American Strategic Investment Co. · NYSE:NYC
American Strategic Investment — New York City REIT — Q3 2020 Earnings Presentation
28 slides from American Strategic Investment's earnings presentation, Nov 12, 2020
Slide 1: New York City REIT Third Quarter Investor Presentation
0 NEW YORK CITY REIT Third Quarter Investor Presentation 123 William Street - New York, NY
Slide 2: Third Quarter Highlights
1 Third Quarter Highlights High Quality New York City Focused Portfolio x $860 million portfolio of eight high - quality office and retail condominium assets located primarily in Manhattan x High portfolio Occupancy (1) of 89% with a weighted average Remaining Lease Term (1) of 7.5 years x NYC’s top
Slide 3: Best-in-Class Portfolio
2 Best - in - Class Portfolio Metric ($ and SF in mm) Q3’20 Real Estate Investments, at Cost $860.2 Number of Properties 8 Total Square Feet 1.2 Annualized Straight - line Rent $61.7 Occupancy 88.6% Weighted Average Lease Term Remaining 7.5 1) See Definitions in the appendix for a full description.
Slide 4: Leading New York City Market Position
3 Leading New York City Market Position NYC is the leading “pure - play” publicly traded REIT focused on New York City real estate Total Portfolio SF (mm) (1) 3 New York City Office and Retail Exposure (2) New York City Office Exposure (2) Other Exposure Observatory Source: Company filings. Note: Co
Slide 5: Well-Positioned Portfolio Compared to Peers
4 68% 63% 55% 52% 51% NYC VNO ESRT SLG PGRE Well - Positioned Portfolio Compared to Peers 4 Sources: Company filings; U.S. Bureau of Labor Statistics as of October 2, 2020. Note: Company and peer metrics as of Septemb er 30, 2020 unless otherwise indicated. 1) CAGR from Q4'14 to Q3’20. NYC based on
Slide 6: Growth of Manhattan Rent and Leasing Activity Since 2010
5 $48 $53 $59 $63 $67 $72 $73 $73 $73 $80 24.2 27.9 22.3 24.9 29.9 28.1 22.9 28.4 32.4 31.6 5 10 15 20 25 30 35 35 40 45 50 55 60 65 70 75 80 85 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Growth of Manhattan Rent and Leasing Activity Since 2010 Manhattan Asking Rent ($ / SF) SF Leased (in mil
Slide 7: Resiliency of the New York City Market
6 Resiliency of the New York City Market 6 A dedicated strategy towards New York City real estate crafted with market expertise, provides an opportunity to capitalize on the positive traits that differentiates New York City x New York City’s workforce output nearly $1.8 trillion of GDP in 2019, outp
Slide 8: Scalable Operating Platform
7 7 Q4'14 Q4'15 Q4'16 Q4'17 Q4'18 Q4'19 Q3'20 421 W. 54th Street 400 E. 67th Street 200 Riverside Blvd. 9 Times Square 123 William Street 1140 Avenue of the Americas 8713 Fifth Avenue 196 Orchard Street Scalable Operating Platform Management remains focused on executing the Company’s acquisition and
Slide 9: Third Quarter Cash Rent Collection
8 85% 8% 6% 1% Q3'20 Cash Rent Paid Approved Agreement Agreement Negotiation Other Significant Third Quarter Cash Rent Collection Third Quarter Cash Rent Status July August September Total Portfolio _ Q3'20 Cash Rent Collected 85% 84% 85% 85% _ Approved Agreement (2) 9% 7% 7% 8% _ Agreement Negotiat
Slide 10: Conservative Capital Structure
9 Conservative Capital Structure ▪ Well - Positioned for Future Growth: The Company’s capital structure and recent listing positions the Company to take advantage of attractive acquisition opportunities and acquire assets at potentially discounted prices ▪ Higher Growth Leads to Higher Multiples: Pu
Slide 11: Real Estate Portfolio Highlights
10 10 Real Estate Portfolio Highlights
Slide 12: Detailed Property Summary
11 11 Detailed Property Summary Note: Data as of September 30, 2020. 1) Company is currently undergoing negotiations to sell asset. Portfolio Real Estate Assets, at cost ($ mm) Occupancy Remaining Lease Term (in years) % of Annualized Straight - Line Rent % of Portfolio Square Feet 123 William Stree
Slide 13: Top 10 Tenant Investment Grade Profile
