Cto Realty Growth, Inc. · NYSE:CTO
Cto Realty Growth — Consolidated Tomoka Land — FY2014 Earnings Presentation
54 slides from Cto Realty Growth's earnings presentation, Feb 27, 2015
Slide 1: Year End 2014 Investor Presentation
i : : ‘ CONSOLIDATED @e TOMOKA Year End 2014 Investor Presentation Published: February 27, 2015
Slide 2: Forward-looking statements
If we refer to “we,” “us,” “our,” or “the Company,” we mean Consolidated-Tomoka Land Co. and its consolidated subsidiaries. This presentation may include certain statements that are not descriptions of historical facts, but are forward-looking statements. Forward-looking statements can be identified
Slide 3: Who is CTO?
GIO Highlights Portfolio Daytona Who is CTO? ™ Consolidated-Tomoka Land Co. is a real estate operating company founded over 100 years ago and public since 1969 @ CTO is primarily focused on transitioning from land assets into income-producing assets Lond > Income CONSOLIDATED \ TOMOKA
Slide 4: A Snapshot
Ele A Snapshot As of December 31, 2014 unless otherwise noted (Sin millions except share data) CTO: 2014 Share Performance “ 54.00% CTO: Stock Price (as of February 26, 2015) $58.91 RMZ Index: 2014 Index Performance 30.45% Equity Market Capitalization Gs of Febmary 26, 2015) $346.5 Total Debt $103.9
Slide 5: A Snapshot
CTO A Snapshot As of December 31, 2014 Land & 10,500+ acres (All in City of Daytona Beach, FL) Subsurface 490,000+ acres Subsurface Rights (2 operating wells with royalty income) 36 Single-Tenant Income Properties (primarily triple-net), 10 States 7 Multi-Tenant Income Properties, Florida 1.2 millio
Slide 6: Why Invest?
CT®@ Highlights Portfolio Daytona Why Invest¢ Increase Income Credits & Markets Converting Land to Income Florida Real Estate Recovery Share Repurchase Shareholder Friendly oon. Unlocking Shareholder Value ‘
Slide 7: Why Consider being a REIT?
GIO Highlights Portfolio Daytona Why Consider being a REIT? @ Tax Efficient Structure @ Potential Land Sales Converted into Income Properties will Increase Taxable Income @ Benefits from Large Dedicated REIT Investors, REIT Index Investors, ETFs, etc. ™ Company’s Deferred Tax Liability for 1031 Exch
Slide 8: Effecting Change
CTO Effecting Change iintasts years ® Doing More with Less: Corporate Actions -Reduced headcount 18% while increasing assets by 62% -Replaced secured line of credit with larger unsecured line of credit with lower interest rate —New management team (CEO, CFO, General Counsel, SVP Investments) @ Monet
Slide 9: Recent Stock Performance
Highlights Portfolio Daytona Recent Stock Performance — a Conard _— Land Contract Acquired Kerogen 4" Year with Minto Winter Park $60 Closed Oil Lease Payment $55 Acquired : H vk 2 Loans H : an $153mm : H Acquired Lowe's i : Foreclosed Closed (Katy, TX) H 4 S45 on Land Sale $14.Jmm i ; Pay-off 2014
Slide 10: By the Numbers
By the Numbers Annual Results for 2011 — 2014 SL. $40,000 Total Revenues ($000’s) SS5220 $1.20 Earnings Per Share $1.00 $35,000 5680 $0.64 $30,000 <isb $25,000 $0.40 $0.10 $16,233 $20,000 zs $0.20 —e S- $15,000 $(0.20) $10,000 $(0.40) $5,000 $(0.60) s $(0.80) 2011 2012 2013 2014 $(1.00) 2011 2012 20
