Exhibit 99.1
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Pennsylvania Real Estate Investment Trust
QUARTERLY SUPPLEMENTAL DISCLOSURE
(December 31, 2004)
www.preit.com
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Table of Contents
Company Information | 1 | |
Timeline/Recent Developments | 2 | |
Stock Information | 3 | |
Market Capitalization and Capital Resources | 4 | |
Balance Sheet—Wholly Owned and Partnerships Detail | 5 | |
Balance Sheet—Line of Business | 6 | |
Income Statement—Wholly Owned and Partnerships Detail -Quarterly Comparison | 7 | |
Income Statement—Wholly Owned and Partnerships Detail-Yearly Comparison | 8 | |
Income Statement—Line of Business- Quarterly Comparison | 9 | |
Income Statement—Line of Business- Yearly Comparison | 10 | |
Income Statement—Retail (Property Status) -Quarterly Comparison | 11 | |
Income Statement—Retail (Property Status)- Yearly Comparison | 12 | |
Income Statement—Retail (Property Subtype) -Quarterly Comparison | 13 | |
Income Statement—Retail (Property Subtype)- Yearly Comparison | 14 | |
FFO and FAD | 15 | |
Key Ratios | 16 | |
Property Debt Schedule—Wholly Owned | 17 | |
Property Debt Schedule—Partnerships | 18 | |
Debt Analysis | 19 | |
Debt Ratios | 20 | |
Portfolio Summary—Retail | 21 | |
Property Acquisitions/Dispositions- Quarterly Summary | 22 | |
Property Acquisitions/Dispositions- Yearly Summary | 23 | |
Property Development/Redevelopment Summary | 24 | |
Top Twenty Tenants Schedule | 25 | |
Lease Expiration Schedule - Anchor Tenants | 26 | |
Lease Expiration Schedule - Non-Anchor Tenants | 27 | |
New Lease/Renewal Summary and Analysis | 28 | |
Capital Expenditures-Quarterly | 29 | |
Capital Expenditures-Yearly | 30 | |
Enclosed Mall-Summary and Occupancy | 31 | |
Enclosed Mall-Rent Summary | 32 | |
Power Center- Summary and Occupancy | 33 | |
Strip Center- Summary and Occupancy | 34 | |
Retail Overall- Summary and Occupancy | 35 | |
Summary of Portfolio Services | 36 | |
Flash Report-Quarterly | 37 | |
Flash Report-Yearly | 38 | |
RECONCILIATION TO GAAP: | ||
Balance Sheet-Reconciliation to GAAP | 39 | |
Income Statement-Reconciliation to GAAP -Quarterly | 40 | |
Income Statement-Reconciliation to GAAP -Yearly | 41 | |
Flash Report-Reconciliation to GAAP- Quarterly | 42 | |
Flash Report-Reconciliation to GAAP- Yearly | 43 | |
Definition page | 44 |
THIS QUARTERLY SUPPLEMENTAL DISCLOSURE CONTAINS CERTAIN “FORWARD-LOOKING STATEMENTS” THAT RELATE TO EXPECTATIONS, PROJECTIONS, ANTICIPATED EVENTS, TRENDS AND OTHER MATTERS THAT ARE NOT HISTORICAL FACTS. THESE FORWARD-LOOKING STATEMENTS REFLECT PREIT’S CURRENT VIEWS ABOUT FUTURE EVENTS AND ARE SUBJECT TO RISKS, UNCERTAINTIES AND ASSUMPTIONS THAT MAY CAUSE FUTURE EVENTS, ACHIEVEMENTS OR RESULTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED BY THE FORWARD-LOOKING STATEMENTS. PREIT’S BUSINESS IS SUBJECT TO UNCERTAINTIES REGARDING THE REVENUES, OPERATING EXPENSES, LEASING ACTIVITIES, OCCUPANCY RATES, AND OTHER COMPETITIVE FACTORS RELATING TO PREIT’S PORTFOLIO AND CHANGES IN LOCAL MARKET CONDITIONS AS WELL AS GENERAL ECONOMIC, FINANCIAL AND POLITICAL CONDITIONS, WHICH MAY CAUSE FUTURE EVENTS, ACHIEVEMENTS OR RESULTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED BY THE FORWARD-LOOKING STATEMENTS. PREIT DISCLAIMS ANY DUTY TO UPDATE ANY FORWARD-LOOKING STATEMENTS SET FORTH IN THIS QUARTERLY SUPPLEMENTAL DISCLOSURE TO REFLECT NEW INFORMATION, FUTURE EVENTS OR OTHERWISE. INVESTORS ARE ALSO DIRECTED TO CONSIDER THE RISKS DISCUSSED IN DOCUMENTS PREIT HAS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION AND, IN PARTICULAR, PREIT’S ANNUAL REPORT ON FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 2003.
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
COMPANY INFORMATION
PENNSYLVANIA REIT
200 South Broad Street, Philadelphia, PA 19102
http://www.preit.com
Pennsylvania Real Estate Investment Trust, founded in 1960 and one of the first equity REITs in the U.S., has a primary investment focus on retail shopping malls and power centers (approximately 33.0 million square feet) located in the eastern United States. PREIT’s portfolio consists of 54 properties in 12 states. PREIT’s portfolio includes 37 shopping malls, 13 strip and power centers and four industrial properties. PREIT is headquartered in Philadelphia, Pennsylvania.
Research Coverage
Company | Analyst | Phone Number | ||
Green Street Advisors | Gregory R. Andrews | (949) 640-8780 | ||
JP Morgan | Michael W. Mueller | (212) 622-6689 | ||
Anthony Paolone | (212) 622-6682 | |||
Joshua Bederman | (212) 622-6530 | |||
Legg Mason Wood Walker | David M. Fick | (410) 539-0000 | ||
Nathan Isbee | (410) 454-4143 | |||
Lehman Brothers | David Harris | (212) 526-1790 | ||
Alexander D. Goldfarb | (212) 526-5232 | |||
UBS | Ian C. Weissman | (212) 713-8602 | ||
Keith A. Mills | (212) 713-3098 | |||
Frank Rybinski | (212) 713-2364 |
Quarterly Earnings Schedule
PREIT’s quarterly results will be announced in accordance with the following schedule:
Quarter | 2005 (1) | 2004 | ||
First Quarter | 5/3/2005 | 5/5/2004 | ||
Second Quarter | 8/4/2005 | 8/5/2004 | ||
Third Quarter | 11/3/2005 | 11/8/2004 | ||
Fourth Quarter | 2/28/2006 | 3/3/2005 |
(1) | Tentative dates. |
Quarterly conference calls are arranged by KCSA Worldwide. To participate, please contact Garth Russell at (212) 896-1250.
For additional information, please contact:
Robert McCadden or Nurit Yaron
200 South Broad Street
Philadelphia, PA 19102
Phone (215) 875-0700 Toll Free (866) 875-0700
(215) 546-7311 Fax yaronn@preit.com Email
PAGE 1
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Time Line/Recent Developments
February 17, 2005 - Pennsylvania Real Estate Investment Trust announced that a partnership in which it holds a 40% interest has entered into a definitive agreement to sell Laurel Mall in Hazelton, Pennsylvania. The sale is expected to be completed in the second quarter of 2005.
February 17, 2005 -Pennsylvania Real Estate Investment Trust announced that it intends to release its financial results for the fourth quarter and twelve months ended December 31, 2004, on Thursday, March 3, 2005. It also announced that Management will hold a conference call on Thursday, March 3, 2005 at 3:00PM EDT to review the Company's fourth quarter and twelve month results, market trends and future outlook.
February 17, 2005 -Pennsylvania Real Estate Investment Trust announced that its Board of Trustees declared a quarterly cash dividend of $0.54 per common share. PREIT also announced that its Board of Trustees has declared a regular quarterly dividend of $1.375 per share on its 11.00% senior preferred shares.
February 4, 2005 -Pennsylvania Real Estate Investment Trust announced that it had completed the acquisition of Cumberland Mall in Vineland, New Jersey for approximately $59.5 million.
February 3, 2005 -Pennsylvania Real Estate Investment Trust announced that it had amended its credit facility effective January 31, 2005.
January 24, 2005 -Pennsylvania Real Estate Investment Trust reported the tax status of its dividend distribution for 2004.
December 2, 2004 -Pennsylvania Real Estate Investment Trust announced that it had completed the acquisition of Orlando Fashion Square in Orlando, Florida for approximately $123.5 million.
November 8, 2004 -Pennsylvania Real Estate Investment Trust today announced its results for the third quarter and nine months ended September 30, 2004. Net income available to common shareholders for the third quarter of 2004 was $0.30 per diluted share. FFO per common share and Operating Partnership unit (“share”) for the third quarter of 2004 was $0.86.
October 29, 2004 - Pennsylvania Real Estate Investment Trust announced that its Board of Trustees declared a quarterly cash dividend of $0.54 per common share. PREIT also announced that its Board of Trustees has declared a regular quarterly dividend of $1.375 per share on its 11.00% senior preferred shares.
October 29, 2004 - Pennsylvania Real Estate Investment Trust announced that it intends to release its financial results for the third quarter and nine months ended September 30, 2004 on Monday, November 8, 2004. It also announced that Management will hold a conference call on Monday, November 8, 2004 at 3:00PM ET to review the Company's third quarter and nine month results, market trends and future outlook.
October 19, 2004 - Pennsylvania Real Estate Investment Trust announced that it has signed a binding agreement to acquire Orlando Fashion Square in Orlando, Florida, for approximately $123.5 million.
October 11, 2004 - Pennsylvania Real Estate Investment Trust announced that it has reached an agreement with the owners of Cumberland Mall Associates to acquire Cumberland Mall in Vineland, New Jersey for approximately $59.5 million.
NOTE: Copies of the press releases are available on the Company's website at www.preit.com.
PAGE 2
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Stock Information
PREIT’s common stock trades on the New York Stock Exchange (symbol: PEI).
PREIT’s preferred stock trades on the New York Stock Exchange (symbol: PEIPRA).
CY:12/31/04 | Q4:12/31/04 | Q3:9/30/04 | Q2:6/30/04 | Q1:3/31/04 | CY:12/31/03 | Q4:12/31/03 | CY 12/31/02 | |||||||||||||||||
High Price | 43.70 | 43.70 | 38.85 | 37.87 | 37.85 | 36.30 | 36.30 | 27.20 | ||||||||||||||||
Low Price | 30.25 | 38.66 | 33.40 | 30.25 | 33.30 | 24.70 | 32.70 | 20.55 | ||||||||||||||||
Close | 42.80 | 42.80 | 38.66 | 34.25 | 37.66 | 36.30 | 36.30 | 26.00 | ||||||||||||||||
Average Daily Trading Volume | 161,659 | 123,000 | 122,095 | 181,397 | 220,144 | 109,892 | 283,565 | 41,495 | ||||||||||||||||
Common Shares Outstanding at end of period | 36,272,162 | 36,272,162 | 36,094,567 | 35,938,306 | 35,778,863 | 35,544,265 | 35,544,265 | 16,697,119 | ||||||||||||||||
O.P. Units | 4,413,559 | 4,413,559 | 4,429,030 | 4,444,030 | 3,834,714 | 3,691,516 | 3,691,516 | 1,763,318 | ||||||||||||||||
Fully Diluted Shares Outstanding | 40,685,721 | 40,685,721 | 40,523,597 | 40,382,336 | 39,613,577 | 39,235,781 | 39,235,781 | 18,460,437 | ||||||||||||||||
Weighted Avg. number of common shares outstanding | 35,609,350 | 35,818,787 | 35,695,353 | 35,516,772 | 35,403,257 | 20,389,577 | 28,786,801 | 16,162,327 | ||||||||||||||||
Weighted Avg. effect of full conversion of O.P. units | 4,183,059 | 4,425,874 | 4,435,878 | 4,028,892 | 3,836,144 | 2,303,449 | 2,957,595 | 1,804,779 | ||||||||||||||||
Wtd Avg. Common Shares Outstanding and O.P. Units | 39,792,409 | 40,244,661 | 40,131,231 | 39,545,664 | 39,239,401 | 22,693,026 | 31,744,396 | 17,967,106 | ||||||||||||||||
Preferred Shares, Nominal Value | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | ||||||||||
Market Value of Shares (based on closing price) | $ | 1,865,098,859 | $ | 1,865,098,859 | $ | 1,690,392,260 | $ | 1,506,845,008 | $ | 1,615,597,310 | $ | 1,548,008,850 | $ | 1,424,258,850 | $ | 479,971,362 |
Distribution Information for Common Shares
CY:12/31/04 | Q4:12/31/04 | Q3:9/30/04 | Q2:6/30/04 | Q1:3/31/04 | CY:12/31/03 | Q4:12/31/03 | CY 12/31/02 | |||||||||||||||||||||||||
Dividend per share | $ | 2.160 | $ | 0.540 | $ | 0.540 | $ | 0.540 | $ | 0.540 | $ | 2.070 | $ | 0.540 | $ | 2.040 | ||||||||||||||||
Annualized Dividend Yield(1) | 5.0 | % | 5.0 | % | 5.6 | % | 6.3 | % | 5.7 | % | 5.7 | % | 6.0 | % | 7.8 | % | ||||||||||||||||
Capital Gain Pre-May 6 | $ | 0.026 | $ | — | $ | 0.026 | $ | — | $ | — | 0.096 | $ | — | $ | 0.082 | |||||||||||||||||
Capital Gain Post-May 5 | $ | — | $ | — | $ | — | $ | — | $ | — | 0.213 | $ | — | $ | — | |||||||||||||||||
Section 1250 Gain | $ | 0.026 | $ | — | $ | 0.026 | $ | — | $ | — | 0.480 | $ | — | $ | — | |||||||||||||||||
Return of Capital/Non-Taxable | $ | 0.517 | $ | 0.182 | $ | 0.182 | $ | 0.153 | $ | — | 0.085 | 0.022 | $ | 0.134 | ||||||||||||||||||
Qualified 5 Year Gain (incl. in cap. Gain) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Ordinary Income | $ | 1.617 | $ | 0.358 | $ | 0.332 | $ | 0.387 | $ | 0.540 | $ | 1.196 | $ | 0.518 | $ | 1.824 |
(1) | Based on closing stock price for the period. |
Shareholder Information
Ten Largest Institutional Shareholders: Common Shares Held(1) | 12/31/2004 | ||
RREEF Real Estate Securities Advisers, L.P. | 5,023,996 | ||
Vanguard Group, Inc. | 1,536,972 | ||
Barclays Global Investors | 1,450,053 | ||
ING Clarion Real Estate Securities | 1,428,553 | ||
ABP Investment U.S.,Inc | 994,800 | ||
J.P Morgan Investment Management Inc. (NY) | 908,541 | ||
State Street Global Advisors | 725,243 | ||
Neuberger Berman, LLC | 686,590 | ||
Urdang Investment Management, Inc. | 525,585 | ||
Martingale Asset Management, L.P. | 466,073 | ||
TOTAL of Ten Largest Institutional: | 13,746,406 | ||
TOTAL of all Institutional holders: | 21,655,541 | ||
Ten Largest as % of Total Institutional: | 63.5 | % |
(1) | Based on 13F filings as of 12/31/04 or most recent filings. |
Breakdown of Share & Unit Ownership: Shares Held | 12/31/2004 | 9/30/03 | % of 12/31/04 total | ||||
Institutional(1) | 21,655,541 | 7,354,860 | 53.2 | % | |||
Retail(2) | 14,796,395 | 16,369,287 | 36.4 | % | |||
Insiders(3) | 4,233,785 | 1,813,309 | 10.4 | % | |||
TOTAL | 40,685,721 | 25,537,456 | 100.0 | % |
(1) | Based on 13F filings as of 12/31/04 or most recent filings. |
(2) | Retail ownership equals total shares outstanding minus institutional and insider ownership. |
(3) | Insider holdings as of 1/4/04. (Shares and O.P. Units only. Excludes 474,335 exercisable options). |
Share Ownership by Insiders: Shares Held (including O.P. Units, Beneficial Ownership and Exercisable Options) | As of 4/1/04(1) | % of Total (2) | Interim Net Purchases of Shares (3) | As of 12/31/03(4) | % of Total (5) | |||||||
Mark Pasquerilla | 2,398,073 | 5.9 | % | 1,000 | 2,397,073 | 5.9 | % | |||||
Ronald Rubin | 859,469 | 2.1 | % | 20,621 | 838,848 | 2.1 | % | |||||
George F. Rubin | 434,925 | 1.1 | % | 14,390 | 420,535 | 1.0 | % | |||||
Leonard I. Korman | 363,475 | 0.9 | % | 50,690 | 312,785 | 0.8 | % | |||||
Edward A. Glickman | 225,856 | 0.6 | % | 12,626 | 213,230 | 0.5 | % | |||||
Jonathan B. Weller | 165,736 | 0.4 | % | 13,206 | 152,530 | 0.4 | % | |||||
Joseph F. Coradino | 125,043 | 0.3 | % | 13,386 | 111,657 | 0.3 | % | |||||
Jeffrey A. Linn | 72,450 | 0.2 | % | 3,094 | 69,356 | 0.2 | % | |||||
Douglas S. Grayson | 45,306 | 0.1 | % | 3,154 | 42,152 | 0.1 | % | |||||
David J. Bryant | 24,894 | 0.1 | % | 3,642 | 21,252 | 0.1 | % | |||||
Bruce Goldman | 16,499 | 0.0 | % | 5,746 | 10,753 | 0.0 | % | |||||
Lee H. Javitch | 15,375 | 0.0 | % | 3,250 | 12,125 | 0.0 | % | |||||
Rosemarie B. Greco | 9,375 | 0.0 | % | 2,250 | 7,125 | 0.0 | % | |||||
Ira Lubert | 5,500 | 0.0 | % | 2,250 | 3,250 | 0.0 | % | |||||
Donald Mazziotti | 1,985 | 0.0 | % | N/A | N/A | N/A | ||||||
John J. Roberts | 1,000 | 0.0 | % | N/A | N/A | N/A | ||||||
TOTAL(6) | 4,708,120 | 11.7 | % | 149,305 | 4,560,889 | 11.4 | % | |||||
(1) | Source of Insider Ownership: Proxy dated April 29, 2004. Refer to footnotes in proxy for details on beneficial ownership. |
(2) | Based on fully diluted shares outstanding as of September 30, 2004. |
(3) | Includes purchases of shares, issuance of restricted stocks awards, issuances of O.P. units, and exercisable options. |
(4) | Source of Insider Ownership: S-4 SEC filing dated October 1, 2003. |
(5) | Based on fully diluted shares outstanding as of December 31, 2003. |
(6) | In certain instances, two trustees beneficially own the same shares because they share voting or investment power over the shares. These shares have been counted only once in the total. |
PAGE 3
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
MARKET CAPITALIZATION
December 31, 2004 | September 30, 2004 | June 30, 2004 | March 31, 2004 | December 31, 2003 | December 31, 2002 | |||||||||||||||||||
EQUITY CAPITALIZATION | ||||||||||||||||||||||||
Shares Outstanding | 36,272,162 | 36,094,567 | 35,938,306 | 35,778,863 | 35,544,265 | 16,697,119 | ||||||||||||||||||
O.P. Units Outstanding | 4,413,559 | 4,429,030 | 4,444,030 | 3,834,714 | 3,691,516 | 1,763,318 | ||||||||||||||||||
TOTAL Shares and O.P. Units | 40,685,721 | 40,523,597 | 40,382,336 | 39,613,577 | 39,235,781 | 18,460,437 | ||||||||||||||||||
Market Price (at end of period) | $ | 42.80 | $ | 38.66 | $ | 34.25 | $ | 37.66 | $ | 36.30 | $ | 26.00 | ||||||||||||
Preferred Shares, Nominal Value | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | $ | 123,750,000 | ||||||||||||||
Equity Market Capitalization | $ | 1,865,098,859 | $ | 1,690,392,260 | $ | 1,506,845,008 | $ | 1,615,597,310 | $ | 1,548,008,850 | $ | 479,971,362 | ||||||||||||
DEBT CAPITALIZATION | ||||||||||||||||||||||||
Unsecured Debt Balance | $ | 271,000,000 | $ | 112,000,000 | $ | 219,000,000 | $ | 182,000,000 | $ | 170,000,000 | $ | — | ||||||||||||
Secured Debt Balance | 1,326,127,000 | 1,366,090,242 | 1,376,148,003 | 1,386,313,775 | 1,396,262,538 | 617,279,770 | ||||||||||||||||||
Debt Capitalization | $ | 1,597,127,000 | $ | 1,478,090,242 | $ | 1,595,148,003 | $ | 1,568,313,775 | $ | 1,566,262,538 | $ | 617,279,770 | ||||||||||||
TOTAL MARKET CAPITALIZATION | $ | 3,462,225,859 | $ | 3,168,482,502 | $ | 3,101,993,011 | $ | 3,183,911,085 | $ | 3,114,271,388 | $ | 1,097,251,132 | ||||||||||||
Preferred Shares/Total Market Capitalization | 3.6 | % | 3.9 | % | 4.0 | % | 3.9 | % | 4.0 | % | ||||||||||||||
Shares and O.P. Units/Total Market Capitalization | 50.3 | % | 49.4 | % | 44.6 | % | 46.9 | % | 45.7 | % | 43.7 | % | ||||||||||||
Debt Capitalization/Total Market Capitalization | 46.1 | % | 46.6 | % | 51.4 | % | 49.3 | % | 50.3 | % | 56.3 | % | ||||||||||||
Equity Capitalization/Total Market Capitalization | 53.9 | % | 53.4 | % | 48.6 | % | 50.7 | % | 49.7 | % | 43.7 | % | ||||||||||||
Unsecured Debt Balance/Total Debt | 17.0 | % | 7.6 | % | 13.7 | % | 11.6 | % | 10.9 | % | 0.0 | % | ||||||||||||
¨ Preferred shares/Total Market Capitalization | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||||||||||
Debt Capitalization/ | ||||||||||||||||||||||||
¨ Shares and O.P. Units/Total Market Capitalization | ||||||||||||||||||||||||
CAPITAL RESOURCES | ||||||||||||||||||||||||
December 31, 2004 | September 30, 2004 | June 30, 2004 | March 31, 2004 | December 31, 2003 | December 31, 2002 | |||||||||||||||||||
Cash on Hand | $ | 45,949,300 | $ | 35,824,104 | $ | 32,002,089 | $ | 37,024,603 | $ | 46,883,041 | $ | 18,628,137 | ||||||||||||
Line of Credit Capacity(1) | $ | 500,000,000 | $ | 500,000,000 | $ | 500,000,000 | $ | 500,000,000 | $ | 500,000,000 | $ | 200,000,000 | ||||||||||||
Amount Used (includes letters of credit) | (279,054,533 | ) | (114,124,533 | ) | (220,195,000 | ) | (183,195,000 | ) | (170,500,000 | ) | (131,473,671 | ) | ||||||||||||
Available LOC(2) | $ | 220,945,467 | $ | 385,875,467 | $ | 279,805,000 | $ | 316,805,000 | $ | 329,500,000 | $ | 68,526,329 | ||||||||||||
Shelf Registration | $ | 1,000,000,000 | $ | 1,000,000,000 | $ | 1,000,000,000 | $ | 1,000,000,000 | $ | 1,000,000,000 | $ | 500,000,000 | ||||||||||||
Amount Used | (344,146,042 | ) | (344,146,042 | ) | (344,146,042 | ) | (344,146,042 | ) | (344,146,042 | ) | (155,977,292 | ) | ||||||||||||
Available Shelf | $ | 655,853,958 | $ | 655,853,958 | $ | 655,853,958 | $ | 655,853,958 | $ | 655,853,958 | $ | 344,022,708 | ||||||||||||
TOTAL CAPITAL RESOURCES | $ | 922,748,725 | $ | 1,077,553,529 | $ | 967,661,047 | $ | 1,009,683,561 | $ | 1,032,236,999 | $ | 431,177,174 | ||||||||||||
(1) | The unsecured revolving line of credit established in November 2003 and amended in January 2005, gives PREIT the ability to increase the facility to $650 million under prescribed conditions. |
(2) | The available line of credit is subject to covenants that may restrict amounts that can be borrowed. |
PAGE 4
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
BALANCE SHEET
(Wholly Owned vs. Partnerships)
December 31, 2004 | December 31, 2003 | |||||||||||||||||||||||||||||||
PREIT Wholly Owned | PREIT’s % of Partnerships (5) | Corporate | Combined TOTAL | PREIT Wholly Owned | PREIT’s % of Partnerships (5) | Corporate | Combined TOTAL | |||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||||||||||
Investments in Real Estate, at cost | ||||||||||||||||||||||||||||||||
Retail Properties(1) | $ | 2,518,364,388 | $ | 131,343,981 | — | $ | 2,649,708,369 | $ | 2,382,753,911 | $ | 133,107,107 | — | $ | 2,515,861,018 | ||||||||||||||||||
Multifamily Properties | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Industrial Properties | 2,504,211 | — | — | 2,504,211 | 2,504,211 | — | — | 2,504,211 | ||||||||||||||||||||||||
Land Held for Development | 9,862,704 | — | — | 9,862,704 | 5,604,470 | — | — | 5,604,470 | ||||||||||||||||||||||||
Construction In Progress | 10,952,450 | 2,542,307 | — | 13,494,757 | 20,230,813 | 1,506,178 | — | 21,736,991 | ||||||||||||||||||||||||
TOTAL INVEST- | 2,541,683,753 | 133,886,288 | — | 2,675,570,041 | 2,411,093,405 | 134,613,285 | — | 2,545,706,690 | ||||||||||||||||||||||||
Accumulated Depreciation | (150,885,609 | ) | (34,023,363 | ) | — | (184,908,972 | ) | (78,416,266 | ) | (31,652,085 | ) | — | (110,068,351 | ) | ||||||||||||||||||
Net Real Estate | 2,390,798,144 | 99,862,925 | — | 2,490,661,069 | 2,332,677,139 | 102,961,200 | — | 2,435,638,339 | ||||||||||||||||||||||||
Advances to Partnerships | — | — | — | — | — | — | ||||||||||||||||||||||||||
2,390,798,144 | 99,862,925 | — | 2,490,661,069 | 2,332,677,139 | 102,961,200 | — | 2,435,638,339 | |||||||||||||||||||||||||
Other Assets: | ||||||||||||||||||||||||||||||||
Cash and Cash Equivalents | 25,096,539 | 5,609,103 | 15,243,658 | 45,949,300 | 13,580,334 | 3,905,956 | 29,396,751 | 46,883,041 | ||||||||||||||||||||||||
Rents and Other Receivables | 27,286,042 | 11,328,239 | 3,676,167 | 42,290,448 | 22,860,444 | 7,991,132 | 4,814,392 | 35,665,968 | ||||||||||||||||||||||||
Other assets held for sale(1) | 6,837,914 | — | — | 6,837,914 | 37,686,662 | — | 37,686,662 | |||||||||||||||||||||||||
Intangible Assets(2) | 159,804,366 | — | 12,045,312 | 171,849,678 | 172,502,487 | 9,041,888 | 181,544,375 | |||||||||||||||||||||||||
Deferred Costs, Prepaid Taxes & Exp. & Other Assets | 42,573,601 | 7,550,568 | 19,782,031 | 69,906,200 | 41,095,944 | 11,942,821 | 8,715,480 | 61,754,245 | ||||||||||||||||||||||||
TOTAL OTHER ASSETS | 261,598,462 | 24,487,910 | 50,747,168 | 336,833,540 | 287,725,871 | 23,839,909 | 51,968,511 | 363,534,291 | ||||||||||||||||||||||||
TOTAL ASSETS | 2,652,396,606 | 124,350,835 | 50,747,168 | 2,827,494,609 | 2,620,403,010 | 126,801,109 | 51,968,511 | 2,799,172,630 | ||||||||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Mortgage Notes Payable | 1,162,479,171 | 107,513,205 | — | 1,269,992,376 | 1,211,192,636 | 109,581,659 | — | 1,320,774,295 | ||||||||||||||||||||||||
Mortgage Debt Premium(3) | 56,134,624 | — | 56,134,624 | 75,488,243 | — | 75,488,243 | ||||||||||||||||||||||||||
Bank Loans Payable | — | — | 271,000,000 | 271,000,000 | — | — | 170,000,000 | 170,000,000 | ||||||||||||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Liabilities Related to Assets held for sale | 1,156,442 | — | 1,156,442 | 5,840,385 | — | 5,840,385 | ||||||||||||||||||||||||||
Other Liabilities(4) | 50,292,594 | 3,351,797 | 39,131,857 | 92,776,248 | 46,107,438 | 4,110,496 | 40,566,634 | 90,784,568 | ||||||||||||||||||||||||
TOTAL LIABILITIES | 1,270,062,831 | 110,865,002 | 310,131,857 | 1,691,059,690 | 1,338,628,702 | 113,692,155 | 210,566,634 | 1,662,887,491 | ||||||||||||||||||||||||
