| | | Three Months Ended January 31, | | | | |
| | | 2017 | | | 2016 | | | % Change | |
| Same-Store Operating Results: | | | | | | | | | |
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| Number of Properties (Notes 3 and 4) | | 65 | | | | |
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| Revenue (Note 2) | | | | | | | | | | |
| Minimum Rent | | $ | 20,183 | | | $ | 19,875 | | | | 1.5 | % |
| Recoveries from tenants | | | 6,765 | | | | 6,293 | | | | 7.5 | % |
| Other property income | | | 218 | | | | 212 | | | | 2.7 | % |
| | | | 27,165 | | | | 26,379 | | | | 3.0 | % |
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| Expenses | | | | | | | | | | | | |
| Property operating | | | 3,104 | | | | 2,919 | | | | 6.3 | % |
| Property taxes | | | 4,511 | | | | 4,447 | | | | 1.4 | % |
| Other non-recoverable operating expenses | | | 435 | | | | 474 | | | | -8.3 | % |
| | | | 8,049 | | | | 7,840 | | | | 2.7 | % |
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| Same-Store Net Operating Income | | $ | 19,116 | | | $ | 18,539 | | | | 3.1 | % |
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Other reconciling items: | | | | | | | | | | | | |
| Other non same-property net operating income | | | 672 | | | | (133 | ) | | | | |
| Other Interest income | | | 164 | | | | 40 | | | | | |
| Consolidated lease termination income | | | 24 | | | | 42 | | | | | |
| Consolidated amortization of above and below market leases | | | 15 | | | | 89 | | | | | |
| Consolidated straight line rent income | | | 238 | | | | 211 | | | | | |
| Equity in net income of unconsolidated joint ventures | | | 514 | | | | 383 | | | | | |
| Taxable REIT subsidiary income/(loss) | | | (1 | ) | | | (200 | ) | | | | |
| Solar income/(loss) | | | (93 | ) | | | (84 | ) | | | | |
| Storage income/(loss) | | | 125 | | | | 72 | | | | | |
| Interest expense | | | (3,257 | ) | | | (3,271 | ) | | | | |
| General and administrative expenses | | | (2,455 | ) | | | (2,462 | ) | | | | |
| Provision for tenant credit losses | | | (78 | ) | | | (239 | ) | | | | |
| Directors fees and expenses | | | (83 | ) | | | (83 | ) | | | | |
| Acquisition costs (non included in net operating income) | | | (103 | ) | | | (80 | ) | | | | |
| Depreciation and amortization | | | (6,581 | ) | | | (5,688 | ) | | | | |
| Adjustment for intercompany expenses and other | | | (1,014 | ) | | | (463 | ) | | | | |
| | | | | | | | | | | | | |
| Total other -net | | | (11,912 | ) | | | (11,867 | ) | | | | |
| Income from continuing operations | | | 7,204 | | | | 6,672 | | | | 8.0 | % |
| Gain on sale of real estate | | | - | | | | - | | | | | |
| Net income | | | 7,204 | | | | 6,672 | | | | 8.0 | % |
| Net income attributable to noncontrolling interests | | | (222 | ) | | | (225 | ) | | | | |
| Net income attributable to Urstadt Biddle Properties Inc. | | $ | 6,982 | | | $ | 6,447 | | | | 8.3 | % |
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| Same-Store Operating Expense Ratio (Note 1) | | | 88.8 | % | | | 85.4 | % | | | 4.0 | % |
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| Note 1 - Represents the percentage of property operating expense and real estate tax expense recovered from tenants under operating leases | | | | | | | | | | | | |
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| Note 2 - Excludes straight line rent, above/below market lease rent, lease termination income | | | | | | | | | | | | |
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| Note 3 - Includes only properties owned for the entire period of both periods presented | | | | | | | | | | | | |
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| Note 4 - Beginning in fiscal 2015 the above analysis does not include our Westchester Pavilion property as that property is under re-development and we are vacating the property to accomplish the redevelopment | | | | | | | | | | | | |
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| Non-GAAP Financial Measure - Net Operating Income: | | | | | | | | | | | | |
| We present Net Operating Income ("NOI"), which is a non-GAAP financial measure. The most directly comparable GAAP financial measure is income from continuing operations which, to calculate NOI, is adjusted to add back depreciation and amortization, general and administrative expense, interest expense, amortization of above and below-market lease intangibles and to exclude straight-line rent adjustments, investment income, equity in net income of unconsolidated joint ventures, gain/loss on sale of operating properties and other income. We use NOI internally as a performance measure and believe NOI provides useful information to investors regarding our financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level. Our management also uses NOI to evaluate property level performance and to make decisions about resource allocations. Further, we believe NOI is useful to investors as a performance measure because, when compared across periods, NOI reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis, providing perspective not immediately apparent from income from continuing operations. NOI excludes certain components from net income attributable to Urstadt Biddle Properties Inc. in order to provide results that are more closely related to a property's results of operations. For example, interest expense is not necessarily linked to the operating performance of a real estate asset and is often incurred at the corporate level as opposed to the property level. In addition, depreciation and amortization, because of historical cost accounting and useful life estimates, may distort operating performance at the property level. NOI presented by us may not be comparable to NOI reported by other REITs that define NOI differently. We believe that in order to facilitate a clear understanding of our operating results, NOI should be examined in conjunction with income from continuing operations as presented in our consolidated financial statements. NOI should not be considered as an alternative to income from continuing operations as an indication of our performance or to cash flows as a measure of liquidity or our ability to make dividend payments. | | | | | | | | | | | | |
