UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) February 8, 2023
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
| (Address of principal executive offices) | (Zip Code) | |||||||||||||||||||
Registrant's telephone number including area code: 301 /998-8100
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
Federal Realty Investment Trust | ||||||||
| Title of Each Class | Trading Symbol | Name of Each Exchange On Which Registered | ||||||
| $.01 par value per share, with associated Common Share Purchase Rights | ||||||||
| of 5.00% Series C Cumulative Redeemable Preferred Stock, $.01 par value per share | ||||||||
Federal Realty OP LP | ||||||||
| Title of Each Class | Trading Symbol | Name of Each Exchange On Which Registered | ||||||
| None | N/A | N/A | ||||||
| Indicate by check mark whether the registrant is an emerging growth company, as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934. | ||||||||
Federal Realty Investment Trust Yes | Federal Realty OP LP Yes | |||||||
| If an emerging growth company, indicate by checkmark if the registrant has elected not use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | ||||||||
| Federal Realty Investment Trust ☐ | Federal Realty OP LP ☐ | |||||||
Item 2.02. Results of Operations and Financial Condition.
The following information is being furnished under Item 2.02-Results of Operations and Financial Condition. This information, including the exhibits attached hereto, shall not be deemed “filed” for any purpose, including for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section. The information in this Current Report on Form 8-K shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or under the Exchange Act, regardless of any general incorporation language in such filing.
On February 8, 2023, Federal Realty Investment Trust issued supplemental data pertaining to its operations, as well as a press release, to report its financial results for the quarter ended December 31, 2022. The supplemental data and press release are furnished as Exhibit 99.1 hereto.
Item 9.01. Financial Statements and Exhibits.
(c) Exhibits
99.1 Supplemental information at December 31, 2022 (including press release dated February 8, 2023)
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized.
| FEDERAL REALTY INVESTMENT TRUST | |||||||||||
| FEDERAL REALTY OP LP | |||||||||||
| Date: | February 8, 2023 | /s/ Daniel Guglielmone | |||||||||
| Daniel Guglielmone | |||||||||||
| Executive Vice President- | |||||||||||
| Chief Financial Officer and Treasurer | |||||||||||
EXHIBIT INDEX
| Exhibit Number | Description | |||||||
Supplemental Information at December 31, 2022 | ||||||||
| 104 | Cover Page Interactive Data File (the Cover Page Interactive Data File is embedded within the Inline XBRL document) | |||||||
| FEDERAL REALTY INVESTMENT TRUST | |||||||||||
| SUPPLEMENTAL INFORMATION | |||||||||||
| December 31, 2022 | |||||||||||
| TABLE OF CONTENTS | |||||||||||
| 1 | Year End 2022 Earnings Press Release | ||||||||||
| 2 | Financial Highlights | ||||||||||
| Consolidated Income Statements | |||||||||||
| Consolidated Balance Sheets | |||||||||||
| Funds From Operations / Other Supplemental Information | |||||||||||
| Components of Rental Income and Other Information | |||||||||||
| Comparable Property Information | |||||||||||
| Market Data | |||||||||||
| 3 | Summary of Debt | ||||||||||
| Summary of Outstanding Debt | |||||||||||
| Summary of Debt Maturities | |||||||||||
| 4 | Summary of Redevelopment Opportunities | ||||||||||
| 5 | Assembly Row, Pike & Rose, and Santana Row | ||||||||||
| 6 | Future Redevelopment Opportunities | ||||||||||
| 7 | Property Acquisitions, Significant Dispositions, and Other Transactions | ||||||||||
| 8 | Real Estate Status Report | ||||||||||
| 9 | Retail Leasing Summary | ||||||||||
| 10 | Lease Expirations | ||||||||||
| 11 | Portfolio Leased Statistics | ||||||||||
| 12 | Summary of Top 25 Tenants | ||||||||||
| 13 | Reconciliation of FFO Guidance | ||||||||||
| 14 | Glossary of Terms | ||||||||||
| 909 Rose Avenue, Suite 200 | |||||||||||
| North Bethesda, Maryland 20852 | |||||||||||
| 301-998-8100 | |||||||||||
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Safe Harbor Language
Certain matters discussed within this Supplemental Information may be deemed to be forward-looking statements within the meaning of the federal securities laws. Although Federal Realty believes the expectations reflected in the forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. These factors include, but are not limited to, the risk factors described in our Annual Report on Form 10-K filed on February 8, 2023, and include the following:
•risks that our tenants will not pay rent, may vacate early or may file for bankruptcy or that we may be unable to renew leases or re-let space at favorable rents as leases expire or to fill existing vacancy;
•risks that we may not be able to proceed with or obtain necessary approvals for any development, redevelopment, or renovation project, and that completion of anticipated or ongoing property development, redevelopment, or renovation projects that we do pursue may cost more, take more time to complete or fail to perform as expected;
•risks normally associated with the real estate industry, including risks that occupancy levels at our properties and the amount of rent that we receive from our properties may be lower than expected, that new acquisitions may fail to perform as expected, that competition for acquisitions could result in increased prices for acquisitions, that costs associated with the periodic maintenance and repair or renovation of space, insurance and other operations may increase, that environmental issues may develop at our properties and result in unanticipated costs, and, because real estate is illiquid, that we may not be able to sell properties when appropriate;
•risks that our growth will be limited if we cannot obtain additional capital, or if the costs of capital we obtain are significantly higher than historical levels;
•risks associated with general economic conditions, including inflation and local economic conditions in our geographic markets;
•risks of financing on terms which are acceptable to us, our ability to meet existing financial covenants and the limitations imposed on our operations by those covenants, and the possibility of increases in interest rates that would result in increased interest expense;
•risks related to our status as a real estate investment trust, commonly referred to as a REIT, for federal income tax purposes, such as the existence of complex tax regulations relating to our status as a REIT, the effect of future changes in REIT requirements as a result of new legislation, and the adverse consequences of the failure to qualify as a REIT; and
•risks related to natural disasters, climate change and public health crises (such as the outbreak and worldwide spread of COVID-19), and the measures that international, federal, state and local governments, agencies, law enforcement and/or health authorities implement to address them, may precipitate or materially exacerbate one or more of the above-mentioned risks, and may significantly disrupt or prevent us from operating our business in the ordinary course for an extended period.
Given these uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements that we make, including those in this Supplemental Information. Except as required by law, we make no promise to update any of the forward-looking statements as a result of new information, future events, or otherwise. You should review the risks contained in our Annual Report on Form 10-K, filed with the Securities and Exchange Commission on February 8, 2023.
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| NEWS RELEASE | www.federalrealty.com | ||||
FOR IMMEDIATE RELEASE | |||||
| Investor Inquiries: | Media Inquiries: | ||||
| Leah Andress Brady | Brenda Pomar | ||||
| Vice President, Investor Relations | Director, Corporate Communications | ||||
| 301.998.8265 | 301.998.8316 | ||||
| lbrady@federalrealty.com | bpomar@federalrealty.com | ||||
Federal Realty Investment Trust Announces Operating Results for the Year and Quarter Ended December 31, 2022
NORTH BETHESDA, Md. (February 8, 2023) - Federal Realty Investment Trust (NYSE:FRT) today reported operating results for its year and quarter ended December 31, 2022. For the year ended December 31, 2022 and 2021, net income available for common shareholders was $4.71 per diluted share and $3.26 per diluted share, respectively. For the three months ended December 31, 2022 and 2021, net income available for common shareholders was $1.40 per diluted share and $1.44 per diluted share, respectively. For the year ended December 31, 2022 and 2021, Federal Realty reported operating income of $526.4 million and $394.7 million, respectively. For the three months ended December 31, 2022 and 2021, operating income was $155.1 million and $147.5 million, respectively.
Highlights for the full year and fourth quarter include:
•Generated funds from operations available to common shareholders (FFO) per diluted share of $6.32 for the year, compared to $5.57 in 2021. For the fourth quarter, generated FFO per diluted share of $1.58, compared to $1.47 for the fourth quarter 2021.
•Generated comparable property operating income (POI) growth of 5.4% for the fourth quarter and 7.7% for the year 2022.
•Continued robust levels of leasing with 105 signed leases for 415,519 square feet of comparable space in the fourth quarter at a cash basis rollover of 10%, bringing 2022 to a record 475 signed leases for nearly 2 million square feet of comparable space.
•Federal Realty’s portfolio was 92.8% occupied and 94.5% leased, representing year-over-year increases of 170 basis points and 90 basis points, respectively and 70 basis points and 20 basis point increases, respectively quarter-over-quarter.
•Small shop leased rate was 90.0% as of quarter end representing an increase of 260 basis points year over year and the highest small shop leased rate since first quarter 2017.
•Sold one property for a total sales price of $67.5 million in the fourth quarter, bringing the 2022 total gross disposition proceeds to $136.2 million.
•Introduced 2023 earnings per diluted share guidance of $2.59 to $2.79 and 2023 FFO per diluted share guidance of $6.38 to $6.58.
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“2022 ended with a very strong fourth quarter and the first weeks of 2023 look to continue that momentum,” said Donald C. Wood, Federal Realty’s Chief Executive. “We’re more than a year ahead of where we thought we’d be in recovering from the depths of the pandemic in terms of leasing, occupancy and bottom line earnings in large part due to the remarkable resiliency of the markets and sub markets where our high quality retail destinations are located.”
Financial Results
Net Income
For the full year 2022, Federal Realty reported net income available for common shareholders of $377.5 million and earnings per diluted share of $4.71. This compares to net income available for common shareholders of $253.5 million and earnings per diluted share of $3.26 for the full year 2021.
For the fourth quarter 2022, net income available for common shareholders was $113.7 million and earnings per diluted share was $1.40 versus $112.9 million and $1.44, respectively, for the fourth quarter 2021.
FFO
For the full year 2022, Federal Realty generated funds from operations available for common shareholders (FFO) of $509.2 million, or $6.32 per diluted share. This compares to FFO of $434.7 million, or $5.57 per diluted share for the full year 2021.
For the fourth quarter 2022, FFO was $129.0 million, or $1.58 per diluted share, compared to $115.8 million, or $1.47 per diluted share for the fourth quarter 2021.
FFO is a non-GAAP supplemental earnings measure which the Trust considers meaningful in measuring its operating performance. A reconciliation of FFO to net income is attached to this press release.
Operational Update
Occupancy
The portfolio was 92.8% occupied as of December 31, 2022, an increase of 170 basis points year-over-year and 70 basis points over the third quarter 2022. The portfolio was 94.5% leased as of December 31, 2022, an increase of 90 basis points year-over-year and 20 basis points over the third quarter 2022.
Additionally, our comparable residential properties were 96.3% leased as of December 31, 2022.
Leasing Activity
For the full year 2022, Federal Realty signed 497 leases for 2,047,508 square feet of retail space. On a comparable space basis (i.e., spaces for which there was a former tenant), Federal Realty signed 475 leases for 1,984,887 square feet at an average rent of $37.30 per square foot compared to the average contractual rent of $35.21 per square foot for the last year of the prior leases, representing a cash basis rollover growth on those comparable spaces of 6%, 15% on a straight-line basis.
During the fourth quarter 2022, Federal Realty signed 110 leases for 425,159 square feet of retail space. On a comparable space basis (i.e., spaces for which there was a former tenant), Federal Realty signed 105 leases for
4
415,519 square feet at an average rent of $43.52 per square foot compared to the average contractual rent of $39.60 per square foot for the last year of the prior leases, representing a cash basis rollover growth on those comparable spaces of 10%, 21% on a straight-line basis.
Transaction Activity
In 2022, Federal Realty acquired 4 properties which total 1.0 million square feet for a gross value of $443.1 million. Additionally, Federal Realty bought a 47.5% net interest in an unconsolidated joint venture that owns two shopping centers totaling 617,000 square feet for a combined price of $58.9 million.
Subsequent to quarter end, Federal Realty acquired the remaining portions of Huntington Square, East Northport, New York, for $35.5 million. The acquisition included a 180,000 square foot parcel and the entire fee interest of the property giving us full control of the entirety of this 255,000 square foot property located in the heart of Suffolk County's retail corridor.
In the fourth quarter, Federal Realty sold one property for a total sales price of $67.5 million, bringing the 2022 total gross proceeds to $136.2 million for the disposition of 3 non-core assets, a parcel of land and a portion of one property.
Regular Quarterly Dividends
Federal Realty announced today that its Board of Trustees declared a regular quarterly cash dividend of $1.08 per common share, resulting in an indicated annual rate of $4.32 per common share. The regular common dividend will be payable on April 17, 2023 to common shareholders of record as of March 13, 2023.
Federal Realty’s Board of Trustees also declared a quarterly cash dividend on its Class C depositary shares, each representing 1/1000 of a 5.000% Series C Cumulative Preferred Share of Beneficial Interest, of $0.3125 per depositary share. All dividends on the depositary shares will be payable on April 17, 2023 to shareholders of record as of April 3, 2023.
Guidance
Federal Realty introduced 2023 guidance for earnings per diluted share of $2.59 to $2.79 and 2023 FFO per diluted share of $6.38 to $6.58.
Conference Call Information
Federal Realty’s management team will present an in-depth discussion of Federal Realty’s operating performance on its fourth quarter 2022 earnings conference call, which is scheduled for Wednesday, February 8, 2023 at 5:00 PM ET. To participate, please call 1-877-407-9208 five to ten minutes prior to the call start time and use the passcode 13734846 (required). The teleconference can also be accessed via a live webcast at www.federalrealty.com in the Investors section. A replay of the webcast will be available on Federal Realty’s website at www.federalrealty.com. A telephonic replay of the conference call will also be available through February 22, 2023 by dialing 1-844-512-2921; Passcode: 13734846.
5
About Federal Realty
Federal Realty is a recognized leader in the ownership, operation and redevelopment of high-quality retail-based properties located primarily in major coastal markets from Washington, D.C. to Boston as well as San Francisco and Los Angeles. Founded in 1962, Federal Realty’s mission is to deliver long-term, sustainable growth through investing in communities where retail demand exceeds supply. Its expertise includes creating urban, mixed-use neighborhoods like Santana Row in San Jose, California, Pike & Rose in North Bethesda, Maryland and Assembly Row in Somerville, Massachusetts. These unique and vibrant environments that combine shopping, dining, living and working provide a destination experience valued by their respective communities. Federal Realty's 103 properties include approximately 3,300 tenants, in 26 million square feet, and approximately 3,000 residential units.
Federal Realty has increased its quarterly dividends to its shareholders for 55 consecutive years, the longest record in the REIT industry. Federal Realty is an S&P 500 index member and its shares are traded on the NYSE under the symbol FRT. For additional information about Federal Realty and its properties, visit www.federalrealty.com.
Safe Harbor Language
Certain matters discussed within this Press Release may be deemed to be forward-looking statements within the meaning of the federal securities laws. Although Federal Realty believes the expectations reflected in the forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. These factors include, but are not limited to, the risk factors described in our Annual Report on Form 10-K filed on February 8, 2023, and include the following:
•risks that our tenants will not pay rent, may vacate early or may file for bankruptcy or that we may be unable to renew leases or re-let space at favorable rents as leases expire or to fill existing vacancy;
•risks that we may not be able to proceed with or obtain necessary approvals for any development, redevelopment, or renovation project, and that completion of anticipated or ongoing property development, redevelopment or renovation projects that we do pursue may cost more, take more time to complete or fail to perform as expected;
•risks normally associated with the real estate industry, including risks that occupancy levels at our properties and the amount of rent that we receive from our properties may be lower than expected, that new acquisitions may fail to perform as expected, that competition for acquisitions could result in increased prices for acquisitions, that costs associated with the periodic maintenance and repair or renovation of space, insurance and other operations may increase, that environmental issues may develop at our properties and result in unanticipated costs, and, because real estate is illiquid, that we may not be able to sell properties when appropriate;
•risks that our growth will be limited if we cannot obtain additional capital, or if the costs of capital we obtain are significantly higher than historical levels;
•risks associated with general economic conditions, including inflation and local economic conditions in our geographic markets;
•risks of financing on terms which are acceptable to us, our ability to meet existing financial covenants and the limitations imposed on our operations by those covenants, and the possibility of increases in interest rates that would result in increased interest expense;
•risks related to our status as a real estate investment trust, commonly referred to as a REIT, for federal income tax purposes, such as the existence of complex tax regulations relating to our status as a REIT, the effect of future changes in REIT requirements as a result of new legislation, and the adverse consequences of the failure to qualify as a REIT; and
•risks related to natural disasters, climate change and public health crises (such as the outbreak and worldwide spread of COVID-19), and the measures that international, federal, state and local governments, agencies, law enforcement and/or health authorities implement to address them, may precipitate or materially exacerbate one or more of the above-mentioned risks, and may significantly disrupt or prevent us from operating our business in the ordinary course for an extended period.
