Cto Realty Growth, Inc. · NYSE:CTO
Cto Realty Growth — Investor Presentation (February 2024)
26 slides from Cto Realty Growth's investor presentation, Feb 22, 2024
Slide 1: February 2024 Investor Presentation
February 2024 Investor Presentation REALTY GROWTH
Slide 2: Positioned for Performance
2 © CTO Realty Growth, Inc. | ctoreit.com Positioned for Performance 1. Based on $16.43 per share common stock price as of February 16, 2024. 8.5% IMPLIED CAP RATE1 8.8% IMPLIED INVESTMENT YIELD1 $375M $497M $0.9B EQUITY MARKET CAP1 OUTSTANDING DEBT ENTERPRISE VALUE (NET OF CASH) SERIES A PREFERRED
Slide 3: Investment Highlights
3 © CTO Realty Growth, Inc. | ctoreit.com Investment Highlights Differentiated Investment Strategy Focusing on Asset Recycling and Value-Add Acquisitions Southeast and Southwest Retail & Mixed-Use Portfolio Large format retail portfolio in strong locations within attractive business-friendly markets
Slide 4: Levers for Future Growth
4 © CTO Realty Growth, Inc. | ctoreit.com Levers for Future Growth CTO’s proactive approach to portfolio and asset management has resulted in the execution of multiple strategic transactions and beneficial initiatives to drive future growth. Disposition of Legacy Assets & Non-core Investments ▪ In D
Slide 5: Attractive Relative Valuation is an Opportunity for Mean Reversion
5 © CTO Realty Growth, Inc. | ctoreit.com Attractive Relative Valuation is an Opportunity for Mean Reversion CTO has an outsized dividend yield and attractive absolute valuation relative to many in its retail-focused peer group and its long-term growth opportunities. Ashford Lane Atlanta, GA 2024E F
Slide 6: NAV Components
6 © CTO Realty Growth, Inc. | ctoreit.com NAV Components $ in millions. Note: 22,808,592 shares outstanding as of February 15, 2024. 1. Calculated using the trailing 24-month average management fee paid to CTO by PINE as of December 31, 2023, annualized by multiplying by twelve, and then multiplying
Slide 7: Investment Strategy
7 © CTO Realty Growth, Inc. | ctoreit.com Investment Strategy CTO has a retail-oriented real estate strategy that focuses on owning, operating and investing in high-quality properties through direct investment and management structures that provide long-term cash flow growth opportunities. Multi-Ten
Slide 8: Durable Portfolio with Meaningful Growth Opportunities
8 © CTO Realty Growth, Inc. | ctoreit.com Durable Portfolio with Meaningful Growth Opportunities Repositioning Upside Essential Retail Stable Cash Flow The Shops at Legacy Plano, TX The Collection at Forsyth Cumming, GA Madison Yards Atlanta, GA The Exchange at Gwinnett Buford, GA The Strand at St.
Slide 9: Building a Leading Retail-Focused Portfolio
9 © CTO Realty Growth, Inc. | ctoreit.com Building a Leading Retail-Focused Portfolio All values are as of year-end for their respective years, unless otherwise noted. 1. 2019 represents the year Alpine income Property Trust, Inc. (PINE) completed it’s IPO with a portfolio contributed from CTO. It a
Slide 10: High-Quality Demographic-Driven Portfolio
10 © CTO Realty Growth, Inc. | ctoreit.com High-Quality Demographic-Driven Portfolio Percentages listed based on Annualized Base Rent for the Company’s portfolio as of December 31, 2023. Any differences a result of rounding. 1. Source: Esri; Portfolio average weighted by the Annualized Base Rent of
Slide 11: Faster Growing Markets
11 © CTO Realty Growth, Inc. | ctoreit.com Faster Growing Markets Ashford Lane Atlanta, GA 75% 65% 56% 21% 9% 9% 5% 4% 2% 0% WSR AAT CTO KRG SITC FRT BRX AKR UE KIM % of Each Company’s Top 5 Markets in ULI’s Top 10 Markets1 The recent assemblage of CTO’s portfolio has allowed it to focus on acquirin
Slide 12: Strong Leasing Execution
12 © CTO Realty Growth, Inc. | ctoreit.com Strong Leasing Execution 1. Recently signed renewals and leases include leases signed in 2023. 2. Excludes newly leased units that were acquired as vacant. Lease Rollover Schedule % of ABR Expiring 5% 8% 14% 12% 23% 7% 6% 5% 20% Recently Signed Leases1 ▪ 20
Slide 13: Consistent Dividend Growth
13 © CTO Realty Growth, Inc. | ctoreit.com Consistent Dividend Growth CTO has been a REIT since 2020 and the company has paid a common dividend each of the last 48 years. 1. Annualized Per Share Cash Dividend Yield based on $16.43 per share common stock price as of February 16, 2024. $0.01 $0.01 $0.
