Site Centers Corp. · NYSE:SITC
Site Centers — Q4 2020 Earnings Presentation
21 slides from Site Centers's earnings presentation, Feb 18, 2021
Slide 1: 4Q20 Earnings
4Q20 Earnings SITE CENTERS CONFERENCE CALL FEBRUARY 18, 2021
Slide 2: Safe Harbor Statement
S A F E H A R B O R S TAT E M E N T SITE Centers Corp. considers portions of the information in this press release 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, with respect to
Slide 3: Table of Contents
4 Q 2 0 K E Y TA K E AWAYS 4 Table of 4 Q 2 0 R E S U LT S S U M M A R Y 5 O P E R AT I N G S TAT U S 6 Contents RENT COLLECTION OVERVIEW 8 O P E R AT I O N S OV E R V I E W 10 PORTFOLIO COMPOSITION 12 GUIDANCE & EARNINGS C O N S I D E R AT I O N S 14 R E N TA L I N C O M E C O M P O N E N T S 15 AP
Slide 4: 4Q20 Key Takeaways: Focused portfolio in the wealthiest sub-markets of the U.S.
4 Q 2 0 K E Y TA K E AWAY S Focused portfolio located in the wealthiest sub-markets of the U.S. 78 WHOLLY-OWNED PROPERTIES WITH AVERAGE HOUSEHOLD INCOME OF $106K (86TH PERCENTILE) COLLECTIONS CONTINUE TO LEASING ACTIVITY MACRO TAILWINDS TO DRIVE $0.11 1Q21 DIVIDEND DECLARED IMPROVE ACCELERATING SUST
Slide 5: 4Q20 Results Summary
4 Q 2 0 R E S U LT S S U M M A R Y (0.03) $ $ 0.25 4Q20 EARNINGS 4 Q 2 0 O P E R AT I N G PER SHARE FF O/S H 91.6% (10.9)% 3.4% LEASED 2020 SSNOI TTM BLENDED 88.7% COMMENCED ( P R O - R ATA ) LEASING SPREAD 8.0% TTM NEW EXCLUDING LEASE SPREAD REDEVELOPMENT SITE CENTERS 4Q20 CONFERENCE CALL 5
Slide 6: SITE Centers Portfolio Operating Status
S I T E C E N T E R S P O R T F O L I O O P E R AT I N G S TAT U S 1 0 0 % O F P R O P E R T I E S R E M A I N O P E N A N D O P E R AT I N G 100% 98% 98% OF TENANTS OPEN FOR BUSINESS, UP 53% FROM APRIL 5 TROUGH 80% • 97% of anchors open + 53% • 99% of shop tenants open 56% OF TENANTS DEEMED ESSENTI
Slide 7: Tenant Category Operating Status
SITE CENTERS Major Tenant • Theatres (66% Open) • Grocery (100% Open) 1. Open percentage based on 1Q20 earnings release. Note: As of February 12, 2021. Weighted by base rent. • Entertainment (91% Open) • Fitness (Class) (86% Open) • Office Supplies (100% Open) • Fitness (Monthly) (89% Open) Partiall
Slide 8: Rent Collection Overview - April 2020 to January 2021
RENT COLLEC TION OVERVIEW - APRIL 2020 TO JANUARY 2021 94 % O F 4 Q 2 0 A N D J A N U A R Y R E N T S PA I D T O D AT E W I T H C O L L E C T I O N S ONGOING; SIGNIFICANT PROGRESS ON 2Q20 AND 3Q20 COLLEC TIONS 2Q20 3Q20 4Q20 JAN U ARY 2 02 1 4% 4% 5% 11% 8% 2% 1% 11% 94% 94% 88% 79% Billed Actual Bi
Slide 9: 2Q20 - 4Q20 Uncollected Rent Overview
2Q20 – 4Q20 UNCOLLEC TED RENT OVERVIEW LO C AL SH O P 2% NATIO NAL SH O P 9 % AN CH O R 82% 2Q20 - 4Q20 BASE RENT, PRS MID -TIER (5 -10 K SF) 7 % Percent of $300 88% OF UNPAID 2Q – 4Q20 Deferred RENT IS FROM NATIONAL $250 Base Rent TENANTS $200 90% OF DEFERRAL ARRANGEMENTS TO BE REPAID BY YEAR $150
Slide 10: Operations Overview
4 Q 2 0 O P E R AT I O N S O V E R V I E W 4Q20 TTM LEASING SPREADS +3.4%; TTM NEW LEASE SPREADS +8.0% • Executed 7 anchor leases in 4Q20 LEASED RATE DECLINED 30 BPS SEQUENTIALLY DUE TO STEINMART CLOSURES 4Q20 LEASING VOLUME IS THE HIGHEST SIGNED BUT NOT OPENED PIPELINE TOTALS SINCE 3Q18 $13M OF ANN
Slide 11: Significant Exposure to Best-in-Class Essential Anchors