Given these uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements that we make, including those in this Press Release. Except as required by law, we make no promise to update any of the forward-looking statements as a result of new information, future events, or otherwise. You should review the risks contained in our Annual Report on Form 10-K, filed with the Securities and Exchange Commission on February 8, 2023.
6
| Federal Realty Investment Trust | |||||||||||||||||||||||
| Consolidated Income Statements | |||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||
| Three Months Ended | Year Ended | ||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
| (in thousands, except per share data) | |||||||||||||||||||||||
| (unaudited) | |||||||||||||||||||||||
| REVENUE | |||||||||||||||||||||||
| Rental income | $ | 279,776 | $ | 253,888 | $ | 1,073,292 | $ | 948,842 | |||||||||||||||
| Mortgage interest income | 281 | 266 | 1,086 | 2,382 | |||||||||||||||||||
| Total revenue | 280,057 | 254,154 | 1,074,378 | 951,224 | |||||||||||||||||||
| EXPENSES | |||||||||||||||||||||||
| Rental expenses | 62,769 | 56,647 | 228,958 | 198,121 | |||||||||||||||||||
| Real estate taxes | 33,196 | 30,224 | 127,824 | 118,496 | |||||||||||||||||||
| General and administrative | 13,590 | 14,499 | 52,636 | 49,856 | |||||||||||||||||||
| Depreciation and amortization | 79,165 | 77,816 | 302,409 | 279,976 | |||||||||||||||||||
| Total operating expenses | 188,720 | 179,186 | 711,827 | 646,449 | |||||||||||||||||||
| Gain on deconsolidation of VIE | — | — | 70,374 | — | |||||||||||||||||||
| Gain on sale of real estate and change in control of interest | 63,760 | 72,522 | 93,483 | 89,950 | |||||||||||||||||||
| OPERATING INCOME | 155,097 | 147,490 | 526,408 | 394,725 | |||||||||||||||||||
| OTHER INCOME/(EXPENSE) | |||||||||||||||||||||||
| Other interest income | 585 | 108 | 1,072 | 809 | |||||||||||||||||||
| Interest expense | (38,282) | (32,187) | (136,989) | (127,698) | |||||||||||||||||||
| Income from partnerships | 292 | 1,331 | 5,170 | 1,245 | |||||||||||||||||||
| NET INCOME | 117,692 | 116,742 | 395,661 | 269,081 | |||||||||||||||||||
| Net income attributable to noncontrolling interests | (1,999) | (1,806) | (10,170) | (7,583) | |||||||||||||||||||
| NET INCOME ATTRIBUTABLE TO THE TRUST | 115,693 | 114,936 | 385,491 | 261,498 | |||||||||||||||||||
| Dividends on preferred shares | (2,008) | (2,011) | (8,034) | (8,042) | |||||||||||||||||||
| NET INCOME AVAILABLE FOR COMMON SHAREHOLDERS | $ | 113,685 | $ | 112,925 | $ | 377,457 | $ | 253,456 | |||||||||||||||
| EARNINGS PER COMMON SHARE, BASIC: | |||||||||||||||||||||||
| Net income available for common shareholders | $ | 1.40 | $ | 1.45 | $ | 4.71 | $ | 3.26 | |||||||||||||||
| Weighted average number of common shares | 80,966 | 77,536 | 79,854 | 77,336 | |||||||||||||||||||
| EARNINGS PER COMMON SHARE, DILUTED: | |||||||||||||||||||||||
| Net income available for common shareholders | $ | 1.40 | $ | 1.44 | $ | 4.71 | $ | 3.26 | |||||||||||||||
| Weighted average number of common shares | 81,613 | 78,556 | 80,508 | 77,368 | |||||||||||||||||||
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| Federal Realty Investment Trust | |||||||||||
| Consolidated Balance Sheets | |||||||||||
| December 31, 2022 | |||||||||||
| December 31, | December 31, | ||||||||||
| 2022 | 2021 | ||||||||||
| (in thousands, except share and per share data) | |||||||||||
| ASSETS | |||||||||||
| Real estate, at cost | |||||||||||
Operating (including $1,997,583 and $2,207,648 of consolidated variable interest entities, respectively) | $ | 9,441,945 | $ | 8,814,791 | |||||||
Construction-in-progress (including $8,477 and $18,752 of consolidated variable interest entities, respectively) | 662,554 | 607,271 | |||||||||
| 10,104,499 | 9,422,062 | ||||||||||
Less accumulated depreciation and amortization (including $362,921 and $389,950 of consolidated variable interest entities, respectively) | (2,715,817) | (2,531,095) | |||||||||
| Net real estate | 7,388,682 | 6,890,967 | |||||||||
| Cash and cash equivalents | 85,558 | 162,132 | |||||||||
| Accounts and notes receivable, net | 197,648 | 169,007 | |||||||||
| Mortgage notes receivable, net | 9,456 | 9,543 | |||||||||
| Investment in partnerships | 145,205 | 13,027 | |||||||||
| Operating lease right of use assets | 94,569 | 90,743 | |||||||||
| Finance lease right of use assets | 45,467 | 49,832 | |||||||||
| Prepaid expenses and other assets | 267,406 | 237,069 | |||||||||
| TOTAL ASSETS | $ | 8,233,991 | $ | 7,622,320 | |||||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||
| Liabilities | |||||||||||
Mortgages payable, net (including $191,827 and $335,301 of consolidated variable interest entities, respectively) | $ | 320,615 | $ | 339,993 | |||||||
| Notes payable, net | 601,077 | 301,466 | |||||||||
| Senior notes and debentures, net | 3,407,701 | 3,406,088 | |||||||||
| Accounts payable and accrued expenses | 190,340 | 235,168 | |||||||||
| Dividends payable | 90,263 | 86,538 | |||||||||
| Security deposits payable | 28,508 | 25,331 | |||||||||
| Operating lease liabilities | 77,743 | 72,661 | |||||||||
| Finance lease liabilities | 67,660 | 72,032 | |||||||||
| Other liabilities and deferred credits | 237,699 | 206,187 | |||||||||
| Total liabilities | 5,021,606 | 4,745,464 | |||||||||
| Commitments and contingencies | |||||||||||
| Redeemable noncontrolling interests | 178,370 | 213,708 | |||||||||
| Shareholders’ equity | |||||||||||
Preferred shares, authorized 15,000,000 shares, $0.01 par: | |||||||||||
| 5.0% Series C Cumulative Redeemable Preferred Shares, (stated at liquidation preference $25,000 per share), 6,000 shares issued and outstanding | 150,000 | 150,000 | |||||||||
5.417% Series 1 Cumulative Convertible Preferred Shares, (stated at liquidation preference $25 per share), 392,878 and 399,896 shares issued and outstanding, respectively | 9,822 | 9,997 | |||||||||
Common shares of beneficial interest, $.01 par, 100,000,000 shares authorized, 81,342,959 and 78,603,305 shares issued and outstanding, respectively | 818 | 790 | |||||||||
| Additional paid-in capital | 3,821,801 | 3,488,794 | |||||||||
| Accumulated dividends in excess of net income | (1,034,186) | (1,066,932) | |||||||||
| Accumulated other comprehensive income (loss) | 5,757 | (2,047) | |||||||||
| Total shareholders’ equity of the Trust | 2,954,012 | 2,580,602 | |||||||||
| Noncontrolling interests | 80,003 | 82,546 | |||||||||
| Total shareholders’ equity | 3,034,015 | 2,663,148 | |||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 8,233,991 | $ | 7,622,320 | |||||||
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| Federal Realty Investment Trust | ||||||||||||||||||||||||||
| Funds From Operations / Other Supplemental Information | ||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||||||||||||
| December 31, | December 31, | |||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
| (in thousands, except per share data) | ||||||||||||||||||||||||||
| Funds from Operations available for common shareholders (FFO) (1) | ||||||||||||||||||||||||||
| Net income | $ | 117,692 | $ | 116,742 | $ | 395,661 | $ | 269,081 | ||||||||||||||||||
| Net income attributable to noncontrolling interests | (1,999) | (1,806) | (10,170) | (7,583) | ||||||||||||||||||||||
| Gain on deconsolidation of VIE | — | — | (70,374) | — | ||||||||||||||||||||||
| Gain on sale of real estate and change in control of interest | (63,760) | (72,464) | (93,483) | (89,892) | ||||||||||||||||||||||
| Depreciation and amortization of real estate assets | 70,582 | 68,941 | 266,741 | 243,711 | ||||||||||||||||||||||
| Amortization of initial direct costs of leases | 8,139 | 5,924 | 27,268 | 26,051 | ||||||||||||||||||||||
| Funds from operations | 130,654 | 117,337 | 515,643 | 441,368 | ||||||||||||||||||||||
| Dividends on preferred shares (2) | (1,875) | (1,875) | (7,500) | (8,042) | ||||||||||||||||||||||
| Income attributable to downREIT operating partnership units | 699 | 731 | 2,810 | 2,998 | ||||||||||||||||||||||
| Income attributable to unvested shares | (445) | (427) | (1,797) | (1,581) | ||||||||||||||||||||||
| FFO | $ | 129,033 | $ | 115,766 | $ | 509,156 | $ | 434,743 | ||||||||||||||||||
| Weighted average number of common shares, diluted (2)(3) | 81,707 | 78,556 | 80,603 | 78,072 | ||||||||||||||||||||||
| FFO per diluted share (3) | $ | 1.58 | $ | 1.47 | $ | 6.32 | $ | 5.57 | ||||||||||||||||||
| Dividends and Payout Ratios | ||||||||||||||||||||||||||
| Regular common dividends declared | $ | 87,844 | $ | 84,116 | $ | 344,711 | $ | 332,116 | ||||||||||||||||||
| Dividend payout ratio as a percentage of FFO | 68 | % | 73 | % | 68 | % | 76 | % | ||||||||||||||||||
| Summary of Capital Expenditures | ||||||||||||||||||||||||||
| Non-maintenance capital expenditures | ||||||||||||||||||||||||||
| Development, redevelopment and expansions | $ | 72,531 | $ | 82,906 | $ | 288,518 | $ | 366,045 | ||||||||||||||||||
| Tenant improvements and incentives | 23,993 | 15,346 | 79,140 | 50,978 | ||||||||||||||||||||||
| Total non-maintenance capital expenditures | 96,524 | 98,252 | 367,658 | 417,023 | ||||||||||||||||||||||
| Maintenance capital expenditures | 11,981 | 6,373 | 35,910 | 17,108 | ||||||||||||||||||||||
| Total capital expenditures | $ | 108,505 | $ | 104,625 | $ | 403,568 | $ | 434,131 | ||||||||||||||||||
| Noncontrolling Interests Supplemental Information (4) | ||||||||||||||||||||||||||
| Property operating income (1) | $ | 3,339 | $ | 3,828 | $ | 16,931 | $ | 14,290 | ||||||||||||||||||
| Gain on sale of real estate, net | — | 59 | — | 59 | ||||||||||||||||||||||
| Depreciation and amortization | (1,873) | (2,371) | (8,405) | (7,926) | ||||||||||||||||||||||
| Interest expense | (166) | (440) | (1,166) | (1,838) | ||||||||||||||||||||||
| Net income | $ | 1,300 | $ | 1,076 | $ | 7,360 | $ | 4,585 | ||||||||||||||||||
Notes:
1)See Glossary of Terms.
2)For the three months and year ended December 31, 2022 and the three months ended December 31, 2021, dividends on our Series 1 preferred stock were not deducted in the calculation of FFO available to common shareholders, as the related shares were dilutive and are included in "weighted average common shares, diluted."
3)For the three months and year ended December 31, 2021, the weighted average common shares used to compute FFO per diluted common share includes downREIT operating partnership units that were excluded from the computation of diluted EPS. Conversion of these operating partnership units is dilutive in the computation of FFO per diluted share, but is anti-dilutive for the computation of dilutive EPS for these periods.
4)Amounts reflect the components of "net income attributable to noncontrolling interests," but excludes "income attributable to downREIT operating partnership units."
9
| Federal Realty Investment Trust | ||||||||||||||||||||||||||
| Components of Rental Income and Other Information | ||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||
| Components of Rental Income (1) | Three Months Ended | Year Ended | ||||||||||||||||||||||||
| December 31, | December 31, | |||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
| (in thousands) | ||||||||||||||||||||||||||
| Minimum rents (2) | ||||||||||||||||||||||||||
| Commercial | $ | 180,746 | $ | 170,857 | $ | 700,517 | $ | 657,653 | ||||||||||||||||||
| Residential | 25,482 | 22,556 | 98,233 | 82,467 | ||||||||||||||||||||||
| Cost reimbursements | 53,401 | 47,692 | 200,393 | 179,202 | ||||||||||||||||||||||
| Percentage rents | 6,156 | 3,718 | 18,803 | 9,259 | ||||||||||||||||||||||
| Other (3) | 12,637 | 11,068 | 51,374 | 43,354 | ||||||||||||||||||||||
| Collectibility related impact (4) | 1,354 | (2,003) | 3,972 | $ | (23,093) | |||||||||||||||||||||
| Total rental income | $ | 279,776 | $ | 253,888 | $ | 1,073,292 | $ | 948,842 | ||||||||||||||||||
Notes:
1)All income from tenant leases is reported as a single line item called "rental income." We have provided the above supplemental information with a breakout of the contractual components of the rental income line, however, these breakouts are provided for informational purposes only and should be considered a non-GAAP presentation.
2)Minimum rents include the following:
| Three Months Ended | Year Ended | ||||||||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||||||||
| Straight-line rents | $ | 3.9 | $ | 5.3 | $ | 18.3 | $ | 18.2 | |||||||||||||||||||||
| Amortization of in-place leases | $ | 3.0 | $ | 2.5 | $ | 11.1 | $ | 8.7 | |||||||||||||||||||||
3)For the year ended December 31, 2021, other rental income includes a $2.8 million net lease termination fee related to a tenant who vacated early in Q2 2021; the $2.8 million is net of the write-off of $8.8 million of a straight-line rent receivable.
4)For the three months and year ended December 31, 2022, our collectability related impact includes the collection of approximately $2 million and $9 million, respectively, of prior period rents which were contractually deferred or payment re-negotiated specifically related to the COVID-19 pandemic, and is partially offset by less than $1 million and approximately $4 million related to the abatement of contractual rents due to COVID-19 for the three months and year ended December 31, 2022, respectively, and cash basis tenants who did not make full contractual rent payments.
| Information on Cash Basis Tenants (5) | As of December 31, 2022 | ||||||||||
| Total | % Recognized on a Cash Basis | ||||||||||
| Active commercial tenant leases | 3,261 | 31% | |||||||||
| Annualized base rent from commercial tenants (in millions) (6) | $ | 727 | 25% | ||||||||
Notes:
5)Tenants are recognized on a cash basis of accounting when we determine collection of substantially all lease payments during the lease term is not considered probable; revenue is then limited to the lesser of revenue recognized under accrual accounting or cash received. Our full revenue recognition policy with respect to leases can be found in Note 2 of our December 31, 2022 Annual Report on Form 10-K.
