SITE Centers Reports Second Quarter 2023 Results

SITE Centers Corp. (NYSE: SITC), an owner of open-air shopping centers in suburban, high household income communities, announced today operating results for the quarter ended June 30, 2023.

“Second quarter results were ahead of expectations and demand for space across unit sizes in our high-quality portfolio remains elevated,” commented David R. Lukes, President and Chief Executive Officer. “We are encouraged by the depth and breadth of activity on recently recaptured square footage from bankruptcies and remain well positioned given the Company's market mix, liquidity and expected tailwind from rent commencements and tactical redevelopment deliveries.”

Results for the Quarter

• Second quarter net income attributable to common shareholders was $2.6 million, or $0.01 per diluted share, as compared to net income of $57.6 million, or $0.27 per diluted share, in the year-ago period. The decrease year-over-year primarily was the result of the gain on sale of joint venture and wholly-owned assets in the second quarter of 2022 as well as higher depreciation expense due to accelerated depreciation due to the commencement of a redevelopment project. Second quarter 2023 results were also impacted by lower joint venture management fees, higher interest expense and a separation charge included within general and administration expenses, partially offset by base rent growth and the net impact of property acquisitions.
• Second quarter operating funds from operations attributable to common shareholders (“Operating FFO” or “OFFO”) was $61.3 million, or $0.29 per diluted share, compared to $66.5 million, or $0.31 per diluted share, in the year-ago period primarily due to the lower management fees and income from joint ventures and higher interest expense.

Significant Second Quarter and Recent Activity

• Issued the Company's ninth Corporate Responsibility and Sustainability Report. The report was completed in alignment with the Global Reporting Initiative and with the Sustainability Accounting Standards Board metrics and frameworks. The report provides an annual update on the Company's corporate responsibility and sustainability programs and can be found at https://www.sitecenters.com/2022CSR.
• Acquired three convenience shopping centers during the quarter for an aggregate price of $48.5 million, including Alpha Soda Center (Atlanta, GA) for $9.4 million, Barrett Corners (Atlanta, GA) for $15.6 million and Briarcroft Center (Houston, TX) for $23.5 million.
• Sold two shopping centers during the quarter for an aggregate price of $72.0 million ($14.4 million at share).
• As previously announced, recorded a charge of $3.1 million related to a restructuring plan, which includes a Voluntary Retirement Offer. The balance of the expected $5.3 million in total charges is expected to be incurred in the third and fourth quarters of 2023. Restructuring charges have been excluded from OFFO results.
• In May 2023, repurchased 140,633 Operating Partnership (“OP”) units in a privately negotiated transaction at an aggregate cost of $1.7 million, or $12.34 per unit. Following the repurchase, the Company has no outstanding OP units, which is expected to reduce future tax and legal compliance costs.

Key Quarterly Operating Results

• Reported an increase of 1.7% in same-store net operating income (“SSNOI”) on a pro rata basis for the second quarter of 2023, including redevelopment, as compared to the year-ago period. SSNOI in the second quarter of 2022 included $1.2 million of rental income at SITE Centers' share related to prior years, primarily from cash basis tenants, which was a 130 basis-point headwind to second quarter 2023 SSNOI growth.
• Generated cash new leasing spreads of 22.5% and cash renewal leasing spreads of 7.4%, both on a pro rata basis, for the trailing twelve-month period ended June 30, 2023 and cash new leasing spreads of 14.8% and cash renewal leasing spreads of 7.2%, both on a pro rata basis, for the second quarter of 2023.
• Generated straight-lined new leasing spreads of 35.0% and straight-lined renewal leasing spreads of 11.3%, both on a pro rata basis, for the trailing twelve-month period ended June 30, 2023 and straight-lined new leasing spreads of 23.3% and straight-lined renewal leasing spreads of 11.9%, both on a pro rata basis, for the second quarter of 2023.
• Reported a leased rate of 95.5% at June 30, 2023, compared to 95.9% at March 31, 2023 and 94.4% at June 30, 2022, all on a pro rata basis. The sequential decline was primarily related to the rejection of four wholly owned Bed, Bath & Beyond leases with one of the units released in the second quarter.
• As of June 30, 2023, the Signed Not Opened (“SNO”) spread was 310 basis points, representing $18.3 million of annualized base rent on a pro rata basis.