Minority Interest | 3,584,992 | — | 128,383,925 | 131,968,917 | 8,590,978 | — | 104,060,548 | 112,651,526 | ||||||||||||||||||||||||
Shareholders’ Equity: | ||||||||||||||||||||||||||||||||
Shares of Beneficial Interest at $1 Par | — | — | 36,272,160 | 36,272,160 | — | — | 35,544,280 | 35,544,280 | ||||||||||||||||||||||||
Preferred Shares $0.01 Par | 24,750 | 24,750 | 24,750 | 24,750 | ||||||||||||||||||||||||||||
Capital Contributed in Excess of Par | — | — | 899,506,128 | 899,506,128 | — | — | 877,444,615 | 877,444,615 | ||||||||||||||||||||||||
Restricted Stock | — | — | (7,736,812 | ) | (7,736,812 | ) | — | — | (3,195,777 | ) | (3,195,777 | ) | ||||||||||||||||||||
Other Comprehensive Income | — | — | (1,821,457 | ) | (1,821,457 | ) | — | — | (2,005,840 | ) | (2,005,840 | ) | ||||||||||||||||||||
Retained Earnings (Distributions in Excess of Net Income) | — | — | 78,221,233 | 78,221,233 | — | — | 115,821,585 | 115,821,585 | ||||||||||||||||||||||||
TOTAL SHAREHOLDERS’ EQUITY | — | — | 1,004,466,002 | 1,004,466,002 | — | — | 1,023,633,613 | 1,023,633,613 | ||||||||||||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 1,273,647,823 | $ | 110,865,002 | $ | 1,442,981,784 | $ | 2,827,494,609 | $ | 1,347,219,680 | $ | 113,692,155 | $ | 1,338,260,795 | $ | 2,799,172,630 | ||||||||||||||||
December 31, 2002 | ||||||||||||||||
PREIT Wholly Owned | PREIT’s % of Partnerships (5) | Corporate | Combined TOTAL | |||||||||||||
ASSETS | ||||||||||||||||
Investments in Real Estate, at cost | ||||||||||||||||
Retail Properties(1) | $ | 423,046,545 | $ | 197,299,357 | — | $ | 620,345,902 | |||||||||
Multifamily Properties | 290,606,714 | 14,728,865 | — | 305,335,579 | ||||||||||||
Industrial Properties | 2,504,211 | — | — | 2,504,211 | ||||||||||||
Land Held for Development | — | — | — | — | ||||||||||||
Construction In Progress | 23,271,863 | 1,554,110 | — | 24,825,973 | ||||||||||||
TOTAL INVESTMENTS IN REAL ESTATE | 739,429,333 | 213,582,332 | — | 953,011,665 | ||||||||||||
Accumulated Depreciation | (136,733,257 | ) | (43,759,779 | ) | — | (180,493,036 | ) | |||||||||
Net Real Estate | 602,696,076 | 169,822,553 | — | 772,518,629 | ||||||||||||
Advances to Partnerships | — | — | 105,309 | 105,309 | ||||||||||||
602,696,076 | 169,822,553 | 105,309 | 772,623,938 | |||||||||||||
Other Assets: | ||||||||||||||||
Cash and Cash Equivalents | 7,342,523 | 5,075,355 | 6,210,259 | 18,628,137 | ||||||||||||
Rents and Other Receivables | 8,847,093 | 10,122,016 | 4,395,970 | 23,365,079 | ||||||||||||
Other assets held for sale(1) | — | — | — | — | ||||||||||||
Intangible Assets(2) | 16,679,886 | 16,679,886 | ||||||||||||||
Deferred Costs, Prepaid Taxes & Exp. & Other Assets | 18,306,800 | 13,981,793 | 13,822,873 | 46,111,466 | ||||||||||||
TOTAL OTHER ASSETS | 34,496,416 | 29,179,164 | 41,108,988 | 104,784,568 | ||||||||||||
TOTAL ASSETS | 637,192,492 | 199,001,717 | 41,214,297 | 877,408,506 | ||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||
Liabilities: | ||||||||||||||||
Mortgage Notes Payable | 319,751,324 | 166,728,446 | — | 486,479,770 | ||||||||||||
Mortgage Debt Premium(3) | ||||||||||||||||
Bank Loans Payable | 119,229,707 | 11,570,293 | 130,800,000 | |||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | ||||||||||||
Liabilities Related to Assets held for sale | — | — | — | — | ||||||||||||
Other Liabilities(4) | 17,687,633 | 7,016,897 | 14,939,232 | 39,643,762 | ||||||||||||
TOTAL LIABILITIES | 456,668,664 | 185,315,636 | 14,939,232 | 656,923,532 | ||||||||||||
Minority Interest | 126,715 | — | 32,345,722 | 32,472,437 | ||||||||||||
Shareholders’ Equity: | ||||||||||||||||
Shares of Beneficial Interest at $1 Par | — | — | 16,697,117 | 16,697,117 | ||||||||||||
Preferred Shares $0.01 Par | ||||||||||||||||
Capital Contributed in Excess of Par | — | — | 216,768,855 | 216,768,855 | ||||||||||||
Restricted Stock | — | — | (2,513,191 | ) | (2,513,191 | ) | ||||||||||
Other Comprehensive Income | — | — | (4,365,728 | ) | (4,365,728 | ) | ||||||||||
Retained Earnings (Distributions in Excess of Net Income) | — | — | (38,574,516 | ) | (38,574,516 | ) | ||||||||||
TOTAL SHAREHOLDERS’ EQUITY | — | — | 188,012,537 | 188,012,537 | ||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 456,795,379 | $ | 185,315,636 | $ | 235,297,491 | $ | 877,408,506 | ||||||||
(1) | Investment in real estate as of December 31, 2004 and December 31, 2003 includes $8,108,066 and $118,887,475, respectively relating to the non-core properties. The non-core properties are classified as held-for-sale for GAAP purposes. Other assets held for sale represents intangible assets and current assets of the non-core properties. |
(2) | Includes value of acquired in-place leases and above-market value of leases recorded in connection with the acquisition of properties since 2002. Purchase accounting rules require a purchaser to separately value the leases that are in place at the acquisition date, as well as the above- or below-market values of the leases. |
(3) | Represents premium that is recorded in connection with debt assumed when a property is purchased. The debt is marked to market at the acquisition date and the premium is amortized through interest expense over the remaining term of the debt. |
(4) | For Wholly Owned Properties, Other Liabilities includes Tenant Deposits and Deferred Rents, Accrued Pension and Retirement Benefits, Accrued Expenses and Other Liabilities including Deficit in Partnerships Investments. |
(5) | Includes PREIT’s percent of partnership investment that is “grossed up” to reflect the Company’s share of the Total Assets and Liabilities of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. The consolidated financial statements, which are presented in accordance with GAAP, reflect only the Company’s Equity in these properties. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 5
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
BALANCE SHEET(1)
(Line of Business)
December 31, 2004 | ||||||||||||||||||||||||
Malls | Power and Strip Centers | Total Retail | Other Properties | Corporate | Combined TOTAL | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Investments in Real Estate, at cost(2) | $ | 2,336,629,574 | $ | 313,078,795 | $ | 2,649,708,369 | $ | 25,861,672 | $ | — | $ | 2,675,570,041 | ||||||||||||
Accumulated Depreciation | (135,017,071 | ) | (47,764,970 | ) | (182,782,041 | ) | (2,126,931 | ) | — | (184,908,972 | ) | |||||||||||||
Net Real Estate | 2,201,612,503 | 265,313,825 | 2,466,926,328 | 23,734,741 | — | 2,490,661,069 | ||||||||||||||||||
Investments in PREIT-RUBIN | ||||||||||||||||||||||||
Advances to Partnerships | — | — | — | — | — | |||||||||||||||||||
Advances to PREIT-RUBIN | — | |||||||||||||||||||||||
2,201,612,503 | 265,313,825 | 2,466,926,328 | 23,734,741 | — | 2,490,661,069 | |||||||||||||||||||
Allowance for Possible Losses | — | — | — | — | ||||||||||||||||||||
2,201,612,503 | 265,313,825 | 2,466,926,328 | 23,734,741 | — | 2,490,661,069 | |||||||||||||||||||
Other Assets: | ||||||||||||||||||||||||
Cash | 26,115,513 | 4,590,129 | 30,705,642 | 15,243,658 | 45,949,300 | |||||||||||||||||||
Other assets held for sale | 6,837,914 | 6,837,914 | — | 6,837,914 | ||||||||||||||||||||
Intangible Assets(3) | 159,804,366 | 159,804,366 | 12,045,312 | 171,849,678 | ||||||||||||||||||||
Other Assets, Net(4) | 52,375,910 | 23,813,146 | 76,189,056 | 12,549,394 | 23,458,198 | 112,196,648 | ||||||||||||||||||
Total Other Assets | 245,133,703 | 28,403,275 | 273,536,978 | 12,549,394 | 50,747,168 | 336,833,540 | ||||||||||||||||||
TOTAL ASSETS | 2,446,746,206 | 293,717,100 | 2,740,463,306 | 36,284,135 | 50,747,168 | 2,827,494,609 | ||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||
Mortgage Notes Payable | 1,165,736,877 | 104,255,499 | 1,269,992,376 | — | — | 1,269,992,376 | ||||||||||||||||||
Mortgage Debt Premium(5) | 54,794,532 | 1,340,092 | 56,134,624 | — | 56,134,624 | |||||||||||||||||||
Bank Loans Payable | — | — | 271,000,000 | 271,000,000 | ||||||||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | |||||||||||||||||||
Construction Loans | — | — | — | — | — | — | ||||||||||||||||||
Liabilities Related to Assets held for sale | 1,156,442 | 1,156,442 | — | — | 1,156,442 | |||||||||||||||||||
Other Liabilities(6) | 44,391,004 | 5,723,480 | 50,114,484 | 3,529,907 | 39,131,857 | 92,776,248 | ||||||||||||||||||
TOTAL LIABILITIES | 1,266,078,855 | 111,319,071 | 1,377,397,926 | 3,529,907 | 310,131,857 | 1,691,059,690 | ||||||||||||||||||
Minority Interest | 3,584,992 | 3,584,992 | — | 128,383,925 | 131,968,917 | |||||||||||||||||||
Shareholders’ Equity: | ||||||||||||||||||||||||
Shares of Beneficial Interest at $1 Par | — | — | — | 36,272,160 | 36,272,160 | |||||||||||||||||||
Preferred Shares $0.01 Par | 24,750 | 24,750 | ||||||||||||||||||||||
Capital Contributed in Excess of Par | — | — | — | 899,506,128 | 899,506,128 | |||||||||||||||||||
Restricted Stock | — | — | — | (7,736,812 | ) | (7,736,812 | ) | |||||||||||||||||
Other Comprehensive Income | — | — | — | (1,821,457 | ) | (1,821,457 | ) | |||||||||||||||||
Retained Earnings (Distributions in Excess of Net Income) | — | — | — | 78,221,233 | 78,221,233 | |||||||||||||||||||
TOTAL SHAREHOLDERS’ EQUITY | — | — | — | — | 1,004,466,002 | 1,004,466,002 | ||||||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 1,269,663,847 | $ | 111,319,071 | $ | 1,380,982,918 | $ | 3,529,907 | $ | 1,442,981,784 | $ | 2,827,494,609 | ||||||||||||
December 31, 2003 | ||||||||||||||||||||||||
Malls | Power and Strip Centers | Total Retail | Other Properties | Corporate | Combined TOTAL | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Investments in Real Estate, at cost(2) | $ | 2,217,101,551 | $ | 298,759,467 | $ | 2,515,861,018 | $ | 29,845,672 | $ | — | $ | 2,545,706,690 | ||||||||||||
Accumulated Depreciation | (68,469,015 | ) | (39,522,565 | ) | (107,991,580 | ) | (2,076,771 | ) | — | (110,068,351 | ) | |||||||||||||
Net Real Estate | 2,148,632,536 | 259,236,902 | 2,407,869,438 | 27,768,901 | — | 2,435,638,339 | ||||||||||||||||||
Investments in PREIT-RUBIN | ||||||||||||||||||||||||
Advances to Partnerships | — | — | — | — | — | |||||||||||||||||||
Advances to PREIT-RUBIN | — | |||||||||||||||||||||||
2,148,632,536 | 259,236,902 | 2,407,869,438 | 27,768,901 | — | 2,435,638,339 | |||||||||||||||||||
Allowance for Possible Losses | — | — | — | — | ||||||||||||||||||||
2,148,632,536 | 259,236,902 | 2,407,869,438 | 27,768,901 | — | 2,435,638,339 | |||||||||||||||||||
Other Assets: | ||||||||||||||||||||||||
Cash | 13,158,371 | 4,327,918 | 17,486,289 | 29,396,751 | 46,883,040 | |||||||||||||||||||
Other assets held for sale | 37,686,662 | — | 37,686,662 | 37,686,662 | ||||||||||||||||||||
Intangible Assets(3) | 172,502,487 | — | 172,502,487 | 9,041,888 | 181,544,375 | |||||||||||||||||||
Other Assets, Net(4) | 42,915,526 | 24,994,311 | 67,909,837 | 15,980,505 | 13,529,872 | 97,420,214 | ||||||||||||||||||
Total Other Assets | 266,263,046 | 29,322,229 | 295,585,275 | 15,980,505 | 51,968,511 | 363,534,291 | ||||||||||||||||||
TOTAL ASSETS | 2,414,895,582 | 288,559,131 | 2,703,454,713 | 43,749,406 | 51,968,511 | 2,799,172,630 | ||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||
Mortgage Notes Payable | 1,231,569,258 | 89,205,037 | 1,320,774,295 | — | — | 1,320,774,295 | ||||||||||||||||||
Mortgage Debt Premium(5) | 75,488,243 | 75,488,243 | 75,488,243 | |||||||||||||||||||||
Bank Loans Payable | — | 170,000,000 | 170,000,000 | |||||||||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | |||||||||||||||||||
Construction Loans | — | — | — | — | — | — | ||||||||||||||||||
Liabilities Related to Assets held for sale | 5,840,385 | 5,840,385 | — | — | 5,840,385 | |||||||||||||||||||
Other Liabilities(6) | 40,094,056 | 6,010,869 | 46,104,925 | 4,113,008 | 40,566,634 | 90,784,567 | ||||||||||||||||||
TOTAL LIABILITIES | 1,352,991,942 | 95,215,906 | 1,448,207,848 | 4,113,008 | 210,566,634 | 1,662,887,490 | ||||||||||||||||||
Minority Interest | 8,464,264 | 126,715 | 8,590,979 | — | 104,060,548 | 112,651,527 | ||||||||||||||||||
Shareholders’ Equity: | ||||||||||||||||||||||||
Shares of Beneficial Interest at $1 Par | — | — | — | 35,544,280 | 35,544,280 | |||||||||||||||||||
Preferred Shares $0.01 Par | 24,750 | 24,750 | ||||||||||||||||||||||
Capital Contributed in Excess of Par | — | — | — | 877,444,615 | 877,444,615 | |||||||||||||||||||
Restricted Stock | — | — | — | (3,195,777 | ) | (3,195,777 | ) | |||||||||||||||||
Other Comprehensive Income | — | — | — | (2,005,840 | ) | (2,005,840 | ) | |||||||||||||||||
Retained Earnings (Distributions in Excess of Net Income) | — | — | — | 115,821,585 | 115,821,585 | |||||||||||||||||||
TOTAL SHAREHOLDERS’ EQUITY | — | — | — | — | 1,023,633,613 | 1,023,633,613 | ||||||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 1,361,456,206 | $ | 95,342,621 | $ | 1,456,798,827 | $ | 4,113,008 | $ | 1,338,260,795 | $ | 2,799,172,630 | ||||||||||||
December 31, 2002 | ||||||||||||||||||||
Retail | Multifamily | Other Properties | Corporate | Combined TOTAL | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Investments in Real Estate, at cost(2) | $ | 620,345,902 | $ | 305,335,579 | $ | 27,330,184 | $ | — | $ | 953,011,665 | ||||||||||
Accumulated Depreciation | (79,121,149 | ) | (99,346,274 | ) | (2,025,613 | ) | — | (180,493,036 | ) | |||||||||||
Net Real Estate | 541,224,753 | 205,989,305 | 25,304,571 | — | 772,518,629 | |||||||||||||||
Investments in PREIT-RUBIN | ||||||||||||||||||||
Advances to Partnerships | — | — | — | 105,309 | 105,309 | |||||||||||||||
Advances to PREIT-RUBIN | ||||||||||||||||||||
541,224,753 | 205,989,305 | 25,304,571 | 105,309 | 772,623,938 | ||||||||||||||||
Allowance for Possible Losses | — | — | — | — | — | |||||||||||||||
541,224,753 | 205,989,305 | 25,304,571 | 105,309 | 772,623,938 | ||||||||||||||||
Other Assets: | ||||||||||||||||||||
Cash | 8,812,330 | 3,629,864 | (24,316 | ) | 6,210,259 | 18,628,137 | ||||||||||||||
Other assets held for sale | — | |||||||||||||||||||
Intangible Assets(3) | 16,679,886 | 16,679,886 | ||||||||||||||||||
Other Assets, Net(4) | 42,129,659 | 9,098,594 | 29,449 | 18,218,843 | 69,476,545 | |||||||||||||||
Total Other Assets | 50,941,989 | 12,728,458 | 5,133 | 41,108,988 | 104,784,568 | |||||||||||||||
TOTAL ASSETS | 592,166,742 | 218,717,763 | 25,309,704 | 41,214,297 | 877,408,506 | |||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||
Liabilities: | ||||||||||||||||||||
Mortgage Notes Payable | 280,092,311 | 206,387,459 | — | — | 486,479,770 | |||||||||||||||
Mortgage Debt Premium(5) | ||||||||||||||||||||
Bank Loans Payable | 94,712,082 | 2,500,000 | 33,587,919 | — | 130,800,000 | |||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | |||||||||||||||
Construction Loans | — | — | — | — | — | |||||||||||||||
Liabilities Related to Assets held for sale | — | — | — | — | — | |||||||||||||||
Other Liabilities(6) | 14,288,005 | 5,270,638 | 5,145,887 | 14,939,232 | 39,643,762 | |||||||||||||||
TOTAL LIABILITIES | 389,092,398 | 214,158,097 | 38,733,806 | 14,939,232 | 656,923,532 | |||||||||||||||
Minority Interest | 126,715 | — | 32,345,722 | 32,472,437 | ||||||||||||||||
Shareholders’ Equity: | ||||||||||||||||||||
Shares of Beneficial Interest at $1 Par | — | — | — | 16,697,117 | 16,697,117 | |||||||||||||||
Preferred Shares $0.01 Par | ||||||||||||||||||||
Capital Contributed in Excess of Par | — | — | — | 216,768,855 | 216,768,855 | |||||||||||||||
Restricted Stock | — | — | — | (2,513,191 | ) | (2,513,191 | ) | |||||||||||||
Other Comprehensive Income | — | — | — | (4,365,728 | ) | (4,365,728 | ) | |||||||||||||
Retained Earnings (Distributions in Excess of Net Income) | — | — | — | (38,574,516 | ) | (38,574,516 | ) | |||||||||||||
TOTAL SHAREHOLDERS’ EQUITY | — | — | — | 188,012,537 | 188,012,537 | |||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 389,219,113 | $ | 214,158,097 | $ | 38,733,806 | $ | 235,297,491 | $ | 877,408,506 | ||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company's share of the Total Assets and Liabilities of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. The consolidated financial statements, which are presented in accordance with GAAP, reflect only the Trust’s Equity in these properties. |
(2) | Investment in real estate as of December 31, 2004 and December 31, 2003 includes $8,108,066 and $118,887,475, respectively relating to the non-core properties. The non-core properties are classified as held-for-sale for GAAP purposes. Other assets held for sale represents intangible assets and current assets of the non-core properties. |
(3) | Includes value of acquired in-place leases and above-market value of leases recorded in connection with the acquisition of properties since 2002. Purchase accounting rules require a purchaser to separately value the leases that are in place at the acquisition date, as well as the above- or below-market values of the leases. |
(4) | Deferred Costs, Prepaid Taxes and Expenses and Other Assets include Rents and Other Receivables for Partnerships. |
(5) | Represents premium that is recorded in connection with debt assumed in connection with property purchases. The debt is marked to market at the acquisition date and the premium is amortized through interest expense over the remaining term of the debt. |
(6) | For Wholly Owned Properties, Other Liabilities includes Tenant Deposits and Deferred Rents, Accrued Pension and Retirement Benefits, Accrued Expenses and Other Liabilities including Deficit Partnership Investments. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 6
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
INCOME STATEMENT(1)
QUARTERLY COMPARISON
(Wholly Owned vs. Partnerships)
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Wholly Owned | Partnerships | Corporate | Combined TOTAL | TOTAL % CHANGE | Wholly Owned | Partnerships | Corporate | Combined TOTAL | |||||||||||||||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING REVENUES | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Base Rents (Net of Vacancies) | $ | 69,725,662 | $ | 5,380,110 | $ | — | 75,105,772 | 33.5 | % | $ | 50,838,550 | $ | 5,419,424 | $ | — | $ | 56,257,974 | ||||||||||||||||||||||||||||||||||||
Straight-Lining of Base Rents | 1,312,653 | 62,109 | — | 1,374,762 | 30.3 | % | 1,058,632 | (3,327 | ) | — | 1,055,305 | ||||||||||||||||||||||||||||||||||||||||||
Percentage Rents | 4,618,507 | 126,665 | — | 4,745,172 | 35.9 | % | 3,474,981 | 15,832 | — | 3,490,813 | |||||||||||||||||||||||||||||||||||||||||||
Expense Reimbursables | 27,934,269 | 1,723,064 | — | 29,657,333 | 20.4 | % | 22,766,130 | 1,856,073 | — | 24,622,203 | |||||||||||||||||||||||||||||||||||||||||||
Lease Termination | 1,252,868 | — | — | 1,252,868 | 68.3 | % | 744,306 | — | — | 744,306 | |||||||||||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 5,943,302 | 258,453 | — | 6,201,755 | 56.2 | % | 3,604,489 | 366,474 | — | 3,970,963 | |||||||||||||||||||||||||||||||||||||||||||
TOTAL REVENUES | 110,787,261 | 94 | % | 7,550,401 | 6 | % | — | 0 | % | 118,337,662 | 31.3 | % | 82,487,088 | 92 | % | 7,654,476 | 8 | % | — | 0 | % | 90,141,564 | |||||||||||||||||||||||||||||||
REAL ESTATE OPERATING EXPENSES | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 30,334,487 | 1,547,390 | — | 31,881,877 | 33.2 | % | 21,994,771 | 1,941,169 | — | 23,935,940 | |||||||||||||||||||||||||||||||||||||||||||
Real Estate Taxes | 8,954,250 | 663,230 | — | 9,617,480 | 25.0 | % | 7,026,507 | 669,198 | — | 7,695,705 | |||||||||||||||||||||||||||||||||||||||||||
— | |||||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL EXPENSES | 39,288,737 | 95 | % | 2,210,620 | 5 | % | — | 0 | % | 41,499,357 | 31.2 | % | 29,021,278 | 92 | % | 2,610,367 | 8 | % | — | 0 | % | 31,631,645 | |||||||||||||||||||||||||||||||
NET OPERATING INCOME | 71,498,524 | 93 | % | 5,339,781 | 7 | % | — | 0 | % | 76,838,305 | 31.3 | % | 53,465,810 | 91 | % | 5,044,109 | 9 | % | — | 0 | % | 58,509,919 | |||||||||||||||||||||||||||||||
OTHER INCOME (EXPENSES) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | — | — | 4,072,413 | 4,072,413 | 11.2 | % | — | — | 3,662,141 | 3,662,141 | |||||||||||||||||||||||||||||||||||||||||||
Interest and Other Income | — | — | 161,323 | 161,323 | -51.7 | % | — | — | 334,319 | 334,319 | |||||||||||||||||||||||||||||||||||||||||||
General & Administrative: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | — | — | (7,466,438 | ) | (7,466,438 | ) | -27.2 | % | — | — | (10,261,792 | ) | (10,261,792 | ) | |||||||||||||||||||||||||||||||||||||||
Other G&A Expenses | — | — | (3,725,032 | ) | (3,725,032 | ) | -51.0 | % | — | — | (7,597,474 | ) | (7,597,474 | ) | |||||||||||||||||||||||||||||||||||||||
Earnings before interest expenses, taxes, depreciation and amortization | 71,498,524 | 102 | % | 5,339,781 | 8 | % | (6,957,734 | ) | -10 | % | 69,880,571 | 56.5 | % | 53,465,810 | 120 | % | 5,044,109 | 11 | % | (13,862,806 | ) | -31 | % | 44,647,113 | |||||||||||||||||||||||||||||
Interest Expense(2) | (16,880,516 | ) | (2,083,405 | ) | (1,890,539 | ) | (20,854,460 | ) | 27.7 | % | (13,107,191 | ) | (2,190,986 | ) | (1,033,909 | ) | (16,332,086 | ) | |||||||||||||||||||||||||||||||||||
Depreciation & Amortization | (24,549,301 | ) | (2,558,958 | ) | (285,982 | ) | (27,394,241 | ) | 41.7 | % | (17,954,109 | ) | (1,243,672 | ) | (141,450 | ) | (19,339,231 | ) | |||||||||||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXPENSES) | (41,429,817 | ) | (4,642,363 | ) | (2,176,521 | ) | (48,248,701 | ) | 35.3 | % | (31,061,300 | ) | (3,434,658 | ) | (1,175,359 | ) | (35,671,317 | ) | |||||||||||||||||||||||||||||||||||
Gains (loss) on sales of interests in Real Estate | (45,001 | ) | — | (45,001 | ) | N/A | — | 4,457,176 | — | 4,457,176 | |||||||||||||||||||||||||||||||||||||||||||
Income before Minority Interest | 30,068,707 | 652,417 | (9,134,255 | ) | 21,586,869 | 60.7 | % | 22,404,510 | 6,066,627 | (15,038,165 | ) | 13,432,972 | |||||||||||||||||||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | — | (64,900 | ) | -81.3 | % | (346,548 | ) | — | — | (346,548 | ) | ||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | — | — | (2,333,949 | ) | (2,333,949 | ) | 94.7 | % | — | — | (1,198,594 | ) | (1,198,594 | ) | |||||||||||||||||||||||||||||||||||||||
Income from Operations | 30,003,807 | 652,417 | (11,468,204 | ) | 19,188,020 | 61.4 | % | 22,057,962 | 6,066,627 | (16,236,759 | ) | 11,887,830 | |||||||||||||||||||||||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (23,513 | ) | (23,513 | ) | N/A | (580,392 | ) | (580,392 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | — | N/A | 194,441 | 194,441 | |||||||||||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | (23,513 | ) | (23,513 | ) | N/A | 194,441 | (580,392 | ) | (385,951 | ) | |||||||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 30,003,807 | 157 | % | $ | 652,417 | 3 | % | $ | (11,491,717 | ) | -60 | % | $ | 19,164,507 | 66.6 | % | $ | 22,252,403 | 193 | % | $ | 6,066,627 | 53 | % | $ | (16,817,151 | ) | -146 | % | $ | 11,501,879 | |||||||||||||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company's share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
(2) | Capitalized interest expense of $379,000 is not included in the quarter ended 12/31/04 and $338,000 is not included in the quarter ended 12/31/03. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 7