6)See Glossary of Terms. Includes our 77.7% pro-rata share of Escondido Promenade
COVID-19 Related Rent Deferrals
| Cumulative contractual rent deferred (in millions) (7) | $ | 48 | ||||||
| Cumulative deferral payments collected through December 31, 2022 (in millions) (8) | $ | 35 | ||||||
Notes:
7)Total contractual rent for April 2020 through December 2022 that has been deferred pursuant to modification agreements signed through December 31, 2022. Accrual basis tenants comprise approximately 50% of this cumulative deferred rent for executed agreements in place as of December 31, 2022.
8)Deferral payments collected to date represent approximately 90% of the amounts agreed to be repaid by December 31, 2022.
10
| Federal Realty Investment Trust | |||||||||||||||||||||||||||||
| Comparable Property Information | |||||||||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||||||||
| The following information is being provided for “Comparable Properties.” Comparable Properties represents our consolidated property portfolio other than those properties that distort comparability between periods in two primary categories: (1) assets that were not owned for the full quarter in both periods presented and (2) assets currently under development or being repositioned for significant redevelopment and investment. The assets excluded from Comparable Properties in Q4 include: Assembly Row Phase 3, CocoWalk, Darien Commons, Huntington Shoping Center, Pike & Rose Phase 3, Willow Grove Shopping Center, and all properties acquired, disposed of, or deconsolidated from Q4 2021 to Q4 2022. Comparable Property property operating income ("Comparable Property POI") is a non-GAAP measure used by management in evaluating the operating performance of our properties period over period. The amounts shown below for the years ended December 31, 2022 and 2021 reflect the summation of our reported quarterly results. | |||||||||||||||||||||||||||||
| Reconciliation of GAAP operating income to Comparable Property POI | |||||||||||||||||||||||||||||
| Three Months Ended | Year Ended | ||||||||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||||||||
| Operating income | $ | 155,097 | $ | 147,490 | $ | 526,408 | $ | 394,725 | |||||||||||||||||||||
| Add: | |||||||||||||||||||||||||||||
| Depreciation and amortization | 79,165 | 77,816 | 302,409 | 279,976 | |||||||||||||||||||||||||
| General and administrative | 13,590 | 14,499 | 52,636 | 49,856 | |||||||||||||||||||||||||
| Gain on deconsolidation of VIE | — | — | (70,374) | — | |||||||||||||||||||||||||
| Gain on sale of real estate and change in control of interest | (63,760) | (72,522) | (93,483) | (89,950) | |||||||||||||||||||||||||
| Property operating income (POI) | 184,092 | 167,283 | 717,596 | 634,607 | |||||||||||||||||||||||||
| Less: Non-comparable POI - acquisitions/dispositions | (6,749) | (3,329) | (30,936) | (12,285) | |||||||||||||||||||||||||
| Less: Non-comparable POI - redevelopment, development & other | (12,416) | (7,531) | (40,019) | (22,043) | |||||||||||||||||||||||||
| Comparable property POI | $ | 164,927 | $ | 156,423 | $ | 646,641 | $ | 600,279 | |||||||||||||||||||||
| Additional information regarding the components of Comparable Property POI | |||||||||||||||||||||||||||||
| Three Months Ended | Year Ended | ||||||||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||||||||
| 2022 | 2021 | % Change | 2022 | 2021 | % Change | ||||||||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||||||||
| Rental income | $ | 246,793 | $ | 233,181 | $ | 953,668 | $ | 891,015 | |||||||||||||||||||||
| Rental expenses | (51,994) | (48,862) | (192,472) | (179,463) | |||||||||||||||||||||||||
| Real estate taxes | (29,872) | (27,896) | (114,555) | (111,273) | |||||||||||||||||||||||||
| (81,866) | (76,758) | (307,027) | (290,736) | ||||||||||||||||||||||||||
| Comparable property POI | $ | 164,927 | $ | 156,423 | 5.4 | % | $ | 646,641 | $ | 600,279 | 7.7 | % | |||||||||||||||||
| Comparable Property - Summary of Capital Expenditures (1) | |||||||||||||||||||||||||||||
| Three Months Ended | Year Ended | ||||||||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||
| (in thousands) | (in thousands) | ||||||||||||||||||||||||||||
| Redevelopment and tenant improvements and incentives | $ | 40,458 | $ | 43,229 | $ | 145,519 | $ | 131,857 | |||||||||||||||||||||
| Maintenance capital expenditures | 11,947 | 5,527 | 35,179 | 15,635 | |||||||||||||||||||||||||
| $ | 52,405 | $ | 48,756 | $ | 180,698 | $ | 147,492 | ||||||||||||||||||||||
| Comparable Property - Occupancy Statistics (2) | |||||||||||||||||||||||||||||
| At December 31, | |||||||||||||||||||||||||||||
| 2022 | 2021 | ||||||||||||||||||||||||||||
| GLA - comparable commercial properties | 23,727,000 | 23,571,000 | |||||||||||||||||||||||||||
| Leased % - comparable commercial properties | 94.3% | 93.9% | |||||||||||||||||||||||||||
| Occupancy % - comparable commercial properties | 92.5% | 91.4% | |||||||||||||||||||||||||||
Notes:
1)See page 9 for "Summary of Capital Expenditures" for our entire portfolio.
2)See page 27 for entire portfolio occupancy statistics.
11
| Federal Realty Investment Trust | |||||||||||||||||
| Market Data | |||||||||||||||||
| December 31, 2022 | |||||||||||||||||
| December 31, | |||||||||||||||||
| 2022 | 2021 | ||||||||||||||||
| (in thousands, except per share data) | |||||||||||||||||
| Market Data | |||||||||||||||||
| Common shares outstanding and downREIT operating partnership units (1) | 81,988 | 79,270 | |||||||||||||||
| Market price per common share | $ | 101.04 | $ | 136.32 | |||||||||||||
| Common equity market capitalization including downREIT operating partnership units | $ | 8,284,068 | $ | 10,806,086 | |||||||||||||
| Series C preferred shares outstanding | 6 | 6 | |||||||||||||||
| Liquidation price per Series C preferred share | $ | 25,000 | $ | 25,000 | |||||||||||||
| Series C preferred equity market capitalization | $ | 150,000 | $ | 150,000 | |||||||||||||
| Series 1 preferred shares outstanding (2) | 393 | 400 | |||||||||||||||
| Liquidation price per Series 1 preferred share | $ | 25.00 | $ | 25.00 | |||||||||||||
| Series 1 preferred equity market capitalization | $ | 9,825 | $ | 10,000 | |||||||||||||
| Equity market capitalization | $ | 8,443,893 | $ | 10,966,086 | |||||||||||||
| Total debt | $ | 4,329,393 | $ | 4,047,547 | |||||||||||||
| Less: cash and cash equivalents | (85,558) | (162,132) | |||||||||||||||
| Total net debt (3) | $ | 4,243,835 | $ | 3,885,415 | |||||||||||||
| Total market capitalization | $ | 12,687,728 | $ | 14,851,501 | |||||||||||||
| Total net debt to market capitalization at market price per common share | 33 | % | 26 | % | |||||||||||||
| Total net debt to market capitalization at a constant common share price of $136.32 | 27 | % | 26 | % | |||||||||||||
Notes:
1)Amounts include 644,554 and 666,831 downREIT operating partnership units outstanding at December 31, 2022 and 2021, respectively.
2)These shares, issued March 8, 2007, are unregistered.
3)Total net debt includes mortgages payable, notes payable, senior notes and debentures, net of premiums/discounts and debt issuance costs and net of cash and cash equivalents from our consolidated balance sheet.
12
| Federal Realty Investment Trust | |||||||||||||||||||||||||||||||||||
| Summary of Outstanding Debt | |||||||||||||||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||||||||||||||
| As of December 31, 2022 | |||||||||||||||||||||||||||||||||||
| Stated maturity date | Stated interest rate | Balance | Weighted average effective rate (8) | ||||||||||||||||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||||||||||||||
| Mortgages Payable (1) | |||||||||||||||||||||||||||||||||||
| Secured fixed rate | |||||||||||||||||||||||||||||||||||
| Azalea | 11/1/2025 | 3.73% | $ | 40,000 | |||||||||||||||||||||||||||||||
| Bell Gardens | 8/1/2026 | 4.06% | 11,835 | ||||||||||||||||||||||||||||||||
| Plaza El Segundo | 6/5/2027 | 3.83% | 125,000 | ||||||||||||||||||||||||||||||||
| The Grove at Shrewsbury (East) | 9/1/2027 | 3.77% | 43,600 | ||||||||||||||||||||||||||||||||
| Brook 35 | 7/1/2029 | 4.65% | 11,500 | ||||||||||||||||||||||||||||||||
| Hoboken (24 Buildings) (2) | 12/15/2029 | LIBOR + 1.95% | 55,060 | ||||||||||||||||||||||||||||||||
| Various Hoboken (14 Buildings) | Various through 2029 | Various (3) | 30,876 | ||||||||||||||||||||||||||||||||
| Chelsea | 1/15/2031 | 5.36% | 4,446 | ||||||||||||||||||||||||||||||||
| Subtotal | 322,317 | ||||||||||||||||||||||||||||||||||
| Net unamortized debt issuance costs and premium | (1,702) | ||||||||||||||||||||||||||||||||||
| Total mortgages payable, net | 320,615 | 4.02% | |||||||||||||||||||||||||||||||||
| Notes payable | |||||||||||||||||||||||||||||||||||
| Term Loan (4) | 4/16/2024 | SOFR + 0.85% | 600,000 | ||||||||||||||||||||||||||||||||
| Revolving Credit Facility (4)(5) | 4/5/2027 | SOFR + 0.775% | — | ||||||||||||||||||||||||||||||||
| Various | Various through 2059 | Various (6) | 2,957 | ||||||||||||||||||||||||||||||||
| Subtotal | 602,957 | ||||||||||||||||||||||||||||||||||
| Net unamortized debt issuance costs | (1,880) | ||||||||||||||||||||||||||||||||||
| Total notes payable, net | 601,077 | 5.40% | (9) | ||||||||||||||||||||||||||||||||
| Senior notes and debentures | |||||||||||||||||||||||||||||||||||
| Unsecured fixed rate | |||||||||||||||||||||||||||||||||||
| 2.75% notes | 6/1/2023 | 2.75% | 275,000 | ||||||||||||||||||||||||||||||||
| 3.95% notes | 1/15/2024 | 3.95% | 600,000 | ||||||||||||||||||||||||||||||||
| 1.25% notes | 2/15/2026 | 1.25% | 400,000 | ||||||||||||||||||||||||||||||||
| 7.48% debentures | 8/15/2026 | 7.48% | 29,200 | ||||||||||||||||||||||||||||||||
| 3.25% notes | 7/15/2027 | 3.25% | 475,000 | ||||||||||||||||||||||||||||||||
| 6.82% medium term notes | 8/1/2027 | 6.82% | 40,000 | ||||||||||||||||||||||||||||||||
| 3.20% notes | 6/15/2029 | 3.20% | 400,000 | ||||||||||||||||||||||||||||||||
| 3.50% notes | 6/1/2030 | 3.50% | 400,000 | ||||||||||||||||||||||||||||||||
| 4.50% notes | 12/1/2044 | 4.50% | 550,000 | ||||||||||||||||||||||||||||||||
| 3.625% notes | 8/1/2046 | 3.63% | 250,000 | ||||||||||||||||||||||||||||||||
| Subtotal | 3,419,200 | ||||||||||||||||||||||||||||||||||
| Net unamortized debt issuance costs and premium | (11,499) | ||||||||||||||||||||||||||||||||||
| Total senior notes and debentures, net | 3,407,701 | 3.49% | |||||||||||||||||||||||||||||||||
| Total debt, net | $ | 4,329,393 | (7) | ||||||||||||||||||||||||||||||||
| Total fixed rate debt, net | $ | 3,731,234 | 86 | % | 3.54% | ||||||||||||||||||||||||||||||
| Total variable rate debt, net | 598,159 | 14 | % | 5.39% | (9) | ||||||||||||||||||||||||||||||
| Total debt, net | $ | 4,329,393 | 100 | % | 3.79% | (9) | |||||||||||||||||||||||||||||
13
| Three Months Ended | Year Ended | ||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
| Operational Statistics | |||||||||||||||||||||||
| Ratio of EBITDAre to combined fixed charges and preferred share dividends (10) | 3.7x | 3.9x | 4.0x | 3.6x | |||||||||||||||||||
Notes:
1)Mortgages payable does not include our share of debt on our unconsolidated real estate partnerships. At December 31, 2022, our share of unconsolidated debt was approximately $62.2 million. At December 31, 2022, our noncontrolling interests' share of mortgages payable was $15.7 million.
2)We have two interest rate swap agreements that fix the interest rate on the mortgage loan at 3.67%.
3)The interest rates on these mortgages range from 3.91% to 5.00%.
4)Our revolving credit facility SOFR loans bear interest at Daily Simple SOFR or Term SOFR as defined in the credit agreement and our term loan bears interest at Term SOFR, plus 0.10%, plus a spread, based on our current credit rating.
5)The maximum amount drawn under our $1.25 billion revolving credit facility during the three months and year ended December 31, 2022 was $291.0 million and $330.0 million, respectively. The weighted average interest rate on borrowings under our credit facility, before amortization of debt fees, for the three months and year ended December 31, 2022 was 4.3% and 3.2%, respectively.
6)The interest rates on these notes payable range from 3.00% to 11.31%.
7)The weighted average remaining term on our mortgages payable, notes payable, and senior notes and debentures is approximately 7 years.
8)The weighted average effective interest rate includes the amortization of any debt issuance costs and discounts and premiums, if applicable, except as described in Note 9.
9)The weighted average effective interest rate excludes $0.9 million in quarterly financing fees and quarterly debt fee amortization on our revolving credit facility.
10)Fixed charges consist of interest on borrowed funds and finance leases (including capitalized interest), amortization of debt discount/premium and debt costs, and the portion of rent expense representing an interest factor. EBITDAre is reconciled to net income in the Glossary of Terms.
14
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||
| Summary of Debt Maturities | ||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||
| Year | Scheduled Amortization | Maturities | Total | Percent of Debt Maturing | Cumulative Percent of Debt Maturing | Weighted Average Rate (4) | ||||||||||||||||||||||||||||||||
| (in thousands) | ||||||||||||||||||||||||||||||||||||||
| 2023 | $ | 3,893 | $ | 275,000 | $ | 278,893 | 6.4 | % | 6.4 | % | 3.0 | % | ||||||||||||||||||||||||||
| 2024 | 3,970 | 1,200,000 | (1) | 1,203,970 | 27.7 | % | 34.1 | % | 4.5 | % | ||||||||||||||||||||||||||||
| 2025 | 3,750 | 44,298 | 48,048 | 1.1 | % | 35.2 | % | 3.9 | % | |||||||||||||||||||||||||||||
| 2026 | 3,066 | 452,450 | 455,516 | 10.5 | % | 45.7 | % | 2.1 | % | |||||||||||||||||||||||||||||
| 2027 | 2,633 | 690,682 | (2) | 693,315 | 16.0 | % | 61.7 | % | 3.8 | % | (5) | |||||||||||||||||||||||||||
| 2028 | 2,509 | — | 2,509 | 0.1 | % | 61.8 | % | 5.4 | % | |||||||||||||||||||||||||||||
| 2029 | 2,327 | 458,105 | 460,432 | 10.6 | % | 72.4 | % | 3.3 | % | |||||||||||||||||||||||||||||
| 2030 | 681 | 400,000 | 400,681 | 9.2 | % | 81.6 | % | 3.7 | % | |||||||||||||||||||||||||||||
| 2031 | 110 | — | 110 | — | % | 81.6 | % | 5.9 | % | |||||||||||||||||||||||||||||
| 2032 | — | — | — | — | % | 81.6 | % | — | % | |||||||||||||||||||||||||||||
| Thereafter | — | 801,000 | 801,000 | 18.4 | % | 100.0 | % | 4.2 | % | |||||||||||||||||||||||||||||
| Total | $ | 22,939 | $ | 4,321,535 | $ | 4,344,474 | (3) | 100.0 | % | |||||||||||||||||||||||||||||
Notes:
1)Our $600.0 million term loan matures on April 16, 2024, plus two one-year extensions at our option.
