Alpine Income Property Trust, Inc. · NYSE:PINE
Alpine Income Property Trust — Investor Presentation (April 2023)
30 slides from Alpine Income Property Trust's investor presentation, Apr 20, 2023
Slide 1: April 2023 Investor Presentation
April 2023 INVESTOR PRESENTATION
Slide 2: Company Profile
2 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Company Profile Ticker Symbol (NYSE) PINE Equity Market Capitalization $247M Total Enterprise Value (TEV) $434M TEV Per Square Foot $125 Implied Cap Rate 8.1% Net Debt to TEV1 43% Annualized Dividend Yield 7.0% Common Shares & OP Units Out
Slide 3: Investment Highlights
3 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Investment Highlights Meaningful Valuation Upside with In-Place Yield and Long-Term Growth Accretive Asset Recycling Driving Improving Portfolio Metrics Pure play, 100% retail portfolio growing through accretive asset recycling of predomin
Slide 4: Attractive Entry Point Given Recent Stock Performance
4 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Attractive Entry Point Given Recent Stock Performance As of March 31, 2023, unless otherwise noted. Total Return data provided by Citadel Securities’ “REIT Sectors” report. (16.0%) (12.0%) (8.0%) (4.0%) 0.0% 4.0% 8.0% 12.0% Dec 2022 Jan 20
Slide 5: Accretive Asset Recycling
5 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Accretive Asset Recycling 5.8% 5.5% 5.8% 5.5% 6.5% 6.1% Q3 2020 Q3 2021 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Retail Disposition Cap Rates Retail Properties Sold As of March 31, 2023. PINE has demonstrated a consistent ability to sell retail pro
Slide 6: Opportunity to Invest Below Replacement Cost
6 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Opportunity to Invest Below Replacement Cost Valuation Upside with a High-Quality Portfolio PINE’s total enterprise value (TEV) is $125 per square foot, allowing shareholders to invest below estimated replacement cost in a portfolio rooted
Slide 7: Significant Implied Valuation Upside
7 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Significant Implied Valuation Upside 16.4x 15.7x 15.6x 14.8x 13.8x 13.2x 10.3x 10.3x ADC FCPT NTST O EPRT NNN PINE SRC 2023E FFO Multiple 1 PINE trades at a 5.6x multiple discount to the investment grade-oriented peer group average, implyi
Slide 8: Relative Outsized In-Place Dividend Yield
8 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Relative Outsized In-Place Dividend Yield 1. All dividend yields and payout ratios are based on the closing stock price on April 14, 2023, using current annualized dividends and 2023E FFO per share estimates for the peer net lease companie
Slide 9: Disciplined Investment Strategy Emphasizing Attractive Supply/Demand Market Dynamics
9 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Disciplined Investment Strategy Emphasizing Attractive Supply/Demand Market Dynamics National focus, with an emphasis on major metropolitan statistical areas that exhibit attractive population trends, business-friendly policies and strong
Slide 10: Thoughtful Investment Execution
10 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Thoughtful Investment Execution $47 $75 $99 $117 $139 $220 $275 $377 $442 $486 $523 $564 $564 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 IPO 2021 Q4 2019 Cumulative Investment A
Slide 11: Improving Portfolio Size, Diversity and Quality
11 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Improving Portfolio Size, Diversity and Quality As of March 31, 2023. 1. A credit rated, or investment grade (“IG”) rated tenant (rating of BBB-, Baa3 or NAIC-2 or higher) is a tenant or the parent of a tenant with a credit rating from S&
Slide 12: Major Market Net Lease Portfolio
12 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Major Market Net Lease Portfolio ▪ Geographically diversified portfolio focused on major markets, benefitting from demographic shifts and attractive supply/demand dynamics ▪ 53% of ABR comes from metropolitan statistical areas1 with more
Slide 13: Excellent Portfolio Demographics
13 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Excellent Portfolio Demographics Philadelphia, PA 6% Detroit, MI 6% Houston, TX 5% Atlanta, GA 5% Rochester, NY 5% Canton, OH 3% Chicago, IL 3% Tampa, FL 3% New York, NY 3% Logan, WV 2% Tulsa, OK 2% Dallas, TX 2% Duluth, MN 2% Baltimore,
Slide 14: Excellent Tenant Credit Transparency
14 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Excellent Tenant Credit Transparency Investment Grade 58% Not Rated 18% Non-Investment Grade 24% Sporting Goods 15% Dollar Stores 14% Pharmacy 14% Home Improvement 9% Home Furnishings 8% Grocery 6% Entertainment 5% General Merchandise 5%
Slide 15: Strong and Stable Top Tenant Base
15 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Strong and Stable Top Tenant Base Credit Rating1 BBB 13% BBB 8% BBB 8% BBB+ 6% BBB 6% BB 5% AA 5% N/A 4% CCC+ 4% BBB+ 3% 38% 100% ABR % Other 1% 6% 2% 3% 12% 8% 10% 8% 13% 37% Lease Rollover Schedule % of ABR Expiring 7.3 Years of Weighte