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
INCOME STATEMENT(1)
YEARLY COMPARISON
(Wholly Owned vs. Partnerships)
CY 2004 (12 months ended 12/31/04) | CY 2003 (12 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Wholly Owned | Partnerships | Corporate | Combined TOTAL | TOTAL % CHANGE | Wholly Owned | Partnerships | Corporate | Combined TOTAL | |||||||||||||||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING REVENUES | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Base Rents (Net of Vacancies) | $ | 265,787,462 | $ | 21,001,931 | $ | — | 286,789,393 | 76.7 | % | $ | 135,670,117 | $ | 26,669,101 | $ | — | $ | 162,339,218 | ||||||||||||||||||||||||||||||||||||
Straight-Lining of Base Rents | 5,098,086 | 113,879 | — | 5,211,965 | 85.8 | % | 2,633,353 | 172,194 | — | 2,805,547 | |||||||||||||||||||||||||||||||||||||||||||
Percentage Rents | 10,152,342 | 314,403 | — | 10,466,745 | 119.7 | % | 4,422,624 | 342,437 | — | 4,765,061 | |||||||||||||||||||||||||||||||||||||||||||
Expense Reimbursables | 120,885,011 | 6,365,867 | 127,250,878 | 119.0 | % | 49,153,697 | 8,962,472 | 58,116,169 | |||||||||||||||||||||||||||||||||||||||||||||
Lease Termination | 3,953,472 | — | — | 3,953,472 | 238.8 | % | 1,155,954 | 10,995 | — | 1,166,949 | |||||||||||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 12,535,331 | 697,024 | — | 13,232,355 | 75.4 | % | 6,371,793 | 1,173,036 | — | 7,544,829 | |||||||||||||||||||||||||||||||||||||||||||
TOTAL REVENUES | 418,411,704 | 94 | % | 28,493,104 | 6 | % | $ | — | 0 | % | 446,904,808 | 88.8 | % | 199,407,538 | 84 | % | 37,330,235 | 16 | % | $ | — | 0 | % | 236,737,773 | |||||||||||||||||||||||||||||
REAL ESTATE OPERATING EXPENSES | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 120,266,004 | 6,325,367 | — | 126,591,371 | 95.1 | % | 54,413,181 | 10,472,504 | — | 64,885,685 | |||||||||||||||||||||||||||||||||||||||||||
Real Estate Taxes | 37,462,948 | 2,463,793 | — | 39,926,741 | 86.4 | % | 18,245,203 | 3,174,423 | — | 21,419,626 | |||||||||||||||||||||||||||||||||||||||||||
TOTAL EXPENSES | 157,728,952 | 95 | % | 8,789,160 | 5 | % | — | 0 | % | 166,518,112 | 92.9 | % | 72,658,384 | 84 | % | 13,646,927 | 16 | % | — | 0 | % | 86,305,311 | |||||||||||||||||||||||||||||||
NET OPERATING INCOME | 260,682,752 | 93 | % | 19,703,944 | 7 | % | — | 0 | % | 280,386,696 | 86.4 | % | 126,749,154 | 84 | % | 23,683,308 | 16 | % | — | 0 | % | 150,432,462 | |||||||||||||||||||||||||||||||
OTHER INCOME (EXPENSES) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | — | — | 9,702,616 | 9,702,616 | -11.6 | % | — | — | 10,973,015 | 10,973,015 | |||||||||||||||||||||||||||||||||||||||||||
Interest and Other Income | — | — | 1,026,116 | 1,026,116 | 15.8 | % | — | — | 885,975 | 885,975 | |||||||||||||||||||||||||||||||||||||||||||
General & Administrative: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | — | — | (30,057,014 | ) | (30,057,014 | ) | 29.7 | % | — | — | (23,168,976 | ) | (23,168,976 | ) | |||||||||||||||||||||||||||||||||||||||
Other G&A Expenses | — | — | (14,612,911 | ) | (14,612,911 | ) | -11.5 | % | — | — | (16,509,394 | ) | (16,509,394 | ) | |||||||||||||||||||||||||||||||||||||||
Earnings before interest expenses, taxes, depreciation and amortization | 260,682,752 | 106 | % | 19,703,944 | 8 | % | (33,941,193 | ) | -14 | % | 246,445,503 | 101.0 | % | 126,749,154 | 103 | % | 23,683,308 | 19 | % | (27,819,380 | ) | -23 | % | 122,613,082 | |||||||||||||||||||||||||||||
Interest Expense(2) | (68,044,863 | ) | (8,316,639 | ) | (7,190,486 | ) | (83,551,988 | ) | 59.6 | % | (33,511,864 | ) | (11,381,104 | ) | (7,466,709 | ) | (52,359,677 | ) | |||||||||||||||||||||||||||||||||||
Depreciation & Amortization | (96,379,783 | ) | (5,780,886 | ) | (931,325 | ) | (103,091,994 | ) | 126.5 | % | (39,961,668 | ) | (5,071,443 | ) | (489,253 | ) | (45,522,364 | ) | |||||||||||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXPENSES) | (164,424,646 | ) | (14,097,525 | ) | (8,121,811 | ) | (186,643,982 | ) | 90.7 | % | (73,473,532 | ) | (16,452,547 | ) | (7,955,962 | ) | (97,882,041 | ) | |||||||||||||||||||||||||||||||||||
Gains (loss) on sales of interests in Real Estate | 1,484,182 | — | 1,484,182 | N/A | 1,111,692 | 15,087,618 | — | 16,199,310 | |||||||||||||||||||||||||||||||||||||||||||||
Income before Minority Interest | 96,258,106 | 7,090,601 | (42,063,004 | ) | 61,285,703 | 49.7 | % | 54,387,314 | 22,318,379 | (35,775,342 | ) | 40,930,351 | |||||||||||||||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | — | (629,599 | ) | N/A | (864,465 | ) | — | — | (864,465 | ) | |||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | — | — | (5,695,811 | ) | (5,695,811 | ) | 72.7 | % | — | — | (3,298,010 | ) | (3,298,010 | ) | |||||||||||||||||||||||||||||||||||||||
Income from Operations | 95,628,507 | 7,090,601 | (47,758,815 | ) | 54,960,293 | 49.5 | % | 53,522,849 | 22,318,379 | (39,073,352 | ) | 36,767,876 | |||||||||||||||||||||||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (622,663 | ) | (622,663 | ) | N/A | (18,848,730 | ) | (18,848,730 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | (550,000 | ) | (550,000 | ) | N/A | 178,121,005 | 178,121,005 | ||||||||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | (1,172,663 | ) | (1,172,663 | ) | N/A | 178,121,005 | (18,848,730 | ) | 159,272,275 | ||||||||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 95,628,507 | 178 | % | $ | 7,090,601 | 13 | % | $ | (48,931,478 | ) | -91 | % | $ | 53,787,630 | -72.6 | % | $ | 231,643,854 | 118 | % | $ | 22,318,379 | 11 | % | $ | (57,922,082 | ) | -30 | % | $ | 196,040,151 | |||||||||||||||||||||
(1) | Includes PREIT’s percent of partnerships investment that is “grossed up” to reflect the Company's share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. The consolidated financial statements, which are presented in accordance with GAAP, reflect only the Trust’s equity in these properties. |
(2) | Capitalized interest expense of $1,418,000 is not included in the year ended 12/31/04 and $1,408,000 is not included in the year ended 12/31/03. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 8
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
INCOME STATEMENT(1)
QUARTERLY COMPARISON
(Line of Business)
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
RETAIL | OTHER PROPERTIES | CORPORATE | Combined TOTAL | TOTAL% CHANGE | RETAIL | MULTIFAMILY | OTHER PROPERTIES | CORPORATE | Combined TOTAL | |||||||||||||||||||||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING REVENUES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Base Rents | $ | 75,011,376 | $ | 94,396 | $ | — | $ | 75,105,772 | 33.5 | % | $ | 56,172,818 | $ | — | $ | 85,156 | $ | — | $ | 56,257,974 | ||||||||||||||||||||||||||||||||||||||||
Straight-Lining of Base Rents | 1,374,762 | — | — | 1,374,762 | 30.3 | % | 1,055,305 | — | — | — | 1,055,305 | |||||||||||||||||||||||||||||||||||||||||||||||||
Percentage Rents | 4,745,172 | — | — | 4,745,172 | 35.9 | % | 3,490,813 | — | — | — | 3,490,813 | |||||||||||||||||||||||||||||||||||||||||||||||||
Expense Reimbursables | 29,649,040 | 8,293 | 29,657,333 | 20.4 | % | 24,620,341 | 2,248 | (386 | ) | — | 24,622,203 | |||||||||||||||||||||||||||||||||||||||||||||||||
Lease Termination | 1,252,868 | — | — | 1,252,868 | 68.3 | % | 744,306 | — | — | 744,306 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 6,201,755 | — | — | 6,201,755 | 56.2 | % | 3,970,963 | — | — | — | 3,970,963 | |||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL REVENUES | 118,234,973 | 100 | % | 102,689 | 0 | % | — | — | 118,337,662 | 31.3 | % | 90,054,546 | 100 | % | 2,248 | 0 | % | 84,770 | 0 | % | — | — | 90,141,564 | |||||||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING EXPENSES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 31,877,582 | 4,295 | — | 31,881,877 | 33.2 | % | 23,918,556 | 14,494 | 2,890 | — | 23,935,940 | |||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Taxes | 9,607,260 | 10,220 | — | 9,617,480 | 25.0 | % | 7,695,695 | 10 | — | — | 7,695,705 | |||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL EXPENSES | 41,484,842 | 100 | % | 14,515 | 0 | % | — | — | 41,499,357 | 31.2 | % | 31,614,251 | 100 | % | 14,504 | 0 | % | 2,890 | 0 | % | — | — | 31,631,645 | |||||||||||||||||||||||||||||||||||||
NET OPERATING INCOME | 76,750,131 | 100 | % | 88,174 | 0 | % | — | — | 76,838,305 | 31.3 | % | 58,440,295 | 100 | % | (12,256 | ) | 0 | % | 81,880 | 0 | % | — | — | 58,509,919 | ||||||||||||||||||||||||||||||||||||
OTHER INCOME (EXPENSES) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | — | — | 4,072,413 | 4,072,413 | 11.2 | % | — | — | — | 3,662,141 | 3,662,141 | |||||||||||||||||||||||||||||||||||||||||||||||||
Interest and Other Income | — | — | 161,323 | 161,323 | -51.7 | % | — | — | — | 334,319 | 334,319 | |||||||||||||||||||||||||||||||||||||||||||||||||
General and Administrative: | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | — | — | (7,466,438 | ) | (7,466,438 | ) | -27.2 | % | — | — | — | (10,261,792 | ) | (10,261,792 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Other General & Administrative | — | — | (3,725,032 | ) | (3,725,032 | ) | -51.0 | % | — | — | — | (7,597,474 | ) | (7,597,474 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Earnings before interest expenses, taxes, depreciation and amortization | 76,750,131 | 110 | % | 88,174 | 0 | % | (6,957,734 | ) | -10 | % | 69,880,571 | 56.5 | % | 58,440,295 | 131 | % | (12,256 | ) | 0 | % | 81,880 | 0 | % | (13,862,806 | ) | -31 | % | 44,647,113 | ||||||||||||||||||||||||||||||||
Interest Expense(2) | (18,963,921 | ) | — | (1,890,539 | ) | (20,854,460 | ) | 27.7 | % | (15,298,177 | ) | — | — | (1,033,909 | ) | (16,332,086 | ) | |||||||||||||||||||||||||||||||||||||||||||
Depreciation & Amortization | (27,095,719 | ) | (12,540 | ) | (285,982 | ) | (27,394,241 | ) | 41.7 | % | (19,185,241 | ) | — | (12,540 | ) | (141,450 | ) | (19,339,231 | ) | |||||||||||||||||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXPENSES) | (46,059,640 | ) | (12,540 | ) | (2,176,521 | ) | (48,248,701 | ) | 35.3 | % | (34,483,418 | ) | — | (12,540 | ) | (1,175,359 | ) | (35,671,317 | ) | |||||||||||||||||||||||||||||||||||||||||
Gains (loss) on sales of interests in Real Estate | (45,001 | ) | — | — | (45,001 | ) | N/A | 4,457,176 | — | 4,457,176 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Income before Minority Interest | 30,645,490 | 75,634 | (9,134,255 | ) | 21,586,869 | 60.7 | % | 23,956,877 | 4,444,920 | 69,340 | (15,038,165 | ) | 13,432,972 | |||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | — | (64,900 | ) | (346,548 | ) | (346,548 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | — | — | (2,333,949 | ) | (2,333,949 | ) | 94.7 | % | — | — | — | (1,198,594 | ) | (1,198,594 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Income from Operations | 30,580,590 | 75,634 | (11,468,204 | ) | 19,188,020 | 61.4 | % | 23,610,329 | 4,444,920 | 69,340 | (16,236,759 | ) | 11,887,830 | |||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (23,513 | ) | (23,513 | ) | N/A | — | — | — | (580,392 | ) | (580,392 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | N/A | — | 194,441 | — | — | 194,441 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | (23,513 | ) | (23,513 | ) | N/A | — | 194,441 | — | (580,392 | ) | (385,951 | ) | ||||||||||||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 30,580,590 | 160 | % | $ | 75,634 | 0 | % | $ | (11,491,717 | ) | -60 | % | $ | 19,164,507 | 66.6 | % | $ | 23,610,329 | 205 | % | $ | 4,639,361 | 40 | % | $ | 69,340 | 1 | % | $ | (16,817,151 | ) | -146 | % | $ | 11,501,879 | ||||||||||||||||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company’s share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
(2) | Capitalized interest expense of $379,000 is not included in the quarter ended 12/31/04 and $338,000 is not included in the quarter ended 12/31/03. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 9
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
INCOME STATEMENT(1)
YEARLY COMPARISON
(Line of Business)
CY 2004 (12 months ended 12/31/04) | CY 2003 (12 months ended 12/31/03) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
RETAIL | OTHER PROPERTIES | CORPORATE | Combined TOTAL | TOTAL% CHANGE | RETAIL | MULTIFAMILY | OTHER PROPERTIES | CORPORATE | Combined TOTAL | |||||||||||||||||||||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING REVENUES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Base Rents | $ | 286,439,529 | $ | 349,864 | $ | — | $ | 286,789,393 | 73.8 | % | $ | 136,294,338 | $ | 28,402,431 | $ | 337,154 | $ | — | $ | 165,033,923 | ||||||||||||||||||||||||||||||||||||||||
Less Vacan- | — | — | — | N/A | — | (2,694,705 | ) | — | — | (2,694,705 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||
Straight-Lining of Base Rents | 5,211,965 | — | — | 5,211,965 | 85.8 | % | 2,805,547 | — | — | — | 2,805,547 | |||||||||||||||||||||||||||||||||||||||||||||||||
Percentage Rents | 10,466,745 | — | — | 10,466,745 | 119.7 | % | 4,765,061 | — | — | — | 4,765,061 | |||||||||||||||||||||||||||||||||||||||||||||||||
Expense Reimbursables | 127,206,265 | 44,613 | 127,250,878 | 119.0 | % | 58,111,682 | 2,248 | 2,239 | — | 58,116,169 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Lease Termination | 3,953,472 | — | — | 3,953,472 | 238.8 | % | 1,041,180 | 125,769 | — | 1,166,949 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 13,232,355 | — | — | 13,232,355 | 75.4 | % | 6,483,565 | 1,061,639 | (375 | ) | — | 7,544,829 | ||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL REVENUES | 446,510,331 | 100 | % | 394,477 | 0 | % | — | — | 446,904,808 | 88.8 | % | 209,501,373 | 88 | % | 26,897,382 | 11 | % | 339,018 | 0 | % | — | — | 236,737,773 | |||||||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING EXPENSES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 126,577,196 | 14,175 | — | 126,591,371 | 95.1 | % | 54,901,077 | 9,971,515 | 13,093 | — | 64,885,685 | |||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Taxes | 39,888,301 | 38,440 | — | 39,926,741 | 86.4 | % | 18,957,900 | 2,459,030 | 2,696 | — | 21,419,626 | |||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL EXPENSES | 166,465,497 | 100 | % | 52,615 | 0 | % | — | — | 166,518,112 | 92.9 | % | 73,858,977 | 86 | % | 12,430,545 | 14 | % | 15,789 | 0 | % | — | — | 86,305,311 | |||||||||||||||||||||||||||||||||||||
NET OPERATING INCOME | 280,044,834 | 100 | % | 341,862 | 0 | % | — | — | 280,386,696 | 86.4 | % | 135,642,396 | 90 | % | 14,466,837 | 10 | % | 323,229 | 0 | % | — | — | 150,432,462 | |||||||||||||||||||||||||||||||||||||
OTHER INCOME (EXPENSES) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | — | — | 9,702,616 | 9,702,616 | -11.6 | % | — | — | — | 10,973,015 | 10,973,015 | |||||||||||||||||||||||||||||||||||||||||||||||||
Interest and Other Income | — | — | 1,026,116 | 1,026,116 | 15.8 | % | — | — | — | 885,975 | 885,975 | |||||||||||||||||||||||||||||||||||||||||||||||||
General and Administrative: | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | — | — | (30,057,014 | ) | (30,057,014 | ) | 29.7 | % | — | — | — | (23,168,976 | ) | (23,168,976 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Other General & Administrative | — | — | (14,612,911 | ) | (14,612,911 | ) | -11.5 | % | — | — | — | (16,509,394 | ) | (16,509,394 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Earnings before interest expenses, taxes, depreciation and amortization | 280,044,834 | 114 | % | 341,862 | 0 | % | (33,941,193 | ) | -14 | % | 246,445,503 | 101.0 | % | 135,642,396 | 111 | % | 14,466,837 | 12 | % | 323,229 | 0 | % | (27,819,380 | ) | -23 | % | 122,613,082 | |||||||||||||||||||||||||||||||||
Interest Expense(2) | (76,361,502 | ) | — | (7,190,486 | ) | (83,551,988 | ) | 59.6 | % | (39,240,910 | ) | (5,652,058 | ) | — | (7,466,709 | ) | (52,359,677 | ) | ||||||||||||||||||||||||||||||||||||||||||
Depreciation & Amortization | (102,110,509 | ) | (50,160 | ) | (931,325 | ) | (103,091,994 | ) | 126.5 | % | (42,527,119 | ) | (2,454,834 | ) | (51,158 | ) | (489,253 | ) | (45,522,364 | ) | ||||||||||||||||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXPENSES) | (178,472,011 | ) | (50,160 | ) | (8,121,811 | ) | (186,643,982 | ) | 90.7 | % | (81,768,029 | ) | (8,106,892 | ) | (51,158 | ) | (7,955,962 | ) | (97,882,041 | ) | ||||||||||||||||||||||||||||||||||||||||
Gains (loss) on sales of interests in Real Estate | 1,484,182 | — | — | 1,484,182 | N/A | 1,111,692 | 15,087,618 | — | 16,199,310 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Income before Minority Interest | 103,057,005 | 291,702 | (42,063,004 | ) | 61,285,703 | 49.7 | % | 54,986,059 | 21,447,563 | 272,071 | (35,775,342 | ) | 40,930,351 | |||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | — | (629,599 | ) | (864,465 | ) | (864,465 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | — | — | (5,695,811 | ) | (5,695,811 | ) | 72.7 | % | — | — | — | (3,298,010 | ) | (3,298,010 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Income from Operations | 102,427,406 | 291,702 | (47,758,815 | ) | 54,960,293 | 49.5 | % | 54,121,594 | 21,447,563 | 272,071 | (39,073,352 | ) | 36,767,876 | |||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (622,663 | ) | (622,663 | ) | N/A | — | — | — | (18,848,730 | ) | (18,848,730 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | (550,000 | ) | (550,000 | ) | N/A | — | 178,121,005 | — | — | 178,121,005 | ||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL DISCONT- | — | — | (1,172,663 | ) | (1,172,663 | ) | N/A | — | 178,121,005 | — | (18,848,730 | ) | 159,272,275 | |||||||||||||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 102,427,406 | 190 | % | $ | 291,702 | 1 | % | $ | (48,931,478 | ) | -91 | % | $ | 53,787,630 | -72.6 | % | $ | 54,121,594 | 28 | % | $ | 199,568,568 | 102 | % | $ | 272,071 | 0 | % | $ | (57,922,082 | ) | -30 | % | $ | 196,040,151 | ||||||||||||||||||||||||
(1) | Includes PREIT’s percent of partnerships investment that is “grossed up” to reflect the Company’s share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical |
(2) | Capitalized interest expense of $1,418,000 is not included in the year ended 12/31/04 and $1,408,000 is not included in the year ended 12/31/03. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 10
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
RETAIL INCOME STATEMENT(1)
QUARTERLY COMPARISON
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||||
Combined TOTAL | WO | Partnerships | % Change TOTAL | % Change WO | % Change | Combined TOTAL | WO | Partnerships | |||||||||||||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||||||||||||||||
Base Rents | $ | 75,011,376 | $ | 69,631,266 | $ | 5,380,110 | 33.5 | % | 37.2 | % | -0.7 | % | $ | 56,172,818 | $ | 50,753,394 | $ | 5,419,424 | |||||||||||||||||||||||||||
Straight-Lining of Base Rents | 1,374,762 | 1,312,653 | 62,109 | 30.3 | % | 24.0 | % | -1966.8 | % | 1,055,305 | 1,058,632 | (3,327 | ) | ||||||||||||||||||||||||||||||||
Percentage Rents | 4,745,172 | 4,618,507 | 126,665 | 35.9 | % | 32.9 | % | 700.1 | % | 3,490,813 | 3,474,981 | 15,832 | |||||||||||||||||||||||||||||||||
Expense Reimbursables | 29,649,040 | 27,925,976 | 1,723,064 | 20.4 | % | 22.7 | % | -7.2 | % | 24,620,341 | 22,764,268 | 1,856,073 | |||||||||||||||||||||||||||||||||
Lease Termination and Other Income | 1,252,868 | 1,252,868 | — | 68.3 | % | 68.3 | % | N/A | 744,306 | 744,306 | — | ||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 6,201,755 | 5,943,302 | 258,453 | 56.2 | % | 64.9 | % | -29.5 | % | 3,970,963 | 3,604,489 | 366,474 | |||||||||||||||||||||||||||||||||
TOTAL REVENUES | 118,234,973 | 110,684,572 | 94 | % | 7,550,401 | 6 | % | 31.3 | % | 34.3 | % | -1.4 | % | 90,054,546 | 82,400,070 | 92 | % | 7,654,476 | 8 | % | |||||||||||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 31,877,582 | 30,330,192 | 1,547,390 | 33.3 | % | 38.0 | % | -20.3 | % | 23,918,556 | 21,977,387 | 1,941,169 | |||||||||||||||||||||||||||||||||
Real Estate Taxes | 9,607,260 | 8,944,030 | 663,230 | 24.8 | % | 27.3 | % | -0.9 | % | 7,695,695 | 7,026,497 | 669,198 | |||||||||||||||||||||||||||||||||
Total Operating Expenses | 41,484,842 | 39,274,222 | 95 | % | 2,210,620 | 5 | % | 31.2 | % | 35.4 | % | -15.3 | % | 31,614,251 | 29,003,884 | 92 | % | 2,610,367 | 8 | % | |||||||||||||||||||||||||
NET OPERATING INCOME | 76,750,131 | 71,410,350 | 93 | % | 5,339,781 | 7 | % | 31.3 | % | 33.7 | % | 5.9 | % | 58,440,295 | 53,396,186 | 91 | % | 5,044,109 | 9 | % | |||||||||||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||||||||||||||||
Interest Expense | (18,963,921 | ) | (16,880,516 | ) | (2,083,405 | ) | 24.0 | % | 28.8 | % | -4.9 | % | (15,298,177 | ) | (13,107,191 | ) | (2,190,986 | ) | |||||||||||||||||||||||||||
Depreciation & Amortization | (27,095,719 | ) | (24,536,761 | ) | (2,558,958 | ) | 41.2 | % | 36.8 | % | 105.8 | % | (19,185,241 | ) | (17,941,569 | ) | (1,243,672 | ) | |||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (46,059,640 | ) | (41,417,277 | ) | (4,642,363 | ) | 33.6 | % | 33.4 | % | 35.2 | % | (34,483,418 | ) | (31,048,760 | ) | (3,434,658 | ) | |||||||||||||||||||||||||||
Gains (loss) on sales of int. in R.E | (45,001 | ) | — | (45,001 | ) | N/A | N/A | N/A | — | — | — | ||||||||||||||||||||||||||||||||||
Income before Minority Int. | 30,645,490 | 29,993,073 | 652,417 | 27.9 | % | 34.2 | % | -59.5 | % | 23,956,877 | 22,347,426 | 1,609,451 | |||||||||||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | (64,900 | ) | -81.3 | % | -81.3 | % | N/A | (346,548 | ) | (346,548 | ) | — | |||||||||||||||||||||||||||||||
Discontinued Operations: | — | — | |||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | N/A | N/A | N/A | — | |||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | — | N/A | N/A | N/A | |||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | N/A | N/A | N/A | — | — | — | |||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 30,580,590 | $ | 29,928,173 | 98 | % | $ | 652,417 | 2 | % | 29.5 | % | 36.0 | % | -59.5 | % | $ | 23,610,329 | $ | 22,000,878 | 93 | % | $ | 1,609,451 | 7 | % | |||||||||||||||||||
SAME STORE COMPARISON
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Combined TOTAL | SAME | NEW | REDEV | DIVEST | % Change Same Store | Combined TOTAL | SAME | NEW | REDEV | DIVEST | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Base Rents | $ | 75,011,376 | $ | 36,915,496 | $ | 35,534,378 | $ | 2,540,843 | $ | 20,659 | 0.9 | % | $ | 56,172,818 | $ | 36,579,163 | $ | 15,049,652 | $ | 2,237,499 | $ | 2,306,505 | ||||||||||||||||||||||||||||||||||||||||||
Straight-Lining of Base Rents | 1,374,762 | 561,656 | 793,830 | 19,276 | — | -26.9 | % | 1,055,305 | 768,470 | 245,716 | 19,809 | 21,310 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage Rents | 4,745,172 | 1,576,657 | 2,955,154 | 315,939 | (102,578 | ) | 6.1 | % | 3,490,813 | 1,485,956 | 1,605,405 | 256,288 | 143,164 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Expense Reimbursables | 29,649,040 | 15,152,942 | 13,477,514 | 1,257,852 | (239,267 | ) | -11.9 | % | 24,620,341 | 17,195,218 | 5,477,132 | 980,621 | 967,370 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Lease Termination | 1,252,868 | 699,995 | 500,658 | 52,215 | — | 0.2 | % | 744,306 | 698,750 | — | — | 45,556 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 6,201,755 | 3,072,759 | 2,650,589 | 428,144 | 50,264 | 24.4 | % | 3,970,963 | 2,470,148 | 1,057,505 | 311,004 | 132,306 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL REVENUES | 118,234,973 | 57,979,504 | 49 | % | 55,912,122 | 47 | % | 4,614,269 | 4 | % | (270,922 | ) | 0 | % | -2.1 | % | 90,054,546 | 59,197,705 | 66 | % | 23,435,410 | 26 | % | 3,805,221 | 4 | % | 3,616,211 | |||||||||||||||||||||||||||||||||||||