2)Our $1.25 billion revolving credit facility matures on April 5, 2027, plus two six-month extensions at our option. As of December 31, 2022, there was no balance outstanding under this credit facility.
3)The total debt maturities differ from the total reported on the consolidated balance sheet due to the debt issuance costs and unamortized net premium/discount on certain mortgage loans, notes payable, and senior notes as of December 31, 2022.
4)The weighted average rate reflects the weighted average interest rate on debt maturing in the respective year.
5)The weighted average rate excludes $0.9 million in quarterly financing fees and quarterly debt fee amortization on our $1.25 billion revolving credit facility.
15
| Federal Realty Investment Trust | ||||||||||||||||||||
| Summary of Redevelopment Opportunities | ||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||
| The following redevelopment opportunities have received or will shortly receive all necessary approvals to proceed and are actively being worked on by the Trust. (1) | ||||||||||||||||||||
| Impacts of Current Environment: | ||||||||||||||||||||
| Information provided below reflects management’s best estimate based on current available information, however the completion of construction, final costs, return on investment, and timing of stabilization may be impacted by the current environment, including the impacts of inflation and other items currently affecting the broader economy. | ||||||||||||||||||||
| Property | Location | Opportunity | Projected ROI (2) | Projected Cost (1) | Cost to Date | Anticipated Stabilization (3) | ||||||||||||||
| (in millions) | (in millions) | |||||||||||||||||||
| Projects Stabilized in 2022 | ||||||||||||||||||||
| CocoWalk (4) | Coconut Grove, FL | Entire shopping center redevelopment to include: demolition of three story east wing of the property and construction of a 107,000 square foot 5-story office/retail building with 22,000 square feet of retail; complete renovation of the west wing | 6 | % | $97 | $95 | Stabilized | |||||||||||||
| Azalea | Southgate, CA | Development of a new 3,000 square foot single tenant pad building | 7 | % | $2 | $2 | Stabilized | |||||||||||||
| Total Projects Stabilized in 2022 (3)(5) | 6 | % | $99 | $97 | ||||||||||||||||
| Active Redevelopment Projects | ||||||||||||||||||||
| Darien Commons | Darien, CT | Demolition of a 45,000 square foot anchor space to construct 75,000 square feet of new retail space, 122 rental apartments, and 720 parking spaces | 6 | % | $110 - $120 | $101 | 2023 | |||||||||||||
| Huntington | Huntington, NY | Demolition of the main two level building consisting of 161,000 square feet of anchor and small shop space to construct 102,000 square feet of new ground-level anchor and small shop retail space | 7 | % | $80 - $85 | $41 | 2024 | |||||||||||||
| Lawrence Park | Broomall, PA | Full shopping center redevelopment to include expansion of Main Line Health into vacant lower level space, creation of 17,800 square feet of small shop space converted from vacated anchor space, a new 2,000 square foot bank pad building, and a façade renovation for the entire center | 8 | % | $15 | $15 | 2023 | |||||||||||||
| Willow Grove | Willow Grove, PA | Development of a new 17,000 square foot multi-tenant pad building | 7 | % | $11 | $1 | 2024 | |||||||||||||
| Flourtown | Flourtown, PA | Development of a new 2,450 square foot bank pad building | 7 | % | $2 | $1 | 2023 | |||||||||||||
| Dedham | Dedham, MA | Development of a new 4,000 square foot pad building with drive-thru pre-leased to a restaurant tenant | 7 | % | $2 | $1 | 2023 | |||||||||||||
| Total Active Redevelopment Projects (5) | 7 | % | $220 - $235 | $160 | ||||||||||||||||
| Active Property Improvement Projects (6) | ||||||||||||||||||||
| Various Properties | Ongoing improvements at 25 properties to better position those properties to capture a disproportionate amount of retail demand post-COVID | 6% - 13% | $116 | $80 | ||||||||||||||||
Notes:
(1)There is no guarantee that the Trust will ultimately complete any or all of these opportunities, that the Projected Return on Investment (ROI) or Projected Costs will be the amounts shown or that stabilization will occur as anticipated. The projected ROI and Projected Cost are management's best estimate based on current information and may change over time.
(2)Projected ROI for redevelopment projects generally reflects only the deal specific cash, unleveraged incremental Property Operating Income (POI) generated by the redevelopment and is calculated as Incremental POI divided by incremental cost. Incremental POI is the POI generated by the redevelopment after deducting rent being paid or management's estimate of rent to be paid for the redevelopment space and any other space taken out of service to accommodate the redevelopment. Projected ROI for redevelopment projects generally does not include peripheral impacts, such as the impact on future lease rollovers at the property or the impact on the long-term value of the property but may for certain property improvement projects.
(3)Stabilization is generally the year in which 90% physical occupancy of the redeveloped space is achieved. Economic stabilization may occur at a later point in time.
(4)CocoWalk has stabilized from an economic perspective during 2022 with a full year of stabilized POI of approximately $11 million in 2023. 2022 has generated approximately 90% of this amount.
(5)All subtotals and totals reflect cost weighted-average ROIs.
(6)Property improvement projects generally consist of façade renovations, site improvements, landscaping, improved outdoor amenity spaces, and other upgrades to improve the overall look and environment of the property. These projects improve overall tenant and customer experiences, improve market rents, drive leasing demand, and/or provide outdoor spaces critical to meeting the needs of the current environment. Returns on these projects are typically seen over one to five years, however, some projects could extend beyond that. Projected ROI range reflects management's best estimate of the long term expected return on cost of these investments.
16
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||
| Assembly Row, Pike & Rose, and Santana Row | ||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||
| Impacts of Current Environment: | ||||||||||||||||||||||||||||||||||||||
| Information provided below reflects management’s best estimate based on current available information, however the completion of construction, final costs, return on investment, and timing of stabilization may be impacted by the current environment, including the impacts of inflation and other items affecting the broader economy. | ||||||||||||||||||||||||||||||||||||||
| Projected POI Delivered | ||||||||||||||||||||||||||||||||||||||
| (as a % of Total) | ||||||||||||||||||||||||||||||||||||||
| Projected | Total | Costs to | For Year Ended December 31, (2) | |||||||||||||||||||||||||||||||||||
| Actual | Projected | |||||||||||||||||||||||||||||||||||||
| Property (1) | Opportunity | ROI (2) | Cost (3) | Date | 2022 | 2023 | Expected Opening Timeframe | |||||||||||||||||||||||||||||||
| (in millions) | (in millions) | (as a % of Total) | ||||||||||||||||||||||||||||||||||||
Assembly Row, Somerville, MA | ||||||||||||||||||||||||||||||||||||||
| Phase III | - 277,000 SF of office - 500 residential units - 56,000 SF of retail | 6% | $475 - 485 | $473 | 70% | 95 - 100% | 300,000 SF of commercial space leased Residential units - 95% leased at 12/31/22 | |||||||||||||||||||||||||||||||
| Future Phases | - 1.5M SF of commercial - 326 residential units | TBD | TBD | |||||||||||||||||||||||||||||||||||
Pike & Rose, North Bethesda, MD | ||||||||||||||||||||||||||||||||||||||
| 909 Rose Avenue (Phase III) | -212,000 SF of office -7,000 SF of retail | 6-7% | $130 - 135 | $128 | (4) | 65% | 95 - 100% | Office/retail fully leased | ||||||||||||||||||||||||||||||
| 915 Meeting Street (Phase IV) | -266,000 SF of office -10,000 SF of retail | 6% | $185 - 200 | $96 | — | — | 157,000 SF of office space pre-leased | |||||||||||||||||||||||||||||||
| Future Phases | - 530,000 SF of commercial - 741 residential units | TBD | TBD | |||||||||||||||||||||||||||||||||||
Santana Row, San Jose, CA | ||||||||||||||||||||||||||||||||||||||
| Santana West | - 376,000 SF of office | 6-7% | $300 - 315 | $207 | — | — | ||||||||||||||||||||||||||||||||
| Future Phases | -321,000 SF of commercial -395 residential units -604,000 SF of commercial across from Santana Row | TBD | TBD | |||||||||||||||||||||||||||||||||||
Notes:
(1)Anticipated opening dates, total cost, and projected return on investment (ROI), and projected POI delivered are subject to adjustment as a result of factors inherent in the development process, some of which may not be under the direct control of the Company. Refer to the Company's filings with the Securities and Exchange Commission on Form 10-K and Form 10-Q for other risk factors.
(2)Projected ROI for development projects reflects the unleveraged Property Operating Income (POI) generated by the development and is calculated as POI divided by cost. Actual and projected POI delivered includes straight line rent.
(3)Projected costs for Assembly Row and Pike & Rose include an allocation of infrastructure costs for the entire project. Phase I of Santana West includes an allocation of infrastructure for the Santana West site.
(4)Federal Realty Investment Trust is leasing 45,000 square feet of office space at a market rent in Pike & Rose Phase III delivered in August 2020. Revenue related to this rent is eliminated in the consolidated financial statements.
17
| Federal Realty Investment Trust | |||||||||||||||||
| Future Redevelopment Opportunities | |||||||||||||||||
| December 31, 2022 | |||||||||||||||||
| We have identified the following potential opportunities to create future shareholder value. Executing these opportunities could be subject to government approvals, tenant consents, market conditions, etc. Work on many of these opportunities is in its preliminary stages and may not ultimately come to fruition. This list will change from time to time as we identify hurdles that cannot be overcome in the near term, and focus on those opportunities that are most likely to lead to the creation of shareholder value over time. | |||||||||||||||||
| Redevelopment Opportunities | |||||||||||||||||
| Property | Location | Expansion/Conversion (4) | Residential (5) | Mixed Use - Long Term | |||||||||||||
| Assembly Row (1) | Somerville, MA | ü | |||||||||||||||
| Bala Cynwyd | Bala Cynwyd, PA | ü | ü | ||||||||||||||
| Barracks Road | Charlottesville, VA | ü | ü | ||||||||||||||
| Bethesda Row | Bethesda, MD | ü | |||||||||||||||
| Camelback Colonnade | Phoenix, AZ | ü | |||||||||||||||
| Chelsea Commons | Chelsea, MA | ü | |||||||||||||||
| Dedham Plaza | Dedham, MA | ü | |||||||||||||||
| Escondido Promenade | Escondido, CA | ü | |||||||||||||||
| Fairfax Junction | Fairfax, VA | ü | |||||||||||||||
| Federal Plaza | Rockville, MD | ü | |||||||||||||||
| Fourth Street | Berkeley, CA | ü | |||||||||||||||
| Fresh Meadows | Queens, NY | ü | |||||||||||||||
| Friendship Center | Washington, DC | ü | |||||||||||||||
| Grossmont Center | La Mesa, CA | ü | |||||||||||||||
| Huntington | Huntington, NY | ü | |||||||||||||||
| Mercer Mall | Lawrenceville, NJ | ü | |||||||||||||||
| Pan Am | Fairfax, VA | ü | |||||||||||||||
| Pike & Rose (2) | North Bethesda, MD | ü | |||||||||||||||
| Pike 7 Plaza | Vienna, VA | ü | ü | ||||||||||||||
| Riverpoint Center | Chicago, IL | ü | |||||||||||||||
| Santana Row (3) | San Jose, CA | ü | |||||||||||||||
| Santana Row - Santana West (3) | San Jose, CA | ü | |||||||||||||||
| The AVENUE at White Marsh | White Marsh, MD | ü | |||||||||||||||
| Village at Shirlington | Arlington, VA | ü | |||||||||||||||
| Wildwood | Bethesda, MD | ü | |||||||||||||||
| Willow Grove | Willow Grove, PA | ü | |||||||||||||||
| (1) | Remaining entitlements at Assembly Row after Phase III include approximately 1.5 million square feet of commercial-use buildings and 326 residential units. | ||||||||||||||||
| (2) | Remaining entitlements at Pike & Rose after Phase IV include approximately 530,000 square feet of commercial-use buildings, and 741 residential units. | ||||||||||||||||
| (3) | Remaining entitlements at Santana Row include approximately 321,000 square feet of commercial space and 395 residential units, as well as approximately 604,000 square feet of commercial space across from Santana Row. | ||||||||||||||||
| (4) | Property expansion/conversion includes opportunities at successful retail properties to convert previously underutilized land into new GLA, to convert other existing uses into more productive uses for the property, and/or to add both single tenant and muti-tenant stand alone pad buildings. | ||||||||||||||||
| (5) | Residential includes opportunities to add residential units to existing retail and mixed-use properties. | ||||||||||||||||
18
| Federal Realty Investment Trust | |||||||||||||||||||||||||||||||||||
| Property Acquisitions, Significant Dispositions, & Other Transactions | |||||||||||||||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||||||||||||||
Property Acquisitions
| Date | Property | City/State | GLA | Purchase Price | Principal Tenants | |||||||||||||||||||||||||||
| (in square feet) | (in millions) | |||||||||||||||||||||||||||||||
| April 20, 2022 & July 27, 2022 | Kingstowne Towne Center | Kingstowne, Virginia | 410,000 | $ | 200.0 | Safeway / Giant / TJ Maxx / Ross Dress for Less / Homegoods / Five Below | ||||||||||||||||||||||||||
| July 18, 2022 | Hilton Village (office building) (1) | Scottsdale, Arizona | 212,000 | $ | 53.6 | |||||||||||||||||||||||||||
| July 27, 2022 | The Shops at Pembroke Gardens | Pembroke Pines, Florida | 391,000 | $ | 180.5 | Nike / DSW / Old Navy / Barnes & Noble | ||||||||||||||||||||||||||
| November 18, 2022 | Hoboken (301 Washington St.) (2) | Hoboken, New Jersey | N/A | $ | 9.0 | |||||||||||||||||||||||||||
| January 31, 2023 | Huntington Square (3) | East Northport, New York | 180,000 | $ | 35.5 | At Home / AMC | ||||||||||||||||||||||||||
(1)The land is controlled under a long-term ground lease that expires on September 30, 2075.
(2)This property, that we own a 90% ownership interest in, was acquired through our Hoboken joint venture, and is in the beginning stages of redevelopment.
(3)The purchase price includes the acquisition of the portions of the property not previously owned, as well as the acquisition of the fee interest in the land underneath the portion of Huntington Square shopping center which we control under a long-term ground lease.
On October 6, 2022, we acquired a 47.5% net interest in an unconsolidated joint venture that owns two shopping centers for a combined price of $58.9 million. The properties have combined mortgage debt of $76.1 million, of which, our share is approximately $36.2 million, a blended interest rate of 3.9%, and mature in October 2025. Additional information on the properties is listed below:
| Property | City/State | GLA | Purchase Price (our share) | Principal Tenants | ||||||||||||||||||||||
| (in square feet) | (in millions) | |||||||||||||||||||||||||
| Chandler Festival | Chandler, Arizona | 355,000 | $ | 40.8 | Ross Dress for Less / Nordstrom Rack / TJ Maxx / ULTA / Petsmart | |||||||||||||||||||||
| Chandler Gateway | Chandler, Arizona | 262,000 | $ | 18.1 | Walmart / Hobby Lobby / Petco | |||||||||||||||||||||
Significant Property Dispositions
| Date | Property | City/State | Sales Price | ||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||
| September 20, 2022 | Towson Residential (including retail pad) | Towson, Maryland | $ | 33.8 | |||||||||||||||||||
| September 26, 2022 | Rockville Town Square | Rockville, Maryland | $ | 33.0 | |||||||||||||||||||
| December 20, 2022 | Rollingwood Apartments | Silver Spring, Maryland | $ | 67.5 | |||||||||||||||||||
Other Transactions
On July 13, 2022, we acquired the 21.8% redeemable noncontrolling interest in the partnership that owns our Plaza El Segundo Shopping Center for $23.6 million, bringing our ownership interest to 100%.