Slide 11: Balance Sheet
Highlights Portfolio Daytona Balance Sheet as of December 31, 2014 ($ in 000’s) ASSETS Property, Plant, and Equipment: ic ji ioe Sa oe P i317 Basis in Subsurface Interests Golf Buildings, Improvements, and Equipment 3323 $0 per acre Income Properties Land Buildings, and Improvements 193,978 Other Fu
Slide 12: Focus on Income Investments
Highlights Focus on Income Investments Annual Results for 2011 — 2014 ($ in millions ) $50.0 $73.4 $70.0 $60.0 $50.0 $42.2 $40.0 $31.2 $30.0 $20.0 $10.0 $- $- INCOME PROPERTY COMMERCIAL LOAN AGGREGATE INVESTMENTS INVESTMENTS INVESTMENTS 2011 © 2012 m2013 © 2014 CONSOLIDATED
Slide 13: Income Investments — 2014
EO) Highlights Portfolio Daytona Income Investments — 2014 — LOWE'S. H Acquisitions ‘e — 2single-tenant income properties (Katy, TX & Daytona Beach, FL) FOODS, — 2 multi-tenant income properties (Sarasota, FL & Winter Park, FL) — $42.2mm aggregate purchase price — Weighted average remaining lease te
Slide 14: Income Producing Investments
Highlights Income Producing Investments as of December 31, 2014 wg Geographic exposure EY Florida 51% North Carolina 10% Georgia 10% California 1% Houston, Texas ™ Seattle, Washington 4% ® Location of Loan Investments esike Nea 4% V Betis oE Taconne Pees Meee Boulder, Colorado 3% ye CTO Headquartere
Slide 15: Top Tenants by Rent
CIO Highlighise! = Portfolio Top Tenants by Rent As of December 31, 2014 S&P Credit #of Retailer Type Rating Stores Retailer Type CVS « DRUGsToRE NR 8 9.3% = 18.0% bab] DRUG STORE B 1 15% = 4.0% Walzreens DRUG STORE 4 53% 11.0% |DICK’S| SPORTING GOODS NR 143% = 4.0% Lowe's | HOME IMPROVEMENT A = 2 -
Slide 16: Geographic Diversity
Geographic Diversity % based on rent as of December 31, 2014 co MD IL AZ 3%, 3% 1% 40
Slide 17: 2014 Acquisition: Whole Foods Market Centre
2014 Acquisition M® Whole Foods Market Centre — Sarasota, FL — $19.1mm Investment, 7.1 years remaining (weighted average) — 3-mi Pop. 64,952; 3-mi Average HHI $68,690 59,000 square feet of total retail space 36,000 square feet free-standing Whole Foods Market * BBB- Credit * 61% of total Sq Ft * 10
Slide 18: 2014 Acquisition: Lowes, Katy TX
Portfolio 2014 Acquisition M@ Lowes — Katy, TX — $14.7mm Investment, 12.8 years remaining — A- Credit — 3-mi Pop. 98,864; 3-mi Average HHI $96,622 Cr | Core Investment
Slide 19: 2014 Acquisition: American Signature Furniture
Portfolio 2014 Acquisition @ American Signature Furniture — Daytona Beach, FL — $5.3mm Investment, 5.6 years remaining — 3-mi Pop. 33,524; 3-mi Median HHI $38,696 =< SJ AMERICAN SIGNATUR' FURNITURE BU oxsoupateD — CQpportunistic Investment
Slide 20: 2014 Acquisition: Winter Park Palms
2014 Acquisition M Winter Park Palms, Winter Park, FL — $3.1mm Investment, 112,292 SF ($27.61 PSF) — 3-Mile Pop. 89,517, 3-Mile Avg HH Income $65,407 * Utilized 1031 Proceeds from Land Transaction ww + 4 New Residential Developments (254 New Homes) Surrounding the Property $ UGY,00Z‘2_ PEON. usuelg