R.E. OPERATING EXPENSES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 31,877,582 | 14,468,131 | 15,588,999 | 1,821,064 | (612 | ) | -7.0 | % | 23,918,556 | 15,553,266 | 5,982,663 | 1,147,600 | 1,235,027 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Taxes | 9,607,260 | 5,178,489 | 4,188,669 | 260,256 | (20,154 | ) | -5.0 | % | 7,695,695 | 5,450,011 | 1,667,050 | 231,899 | 346,735 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Total Operating Expenses | 41,484,842 | 19,646,620 | 47 | % | 19,777,668 | 48 | % | 2,081,320 | 5 | % | (20,766 | ) | 0 | % | -6.5 | % | 31,614,251 | 21,003,277 | 66 | % | 7,649,713 | 24 | % | 1,379,499 | 4 | % | 1,581,762 | |||||||||||||||||||||||||||||||||||||
NET OPERATING INCOME | 76,750,131 | 38,332,884 | 50 | % | 36,134,454 | 47 | % | 2,532,949 | 3 | % | (250,156 | ) | 0 | % | 0.4 | % | 58,440,295 | 38,194,428 | 65 | % | 15,785,697 | 27 | % | 2,425,722 | 4 | % | 2,034,449 | |||||||||||||||||||||||||||||||||||||
OTHER INCOME (EXP.) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest Expense | (18,963,921 | ) | (10,414,388 | ) | (7,776,333 | ) | (773,201 | ) | — | 0.2 | % | (15,298,177 | ) | (10,394,492 | ) | (3,828,135 | ) | (783,252 | ) | (292,298 | ) | |||||||||||||||||||||||||||||||||||||||||||
Depreciation & Amortization | (27,095,719 | ) | (12,693,909 | ) | (13,742,033 | ) | (659,777 | ) | — | 5.1 | % | (19,185,241 | ) | (12,077,879 | ) | (6,554,859 | ) | (496,649 | ) | (55,855 | ) | |||||||||||||||||||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (46,059,640 | ) | (23,108,297 | ) | (21,518,366 | ) | (1,432,978 | ) | — | 2.8 | % | (34,483,418 | ) | (22,472,371 | ) | (10,382,994 | ) | (1,279,901 | ) | (348,153 | ) | |||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on sales of int. in R.E. | (45,001 | ) | — | — | — | (45,001 | ) | N/A | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Income before Minority Int. | 30,645,490 | 15,224,588 | 14,616,089 | 1,099,971 | (295,157 | ) | -3.2 | % | 23,956,877 | 15,722,057 | 5,402,703 | 1,145,821 | 1,686,296 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | (66,183 | ) | 1,283 | (346,548 | ) | (310,751 | ) | (29,338 | ) | — | (6,459 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | — | — | N/A | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | — | — | — | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | — | — | — | N/A | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 30,580,590 | $ | 15,224,588 | 50 | % | $ | 14,549,906 | 48 | % | $ | 1,099,971 | 4 | % | $ | (293,874 | ) | -1 | % | -1.2 | % | $ | 23,610,329 | $ | 15,411,306 | 65 | % | $ | 5,373,365 | 23 | % | $ | 1,145,821 | 5 | % | $ | 1,679,837 | |||||||||||||||||||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company’s share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 11
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
RETAIL INCOME STATEMENT(1)
YEARLY COMPARISON
CY 2004 (12 months ended 12/31/04) | CY 2003 (12 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||||
Combined TOTAL | WO | Partnerships | % Change TOTAL | % Change WO | % Change Partnerships | Combined TOTAL | WO | Partnerships | |||||||||||||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||||||||||||||||
Base Rents | $ | 286,439,529 | $ | 265,437,598 | $ | 21,001,931 | 110.2 | % | 137.6 | % | -14.6 | % | $ | 136,294,338 | $ | 111,693,035 | $ | 24,601,303 | |||||||||||||||||||||||||||
Straight-Lining of Base Rents | 5,211,965 | 5,098,086 | 113,879 | 85.8 | % | 93.6 | % | -33.9 | % | 2,805,547 | 2,633,353 | 172,194 | |||||||||||||||||||||||||||||||||
Percentage Rents | 10,466,745 | 10,152,342 | 314,403 | 119.7 | % | 129.6 | % | -8.2 | % | 4,765,061 | 4,422,624 | 342,437 | |||||||||||||||||||||||||||||||||
Expense Reimbursables | 127,206,265 | 120,840,398 | 6,365,867 | 118.9 | % | 145.9 | % | -29.0 | % | 58,111,682 | 49,149,210 | 8,962,472 | |||||||||||||||||||||||||||||||||
Lease Termination and Other Income | 3,953,472 | 3,953,472 | — | 279.7 | % | 283.8 | % | -100.0 | % | 1,041,180 | 1,030,185 | 10,995 | |||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 13,232,355 | 12,535,331 | 697,024 | 104.1 | % | 133.2 | % | -37.1 | % | 6,483,565 | 5,375,879 | 1,107,686 | |||||||||||||||||||||||||||||||||
TOTAL REVENUES | 446,510,331 | 418,017,227 | 94 | % | 28,493,104 | 6 | % | 113.1 | % | 139.8 | % | -19.0 | % | 209,501,373 | 174,304,286 | 83 | % | 35,197,087 | 17 | % | |||||||||||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 126,577,196 | 120,251,829 | 6,325,367 | 130.6 | % | 165.6 | % | -34.2 | % | 54,901,077 | 45,283,494 | 9,617,583 | |||||||||||||||||||||||||||||||||
Real Estate Taxes | 39,888,301 | 37,424,508 | 2,463,793 | 110.4 | % | 134.5 | % | -17.8 | % | 18,957,900 | 15,960,853 | 2,997,047 | |||||||||||||||||||||||||||||||||
Total Operating Expenses | 166,465,497 | 157,676,337 | 95 | % | 8,789,160 | 5 | % | 125.4 | % | 157.5 | % | -30.3 | % | 73,858,977 | 61,244,347 | 83 | % | 12,614,630 | 17 | % | |||||||||||||||||||||||||
NET OPERATING INCOME | 280,044,834 | 260,340,890 | 93 | % | 19,703,944 | 7 | % | 106.5 | % | 130.3 | % | -12.7 | % | 135,642,396 | 113,059,939 | 83 | % | 22,582,457 | 17 | % | |||||||||||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||||||||||||||||
Interest Expense | (76,361,502 | ) | (68,044,863 | ) | (8,316,639 | ) | 94.6 | % | 140.4 | % | -24.0 | % | (39,240,910 | ) | (28,300,865 | ) | (10,940,045 | ) | |||||||||||||||||||||||||||
Depreciation & Amortization | (102,110,509 | ) | (96,329,623 | ) | (5,780,886 | ) | 140.1 | % | 156.2 | % | 17.4 | % | (42,527,119 | ) | (37,601,957 | ) | (4,925,162 | ) | |||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (178,472,011 | ) | (164,374,486 | ) | (14,097,525 | ) | 118.3 | % | 149.4 | % | -11.1 | % | (81,768,029 | ) | (65,902,822 | ) | (15,865,207 | ) | |||||||||||||||||||||||||||
Gains (loss) on sales of int. in R.E | 1,484,182 | — | 1,484,182 | N/A | N/A | N/A | 1,111,692 | 1,111,692 | — | ||||||||||||||||||||||||||||||||||||
Income before Minority Int. | 103,057,005 | 95,966,404 | 7,090,601 | 87.4 | % | 98.8 | % | 5.6 | % | 54,986,059 | 48,268,809 | 6,717,250 | |||||||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | (629,599 | ) | -27.2 | % | -27.2 | % | N/A | (864,465 | ) | (864,465 | ) | — | |||||||||||||||||||||||||||||||
Discontinued Operations: | — | — | |||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | N/A | N/A | N/A | — | |||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | — | N/A | N/A | N/A | |||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | N/A | N/A | N/A | — | — | — | |||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 102,427,406 | $ | 95,336,805 | 93 | % | $ | 7,090,601 | 7 | % | 89.3 | % | 101.1 | % | 5.6 | % | $ | 54,121,594 | $ | 47,404,344 | 88 | % | $ | 6,717,250 | 12 | % | |||||||||||||||||||
SAME STORE COMPARISON
CY 2004 (12 months ended 12/31/04) | CY 2003 (12 months ended 12/31/03) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Combined TOTAL | SAME | NEW | REDEV | DIVEST | % Change Same Store | Combined TOTAL | SAME | NEW | REDEV | DIVEST | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Base Rents | $ | 286,439,529 | $ | 63,177,441 | $ | 202,286,816 | $ | 9,029,126 | $ | 11,946,146 | 3.2 | % | $ | 136,294,338 | $ | 61,196,364 | $ | 63,236,686 | $ | 9,137,631 | $ | 2,723,658 | ||||||||||||||||||||||||||||||||||||||||||
Straight-Lining of Base Rents | 5,211,965 | 675,859 | 4,302,005 | 64,606 | 169,496 | -28.7 | % | 2,805,547 | 947,759 | 1,634,595 | 206,919 | 16,274 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage Rents | 10,466,745 | 1,646,758 | 8,025,703 | 521,211 | 273,074 | -4.2 | % | 4,765,061 | 1,719,278 | 2,471,218 | 431,401 | 143,164 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Expense Reimbursables | 127,206,265 | 17,473,584 | 99,920,551 | 5,017,200 | 4,794,931 | -1.6 | % | 58,079,991 | 17,760,358 | 35,259,842 | 4,002,997 | 1,056,794 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Lease Termination | 3,953,472 | 1,659,000 | 2,242,257 | 52,215 | — | 370.6 | % | 1,041,180 | 352,500 | 643,124 | — | 45,556 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Real Estate Revenues | 13,232,355 | 1,700,774 | 10,328,007 | 733,002 | 470,573 | -10.5 | % | 6,515,256 | 1,900,830 | 3,785,805 | 664,624 | 163,997 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL REVENUES | 446,510,331 | 86,333,414 | 19 | % | 327,105,337 | 73 | % | 15,417,360 | 3 | % | 17,654,220 | 4 | % | 2.9 | % | 209,501,373 | 83,877,089 | 40 | % | 107,031,270 | 51 | % | 14,443,572 | 7 | % | 4,149,443 | ||||||||||||||||||||||||||||||||||||||
R.E. OPERATING EXPENSES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 126,577,196 | 16,916,184 | 96,536,291 | 4,464,847 | 8,659,874 | -0.5 | % | 54,901,077 | 16,998,189 | 32,577,903 | 3,977,806 | 1,347,179 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate Taxes | 39,888,301 | 6,847,678 | 30,326,324 | 984,307 | 1,729,992 | 5.1 | % | 18,957,900 | 6,516,475 | 10,943,244 | 1,098,785 | 399,396 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Operating Expenses | 166,465,497 | 23,763,862 | 14 | % | 126,862,615 | 76 | % | 5,449,154 | 3 | % | 10,389,866 | 6 | % | 1.1 | % | 73,858,977 | 23,514,664 | 32 | % | 43,521,147 | 59 | % | 5,076,591 | 7 | % | 1,746,575 | ||||||||||||||||||||||||||||||||||||||
NET OPERATING INCOME | 280,044,834 | 62,569,552 | 22 | % | 200,242,722 | 72 | % | 9,968,206 | 4 | % | 7,264,354 | 3 | % | 3.7 | % | 135,642,396 | 60,362,425 | 45 | % | 63,510,123 | 47 | % | 9,366,981 | 7 | % | 2,402,868 | ||||||||||||||||||||||||||||||||||||||
OTHER INCOME (EXP.) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest Expense | (76,361,502 | ) | (18,813,983 | ) | (52,836,422 | ) | (3,087,948 | ) | (1,623,149 | ) | 7.6 | % | (39,240,910 | ) | (17,481,657 | ) | (18,350,355 | ) | (3,116,600 | ) | (292,298 | ) | ||||||||||||||||||||||||||||||||||||||||||
Depreciation & Amortization | (102,110,509 | ) | (20,554,608 | ) | (79,207,900 | ) | (2,198,986 | ) | (149,015 | ) | 9.4 | % | (42,527,119 | ) | (18,796,618 | ) | (20,803,890 | ) | (2,701,628 | ) | (224,984 | ) | ||||||||||||||||||||||||||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | �� | (178,472,011 | ) | (39,368,591 | ) | (132,044,322 | ) | (5,286,934 | ) | (1,772,164 | ) | 8.5 | % | (81,768,029 | ) | (36,278,275 | ) | (39,154,245 | ) | (5,818,228 | ) | (517,282 | ) | |||||||||||||||||||||||||||||||||||||||||
Gain (loss) on sales of int. in R.E. | 1,484,182 | — | — | — | 1,484,182 | N/A | 1,111,692 | — | 1,111,692 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income before Minority Int. | 103,057,005 | 23,200,961 | 68,198,400 | 4,681,272 | 6,976,372 | -3.7 | % | 54,986,059 | 24,084,150 | 24,355,878 | 4,660,445 | 1,885,586 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | (611,173 | ) | (18,426 | ) | N/A | (864,465 | ) | — | (858,006 | ) | — | (6,459 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | — | — | N/A | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | — | — | — | — | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | N/A | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NET INCOME | $ | 102,427,406 | $ | 23,200,961 | 23 | % | $ | 67,587,227 | 66 | % | $ | 4,681,272 | 5 | % | $ | 6,957,946 | 7 | % | -3.7 | % | $ | 54,121,594 | $ | 24,084,150 | 45 | % | $ | 23,497,872 | 43 | % | $ | 4,660,445 | 9 | % | $ | 1,879,127 | ||||||||||||||||||||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company’s share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 12
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
RETAIL INCOME STATEMENT(1)
QUARTERLY COMPARISON
(Property Subtype)
Q4 04 (3 months ended 12/31/04) | |||||||||||||||||||||||||||||||
Combined TOTAL | Enclosed Mall | Power Center | Strip Center | % Change TOTAL | % Change Enclosed Mall | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | $ | 75,011,376 | $ | 66,906,929 | $ | 6,599,390 | $ | 1,505,057 | 33.5 | % | 39.5 | % | |||||||||||||||||||
Straight-Lining of Base Rents | 1,374,762 | 1,237,977 | 130,283 | 6,502 | 30.3 | % | 34.0 | % | |||||||||||||||||||||||
Percentage Rents | 4,745,172 | 4,651,465 | 93,707 | — | 35.9 | % | 36.4 | % | |||||||||||||||||||||||
Expense Reimbursables | 29,649,040 | 28,151,637 | 1,172,233 | 325,170 | 20.4 | % | 23.3 | % | |||||||||||||||||||||||
Lease Termination and Other Income | 1,252,868 | 1,252,868 | — | — | 68.3 | % | 88.2 | % | |||||||||||||||||||||||
Other Real Estate Revenues | 6,201,755 | 6,161,938 | 39,691 | 126 | 56.2 | % | 56.4 | % | |||||||||||||||||||||||
TOTAL REVENUES | 118,234,973 | 108,362,814 | 92 | % | 8,035,304 | 7 | % | 1,836,855 | 2 | % | 31.3 | % | 35.9 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 31,877,582 | 30,644,863 | 841,413 | 391,306 | 33.3 | % | 34.1 | % | |||||||||||||||||||||||
Real Estate Taxes | 9,607,260 | 8,522,519 | 878,308 | 206,433 | 24.8 | % | 26.1 | % | |||||||||||||||||||||||
Total Operating Expenses | 41,484,842 | 39,167,382 | 94 | % | 1,719,721 | 4 | % | 597,739 | 1 | % | 31.2 | % | 32.3 | % | |||||||||||||||||
NET OPERATING INCOME | 76,750,131 | 69,195,432 | 90 | % | 6,315,583 | 8 | % | 1,239,116 | 2 | % | 31.3 | % | 38.0 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | (18,963,921 | ) | (17,047,358 | ) | (1,880,695 | ) | (35,868 | ) | 24.0 | % | 25.4 | % | |||||||||||||||||||
Depreciation & Amortization | (27,095,719 | ) | (23,111,852 | ) | (3,500,242 | ) | (483,625 | ) | 41.2 | % | 37.0 | % | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (46,059,640 | ) | (40,159,210 | ) | (5,380,937 | ) | (519,493 | ) | 33.6 | % | 31.8 | % | |||||||||||||||||||
Gains (loss) on sales of int. in R.E. | (45,001 | ) | — | — | (45,001 | ) | N/A | N/A | |||||||||||||||||||||||
Income before Minority Int. | 30,645,490 | 29,036,222 | 934,646 | 674,622 | 27.9 | % | 47.6 | % | |||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | (64,900 | ) | — | — | -81.3 | % | -81.3 | % | |||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | N/A | N/A | ||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | N/A | N/A | ||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | — | — | N/A | N/A | |||||||||||||||||||||||||
NET INCOME | $ | 30,580,590 | $ | 28,971,322 | 95 | % | $ | 934,646 | 3 | % | $ | 674,622 | 2 | % | 29.5 | % | 49.9 | % | |||||||||||||
Q4 03 (3 months ended 12/31/03) | |||||||||||||||||||||||||||||||
% Change Power Center | % Change Strip Center | Combined TOTAL | Enclosed Mall | Power Center | Strip Center | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | -0.9 | % | -1.9 | % | $ | 56,172,818 | $ | 47,978,472 | $ | 6,660,878 | $ | 1,533,468 | |||||||||||||||||||
Straight-Lining of Base Rents | -3.0 | % | -351.9 | % | 1,055,305 | 923,572 | 134,314 | (2,581 | ) | ||||||||||||||||||||||
Percentage Rents | 17.7 | % | N/A | 3,490,813 | 3,411,217 | 79,596 | — | ||||||||||||||||||||||||
Expense Reimbursables | -8.1 | % | -36.9 | % | 24,620,341 | 22,829,880 | 1,275,181 | 515,280 | |||||||||||||||||||||||
Lease Termination and Other Income | -100.0 | % | N/A | 744,306 | 665,556 | 78,750 | — | ||||||||||||||||||||||||
Other Real Estate Revenues | 49.3 | % | -97.7 | % | 3,970,963 | 3,938,923 | 26,588 | 5,452 | |||||||||||||||||||||||
TOTAL REVENUES | -2.7 | % | -10.5 | % | 90,054,546 | 79,747,620 | 89 | % | 8,255,307 | 9 | % | 2,051,619 | 2 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 12.7 | % | 20.8 | % | 23,918,556 | 22,848,120 | 746,445 | 323,991 | |||||||||||||||||||||||
Real Estate Taxes | 20.3 | % | -0.2 | % | 7,695,695 | 6,759,060 | 729,862 | 206,773 | |||||||||||||||||||||||
Total Operating Expenses | 16.5 | % | 12.6 | % | 31,614,251 | 29,607,180 | 94 | % | 1,476,307 | 5 | % | 530,764 | 2 | % | |||||||||||||||||
NET OPERATING INCOME | -6.8 | % | -18.5 | % | 58,440,295 | 50,140,440 | 86 | % | 6,779,000 | 12 | % | 1,520,855 | 3 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | 12.7 | % | -3.1 | % | (15,298,177 | ) | (13,592,812 | ) | (1,668,332 | ) | (37,033 | ) | |||||||||||||||||||
Depreciation & Amortization | 85.7 | % | 12.2 | % | (19,185,241 | ) | (16,869,089 | ) | (1,885,239 | ) | (430,913 | ) | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | 51.4 | % | 11.0 | % | (34,483,418 | ) | (30,461,901 | ) | (3,553,571 | ) | (467,946 | ) | |||||||||||||||||||
Gains (loss) on sales of int. in R.E. | N/A | N/A | — | — | — | — | |||||||||||||||||||||||||
Income before Minority Int. | -71.0 | % | -35.9 | % | 23,956,877 | 19,678,539 | 3,225,429 | 1,052,909 | |||||||||||||||||||||||
Minority Interest in Properties | N/A | N/A | (346,548 | ) | (346,548 | ) | — | — | |||||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||
Income from Disposed Real Estate | N/A | N/A | — | — | — | ||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | N/A | N/A | |||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | N/A | N/A | — | — | — | — | |||||||||||||||||||||||||
NET INCOME | -71.0 | % | -35.9 | % | $ | 23,610,329 | $ | 19,331,991 | 82 | % | $ | 3,225,429 | 14 | % | $ | 1,052,909 | 4 | % | |||||||||||||
SAME STORE COMPARISON
Q4 04 (3 months ended 12/31/04) | |||||||||||||||||||||||||||||||
Combined TOTAL | Enclosed Mall | Power Center | Strip Center | % Change TOTAL (1) | % Change Enclosed Mall | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | $ | 36,915,496 | $ | 28,811,049 | $ | 6,599,390 | $ | 1,505,057 | 0.9 | % | 1.0 | % | |||||||||||||||||||
Straight-Lining of Base Rents | 561,656 | 424,871 | 130,283 | 6,502 | -26.9 | % | -33.1 | % | |||||||||||||||||||||||
Percentage Rents | 1,576,657 | 1,482,950 | 93,707 | — | 6.1 | % | 5.4 | % | |||||||||||||||||||||||
Expense Reimbursables | 15,152,942 | 13,655,539 | 1,172,233 | 325,170 | -11.9 | % | -11.6 | % | |||||||||||||||||||||||
Lease Termination | 699,995 | 699,995 | — | — | 0.2 | % | 12.9 | % | |||||||||||||||||||||||
Other Real Estate Revenues | 3,072,759 | 3,032,942 | 39,691 | 126 | 24.4 | % | 24.4 | % | |||||||||||||||||||||||
TOTAL REVENUES | 57,979,504 | 48,107,345 | 83 | % | 8,035,304 | 14 | % | 1,836,855 | 3 | % | -2.1 | % | -2.0 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 14,468,131 | 13,235,412 | 841,413 | 391,306 | -7.0 | % | -8.9 | % | |||||||||||||||||||||||
Real Estate Taxes | 5,178,489 | 4,093,748 | 878,308 | 206,433 | -5.0 | % | -9.7 | % | |||||||||||||||||||||||
Total Operating Expenses | 19,646,620 | 17,329,160 | 88 | % | 1,719,721 | 9 | % | 597,739 | 3 | % | -6.5 | % | -9.1 | % | |||||||||||||||||
NET OPERATING INCOME | 38,332,884 | 30,778,185 | 80 | % | 6,315,583 | 16 | % | 1,239,116 | 3 | % | 0.4 | % | 2.5 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | (10,414,388 | ) | (8,497,825 | ) | (1,880,695 | ) | (35,868 | ) | 0.2 | % | -2.2 | % | |||||||||||||||||||
Depreciation & Amortization | (12,693,909 | ) | (8,710,042 | ) | (3,500,242 | ) | (483,625 | ) | 5.1 | % | -11.3 | % | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (23,108,297 | ) | (17,207,867 | ) | (5,380,937 | ) | (519,493 | ) | 2.8 | % | -7.0 | % | |||||||||||||||||||
Gain (loss) on sales of int. in R.E | — | — | — | — | N/A | N/A | |||||||||||||||||||||||||
Income before Minority Int. | 15,224,588 | 13,570,319 | 934,646 | 719,623 | -3.2 | % | 17.9 | % | |||||||||||||||||||||||
Minority Interest in Properties | — | — | — | — | |||||||||||||||||||||||||||
NET INCOME | $ | 15,224,588 | $ | 13,570,319 | 89 | % | $ | 934,646 | 6 | % | $ | 719,623 | 5 | % | -1.2 | % | 21.2 | % | |||||||||||||
Q4 03 (3 months ended 12/31/03) | |||||||||||||||||||||||||||||||
% Change Power Center | % Change Strip Center | Combined TOTAL | Enclosed Mall | Power Center | Strip Center | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | -0.9 | % | 8.3 | % | $ | 36,579,163 | $ | 28,527,975 | $ | 6,660,878 | $ | 1,390,310 | |||||||||||||||||||
Straight-Lining of Base Rents | -3.0 | % | -872.2 | % | 768,470 | 634,998 | 134,314 | (842 | ) | ||||||||||||||||||||||
Percentage Rents | 17.7 | % | N/A | 1,485,956 | 1,406,360 | 79,596 | — | ||||||||||||||||||||||||
Expense Reimbursables | -8.1 | % | -31.4 | % | 17,195,218 | 15,446,004 | 1,275,181 | 474,033 | |||||||||||||||||||||||
Lease Termination | -100.0 | % | N/A | 698,750 | 620,000 | 78,750 | — | ||||||||||||||||||||||||
Other Real Estate Revenues | 49.3 | % | -97.7 | % | 2,470,148 | 2,438,108 | 26,588 | 5,452 | |||||||||||||||||||||||
TOTAL REVENUES | -2.7 | % | -1.7 | % | 59,197,705 | 49,073,445 | 83 | % | 8,255,307 | 14 | % | 1,868,953 | 3 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 12.7 | % | 38.1 | % | 15,553,266 | 14,523,488 | 746,445 | 283,333 | |||||||||||||||||||||||
Real Estate Taxes | 20.3 | % | 10.5 | % | 5,450,011 | 4,533,405 | 729,862 | 186,744 | |||||||||||||||||||||||
Total Operating Expenses | 16.5 | % | 27.2 | % | 21,003,277 | 19,056,893 | 91 | % | 1,476,307 | 7 | % | 470,077 | 2 | % | |||||||||||||||||
NET OPERATING INCOME | -6.8 | % | -11.4 | % | 38,194,428 | 30,016,552 | 79 | % | 6,779,000 | 18 | % | 1,398,876 | 4 | % | |||||||||||||||||
�� | |||||||||||||||||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | 12.7 | % | -3.1 | % | (10,394,492 | ) | (8,689,127 | ) | (1,668,332 | ) | (37,033 | ) | |||||||||||||||||||
Depreciation & Amortization | 85.7 | % | 28.9 | % | (12,077,879 | ) | (9,817,582 | ) | (1,885,239 | ) | (375,058 | ) | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | 51.4 | % | 26.1 | % | (22,472,371 | ) | (18,506,709 | ) | (3,553,571 | ) | (412,091 | ) | |||||||||||||||||||
— | — | — | |||||||||||||||||||||||||||||
Gain (loss) on sales of int. in R.E | N/A | N/A | — | — | — | — | |||||||||||||||||||||||||
Income before Minority Int. | -71.0 | % | -27.1 | % | 15,722,057 | 11,509,843 | 3,225,429 | 986,785 | |||||||||||||||||||||||
Minority Interest in Properties | (310,751 | ) | (310,751 | ) | |||||||||||||||||||||||||||
NET INCOME | -71.0 | % | -27.1 | % | $ | 15,411,306 | $ | 11,199,092 | 73 | % | $ | 3,225,429 | 21 | % | $ | 986,785 | 6 | % | |||||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company’s share of the Total Assets and Liabilities of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
PAGE 13
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
RETAIL INCOME STATEMENT(1)
YEARLY COMPARISON
(Property Subtype)
CY 2004 (12 months ended 12/31/04) | |||||||||||||||||||||||||||||||
Combined TOTAL | Enclosed Mall | Power Center | Strip Center | % Change TOTAL | % Change Enclosed Mall | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | $ | 286,439,529 | $ | 253,572,093 | $ | 26,654,346 | $ | 6,213,090 | 110.2 | % | 143.7 | % | |||||||||||||||||||
Straight-Lining of Base Rents | 5,211,965 | 4,682,948 | 527,250 | 1,767 | 85.8 | % | 129.6 | % | |||||||||||||||||||||||
Percentage Rents | 10,466,745 | 10,229,271 | 237,474 | — | 119.7 | % | 128.3 | % | |||||||||||||||||||||||
Expense Reimbursables | 127,206,265 | 120,577,407 | 4,991,385 | 1,637,473 | 118.9 | % | 135.5 | % | |||||||||||||||||||||||