Guidance

The Company has updated its 2023 full-year guidance for net income attributable to common shareholders and Operating FFO per share to include the impact of the second quarter operating results. Impairment charges, gains on sale of interests and assets, transaction and debt extinguishment costs are excluded from guidance. The guidance update is as follows:

Reconciliation of Net Income Attributable to Common Shareholders to FFO and Operating FFO estimates:

 

FY 2023E (prior) Per Share – Diluted

 

FY 2023E (revised) Per Share – Diluted

Net income attributable to Common Shareholders

$0.17 – $0.25

 

$0.11 – $0.19

Depreciation and amortization of real estate

0.90 – 0.94

 

0.96 – 1.00

Equity in net (income) of JVs

(0.02) – (0.01)

 

(0.03)

JVs' FFO

0.04 – 0.05

 

0.04

Gain on sale and change in control of interests (reported actual)

(0.02)

 

(0.02)

FFO (NAREIT)

$1.11 – $1.17

 

$1.10 – $1.14

Separation and other charges

n/a

 

0.03

Operating FFO

$1.11 – $1.17

 

$1.13 – $1.17

In reliance on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K, reconciliation of the assumed range of 2023 SSNOI growth to the most directly comparable GAAP financial measure is not provided because the Company is unable to provide such reconciliation without unreasonable effort due to the multiple components of the calculation which only includes properties owned for comparable periods and excludes all corporate level activity as described below under Non-GAAP Measures and Other Operational Metrics. Key assumptions for 2023 guidance include the following:

 

FY 2023E (prior)

 

FY 2023E (revised)

Joint Venture fee income

$5 – $7 million

 

$5 – $7 million

SSNOI (1)

(0.50)% – 3.00%

 

0.00% – 3.00%

SSNOI – Adjusted for 2022 Uncollectible Revenue Impact (2)

0.50% – 4.00%

 

1.00% – 4.00%

(1)

Including redevelopment and approximately $3.4 million included in Uncollectible Revenue, primarily related to rental income from cash basis tenants, reported in 2022 related to prior periods, which is an approximately 100 basis-point headwind to 2023 SSNOI growth.

(2)

Including redevelopment and excluding revenue impact of approximately $3.4 million included in Uncollectible Revenue, primarily related to rental income from cash basis tenants, reported in 2022 related to prior periods.

About SITE Centers Corp.

SITE Centers is an owner and manager of open-air shopping centers located in suburban, high household income communities. The Company is a self-administered and self-managed REIT operating as a fully integrated real estate company, and is publicly traded on the New York Stock Exchange under the ticker symbol SITC. Additional information about the Company is available at www.sitecenters.com. To be included in the Company’s e-mail distributions for press releases and other investor news, please click here.

Conference Call and Supplemental Information

The Company will hold its quarterly conference call today at 8:00 a.m. Eastern Time. To participate with access to the slide presentation, please visit the Investor Relations portion of SITE's website, ir.sitecenters.com, or for audio only, dial 888‑317‑6003 (U.S.), 866-284-3684 (Canada) or 412-317-6061 (international) using pass code 1798214 at least ten minutes prior to the scheduled start of the call. The call will also be webcast and available in a listen-only mode on SITE Centers’ website at ir.sitecenters.com. If you are unable to participate during the live call, a replay of the conference call will also be available at ir.sitecenters.com for further review. You may also access the telephone replay by dialing 877-344-7529 (U.S.), 855-669-9658 (Canada) or 412-317-0088 (international) using passcode 5634930 through August 25, 2023. Copies of the Company’s supplemental package and earnings slide presentation are available on the Company’s website.

Non-GAAP Measures and Other Operational Metrics

Funds from Operations (“FFO”) is a supplemental non-GAAP financial measure used as a standard in the real estate industry and is a widely accepted measure of real estate investment trust (“REIT”) performance. Management believes that both FFO and Operating FFO provide additional indicators of the financial performance of a REIT. The Company also believes that FFO and Operating FFO more appropriately measure the core operations of the Company and provide benchmarks to its peer group.