Slide 21: Improving Income Portfolio Demos
Portfolio Improving Income Portfolio Demos Portfolio average as of December 31, 2014 $76,126 $80.529 $66,662 $90,000 $72,350 $70,000 $58,521 $80,000 $60,000 = $70,000 $51,230 . $42,997 $60,000 $50,000 7 $50,000 $40,000 $40,000 $30,000 $30,000 ; $20,000 $20,000 $10,000 $10,000 so $0 2011 2012 2013 20
Slide 22: Improving Income Portfolio Demos
Portfolio Improving Income Portfolio Demos Non-Power Center Average3 mile Population (in 000’s) 120 119 111 Pree AKR VNO RT KIM ROIC WRI $93 Non-Power Center Median 3 mile Household Income (in $000’s) $76 $16 sn $11 $70 $66 $65 $62 on $61 $55 FRT AKR REG ROIC VNO KIM cTo EQY WRI BRX RPAI DDR Strip S
Slide 23: Distribution Facility land transaction
LAND Highlights —, Distribution Facility TRANSACTION -— Daytona Beach, FL CLOSED — AUGUST 15, 2014 Gross Sales Price: $7.8mm o 3) At | 76 Acres along I-95 and Dunn Avenue 630,000+ SF distribution facility Estimated total capital investment by buyer approximately $80mm Creation of estimated 400 - 500
Slide 24: Land Sale
Highlights ——-s Land Sale. LAND TRANSACTION -— Daytona Beach, FL CLOSED — OCTOBER 30, 2014 Gross Land Sales Price: $625,000 Sale of Mitigation Credits: $389,000 Total Proceeds: $1.01 million ® Approx. 21 Acres east of Williamson Blvd ® Potential expansion/relocation of office space for local busines
Slide 25: Potential Land Sale — Minto Communities
Highlights Potential Land Sale — Minto Communities @ Approximately 1,600 Acre Parcel @ Age Restricted Planned Community ® Across from LPGA International H Overview of Project ® >3,000 single-family homes y Z GaSenICONTaAee ™ Golf-cart friendly lifestyle ® Paired villa residences ™ Enhanced green spa
Slide 26: Self-Developed Properties
Highlights Self-Developed Properties @ Five multi-tenant properties in Daytona Beach, FL (rota sqFt Approximately 84,000) ™ Concierge Office: 1 property; approx. 22,000 square feet; 100% leased Two Story Office @ Mason Commerce Center: 2 properties; approx. 31,000 square feet; 94% leased One Story F
Slide 27: Commercial Loan Investments
CKO milelaliielalss Portfolio Daytona Commercial Loan Investments As of December 31, 2014 (unless otherwise noted) Date of Investment Loan Type ¥ Asset Location Loan Balance “ Maturity Date Jamary 2014 Mezzanine Hotel Atlanta, GA $5,000,000 12.00% February 2019 May 2014 B-Note Retail Shopping Center
Slide 28: Golf Operations
Highlights Golf Operations $5,075 $4,661 $4,506 $5,000 sis OFERATING LPGA INTERNATIONAL RESULTS DAYTONA BEACH 3000 ($000’s) : ——, ) $2,000 i , 1 BAR & GRILL < , $(412) (1,000) S(888) na COD EEE ——————_ EE $(2,000) 2011 2012 2013 2014 ®REVENUE = ® INCOME (LOSS) 00 355 HEELS € © UR SIE ae 307 300 253
Slide 29: Subsurface Interests
Highlights Subsurface Interests =u Lease with Kerogen Florida Energy Co. wetter i - Amended 8-year oil exploration lease EXPLORATION LLC * Sept 2014 $600k payment - drilling requirements * Sept 2014 $1.9mm payment — 4" year rent payment ¢ Leased acres total 42,000 in Hendry County, FL « Renewable ea
