Creative Media · NASDAQ:CMCT
Creative Media — CIM Commercial Trust — IPO Roadshow (June 2017)
23 slides from Creative Media's IPO roadshow presentation, Jun 1, 2017
Slide 1: Important Disclosures: Forward-Looking Statements
IMPORTANT DISCLOSURES FORWARD-LOOKING STATEMENTS The information set forth herein contains "forward-looking statements." You can identify these statements by the fact that they do not relate strictly to historical or current facts or they discuss the business and affairs of CIM Commercial Trust Corp
Slide 2: CIM Commercial Trust (NASDAQ: CMCT)
Cim Commercial Trust CIM COMMERCIAL (NASDAQ: CMCT) Portfolio Primarily Class A and creative urban office REIT with NAV and cash flow per share upside Share Price / Market Cap1 $16.10 / $1.4 billion NAV per Share / NAV2 $23.14 / $1.9 billion CIM Group Manager of CMCT Focused on consistently growing N
Slide 3: CMCT - Investment thesis
CMCT - Investment thesis Resources & Expertise of Premier Institutional Manager Coastal Urban Class A and Creative Office Investments Same Store Growth Opportunity Prudent Capital Structure Large scale platform with vertically-integrated team Proprietary “Qualified Community” methodology Disciplined
Slide 4: CIM Group - Resources & Expertise of Premier Institutional Manager
Strategies Stabilized Equity Value-Add Equity Opportunistic Equity Debt Infrastructure CIM Group - Resources & Expertise of Premier Institutional Manager Established Established in 1994 as a partner for investors seeking to capitalize on U.S. urbanization Office Locations Headquartered in Los Angele
Slide 5: CIM Group - Seasoned, Vertically-Integrated Team
CIM Group - Resources & Expertise of Premier Institutional Manager Seasoned, Vertically-Integrated Team Full-service investment manager Research, investment, acquisition and finance Development, leasing and asset management “Qualified Community” Methodology Sector-agnostic focus Market values that a
Slide 6: CMCT - Coastal Urban Class A and Creative Office Portfolio
Cmct - Coastal Urban Class A and Creative Office Portfolio 7 Segment NOI by Real Estate Segment, 1Q’173,5 CMCT Office CMCT Multifamily CMCT Hotels As of March 31, 20171 CMCT has entered into contracts to sell three office buildings in Charlotte, Sacramento (includes a parking garage) and Los Angeles
Slide 7: CMCT - Same store growth opportunity
Cmct - Same store growth opportunity Targeting Same Store Office NOI1 CAGR of 5% - 7% Through 2021 8 Additional 1%-2% CAGR potential from development on already owned sites. 2021 Mark-to-market + Rent increase Lease-up + Rent increase 2016 Office NOI Reflects cash and segment NOI and excludes 211 Ma
Slide 8: CMCT - Net asset value and cash flow per share & liquidity
Cmct - net asset value AND cash flow per share & liquidity 9 Class A & Creative Office Superior office investments in vibrant and improving urban communities Strong embedded growth through mark-to-market and lease-up Targeting same store office NOI CAGR of 5% - 7% through 20211 Creative Capital Mark
Slide 9: CMCT - Highly focused on value creation
Cmct - Highly focused on value creation 2005 CIM Group formed CIM Urban REIT, LLC (“CIM REIT”) with 24 private institutional investors 2005 - 2014 2015 2014 CIM REIT completed its merger with PMC Commercial Trust (“PMC”), a publicly- traded mortgage REIT 10 2015 Generated ~$110 million in net procee
Slide 10: CMCT - Highly focused on value creation
CMCT - HIGHLY FOCUSED ON VALUE CREATION 2005 April 2017 CIM Group formed CIM Urban REIT, LLC June 2016 (CIM REIT") with 24 private institutional $210 million tender offer for investors CMCT common stock (10 million shares @ $21 share) Septerbes 2010 Paid $0.28 per share special cash dividend to comm
Slide 11: CIM Group - Richard Ressler
CIM Group - Resources & Expertise of Premier Institutional Manager Richard Ressler CIM Group Principal, CMCT Chairman of the Board Founder and President of Orchard Capital Corp., a firm that provides consulting and advisory services to companies in which Orchard Capital or its affiliates invest Co-f
