Saul Centers, Inc. · NYSE:BFS
Saul Centers — Shareholder Meeting (May 2024)
28 slides from Saul Centers's shareholder meeting presentation, May 21, 2024
Slide 1: Annual Presentation to Shareholders 2024
Saul Centers Annual Presentation to Shareholders 2024Exhibit 99.(a)
Slide 2: Forward Looking Statements
Annual Presentation to Shareholders – May 17, 2024 2 Forward Looking Statements Safe Harbor Statement Certain matters discussed within this presentation may be deemed to be forward-looking statements within the meaning of the federal securities laws. For these statements, we claim the protection of
Slide 3: Non-GAAP Measures
Annual Presentation to Shareholders – May 17, 2024 3 Non-GAAP Measures Funds from Operations (“FFO”) The National Association of Real Estate Investment Trusts (Nareit) developed FFO as a relative non-GAAP financial measure of performance of an equity REIT in order to recognize that income-producing
Slide 4: Total Portfolio Composition
Annual Presentation to Shareholders – May 17, 2024 4 74.1% 14.7% 11.2% Shopping Centers Office Apartments Total Portfolio Composition (measured by property operating income) 2023 Shopping Centers – 74.1% Office – 14.7% Apartments – 11.2% 2013 Shopping Centers – 75.6% Office – 21.0% Apartments – 3.4%
Slide 5: Total Portfolio Growth (2004 - 2023)
Annual Presentation to Shareholders – May 17, 2024 5 Total Portfolio Growth (2004 - 2023) P ro p er ty O p er at in g I n co m e (i n m il li o n s) Operating properties: 29 to 57 Leasable area: 5.3 million to 9.8 million square feet Property operating income: 5.1% compound annual growth rate Growth
Slide 6: Portfolio Spotlight: The Waycroft, Arlington, VA
Annual Presentation to Shareholders – May 17, 2024 6 Mixed-Use Development 750 N. Glebe Road Arlington, Virginia Portfolio Spotlight The Waycroft Arlington, VA The year 2023 was the first year with all retail space at The Waycroft leased and operating for the full 12 months. The property’s 491-unit
Slide 7: Shopping Center Pad Sites
Annual Presentation to Shareholders – May 17, 2024 7 Shopping Center Pad Sites ➢ We leverage land available at our existing centers to add pad site buildings ➢ We currently have four pad sites either under lease or under negotiation ➢ Tenants at two new pad sites opened in 2023 ➢ Wendy’s at Beacon C
Slide 8: Shopping Center Core Operations
Annual Presentation to Shareholders – May 17, 2024 8 Shopping Center Core Operations Annual Presentation to Shareholders – May 13, 2022 9 $87,214 $114,723 $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 2013 2023 Shopping Center Property Operating Income from Centers Anchored by Grocer
Slide 9: Shopping Center Leasing Percentage
Annual Presentation to Shareholders – May 17, 2024 9 Shopping Center Leasing Percentage Y ea r- E n d L ea si n g P er ce n ta g e 94.8% 95.4% 96.0% 95.2% 95.1% 95.5% 93.1% 93.4% 94.7% 95.3% 82% 84% 86% 88% 90% 92% 94% 96% 98% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 10 yr. Avg. = 94.9% Ove
Slide 10: Shopping Center Small Shop Leasing Percentage
Annual Presentation to Shareholders – May 17, 2024 10 Shopping Center Small Shop Leasing Percentage (in-line spaces < 10,000 square feet) Y ea r- E n d S m al l S h o p L ea si n g P er ce n ta g e 91.1% 91.2% 90.4% 91.0% 92.1% 90.2% 88.9% 89.6% 91.2% 94.7% 70% 74% 78% 82% 86% 90% 94% 98% 2014 2015
Slide 11: Shopping Center Tenant Renewal Percentage
Annual Presentation to Shareholders – May 17, 2024 11 75.0% 74.0% 76.0% 79.0% 78.0% 76.0% 73.0% 80.5% 82.2% 84.7% 58% 63% 68% 73% 78% 83% 88% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Shopping Center Tenant Renewal Percentage 10 yr. Avg. = 77.8% A v er ag e R en ew al P er ce n ta g e A sign
Slide 12: Shopping Center Operating Income Growth
Annual Presentation to Shareholders – May 17, 2024 12 Shopping Center Operating Income Growth 5.4% 0.4% 3.0% 2.1% -1.1% 1.6% -5.0% 5.7% 0.9% 4.2% -7.0% -5.0% -3.0% -1.0% 1.0% 3.0% 5.0% 7.0% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 After a sharp increase in 2021 following the height of the C
Slide 13: Shopping Center Lease Expirations Schedule
Annual Presentation to Shareholders – May 17, 2024 13 Shopping Center Lease Expirations Schedule $15,002 $23,483 $16,997 $19,140 $21,674 $15,790 $3,641 $6,413 $3,907 $5,036 $12,313 $0 $6,000 $12,000 $18,000 $24,000 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Thereafter A n n u al M in im u m R
Slide 14: Office
Annual Presentation to Shareholders – May 17, 2024 14 Office 601 Pennsylvania Avenue, Washington, DC The office market continues to be challenging as workforce trends, urbanization, and the aftermath of the COVID- 19 pandemic are reshaping tenant preferences and office attendance. 14