FFO is generally defined and calculated by the Company as net income (loss) (computed in accordance with generally accepted accounting principles in the United States (“GAAP”)), adjusted to exclude (i) preferred share dividends, (ii) gains and losses from disposition of real estate property and related investments, which are presented net of taxes, (iii) impairment charges on real estate property and related investments, (iv) gains and losses from changes in control and (v) certain non-cash items. These non-cash items principally include real property depreciation and amortization of intangibles, equity income (loss) from joint ventures and equity income (loss) from non-controlling interests and adding the Company’s proportionate share of FFO from its unconsolidated joint ventures and non-controlling interests, determined on a consistent basis. The Company’s calculation of FFO is consistent with the definition of FFO provided by NAREIT. The Company calculates Operating FFO as FFO excluding certain non-operating charges, income and gains. Operating FFO is useful to investors as the Company removes non-comparable charges, income and gains to analyze the results of its operations and assess performance of the core operating real estate portfolio. Other real estate companies may calculate FFO and Operating FFO in a different manner.

In calculating the expected range for or amount of net (loss) income attributable to common shareholders to estimate projected FFO and Operating FFO for future periods, the Company does not include a projection of gain and losses from the disposition of real estate property, potential impairments and reserves of real estate property and related investments, debt extinguishment costs and certain transaction costs. Other real estate companies may calculate expected FFO and Operating FFO in a different manner.

The Company also uses net operating income (“NOI”), a non-GAAP financial measure, as a supplemental performance measure. NOI is calculated as property revenues less property-related expenses. The Company believes NOI provides useful information to investors regarding the Company’s financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level and, when compared across periods, reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis.

The Company presents NOI information herein on a same store basis or “SSNOI.” The Company defines SSNOI as property revenues less property-related expenses, which exclude straight-line rental income and reimbursements and expenses, lease termination income, management fee expense, fair market value of leases and expense recovery adjustments. SSNOI includes assets owned in comparable periods (15 months for prior period comparisons). In addition, SSNOI is presented including activity associated with major and tactical redevelopment. SSNOI excludes all non-property and corporate level revenue and expenses. Other real estate companies may calculate NOI and SSNOI in a different manner. The Company believes SSNOI at its effective ownership interest provides investors with additional information regarding the operating performances of comparable assets because it excludes certain non-cash and non-comparable items as noted above.

FFO, Operating FFO, NOI and SSNOI do not represent cash generated from operating activities in accordance with GAAP, are not necessarily indicative of cash available to fund cash needs and should not be considered as alternatives to net income computed in accordance with GAAP, as indicators of the Company’s operating performance or as alternatives to cash flow as a measure of liquidity. Reconciliations of these non-GAAP measures to their most directly comparable GAAP measures have been provided herein. In reliance on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K, reconciliation of the assumed rate of 2023 SSNOI growth to the most directly comparable GAAP financial measure is not provided because the Company is unable to provide such reconciliation without unreasonable effort due to the multiple components of the calculation which only includes properties owned for comparable periods and excludes all corporate level activity as noted above.

The Company calculates Cash Leasing Spreads by comparing the prior tenant's annual base rent in the final year of the prior lease to the executed tenant's annual base rent in the first year of the executed lease. Straight-Lined Leasing Spreads are calculated by comparing the prior tenant's average base rent over the prior lease term to the executed tenant's average base rent over the term of the executed lease. For both Cash and Straight-Lined Leasing Spreads, the reported calculation includes only comparable leases which are deals executed within one year of the date that the prior tenant vacated. Deals executed after one year of the date the prior tenant vacated, deals which are a combination of existing units, new leases at major redevelopment properties, and deals for units vacant at the time of acquisition are considered non-comparable and excluded from the calculation.