Slide 30: Subsurface Interests
oe Highlights Portfolio Daytona | Subsurface Interests (= Approximately 95% of total subsurface acres in Remaining 5% of total subsurface acres Counties with active or historic oil/gas production (1) Ps BREITBURN ~ v Average success rate for wells drilled in Florida between 1995-2008 was 77% EXPLORA
Slide 31: Other Sources of Revenue and Cash
Highlights Other Sources of Revenue and Cash \ Agriculture (Outsourced) - Approximately 4,000 acres in hay and hunting leases - Approximately 6,300 acres in timber production - 2014: $278k in revenue (vs. $276k in 2013) Billboards — Leased by Lamar Outdoor & CBS Outdoor - 21 Billboards: 18 on I-95 -
Slide 32: Segment Income
Highlights segment Income* (Sin millions) 2014 $ Income Properties 13.02 Commercial Loan Investments 219 Real Estate Operations “ 8.63 Golf Operations (0.41) Agriculture and Other Income 0.09 Total Segment Income 2352 Total Segment Income Growth 54.6% (1) Acres Sold 99.7 *Revenues less direct cost o
Slide 33: Debt Summary
Debt Summary As of December 31, 2014 Liquidity Position Debt to Market Cap (excluding restricted cash) (exchuding restricted cash) $ in 000’s 30.09 shied 24.1% $50,000 ° 23.6% 25.0% $40,000 20.0% $30,000 15.0% $20,000 $31,460 10.0% $10,000 5.0% s 0.0% ® Available Credit Capacity ® Total Debv/Total M
Slide 34: CTO Advantage
Portfolio Daytona ( TO Adva ntage Source: CTO estinates and publicly avaiable documents All information as of December, 2014: CTO information as of December 31, 2014 Implied Cap Rate Dividend Yield peg Top Three Tenants Credit Rating eee frstinnoal Cvs @ NR SON ee. NA NA NA Walgreens BBB 92 24% Lowe
Slide 35: Guidance
20 Ee 15 Guidance Earnings per share (on afilly dituted basis) Acquisition of Income-Producing Assets Target Investment Yields Disposition of Non-Core Income Properties Target Disposition Yields Land Transactions (ales value) Leverage Target (as % of Total Enterprise Value) $2.80 - $3.10 per share $
Slide 36: Where does the Stock Market Value our Land?
GIO Highlights Portfolio Daytona Where does the Stock Market Value our Land? Trading Value of Land Shares 5,881,660 Share Price (2s of February 26, 2015) $58.91 Market Capitalization (as of February 26, 2015) $346,488,591 Long-Term Debt $103,940,011 Deferred Income Taxes (Net) $34,038,442 Other Liab
Slide 37: Historical Land Revenue
GIO Highlights Portfolio Daytona Historical Land Revenue Annual Land Revenue for 2005 — 2014 (Land Revenue in $000’s) $40,000 $36,205 $35,000 $30,000 23,095 $25,000 : $20,703 $20,000 $15,000 $8,794 $10,000 g $2,502 $2,990 $5,000 $618 $0 —_ —_ ST 2005 2006 2007 200 2010 2011 2012 2013 2014 Average Pr
Slide 38: Recent land sales map
CTO Highlights Portfolio Daytona Intracoastal CONSOLIDATED \ TOMOKA Sold 20.96 acres $30k/ac |October 2014 Sold 75.60 acres $103k/ac |August 2014 Sold 3.06 acres © ae $128k/ac | February 2014 : Sold 2.02 acres ee $317k/ac | December 2013 Sold 3.41 acres $382k/ac | December 2013 Sold 6.23 acres $168.