Slide 15: Office Leasing Percentage
Annual Presentation to Shareholders – May 17, 2024 15 Office Leasing Percentage Y ea r- E n d L ea si n g P er ce n ta g e 90.8% 91.1% 86.5% 94.5% 93.6% 91.6% 88.4% 82.3% 82.5% 86.0% 62% 66% 70% 74% 78% 82% 86% 90% 94% 98% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 10 yr. Avg. = 88.7% Over th
Slide 16: Portfolio Significant Tenant Concentration
Annual Presentation to Shareholders – May 17, 2024 16 Portfolio Significant Tenant Concentration Tenant Name # of Locations Percentage of Portfolio SF Percentage of Portfolio Revenue Giant Food 11 6.7% 4.9% CVS 10 1.3% 1.9% America’s Health Insurance Plans 1 0.6% 1.6% Capital One 10 0.3% 1.4% Airlin
Slide 17: Apartments
Annual Presentation to Shareholders – May 17, 2024 17 Apartments Hampden House Bethesda, MD Projected Delivery: 2025 Twinbrook Quarter Phase I Rockville, MD Projected Delivery: 2024 The Waycroft Arlington, VA Delivered: 2020 Park Van Ness Washington, DC Delivered: 2016 Lyon Place Arlington, VA Deliv
Slide 18: Apartments Leasing Percentage
Annual Presentation to Shareholders – May 17, 2024 18 98.9% 97.8% 96.7% 96.7% 98.2% 96.3% 94.8% 97.1% 97.2% 98.0% 80% 84% 88% 92% 96% 100% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Apartments Leasing Percentage 10 yr. Avg. = 97.2%(Includes Stabilized Properties Only) Y ea r- E n d L ea si n
Slide 19: Apartments Property Operating Income
Annual Presentation to Shareholders – May 17, 2024 19 Apartments Property Operating Income 3.2% 3.0% 3.1% 5.6% 6.1% 6.3% 6.4% 9.3% 10.4% 11.2% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 (as % of total portfolio property operating income) 244 515 1,006 1,45
Slide 20: Development and Growth
Annual Presentation to Shareholders – May 17, 2024 20 • 2,231 apartment units • 483,000 SF of retail • 431,000 SF of office • 1,600,000 SF of additional mixed-use development Green arrows indicate current development locations Yellow arrow indicates future development location Blue arrows indicate o
Slide 21: Twinbrook Quarter, Rockville, Maryland
Annual Presentation to Shareholders – May 17, 2024 21 Twinbrook Quarter Rockville, Maryland During the past year, we continued construction of the residential and retail portions of Twinbrook Quarter Phase I. The first phase of our 18-acre project in Rockville, Maryland, is located adjacent to the T
Slide 22: Twinbrook Quarter, Rockville, Maryland
Annual Presentation to Shareholders – May 17, 2024 22 Twinbrook Quarter Rockville, Maryland Sitework and ground floor retail façade work continues around all four sides of the building. Apartment unit construction is in process on levels two through 12 and work is in process on the lobbies and inter
Slide 23: Hampden House, Bethesda, Maryland
Annual Presentation to Shareholders – May 17, 2024 23 Rendering of proposed Glebe Road development Mixed-Use Development 750 N. Glebe Road Arlington, Virginia Hampden House Bethesda, Maryland Our Hampden House development is located adjacent to both the forthcoming Maryland Purple Line light rail an
Slide 24: Hampden House, Bethesda, Maryland
Annual Presentation to Shareholders – May 17, 2024 24 Rendering of proposed Glebe Road development Mixed-Use Development 750 N. Glebe Road Arlington, Virginia Hampden House Bethesda, Maryland Above grade construction of the structure is nearing completion and has topped out at the roof level. Exteri
Slide 25: Funds From Operations (FFO) & Dividends
Annual Presentation to Shareholders – May 17, 2024 25 Funds From Operations (FFO) & Dividends $2.80 $2.95 $3.03 $3.18 $3.11 $3.08 $2.88 $3.14 $3.10 $3.17 $1.60 $1.72 $1.92 $2.05 $2.09 $2.12 $2.12 $2.20 $2.34 $2.36 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 2014 2015 2016 2017 2018 2019 2020 202
Slide 26: Debt Structure and Maturities
Annual Presentation to Shareholders – May 17, 2024 26 $50,700 $20,400 $134,100 $0 $17,800 $25,500 $23,700 $0 $90,100 $28,800 $408,000 $0 $75,000 $150,000 $225,000 $300,000 $375,000 $450,000 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 & Beyond Maturities of Fixed-Rate Mortgage and Construc
Slide 27: Capital Summary
Annual Presentation to Shareholders – May 17, 2024 27 Capital Summary • $185 million perpetual preferred stock carries a 6.05% weighted average dividend rate • As of March 31, 2024, our cash balance was approximately $7.1 million and our undrawn availability under our credit facility was approximate
Slide 28: Thank You
Annual Presentation to Shareholders – May 17, 2024 28 Thank You 28