Safe Harbor

SITE Centers Corp. considers portions of the information in this press release to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, both as amended, with respect to the Company's expectation for future periods. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. For this purpose, any statements contained herein that are not historical fact may be deemed to be forward-looking statements. There are a number of important factors that could cause our results to differ materially from those indicated by such forward-looking statements, including, among other factors, general economic conditions, including inflation and interest rate volatility; local conditions such as the supply of, and demand for, retail real estate space in our geographic markets; the impact of e-commerce; dependence on rental income from real property; the loss of, significant downsizing of or bankruptcy of a major tenant and the impact of any such event on rental income from other tenants and our properties; redevelopment and construction activities may not achieve a desired return on investment; our ability to buy or sell assets on commercially reasonable terms; our ability to secure equity or debt financing on commercially acceptable terms or at all; impairment charges; valuation and risks relating to our joint venture investments; the termination of any joint venture arrangements or arrangements to manage real property; property damage, expenses related thereto and other business and economic consequences (including the potential loss of rental revenues) resulting from extreme weather conditions or natural disasters in locations where we own properties, and the ability to estimate accurately the amounts thereof; sufficiency and timing of any insurance recovery payments related to damages from extreme weather conditions or natural disasters; any change in strategy; the impact of pandemics and other public health crises; unauthorized access, use, theft or destruction of financial, operations or third party data maintained in our information systems or by third parties on our behalf; our ability to maintain REIT status; and the finalization of the financial statements for the period ended June 30, 2023. For additional factors that could cause the results of the Company to differ materially from those indicated in the forward-looking statements, please refer to the Company's most recent reports on Forms 10-K and 10-Q. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

SITE Centers Corp.

Income Statement: Consolidated Interests

 

in thousands, except per share

 

 

 

 

 

2Q23

 

2Q22

 

6M23

 

6M22

 

Revenues:

 

 

 

 

 

 

 

 

Rental income (1)

$135,954

 

$136,203

 

$271,826

 

$266,087

 

Other property revenues

429

 

922

 

1,390

 

2,097

 

 

136,383

 

137,125

 

273,216

 

268,184

 

Expenses:

 

 

 

 

 

 

 

 

Operating and maintenance

22,476

 

22,278

 

45,642

 

44,214

 

Real estate taxes

20,279

 

20,624

 

40,332

 

40,807

 

 

42,755

 

42,902

 

85,974

 

85,021

 

 

 

 

 

 

 

 

 

 

Net operating income

93,628

 

94,223

 

187,242

 

183,163

 

 

 

 

 

 

 

 

 

 

Other income (expense):

 

 

 

 

 

 

 

 

JV fees and other fee income

1,775

 

3,557

 

3,634

 

6,818

 

Interest expense

(20,921)

 

(18,909)

 

(40,844)

 

(37,167)

 

Depreciation and amortization

(58,698)

 

(51,021)

 

(112,714)

 

(101,385)

 

General and administrative (2)

(14,031)

 

(11,353)

 

(24,676)

 

(23,604)

 

Other income (expense), net

(634)

 

(1,147)

 

(1,321)

 

(1,651)

 

Impairment charges

0

 

(2,536)

 

0

 

(2,536)

 

Income before earnings from JVs and other

1,119

 

12,814

 

11,321

 

23,638

 

 

 

 

 

 

 

 

 

 

Equity in net income of JVs

4,618

 

1,381

 

5,977

 

1,550

 

Gain on sale and change in control of interests

0

 

41,970

 

3,749

 

45,326

 

(Loss) gain on disposition of real estate, net

(22)

 

4,597

 

183

 

4,455

 

Tax expense

(362)

 

(353)

 

(575)

 

(605)

 

Net income

5,353

 

60,409

 

20,655

 

74,364

 

Non-controlling interests

0

 

(19)

 

(18)

 

(37)

 

Net income SITE Centers

5,353

 

60,390

 

20,637

 

74,327

 

Preferred dividends

(2,789)

 

(2,789)

 

(5,578)

 

(5,578)

 

Net income Common Shareholders

$2,564

 

$57,601

 

$15,059

 

$68,749

 

 

 

 

 

 

 

 

 

 

Weighted average shares – Basic – EPS

209,266

 

213,864

 

209,616

 

212,989

 

Assumed conversion of diluted securities

181

 

1,047

 

445

 

1,245

 

Weighted average shares – Diluted – EPS

209,447

 

214,911

 

210,061

 

214,234

 

 

 

 

 

 

 

 

 

 

Earnings per common share – Basic

$0.01

 

$0.27

 

$0.07

 

$0.32

 