Slide 12: CIM Group - David Thompson and Terry Wachsner
CIM Group- Resources & Expertise of Premier Institutional Manager David Thompson CMCT Chief Financial Officer, CIM Group Principal Prior to joining CIM Group in 2009, spent 15 years with Hilton Hotels Corporation, most recently as Senior Vice President and Controller responsible for worldwide financ
Slide 13: CMCT - Coastal Urban Class A and Creative Office Portfolio
CMCT - Coastal Urban Class A and Creative Office Portfolio 14 As of March 31, 2017 Under contract for sale. Sold in May 2017. 3601 South Congress Avenue and Lindblade Media Center are each shown as one property but consist of 10 and 3 buildings, respectively. Property Market Square Footage Multi-fam
Slide 14: CIM Group - Qualified Community Methodology
CIM GROUP - QUALIFIED COMMUNITY METHODOLOGY 15 Qualification Criteria Transitional Urban Districts Positive demographic trends Public support for investment Opportunities below intrinsic value Potential to invest a minimum of $100 million of opportunistic equity within five years Thriving Urban Area
Slide 15: CIM Group - Qualified Communities
CIM GROUP - QUALIFIED COMMUNITIES 16 Areas with Investment(s) Areas Approved for Investment(s) CIM Headquarters Investment Office CMCT Investments CMCT Office Portfolio Concentrations
Slide 16: CMCT - Net asset value
CMCT - Net asset value 17 The determination of estimated NAV involves a number of subjective assumptions, estimates and judgments that may not be accurate or complete. Further, different firms using different property-specific, general real estate, capital markets, economic and other assumptions, es
Slide 17: CMCT - Consolidated Statements of Operations
CMCT - CONSOLIDATED STATEMENTS OF OPERATIONS 18 EPS for the year-to-date period may differ from the sum of quarterly EPS amounts due to the required method of computing EPS in the respective periods. In addition, EPS is calculated independently for each component and may not be additive due to round
Slide 18: CMCT - Funds from operations
CMCT - funds from operations 19 We believe that FFO is a widely recognized and appropriate measure of the performance of a REIT and that it is frequently used by security analysts, investors and other interested parties in the evaluation of REITs, many of which present FFO when reporting their resul
Slide 19: CMCT - Consolidated Balance Sheets
CMCT - CONSOLIDATED BALANCE SHEETS 20 March 31, 2017 December 31, 2016 (in thousands) (Unaudited) ASSETS Investments in real estate, net $ 1,505,492 $ 1,606,942 Cash and cash equivalents 404,346 144,449 Restricted cash 27,775 32,160 Accounts receivable, net 12,828 13,086 Deferred rent receivable and
Slide 20: CMCT - Debt summary
CMCT - Debt summary1 21 Excludes $26.3 million of secured borrowings-government guaranteed loans, which represent sold loans which are treated as secured borrowings because the loan sales did not meet the derecognition criteria provided for in ASC 860-30, Secured Borrowing and Collateral. Excludes p
Slide 21: Net Operating Income Reconciliation
Net operating income Reconciliation 22 CIM Commercial internally evaluates the operating performance and financial results of its segments based on segment net operating income, which is defined as rental and other property income and expense reimbursements less property related expenses, and exclud
Slide 22: Important Disclosures: Assets and Equity Under Management
Important Disclosures Assets and Equity Under Management Assets Under Management (“AUM”), or Gross AUM, represents (i)(a) for real assets, the aggregate total gross assets (“GAV”) at fair value, including the shares of such assets owned by joint venture partners and co-investments, of all of CIM’s a
Slide 23: Important Disclosures: Assets and Equity Under Management
IMPORTANT DISCLOSURES C MCT ‘Assets and Equly Under Management ‘Asses Under Management ("ALM"). of Gross AUM. represents [a] for real asses. the aggregate total gros sets ("AV") ot far vale. Including the shares of such ossets ‘owned by joint venue portners ond co-awesimenis, of oof CIM's advised ac