SI G N I FI C A N T E X P OSU R E TO B E S T- I N - C L ASS E SS E N TIA L A N C H O RS NOI BY ANCHOR TYPE1 A LT E R N A T I V E A N C H O R 5 % 67 % O F P O R T F O L I O IS AN CH O R E D BY G RO CE R O R A WA R E H O U S E C L U B W I T H DISCOUNT 11% INCLUDES ESSENTIAL ANCHOR 83% A G ROCERY COMPO
Slide 12: SITC Portfolio Composition
SITC PORTFOLIO COMPOSITION 7% 4% GROUND LEASES LOC. RESTAURANTS 3% 8% FITNESS 4% MOVIE THEATRES LOC. SMALL SHOPS (<5K SF) 60% ANCHORS (>10K SF) 15% NAT. SMALL SHOPS ABR ABR (<5K SF) At Share At Share 9% 90% MID-TIER (5K - 10K SF) ALL OTHER INDUSTRIES Note: As of December 31, 2020. Numbers may not ad
Slide 13: Significant Liquidity with Minimal Near-Term Maturities
S I G N I F I C A N T L I Q U I D I T Y W I T H M I N I M A L N E A R -T E R M M AT U R I T I E S $900 AS OF DECEMBER 31, 2020, SITE CENTERS $800 HAS $905M OF LIQUIDITY INCLUDING: $700 • $70M of consolidated cash on the balance sheet $600 • $835M available on the Company’s lines of credit $500 AS OF
Slide 14: 2021 Guidance and Earnings Considerations
2 0 2 1 G U I D A N C E A N D E A R N I N G S C O N S I D E R AT I O N S 4Q20 EARNINGS CONSIDERATIONS: 4Q20 RVI FEE INCOME NET INCOME FFO OFFO • Uncollectible revenue includes +$2.2M of payments and net reserve reversals related RVI Fees $5,133 $5,133 $5,133 to prior periods RVI Disposition Fees $52
Slide 15: 2020 Rental Income Components
2 0 2 0 R E N TA L I N C O M E C O M P O N E N T S F IS C A L Y E A R 2 0 2 0 R E N TA L I N CO M E , AT S H A R E ($ M ) 2 0 2 0 CO N S 2 0 2 0 J V ( P R S) 2020 PRS Unpaid Contractual 51 5 56 $56M OF UNPAID RENTAL INCOME IN 2020 Paid & Other 396 48 444 TOTAL 447 53 500 • Uncollectible revenue tota
Slide 16: Appendix
Appendix 16
Slide 17: Non-GAAP Financial Measures - Definitions
NON - GA AP FINANCIAL MEASURES - DEFINITIONS Funds from Operations (“FFO”) is a supplemental non-GAAP financial measure used as a standard in the real estate industry and is a widely accepted measure of real estate investment trust (“REIT”) performance. Management believes that both FFO and Operatin
Slide 18: Reconciliations - Net Loss to FFO and Operating FFO
R E C O N C I L I AT I O N S - N E T LO S S AT T R I B U TA B L E TO C O M M O N S H A R E H O L D E R S TO F F O A N D O P E R AT I N G F F O Per Share Diluted Actual 4Q20 NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS ($0.03) Depreciation and amortization of real estate 0.23 Equity in net income of
Slide 19: Reconciliation - Net Income to Same Store NOI
R E C O N C I L I AT I O N - N E T I N C O M E AT T R I B U TA B L E TO S I T E C E N T E R S TO SA M E STO R E N O I AT SITE CENTERS SHARE (NON-GAAP) GAAP RECONCILIATION FY2020 FY2019 NET INCOME ATTRIBUTABLE TO SITE CENTERS $35,721 $100,699 Fee income (43,574) (59,352) Interest income (11,888) (18,
Slide 20: Reconciliation - Net Income to Same Store NOI Continued
R E C O N C I L I AT I O N - N E T I N C O M E AT T R I B U TA B L E TO S I T E C E N T E R S T O S A M E S T O R E N O I CONTINUED AT SITE CENTERS SHARE (NON-GAAP) GAAP RECONCILIATION FY2020 FY2019 NET INCOME FROM UNCONSOLIDATED JOINT VENTURES $892 $10,504 Interest expense 12,068 16,408 Depreciatio
Slide 21: Reconciliation - Projected Net Income to Projected FFO and Operating FFO
R E C O N C I L I AT I O N - P R O J E C T E D N E T I N C O M E AT T R I B U TA B L E TO C O M M O N S H A R E H O L D E R S TO P R O J E C T E D F F O A N D O P E R AT I N G F F O E S T I M AT E S JANUARY GUIDANCE 2021E NET (LOSS) INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS ($0.06) - $0.05 Deprecia