Slide 16: High-Quality Top Tenant Base
16 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com High-Quality Top Tenant Base Disclosed % of Rents from Investment Grade-Rated Tenants1,2 RATED IG 68% 63% 61% 58% 20% 18% As of March 31, 2023, unless otherwise noted. 1. A credit rated, or investment grade (“IG”) rated tenant (rating of
Slide 17: Consistent Dividend Growth
17 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Consistent Dividend Growth Well-Covered Dividend ▪ Current midpoint of 2023 guidance1 implies a 72% 2022E FFO per share dividend payout ratio ▪ Seven dividend raises since the IPO, four increases in the last two years ▪ 37.5% increase in
Slide 18: Research Coverage
18 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Research Coverage Near Unanimous Buy or Outperform rated by Independent Analysts Baird Wes Golladay Outperform $22.00 B. Riley Craig Kucera Buy $23.50 BTIG Mike Gorman Buy $23.00 Colliers Barry Oxford Buy $25.00 EF Hutton Gaurav Mehta Buy
Slide 19: Financial Strength
19 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Financial Strength PINE has a demonstrated access to capital, is focused on maintain reasonable leverage and has completely fixed its attractive cost of debt. Equity Market Capitalization1 $247M Net Debt Outstanding1,2 $187M Total Enterpr
Slide 20: 2023 Guidance
20 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com 2023 Guidance Range Acquisitions $100 million - $150 million $100 million - $150 million — - — Dispositions $25 million - $50 million $75 million - $125 million $50 million - $75 million FFO Per Diluted Share $1.50 - $1.55 $1.50 - $1.55 —
Slide 21: Corporate Responsibility
21 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Corporate Responsibility Alpine Income Property Trust, through its external manager, is committed to sustainability, strong corporate governance, and meaningful corporate social responsibility programs. Committed Focus Committed to mainta
Slide 22: External Management Alignment
22 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com External Management Alignment As of February 9, 2023. Aligned Ownership CTO currently owns an approximate 15% interest in PINE, meaningfully aligning its interests with PINE shareholders Independent Board of Directors PINE has its own ind
Slide 23: Board of Directors
23 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Board of Directors Our Board has a well-balanced mix of perspectives and experiences and maintains relevant policies to ensure shareholder alignment, risk management, corporate oversight and the highest ethical standards. Andrew C. Richar
Slide 24: Key Takeaways
24 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Key Takeaways Significant Discount to Peer Group Meaningful upside opportunity as PINE has one of the lowest 2023E FFO multiples of its net lease peer group. Stable & Growing Dividend PINE has grown its quarterly dividend by 37.5% since t
Slide 25: Disclaimer
25 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Disclaimer This presentation may contain “forward-looking statements.” Forward-looking statements include statements that may be identified by words such as “could,” “may,” “might,” “will,” “likely,” “anticipates,” “intends,” “plans,” “se
Slide 26: Non-GAAP Financial Information
26 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Non-GAAP Financial Information Our reported results are presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”). We also disclose Funds From Operations (“FFO”), Adjusted Funds From Op
Slide 27: Statement of Operations
27 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Statement of Operations Alpine Income Property Trust, Inc. Consolidated Statements of Operations (In thousands, except share, per share and dividend data) (Unaudited) Three Months Ended March 31, 2023 March 31, 2022 Revenues: Lease Income
Slide 28: Non-GAAP Financial Measures Reconciliation
28 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Non-GAAP Financial Measures Reconciliation Three Months Ended March 31, 2023 March 31, 2022 Net Income $ 3,745 $ 924 Depreciation and Amortization 6,335 5,672 Gains on Disposition of Assets (4,453) — Funds from Operations $ 5,627 $ 6,596
Slide 29: Net Debt-to-EBITDA Pro Forma Reconciliation
29 © 2023 Alpine Income Property Trust, Inc. | alpinereit.com Net Debt-to-EBITDA Pro Forma Reconciliation Alpine Income Property Trust, Inc. Non-GAAP Financial Measures Reconciliation of Net Debt to Pro Forma EBITDA (Unaudited) (In thousands) Three Months Ended March 31, 2023 Net Income $ 3,745 Adju
Slide 30: Investor Inquiries
Investor Inquiries: Matthew M. Partridge, Chief Financial Officer, (407) 904-3324, mpartridge@alpinereit.com
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