Slide 39: Harvesting Value: Potential Land Transactions
EO) Highlights Portfolio Daytona Harvesting Value: Potential Land Transactions WEST OFI-95 Total Acres West of I-95 Potential Transaction 1 Approx. 8,200 acres Buyer: Minto Communities Approx. 1,600 acres Potential Transaction 2 Approx. 15 - 20 acres EAST OF 1-95 Potential Transaction 3 Approx. 12 -
Slide 40: Shareholder Friendly
Sh cr Highlights areholder Friendly Share buy back: 25,836 shares in Q1 ‘14 for $928k (avg price $35.92/share) Board of Directors reduced to 7 in 2014 from 11 in 2011 Increased dividend since 2011 — from $0.04 to $0.07 per share (annualized) Annual election of board (eliminated staggered elections)
Slide 41: Housing Rebound
Cre Highlights Pomolons Daytona Housing Rebound Annual Permits Issued for 5068 Deltona-Daytona Beach-Ormond Beach Area Annual Data for 2004 — 2014 5000 Number of Permits g 8 8 1000 2008 2009 2010 2011 2012 2013 2014 Fiscal Year 2004 2005 2006 2007 Source: US Census Bureau Single Family Homes on the
Slide 42: Daytona: Home of NASCAR
Daytona Home of NASCAR KOUSC JIMTERNATIONAL SPEEDWAY CORPORATION” DAYTONA RISING = $400mm renovation of Daytona International y Speedway creating — 1,200 direct jobs z ae — 101,000 seating capacity and 53 suites — Projected completion date: January 2016 Ch
Slide 43: Large Commercial Development
Large Commercial Development Nt DAYTONA @ Approved for a 180-acre development including : entertainment, restaurants, retail, © hotel and residential uses ® Several hundred million dollars invested locally @ Anchored by Bass Pro Shops & Cobb Theatres @ Marriott branded hotel announced @ City and Cou
Slide 44: World-Class University
World-Class University EMBRY-RIDDLE Aeronautical University 5 ef F5 4 #1 aeronautical university in the world @ $39mm, 140k SF College of Arts & Sciences building; 220k SF Student Center ™@ Research Park East and West on 77 acres at Daytona International Airport — 50k SF lab space & Diamond Aviation
Slide 45: Expanding Air Travel Access
Expanding Air Travel Access — jetBlue © NY = AIRWAYS a Daytona se inteonational Airport DAYTONA BEACH INTERNATIONAL EACH DAILY NON-STOP FLIGHTS TO JFK BEGINNINGFEBRUARY 2016 @ February 2015 JetBlue announced daily non-stop service to JFK starting Jan 2016 @ Volusia County to complete significant upg
Slide 46: Top Institutional Shareholders
CTO Top Institutional Shareholders Shareholder Shares % WIN bd ren Wintergreen Advisers LLC 1,543,075 26.30 BLACKROCK _ BlackRock Institutional 364,208 6.21 Andalusian Capital Parmers,.P | Andalusian Capital Partners, LP 189,422 301 Ss WTUSCEE §=Dimensional Fund Advisors, Inc. 177,070 3.02 Vanguard’
Slide 47: Experienced Team
CTO Experienced Team John P. Albright President and CEO Mark E. Patten Senior Vice President and CFO Daniel E. Smith Senior Vice President — General Counsel and Corporate Secretary Steven R. Greathouse Senior Vice President — Investments Teresa J. Thornton-Hill Vice President - Corporate Counsel Jef
Slide 48: Board of Directors
Ere Board of Directors John P. Albright John J. Allen Jeffry B. Fuqua William L. Olivari Howard C. Serkin A. Chester Skinner, IIT Thomas P. Warlow, III Cr President & Chief Executive Officer of the Company President of Allen Land Group, Inc. Chairman of the Board of the Company and President of Amic
Slide 49: Contact Us
C Highlights Portfolio Daytona Contact Us Consolidated-Tomoka Land Co. 1530 Cornerstone Boulevard Daytona Beach, FL 32117 main: 386.274.2202 fax: 386.274.1223 email: info@ctlc.com web: www.ctlc.com NYSE MKT: CTO For additional information, please see our most recent Annual Report on Form 10-K, copie
Slide 50: Appendix
Appendix
Slide 51: Well-Positioned Land
Well-Positioned Land 3 ieee ag Atlantic Ocean
Slide 52: Automall Expansion
AUTOMALL SREXPANSION
Slide 53: Florida Hospital
FLORIDA HOSPITAL a rary
Slide 54: Well-Positioned Land
Well-Positioned Land UPTO 200t/ACRES UPTO” 80+ ACRES UPTO 80+ ACRES
Consolidated Tomoka Land — FY2014 Earnings Presentation on 6ix