On August 25, 2022, we entered into a tenancy in common ("TIC") agreement with our partner in the partnership that owned Escondido Promenade. As a result, the Company owns a 77.7% TIC interest, and our former partner owns the remaining 22.3% interest. While the Company controlled and consolidated Escondido Promenade under the previous partnership arrangement, control is shared under the TIC agreement. Accordingly, we deconsolidated the entity and recorded our TIC interest at fair value as an equity method investment resulting in a $70.4 million "gain on deconsolidation of VIE" on our consolidated statement of operations. In addition, we entered into a purchase option agreement to acquire the TIC interest from our co-owner, which was secured through an option payment of $1.5 million, and allows us to exercise our option at any time between February 1, 2023 and March 15, 2023. See Note 3 of our December 31, 2022 Form 10-K for additional information.
19
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Status Report | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property Name | MSA Description | Real Estate at Cost (1) | Mortgage/Finance Lease Liabilities (2) | Acreage | GLA (3) | % Leased (3) | % Occupied(3) | Average Rent PSF (4) | Residential Units | Grocery Anchor GLA | Grocery Anchor | Other Retail Tenants | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | (in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| California | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Azalea | (5) | Los Angeles-Long Beach-Anaheim, CA | 109,254 | $ | 40,000 | 22 | 223,000 | 100 | % | 99 | % | $28.48 | Marshalls / Ross Dress for Less / Ulta / Michaels | |||||||||||||||||||||||||||||||||||||||||||
| Bell Gardens | (5) | Los Angeles-Long Beach-Anaheim, CA | 118,443 | 11,835 | 32 | 330,000 | 98 | % | 98 | % | $23.58 | 67,000 | Food 4 Less | Marshalls / Ross Dress for Less / Bob's Discount Furniture | ||||||||||||||||||||||||||||||||||||||||||
| Colorado Blvd | Los Angeles-Long Beach-Anaheim, CA | 13,914 | 1 | 42,000 | 100 | % | 87 | % | $60.04 | Banana Republic / True Food Kitchen | ||||||||||||||||||||||||||||||||||||||||||||||
| Crow Canyon Commons | San Francisco-Oakland-Hayward, CA | 91,083 | 22 | 243,000 | 100 | % | 99 | % | $29.55 | 32,000 | Sprouts | Total Wine & More / Rite Aid / Alamo Ace Hardware | ||||||||||||||||||||||||||||||||||||||||||||
| East Bay Bridge | San Francisco-Oakland-Hayward, CA | 179,638 | 32 | 440,000 | 100 | % | 99 | % | $19.71 | 59,000 | Pak-N-Save | Home Depot / Target / Nordstrom Rack | ||||||||||||||||||||||||||||||||||||||||||||
| Escondido Promenade | (9) | San Diego-Carlsbad, CA | 134,417 | 18 | 298,000 | 99 | % | 95 | % | $29.37 | TJ Maxx / Dick’s Sporting Goods / Ross Dress For Less / Bob's Discount Furniture | |||||||||||||||||||||||||||||||||||||||||||||
| Fourth Street | (5) | San Francisco-Oakland-Hayward, CA | 27,819 | 3 | 71,000 | 81 | % | 81 | % | $32.59 | CB2 | |||||||||||||||||||||||||||||||||||||||||||||
| Freedom Plaza | (5) | Los Angeles-Long Beach-Anaheim, CA | 44,096 | 9 | 114,000 | 97 | % | 94 | % | $30.71 | 31,000 | Smart & Final | Nike / Blink Fitness / Ross Dress For Less | |||||||||||||||||||||||||||||||||||||||||||
| Grossmont Center | (5) | San Diego-Carlsbad, CA | 176,436 | 64 | 932,000 | 98 | % | 98 | % | $14.17 | Target / Walmart / Macy's / CVS | |||||||||||||||||||||||||||||||||||||||||||||
| Hastings Ranch Plaza | Los Angeles-Long Beach-Anaheim, CA | 25,717 | 15 | 273,000 | 100 | % | 100 | % | $8.59 | Marshalls / HomeGoods / CVS / Sears | ||||||||||||||||||||||||||||||||||||||||||||||
| Hollywood Blvd | Los Angeles-Long Beach-Anaheim, CA | 61,890 | 3 | 181,000 | 86 | % | 86 | % | $36.55 | Target / Marshalls / L.A. Fitness | ||||||||||||||||||||||||||||||||||||||||||||||
| Kings Court | (6) | San Jose-Sunnyvale-Santa Clara, CA | 11,631 | 8 | 81,000 | 100 | % | 100 | % | $42.31 | 31,000 | Lunardi's | CVS | |||||||||||||||||||||||||||||||||||||||||||
| Old Town Center | San Jose-Sunnyvale-Santa Clara, CA | 41,220 | 8 | 98,000 | 95 | % | 92 | % | $42.99 | Anthropologie / Sephora / Teleferic Barcelona | ||||||||||||||||||||||||||||||||||||||||||||||
| Olivo at Mission Hills | (5) | Los Angeles-Long Beach-Anaheim, CA | 82,683 | 12 | 155,000 | 100 | % | 100 | % | $33.26 | Target / 24 Hour Fitness / Ross Dress For Less | |||||||||||||||||||||||||||||||||||||||||||||
| Plaza Del Sol | (5) | Los Angeles-Long Beach-Anaheim, CA | 17,955 | 4 | 48,000 | 96 | % | 96 | % | $24.22 | Marshalls | |||||||||||||||||||||||||||||||||||||||||||||
| Plaza El Segundo / The Point | Los Angeles-Long Beach-Anaheim, CA | 304,431 | 125,000 | 50 | 501,000 | 85 | % | 82 | % | $48.03 | 66,000 | Whole Foods | Nordstrom Rack / HomeGoods / Dick's Sporting Goods / Multiple Restaurants | |||||||||||||||||||||||||||||||||||||||||||
| San Antonio Center | (6) | San Jose-Sunnyvale-Santa Clara, CA | 50,749 | 22 | 213,000 | 99 | % | 97 | % | $16.70 | 14,000 | Trader Joe's | Walmart / 24 Hour Fitness | |||||||||||||||||||||||||||||||||||||||||||
| Santana Row | San Jose-Sunnyvale-Santa Clara, CA | 1,280,100 | 45 | 1,206,000 | 99 | % | 95 | % | $56.56 | 662 | Crate & Barrel / Container Store / H&M / Best Buy / Multiple Restaurants | |||||||||||||||||||||||||||||||||||||||||||||
| Sylmar Towne Center | (5) | Los Angeles-Long Beach-Anaheim, CA | 46,319 | 12 | 148,000 | 93 | % | 93 | % | $17.57 | 43,000 | Food 4 Less | CVS | |||||||||||||||||||||||||||||||||||||||||||
| Third Street Promenade | Los Angeles-Long Beach-Anaheim, CA | 89,079 | 2 | 207,000 | 74 | % | 74 | % | $72.02 | adidas / Madewell / Patagonia / Multiple Restaurants | ||||||||||||||||||||||||||||||||||||||||||||||
| Westgate Center | San Jose-Sunnyvale-Santa Clara, CA | 157,244 | 44 | 648,000 | 91 | % | 89 | % | $19.68 | Target / Nordstrom Rack / Nike Factory / TJ Maxx | ||||||||||||||||||||||||||||||||||||||||||||||
| Total California | 3,064,118 | 428 | 6,452,000 | 95 | % | 94 | % | $31.84 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Washington Metropolitan Area | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Barcroft Plaza | Washington-Arlington-Alexandria, DC-VA-MD-WV | 50,558 | 10 | 113,000 | 98 | % | 95 | % | $28.80 | 46,000 | Harris Teeter | |||||||||||||||||||||||||||||||||||||||||||||
| Bethesda Row | Washington-Arlington-Alexandria, DC-VA-MD-WV | 256,808 | 17 | 529,000 | 95 | % | 94 | % | $56.39 | 180 | 40,000 | Giant Food | Apple / Equinox / Anthropologie / Multiple Restaurants | |||||||||||||||||||||||||||||||||||||||||||
| Birch & Broad | Washington-Arlington-Alexandria, DC-VA-MD-WV | 25,742 | 10 | 144,000 | 99 | % | 95 | % | $37.94 | 51,000 | Giant Food | CVS / Staples | ||||||||||||||||||||||||||||||||||||||||||||
20
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Status Report | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property Name | MSA Description | Real Estate at Cost (1) | Mortgage/Finance Lease Liabilities (2) | Acreage | GLA (3) | % Leased (3) | % Occupied(3) | Average Rent PSF (4) | Residential Units | Grocery Anchor GLA | Grocery Anchor | Other Retail Tenants | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | (in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Chesterbrook | (5) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 40,939 | 9 | 90,000 | 76 | % | 75 | % | $26.67 | 35,000 | Safeway | Starbucks | |||||||||||||||||||||||||||||||||||||||||||
| Congressional Plaza | (5) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 109,888 | 21 | 324,000 | 91 | % | 91 | % | $41.60 | 194 | 25,000 | The Fresh Market | Buy Buy Baby / Ulta / Barnes & Noble / Container Store | ||||||||||||||||||||||||||||||||||||||||||
| Courthouse Center | Washington-Arlington-Alexandria, DC-VA-MD-WV | 7,204 | 2 | 38,000 | 69 | % | 69 | % | $25.61 | |||||||||||||||||||||||||||||||||||||||||||||||
| Fairfax Junction | (6) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 44,140 | 11 | 124,000 | 91 | % | 91 | % | $24.92 | 23,000 | Aldi | CVS / Planet Fitness | |||||||||||||||||||||||||||||||||||||||||||
| Federal Plaza | Washington-Arlington-Alexandria, DC-VA-MD-WV | 73,622 | 18 | 249,000 | 93 | % | 93 | % | $38.25 | 14,000 | Trader Joe's | TJ Maxx / Micro Center / Ross Dress For Less | ||||||||||||||||||||||||||||||||||||||||||||
| Friendship Center | Washington-Arlington-Alexandria, DC-VA-MD-WV | 37,561 | 1 | 78,000 | 100 | % | 100 | % | $33.73 | Marshalls / DSW / Maggiano's | ||||||||||||||||||||||||||||||||||||||||||||||
| Gaithersburg Square | Washington-Arlington-Alexandria, DC-VA-MD-WV | 39,060 | 16 | 208,000 | 95 | % | 95 | % | $31.11 | Marshalls / Ross Dress For Less / Ashley Furniture HomeStore / CVS | ||||||||||||||||||||||||||||||||||||||||||||||
| Graham Park Plaza | Washington-Arlington-Alexandria, DC-VA-MD-WV | 25,214 | 10 | 132,000 | 90 | % | 84 | % | $40.71 | 58,000 | Giant Food | |||||||||||||||||||||||||||||||||||||||||||||
| Idylwood Plaza | Washington-Arlington-Alexandria, DC-VA-MD-WV | 18,126 | 7 | 73,000 | 88 | % | 88 | % | $48.07 | 30,000 | Whole Foods | |||||||||||||||||||||||||||||||||||||||||||||
| Kingstowne Towne Center | Washington-Arlington-Alexandria, DC-VA-MD-WV | 209,834 | 45 | 410,000 | 98 | % | 98 | % | $26.99 | 66,000 | Giant Food / Safeway | TJ Maxx / HomeGoods / Five Below / Ross Dress For Less | ||||||||||||||||||||||||||||||||||||||||||||
| Laurel | Washington-Arlington-Alexandria, DC-VA-MD-WV | 61,467 | 26 | 364,000 | 99 | % | 96 | % | $23.71 | 61,000 | Giant Food | Marshalls / L.A. Fitness / HomeGoods | ||||||||||||||||||||||||||||||||||||||||||||
| Montrose Crossing | Washington-Arlington-Alexandria, DC-VA-MD-WV | 172,388 | 36 | 368,000 | 100 | % | 100 | % | $33.72 | 73,000 | Giant Food | Marshalls / Home Depot Design Center / Old Navy / Burlington | ||||||||||||||||||||||||||||||||||||||||||||
| Mount Vernon/South Valley/7770 Richmond Hwy | (6) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 94,952 | 29 | 565,000 | 97 | % | 97 | % | $19.90 | 62,000 | Shoppers Food Warehouse | TJ Maxx / Home Depot / Old Navy / Petsmart | |||||||||||||||||||||||||||||||||||||||||||
| Old Keene Mill | Washington-Arlington-Alexandria, DC-VA-MD-WV | 13,681 | 10 | 91,000 | 95 | % | 95 | % | $39.41 | 24,000 | Whole Foods | Walgreens / Planet Fitness | ||||||||||||||||||||||||||||||||||||||||||||
| Pan Am | Washington-Arlington-Alexandria, DC-VA-MD-WV | 31,678 | 25 | 228,000 | 95 | % | 95 | % | $25.71 | 65,000 | Safeway | Micro Center / CVS / Michaels | ||||||||||||||||||||||||||||||||||||||||||||
| Pike & Rose | (7) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 803,342 | 24 | 667,000 | 100 | % | 100 | % | $42.68 | 765 | Porsche / Uniqlo / REI / H&M / L.L Bean / Multiple Restaurants | ||||||||||||||||||||||||||||||||||||||||||||
| Pike 7 Plaza | Washington-Arlington-Alexandria, DC-VA-MD-WV | 52,111 | 13 | 172,000 | 100 | % | 82 | % | $49.74 | TJ Maxx / DSW / Ulta | ||||||||||||||||||||||||||||||||||||||||||||||
| Plaza del Mercado | Washington-Arlington-Alexandria, DC-VA-MD-WV | 46,880 | 10 | 116,000 | 96 | % | 96 | % | $33.15 | 18,000 | Aldi | CVS / L.A. Fitness | ||||||||||||||||||||||||||||||||||||||||||||
| Quince Orchard | Washington-Arlington-Alexandria, DC-VA-MD-WV | 40,582 | 16 | 270,000 | 84 | % | 82 | % | $26.14 | 19,000 | Aldi | HomeGoods / L.A. Fitness / Staples | ||||||||||||||||||||||||||||||||||||||||||||
| Tower Shopping Center | Washington-Arlington-Alexandria, DC-VA-MD-WV | 23,122 | 12 | 111,000 | 87 | % | 87 | % | $27.55 | 26,000 | L.A. Mart | Talbots / Total Wine & More | ||||||||||||||||||||||||||||||||||||||||||||
| Twinbrooke Shopping Centre | Washington-Arlington-Alexandria, DC-VA-MD-WV | 35,716 | 10 | 101,000 | 92 | % | 92 | % | $26.40 | 35,000 | Safeway | Walgreens | ||||||||||||||||||||||||||||||||||||||||||||
| Tyson's Station | Washington-Arlington-Alexandria, DC-VA-MD-WV | 6,456 | 5 | 48,000 | 91 | % | 87 | % | $49.47 | 15,000 | Trader Joe's | |||||||||||||||||||||||||||||||||||||||||||||
| Village at Shirlington | (8) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 75,504 | 6,980 | 16 | 266,000 | 85 | % | 85 | % | $40.07 | 28,000 | Harris Teeter | CVS / AMC / Carlyle Grand Café | ||||||||||||||||||||||||||||||||||||||||||
| Westpost (formerly Pentagon Row) | Washington-Arlington-Alexandria, DC-VA-MD-WV | 114,055 | 14 | 297,000 | 99 | % | 99 | % | $33.49 | 45,000 | Harris Teeter | Target / TJ Maxx / DSW / Ulta | ||||||||||||||||||||||||||||||||||||||||||||
| Wildwood Shopping Center | Washington-Arlington-Alexandria, DC-VA-MD-WV | 27,946 | 12 | 88,000 | 100 | % | 97 | % | $103.94 | 20,000 | Balducci's | CVS / Multiple Restaurants | ||||||||||||||||||||||||||||||||||||||||||||
| Total Washington Metropolitan Area | 2,538,576 | 435 | 6,264,000 | 95 | % | 94 | % | $35.83 | ||||||||||||||||||||||||||||||||||||||||||||||||
21
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Status Report | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property Name | MSA Description | Real Estate at Cost (1) | Mortgage/Finance Lease Liabilities (2) | Acreage | GLA (3) | % Leased (3) | % Occupied(3) | Average Rent PSF (4) | Residential Units | Grocery Anchor GLA | Grocery Anchor | Other Retail Tenants | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | (in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| NY Metro/New Jersey | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Brick Plaza | New York-Newark-Jersey City, NY-NJ-PA | 106,884 | 46 | 407,000 | 95 | % | 93 | % | $21.85 | 14,000 | Trader Joe's | AMC / HomeGoods / Ulta / Burlington | ||||||||||||||||||||||||||||||||||||||||||||