12 12 Note: Data as of September 30, 2020 unless otherwise noted. 1) Weighted based on annualized straight - line rent as of September 30, 2020. 2) Ratings information as of November 1, 2020. Weighted based on annualized straight - line rent. NYC’s top 10 tenants are 56% actual Investment Grade (“IG
Slide 14: Case Study: 9 Times Square
13 13 56% 52% 52% 64% 84% 90% 81% 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 30% 40% 50% 60% 70% 80% 90% Q4'14 Q4'15 Q4'16 Q4'17 Q4'18 Q4'19 Q3'20 Occupancy Weighted Average Remaining Lease Term Case Study: 9 Times Square Substantial Lease - Up of 9 Times Square years Since Q4'14, Annualized Straight -
Slide 15: Case Study: City National Bank
14 14 Case Study: City National Bank x In July, NYC executed an attractive, early 10 year lease extension with City National Bank (“CNB”), one of the Company’s anchor tenants located at 1140 Avenue of the Americas – In 2015, City National Bank was acquired by the Royal Bank of Canada, a leading glob
Slide 16: Financial Highlights
th YC Financial Highlights
Slide 17: Capital Structure and Q3'20 Results
16 16 Capital Structure and Q3'20 Results 1) See Definitions in the appendix for a full description. 2) See appendix for Non - GAAP reconciliations. NYC maintains a conservative balance sheet with Net Leverage of 36% and no debt maturities within the next 3 years Capital Structure x NYC maintains a
Slide 18: Management and Board of Directors
17 17 Management and Board of Directors
Slide 19: Experienced Management Team
18 18 Experienced Management Team Michael Weil Chief Executive Officer, President and Chairman of the Board of Directors ▪ Founding partner of AR Global ▪ Formerly, Mr. Weil served as Executive Vice President of AR Capital, where he supervised the origination of investment opport uni ties for all AR
Slide 20: Board of Directors
19 19 Board of Directors Michael Weil | Director and Executive Chairman ▪ Founding partner of AR Global ▪ Formerly, Mr. Weil served as Executive Vice President of AR Capital, where he supervised the origination of investment opportunities for all AR Capital - sponsored investment programs ▪ Prior to
Slide 21: Appendix
20 20 Appendix
Slide 22: Definitions
21 21 Definitions Annualized Straight - Line Rent : Straight - line rent which is annualized and calculated using most recent available lease terms as of the period end indicated . Approved Agreement : Represents Deferral Agreements as well as amendments granting the tenant a rent credit for some po
Slide 23: Definitions
22 22 Definitions Investment Grade : As used herein, investment grade includes both actual investment grade ratings of the tenant or guarantor, if available, or implied investment grade . Implied investment grade may include actual ratings of tenant parent, guarantor parent (regardless of whether or
Slide 24: Reconciliation of Non-GAAP Metrics: Cash NOI
23 23 Reconciliation of Non - GAAP Metrics: Cash NOI (in thousands) Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Net Loss (in accordance with GAAP) $ (12,288) $ (4,809) Other income (19) (221) General & Administrative 1,234 1,176 Asset and property management fees to r
Slide 25: Reconciliation of Non-GAAP Metric: FFO
24 24 Reconciliation of Non - GAAP Metric: FFO (in thousands) Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Net Loss (in accordance with GAAP) $ (12,288) $ (4,809) Depreciation and amortization 8,639 7, 804 FFO (As defined by NAREIT) $ (3,649) $ 2,995 Listing fees 1,299
Slide 26: Legal Notices
25 25 Legal Notices
Slide 27: Important Information
26 26 Important Information References in this presentation to the “Company,” “we,” “us” and “our” refer to New York City REIT, Inc. (“NYC”) and its cons oli dated subsidiaries. This presentation contains estimates and information concerning the Company’s industry and the Company’s peer companies th
Slide 28: Forward Looking Statements
27 27 Forward Looking Statements Certain statements made in this presentation are “forward - looking statements” (as defined in Section 21E of the Exchange Act), w hich reflect the expectations of the Company regarding future events. You can identify forward - looking statements by the use of forwar