Lease Termination and Other Income | 3,953,472 | 2,453,472 | 1,500,000 | — | 279.7 | % | 215.1 | % | |||||||||||||||||||||||
Other Real Estate Revenues | 13,232,355 | 13,088,855 | 131,184 | 12,316 | 104.1 | % | 106.2 | % | |||||||||||||||||||||||
TOTAL REVENUES | 446,510,331 | 404,604,046 | 91 | % | 34,041,639 | 8 | % | 7,864,646 | 2 | % | 113.1 | % | 139.6 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 126,577,196 | 121,646,929 | 3,420,567 | 1,509,700 | 130.6 | % | 142.3 | % | |||||||||||||||||||||||
Real Estate Taxes | 39,888,301 | 35,917,178 | 3,152,245 | 818,878 | 110.4 | % | 136.5 | % | |||||||||||||||||||||||
Total Operating Expenses | 166,465,497 | 157,564,107 | 95 | % | 6,572,812 | 4 | % | 2,328,578 | 1 | % | 125.4 | % | 141.0 | % | |||||||||||||||||
NET OPERATING INCOME | 280,044,834 | 247,039,939 | 88 | % | 27,468,827 | 10 | % | 5,536,068 | 2 | % | 106.5 | % | 138.7 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | (76,361,502 | ) | (69,354,061 | ) | (6,862,161 | ) | (145,280 | ) | 94.6 | % | 114.3 | % | |||||||||||||||||||
Depreciation & Amortization | (102,110,509 | ) | (90,387,057 | ) | (9,479,496 | ) | (2,243,956 | ) | 140.1 | % | 172.2 | % | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (178,472,011 | ) | (159,741,118 | ) | (16,341,657 | ) | (2,389,236 | ) | 118.3 | % | 143.6 | % | |||||||||||||||||||
Gains (loss) on sales of int. in R.E. | 1,484,182 | — | — | 1,484,182 | N/A | N/A | |||||||||||||||||||||||||
Income before Minority Int. | 103,057,005 | 87,298,821 | 11,127,170 | 4,631,014 | 87.4 | % | 130.2 | % | |||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | (629,599 | ) | — | — | -27.2 | % | -27.2 | % | |||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | N/A | N/A | ||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | — | N/A | N/A | ||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | — | — | N/A | N/A | |||||||||||||||||||||||||
NET INCOME | $ | 102,427,406 | $ | 86,669,222 | 85 | % | $ | 11,127,170 | 11 | % | $ | 4,631,014 | 5 | % | 89.3 | % | 133.9 | % | |||||||||||||
CY 2003 (12 months ended 12/31/03) | |||||||||||||||||||||||||||||||
% Change Power Center | % Change Strip Center | Combined TOTAL | Enclosed Mall | Power Center | Strip Center | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | 1.8 | % | 2.4 | % | $ | 136,294,338 | $ | 104,036,806 | $ | 26,189,828 | $ | 6,067,704 | |||||||||||||||||||
Straight-Lining of Base Rents | -18.2 | % | -98.5 | % | 2,805,547 | 2,039,421 | 644,281 | 121,845 | |||||||||||||||||||||||
Percentage Rents | -16.3 | % | N/A | 4,765,061 | 4,479,817 | 283,594 | 1,650 | ||||||||||||||||||||||||
Expense Reimbursables | -0.6 | % | -13.9 | % | 58,111,682 | 51,189,818 | 5,020,176 | 1,901,688 | |||||||||||||||||||||||
Lease Termination and Other Income | 471.4 | % | N/A | 1,041,180 | 778,680 | 262,500 | — | ||||||||||||||||||||||||
Other Real Estate Revenues | 14.3 | % | -44.7 | % | 6,483,565 | 6,346,516 | 114,760 | 22,289 | |||||||||||||||||||||||
TOTAL REVENUES | 4.7 | % | -3.1 | % | 209,501,373 | 168,871,058 | 81 | % | 32,515,139 | 16 | % | 8,115,176 | 4 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 1.6 | % | 13.5 | % | 54,901,077 | 50,202,470 | 3,367,908 | 1,330,699 | |||||||||||||||||||||||
Real Estate Taxes | 5.7 | % | 4.1 | % | 18,957,900 | 15,189,118 | 2,982,280 | 786,502 | |||||||||||||||||||||||
Total Operating Expenses | 3.5 | % | 10.0 | % | 73,858,977 | 65,391,588 | 89 | % | 6,350,188 | 9 | % | 2,117,201 | 3 | % | |||||||||||||||||
NET OPERATING INCOME | 5.0 | % | -7.7 | % | 135,642,396 | 103,479,470 | 76 | % | 26,164,951 | 19 | % | 5,997,975 | 4 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | 1.9 | % | -3.0 | % | (39,240,910 | ) | (32,356,067 | ) | (6,735,066 | ) | (149,777 | ) | |||||||||||||||||||
Depreciation & Amortization | 24.6 | % | 31.2 | % | (42,527,119 | ) | (33,206,631 | ) | (7,609,792 | ) | (1,710,696 | ) | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | 13.9 | % | 28.4 | % | (81,768,029 | ) | (65,562,698 | ) | (14,344,858 | ) | (1,860,473 | ) | |||||||||||||||||||
Gains (loss) on sales of int. in R.E. | N/A | N/A | 1,111,692 | — | — | 1,111,692 | |||||||||||||||||||||||||
Income before Minority Int. | -5.9 | % | -11.8 | % | 54,986,059 | 37,916,772 | 11,820,093 | 5,249,194 | |||||||||||||||||||||||
Minority Interest in Properties | N/A | N/A | (864,465 | ) | (864,465 | ) | — | — | |||||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||
Income from Disposed Real Estate | N/A | N/A | — | — | — | ||||||||||||||||||||||||||
Gain (loss) on Disposition of Discontinued Operations | N/A | N/A | |||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | N/A | N/A | — | — | — | — | |||||||||||||||||||||||||
NET INCOME | -5.9 | % | -11.8 | % | $ | 54,121,594 | $ | 37,052,307 | 68 | % | $ | 11,820,093 | 22 | % | $ | 5,249,194 | 10 | % | |||||||||||||
SAME STORE COMPARISON
CY 2004 (12 months ended 12/31/04) | |||||||||||||||||||||||||||||||
Combined TOTAL | Enclosed Mall | Power Center | Strip Center | % Change TOTAL (1) | % Change Enclosed Mall | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | $ | 63,177,441 | $ | 31,657,483 | $ | 26,654,346 | $ | 4,865,612 | 3.2 | % | 4.8 | % | |||||||||||||||||||
Straight-Lining of Base Rents | 675,859 | 156,367 | 527,250 | (7,758 | ) | -28.7 | % | -44.7 | % | ||||||||||||||||||||||
Percentage Rents | 1,646,758 | 1,409,284 | 237,474 | — | -4.2 | % | -1.7 | % | |||||||||||||||||||||||
Expense Reimbursables | 17,473,584 | 11,246,874 | 4,991,385 | 1,235,325 | -1.6 | % | -1.2 | % | |||||||||||||||||||||||
Lease Termination | 1,659,000 | 159,000 | 1,500,000 | — | 370.6 | % | 76.7 | % | |||||||||||||||||||||||
Other Real Estate Revenues | 1,700,774 | 1,559,642 | 131,184 | 9,948 | -10.5 | % | -11.6 | % | |||||||||||||||||||||||
TOTAL REVENUES | 86,333,414 | 46,188,648 | 54 | % | 34,041,639 | 39 | % | 6,103,127 | 7 | % | 2.9 | % | 2.3 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 16,916,184 | 12,407,424 | 3,420,567 | 1,088,193 | -0.5 | % | -2.4 | % | |||||||||||||||||||||||
Real Estate Taxes | 6,847,678 | 3,153,479 | 3,152,245 | 541,954 | 5.1 | % | 4.5 | % | |||||||||||||||||||||||
Total Operating Expenses | 23,763,862 | 15,560,903 | 65 | % | 6,572,812 | 28 | % | 1,630,147 | 7 | % | 1.1 | % | -1.1 | % | |||||||||||||||||
NET OPERATING INCOME | 62,569,552 | 30,627,745 | 49 | % | 27,468,827 | 44 | % | 4,472,980 | 7 | % | 3.7 | % | 4.0 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | (18,813,983 | ) | (11,806,542 | ) | (6,862,161 | ) | (145,280 | ) | 7.6 | % | 11.4 | % | |||||||||||||||||||
Depreciation & Amortization | (20,554,608 | ) | (9,816,450 | ) | (9,479,496 | ) | (1,258,662 | ) | 9.4 | % | -1.0 | % | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | (39,368,591 | ) | (21,622,992 | ) | (16,341,657 | ) | (1,403,942 | ) | 8.5 | % | 5.4 | % | |||||||||||||||||||
Gain (loss) on sales of int. in R.E | — | — | — | — | N/A | N/A | |||||||||||||||||||||||||
Income before Minority Int. | 23,200,961 | 9,004,753 | 11,127,170 | 3,069,038 | -3.7 | % | 0.9 | % | |||||||||||||||||||||||
Minority Interest in Properties | — | — | — | — | |||||||||||||||||||||||||||
NET INCOME | $ | 23,200,961 | $ | 9,004,753 | 39 | % | $ | 11,127,170 | 48 | % | $ | 3,069,038 | 13 | % | -3.7 | % | 0.9 | % | |||||||||||||
CY 2003 (12 months ended 12/31/03) | |||||||||||||||||||||||||||||||
% Change Power Center | % Change Strip Center | Combined TOTAL | Enclosed Mall | Power Center | Strip Center | ||||||||||||||||||||||||||
R.E. OPERATING REVENUES | |||||||||||||||||||||||||||||||
Base Rents | 1.8 | % | 1.5 | % | $ | 61,196,364 | $ | 30,215,021 | $ | 26,189,828 | $ | 4,791,515 | |||||||||||||||||||
Straight-Lining of Base Rents | -18.2 | % | -137.3 | % | 947,759 | 282,699 | 644,281 | 20,779 | |||||||||||||||||||||||
Percentage Rents | -16.3 | % | N/A | 1,719,278 | 1,434,034 | 283,594 | 1,650 | ||||||||||||||||||||||||
Expense Reimbursables | -0.6 | % | -9.0 | % | 17,760,358 | 11,382,526 | 5,020,176 | 1,357,656 | |||||||||||||||||||||||
Lease Termination | 471.4 | % | N/A | 352,500 | 90,000 | 262,500 | — | ||||||||||||||||||||||||
Other Real Estate Revenues | 14.3 | % | -55.4 | % | 1,900,830 | 1,763,790 | 114,760 | 22,280 | |||||||||||||||||||||||
TOTAL REVENUES | 4.7 | % | -1.5 | % | 83,877,089 | 45,168,070 | 54 | % | 32,515,139 | 39 | % | 6,193,880 | 7 | % | |||||||||||||||||
R.E. OPERATING EXPENSES | |||||||||||||||||||||||||||||||
Operating and Maintenance | 1.6 | % | 18.7 | % | 16,998,189 | 12,713,152 | 3,367,908 | 917,129 | |||||||||||||||||||||||
Real Estate Taxes | 5.7 | % | 5.2 | % | 6,516,475 | 3,018,793 | 2,982,280 | 515,402 | |||||||||||||||||||||||
Total Operating Expenses | 3.5 | % | 13.8 | % | 23,514,664 | 15,731,945 | 67 | % | 6,350,188 | 27 | % | 1,432,531 | 6 | % | |||||||||||||||||
NET OPERATING INCOME | 5.0 | % | -6.1 | % | 60,362,425 | 29,436,125 | 49 | % | 26,164,951 | 43 | % | 4,761,349 | 8 | % | |||||||||||||||||
OTHER INCOME (EXP.) | |||||||||||||||||||||||||||||||
Interest Expense | 1.9 | % | -3.0 | % | (17,481,657 | ) | (10,596,814 | ) | (6,735,066 | ) | (149,777 | ) | |||||||||||||||||||
Depreciation & Amortization | 24.6 | % | -1.1 | % | (18,796,618 | ) | (9,913,965 | ) | (7,609,792 | ) | (1,272,861 | ) | |||||||||||||||||||
TOTAL OTHER INCOME (EXP.) | 13.9 | % | -1.3 | % | (36,278,275 | ) | (20,510,779 | ) | (14,344,858 | ) | (1,422,638 | ) | |||||||||||||||||||
— | — | — | — | ||||||||||||||||||||||||||||
Gain (loss) on sales of int. in R.E | N/A | N/A | — | — | — | — | |||||||||||||||||||||||||
Income before Minority Int. | -5.9 | % | -8.1 | % | 24,084,150 | 8,925,346 | 11,820,093 | 3,338,711 | |||||||||||||||||||||||
Minority Interest in Properties | |||||||||||||||||||||||||||||||
NET INCOME | -5.9 | % | -8.1 | % | $ | 24,084,150 | $ | 8,925,346 | 37 | % | $ | 11,820,093 | 49 | % | $ | 3,338,711 | 14 | % | |||||||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company’s share of the Total Assets and Liabilities of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
PAGE 14
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Q4:12/31/04 | % Change | Q4:12/31/03 | CY 2004 | % Change | CY 2003 | |||||||||||||||||
FUNDS FROM OPERATIONS(1) | ||||||||||||||||||||||
Net Income | $ | 19,164,507 | 66.6 | % | $ | 11,501,879 | $ | 53,787,630 | -72.6 | % | $ | 196,040,151 | ||||||||||
Dividends on preferred shares | (3,403,125 | ) | (1,533,000 | ) | (13,612,500 | ) | (1,533,000 | ) | ||||||||||||||
Net Income available to common shareholders | $ | 15,761,382 | 58.1 | % | $ | 9,968,879 | $ | 40,175,130 | -79.3 | % | $ | 194,507,151 | ||||||||||
Minority Interest in Operating Partnership-continuing operations | 2,333,949 | 94.7 | % | 1,198,594 | 5,695,811 | 72.7 | % | 3,298,010 | ||||||||||||||
Minority Interest in Operating Partnership-discontinued operations | 23,513 | N/A | 580,392 | 622,663 | N/A | 18,848,730 | ||||||||||||||||
(Gain) losses on sales of interests in real estate | 45,001 | N/A | (4,457,176 | ) | (1,484,182 | ) | N/A | (16,199,310 | ) | |||||||||||||
(Gain) losses on disposition of discontinued operations | — | N/A | (194,441 | ) | 550,000 | N/A | (178,121,005 | ) | ||||||||||||||
Depreciation & Amortization:(2) | ||||||||||||||||||||||
Wholly owned and consolidated partnerships | 24,418,390 | 36.8 | % | 17,852,055 | 95,861,419 | 156.6 | % | 37,356,061 | ||||||||||||||
Unconsolidated partnerships | 2,558,958 | 105.8 | % | 1,243,672 | 5,780,886 | 14.0 | % | 5,071,443 | ||||||||||||||
Discontinued operations | — | N/A | — | — | N/A | 2,308,553 | ||||||||||||||||
FFO | $ | 45,141,193 | 72.3 | % | $ | 26,191,975 | $ | 147,201,727 | 119.5 | % | $ | 67,069,633 | ||||||||||
Weighted Average Shares and O.P. Units Outstanding | 40,244,661 | 26.8 | % | 31,744,396 | 39,792,409 | 75.4 | % | 22,693,026 | ||||||||||||||
Net Income per Share (basic) | $ | 0.43 | 22.9 | % | $ | 0.35 | $ | 1.11 | -88.4 | % | $ | 9.54 | ||||||||||
FFO per Share | $ | 1.12 | 35.9 | % | $ | 0.83 | $ | 3.70 | 25.2 | % | $ | 2.96 | ||||||||||
FUNDS AVAILABLE FOR DISTRIBUTION | ||||||||||||||||||||||
FFO | $ | 45,141,193 | 72.3 | % | $ | 26,191,975 | $ | 147,201,727 | 119.5 | % | $ | 67,069,633 | ||||||||||
Adjustments: | ||||||||||||||||||||||
Straight-lining of base rents | (1,374,762 | ) | 30.3 | % | (1,055,305 | ) | (5,211,965 | ) | 85.8 | % | (2,805,547 | ) | ||||||||||
Recurring capital expenditures | (3,989,314 | ) | 354.9 | % | (876,942 | ) | (8,905,629 | ) | 311.8 | % | (2,162,415 | ) | ||||||||||
Tenant allowances | (9,164,115 | ) | N/A | (1,265,392 | ) | (11,660,288 | ) | N/A | (1,265,392 | ) | ||||||||||||
Amortization of debt premium | (4,811,196 | ) | 64.0 | % | (2,933,065 | ) | (19,353,621 | ) | 225.8 | % | (5,940,175 | ) | ||||||||||
Amortization of above-and below - market lease intangibles | 115,172 | -31.0 | % | 167,000 | 707,192 | 74.8 | % | 404,462 | ||||||||||||||
FAD | $ | 25,916,978 | 28.1 | % | $ | 20,228,271 | $ | 102,777,416 | 85.9 | % | $ | 55,300,566 | ||||||||||
Weighted Average Shares and O.P. Units Outstanding | 40,244,661 | 26.8 | % | 31,744,396 | 39,792,409 | 75.4 | % | 22,693,026 | ||||||||||||||
FAD per Share | $ | 0.64 | 1.1 | % | $ | 0.64 | $ | 2.58 | 6.0 | % | $ | 2.44 | ||||||||||
PAYOUT RATIOS | ||||||||||||||||||||||
Dividend per Common Share | $ | 0.54 | 0.0 | % | $ | 0.54 | $ | 2.16 | 4.3 | % | $ | 2.07 | ||||||||||
Payout Ratio of Net Income per Share (basic) | 125.6 | % | -28.7 | % | 154.3 | % | 194.6 | % | 172.9 | % | 21.7 | % | ||||||||||
Payout Ratio of FFO | 48.1 | % | -17.3 | % | 65.4 | % | 58.4 | % | -11.6 | % | 70.0 | % | ||||||||||
Payout Ratio of FAD | 83.9 | % | -0.9 | % | 84.7 | % | 83.6 | % | -1.3 | % | 84.9 | % | ||||||||||
(1) | Certain prior period amounts have been reclassified to conform with the current period’s presentation. |
(2) | Excludes depreciation of non-real estate assets and amortization of deferred financing costs. |
PAGE 15
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
KEY RATIOS
Q4: 12/31/2004 | Q4: 12/31/2003 | |||||
Coverage Ratio(1) | ||||||
Interest Coverage Ratio (EBITDA/Interest Expense) | 3.35 | 2.73 | ||||
Leverage Ratios(1) | ||||||
Debt / Total Market Capitalization | 46.1 | % | 50.3 | % | ||
Operating Ratios(1) | ||||||
NOI/Real Estate Revenues | 64.9 | % | 64.9 | % | ||
Return on Investment Ratios(1) | ||||||
Total FFO/Equity Market Capitalization, net of preferred shares | 2.6 | % | 1.8 | % | ||
FFO multiple (Closing share price / Annualized FFO per share for quarter)(2) | 9.54 | 11.00 | ||||
NOI/Total Market Capitalization at Period End | 2.2 | % | 1.9 | % | ||
NOI/Investment in Real Estate at Period End | 2.9 | % | 2.3 | % | ||
Payout Ratios | ||||||
FFO Payout Ratio (Dividend/FFO) per Share | 48.1 | % | 65.4 | % | ||
FAD Payout Ratio (Dividend/FAD) per Share | 83.9 | % | 84.7 | % |
(1) | The calculation of these ratios includes wholly owned properties, PREIT's proportional share of partnership properties and properties classified as held for sale. |
(2) | Calculations based on closing stock price at the end of the quarter. |
PAGE 16
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
DEBT SCHEDULE of WHOLLY OWNED PROPERTIES
Property Name | PREIT’s Ownership Interest | Total Investment to Date | PREIT’s Investment to Date(1) | PREIT’s Accumulated Depreciation | PREIT’s Depreciated Costs | PREIT’s Share of O/S Mortgage Debt and Mortgage Debt Premium | PREIT’s Share of Mortgage | PREIT’s Share of Mortgage Debt Premium | Current Mortgages Interest Rate | Annual Mortgage Debt Service | Mortgage Balance at Maturity | Date of Maturity | Notes | |||||||||||||||||||||||||
Retail Properties | ||||||||||||||||||||||||||||||||||||||
Beaver Valley Mall | 100 | % | $ | 56,193,609 | $ | 56,193,609 | $ | 4,290,282 | $ | 51,903,327 | $ | 46,869,232 | $ | 46,869,232 | $ | — | 7.36 | % | $ | 3,972,402 | $ | 42,265,601 | 2012 | |||||||||||||||
Capital City(2) | 100 | % | 81,155,707 | 81,155,707 | 2,387,771 | 78,767,936 | 58,914,950 | 52,786,545 | 6,128,405 | 7.61 | % | 4,602,529 | 47,215,150 | 2012 | ||||||||||||||||||||||||
Chambersburg Mall (2)(3) | 89 | % | 34,503,338 | 34,503,338 | 1,077,578 | 33,425,760 | 20,256,122 | 18,724,588 | 1,531,534 | 7.43 | % | 1,762,666 | 17,199,298 | 2008 | ||||||||||||||||||||||||
Cherry Hill Mall (4) | 100 | % | 204,720,979 | 204,720,979 | 8,280,309 | 196,440,670 | 74,502,944 | 71,319,187 | 2,796,256 | 10.60 | % | 9,132,792 | 70,237,549 | 2005 | ||||||||||||||||||||||||
58,482,412 | 58,869,913 | — | 5.00 | % | 3,889,582 | 58,148,407 | 2005 | (5) | ||||||||||||||||||||||||||||||
Christiana Power I | 100 | % | 39,949,871 | 39,949,871 | 5,476,618 | 34,473,253 | — | — | — | 0.00 | % | — | — | |||||||||||||||||||||||||
Creekview | 100 | % | 19,073,962 | 19,073,962 | 2,857,064 | 16,216,898 | — | — | — | 0.00 | % | — | — | |||||||||||||||||||||||||
Crest Plaza Shopping Center | 100 | % | 16,799,686 | 16,799,686 | 1,819,226 | 14,980,460 | — | — | — | 0.00 | % | — | — | |||||||||||||||||||||||||
Crossroads Mall | 100 | % | 31,552,658 | 31,552,658 | 1,202,897 | 30,349,761 | 14,085,354 | 13,395,840 | 689,514 | 7.39 | % | 1,191,103 | 12,646,534 | 2008 | ||||||||||||||||||||||||
Dartmouth Mall | 100 | % | 57,560,174 | 57,560,174 | 11,179,741 | 46,380,433 | 68,424,518 | 68,424,518 | — | 4.95 | % | 4,483,668 | 57,594,279 | 2013 | ||||||||||||||||||||||||
Echelon Mall | 100 | % | 17,499,150 | 17,499,150 | 1,938,278 | 15,560,872 | — | — | — | 0.00 | % | |||||||||||||||||||||||||||
Exton Square Mall (4) | 100 | % | 143,652,608 | 143,652,608 | 6,318,157 | 137,334,451 | 104,991,154 | 98,528,771 | 6,462,383 | 6.95 | % | 8,102,242 | 93,034,212 | 2008 | ||||||||||||||||||||||||
Festival at Exton | 100 | % | 19,052,431 | 19,052,431 | 2,563,648 | 16,488,783 | — | — | — | 0.00 | % | — | — | |||||||||||||||||||||||||
Francis Scott Key Mall (3) | 89 | % | 61,086,566 | 61,086,566 | 1,871,523 | 59,215,043 | 35,448,213 | 32,768,029 | 2,680,184 | 7.43 | % | 3,084,665 | 30,098,771 | 2008 | ||||||||||||||||||||||||
Jacksonville Mall (3) | 100 | % | 66,546,888 | 66,546,888 | 2,163,623 | 64,383,265 | 27,345,766 | 25,278,194 | 2,067,572 | 7.43 | % | 2,379,598 | 23,219,052 | 2008 | ||||||||||||||||||||||||
Logan Valley Mall (2)(3) | 100 | % | 91,087,683 | 91,087,683 | 3,274,077 | 87,813,606 | 57,729,947 | 53,365,075 | 4,364,872 | 7.43 | % | 5,023,597 | 49,017,998 | 2008 | ||||||||||||||||||||||||
Lycoming Mall (2)(3) | 89 | % | 55,384,351 | 55,384,351 | 1,675,052 | 53,709,299 | 35,448,214 | 32,768,029 | 2,680,185 | 7.43 | % | 3,084,664 | 30,098,771 | 2008 | ||||||||||||||||||||||||
Magnolia Mall | 100 | % | 58,526,217 | 58,526,217 | 9,292,737 | 49,233,480 | 19,878,288 | 19,878,288 | — | 8.20 | % | 2,597,726 | 17,782,882 | 2007 | ||||||||||||||||||||||||
Moorestown Mall | 100 | % | 75,146,528 | 75,146,528 | 5,082,070 | 70,064,458 | 62,803,933 | 62,803,933 | — | 4.95 | % | 4,115,367 | 52,863,321 | 2013 | ||||||||||||||||||||||||
New River Valley Mall (3) | 89 | % | 30,178,562 | 30,178,562 | 973,802 | 29,204,760 | 17,217,704 | 15,915,900 | 1,301,804 | 7.43 | % | 1,498,266 | 14,619,403 | 2008 | ||||||||||||||||||||||||
Nittany Mall (2)(3) | 89 | % | 39,032,489 | 39,032,489 | 1,132,817 | 37,899,672 | 30,384,183 | 28,086,882 | 2,297,301 | 7.43 | % | 2,643,998 | 25,798,946 | 2008 | ||||||||||||||||||||||||
North Hanover Mall(2)(3) | 89 | % | 28,284,491 | 28,284,491 | 934,407 | 27,350,084 | 20,256,122 | 18,724,588 | 1,531,534 | 7.43 | % | 1,762,666 | 17,199,298 | 2008 | ||||||||||||||||||||||||
Northeast Tower Center (3) | 100 | % | 32,658,548 | 32,658,548 | 3,379,269 | 29,279,279 | 17,724,107 | 16,384,015 | 1,340,092 | 7.43 | % | 1,542,332 | 15,049,385 | 2008 | ||||||||||||||||||||||||
Northeast Tower Center-Home Depot | 100 | % | 13,578,891 | 13,578,891 | 1,561,573 | 12,017,318 | 12,500,000 | 12,500,000 | — | 7.40 | % | 925,000 | 12,500,000 | 2005 | ||||||||||||||||||||||||
Orlando Fashion Square | 100 | % | 108,469,969 | 108,469,969 | 235,005 | 108,234,964 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Palmer Park Mall | 100 | % | 32,520,927 | 32,520,927 | 6,672,124 | 25,848,803 | 17,733,788 | 17,733,788 | — | 6.77 | % | 1,661,220 | 15,674,394 | 2009 | ||||||||||||||||||||||||
Patrick Henry Mall(3) | 89 | % | 106,945,323 | 106,945,323 | 3,072,804 | 103,872,519 | 51,146,710 | 47,279,585 | 3,867,125 | 7.43 | % | 4,450,730 | 43,428,226 | 2008 | ||||||||||||||||||||||||
Paxton Towne Centre | 100 | % | 53,517,227 | 53,517,227 | 6,026,399 | 47,490,828 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Phillipsburg Mall (3) | 89 | % | 48,711,968 | 48,711,968 | 1,528,810 | 47,183,158 | 30,384,183 | 28,086,882 | 2,297,301 | 7.43 | % | 2,643,998 | 25,798,946 | 2008 | ||||||||||||||||||||||||
Plymouth Meeting Mall | 100 | % | 79,328,714 | 79,328,714 | 3,999,975 | 75,328,739 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Schuylkill Mall (2)(6) | 100 | % | 8,108,061 | 8,108,061 | — | 8,108,061 | 17,399,761 | 17,399,761 | — | 7.25 | % | N/A | N/A | 2008 | ||||||||||||||||||||||||
South Blanding Village | 100 | % | 9,502,950 | 9,502,950 | 3,394,474 | 6,108,476 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
South Mall(2)(3) | 89 | % | 26,994,360 | 26,994,360 | 862,538 | 26,131,822 | 15,192,091 | 14,043,441 | 1,148,650 | 7.43 | % | 1,321,999 | 12,899,473 | 2008 | ||||||||||||||||||||||||
The Commons at Magnolia | 100 | % | 9,900,319 | 9,900,319 | 1,378,520 | 8,521,799 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
The Gallery at Market East I | 100 | % | 48,365,381 | 48,365,381 | 2,132,987 | 46,232,394 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
The Gallery at Market East II | 100 | % | 28,082,094 | 28,082,094 | 446,068 | 27,636,026 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
The Mall at Prince Georges(4) | 100 | % | 92,556,803 | 92,556,803 | 12,685,863 | 79,870,940 | 42,820,615 | 41,350,053 | 1,470,562 | 8.70 | % | 4,134,937 | 39,986,536 | 2007 | ||||||||||||||||||||||||
Uniontown Mall(2)(3) | 89 | % | 34,398,654 | 34,398,654 | 1,183,242 | 33,215,412 | 24,307,347 | 22,469,506 | 1,837,841 | 7.43 | % | 2,115,199 | 20,639,157 | 2008 | ||||||||||||||||||||||||
Valley Mall | 100 | % | 85,892,271 | 85,892,271 | 3,107,983 | 82,784,288 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Valley View Mall | 100 | % | 60,015,402 | 60,015,402 | 1,759,763 | 58,255,639 | 37,462,862 | 36,887,606 | 575,256 | 6.15 | % | 2,275,500 | 34,094,549 | 2009 | ||||||||||||||||||||||||
Viewmont Mall (2)(3) | 89 | % | 76,522,861 | 76,522,861 | 2,134,091 | 74,388,770 | 30,384,183 | 28,086,882 | 2,297,301 | 7.43 | % | 2,643,998 | 25,798,946 | 2008 | ||||||||||||||||||||||||
Washington Crown Center(2) | 89 | % | 42,498,769 | 42,498,769 | 2,156,955 | 40,341,814 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Willow Grove Park | 100 | % | 172,620,230 | 172,620,230 | 11,473,667 | 161,146,563 | 110,789,144 | 108,385,064 | 2,404,080 | 8.39 | % | 10,046,933 | 107,307,726 | 2006 | ||||||||||||||||||||||||
Wiregrass Mall(5) | 100 | % | 37,425,141 | 37,425,141 | 1,236,296 | 36,188,845 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Wyoming Valley Mall (2)(3) | 100 | % | 90,793,317 | 90,793,317 | 2,538,595 | 88,254,722 | 57,729,948 | 53,365,076 | 4,364,872 | 7.43 | % | 5,023,597 | 49,017,998 | 2008 | ||||||||||||||||||||||||