| Brook 35 | (5) (6) | New York-Newark-Jersey City, NY-NJ-PA | 51,097 | 11,500 | 11 | 98,000 | 92 | % | 92 | % | $41.89 | Banana Republic / Gap / Williams-Sonoma | ||||||||||||||||||||||||||||||||||||||||||||
| Darien Commons | Bridgeport-Stamford-Norwalk, CT | 140,192 | 9 | 59,000 | 89 | % | 89 | % | $42.94 | 59 | Equinox / Walgreens | |||||||||||||||||||||||||||||||||||||||||||||
| Fresh Meadows | New York-Newark-Jersey City, NY-NJ-PA | 94,587 | 17 | 408,000 | 96 | % | 91 | % | $39.23 | 15,000 | Island of Gold | AMC / Kohl's / Michaels | ||||||||||||||||||||||||||||||||||||||||||||
| Georgetowne Shopping Center | New York-Newark-Jersey City, NY-NJ-PA | 85,518 | 9 | 147,000 | 87 | % | 87 | % | $41.49 | 43,000 | Foodway | Five Below / IHOP | ||||||||||||||||||||||||||||||||||||||||||||
| Greenlawn Plaza | New York-Newark-Jersey City, NY-NJ-PA | 33,669 | 13 | 103,000 | 92 | % | 92 | % | $19.80 | 46,000 | Greenlawn Farms | Tuesday Morning / Planet Fitness | ||||||||||||||||||||||||||||||||||||||||||||
| Greenwich Avenue | Bridgeport-Stamford-Norwalk, CT | 23,748 | 1 | 35,000 | 100 | % | 100 | % | $96.19 | Saks Fifth Avenue | ||||||||||||||||||||||||||||||||||||||||||||||
| Hauppauge | New York-Newark-Jersey City, NY-NJ-PA | 35,664 | 15 | 134,000 | 86 | % | 69 | % | $33.63 | 61,000 | Shop Rite | |||||||||||||||||||||||||||||||||||||||||||||
| Hoboken | (5) (10) | New York-Newark-Jersey City, NY-NJ-PA | 227,506 | 85,936 | 4 | 171,000 | 98 | % | 98 | % | $57.04 | 129 | CVS / New York Sports Club / Sephora / Multiple Restaurants | |||||||||||||||||||||||||||||||||||||||||||
| Huntington | New York-Newark-Jersey City, NY-NJ-PA | 79,809 | 21 | 116,000 | 90 | % | 72 | % | $26.85 | Petsmart / Michaels / Ulta | ||||||||||||||||||||||||||||||||||||||||||||||
| Huntington Square | New York-Newark-Jersey City, NY-NJ-PA | 13,926 | 18 | 75,000 | 91 | % | 91 | % | $30.76 | Barnes & Noble | ||||||||||||||||||||||||||||||||||||||||||||||
| Melville Mall | New York-Newark-Jersey City, NY-NJ-PA | 104,935 | 21 | 253,000 | 100 | % | 100 | % | $29.75 | 53,000 | Uncle Giuseppe's Marketplace | Marshalls / Dick's Sporting Goods / Macy's Backstage / Public Lands | ||||||||||||||||||||||||||||||||||||||||||||
| Mercer Mall | (8) | Trenton, NJ | 132,403 | 55,096 | 50 | 551,000 | 89 | % | 88 | % | $26.68 | 75,000 | Shop Rite | Nike / Ross Dress for Less / Nordstrom Rack / REI / Tesla | ||||||||||||||||||||||||||||||||||||||||||
| The Grove at Shrewsbury | (5) (6) | New York-Newark-Jersey City, NY-NJ-PA | 130,331 | 43,600 | 21 | 193,000 | 100 | % | 100 | % | $49.05 | Lululemon / Anthropologie / Pottery Barn / Williams-Sonoma | ||||||||||||||||||||||||||||||||||||||||||||
| Troy | New York-Newark-Jersey City, NY-NJ-PA | 41,510 | 19 | 211,000 | 99 | % | 98 | % | $23.02 | Target / L.A. Fitness / Michaels | ||||||||||||||||||||||||||||||||||||||||||||||
| Total NY Metro/New Jersey | 1,301,779 | 275 | 2,961,000 | 94 | % | 91 | % | $33.76 | ||||||||||||||||||||||||||||||||||||||||||||||||
| New England | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Assembly Row / Assembly Square Marketplace | (7) | Boston-Cambridge-Newton, MA-NH | 1,118,816 | 65 | 1,178,000 | 99 | % | 99 | % | $35.30 | 947 | 18,000 | Trader Joe's | TJ Maxx / AMC / Nike / Multiple Restaurants | ||||||||||||||||||||||||||||||||||||||||||
| Campus Plaza | Boston-Cambridge-Newton, MA-NH | 30,859 | 15 | 114,000 | 85 | % | 85 | % | $16.83 | 46,000 | Roche Bros. | Burlington | ||||||||||||||||||||||||||||||||||||||||||||
| Chelsea Commons | Boston-Cambridge-Newton, MA-NH | 31,280 | 4,446 | 36 | 222,000 | 100 | % | 93 | % | $12.94 | Home Depot / Planet Fitness / CVS | |||||||||||||||||||||||||||||||||||||||||||||
| Dedham Plaza | Boston-Cambridge-Newton, MA-NH | 49,376 | 20 | 249,000 | 92 | % | 92 | % | $18.14 | 80,000 | Star Market | Planet Fitness | ||||||||||||||||||||||||||||||||||||||||||||
| Linden Square | Boston-Cambridge-Newton, MA-NH | 157,732 | 19 | 224,000 | 97 | % | 93 | % | $50.56 | 7 | 50,000 | Roche Bros. | CVS | |||||||||||||||||||||||||||||||||||||||||||
| North Dartmouth | Providence-Warwick, RI-MA | 9,369 | 28 | 48,000 | 100 | % | 100 | % | $17.22 | 48,000 | Stop & Shop | |||||||||||||||||||||||||||||||||||||||||||||
| Queen Anne Plaza | Boston-Cambridge-Newton, MA-NH | 19,318 | 17 | 149,000 | 99 | % | 99 | % | $20.42 | 50,000 | Big Y Foods | TJ Maxx / HomeGoods | ||||||||||||||||||||||||||||||||||||||||||||
| Total New England | 1,416,750 | 200 | 2,184,000 | 98 | % | 96 | % | $30.44 | ||||||||||||||||||||||||||||||||||||||||||||||||
22
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Status Report | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property Name | MSA Description | Real Estate at Cost (1) | Mortgage/Finance Lease Liabilities (2) | Acreage | GLA (3) | % Leased (3) | % Occupied(3) | Average Rent PSF (4) | Residential Units | Grocery Anchor GLA | Grocery Anchor | Other Retail Tenants | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | (in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Philadelphia Metropolitan Area | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Andorra | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 33,406 | 22 | 270,000 | 88 | % | 86 | % | $14.82 | 24,000 | Acme Markets | TJ Maxx / Kohl's / L.A. Fitness / Five Below | ||||||||||||||||||||||||||||||||||||||||||||
| Bala Cynwyd | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 72,789 | 23 | 174,000 | 94 | % | 94 | % | $37.51 | 87 | 45,000 | Acme Markets | Michaels / L.A. Fitness | |||||||||||||||||||||||||||||||||||||||||||
| Ellisburg | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 37,359 | 28 | 260,000 | 99 | % | 97 | % | $18.20 | 47,000 | Whole Foods | Buy Buy Baby / RH Outlet | ||||||||||||||||||||||||||||||||||||||||||||
| Flourtown | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 18,306 | 24 | 156,000 | 96 | % | 91 | % | $22.58 | 75,000 | Giant Food | Movie Tavern | ||||||||||||||||||||||||||||||||||||||||||||
| Langhorne Square | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 24,738 | 21 | 223,000 | 100 | % | 99 | % | $18.68 | 55,000 | Redner's Warehouse Markets | Marshalls / Planet Fitness | ||||||||||||||||||||||||||||||||||||||||||||
| Lawrence Park | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 61,769 | 29 | 356,000 | 97 | % | 93 | % | $23.57 | 53,000 | Acme Markets | TJ Maxx / HomeGoods / Barnes & Noble | ||||||||||||||||||||||||||||||||||||||||||||
| Northeast | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 35,259 | 15 | 214,000 | 80 | % | 80 | % | $21.57 | Marshalls / Ulta / Skechers / Crunch Fitness | ||||||||||||||||||||||||||||||||||||||||||||||
| Town Center of New Britain | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 17,786 | 17 | 124,000 | 93 | % | 92 | % | $10.08 | 36,000 | Giant Food | Rite Aid / Dollar Tree | ||||||||||||||||||||||||||||||||||||||||||||
| Willow Grove | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 37,181 | 13 | 105,000 | 98 | % | 98 | % | $22.37 | Marshalls / Five Below | ||||||||||||||||||||||||||||||||||||||||||||||
| Wynnewood | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 43,817 | 14 | 248,000 | 97 | % | 96 | % | $29.27 | 9 | 98,000 | Giant Food | Old Navy / DSW | |||||||||||||||||||||||||||||||||||||||||||
| Total Philadelphia Metropolitan Area | 382,410 | 206 | 2,130,000 | 94 | % | 92 | % | $22.06 | ||||||||||||||||||||||||||||||||||||||||||||||||
| South Florida | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| CocoWalk | (5) (11) | Miami-Fort Lauderdale-West Palm Beach, FL | 200,886 | 3 | 273,000 | 100 | % | 97 | % | $45.17 | Cinepolis Theaters / Youfit Health Club / Multiple Restaurants | |||||||||||||||||||||||||||||||||||||||||||||
| Del Mar Village | Miami-Fort Lauderdale-West Palm Beach, FL | 75,197 | 17 | 187,000 | 97 | % | 97 | % | $23.44 | 44,000 | Winn Dixie | CVS / L.A. Fitness | ||||||||||||||||||||||||||||||||||||||||||||
| The Shops at Pembroke Gardens | Miami-Fort Lauderdale-West Palm Beach, FL | 180,958 | 41 | 391,000 | 92 | % | 90 | % | $30.66 | DSW / Old Navy / Nike Factory / Barnes & Noble | ||||||||||||||||||||||||||||||||||||||||||||||
| Tower Shops | Miami-Fort Lauderdale-West Palm Beach, FL | 102,425 | 67 | 430,000 | 100 | % | 97 | % | $27.06 | 12,000 | Trader Joe's | TJ Maxx / Ross Dress For Less / Best Buy / Ulta | ||||||||||||||||||||||||||||||||||||||||||||
| Total South Florida | 559,466 | 128 | 1,281,000 | 97 | % | 95 | % | $31.51 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Baltimore | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Governor Plaza | Baltimore-Columbia-Towson, MD | 33,644 | 24 | 243,000 | 99 | % | 88 | % | $20.44 | 16,500 | Aldi | Dick's Sporting Goods / Ross Dress for Less / Petco | ||||||||||||||||||||||||||||||||||||||||||||
| Perring Plaza | Baltimore-Columbia-Towson, MD | 35,444 | 29 | 398,000 | 71 | % | 71 | % | $19.04 | 58,000 | Shoppers Food Warehouse | Home Depot / Micro Center | ||||||||||||||||||||||||||||||||||||||||||||
| THE AVENUE at White Marsh | (6) | Baltimore-Columbia-Towson, MD | 127,186 | 35 | 315,000 | 88 | % | 80 | % | $27.59 | AMC / Ulta / Old Navy / Nike | |||||||||||||||||||||||||||||||||||||||||||||
| The Shoppes at Nottingham Square | Baltimore-Columbia-Towson, MD | 19,498 | 4 | 33,000 | 100 | % | 100 | % | $51.91 | |||||||||||||||||||||||||||||||||||||||||||||||
| White Marsh Plaza | Baltimore-Columbia-Towson, MD | 27,004 | 7 | 80,000 | 100 | % | 100 | % | $23.62 | 54,000 | Giant Food | |||||||||||||||||||||||||||||||||||||||||||||
| White Marsh Other | Baltimore-Columbia-Towson, MD | 27,915 | 16 | 56,000 | 87 | % | 82 | % | $33.44 | |||||||||||||||||||||||||||||||||||||||||||||||
| Total Baltimore | 270,691 | 115 | 1,125,000 | 85 | % | 80 | % | $24.07 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Chicago | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Crossroads | Chicago-Naperville-Elgin, IL-IN-WI | 36,203 | 14 | 168,000 | 91 | % | 91 | % | $23.48 | L.A. Fitness / Ulta / Binny's / Ferguson's Bath, Kitchen & Lighting Gallery | ||||||||||||||||||||||||||||||||||||||||||||||
23
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Real Estate Status Report | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Property Name | MSA Description | Real Estate at Cost (1) | Mortgage/Finance Lease Liabilities (2) | Acreage | GLA (3) | % Leased (3) | % Occupied(3) | Average Rent PSF (4) | Residential Units | Grocery Anchor GLA | Grocery Anchor | Other Retail Tenants | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | (in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Finley Square | Chicago-Naperville-Elgin, IL-IN-WI | 42,326 | 21 | 281,000 | 92 | % | 92 | % | $17.13 | Bed, Bath & Beyond / Buy Buy Baby / Michaels / Portillo's | ||||||||||||||||||||||||||||||||||||||||||||||
| Garden Market | Chicago-Naperville-Elgin, IL-IN-WI | 15,365 | 11 | 139,000 | 96 | % | 96 | % | $13.92 | 63,000 | Mariano's Fresh Market | Walgreens | ||||||||||||||||||||||||||||||||||||||||||||
| Riverpoint Center | Chicago-Naperville-Elgin, IL-IN-WI | 122,167 | 17 | 211,000 | 93 | % | 93 | % | $21.21 | 86,000 | Jewel Osco | Marshalls / Old Navy | ||||||||||||||||||||||||||||||||||||||||||||
| Total Chicago | 216,061 | 63 | 799,000 | 93 | % | 93 | % | $18.94 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Other | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Barracks Road | Charlottesville, VA | 73,320 | 40 | 497,000 | 96 | % | 92 | % | $27.77 | 99,000 | Harris Teeter / Kroger | Anthropologie / Bed, Bath & Beyond / Old Navy / Ulta | ||||||||||||||||||||||||||||||||||||||||||||
| Bristol Plaza | Hartford-West Hartford-East Hartford, CT | 36,302 | 22 | 264,000 | 82 | % | 82 | % | $14.24 | 74,000 | Stop & Shop | TJ Maxx / Burlington | ||||||||||||||||||||||||||||||||||||||||||||
| Camelback Colonnade | (5) | Phoenix-Mesa-Chandler, AZ | 180,038 | 41 | 642,000 | 89 | % | 89 | % | $18.14 | 82,000 | Fry's Food & Drug | Floor & Décor / Marshalls / Nordstrom Last Chance / Best Buy | |||||||||||||||||||||||||||||||||||||||||||
| Gratiot Plaza | Detroit-Warren-Dearborn, MI | 20,706 | 20 | 215,000 | 100 | % | 100 | % | $12.82 | 69,000 | Kroger | Bed, Bath & Beyond / Best Buy / DSW | ||||||||||||||||||||||||||||||||||||||||||||
| Hilton Village | (5) | Phoenix-Mesa-Chandler, AZ | 85,649 | 18 | 305,000 | 90 | % | 87 | % | $33.87 | CVS / Houston's | |||||||||||||||||||||||||||||||||||||||||||||
| Lancaster | (8) | Lancaster, PA | 13,631 | 5,584 | 11 | 126,000 | 99 | % | 99 | % | $19.01 | 75,000 | Giant Food | AutoZone | ||||||||||||||||||||||||||||||||||||||||||
| 29th Place | Charlottesville, VA | 40,701 | 15 | 169,000 | 100 | % | 100 | % | $20.35 | 32,000 | Lidl | HomeGoods / DSW / Staples | ||||||||||||||||||||||||||||||||||||||||||||
| Willow Lawn | Richmond, VA | 106,021 | 37 | 463,000 | 96 | % | 96 | % | $21.85 | 66,000 | Kroger | Old Navy / Ross Dress For Less / Gold's Gym / Dick's Sporting Goods | ||||||||||||||||||||||||||||||||||||||||||||
| Total Other | 556,368 | 204 | 2,681,000 | 93 | % | 92 | % | $21.67 | ||||||||||||||||||||||||||||||||||||||||||||||||
| Grand Total | $ | 10,306,219 | $ | 389,977 | 2,054 | 25,877,000 | 94 | % | 93 | % | $30.36 | 3,039 | ||||||||||||||||||||||||||||||||||||||||||||
| Notes: | |||||
| (1) | Includes "Finance lease right of use assets." | ||||
| (2) | The mortgage or finance lease liabilities differ from the total reported on the consolidated balance sheet due to the unamortized discount, premium, and/or debt issuance costs on certain mortgages payable. | ||||
