preit: current value proposition
Post on 08-Dec-2021
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PREIT: Current Value Proposition
2
Quality Real Estate in Strong Markets
Low Unemployment
Strong Retail Sales Environment
Embracing Differentiated Tenant Base
Department Store Risk Mitigated
Path to Reducing Leverage
Densification Opportunities
Ahead of the Curve in Improving Environment
3
low-productivity mall disposition
higher quality portfolio
anchor replacement diversified
tenant mix
Sales Same Store NOI growth
reducing leverage
6
Diversified Tenant Base
Fast Fashion & Off Price
Retail Incubation/Emerging Brands
Dining
Entertainment
Fitness & Recreation
8x
3x
$22 million
>25 tenants
12
11
Anchor Replacement Statistics
• Average New Rents Generated from Boxes
• Sales Multiple Generated from new Tenants
• Average Investment
• Replacing 12 Department Stores since 2017
• Boxes Replaced
Balance Sheet Strategy
WELL-LADDERED DEBT MATURITIES
•
•
MINIMAL EXPOSURE TO FLOATING RATE DEBT
•
SUFFICIENT LIQUIDITY BEYOND COMMITTED CAPITAL NEEDS
•
STRONG DIVIDEND COVERAGE
•
•
MAINTAIN DIVERSE DEBT SOURCES
15
Liquidity and Spending Vitals
LIQUIDITY as of 6.30.18
PROCEEDS FROM REMAINING NON-CORE SALES
REMAINING SPENDING
•
•
•
•
16
$700 million
Unchanged
4.9 years
4.06%
92% Fixed
17
Key Balance Sheet Facts
• Recast of $400 million credit facility and $300 million term loan complete
• Cap Rates and Interest rate spreads
• Average loan maturity incl. extension options
• Average cost of debt (as of 6/30/18)
• Only 8% of debt subject to fluctuation in rising rate environment
18
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Well-Laddered Debt Maturities
$0
$100
$200
$300
$400
$500
$600
$700
$800
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