Westgate Anchor Pad | 100 | % | 2,920,710 | 2,920,710 | — | 2,920,710 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Land held for development | 100 | % | 9,862,704 | 9,862,704 | — | 9,862,704 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Sub-Total Retail Properties | $ | 2,539,179,542 | $ | 2,539,179,542 | $ | 148,758,678 | $ | 2,390,420,864 | $ | 1,218,613,795 | $ | 1,162,479,171 | $ | 56,134,624 | 7.28 | % | $ | 105,428,274 | $ | 1,068,677,734 | ||||||||||||||||||
Industrial Properties | ||||||||||||||||||||||||||||||||||||||
ARA Services, Allentown, PA | 100 | % | $ | 84,610 | $ | 84,610 | $ | 81,610 | $ | 3,000 | $ | — | $ | — | $ | — | 0.00 | % | $ | — | $ | — | — | |||||||||||||||
ARA Services, Pennsauken, NJ | 100 | % | 210,473 | 210,473 | 170,661 | 39,812 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Interstate Container Corporation | 100 | % | 1,802,271 | 1,802,271 | 1,524,084 | 278,187 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Sears Roebuck & Co. | 100 | % | 406,857 | 406,857 | 350,576 | 56,281 | — | — | — | 0.00 | % | — | — | — | ||||||||||||||||||||||||
Sub-Total Industrial and Land Properties | $ | 2,504,211 | $ | 2,504,211 | $ | 2,126,931 | $ | 377,280 | $ | — | $ | — | $ | — | 0.00 | % | $ | — | $ | — | ||||||||||||||||||
TOTAL for WHOLLY OWNED PROPERTIES | $ | 2,541,683,753 | $ | 2,541,683,753 | $ | 150,885,609 | $ | 2,390,798,144 | $ | 1,218,613,795 | $ | 1,162,479,171 | $ | 56,134,624 | 7.28 | % | $ | 105,428,274 | $ | 1,068,677,734 | ||||||||||||||||||
TOTAL for PARTNERSHIPS | $ | 271,058,816 | $ | 133,886,288 | $ | 34,023,363 | $ | 99,862,925 | $ | 107,513,205 | $ | 107,513,205 | $ | — | 7.47 | % | $ | 10,205,588 | $ | 93,753,089 | ||||||||||||||||||
CORPORATE /LINE OF CREDIT | $ | 271,000,000 | $ | 271,000,000 | $ | — | ||||||||||||||||||||||||||||||||
TOTAL for WHOLLY OWNED and PARTNERSHIP PROPERTIES | $ | 2,812,742,569 | $ | 2,675,570,041 | $ | 184,908,972 | $ | 2,490,661,069 | $ | 1,597,127,000 | $ | 1,540,992,376 | $ | 56,134,624 | 7.30 | % | $ | 115,633,862 | $ | 1,162,430,823 | ||||||||||||||||||
(1) | Includes development and CIP costs. |
(2) | PREIT has an 89% ownership interest and a 99% economic interest in these properties. These properties are consolidated for financial reporting purposes. |
(3) | Mortgage Debt represents the properties’ allocated portion of the REMIC provided by General Electric Capital Corporation |
(4) | Mortgage term does not include two 12 month extensions. |
(5) | On February 24, 2005, the Company fully repaid its obligations under a $59.0 million second mortgage by borrowing an additional $55.0 million under its unsecured revolving credit facility. After the borrowing on February 24, 2005, there was a total of $326.0 million outstanding under the Credit Facility. |
(6) | In December 2004, the Company completed a modification of the mortgage on Schuylkill Mall. The modification limits the monthly payment to interest plus the excess cash flow from the property after management fees, leasing commissions, and lender-approved capital expenditures, Monthly excess cash flow will accumulate throughout the year in escrow, and an annual principal payment will be made on the last day of each year from this account. All other terms of the loan remained unchanged. Due to the modification, the timing of future principal payment amounts cannot be determined. |
PAGE 17
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
DEBT SCHEDULE of PARTNERSHIPS
Property Name | PREIT’s Ownership Interest | Total Investment to Date | PREIT’s Investment to Date(1) | PREIT’s Accumulated Depreciation | PREIT’s Depreciated Costs | PREIT’s Share of O/S Mortgage Debt and Mortgage Debt Premium | PREIT’s Share of Mortgage | PREIT’s Share of Mortgage Debt Premium | Current Mortgages Interest Rate | Annual Mortgage Debt Service | Mortgage Balance at Maturity | Date of Maturity | Notes | |||||||||||||||||||||||||
Retail Properties | ||||||||||||||||||||||||||||||||||||||
Court at Oxford Valley | 50 | % | $ | 55,643,890 | $ | 27,821,945 | $ | 4,947,908 | $ | 22,874,037 | $ | 21,237,630 | $ | 21,237,630 | $ | — | 8.02 | % | $ | 2,319,426 | $ | 15,966,965 | 2011 | |||||||||||||||
Laurel Mall | 40 | % | 31,492,980 | 12,597,192 | 4,980,925 | 7,616,267 | 9,096,441 | 9,096,441 | — | 6.00 | % | 661,904 | 7,819,521 | 2013 | ||||||||||||||||||||||||
Lehigh Valley Mall | 50 | % | 32,922,356 | 16,461,178 | 9,734,259 | 6,726,919 | 23,045,280 | 23,045,280 | — | 7.90 | % | 2,479,260 | 21,750,440 | 2006 | ||||||||||||||||||||||||
Metroplex Shopping Center (Blue Route) | 50 | % | 83,905,440 | 41,952,720 | 6,029,757 | 35,922,963 | 31,809,386 | 31,809,386 | — | 7.25 | % | 2,680,953 | 28,250,000 | 2011 | ||||||||||||||||||||||||
Red Rose Commons | 50 | % | 23,883,374 | 11,941,687 | 1,658,540 | 10,283,147 | 13,627,598 | 13,627,598 | — | 7.66 | % | 1,220,048 | 12,425,422 | 2009 | ||||||||||||||||||||||||
Springfield Park I&II | 50 | % | 13,291,878 | 6,645,939 | 695,102 | 5,950,837 | 1,788,993 | 1,788,993 | — | 7.79 | % | 202,561 | 1,411,804 | 2010 | ||||||||||||||||||||||||
Whitehall Mall | 50 | % | 29,918,898 | 14,959,449 | 5,976,872 | 8,982,577 | 6,907,877 | 6,907,877 | — | 6.77 | % | 641,436 | 6,128,937 | 2008 | ||||||||||||||||||||||||
Sub-Total Retail Properties | $ | 271,058,816 | $ | 132,380,110 | $ | 34,023,363 | $ | 98,356,747 | $ | 107,513,205 | $ | 107,513,205 | $ | — | 7.47 | % | $ | 10,205,588 | $ | 93,753,089 | ||||||||||||||||||
Construction in Progress/Development | ||||||||||||||||||||||||||||||||||||||
Pavilion at Market East | 50 | % | N/A | $ | 1,506,178 | $ | — | $ | 1,506,178 | $ | — | $ | — | $ | — | 0.00 | % | $ | — | $ | — | |||||||||||||||||
Sub-Total Properties Under Development | $ | — | $ | 1,506,178 | $ | — | $ | 1,506,178 | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||
TOTAL for PARTNERSHIPS | $ | 271,058,816 | $ | 133,886,288 | $ | 34,023,363 | $ | 99,862,925 | $ | 107,513,205 | $ | 107,513,205 | $ | — | 7.47 | % | $ | 10,205,588 | $ | 93,753,089 | ||||||||||||||||||
(1) | Includes development and CIP costs. |
PAGE 18
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
DEBT ANALYSIS
Outstanding Debt(1)
Fixed Rate | % of Total Indebtedness | Floating Rate | % of Total Indebtedness | Total | % of Total Indebtedness | |||||||||||||
Wholly Owned | ||||||||||||||||||
Mortgage Notes Payable | $ | 1,218,613,795 | 76.3 | % | $ | — | 0.0 | % | $ | 1,218,613,795 | 76.3 | % | ||||||
Revolving Line of Credit | — | 0.0 | % | — | 0.0 | % | — | 0.0 | % | |||||||||
SUB-TOTAL | 1,218,613,795 | 76.3 | % | — | 0.0 | % | 1,218,613,795 | 76.3 | % | |||||||||
Partnerships (at PREIT’s share) | ||||||||||||||||||
Mortgage Notes Payable | 107,513,205 | 6.7 | % | — | 0.0 | % | 107,513,205 | 6.7 | % | |||||||||
Revolving Line of Credit | — | 0.0 | % | — | 0.0 | % | — | 0.0 | % | |||||||||
Construction loans payable | — | 0.0 | % | — | 0.0 | % | — | 0.0 | % | |||||||||
SUB-TOTAL | 107,513,205 | 6.7 | % | — | 0.0 | % | 107,513,205 | 6.7 | % | |||||||||
Corporate | ||||||||||||||||||
Revolving Line of Credit | 0.0 | % | 271,000,000 | 17.0 | % | 271,000,000 | 17.0 | % | ||||||||||
SUB-TOTAL | 0.0 | % | 271,000,000 | 17.0 | % | 271,000,000 | 17.0 | % | ||||||||||
TOTAL OUTSTANDING DEBT | 1,326,127,000 | 271,000,000 | 1,597,127,000 | |||||||||||||||
SWAP | — | — | — | |||||||||||||||
TOTAL DEBT AFTER HEDGE | $ | 1,326,127,000 | 83.0 | % | $ | 271,000,000 | 17.0 | % | $ | 1,597,127,000 | 100.0 | % | ||||||
(1) | Includes mark to market of debt. |
Weighted Average Interest Rates
Principal Balance | Weighted Average Interest Rate | |||||
Fixed Rate Debt | $ | 1,269,992,376 | 7.30 | % | ||
Mortgage Debt Premium | 56,134,624 | N/A | ||||
Floating Rate Debt | 271,000,000 | 3.93 | % | |||
TOTAL | $ | 1,597,127,000 | 6.70 | % | ||
Interest Rate Hedging Instruments
Nominal Amount | Interest Rate Limit | Expiration Date | Nominal Amount | Fixed Rate in Agreement | Floating Rate in Agreement | Expiration Date | ||||||||||
CAP | None | SWAP | None |
Mortgage/Construction Maturity Schedule (1)
Year | Mortgage Balance at Maturity | % of Debt Expiring | Cumulative % of Debt Expiring | ||||||
2004 | $ | — | 0.0 | % | 0.0 | % | |||
2005 | 140,885,956 | 12.2 | % | 12.2 | % | ||||
2006 | 129,058,166 | 11.2 | % | 23.4 | % | ||||
2007 | 57,769,418 | 5.0 | % | 28.4 | % | ||||
2008 | 511,693,351 | 44.3 | % | 72.7 | % | ||||
2009 | 62,194,365 | 5.4 | % | 78.1 | % | ||||
2010 | 1,411,804 | 0.1 | % | 78.2 | % | ||||
2011 | 44,216,965 | 3.8 | % | 82.0 | % | ||||
2012 | 89,480,751 | 7.7 | % | 89.8 | % | ||||
2013 | 118,277,121 | 10.2 | % | 100.0 | % | ||||
Thereafter | — | 0.0 | % | 100.0 | % | ||||
$ | 1,154,987,898 | 100.0 | % | ||||||
(1) | The average period to mortgage maturity is 4.3 years. |
Average Debt Balance
Mortgage Debt (1) & Construction Loans | Line of Credit & Bank Loans | REMIC | TOTAL | ||||||||||||||
Beginning Balance | 9/30/2004 | $ | 890,617,112 | $ | 112,000,000 | $ | 475,473,130 | $ | 1,478,090,334 | ||||||||
Pay Down Wiregrass Mall Mortgage | 11/22/2004 | (30,000,000 | ) | 30,000,000 | — | ||||||||||||
Acquisition- Orlando Fashion Square | 12/1/2004 | 123,000,000 | 123,000,000 | ||||||||||||||
Working Capital | 12/15/2004 | 6,000,000 | 6,000,000 | ||||||||||||||
Debt Amortization(2) | 12/31/2004 | (5,444,952 | ) | (4,518,290 | ) | (9,963,242 | ) | ||||||||||
Ending Balance | 12/31/2004 | $ | 855,172,160 | $ | 271,000,000 | $ | 470,954,840 | $ | 1,597,127,000 | ||||||||
Weighted Average Balance | $ | 877,899,721 | $ | 165,869,565 | $ | 475,473,130 | $ | 1,519,242,416 | |||||||||
(1) | Includes mark to market of debt. |
(2) | Includes the amortization of debt premium. |
PAGE 19
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
DEBT RATIOS(1)
12/31/2004 | 12/31/2003 | |||||||
Total Liabilities to Gross Asset Value | ||||||||
Ratio of Total Liabilities(2) to Gross Asset Value(3)(4) less than or equal to 0.65 to 1.00. | ||||||||
Total Liabilities | $ | 1,639,890,798 | $ | 1,579,303,539 | ||||
Gross Asset Value | $ | 3,447,400,516 | $ | 3,076,545,743 | ||||
Ratio | 47.57 | % | 51.33 | % | ||||
EBITDA to Interest Expense | ||||||||
Ratio of EBITDA(5) to Interest Expense(6) greater than or equal to 1.90 to 1.00. | ||||||||
EBITDA | $ | 246,445,396 | $ | 121,299,465 | ||||
Interest Expense | $ | 104,323,539 | $ | 57,969,142 | ||||
Ratio | 2.36 | 2.09 | ||||||
Adjusted EBITDA to Fixed Charges | ||||||||
Ratio of Adjusted EBITDA(7) to Fixed Charges(8) greater than or equal to 1.50 to 1.00. | ||||||||
Adjusted EBITDA | $ | 244,718,046 | $ | 118,387,620 | ||||
Fixed Charges | $ | 140,162,712 | $ | 69,089,099 | ||||
Ratio | 1.75 | 1.71 | ||||||
Secured Indebtedness to Gross Asset Value | ||||||||
Ratio of Secured Indebtedness(9) to Gross Asset Value(3)(4) less than or equal to 0.60 to 1.00. | ||||||||
Secured Indebtedness | $ | 1,269,992,376 | $ | 1,320,774,295 | ||||
Gross Asset Value | $ | 3,447,400,516 | $ | 3,076,545,743 | ||||
Ratio | 36.84 | % | 42.93 | % |
(1) | Debt ratios are based on loan covenants included in the Trust’s Credit Facility, led by Wells Fargo Bank National Association, which was effective as of November 20, 2003 and as amended on January 31, 2005. |
(2) | Total Liabilities defined as: Total PREIT consolidated GAAP liabilities plus certain letters of credit and other off balance sheet liabilities. |
(3) | For the 12/31/2003 calculation Gross Asset Value was defined as: The sum of (i) Adjusted NOI for all Properties of PREIT, its subsidiaries and unconsolidated affiliates (excluding adjusted NOI for development and major redevelopment Property and the non-core properties) for the previous rolling four quarter period, capitalized at 9.00%, plus (ii) cash and cash equivalents plus (iii) all accounts receivable net of reserves plus (iv) book value of Property upon which construction is in progress and land held for development plus (v) development costs plus (vi) adjusted NOI for major redevelopment Property for the recent fiscal quarter (excluding those acquired or disposed of during such quarter) multiplied by 4 and capitalized at 9.00% plus (vii) redevelopment and predevelopment costs plus (viii) the purchase price of Property purchased in the last 2 fiscal quarters (excluding Crown properties) plus (ix) greater of PREIT’s: |
(a) | ownership share or (b) recourse share of book value of construction in progress of unconsolidated affiliates plus (x) purchase price of Property by PREIT and its subsidiaries subject to purchase obligations, purchase obligations, forward commitments and unfunded obligations plus (xi) adjusted NOI for all non-core properties for the previous rolling four quarters capitalized at 11.00%. Capitalized terms used in this footnote shall have the meanings ascribed to such terms in the Credit Agreement. |
(4) | For the 12/31/2004 calculation Gross Asset Value is defined as: The sum of (i) Adjusted NOI for all Properties of PREIT, its subsidiaries and unconsolidated affiliates (excluding adjusted NOI for development and major redevelopment Property) for the previous rolling four quarter period, capitalized at 8.25%, plus (ii) cash and cash equivalents plus (iii) all accounts receivable net of reserves plus (iv) book value of Property upon which construction is in progress and land held for development plus (v) development costs plus (vi) adjusted NOI for major redevelopment Property for the recent fiscal quarter (excluding those acquired or disposed of during such quarter) multiplied by 4 and capitalized at 8.25% plus (vii) redevelopment and predevelopment costs plus (viii) the purchase price of Property purchased in the last 2 fiscal quarters plus (ix) greater of PREIT’s: |
(a) | ownership share or (b) recourse share of book value of construction in progress of unconsolidated affiliates plus (x) purchase price of Property by PREIT and its subsidiaries subject to purchase obligations, purchase obligations, forward commitments and unfunded obligations. Capitalized terms used in this footnote shall have the meanings ascribed to such terms in the Credit Agreement. |
(5) | EBITDA defined as: Rolling four quarters of net earnings (loss) of the Trust before minority interests and distributions to holders of Preferred Stock, plus the sum of (i) depreciation and amortization expense and other non-cash charges, plus (ii) interest expense, plus (iii) all provisions for income taxes, minus (plus) (iv) extraordinary gains (losses), plus (v) the greater of (a) ownership share or (b) recourse share of EBITDA of unconsolidated affiliates. |
(6) | Interest Expense defined as: All paid, accrued or capitalized interest expense excluding capitalized interest funded from construction loans plus the greater of (a) ownership share or (b) recourse share of all paid, accrued or capitalized interest expense of unconsolidated affiliates. |
(7) | Adjusted EBITDA defined as: EBITDA plus ground rent payments minus the Reserve for Replacements for all Properties. |
(8) | Fixed Charges defined as: Interest Expense plus regularly scheduled principal payments on Indebtedness other than any balloon, bullet or similar principal payment on any Indebtedness plus preferred dividends payments plus ground rent payments. |
(9) | Secured Indebtedness defined as: (a) Aggregated principal amount of all Indebtedness that is secured by any Lien and (b) Indebtedness under a Guaranty of the Secured Indebtedness of another. |
PAGE 20
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
PORTFOLIO SUMMARY—RETAIL
(Sorted by State)
Retail | City | State | Property | Management | Property | Ownership Interest | Date Acquired | Year Last | Years Since Renovation | Owned GLA (anchors) | Owned GLA (non- anchors) | TOTAL Owned GLA | Space Not Owned | TOTAL Property GLA | Majors/ | Lease Expiration | |||||||||||||||||||
Wiregrass Commons | Dothan | AL | Enclosed Mall | PREIT | New | 100 | % | 2003 | 1986/1999 | 5 | — | 229,713 | 229,713 | Dillard’s JC Penney McRaes Parisian | 403,163 | 632,876 | Dillard’s JC Penney McRaes Parisian | 1/31/37 5/30/14 1/31/37 1/31/37 | |||||||||||||||||
Christiana Power Center I | Newark | DE | Power Center | PREIT | Existing | 100 | % | 1998 | 1998 | 6 | 190,814 | 111,595 | 302,409 | — | 302,409 | Costco Dick’s Sporting Gds | 1/31/19 11/30/13 | ||||||||||||||||||
South Blanding Village | Jacksonville | FL | Strip Center | PREIT | Existing | 100 | % | 1988/1990 | 1986 | 18 | 73,921 | 32,736 | 106,657 | — | 106,657 | Staples Food Lion | 9/30/08 7/31/08 | ||||||||||||||||||
Orlando Fashion Square | Orlando | FL | Enclosed Mall | PREIT | New | 100 | % | 2004 | 1973/2003 | 1 | 491,999 | 394,826 | 886,825 | Sears | 155,576 | 1,042,401 | Burdines-Macy’s Dillard’s JC Penney Sears | 10/31/71 1/31/14 4/30/13 N/A | |||||||||||||||||
Francis Scott Key Mall(2) | Frederick | MD | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1978/1991 | 13 | 291,620 | 278,628 | 570,248 | Hecht’s | 139,333 | 709,581 | Hecht’s Sears JC Penney Value City | N/A 7/31/08 5/31/06 6/30/10 | |||||||||||||||||
Valley Mall | Hagerstown | MD | Enclosed Mall | PREIT | New | 100 | % | 2003 | 1974/1999 | 5 | 294,348 | 356,960 | 651,308 | Sears Hecht’s | 243,400 | 894,708 | Sears JC Penney Bon-Ton Hecht’s | 4/14/44 10/3/09 1/31/14 10/23/49 | |||||||||||||||||
The Mall at Prince Georges | Hyattsville | MD | Enclosed Mall | PREIT | Redevelopment | 100 | % | 1998 | 1959/2004 | 0 | 480,443 | 348,889 | 829,332 | — | 829,332 | JC Penney Hecht Target | 7/31/06 10/31/08 1/31/10 | ||||||||||||||||||
Dartmouth Mall | Dartmouth | MA | Enclosed Mall | PREIT | Existing | 100 | % | 1997 | 1971/2000 | 4 | 208,460 | 321,816 | 530,276 | Filene’s | 140,000 | 670,276 | JC Penney Sears Filene’s | 7/31/09 4/12/06 N/A | |||||||||||||||||
Cherry Hill Mall | Cherry Hill | NJ | Enclosed Mall | PREIT | Existing | 100 | % | 2003 | 1961/1990 | 14 | — | 532,407 | 532,407 | JC Penney Macy’s Strawbridge’s | 740,770 | 1,273,177 | JC Penney Macy’s Strawbridge’s | N/A N/A N/A | |||||||||||||||||
Moorestown Mall | Moorestown | NJ | Enclosed Mall | PREIT | Existing | 100 | % | 2003 | 1963/2000 | 4 | 408,356 | 328,152 | 736,508 | Lord & Taylor Strawbridge’s | 321,200 | 1,057,708 | Boscov’s Lord & Taylor Sears Strawbridge’s | 10/31/10 N/A 10/5/22 N/A | |||||||||||||||||
Phillipsburg Mall | Phillipsburg | NJ | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1989/2003 | 1 | 326,170 | 242,733 | 568,903 | — | 568,903 | Bon-Ton JC Penney Sears Kohl’s | 1/31/10 3/31/10 4/30/09 1/31/25 | ||||||||||||||||||
Echelon Mall | Voorhees | NJ | Enclosed Mall | PREIT | Existing | 100 | % | 2003 | 1970/1998 | 6 | 310,840 | 433,275 | 744,115 | Boscov’s Strawbridge’s | 396,783 | 1,140,898 | Boscov’s Strawbridge’s | N/A N/A | |||||||||||||||||
Jacksonville Mall | Jacksonville | NC | Enclosed Mall | PREIT | New | 100 | % | 2003 | 1981/1998 | 6 | 242,115 | 232,518 | 474,633 | — | 474,633 | Belks JC Penney Sears | 8/21/11 8/31/05 8/4/11 | ||||||||||||||||||
Crest Plaza Shopping Center | Allentown | PA | Strip Center | PREIT | Existing | 100 | % | 1964 | 1959/2003 | 1 | 53,445 | 60,826 | 114,271 | Target | 143,130 | 257,401 | Weis Market Target | 1/31/07 N/A | |||||||||||||||||
Lehigh Valley Mall | Allentown | PA | Enclosed Mall | Third Party | Existing | 50 | % | 1973 | 1977/1996 | 8 | 212,000 | 463,255 | 675,255 | JC Penney Strawbridge’s Firestone | 371,986 | 1,047,241 | Macy’s JC Penney | 7/31/12 N/A N/A | |||||||||||||||||
South Mall(2) | Allentown | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1975/1992 | 12 | 188,858 | 214,884 | 403,742 | — | 403,742 | Bon-Ton Stein Mart Steve & Barry’s | 9/30/05 10/31/06 1/31/11 | ||||||||||||||||||
Whitehall Mall | Allentown | PA | Power Center | Third Party | Existing | 50 | % | 1964 | 1964/1998 | 6 | 294,635 | 231,727 | 526,362 | — | 526,362 | Kohl’s Sears Bed, Bath & Beyond | 3/9/07 9/18/11 1/31/10 | ||||||||||||||||||
Logan Valley Mall(2) | Altoona | PA | Enclosed Mall | PREIT | New | 100 | % | 2003 | 1960/1997 | 7 | 454,387 | 327,248 | 781,635 | — | 781,635 | JC Penney Kaufmann’s Sears | 6/30/17 1/31/10 10/31/16 | ||||||||||||||||||
Capital City Mall(2) | Camp Hill | PA | Enclosed Mall | PREIT | New | 100 | % | 2003 | 1974/1998 | 6 | 204,301 | 284,347 | 488,648 | Hecht’s | 120,000 | 608,648 | JC Penney Hecht’s Sears | 11/30/10 N/A 7/28/09 | |||||||||||||||||
Chambersburg Mall(2) | Chambersburg | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1982 | 22 | 241,690 | 212,251 | 453,941 | — | 453,941 | Bon-Ton JC Penney Sears Value City | 7/31/06 3/31/12 2/9/10 2/28/07 | ||||||||||||||||||
Palmer Park Mall | Easton | PA | Enclosed Mall | PREIT | Existing | 100 | % | 1972/2003 | 1972/1998 | 6 | 314,235 | 131,775 | 446,010 | — | 446,010 | Bon-Ton Boscov’s | 7/25/14 10/31/18 |
PAGE 21A
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
PORTFOLIO SUMMARY—RETAIL
(Sorted by State)
Retail Properties (1) | City | State | Property | Management | Property | Ownership Interest | Date Acquired | Year Last | Years Since Renovation | Owned GLA (anchors) | Owned GLA (non- anchors) | TOTAL Owned GLA | Space Not Owned (Name/GLA) | TOTAL Property GLA | Majors / | Lease Expiration | |||||||||||||||||||
Exton Square Mall | Exton | PA | Enclosed Mall | PREIT | Existing | 100 | % | 2003 | 1973/2000 | 4 | 440,301 | 369,678 | 809,979 | Strawbridge’s K-Mart | 277,468 | 1,087,447 | Boscov’s JC Penney K-Mart Sears Strawbridge’s | 10/31/19 5/31/20 N/A 1/31/20 N/A | |||||||||||||||||
Festival at Exton | Exton | PA | Strip Center | PREIT | Existing | 100 | % | 1998 | 1991 | 13 | 60,425 | 84,618 | 145,043 | — | 145,043 | Sears Hardware Clemen’s | 8/18/05 10/31/11 | ||||||||||||||||||
North Hanover Mall(2) | Hanover | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1967/1999 | 5 | 288,177 | 165,734 | 453,911 | — | 453,911 | Bon-Ton JC Penney Black Rose Antiques Sears | 1/31/06 1/31/11 N/A 11/30/09 | ||||||||||||||||||
Paxton Towne Centre | Harrisburg | PA | Power Center | PREIT | Existing | 100 | % | 1999 | 2001 | 3 | 151,627 | 292,856 | 444,483 | Target Costco | 273,058 | 717,541 | Target Kohl’s Weis Markets Costco | N/A 1/25/21 11/30/20 N/A | |||||||||||||||||
Laurel Mall(3) | Hazleton | PA | Enclosed Mall | Third Party | Existing | 40 | % | 1988 | 1973/1995 | 9 | 350,323 | 209,200 | 559,523 | — | 559,523 | Boscov’s K-Mart JC Penney | 4/30/08 8/31/19 10/31/09 | ||||||||||||||||||
Red Rose Commons | Lancaster | PA | Power Center | Third Party | Existing | 50 | % | 1998 | 1998 | 6 | — | 263,452 | 263,452 | Weis Markets Home Depot | 199,590 | 463,042 | Weis Markets Home Depot | N/A N/A | |||||||||||||||||
The Court at Oxford Valley | Langhorne | PA | Power Center | Third Party | Existing | 50 | % | 1997 | 1996 | 8 | 176,831 | 280,032 | 456,863 | Home Depot BJ’s | 247,623 | 704,486 | Best Buy Dick’s Sporting Gds Linens N Things | 12/31/11 4/15/11 2/14/17 | |||||||||||||||||
Beaver Valley Mall | Monaca | PA | Enclosed Mall | PREIT | Existing | 100 | % | 2002 | 1970/1991 | 13 | 511,267 | 446,945 | 958,212 | Kaufmann’s | 204,770 | 1,162,982 | Boscov’s JC Penney Sears Kaufmann’s | 9/30/18 9/30/17 8/15/06 N/A | |||||||||||||||||
Lycoming Mall(2) | Pennsdale | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1978/1990 | 14 | 321,441 | 340,909 | 662,350 | Kaufmann’s | 120,000 | 782,350 | Bon-Ton JC Penney Kaufman’s Sears Value City | 7/31/06 10/31/05 N/A 7/31/08 7/31/08 | |||||||||||||||||
Northeast Tower Center | Philadelphia | PA | Power Center | PREIT | Existing | 100 | % | 1998/1999 | 1997/1998 | 6 | 256,021 | 182,521 | 438,542 | Raymour & Flanigan | 38,678 | 477,220 | Home Depot Petsmart Wal-Mart | 9/30/10 2/28/12 1/31/14 | |||||||||||||||||