Earnings per common share – Diluted

$0.01

 

$0.27

 

$0.07

 

$0.32

 

 

 

 

 

 

 

 

 

(1)

Rental income:

 

 

 

 

 

 

 

 

Minimum rents

$89,023

 

$87,936

 

$177,996

 

$172,163

 

Ground lease minimum rents

6,343

 

6,751

 

12,812

 

13,458

 

Straight-line rent, net

988

 

537

 

1,664

 

1,533

 

Amortization of (above)/below-market rent, net

1,691

 

1,061

 

2,876

 

2,218

 

Percentage and overage rent

2,252

 

1,648

 

3,403

 

2,785

 

Recoveries

34,501

 

33,763

 

69,817

 

66,597

 

Uncollectible revenue

(548)

 

1,162

 

(315)

 

2,270

 

Ancillary and other rental income

1,448

 

1,333

 

3,205

 

2,797

 

Lease termination fees

256

 

2,012

 

368

 

2,266

 

 

 

 

 

 

 

 

 

(2)

Separation charge

2,928

 

0

 

2,928

 

0

SITE Centers Corp.

Reconciliation: Net Income to FFO and Operating FFO

and Other Financial Information

 

in thousands, except per share

 

 

 

 

 

2Q23

 

2Q22

 

6M23

 

6M22

 

Net income attributable to Common Shareholders

$2,564

 

$57,601

 

$15,059

 

$68,749

 

Depreciation and amortization of real estate

57,350

 

49,775

 

110,067

 

98,903

 

Equity in net income of JVs

(4,618)

 

(1,381)

 

(5,977)

 

(1,550)

 

JVs' FFO

2,201

 

3,883

 

4,183

 

8,198

 

Non-controlling interests

0

 

19

 

18

 

37

 

Impairment of real estate

0

 

2,536

 

0

 

2,536

 

Gain on sale and change in control of interests

0

 

(41,970)

 

(3,749)

 

(45,326)

 

Loss (gain) on disposition of real estate, net

22

 

(4,597)

 

(183)

 

(4,455)

 

FFO attributable to Common Shareholders

$57,519

 

$65,866

 

$119,418

 

$127,092

 

Separation and other charges

3,099

 

0

 

3,099

 

0

 

Transaction, debt extinguishment and other (at SITE's share)

677

 

973

 

1,506

 

1,304

 

RVI disposition fees

0

 

(385)

 

0

 

(385)

 

Total non-operating items, net

3,776

 

588

 

4,605

 

919

 

Operating FFO attributable to Common Shareholders

$61,295

 

$66,454

 

$124,023

 

$128,011

 

 

 

 

 

 

 

 

 

 

Weighted average shares & units – Basic: FFO & OFFO

209,326

 

214,005

 

209,717

 

213,130

 

Assumed conversion of dilutive securities

181

 

906

 

445

 

1,104

 

Weighted average shares & units – Diluted: FFO & OFFO

209,507

 

214,911

 

210,162

 

214,234

 

 

 

 

 

 

 

 

 

 

FFO per share – Basic

$0.27

 

$0.31

 

$0.57

 

$0.60

 

FFO per share – Diluted

$0.27

 

$0.31

 

$0.57

 

$0.59

 

Operating FFO per share – Basic

$0.29

 

$0.31

 

$0.59

 

$0.60

 

Operating FFO per share – Diluted

$0.29

 

$0.31

 

$0.59

 

$0.60

 

Common stock dividends declared, per share

$0.13

 

$0.13

 

$0.26

 

$0.26

 

 

 

 

 

 

 

 

 

 

Capital expenditures (SITE Centers share):

 

 

 

 

 

 

 

 

Redevelopment costs

3,707

 

3,694

 

8,117

 

11,845

 

Maintenance capital expenditures

4,878

 

7,731

 

7,024

 

9,987

 

Tenant allowances and landlord work

11,031

 

12,233

 

25,752

 

21,601

 

Leasing commissions

2,066

 

2,610

 

4,394

 

4,368

 

Construction administrative costs (capitalized)

805

 

971

 

1,601

 

2,145

 

 

 

 

 

 

 

 

 

 

Certain non-cash items (SITE Centers share):

 

 

 