| (3) | Represents the GLA and the percentage leased of the commercial portion of the property. Some of our properties include office space which is included in this square footage. Excludes newly created redevelopment square footage not yet in service, as well as residential and hotel square footage. | ||||
| (4) | Calculated as the aggregate, annualized in-place contractual (defined as cash basis excluding rent abatements) minimum rents for all occupied spaces divided by the aggregate GLA of all occupied spaces. | ||||
| (5) | The Trust has a controlling financial interest in this property. | ||||
| (6) | All or a portion of the property is owned in a "downREIT" partnership, of which a wholly owned subsidiary of the Trust is the sole general partner, with third party partners holding operating partnership units. | ||||
| (7) | Portion of property is currently under development. See further discussion in the Assembly Row and Pike & Rose schedules. | ||||
| (8) | All or a portion of the property is subject to finance lease liabilities. | ||||
| (9) | Amounts represent 100% of the property - we own a 77.7% TIC interest. Real estate at cost represents the fair value of the property at the time of the TIC arrangement, plus subsequent real estate related additions. See page 20 for additional information. | ||||
| (10) | This property includes 40 buildings primarily along Washington Street and 14th Street in Hoboken, New Jersey. | ||||
| (11) | This property includes interests in four buildings in addition to our initial acquisition. | ||||
24
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Retail Leasing Summary (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total Lease Summary - Comparable (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarter | Number of Leases Signed | % of Comparable Leases Signed | GLA Signed | Contractual Rent (3) Per Sq. Ft. (PSF) | Prior Rent (4) PSF | Annual Increase in Rent | Cash Basis % Increase Over Prior Rent | Straight-lined Basis % Increase Over Prior Rent | Weighted Average Lease Term (5) | Tenant Improvements & Incentives (6) | Tenant Improvements & Incentives PSF | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4th Quarter 2022 | 105 | 100 | % | 415,519 | $ | 43.52 | $ | 39.60 | $ | 1,624,898 | 10 | % | 21 | % | 7.0 | $ | 12,991,578 | $ | 31.27 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 3rd Quarter 2022 | 119 | 100 | % | 562,859 | $ | 34.57 | $ | 33.61 | $ | 540,007 | 3 | % | 13 | % | 6.4 | $ | 14,564,905 | $ | 25.88 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2nd Quarter 2022 | 132 | 100 | % | 562,111 | $ | 35.86 | $ | 34.29 | $ | 885,669 | 5 | % | 13 | % | 7.0 | $ | 20,791,119 | $ | 36.99 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 1st Quarter 2022 | 119 | 100 | % | 444,398 | $ | 36.77 | $ | 34.31 | $ | 1,092,294 | 7 | % | 17 | % | 6.8 | $ | 14,464,187 | $ | 32.55 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Total - 12 months | 475 | 100 | % | 1,984,887 | $ | 37.30 | $ | 35.21 | $ | 4,142,868 | 6 | % | 15 | % | 6.8 | $ | 62,811,789 | $ | 31.65 | |||||||||||||||||||||||||||||||||||||||||||||||||
| New Lease Summary - Comparable (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarter | Number of Leases Signed | % of Comparable Leases Signed | GLA Signed | Contractual Rent (3) PSF | Prior Rent (4) PSF | Annual Increase in Rent | Cash Basis % Increase Over Prior Rent | Straight-lined Basis % Increase Over Prior Rent | Weighted Average Lease Term (5) | Tenant Improvements & Incentives (6) | Tenant Improvements & Incentives PSF | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4th Quarter 2022 | 35 | 33 | % | 146,428 | $ | 43.39 | $ | 37.01 | $ | 934,794 | 17 | % | 32 | % | 10.1 | $ | 10,896,153 | $ | 74.41 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 3rd Quarter 2022 | 45 | 38 | % | 215,351 | $ | 35.81 | $ | 35.71 | $ | 21,602 | — | % | 10 | % | 8.6 | $ | 13,415,915 | $ | 62.30 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2nd Quarter 2022 | 61 | 46 | % | 218,493 | $ | 44.90 | $ | 42.52 | $ | 518,577 | 6 | % | 14 | % | 8.7 | $ | 18,658,319 | $ | 85.40 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 1st Quarter 2022 | 60 | 50 | % | 176,322 | $ | 44.90 | $ | 39.53 | $ | 946,526 | 14 | % | 25 | % | 8.3 | $ | 13,866,932 | $ | 78.65 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Total - 12 months | 201 | 42 | % | 756,594 | $ | 42.02 | $ | 38.82 | $ | 2,421,499 | 8 | % | 19 | % | 8.9 | $ | 56,837,319 | $ | 75.12 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Renewal Lease Summary - Comparable (2) (7) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarter | Number of Leases Signed | % of Comparable Leases Signed | GLA Signed | Contractual Rent (3) PSF | Prior Rent (4) PSF | Annual Increase in Rent | Cash Basis % Increase Over Prior Rent | Straight-lined Basis % Increase Over Prior Rent | Weighted Average Lease Term (5) | Tenant Improvements & Incentives (6) | Tenant Improvements & Incentives PSF | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4th Quarter 2022 | 70 | 67 | % | 269,091 | $ | 43.58 | $ | 41.02 | $ | 690,104 | 6 | % | 15 | % | 5.4 | $ | 2,095,425 | $ | 7.79 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 3rd Quarter 2022 | 74 | 62 | % | 347,508 | $ | 33.80 | $ | 32.31 | $ | 518,405 | 5 | % | 14 | % | 5.0 | $ | 1,148,990 | $ | 3.31 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 2nd Quarter 2022 | 71 | 54 | % | 343,618 | $ | 30.12 | $ | 29.05 | $ | 367,092 | 4 | % | 11 | % | 5.4 | $ | 2,132,800 | $ | 6.21 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 1st Quarter 2022 | 59 | 50 | % | 268,076 | $ | 31.42 | $ | 30.88 | $ | 145,768 | 2 | % | 10 | % | 5.4 | $ | 597,255 | $ | 2.23 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Total - 12 months | 274 | 58 | % | 1,228,293 | $ | 34.39 | $ | 32.99 | $ | 1,721,369 | 4 | % | 13 | % | 5.3 | $ | 5,974,470 | $ | 4.86 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Total Lease Summary - Comparable and Non-comparable (2) (8) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarter | Number of Leases Signed | GLA Signed | Contractual Rent (3) PSF | Weighted Average Lease Term (5) | Tenant Improvements & Incentives (6) | Tenant Improvements & Incentives PSF | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4th Quarter 2022 | 110 | 425,159 | $ | 43.76 | 7.1 | $ | 13,601,431 | $ | 31.99 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 3rd Quarter 2022 | 126 | 584,949 | $ | 35.28 | 6.6 | $ | 16,825,343 | $ | 28.76 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2nd Quarter 2022 | 137 | 577,338 | $ | 35.97 | 7.1 | $ | 20,922,719 | $ | 36.24 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 1st Quarter 2022 | 124 | 460,062 | $ | 37.05 | 6.9 | $ | 18,669,766 | $ | 40.58 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total - 12 months | 497 | 2,047,508 | $ | 37.64 | 6.9 | $ | 70,019,259 | $ | 34.20 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Notes: | |||||
| (1) | Information reflects activity in retail spaces only for consolidated properties and Escondido Promenade; office and residential spaces are not included. Contractual option exercises are not included. See Glossary of Terms for further discussion of information included above. | ||||
| (2) | Comparable leases represent those leases signed on spaces for which there was a former tenant. | ||||
| (3) | Contractual rent represents annual rent under the new lease. | ||||
| (4) | Prior rent represents contractual rent, including percentage rent, from the prior tenant in the final 12 months of the term. | ||||
| (5) | Weighted average is determined on the basis of contractual rent for the lease. | ||||
| (6) | See Glossary of Terms. | ||||
| (7) | Renewal leases represent expiring leases rolling over with the same tenant in the same location. All other leases are categorized as new. | ||||
| (8) | The Number of Leases Signed, GLA Signed, Contractual Rent Per Sq. Ft. and Weighted Average Lease Term columns include information for leases signed at Phase 3 of both of our Assembly Row and Pike & Rose projects. The Tenant Improvements & Incentives and Tenant Improvements & Incentives Per Sq. Ft. columns do not include the tenant improvements and incentives on leases signed for those projects; these amounts for leases signed for Phase 3 of Assembly Row and Pike & Rose are included in the Projected Cost column for those projects shown on the Assembly Row and Pike & Rose schedule. | ||||
25
| Federal Realty Investment Trust | |||||||||||||||||||||||||||||||||||
| Lease Expirations | |||||||||||||||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||||||||||||||
| Assumes no exercise of lease options | |||||||||||||||||||||||||||||||||||
| Anchor Tenants (1) | Small Shop Tenants | Total | |||||||||||||||||||||||||||||||||
| Year | Expiring SF | % of Anchor SF | Minimum Rent PSF (2) | Expiring SF | % of Small Shop SF | Minimum Rent PSF (2) | Expiring SF (4) | % of Total SF | Minimum Rent PSF (2) | ||||||||||||||||||||||||||
| 2023 | 807,000 | 5 | % | $ | 23.99 | 794,000 | 10 | % | $ | 38.71 | 1,600,000 | 7 | % | $ | 31.29 | ||||||||||||||||||||
| 2024 | 2,178,000 | 14 | % | $ | 19.23 | 1,109,000 | 14 | % | $ | 46.98 | 3,288,000 | 14 | % | $ | 28.59 | ||||||||||||||||||||
| 2025 | 2,248,000 | 14 | % | $ | 18.79 | 1,144,000 | 15 | % | $ | 41.85 | 3,392,000 | 14 | % | $ | 26.57 | ||||||||||||||||||||
| 2026 | 1,338,000 | 8 | % | $ | 20.92 | 882,000 | 11 | % | $ | 48.81 | 2,221,000 | 9 | % | $ | 32.00 | ||||||||||||||||||||
| 2027 | 1,997,000 | 12 | % | $ | 25.08 | 990,000 | 13 | % | $ | 50.48 | 2,987,000 | 12 | % | $ | 33.50 | ||||||||||||||||||||
| 2028 | 1,712,000 | 11 | % | $ | 19.49 | 836,000 | 11 | % | $ | 49.16 | 2,549,000 | 11 | % | $ | 29.22 | ||||||||||||||||||||
| 2029 | 1,220,000 | 8 | % | $ | 28.56 | 487,000 | 6 | % | $ | 46.41 | 1,707,000 | 7 | % | $ | 33.65 | ||||||||||||||||||||
| 2030 | 677,000 | 4 | % | $ | 19.99 | 308,000 | 4 | % | $ | 50.36 | 985,000 | 4 | % | $ | 29.50 | ||||||||||||||||||||
| 2031 | 614,000 | 4 | % | $ | 25.86 | 429,000 | 5 | % | $ | 44.74 | 1,042,000 | 4 | % | $ | 33.62 | ||||||||||||||||||||
| 2032 | 1,501,000 | 9 | % | $ | 28.19 | 580,000 | 7 | % | $ | 44.39 | 2,081,000 | 9 | % | $ | 32.71 | ||||||||||||||||||||
| Thereafter | 1,803,000 | 11 | % | $ | 24.44 | 288,000 | 4 | % | $ | 46.61 | 2,090,000 | 9 | % | $ | 27.49 | ||||||||||||||||||||
| Total (3) | 16,095,000 | 100 | % | $ | 22.71 | 7,847,000 | 100 | % | $ | 46.05 | 23,942,000 | 100 | % | $ | 30.36 | ||||||||||||||||||||
| Assumes all lease options are exercised | |||||||||||||||||||||||||||||||||||
| Anchor Tenants (1) | Small Shop Tenants | Total | |||||||||||||||||||||||||||||||||
| Year | Expiring SF | % of Anchor SF | Minimum Rent PSF (2) | Expiring SF | % of Small Shop SF | Minimum Rent PSF (2) | Expiring SF (4) | % of Total SF | Minimum Rent PSF (2) | ||||||||||||||||||||||||||
| 2023 | 519,000 | 3 | % | $ | 24.20 | 732,000 | 9 | % | $ | 38.59 | 1,251,000 | 5 | % | $ | 32.62 | ||||||||||||||||||||
| 2024 | 604,000 | 4 | % | $ | 21.56 | 624,000 | 8 | % | $ | 46.34 | 1,228,000 | 5 | % | $ | 34.15 | ||||||||||||||||||||
| 2025 | 788,000 | 5 | % | $ | 15.72 | 749,000 | 9 | % | $ | 39.35 | 1,538,000 | 6 | % | $ | 27.23 | ||||||||||||||||||||
| 2026 | 394,000 | 3 | % | $ | 21.01 | 493,000 | 6 | % | $ | 48.74 | 887,000 | 4 | % | $ | 36.44 | ||||||||||||||||||||
| 2027 | 464,000 | 3 | % | $ | 21.14 | 520,000 | 7 | % | $ | 50.59 | 984,000 | 4 | % | $ | 36.70 | ||||||||||||||||||||
| 2028 | 656,000 | 4 | % | $ | 17.60 | 469,000 | 6 | % | $ | 45.64 | 1,125,000 | 5 | % | $ | 29.29 | ||||||||||||||||||||
| 2029 | 816,000 | 5 | % | $ | 24.12 | 449,000 | 6 | % | $ | 44.20 | 1,264,000 | 5 | % | $ | 31.24 | ||||||||||||||||||||
| 2030 | 450,000 | 3 | % | $ | 23.29 | 388,000 | 5 | % | $ | 46.18 | 838,000 | 4 | % | $ | 33.87 | ||||||||||||||||||||
| 2031 | 374,000 | 2 | % | $ | 20.44 | 362,000 | 5 | % | $ | 48.64 | 735,000 | 3 | % | $ | 34.30 | ||||||||||||||||||||
| 2032 | 366,000 | 2 | % | $ | 27.71 | 459,000 | 6 | % | $ | 50.56 | 825,000 | 4 | % | $ | 40.43 | ||||||||||||||||||||
| Thereafter | 10,664,000 | 66 | % | $ | 23.44 | 2,602,000 | 33 | % | $ | 47.80 | 13,267,000 | 55 | % | $ | 28.22 | ||||||||||||||||||||
| Total (3) | 16,095,000 | 100 | % | $ | 22.71 | 7,847,000 | 100 | % | $ | 46.05 | 23,942,000 | 100 | % | $ | 30.36 | ||||||||||||||||||||
| Notes: | |||||
| (1) | Anchor is defined as a commercial tenant leasing 10,000 square feet or more. | ||||
| (2) | Minimum Rent reflects in-place contractual (defined as rents on a cash-basis without taking the impacts of rent abatements into account) rent as of December 31, 2022. | ||||
| (3) | Represents occupied square footage of the commercial portion of our portfolio as of December 31, 2022 and includes our 77.7% pro-rata share of Escondido Promenade. | ||||
| (4) | Individual items may not add up to total due to rounding. | ||||
26
| Federal Realty Investment Trust | |||||||||||||||||||||||
| Portfolio Leased Statistics | |||||||||||||||||||||||
| December 31, 2022 | |||||||||||||||||||||||
| Overall Portfolio Statistics (1) | At December 31, 2022 | At December 31, 2021 | |||||||||||||||||||||
| Type | Size | Leased | Leased % | Size | Leased | Leased % | |||||||||||||||||
| Commercial Properties (2) (3) (4) (5) (SF) | 25,810,000 | 24,390,000 | 94.5 | % | 25,102,000 | 23,494,000 | 93.6 | % | |||||||||||||||