The Gallery at Market East I(4) | Philadelphia | PA | Enclosed Mall | PREIT | Existing | 100 | % | 2003 | 1977/1990 | 13 | 193,618 | 193,618 | — | 193,618 | K-Mart Strawbridge’s | N/A N/A | |||||||||||||||||||
The Gallery at Market East II(4) | Philadelphia | PA | Enclosed Mall | PREIT | New | 100 | % | 2004 | 1984 | 20 | 127,271 | 206,796 | 334,067 | — | 334,067 | Burlington Coat Factory | 2/28/2032 | ||||||||||||||||||
Plymouth Meeting Mall | Plymouth Meeting | PA | Enclosed Mall | PREIT | Existing | 100 | % | 2003 | 1966/1999 | 5 | 345,000 | 413,531 | 758,531 | Strawbridge’s | 214,635 | 973,166 | AMC Theater Boscov’s Strawbridge’s | 12/31/18 10/31/16 N/A | |||||||||||||||||
Metroplex Shopping Center | Plymouth Meeting | PA | Power Center | Third Party | Existing | 50 | % | 1999 | 2001 | 3 | 67,185 | 410,276 | 477,461 | Target Lowe’s | 300,729 | 778,190 | Target Lowe’s Giant | N/A N/A 2/28/21 | |||||||||||||||||
Viewmont Mall(2) | Scranton | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1968/1996 | 8 | 386,262 | 237,011 | 623,273 | Kaufmann’s | 120,000 | 743,273 | JC Penney Sears Kauffmann’s | 10/31/10 12/31/05 N/A | |||||||||||||||||
Springfield Park I & II | Springfield | PA | Strip Center | PREIT | Existing | 50 | % | 1997/1998 | 1997/1998 | 6 | 83,539 | 43,292 | 126,831 | Target | 145,669 | 272,500 | Target Bed, Bath & Beyond LA Fitness | N/A 1/31/09 3/31/17 | |||||||||||||||||
Nittany Mall(2) | State College | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1968/1990 | 14 | 221,462 | 215,616 | 437,078 | Kaufmann’s | 95,000 | 532,078 | Bon-Ton JC Penney Kaufmann’s Sears | 1/31/08 7/31/10 N/A 8/31/10 | |||||||||||||||||
Uniontown Mall(2) | Uniontown | PA | Enclosed Mall | PREIT | New | 89 | % | 2003 | 1972/1990 | 14 | 421,378 | 276,655 | 698,033 | — | 698,033 | Bon-Ton JC Penney Roomful Express Furn. Sears Teletech Customer Care Value City | 1/31/06 10/31/05 3/26/05 2/25/08 6/28/05 7/31/07 | ||||||||||||||||||
Creekview Shopping Center | Warrington | PA | Power Center | PREIT | Existing | 100 | % | 1999 | 2001 | 3 | — | 136,086 | 136,086 | Target Lowe’s | 288,916 | 425,002 | Target Lowe’s Genuardi’s | N/A N/A 12/31/21 |
PAGE 21B
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
PORTFOLIO SUMMARY-RETAIL
(Sorted by State)
Retail | City | State | Property Subtype | Management Status | Property Status | Ownership Interest | Date Acquired | Year Built/ Last Renovated | Years Since Renovation | Owned GLA (anchors) | ||||||||||
Wiregrass Commons | Dothan | AL | Enclosed Mall | PREIT | New | 100% | 2003 | 1986/1999 | 5 | — | ||||||||||
Christiana Power Center I | Newark | DE | Power Center | PREIT | Existing | 100% | 1998 | 1998 | 6 | 190,814 | ||||||||||
South Blanding Village | Jacksonville | FL | Strip Center | PREIT | Existing | 100% | 1988/1990 | 1986 | 18 | 73,921 | ||||||||||
Orlando Fashion Square | Orlando | FL | Enclosed Mall | PREIT | New | 100% | 2004 | 1973/2003 | 1 | 491,999 | ||||||||||
Francis Scott Key Mall (2) | Frederick | MD | Enclosed Mall | PREIT | New | 89% | 2003 | 1978/1991 | 13 | 291,620 | ||||||||||
Valley Mall | Hagerstown | MD | Enclosed Mall | PREIT | New | 100% | 2003 | 1974/1999 | 5 | 294,348 | ||||||||||
The Mall at Prince Georges | Hyattsville | MD | Enclosed Mall | PREIT | Redevelopment | 100% | 1998 | 1959/2004 | 0 | 480,443 | ||||||||||
Dartmouth Mall | Dartmouth | MA | Enclosed Mall | PREIT | Existing | 100% | 1997 | 1971/2000 | 4 | 208,460 | ||||||||||
Cherry Hill Mall | Cherry Hill | NJ | Enclosed Mall | PREIT | Existing | 100% | 2003 | 1961/1990 | 14 | — | ||||||||||
Moorestown Mall | Moorestown | NJ | Enclosed Mall | PREIT | Existing | 100% | 2003 | 1963/2000 | 4 | 408,356 | ||||||||||
Phillipsburg Mall | Phillipsburg | NJ | Enclosed Mall | PREIT | New | 89% | 2003 | 1989/2003 | 1 | 326,170 | ||||||||||
Echelon Mall | Voorhees | NJ | Enclosed Mall | PREIT | Existing | 100% | 2003 | 1970/1998 | 6 | 310,840 | ||||||||||
Jacksonville Mall | Jacksonville | NC | Enclosed Mall | PREIT | New | 100% | 2003 | 1981/1998 | 6 | 242,115 | ||||||||||
Crest Plaza Shopping Center | Allentown | PA | Strip Center | PREIT | Existing | 100% | 1964 | 1959/2003 | 1 | 53,445 | ||||||||||
Lehigh Valley Mall | Allentown | PA | Enclosed Mall | Third Party | Existing | 50% | 1973 | 1977/1996 | 8 | 212,000 | ||||||||||
South Mall (2) | Allentown | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1975/1992 | 12 | 188,858 | ||||||||||
Whitehall Mall | Allentown | PA | Power Center | Third Party | Existing | 50% | 1964 | 1964/1998 | 6 | 294,635 | ||||||||||
Logan Valley Mall(2) | Altoona | PA | Enclosed Mall | PREIT | New | 100% | 2003 | 1960/1997 | 7 | 454,387 | ||||||||||
Capital City Mall(2) | Camp Hill | PA | Enclosed Mall | PREIT | New | 100% | 2003 | 1974/1998 | 6 | 204,301 | ||||||||||
Chambersburg Mall(2) | Chambersburg | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1982 | 22 | 241,690 | ||||||||||
Palmer Park Mall | Easton | PA | Enclosed Mall | PREIT | Existing | 100% | 1972/2003 | 1972/1998 | 6 | 314,235 | ||||||||||
Exton Square Mall | Exton | PA | Enclosed Mall | PREIT | Existing | 100% | 2003 | 1973/2000 | 4 | 440,301 | ||||||||||
Festival at Exton | Exton | PA | Strip Center | PREIT | Existing | 100% | 1998 | 1991 | 13 | 60,425 | ||||||||||
North Hanover Mall(2) | Hanover | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1967/1999 | 5 | 288,177 | ||||||||||
Paxton Towne Centre | Harrisburg | PA | Power Center | PREIT | Existing | 100% | 1999 | 2001 | 3 | 151,627 | ||||||||||
Laurel Mall (3) | Hazleton | PA | Enclosed Mall | Third Party | Existing | 40% | 1988 | 1973/1995 | 9 | 350,323 | ||||||||||
Red Rose Commons | Lancaster | PA | Power Center | Third Party | Existing | 50% | 1998 | 1998 | 6 | — | ||||||||||
The Court at Oxford Valley | Langhorne | PA | Power Center | Third Party | Existing | 50% | 1997 | 1996 | 8 | 176,831 | ||||||||||
Beaver Valley Mall | Monaca | PA | Enclosed Mall | PREIT | Existing | 100% | 2002 | 1970/1991 | 13 | 511,267 | ||||||||||
Lycoming Mall (2) | Pennsdale | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1978/1990 | 14 | 321,441 | ||||||||||
Northeast Tower Center | Philadelphia | PA | Power Center | PREIT | Existing | 100% | 1998/1999 | 1997/1998 | 6 | 256,021 | ||||||||||
The Gallery at Market East I (4) | Philadelphia | PA | Enclosed Mall | PREIT | Existing | 100% | 2003 | 1977/1990 | 13 | |||||||||||
The Gallery at Market East II(4) | Philadelphia | PA | Enclosed Mall | PREIT | New | 100% | 2004 | 1984 | 20 | 127,271 | ||||||||||
Plymouth Meeting Mall | Plymouth Meeting | PA | Enclosed Mall | PREIT | Existing | 100% | 2003 | 1966/1999 | 5 | 345,000 | ||||||||||
Metroplex Shopping Center | Plymouth Meeting | PA | Power Center | Third Party | Existing | 50% | 1999 | 2001 | 3 | 67,185 | ||||||||||
Viewmont Mall(2) | Scranton | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1968/1996 | 8 | 386,262 | ||||||||||
Springfield Park I & II | Springfield | PA | Strip Center | PREIT | Existing | 50% | 1997/1998 | 1997/1998 | 6 | 83,539 | ||||||||||
Nittany Mall(2) | State College | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1968/1990 | 14 | 221,462 | ||||||||||
Uniontown Mall(2) | Uniontown | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1972/1990 | 14 | 421,378 | ||||||||||
Creekview Shopping Center | Warrington | PA | Power Center | PREIT | Existing | 100% | 1999 | 2001 | 3 | — | ||||||||||
Washington Crown Center(2) | Washington | PA | Enclosed Mall | PREIT | New | 89% | 2003 | 1969/1999 | 5 | 245,401 | ||||||||||
Wyoming Valley Mall(2) | Wilkes-Barre | PA | Enclosed Mall | PREIT | New | 100% | 2003 | 1974/1995 | 9 | 592,110 | ||||||||||
Willow Grove Park | Willow Grove | PA | Enclosed Mall | PREIT | New | 100% | 2000/2003 | 1982/2001 | 3 | 225,000 | ||||||||||
Magnolia Mall | Florence | SC | Enclosed Mall | PREIT | Existing | 100% | 1997 | 1979/1992 | 12 | 343,118 | ||||||||||
The Commons at Magnolia | Florence | SC | Strip Center | PREIT | Existing | 100% | 1999 | 1991/2002 | 2 | 51,574 | ||||||||||
New River Valley Mall | Christiansburg | VA | Enclosed Mall | PREIT | New | 89% | 2003 | 1988 | 16 | 240,306 | ||||||||||
Patrick Henry Mall | Newport News | VA | Enclosed Mall | PREIT | New | 89% | 2003 | 1988/1999 | 5 | 267,175 | ||||||||||
Crossroads Mall | Beckley | WV | Enclosed Mall | PREIT | New | 100% | 2003 | 1981 | 23 | 256,248 | ||||||||||
Valley View Mall | La Crosse | WI | Enclosed Mall | PREIT | New | 100% | 2003 | 1980/2001 | 3 | 96,357 | ||||||||||
Properties Held For Sale | ||||||||||||||||||||
Schuylkill Mall(2) | Frackville | PA | Enclosed Mall | PREIT | New | 100% | 2003 | 1980/1991 | 13 | 346,990 | ||||||||||
TOTAL ASSETS HELD FOR SALE | 346,990 | |||||||||||||||||||
TOTAL CONTINUING PROPERTIES | 11,808,436 | |||||||||||||||||||
TOTAL WHOLLY OWNED | 10,970,913 | |||||||||||||||||||
TOTAL JOINT VENTURE | 1,184,513 | |||||||||||||||||||
TOTAL FOR Wholly Owned and Partnerships(5) | 12,155,426 | |||||||||||||||||||
AVERAGE FOR Wholly Owned and Partnerships | 8.35 |
Retail | City | State | Owned GLA (non-anchors) | TOTAL Owned GLA | Space Not Owned (Name/GLA) | TOTAL Property GLA | Majors / Anchors | Lease Expiration | ||||||||||
Wiregrass Commons | Dothan | AL | 229,713 | 229,713 | Dillard’s JC Penney McRaes Parisian | 403,163 | 632,876 | Dillard’s JC Penney McRaes Parisian | 1/31/37 5/30/14 1/31/37 1/31/37 | |||||||||
Christiana Power Center I | Newark | DE | 111,595 | 302,409 | — | 302,409 | Costco Dick’s Sporting Gds | 1/31/19 11/30/13 | ||||||||||
South Blanding Village | Jacksonville | FL | 32,736 | 106,657 | — | 106,657 | Staples Food Lion | 9/30/08 7/31/08 | ||||||||||
Orlando Fashion Square | Orlando | FL | 394,826 | 886,825 | Sears | 155,576 | 1,042,401 | Burdines- Macy’s Dillard’s JC Penney Sears | 10/31/71 1/31/14 4/30/13 N/A | |||||||||
Francis Scott Key Mall (2) | Frederick | MD | 278,628 | 570,248 | Hecht’s | 139,333 | 709,581 | Hecht’s Sears JC Penney Value City | N/A 7/31/08 5/31/06 6/30/10 | |||||||||
Valley Mall | Hagerstown | MD | 356,960 | 651,308 | Sears Hecht’s | 243,400 | 894,708 | Sears JC Penney Bon- Ton Hecht’s | 4/14/44 10/3/09 1/31/14 10/23/49 | |||||||||
The Mall at Prince Georges | Hyattsville | MD | 348,889 | 829,332 | — | 829,332 | JC Penney Hecht Target | 7/31/06 10/31/08 1/31/10 | ||||||||||
Dartmouth Mall | Dartmouth | MA | 321,816 | 530,276 | Filene’s | 140,000 | 670,276 | JC Penney Sears Filene’s | 7/31/09 4/12/06 N/A | |||||||||
Cherry Hill Mall | Cherry Hill | NJ | 532,407 | 532,407 | JC Penney Macy’s Strawbridge’s | 740,770 | 1,273,177 | JC Penney Macy’s Strawbridge’s | N/A N/A N/A | |||||||||
Moorestown Mall | Moorestown | NJ | 328,152 | 736,508 | Lord & Taylor Strawbridge’s | 321,200 | 1,057,708 | Boscov’s Lord & Taylor Sears Strawbridge’s | 10/31/10 N/A 10/5/22 N/A | |||||||||
Phillipsburg Mall | Phillipsburg | NJ | 242,733 | 568,903 | — | 568,903 | Bon-Ton JC Penney Sears Kohl’s | 1/31/10 3/31/10 4/30/09 1/31/25 | ||||||||||
Echelon Mall | Voorhees | NJ | 433,275 | 744,115 | Boscov’s Strawbridge’s | 396,783 | 1,140,898 | Boscov’s Strawbridge’s | N/A N/A | |||||||||
Jacksonville Mall | Jacksonville | NC | 232,518 | 474,633 | — | 474,633 | Belks JC Penney Sears | 8/21/11 8/31/05 8/4/11 | ||||||||||
Crest Plaza Shopping Center | Allentown | PA | 60,826 | 114,271 | Target | 143,130 | 257,401 | Weis Market Target | 1/31/07 N/A | |||||||||
Lehigh Valley Mall | Allentown | PA | 463,255 | 675,255 | JC Penney Strawbridge’s Firestone | 371,986 | 1,047,241 | Macy’s JC Penney Strawbridge’s | 7/31/12 N/A N/A | |||||||||
South Mall (2) | Allentown | PA | 214,884 | 403,742 | — | 403,742 | Bon-Ton Stein Mart Steve & Barry’s | 9/30/05 10/31/06 1/31/11 | ||||||||||
Whitehall Mall | Allentown | PA | 231,727 | 526,362 | — | 526,362 | Kohl’s Sears Bed, Bath & Beyond | 3/9/07 9/18/11 1/31/10 | ||||||||||
Logan Valley Mall(2) | Altoona | PA | 327,248 | 781,635 | — | 781,635 | JC Penney Kaufmann’s Sears | 6/30/17 1/31/10 10/31/16 | ||||||||||
Capital City Mall(2) | Camp Hill | PA | 284,347 | 488,648 | Hecht’s | 120,000 | 608,648 | JC Penney Hecht’s Sears | 11/30/10 N/A 7/28/09 | |||||||||
Chambersburg Mall(2) | Chambersburg | PA | 212,251 | 453,941 | — | 453,941 | Bon-Ton JC Penney Sears Value City | 7/31/06 3/31/12 2/9/10 2/28/07 | ||||||||||
Palmer Park Mall | Easton | PA | 131,775 | 446,010 | — | 446,010 | Bon-Ton Boscov’s | 7/25/14 10/31/18 | ||||||||||
Exton Square Mall | Exton | PA | 369,678 | 809,979 | Strawbridge’s K-Mart | 277,468 | 1,087,447 | Boscov’s JC Penney K-Mart Sears Strawbridge’s | 10/31/19 5/31/20 N/A 1/31/20 N/A | |||||||||
Festival at Exton | Exton | PA | 84,618 | 145,043 | — | 145,043 | Sears Hardware Clemen’s | 8/18/05 10/31/11 | ||||||||||
North Hanover Mall(2) | Hanover | PA | 165,734 | 453,911 | — | 453,911 | Bon-Ton JC Penney Black Rose Antiques Sears | 1/31/06 1/31/11 N/A 11/30/09 | ||||||||||
Paxton Towne Centre | Harrisburg | PA | 292,856 | 444,483 | Target Costco | 273,058 | 717,541 | Target Kohl’s Weis Markets Costco | N/A 1/25/21 11/30/20 N/A | |||||||||
Laurel Mall (3) | Hazleton | PA | 209,200 | 559,523 | — | 559,523 | Boscov’s K- Mart JC Penney | 4/30/08 8/31/19 10/31/09 | ||||||||||
Red Rose Commons | Lancaster | PA | 263,452 | 263,452 | Weis Markets Home Depot | 199,590 | 463,042 | Weis Markets Home Depot | N/A N/A | |||||||||
The Court at Oxford Valley | Langhorne | PA | 280,032 | 456,863 | Home Depot BJ’s | 247,623 | 704,486 | Best Buy Dick’s Sporting Gds Linens N Things | 12/31/11 4/15/11 2/14/17 | |||||||||
Beaver Valley Mall | Monaca | PA | 446,945 | 958,212 | Kaufmann’s | 204,770 | 1,162,982 | Boscov’s JC Penney Sears Kaufmann’s | 9/30/18 9/30/17 8/15/06 N/A | |||||||||
Lycoming Mall (2) | Pennsdale | PA | 340,909 | 662,350 | Kaufmann’s | 120,000 | 782,350 | Bon-Ton JC Penney Kaufman’s Sears Value City | 7/31/06 10/31/05 N/A 7/31/08 7/31/08 | |||||||||
Northeast Tower Center | Philadelphia | PA | 182,521 | 438,542 | Raymour & Flanigan | 38,678 | 477,220 | Home Depot Petsmart Wal- Mart | 9/30/10 2/28/12 1/31/14 | |||||||||
The Gallery at Market East I (4) | Philadelphia | PA | 193,618 | 193,618 | — | 193,618 | K-Mart Strawbridge’s | N/A N/A | ||||||||||
The Gallery at Market East II(4) | Philadelphia | PA | 206,796 | 334,067 | — | 334,067 | Burlington Coat Factory | 2/28/2032 | ||||||||||
Plymouth Meeting Mall | Plymouth Meeting | PA | 413,531 | 758,531 | Strawbridge’s | 214,635 | 973,166 | AMC Theater Boscov’s Strawbridge’s | 12/31/18 10/31/16 N/A | |||||||||
Metroplex Shopping Center | Plymouth Meeting | PA | 410,276 | 477,461 | Target Lowe’s | 300,729 | 778,190 | Target Lowe’s Giant | N/A N/A 2/28/21 | |||||||||
Viewmont Mall(2) | Scranton | PA | 237,011 | 623,273 | Kaufmann’s | 120,000 | 743,273 | JC Penney Sears Kauffmann’s | 10/31/10 12/31/05 N/A | |||||||||
Springfield Park I & II | Springfield | PA | 43,292 | 126,831 | Target | 145,669 | 272,500 | Target Bed, Bath & Beyond LA Fitness | N/A 1/31/09 3/31/17 | |||||||||
Nittany Mall(2) | State College | PA | 215,616 | 437,078 | Kaufmann’s | 95,000 | 532,078 | Bon-Ton JC Penney Kaufmann’s Sears | 1/31/08 7/31/10 N/A 8/31/10 | |||||||||
Uniontown Mall(2) | Uniontown | PA | 276,655 | 698,033 | — | 698,033 | Bon-Ton JC Penney Roomful Express Furn. Sears Teletech Customer Care Value City | 1/31/06 10/31/05 3/26/05 2/25/08 6/28/05 7/31/07 | ||||||||||
Creekview Shopping Center | Warrington | PA | 136,086 | 136,086 | Target Lowe’s | 288,916 | 425,002 | Target Lowe’s Genuardi’s | N/A N/A 12/31/21 | |||||||||
Washington Crown Center(2) | Washington | PA | 288,175 | 533,576 | Kaufmann’s | 140,095 | 673,671 | Sears Bon-Ton Gander Kaufmann’s | 8/17/09 1/31/10 7/24/13 N/A | |||||||||
Wyoming Valley Mall(2) | Wilkes-Barre | PA | 319,531 | 911,641 | — | 911,641 | Bon-Ton JC Penney Sears Kaufmann’s | 1/31/07 1/31/07 8/1/06 1/31/07 | ||||||||||
Willow Grove Park | Willow Grove | PA | 339,144 | 564,144 | Sears Bloomingdale’s Strawbridge | 641,861 | 1,206,005 | Sears Bloomingdale’s Strawbridge’s Macy’s | N/A N/A N/A 1/31/22 | |||||||||
Magnolia Mall | Florence | SC | 221,677 | 564,795 | — | 564,795 | Belk Best Buy JC Penney Sears | 1/31/06 1/31/13 3/31/07 10/16/09 | ||||||||||
The Commons at Magnolia | Florence | SC | 52,915 | 104,489 | Target | 126,200 | 230,689 | Goody’s Target | 5/31/12 N/A | |||||||||
New River Valley Mall | Christiansburg | VA | 187,849 | 428,155 | — | 428,155 | Belks JC Penney Sears | 4/19/08 3/31/08 8/2/08 | ||||||||||
Patrick Henry Mall | Newport News | VA | 233,191 | 500,366 | Hecht’s | 140,000 | 640,366 | Dillard’s Mens Dillard’s Womens JC Penney Hecht’s | 4/30/08 9/22/13 10/31/15 N/A | |||||||||
Crossroads Mall | Beckley | WV | 193,843 | 450,091 | — | 450,091 | Sears JC Penney Belk | 3/31/06 12/31/06 11/4/08 | ||||||||||
Valley View Mall | La Crosse | WI | 236,099 | 332,456 | Herberges Marshall Fields Sears | 254,596 | 587,052 | JC Penney Herberges Marshall Fields Sears | 7/31/10 N/A N/A N/A | |||||||||
Properties Held For Sale | ||||||||||||||||||
Schuylkill Mall(2) | Frackville | PA | 318,761 | 665,751 | Bon-Ton | 60,916 | 726,667 | K-Mart Sears Bon-Ton Black Diamond Antiques | 10/31/10 10/31/05 N/A 12/31/04 | |||||||||
TOTAL ASSETS HELD FOR SALE | 318,761 | 665,751 | — | 60,916 | 726,667 | |||||||||||||
TOTAL CONTINUING PROPERTIES | 12,611,811 | 24,420,247 | — | 7,004,229 | 31,424,476 | |||||||||||||
TOTAL WHOLLY OWNED | 11,029,338 | 22,000,251 | 5,799,548 | 27,799,799 | ||||||||||||||
TOTAL JOINT VENTURE | 1,901,234 | 3,085,747 | 1,265,597 | 4,351,344 | ||||||||||||||
TOTAL FOR Wholly Owned and Partnerships(5) | 12,930,572 | 25,085,998 | 7,065,145 | 32,151,143 | ||||||||||||||
AVERAGE FOR Wholly Owned and Partnerships |
Summary of Properties for Wholly Owned and Partnership Properties
Enclosed Mall | PREIT Managed | Existing | Wholly owned | |||
36 | 43 | 25 | 42 | |||
Power Center | Third Party Managed | New | Joint Venture | |||
8 | 6 | 23 | 7 | |||
Strip Center | Redevelopment | |||||
5 | 1 | |||||
49 | 49 | 49 | 49 |
Summary of Total Owned GLA for Wholly Owned and
Partnerships Properties
Enclosed Mall | PREIT Managed | Existing | Wholly Owned | Top 5 assets as a percentage of Total Owned GLA: | ||||
21,443,049 | 22,127,082 | 11,152,178 | 22,000,251 | 17.5% | ||||
Power Center | Third Party Managed | New | Partnerships | Top asset as a percentage of Total Owned GLA: | ||||
3,045,658 | 2,958,916 | 13,104,488 | 3,085,747 | 3.8% | ||||
Strip Center | Redevelopment | |||||||
597,291 | 829,332 | |||||||
25,085,998 | 25,085,998 | 25,085,998 | 25,085,998 |
(1) | Does not include Westgate Anchor pad in Bethlehem, PA of 108,100 sf leased for Bon-Ton with expiration date of 11/23/2005 |
(2) | PREIT has an 89% ownership interest and a 99% economic interest in these properties. These properties are consolidated for financial reporting purposes. |
(3) | In February, 2005 PREIT announced that it signed an agreement to sell Laurel Mall. |
(4) | The Gallery at Market East I & The Gallery at Market East II were counted as one property. |
(5) | In February, 2005 PREIT acquired Cumberland Mall in Vineland, New Jersey. The mall is 925,000 square feet. |
PAGE 21C
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
QUARTERLY ACTIVITY
Property Acquisitions/Dispositions Summary
Name of Project, Location | Square Feet/Units/ Acres | Ownership Interest | Date Acquired, Completed, or Sold | Total Cost or Price | PREIT’s Cost or Price | Expected NOI Cap (1) | Major Tenants | |||||||||||||
Acquisitions: | ||||||||||||||||||||
Orlando Fashion Square, Orlando, Florida | square feet | 1,100,000 | 100 | % | 4Q04 | $ | 123,500,000 | $ | 123,500,000 | 7.6 | % | Burdines- Macy’s, Dillard’s, JC Penney, Sears | ||||||||
TOTAL ACQUISITIONS | square feet | 1,100,000 | $ | 123,500,000 | $ | 123,500,000 | ||||||||||||||
Pending Acquisitions: | ||||||||||||||||||||
Cumberland Mall, Vineland, New Jersey | square feet | 925,000 | 100 | % | 1Q05 | $ | 59,500,000 | $ | 59,500,000 | 10.2 | % | Boscov’s, JC Penney, Value City | ||||||||
TOTAL PENDING ACQUISITIONS | square feet | 925,000 | $ | 59,500,000 | $ | 59,500,000 | ||||||||||||||
Divestitures | ||||||||||||||||||||
None | ||||||||||||||||||||
TOTAL DIVESTITURES | square feet | — | $ | — | $ | — | ||||||||||||||
Pending Divestitures: | ||||||||||||||||||||
Schuylkill Mall, Frackville, PA | square feet | 726,667 | N/A | N/A | N/A | N/A | ||||||||||||||
TOTAL PENDING DIVESTITURES | square feet | 726,667 | $ | — | $ | — | ||||||||||||||
(1) | Expected NOI Cap is defined as PREIT’s share of NOI in the year of stabilization divided by PREIT’s share of the investment, except in the case of partner buyouts, where Expected NOI Cap is defined as incremental NOI budgeted / PREIT’s incremental inv |
PAGE 22
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Yearly Activity
Property Acquisitions/Dispositions Summary
Name of Project, Location | Square Feet/Units/ Acres | Ownership Interest | Date Acquired, Completed, or Sold | Total Cost or Price | PREIT’s Cost or Price | Expected NOI Cap (1) | Major Tenants | |||||||||||||
Acquisitions: | ||||||||||||||||||||
Orlando Fashion Square, Orlando, Florida | square feet | 1,100,000 | 100 | % | 4Q04 | $ | 123,500,000 | $ | 123,500,000 | 7.6 | % | Burdines- Macy’s, Dillard’s, JC Penney, Sears | ||||||||
The Gallery at Market East II, Philadelphia, Pennsylvania | 334,400 | 100 | % | 2Q04 | 32,400,000 | 32,400,000 | 9.5 | % | Burlington Coat Factory | |||||||||||
Cherry Hill, Cherry Hill, NJ | 1,266,080 | 27 | % | 2Q04 | 17,834,565 | 17,834,565 | N/A | JC Penney, Macy’s, Strawbridge’s | ||||||||||||
Parcel of Land, Florence South Carolina | Acres | 25 | 100 | % | 1Q04 | 3,800,000 | 3,800,000 | |||||||||||||
TOTAL ACQUISITIONS | square feet | 2,700,480 | $ | 177,534,565 | $ | 177,534,565 | ||||||||||||||
Acres | 25 | |||||||||||||||||||
Pending Acquisitions: | ||||||||||||||||||||
Cumberland Mall, Vineland, New Jersey | 925,000 | 100 | % | 1Q05 | $ | 59,500,000 | $ | 59,500,000 | 10.2 | % | Boscov’s, JC Penney, Value City | |||||||||
TOTAL PENDING ACQUISITIONS | square feet | 925,000 | $ | 59,500,000 | $ | 59,500,000 | ||||||||||||||
Divestitures | ||||||||||||||||||||
Bradley Square Mall, Cleveland, TN, Martinsburg Mall, Martinsburg, WV, Mount Berry Square Mall, Rome, GA, Shenango Valley Mall, Hermitage, PA and West Manchester Mall, York, PA. | square feet | 2,625,806 | 100 | % | 3Q04 | $ | 110,700,000 | $ | 110,700,000 | 11.0 | % | |||||||||
Rio Grande Mall, Rio Grande, New Jersey | 165,583 | 60 | % | 3Q04 | 4,100,000 | 4,100,000 | 11.0 | % | ||||||||||||
TOTAL DIVESTITURES | square feet | 2,791,389 | $ | 114,800,000 | $ | 114,800,000 | ||||||||||||||
Pending Divestitures: | ||||||||||||||||||||
Schuylkill Mall, Frackville, Pennsylvania | square feet | 726,667 | 100 | % | N/A | N/A | N/A | N/A | ||||||||||||
TOTAL PENDING DIVESTITURES | square feet | 726,667 | $ | — | $ | — | ||||||||||||||
(1) | Expected NOI Cap is defined as PREIT’s share of NOI in the year of stabilization divided by PREIT’s share of the investment, except in the case of partner buyouts, where Expected NOI Cap is defined as incremental NOI budgeted / PREIT’s incremental investment in the property. |
PAGE 23
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Development Activity
NAME OF PROJECT | LOCATION | PROPERTY TYPE | TOTAL PROJECTED PROPERTY GLA (sq ft) (1) | TOTAL PROJECTED COST (1) | PREIT’s SHARE OF COST | PREIT’s SHARE OF INVESTMENT TO DATE | EXPECTED STABILIZED NOI CAP | CONST START DATE | DATE OF INITIAL OCCUPANCY | |||||||||||||