 

 

 

 

 

Straight-line rent

1,024

 

625

 

1,720

 

1,705

 

Straight-line fixed CAM

69

 

108

 

144

 

211

 

Amortization of (above)/below-market rent, net

1,782

 

1,152

 

3,051

 

2,396

 

Straight-line ground rent expense

(41)

 

(32)

 

(105)

 

(66)

 

Debt fair value and loan cost amortization

(1,198)

 

(1,228)

 

(2,426)

 

(2,514)

 

Capitalized interest expense

308

 

245

 

594

 

467

 

Stock compensation expense

(1,742)

 

(1,717)

 

(3,362)

 

(3,440)

 

Non-real estate depreciation expense

(1,349)

 

(1,248)

 

(2,652)

 

(2,486)

SITE Centers Corp.

Balance Sheet: Consolidated Interests

 

$ in thousands

 

 

 

 

 

At Period End

 

 

2Q23

 

4Q22

 

Assets:

 

 

 

 

Land

$1,094,240

 

$1,066,852

 

Buildings

3,770,497

 

3,733,805

 

Fixtures and tenant improvements

600,948

 

576,036

 

 

5,465,685

 

5,376,693

 

Depreciation

(1,724,837)

 

(1,652,899)

 

 

3,740,848

 

3,723,794

 

Construction in progress and land

60,231

 

56,466

 

Real estate, net

3,801,079

 

3,780,260

 

 

 

 

 

 

Investments in and advances to JVs

40,556

 

44,608

 

Cash

28,041

 

20,254

 

Restricted cash

552

 

960

 

Receivables and straight-line (1)

61,376

 

63,926

 

Intangible assets, net (2)

98,982

 

105,945

 

Other assets, net

30,415

 

29,064

 

Total Assets

4,061,001

 

4,045,017

 

 

 

 

 

 

Liabilities and Equity:

 

 

 

 

Revolving credit facilities

175,000

 

0

 

Unsecured debt

1,367,775

 

1,453,923

 

Unsecured term loan

198,689

 

198,521

 

Secured debt

53,829

 

54,577

 

 

1,795,293

 

1,707,021

 

Dividends payable

30,083

 

30,389

 

Other liabilities (3)

210,927

 

214,985

 

Total Liabilities

2,036,303

 

1,952,395

 

 

 

 

 

 

Preferred shares

175,000

 

175,000

 

Common shares

21,437

 

21,437

 

Paid-in capital

5,971,918

 

5,974,216

 

Distributions in excess of net income

(4,085,897)

 

(4,046,370)

 

Deferred compensation

4,941

 

5,025

 

Accumulative comprehensive income

10,125

 

9,038

 

Common shares in treasury at cost

(72,826)

 

(51,518)

 

Non-controlling interests

0

 

5,794

 

Total Equity

2,024,698

 

2,092,622

 

 

 

 

 

 

Total Liabilities and Equity

$4,061,001

 

$4,045,017

 

 

 

 

 

(1)

SL rents (including fixed CAM), net

$35,658

 

$33,879

 

 

 

 

 

(2)

Operating lease right of use assets

17,629

 

18,197

 

 

 

 

 

(3)

Operating lease liabilities

37,313

 

37,777

 

Below-market leases, net

57,844

 

59,825

 

 

 

 

 

 

SITE Centers Corp.

Reconciliation of Net Income Attributable to SITE to Same Store NOI

$ in thousands

 

 

 

 

 

 

 

 

2Q23

 

2Q22

 

2Q23

 

2Q22

 

SITE Centers at 100%

 

At SITE Centers Share (Non-GAAP)

GAAP Reconciliation:

 

 

 

 

 

 

 

Net income attributable to SITE Centers

$5,353

 

$60,390

 

$5,353

 

$60,390

Fee income

(1,775)

 

(3,557)

 

(1,775)

 

(3,557)

Interest expense

20,921

 

18,909

 

20,921

 

18,909

Depreciation and amortization

58,698

 

51,021

 

58,698

 

51,021

General and administrative

14,031

 

11,353

 

14,031

 

11,353

Other expense (income), net

634

 

1,147

 

634

 

1,147

Impairment charges

0

 

