 YTD 2012 FFO in ‘000s -5.1%
Slide 6: Quick Financial Update
Quick Financial Update • Total Cash = $384 million (as of 9/30/13) • $4.8 billion of debt with a 45%* leverage ratio (as of 9/30/13) • Distributions Declared (as of 9/30/13) * Based on line of credit covenants. 1 – From August 2005 to April 2009 $336 million 2013 YTD $2.7 billion paid since inceptio
Slide 7: New Estimated Per Share Valuation Details
New Estimated Per Share Valuation Details • The Audit Committee of independent directors engaged Real Globe, an independent third party real estate advisory firm. • Real Globe valued each of our real estate assets based on a discounted cash flow analysis. The per share value estimate was arrived at
Slide 8: FAQ #1
FAQ #1 With the significant portfolio changes this year, a comparison of the 2013 estimated share value to the 2012 estimated share value may be difficult, but can you provide a same-store comparison?
Slide 9: Significant Variances Between 2012 & 2013 NAV
Significant Variances Between 2012 & 2013 NAV • Our same-store property values increased approximately 3.5% in the aggregate over last year. • This increase was offset by Transaction costs from our $1.8 billion in sales through 9/30/13 A downward adjustment in the fair value of our debt An increase
Slide 10: FAQ #2
FAQ #2 How does your estimated valuation compare with the share price performance of traded REITs?
Slide 11: Differences Between Traded REIT Pricing & NAV
Differences Between Traded REIT Pricing & NAV • Traded REITs can trade above or below their NAV • Traded REIT indexes traded flat to slightly down this year • We do not believe the comparison is relevant • Our NAV did not give any weight to the relationship between the NAV of traded REITs and their
Slide 12: FAQ #3
FAQ #3 Why did Inland American use the NAV method?
Slide 13: Valuation Guidelines
Valuation Guidelines • Our audit committee, our entire board and Real Globe all followed the most recently published industry guidelines by the IPA • Those guidelines suggest that non-listed REITs use an independent, third party to value our assets and that the estimated per share value be based on
Slide 14: FAQ #4
FAQ #4 How is the value going to increase in the future?
Slide 15: Long-Term Strategy Fueling Increased Value
Long-Term Strategy Fueling Increased Value • New estimated share value remained relatively flat vs. 2012 • Management believes our recent 2013 acquisitions and long- term strategy will have a more positive impact on this value in the future. By concentrating our assets in student housing, lodging an
Slide 16: For More Information
For More Information Review our Form 8-K filed on December 27, 2013, available on our website - inlandamerican.com or Please feel free to contact our Investor Services team at 800.826.8228
Slide 17: FFO Reconciliation Slide
FFO Reconciliation Slide In Millions 9/30/2013 9/30/2012 Net income (loss) attributable to the Company 209,265 (65,771) Add: Depreciation and amortization related to investment properties and investment in unconsolidated entities 323,446 365,800 Provision for asset impairment reflected in continuing
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