Slide 14: Balance Sheet
14 © CTO Realty Growth, Inc. | ctoreit.com Balance Sheet Exchange at Gwinnett Buford, GA Yonder Yoga $51 $83 $100 $263 2024 2025 2026 2027 2028 2029 2030 Unsecured Secured Revolving Credit Facility 1. Reflects $163 million outstanding under the Company’s $300 million senior unsecured revolving credi
Slide 15: 2024 Guidance
15 © CTO Realty Growth, Inc. | ctoreit.com 2024 Guidance Exchange at Gwinnett Buford, GA Yonder Yoga Low 2024 High 2024 Core FFO Per Diluted Share $1.56 − $1.64 AFFO Per Diluted Share $1.70 − $1.78 The Company’s estimated Core FFO per diluted share and AFFO per diluted share for 2024 is as follows:
Slide 16: Experienced Management Team
16 © CTO Realty Growth, Inc. | ctoreit.com Experienced Management Team Exchange at Gwinnett Buford, GA Yonder Yoga John P. Albright President & Chief Executive Officer ▪ Former Co-Head and Managing Director of Archon Capital, a Goldman Sachs Company; Executive Director of Merchant Banking – Investme
Slide 17: Corporate Responsibility
17 © CTO Realty Growth, Inc. | ctoreit.com Corporate Responsibility Exchange at Gwinnett Buford, GA Yonder Yoga CTO Realty Growth is committed to sustainability, strong corporate governance, and meaningful corporate social responsibility programs. Social Responsibility Inclusive and Supportive Compa
Slide 18: Environmental Responsibility
18 © CTO Realty Growth, Inc. | ctoreit.com Environmental Responsibility Yonder Yoga Over the past ten years, CTO has planted approximately 170,000 pine trees in Florida and has restored over 700 acres of former industrial timberland. These 170,000 trees absorb more than 1,000 tons of carbon each yea
Slide 19: Forward Looking Statements & Non-GAAP Financial Measures
19 © CTO Realty Growth, Inc. | ctoreit.com Forward Looking Statements & Non-GAAP Financial Measures Forward Looking Statements Certain statements contained in this presentation (other than statements of historical fact) are forward-looking statements within the meaning of Section 27A of the Securiti
Slide 20: Non-GAAP Financial Measures (continued)
20 © CTO Realty Growth, Inc. | ctoreit.com Non-GAAP Financial Measures Non-GAAP Financial Measures (continued) To derive Core FFO, we modify the NAREIT computation of FFO to include other adjustments to GAAP net income related to gains and losses recognized on the extinguishment of debt, amortizatio
Slide 21: References
21 © CTO Realty Growth, Inc. | ctoreit.com References References and terms used in this presentation that are in addition to terms defined in the Non-GAAP Financial Measures include: ▪ This presentation was published on February 22, 2024. ▪ All information is as of December 31, 2023, unless otherwis
Slide 22: Consolidated Statements of Operations
22 © CTO Realty Growth, Inc. | ctoreit.com Consolidated Statements of Operations CTO Realty Growth, Inc. Consolidated Statements of Operations (In thousands, except share, per share and dividend data) (Unaudited) Three Months Ended Year Ended December 31, 2023 December 31, 2022 December 31, 2023 Dec
Slide 23: Non-GAAP Financial Measures
23 © CTO Realty Growth, Inc. | ctoreit.com Non-GAAP Financial Measures CTO Realty Growth, Inc. Non-GAAP Financial Measures (Unaudited, in thousands, except per share data) Three Months Ended Year Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net Income (Loss) Attribut
Slide 24: Same-Property NOI
24 © CTO Realty Growth, Inc. | ctoreit.com Same-Property NOI CTO Realty Growth, Inc. Same-Property NOI Reconciliation (Unaudited, in thousands) Three Months Ended Year Ended December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Net Income (Loss) Attributable to the Company $ 7,037
Slide 25: Net Debt to Pro Forma EBITDA
25 © CTO Realty Growth, Inc. | ctoreit.com Net Debt to Pro Forma EBITDA CTO Realty Growth, Inc. Reconciliation of Net Debt to Pro Forma EBITDA (Unaudited, in thousands) Three Months Ended December 31, 2023 Net Income Attributable to the Company $ 7,037 Depreciation and Amortization of Real Estate 11
Slide 26: Investor Inquiries
The Collection at Forsyth Cumming, GA REALTY GROWTH Investor Inquiries: Matthew M. Partridge, Chief Financial Officer, (407) 904-3324, mpartridge@ctoreit.com
CTO Realty Growth — Investor Presentation (February 2024) on 6ix