2,536

 

0

 

2,536

Equity in net income of joint ventures

(4,618)

 

(1,381)

 

(4,618)

 

(1,381)

Tax expense

362

 

353

 

362

 

353

Gain on sale and change in control of interests

0

 

(41,970)

 

0

 

(41,970)

Loss (gain) on disposition of real estate, net

22

 

(4,597)

 

22

 

(4,597)

Income from non-controlling interests

0

 

19

 

0

 

19

Consolidated NOI

93,628

 

94,223

 

93,628

 

94,223

 

 

 

 

 

 

 

 

Net income from unconsolidated joint ventures

15,860

 

1,339

 

3,233

 

589

Interest expense

6,307

 

9,030

 

1,441

 

2,063

Depreciation and amortization

8,281

 

13,328

 

1,938

 

2,969

Impairment charges

0

 

3,340

 

0

 

668

Other expense (income), net

2,378

 

2,422

 

538

 

585

Gain on disposition of real estate, net

(14,874)

 

(1,790)

 

(2,975)

 

(357)

Unconsolidated NOI

$17,952

 

$27,669

 

4,175

 

6,517

 

 

 

 

 

 

 

 

Total Consolidated + Unconsolidated NOI

 

 

 

 

97,803

 

100,740

Less: Non-Same Store NOI adjustments

 

 

 

 

(4,063)

 

(8,591)

Total SSNOI including redevelopment

 

 

 

 

93,740

 

92,149

 

 

 

 

 

 

 

 

SSNOI % Change including redevelopment

 

 

 

 

1.7%

 

 

SITE Centers Corp.

Reconciliation of Net Income Attributable to SITE to Same Store NOI

$ in thousands

 

 

 

 

 

 

 

 

6M23

 

6M22

 

6M23

 

6M22

 

SITE Centers at 100%

 

At SITE Centers Share (Non-GAAP)

GAAP Reconciliation:

 

 

 

 

 

 

 

Net income attributable to SITE Centers

$20,637

 

$74,327

 

$20,637

 

$74,327

Fee income

(3,634)

 

(6,818)

 

(3,634)

 

(6,818)

Interest expense

40,844

 

37,167

 

40,844

 

37,167

Depreciation and amortization

112,714

 

101,385

 

112,714

 

101,385

General and administrative

24,676

 

23,604

 

24,676

 

23,604

Other expense (income), net

1,321

 

1,651

 

1,321

 

1,651

Impairment charges

0

 

2,536

 

0

 

2,536

Equity in net income of joint ventures

(5,977)

 

(1,550)

 

(5,977)

 

(1,550)

Tax expense

575

 

605

 

575

 

605

Gain on sale and change in control of interests

(3,749)

 

(45,326)

 

(3,749)

 

(45,326)

Gain on disposition of real estate, net

(183)

 

(4,455)

 

(183)

 

(4,455)

Income from non-controlling interests

18

 

37

 

18

 

37

Consolidated NOI

187,242

 

183,163

 

187,242

 

183,163

 

 

 

 

 

 

 

 

Net income (loss) from unconsolidated joint ventures

20,627

 

(39)

 

4,237

 

615

Interest expense

13,348

 

18,319

 

3,028

 

4,151

Depreciation and amortization

17,343

 

27,673

 

4,029

 

6,148

Impairment charges

0

 

8,540

 

0

 

1,708

Other expense (income), net

4,938

 

4,994

 

1,112

 

1,182

Gain on disposition of real estate, net

(20,178)

 

(1,692)

 

(4,037)

 

(291)

Unconsolidated NOI

$36,078

 

$57,795

 

8,369

 

13,513

 

 

 

 

 

 

 

 

Total Consolidated + Unconsolidated NOI

 

 

 

 

195,611

 

196,676

Less: Non-Same Store NOI adjustments

 

 

 

 

(9,566)

 

(15,922)

Total SSNOI including redevelopment

 

 

 

 

186,045

 

180,754

 

 

 

 

 

 

 

 

SSNOI % Change including redevelopment

 

 

 

 

2.9%

 

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20230725367664/en/

SITE Centers Corp. Conor Fennerty, EVP and Chief Financial Officer 216-755-5500