| Residential Properties (units) (6) | 2,982 | 2,865 | 96.1 | % | 3,369 | 3,068 | 91.1 | % | |||||||||||||||
| Comparable Property Statistics (1) | At December 31, 2022 | At December 31, 2021 | |||||||||||||||||||||
| Type | Size | Leased | Leased % | Size | Leased | Leased % | |||||||||||||||||
| Commercial Properties (3) (4) (SF) | 23,727,000 | 22,368,000 | 94.3 | % | 23,571,000 | 22,135,000 | 93.9 | % | |||||||||||||||
| Residential Properties (units) | 2,480 | 2,389 | 96.3 | % | 2,480 | 2,402 | 96.9 | % | |||||||||||||||
Notes
| (1) | See Glossary of Terms. | ||||
| (2) | Overall commercial properties at December 31, 2022 includes our 77.7% pro-rata share of Escondido Promenade. | ||||
| (3) | Occupied percentage was 92.8% and 91.1% at December 31, 2022 and 2021, respectively, and comparable property occupied percentage was 92.5% and 91.4% at December 31, 2022 and 2021, respectively. | ||||
| (4) | Leasable square feet excludes redevelopment square footage not yet placed in service. | ||||
| (5) | At December 31, 2022, leased percentage was 96.9% for anchor tenants and 90.0% for small shop tenants. | ||||
| (6) | Our residential metrics exclude our new residential building at Darien Commons that opened in 4Q22, and is currently in the process of being leased-up for the first time. If these units were included, our total residential units would be 3,039 and our percentage leased would be 95.7%. At December 31, 2022, this building was 73.7% leased. | ||||
27
| Federal Realty Investment Trust | ||||||||||||||||||||||||||
| Summary of Top 25 Tenants (1) | ||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||
| Rank | Tenant Name | Credit Ratings (S&P/Moody's/Fitch) (2) | Annualized Base Rent | Percentage of Total Annualized Base Rent (4) | Tenant GLA | Percentage of Total GLA (4) | Number of Locations Leased | |||||||||||||||||||
| 1 | TJX Companies, The | A / A2 / NR | $ | 22,705,000 | 2.75 | % | 1,125,000 | 3.93 | % | 36 | ||||||||||||||||
| 2 | Ahold Delhaize | BBB / Baa1 / NR | $ | 15,016,000 | 1.82 | % | 816,000 | 2.85 | % | 13 | ||||||||||||||||
| 3 | NetApp, Inc. | BBB+ / Baa2 / NR | $ | 14,339,000 | 1.74 | % | 304,000 | 1.06 | % | 1 | ||||||||||||||||
| 4 | Splunk, Inc. | NR / NR / NR | $ | 12,271,000 | 1.49 | % | 235,000 | 0.82 | % | 1 | ||||||||||||||||
| 5 | Gap, Inc., The | BB / Ba2 / NR | $ | 11,736,000 | 1.42 | % | 336,000 | 1.17 | % | 31 | ||||||||||||||||
| 6 | CVS Corporation | BBB / Baa2 / NR | $ | 10,942,000 | 1.32 | % | 288,000 | 1.01 | % | 21 | ||||||||||||||||
| 7 | L.A. Fitness International LLC | B- / B3 / NR | $ | 10,807,000 | 1.31 | % | 415,000 | 1.45 | % | 10 | ||||||||||||||||
| 8 | Albertsons Companies Inc. (Acme, Balducci's Safeway) | BB / Ba2 / NR | $ | 7,716,000 | 0.93 | % | 568,000 | 1.98 | % | 11 | ||||||||||||||||
| 9 | Ross Stores, Inc. | BBB+ / A2 / NR | $ | 7,453,000 | 0.90 | % | 359,000 | 1.25 | % | 13 | ||||||||||||||||
| 10 | Home Depot, Inc. | A / A2 / A | $ | 7,380,000 | 0.89 | % | 478,000 | 1.67 | % | 6 | ||||||||||||||||
| 11 | Kroger Co., The | BBB / Baa1 / NR | $ | 7,166,000 | 0.87 | % | 611,000 | 2.13 | % | 12 | ||||||||||||||||
| 12 | Michaels Stores, Inc. | B- / B2 / NR | $ | 6,949,000 | 0.84 | % | 344,000 | 1.20 | % | 15 | ||||||||||||||||
| 13 | Bank of America, N.A. | A- / A2 / AA- | $ | 6,881,000 | 0.83 | % | 118,000 | 0.41 | % | 25 | ||||||||||||||||
| 14 | Bed, Bath & Beyond, Inc. | SD / Ca / NR | $ | 6,833,000 | 0.83 | % | 417,000 | 1.46 | % | 11 | ||||||||||||||||
| 15 | PUMA North America, Inc. | NR / NR / NR | $ | 6,807,000 | 0.82 | % | 155,000 | 0.54 | % | 2 | ||||||||||||||||
| 16 | Target Corporation | A / A2 / A | $ | 6,310,000 | 0.76 | % | 627,000 | 2.19 | % | 7 | ||||||||||||||||
| 17 | Dick's Sporting Goods, Inc. | BBB / Baa3 / NR | $ | 6,190,000 | 0.75 | % | 279,000 | 0.97 | % | 6 | ||||||||||||||||
| 18 | Ulta Beauty, Inc. | NR / NR / NR | $ | 5,821,000 | 0.70 | % | 169,000 | 0.59 | % | 16 | ||||||||||||||||
| 19 | DSW, Inc | NR / NR / NR | $ | 5,717,000 | 0.69 | % | 239,000 | 0.83 | % | 12 | ||||||||||||||||
| 20 | AMC Entertainment Inc. | CC / Caa2 / NR | $ | 5,424,000 | 0.66 | % | 233,000 | 0.81 | % | 5 | ||||||||||||||||
| 21 | Hudson's Bay Company (Saks) | NR / NR / NR | $ | 5,155,000 | 0.62 | % | 100,000 | 0.35 | % | 3 | ||||||||||||||||
| 22 | Wells Fargo Bank, N.A. | BBB+ / A1 / A+ | $ | 5,150,000 | 0.62 | % | 66,000 | 0.23 | % | 16 | ||||||||||||||||
| 23 | Whole Foods Market, Inc. | AA- / A1 / NR | $ | 5,011,000 | 0.61 | % | 167,000 | 0.58 | % | 4 | ||||||||||||||||
| 24 | Starbucks Corporation | BBB+ / Baa1 / NR | $ | 4,897,000 | 0.59 | % | 75,000 | 0.26 | % | 42 | ||||||||||||||||
| 25 | Best Buy Co., Inc. | BBB+ / A3 / NR | $ | 4,837,000 | 0.59 | % | 188,000 | 0.66 | % | 4 | ||||||||||||||||
| Totals - Top 25 Tenants | $ | 209,513,000 | 25.37 | % | 8,712,000 | 30.42 | % | 323 | ||||||||||||||||||
| Total (6): | $ | 825,906,000 | (3) | 28,639,000 | (5) | |||||||||||||||||||||
| Notes: | ||||||||||||||||||||||||||
| (1) | Number of leased locations is based on the gross number of locations. All other top tenant data is reported including our 77.7% share of Escondido Promenade. | |||||||||||||||||||||||||
| (2) | Credit Ratings are as of December 31, 2022. Subsequent rating changes have not been reflected. | |||||||||||||||||||||||||
| (3) | See Glossary of Terms. | |||||||||||||||||||||||||
| (4) | Individual items may not add up to total due to rounding. | |||||||||||||||||||||||||
| (5) | Excludes redevelopment square footage not yet placed in service. | |||||||||||||||||||||||||
| (6) | Totals reflect both the commercial and residential portions of our properties. | |||||||||||||||||||||||||
28
| Federal Realty Investment Trust | ||||||||||||||||||||||||||||||||
| Reconciliation of FFO Guidance | ||||||||||||||||||||||||||||||||
| December 31, 2022 | ||||||||||||||||||||||||||||||||
The following tables provide a reconciliation of the range of estimated earnings per diluted share to estimated FFO per diluted share for the full year 2023. Estimates do not include the impact from potential acquisitions or dispositions which have not closed as of January 31, 2023.
| Full Year 2023 Guidance Range | |||||||||||
| Low | High | ||||||||||
| Estimated net income available to common shareholders, per diluted share | $ | 2.59 | $ | 2.79 | |||||||
| Adjustments: | |||||||||||
| Estimated gain on sale of real estate, net | — | — | |||||||||
| Estimated depreciation and amortization | 3.79 | 3.79 | |||||||||
| Estimated FFO per diluted share | $ | 6.38 | $ | 6.58 | |||||||
Note:
See Glossary of Terms. Individual items may not add up to total due to rounding.
| Guidance Assumptions (1): | |||||
| Comparable properties growth | 2% - 4% | ||||
| Comparable properties growth excluding prior period rents and term fees | 3% - 5% | ||||
| Incremental redevelopment/expansion POI (2) | $15 - $18 million | ||||
| General and administrative expenses | $52 - $56 million (annual) | ||||
| 2022 Dispositions POI | $5 million | ||||
| Development/redevelopment capital | $175 - $200 million (annual) | ||||
| Equity to be issued | $175 - $225 million (annual) | ||||
| Capitalized interest | $20 - $22 million (annual) | ||||
Notes:
(1)Does not assume any material changes of tenants moving to or from a cash basis of accounting.
(2)Includes the expected additional POI to be recognized in 2023 compared to the amount recognized in 2022 from all of the redevelopments listed on pages 16 and 17. Does not include any additional POI from "Active Property Improvement Projects."
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Glossary of Terms
EBITDA for Real Estate ("EBITDAre"): EBITDAre is a non-GAAP measure that the National Association of Real Estate Investment Trusts ("NAREIT") defines as: net income computed in accordance with GAAP plus net interest expense, income tax expense, depreciation and amortization, gain or loss on sale of real estate, impairments of real estate and change in control of interest, and adjustments to reflect the entity's share of EBITDAre of unconsolidated affiliates. We calculate EBITDAre consistent with the NAREIT definition. As EBITDA is a widely known and understood measure of performance, management believes EBITDAre represents an additional non-GAAP performance measure, independent of a company's capital structure, that will provide investors with a uniform basis to measure the enterprise value of a company. EBITDAre also approximates a key performance measure in our debt covenants, but it should not be considered an alternative measure of operating results or cash flow from operations as determined in accordance with GAAP. The reconciliation of net income to EBITDAre for the three months and year ended December 31, 2022 and 2021 is as follows:
| Three Months Ended | Year Ended | ||||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||
| Net income | $ | 117,692 | $ | 116,742 | $ | 395,661 | $ | 269,081 | |||||||||||||||
| Interest expense | 38,282 | 32,187 | 136,989 | 127,698 | |||||||||||||||||||
| Other interest income | (585) | (108) | (1,072) | (809) | |||||||||||||||||||
| Income tax provision | 21 | 121 | 656 | 118 | |||||||||||||||||||
| Depreciation and amortization | 79,165 | 77,816 | 302,409 | 279,976 | |||||||||||||||||||
| Gain on deconsolidation of VIE | — | — | (70,374) | — | |||||||||||||||||||
| Gain on sale of real estate and change in control of interest | (63,760) | (72,522) | (93,483) | (89,950) | |||||||||||||||||||
| Adjustments of EBITDAre of unconsolidated affiliates | 3,436 | 899 | 6,534 | 3,678 | |||||||||||||||||||
| EBITDAre | $ | 174,251 | $ | 155,135 | $ | 677,320 | $ | 589,792 | |||||||||||||||
Funds From Operations (FFO): FFO is a supplemental measure of real estate companies' operating performances. NAREIT defines FFO as follows: net income, computed in accordance with GAAP plus real estate related depreciation and amortization, gains and losses on sale of real estate, and impairment write-downs of depreciable real estate. NAREIT developed FFO as a relative measure of performance and liquidity of an equity REIT in order to recognize that the value of income-producing real estate historically has not depreciated on the basis determined under GAAP. However, FFO does not represent cash flows from operating activities in accordance with GAAP (which, unlike FFO, generally reflects all cash effects of transactions and other events in the determination of net income); should not be considered an alternative to net income as an indication of our performance; and is not necessarily indicative of cash flow as a measure of liquidity or ability to pay dividends. We consider FFO a meaningful, additional measure of operating performance primarily because it excludes the assumption that the value of real estate assets diminishes predictably over time, and because industry analysts have accepted it as a performance measure. Comparison of our presentation of FFO to similarly titled measures for other REITs may not necessarily be meaningful due to possible differences in the application of the NAREIT definition used by such REITs.
Property Operating Income: Rental income and mortgage interest income, less rental expenses and real estate taxes.
Overall Portfolio: Includes all operating properties owned in reporting period.
Comparable Properties: Represents our consolidated property portfolio other than those properties that distort comparability between periods in two primary categories: (1) assets that were not owned for the full quarter in both periods presented and (2) assets currently under development or being repositioned for significant redevelopment and investment. Comparable property growth statistics are calculated on a GAAP basis.
Annualized Base Rent (ABR): Represents aggregate, annualized in-place contractual (defined as rents billed on a cash basis without taking the impact of rent abatements into account) minimum rent for all occupied spaces as of the reporting period.
Retail Leasing Summary - Lease Rollover Calculation: The rental increases associated with comparable spaces generally include all leases signed for retail space in arms-length transactions reflecting market leverage between landlords and tenants during the period. The comparison between the rent for expiring leases and new leases is determined by including contractual rent on the expiring lease, including percentage rent, and the comparable annual rent and in some instances, projections of percentage rent, to be paid on the new lease. In atypical circumstances, management may exercise judgement as to how to most effectively reflect the comparability of rents reported in the calculation. The change in rental income on comparable space leases is impacted by numerous factors including current market rates, location, individual tenant creditworthiness, use of space, market conditions when the expiring lease was signed, capital investment made in the space and the specific lease structure. Rent abatement and short term rent restructuring agreements that are a result of COVID-19 impacts are not included in this calculation.
Tenant Improvements and Incentives: Represents the total dollars committed for the improvement (fit-out) of a space as it relates to a specific lease. Incentives include amounts paid to tenants as an inducement to sign a lease that do not represent building improvements.
General: Property related statistics are the for the consolidated property portfolio except where noted.
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