Christiana Power Center (Phase II)(2) | Newark, DE | Power Center | 355,670 | N/A | N/A | $ | 4,716,063 | N/A | N/A | N/A | ||||||||||||
Lacey | Ocean County, NJ | Power Center | 273,111 | 34,650,874 | 25,650,874 | 2,865,686 | 10.2 | % | 2Q05 | 4Q05 | ||||||||||||
New Garden | New Garden Twp, PA | Power Center | 404,614 | 42,580,062 | 27,830,062 | 1,502,872 | 8.5 | % | 4Q05 | 3Q06 | ||||||||||||
Valley View Downs | South Beaver Twp, PA | Land | 300,000 | N/A | 10,000,000 | 1,045,886 | (4 | ) | 4Q05 | 4Q07 | ||||||||||||
Pavilion at Market East(5) | Philadelphia, PA | Land | N/A | N/A | N/A | 1,506,178 | N/A | N/A | N/A | |||||||||||||
Total Development Activity | 1,333,395 | $ | 77,230,936 | $ | 63,480,936 | $ | 11,636,685 | 9.3 | % | |||||||||||||
NAME OF PROJECT | EXPECTED DATE OF COMPLETION | STABILIZED OPERATIONS DATE | STATUS | % COMP. | % LEASED | % OCCUPIED | ANCHORS | PREIT’s SHARE | |||||||||||||
Christiana Power Center (Phase II)(2) | N/A | N/A | Development | N/A | 0 | % | 0 | % | 100 | % | |||||||||||
Lacey | 3Q06 | (3) | 4Q06 | Development | 11 | % | 48 | % | 0 | % | Home Depot | 100 | % | ||||||||
New Garden | 4Q06 | 1Q07 | Development | 5 | % | 32 | % | 0 | % | Home Depot, Supermarket | 100 | % | |||||||||
Valley View Downs | 4Q07 | 4Q07 | Development | 10 | % | N/A | 0 | % | Valley View Downs | N/A | |||||||||||
Pavilion at Market East(5) | N/A | N/A | Construction | N/A | N/A | N/A | TBD | 50 | % | ||||||||||||
Total Development Activity |
(1) | GLA & total project cost include tenants that purchased their respective land; therefore, the % leased & occupied will also include these tenants. |
(2) | On April 28, 2004, the Supreme Court of the State of Delaware affirmed a Court of Chancery determination that the Delaware Department of Transportation violated the terms of a 1992 Settlement Agreement pertaining to the development of the Company’s Christiana Phase II project. The Company owns a 50% interest in this planned approximately 356,000 square foot power center project located in Newark, Delaware adjacent to the Company’s Christiana Power Center I. Under the terms of the Supreme Court decision the matter has been remitted to the Superior Court of the State of Delaware for a determination of the damages to which the Company is entitled. The Company is unable to predict the outcome of this proceeding. |
(3) | Home Depot is expected to open in 4Q05 with the balance of the Shopping Center to open during the 3Q06. |
(4) | On October 7, 2004, PREIT filed a Current Report on Form 8-K to report that it had entered into a binding memorandum of understanding with Valley View Downs, LP and Centaur Pennsylvania, LLC which contemplates that PREIT will manage the development of a harness racetrack and a casino accommodating up to 3,000 slot machines on an approximately 218 acre property located 35 miles northwest of Pittsburgh, Pennsylvania. Until three months following the commencement of Alternative Gaming operations at the Property (the “Payment Commencement Date”), rent will accrue at 10% per year on the aggregate payments made by PREIT to the Partnership and in respect of Acquisition Costs. Beginning at the Payment Commencement Date, rental payments to PREIT will be $3 million per year for each of the first two years following the Payment Commencement Date, $4 million for the third year thereafter, $5 million for the fourth year thereafter, and for the remainder of the term of the Lease, as the term may be extended, $5 million per year, subject to annual adjustments for the fifth and subsequent years based upon increases in the consumer price index. A pro rata portion of the rent accrued prior to the Payment Commencement Date will be paid in monthly installments over the 117 months following the Payment Commencement Date. |
(5) | The Company’s original development plans for the Pavilion at Market East are under review. The Company retains a 50% interest in the partnership. |
Redevelopment Activity (1)
NAME OF PROJECT | LOCATION | PROPERTY TYPE | TOTAL PROJECTED PROPERTY GLA (sq ft) (1) | TOTAL PROJECTED COST (1) | PREIT’s SHARE OF COST | PREIT’s SHARE OF INVESTMENT TO DATE | EXPECTED STABILIZED NOI CAP | CONST START DATE | DATE OF INITIAL OCCUPANCY | |||||||||||||
The Mall at Prince Georges | Hyattsville, MD | Enclosed Mall | 893,274 | $ | 24,146,000 | $ | 18,000,000 | $ | 15,647,872 | 12.0 | % | 2Q03 | 4Q04 | |||||||||
Echelon Mall(2) | Voorhees, NJ | Enclosed Mall | 1,187,631 | 13,500,000 | 790,657 | 11.0 | % | 2Q05 | 2Q06 | |||||||||||||
Capital City | Camp Hill, PA | Enclosed Mall | 636,000 | 11,319,400 | 11,319,400 | 82,789 | 11.1 | % | 1Q05 | 3Q05 | ||||||||||||
New River Valley | Christiansburg, VA | Enclosed Mall | 442,133 | 11,232,000 | 11,232,000 | 5,442 | 10.4 | % | 3Q05 | 1Q06 | ||||||||||||
Patrick Henry Mall(3) | Newport News, VA | Enclosed Mall | 712,371 | 25,700,000 | 25,700,000 | 163,752 | 10.0 | % | 1Q05 | 4Q05 | ||||||||||||
Total Redevelopment Activity | 3,871,409 | $ | 72,397,400 | $ | 79,751,400 | $ | 16,690,512 | 10.8 | % | |||||||||||||
NAME OF PROJECT | EXPECTED DATE OF COMPLETION | STABILIZED OPERATIONS DATE | STATUS | % COMP. | % LEASED | % OCCUPIED | ANCHORS | PREIT’s SHARE | ||||||||||||
The Mall at Prince Georges | 4Q05 | 4Q05 | 87 | % | 65 | % | 65 | % | Target | 100 | % | |||||||||
Echelon Mall(2) | 6 | % | 0 | % | 0 | % | Wal- Mart (4) | 100 | % | |||||||||||
Capital City | 1Q06 | 1Q06 | Construction | 1 | % | 0 | % | 0 | % | Food Court | 100 | % | ||||||||
New River Valley | 1Q06 | 1Q06 | 0 | % | 0 | % | 0 | % | Regal Cinema | 100 | % | |||||||||
Patrick Henry Mall(3) | 1Q06 | 1Q06 | 0 | % | 49 | % | 0 | % | Dick’s Sporting Goods, Borders | 100 | % | |||||||||
Total Redevelopment Activity |
(1) | GLA and total project cost include tenants that purchased their respective land; therefore, the % leased and occupied will also include these tenants. |
(2) | Wal-Mart committed to the redevelopment plans at Echelon Mall. See PREIT’s press release from 7/14/04. |
(3) | Dick’s Sporting Goods committed to the redevelopment plans at Patrick Henry Mall. See PREIT’s press release from 8/05/04. |
PAGE 24
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Top Twenty Tenants (by PREIT’s share of Annualized Base Rent)
Number of Stores | GLA of Stores | |||||||||||||||||||||
Tenant | Fixed Rent | Percentage Rent Rent or Common | Total | Fixed Rent | Percentage Rent In Lieu of Fixed Rent or Common Area Costs(1) | Total | Annualized Base Rent | PREIT’s share of Annualized Base Rent (2) | Percent of PREIT’s Total Retail Base Rent | |||||||||||||
Gap, Inc./Old Navy | 52 | 4 | 56 | 636,249 | 43,163 | 679,412 | $ | 13,163,202 | $ | 12,343,892 | 4.16 | % | ||||||||||
The Limited Stores, Inc. | 80 | 15 | 95 | 497,242 | 56,441 | 553,683 | 11,497,771 | 11,014,889 | 3.71 | % | ||||||||||||
JC Penney | 27 | 4 | 31 | 2,330,789 | 549,789 | 2,880,578 | 7,481,830 | 7,350,724 | 2.48 | % | ||||||||||||
Footlocker, Inc. | 66 | 3 | 69 | 356,006 | 9,139 | 365,145 | 6,446,712 | 6,134,775 | 2.07 | % | ||||||||||||
Sears | 26 | 3 | 29 | 2,722,832 | 412,236 | 3,135,068 | 5,778,919 | 5,623,188 | 1.90 | % | ||||||||||||
Zales | 85 | 0 | 85 | 70,742 | 70,742 | 5,263,235 | 5,052,461 | 1.70 | % | |||||||||||||
Hallmark Cards, Inc. | 56 | 2 | 58 | 199,176 | 8,286 | 207,462 | 4,535,976 | 4,400,941 | 1.48 | % | ||||||||||||
Sterling Jewelers, Inc. (Kay Jewelers) | 40 | 0 | 40 | 55,664 | 55,664 | 3,770,248 | 3,582,748 | 1.21 | % | |||||||||||||
American Eagle Outfitters | 29 | 1 | 30 | 140,187 | 3,800 | 143,987 | 3,480,920 | 3,347,342 | 1.13 | % | ||||||||||||
Borders | 32 | 1 | 33 | 181,376 | 3,725 | 185,101 | 3,519,026 | 3,293,128 | 1.11 | % | ||||||||||||
Trans World Entertainment | 31 | 0 | 31 | 145,290 | 145,290 | 3,293,291 | 3,153,407 | 1.06 | % | |||||||||||||
Regis Corp. | 85 | 0 | 85 | 101,005 | 101,005 | 3,046,284 | 2,989,700 | 1.01 | % | |||||||||||||
Bon-Ton | 15 | 1 | 16 | 1,077,982 | 60,916 | 1,138,898 | 2,943,869 | 2,943,869 | 0.99 | % | ||||||||||||
Boscov’s | 6 | 1 | 7 | 1,130,706 | 178,000 | 1,308,706 | 3,137,572 | 2,695,972 | 0.91 | % | ||||||||||||
Kay Bee Toys(4) | 30 | 2 | 32 | 133,438 | 6,549 | 139,987 | 2,822,006 | 2,681,537 | 0.90 | % | ||||||||||||
Sun Capital Partners | 27 | 1 | 28 | 87,864 | 5,331 | 93,195 | 2,737,710 | 2,654,130 | 0.89 | % | ||||||||||||
Charming Shoppes, Inc. | 29 | 1 | 30 | 188,336 | 5,204 | 193,540 | 2,737,008 | 2,597,970 | 0.88 | % | ||||||||||||
Shoe Show, Inc. | 32 | 0 | 32 | 155,180 | 155,180 | 2,596,754 | 2,522,715 | 0.85 | % | |||||||||||||
Finish Line | 24 | 1 | 25 | 119,599 | 5,960 | 125,559 | 2,521,496 | 2,521,496 | 0.85 | % | ||||||||||||
Payless Shoe Source | 39 | 6 | 45 | 124,268 | 19,607 | 143,875 | 2,657,526 | 2,506,099 | 0.84 | % | ||||||||||||
Total Top 20 Tenants | 811 | 46 | 857 | 10,453,931 | 1,368,146 | 11,822,077 | 93,431,355 | 89,410,983 | 30.13 | % | ||||||||||||
Total Retail Leased | 3,447 | 23,119,817 | $ | 290,953,915 | $ | 296,712,124 | (3) | 100.00 | % | |||||||||||||
(1) | Income from lease(s) in which tenant pays percentage rent in lieu of fixed rent or common area costs are not included in annualized base rent. |
(2) | Includes PREIT’s proportionate share of tenant rents from partnership properties based on PREIT’s ownership percentage in the respective partnerships. |
(3) | PREIT’s share of annualized base rent is derived by annualizing 4th quarter base rent from continuing operations. Straight line rent is not included in the base rent figures. |
(4) | Kay Bee Toys filed for bankruptcy protection (Chapter 11) in January 2004. |
PAGE 25
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Retail Lease Expiration Schedule - Anchors(1)
Year | Leases | Gross Leasable Area | Annualized Base Rent | ||||||||||||||||
Lease Expiration Year | Number of Leases Expiring | Expiring GLA | Percent of Total | Rent in Expiring Year | PREIT’s Share of Rent in Expiring Year(3) | Percent of Total (PREIT’s Share) | Average Expiring Base Rent psf | ||||||||||||
Prior(2) | 1 | 85,483 | 0.73 | % | $ | 188,400 | $ | 188,400 | 0.50 | % | $ | 2.20 | |||||||
2004 | 0 | — | 0.00 | % | — | — | 0.00 | % | N/P | ||||||||||
2005 | 9 | 694,960 | 5.96 | % | 2,389,328 | 2,389,328 | 6.37 | % | 3.44 | ||||||||||
2006 | 17 | 1,261,014 | 10.81 | % | 3,143,088 | 3,143,088 | 8.38 | % | 2.49 | ||||||||||
2007 | 8 | 814,155 | 6.98 | % | 1,979,424 | 1,969,524 | 5.25 | % | 2.43 | ||||||||||
2008 | 15 | 1,070,427 | 9.17 | % | 3,033,689 | 3,033,689 | 8.09 | % | 2.83 | ||||||||||
2009 | 13 | 1,050,150 | 9.00 | % | 3,543,079 | 2,578,374 | 6.88 | % | 3.37 | ||||||||||
2010 | 17 | 1,719,171 | 14.73 | % | 5,887,787 | 5,887,787 | 15.70 | % | 3.42 | ||||||||||
2011 | 8 | 667,171 | 5.72 | % | 3,545,677 | 2,422,862 | 6.46 | % | 5.31 | ||||||||||
2012 | 3 | 302,710 | 2.59 | % | 512,783 | 475,902 | 1.27 | % | 1.69 | ||||||||||
2013 | 6 | 426,339 | 3.65 | % | 2,857,610 | 2,857,610 | 7.62 | % | 6.70 | ||||||||||
2014 | 4 | 418,052 | 3.58 | % | 1,718,840 | 1,718,840 | 4.58 | % | 4.11 | ||||||||||
Thereafter | 24 | 3,159,623 | 27.08 | % | 12,532,309 | 10,832,520 | 28.89 | % | 3.97 | ||||||||||
Totals: | 125 | 11,669,255 | 100 | % | $ | 41,332,014 | $ | 37,497,924 | 100 | % | $ | 3.54 | |||||||
(1) | Includes only Owned Anchor space. |
(2) | Includes all tenant leases which have already expired and are on a Month to Month basis. |
(3) | Includes PREIT’s proportionate share of tenant rents from partnerships properties based on PREIT’s ownership percentage in the respective partnerships. |
PAGE 26
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Retail Lease Expiration Schedule - Non-Anchors(1)
Year | Leases | Gross Leasable Area | Annualized Base Rent | ||||||||||||||||
Lease Expiration Year | Number of Leases Expiring | Expiring GLA | Percent of Total | Rent in Expiring Year | PREIT’s Share of Rent in Expiring Year(3) | Percent of Total (PREIT’s Share) | Average Expiring Base Rent psf | ||||||||||||
Prior(2) | 192 | 574,303 | 5.02 | % | $ | 10,957,740 | $ | 10,547,366 | 4.35 | % | $ | 19.08 | |||||||
2004 | 26 | 70,065 | 0.61 | % | 1,046,833 | 960,435 | 0.40 | % | 14.94 | ||||||||||
2005 | 389 | 857,881 | 7.49 | % | 20,167,698 | 18,986,259 | 7.82 | % | 23.51 | ||||||||||
2006 | 435 | 1,210,257 | 10.57 | % | 27,289,280 | 25,846,237 | 10.65 | % | 22.55 | ||||||||||
2007 | 413 | 1,164,178 | 10.17 | % | 26,160,317 | 24,837,725 | 10.24 | % | 22.47 | ||||||||||
2008 | 347 | 1,083,355 | 9.46 | % | 25,401,509 | 24,455,707 | 10.08 | % | 23.45 | ||||||||||
2009 | 355 | 983,930 | 8.59 | % | 25,126,725 | 24,436,423 | 10.07 | % | 25.54 | ||||||||||
2010 | 334 | 1,238,668 | 10.82 | % | 28,134,815 | 27,072,279 | 11.16 | % | 22.71 | ||||||||||
2011 | 243 | 1,156,825 | 10.10 | % | 26,315,471 | 23,249,177 | 9.58 | % | 22.75 | ||||||||||
2012 | 201 | 829,884 | 7.25 | % | 20,835,671 | 19,060,305 | 7.86 | % | 25.11 | ||||||||||
2013 | 170 | 558,898 | 4.88 | % | 14,713,587 | 13,808,663 | 5.69 | % | 26.33 | ||||||||||
2014 | 126 | 521,395 | 4.55 | % | 12,944,042 | 11,198,046 | 4.61 | % | 24.83 | ||||||||||
Thereafter | 91 | 1,200,923 | 10.49 | % | 21,555,616 | 18,190,085 | 7.50 | % | 17.95 | ||||||||||
Totals: | 3,322 | 11,450,562 | 100 | % | $ | 260,649,304 | $ | 242,648,707 | 100 | % | $ | 22.76 | |||||||
(1) | Includes only Owned Non-Anchor space. |
(2) | Includes all tenant leases which have already expired and are on a Month to Month basis. |
(3) | Includes PREIT’s proportionate share of tenant rents from partnerships properties based on PREIT’s ownership percentage in the respective partnerships. |
PAGE 27
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Leasing Activity Summary
RETAIL
New Lease | Number | GLA | Average Previous Base Rent psf | Average New Base Rent psf | Increase/ Decrease in Base Rent psf | Annualized Tenant Improvements psf(1) | Annualized psf(1)(2) | TOTAL Annualized Costs of Leasing psf (1)(2) | ||||||||||||||
Previously Leased Space: | ||||||||||||||||||||||
1st Quarter | 13 | 32,324 | $ | 18.76 | $ | 24.84 | $ | 6.08 | $ | 1.76 | $ | — | $ | 1.76 | ||||||||
2nd Quarter | 17 | 42,013 | 24.59 | 32.96 | 8.37 | 2.50 | — | 2.50 | ||||||||||||||
3rd Quarter | 32 | 67,026 | 31.86 | 35.34 | 3.48 | 4.00 | — | 4.00 | ||||||||||||||
4th Quarter | 25 | 50,887 | 27.98 | 29.41 | 1.43 | 1.27 | — | 1.27 | ||||||||||||||
Total or Average | 87 | 192,250 | $ | 27.04 | $ | 31.48 | $ | 4.44 | $ | 2.57 | $ | — | $ | 2.57 | ||||||||
Previously Vacant Space: | ||||||||||||||||||||||
1st Quarter | 12 | 26,926 | $ | — | $ | 23.40 | $ | 23.40 | $ | 1.08 | $ | — | $ | 1.08 | ||||||||
2nd Quarter | 22 | 36,904 | — | 27.35 | 27.35 | 1.35 | — | 1.35 | ||||||||||||||
3rd Quarter | 34 | 102,111 | — | 20.97 | 20.97 | 1.04 | — | 1.04 | ||||||||||||||
4th Quarter | 27 | 52,280 | — | 29.36 | 29.36 | 2.78 | 2.78 | |||||||||||||||
Total or Average | 95 | 218,221 | — | $ | 24.36 | $ | 24.36 | $ | 1.51 | $ | — | $ | 1.51 | |||||||||
Renewal(3) | Number | GLA | Average Previous Base Rent psf | Average New Base Rent psf | Increase/ Decrease in Base Rent psf | Annualized Tenant Improvements psf(1) | Annualized Leasing Commissions psf(1)(2) | TOTAL Annualized Costs of Leasing psf (1)(2) | ||||||||||||||
1st Quarter (4) | 60 | 353,520 | $ | 12.09 | $ | 13.40 | $ | 1.31 | $ | — | $ | — | $ | — | ||||||||
2nd Quarter | 80 | 178,337 | 21.69 | 22.57 | 0.88 | — | — | |||||||||||||||
3rd Quarter (5) | 94 | 500,163 | 12.79 | 13.19 | 0.40 | 0.08 | 0.08 | |||||||||||||||
4th Quarter (6) | 77 | 591,213 | 10.86 | 11.60 | 0.74 | 0.01 | 0.01 | |||||||||||||||
Total or Average | 311 | 1,623,233 | $ | 12.91 | $ | 13.69 | $ | 0.77 | $ | 0.03 | $ | — | $ | 0.03 | ||||||||
(1) | These leasing costs are presented as annualized costs per square foot and are spread uniformly over the life of the lease. |
(2) | External commissions only. |
(3) | This category includes expansions, relocations, lease extensions and modifications. |
(4) | Includes an anchor lease of 176,834 square feet for a base rent of $1.20 per square foot. The other 59 renewal leases with 176,686 had an average previous base rent psf of $22.99 and an average new base rent psf of $25.61 representing an increase of $2.62 in base rent psf. |
(5) | Includes an anchor lease of 91,164 square feet for a base rent of $1.86 per square foot. The other 93 renewal leases with 408,999 square feet had an average previous base rent psf of $15.23 and an average new base rent psf of $15.71 representing an increase of $0.48 in base rent psf. |
(6) | Includes five anchor leases of 357,219 square feet for an average base rent of $5.66 per square foot. The other 72 renewal leases with 233,994 square feet with an average new base rent psf of $20.67 representing an increase of $1.87 in base rent psf. |
PAGE 28
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Capital Expenditures
Q4 04 (3 months ended December 31, 2004) | |||||||||
Retail | Wholly Owned | Partnerships | Total | ||||||
New development projects | $ | 1,687,462 | $ | 38,908 | $ | 1,726,370 | |||
Redevelopment projects with incremental GLA | 1,815,231 | 791,462 | | — 2,606,693 | |||||
Renovation with no incremental GLA | 144,777 | 144,777 | |||||||
Tenant allowances | 9,011,402 | 152,713 | 9,164,115 | ||||||
Operational capital expenditures at properties: | — | ||||||||
CAM expenditures | 2,401,116 | 2,401,116 | |||||||
Non-CAM expenditures | 1,202,100 | 241,321 | 1,443,421 | ||||||
Subtotal operational capital expenditures at properties | $ | 3,603,216 | $ | 241,321 | $ | 3,844,537 | |||
Total | $ | 16,262,088 | $ | 1,224,404 | $ | 17,486,492 | |||
PAGE 29
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Capital Expenditures
CY 2004 (12 months ended December 31, 2004) | |||||||||
Retail | Wholly Owned | Partnerships | Total | ||||||
New development projects | $ | 2,306,274 | $ | 38,908 | $ | 2,345,182 | |||
Redevelopment projects with incremental GLA | 15,310,881 | 791,462 | | — 16,102,343 | |||||
Renovation with no incremental GLA | 162,247 | — | 162,247 | ||||||
Tenant allowances | 11,368,740 | 291,548 | 11,660,288 | ||||||
Operational capital expenditures at properties: | — | ||||||||
CAM expenditures | 4,920,711 | 4,920,711 | |||||||
Non-CAM expenditures | 3,549,239 | 273,432 | 3,822,671 | ||||||
Subtotal operational capital expenditures at properties | $ | 8,469,950 | $ | 273,432 | $ | 8,743,382 | |||
Total | $ | 37,618,092 | $ | 1,395,350 | $ | 39,013,442 | |||
PAGE 30
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Enclosed Malls (Includes Only Owned Space) |
Q404 | % Change | Q403 | ||||||||||||||||||||||||||||||||||
Total w/ Anchor % Leased | Total w/Anchor % Available | In-Line only (Non- Anchor) % Leased | In-Line (Non- Anchor) % Available | Total w/Anchor | Total w/Anchor % Available | In-Line only (Non- Anchor) % Leased | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line only (Non- Anchor) % Leased | In-Line (Non- Anchor) % Available | |||||||||||||||||||||||||
Beaver Valley Mall | 89.0 | % | 11.0 | % | 76.5 | % | 23.5 | % | -1.1 | % | 1.1 | % | -2.3 | % | 2.3 | % | 90.1 | % | 9.9 | % | 78.7 | % | 21.3 | % | ||||||||||||
Capital City | 98.6 | % | 1.4 | % | 97.5 | % | 2.5 | % | -0.8 | % | 0.8 | % | -1.3 | % | 1.3 | % | 99.3 | % | 0.7 | % | 98.8 | % | 1.2 | % | ||||||||||||
Chambersburg Mall | 92.3 | % | 7.7 | % | 83.5 | % | 16.5 | % | -1.4 | % | 1.4 | % | -3.0 | % | 3.0 | % | 93.7 | % | 6.3 | % | 86.6 | % | 13.4 | % | ||||||||||||
Cherry Hill Mall | 92.5 | % | 7.5 | % | 92.5 | % | 7.5 | % | -1.1 | % | 1.1 | % | -1.1 | % | 1.1 | % | 93.6 | % | 6.4 | % | 93.6 | % | 6.4 | % | ||||||||||||
Crossroads Mall | 95.1 | % | 4.9 | % | 88.5 | % | 11.5 | % | 0.5 | % | -0.5 | % | 1.2 | % | -1.2 | % | 94.6 | % | 5.4 | % | 87.4 | % | 12.6 | % | ||||||||||||
Dartmouth Mall | 96.4 | % | 3.6 | % | 94.1 | % | 5.9 | % | 15.1 | % | -15.1 | % | 1.0 | % | -1.0 | % | 81.4 | % | 18.6 | % | 93.1 | % | 6.9 | % | ||||||||||||
Echelon Mall | 37.1 | % | 62.9 | % | 63.7 | % | 36.3 | % | -4.1 | % | 4.1 | % | -7.0 | % | 7.0 | % | 41.2 | % | 58.8 | % | 70.7 | % | 29.3 | % | ||||||||||||
Exton Square Mall | 94.1 | % | 5.9 | % | 87.0 | % | 13.0 | % | -0.1 | % | 0.1 | % | -0.3 | % | 0.3 | % | 94.2 | % | 5.8 | % | 87.3 | % | 12.7 | % | ||||||||||||
Francis Scott Key Mall | 95.9 | % | 4.1 | % | 91.6 | % | 8.4 | % | -0.2 | % | 0.2 | % | -0.5 | % | 0.5 | % | 96.1 | % | 3.9 | % | 92.1 | % | 7.9 | % | ||||||||||||
Jacksonville Mall | 97.8 | % | 2.2 | % | 95.6 | % | 4.4 | % | -0.6 | % | 0.6 | % | -1.3 | % | 1.3 | % | 98.5 | % | 1.5 | % | 96.9 | % | 3.1 | % | ||||||||||||
Laurel Mall | 96.2 | % | 3.8 | % | 89.8 | % | 10.2 | % | -2.2 | % | 2.2 | % | -5.7 | % | 5.7 | % | 98.3 | % | 1.7 | % | 95.5 | % | 4.5 | % | ||||||||||||
Lehigh Valley Mall | 91.5 | % | 8.5 | % | 87.7 | % | 12.3 | % | -0.3 | % | 0.3 | % | -0.4 | % | 0.4 | % | 91.8 | % | 8.2 | % | 88.1 | % | 11.9 | % | ||||||||||||
Logan Valley Mall | 97.9 | % | 2.1 | % | 95.0 | % | 5.0 | % | -0.2 | % | 0.2 | % | -0.5 | % | 0.5 | % | 98.1 | % | 1.9 | % | 95.5 | % | 4.5 | % | ||||||||||||
Lycoming Mall | 89.6 | % | 10.4 | % | 79.8 | % | 20.2 | % | -2.3 | % | 2.3 | % | -4.4 | % | 4.4 | % | 91.9 | % | 8.1 | % | 84.2 | % | 15.8 | % | ||||||||||||
Magnolia Mall | 93.9 | % | 6.1 | % | 84.5 | % | 15.5 | % | -0.3 | % | 0.3 | % | -0.6 | % | 0.6 | % | 94.2 | % | 5.8 | % | 85.1 | % | 14.9 | % | ||||||||||||
Moorestown Mall | 94.1 | % | 5.9 | % | 86.7 | % | 13.3 | % | -2.1 | % | 2.1 | % | -4.7 | % | 4.7 | % | 96.2 | % | 3.8 | % | 91.4 | % | 8.6 | % | ||||||||||||
New River Valley Mall | 76.7 | % | 23.3 | % | 81.5 | % | 18.5 | % | -17.8 | % | 17.8 | % | -5.9 | % | 5.9 | % | 94.5 | % | 5.5 | % | 87.4 | % | 12.6 | % | ||||||||||||
Nittany Mall | 93.5 | % | 6.5 | % | 86.8 | % | 13.2 | % | -1.0 | % | 1.0 | % | -1.9 | % | 1.9 | % | 94.4 | % | 5.6 | % | 88.7 | % | 11.3 | % | ||||||||||||
North Hanover Mall | 93.4 | % | 6.6 | % | 81.8 | % | 18.2 | % | -0.3 | % | 0.3 | % | -0.5 | % | 0.5 | % | 93.7 | % | 6.3 | % | 82.3 | % | 17.7 | % | ||||||||||||
Orlando Fashion Square | 90.7 | % | 9.3 | % | 79.2 | % | 20.8 | % | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||
Palmer Park Mall | 99.2 | % | 0.8 | % | 97.2 | % | 2.8 | % | 0.7 | % | -0.7 | % | 2.2 | % | -2.2 | % | 98.5 | % | 1.5 | % | 95.0 | % | 5.0 | % | ||||||||||||
Patrick Henry Mall | 99.3 | % | 0.7 | % | 98.4 | % | 1.6 | % | 0.2 | % | -0.2 | % | 0.5 | % | -0.5 | % | 99.1 | % | 0.9 | % | 98.0 | % | 2.0 | % | ||||||||||||
Phillipsburg Mall | 92.6 | % | 7.4 | % | 82.6 | % | 17.4 | % | 17.8 | % | -17.8 | % | 5.5 | % | -5.5 | % | 74.8 | % | 25.2 | % | 77.0 | % | 23.0 | % | ||||||||||||
Plymouth Meeting | 73.1 | % | 26.9 | % | 89.4 | % | 10.6 | % | -0.7 | % | 0.7 | % | -1.3 | % | 1.3 | % | 73.8 | % | 26.2 | % | 90.7 | % | 9.3 | % | ||||||||||||
Schuylkill Mall | 76.5 | % | 23.5 | % | 69.3 | % | 30.7 | % | -0.7 | % | 0.7 | % | -1.4 | % | 1.4 | % | 77.2 | % | 22.8 | % | 70.7 | % | 29.3 | % | ||||||||||||
South Mall | 97.3 | % | 2.7 | % | 94.9 | % | 5.1 | % | 1.6 | % | -1.6 | % | 3.0 | % | -3.0 | % | 95.7 | % | 4.3 | % | 91.9 | % | 8.1 | % | ||||||||||||
The Gallery at Market East | 90.6 | % | 9.4 | % | 90.6 | % | 9.4 | % | -4.0 | % | 4.0 | % | -4.0 | % | 4.0 | % | 94.6 | % | 5.4 | % | 94.6 | % | 5.4 | % | ||||||||||||
The Gallery II at Market East | 81.5 | % | 18.5 | % | 70.2 | % | 29.8 | % | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||
The Mall at Prince Georges | 97.1 | % | 2.9 | % | 93.2 | % | 6.8 | % | 8.4 | % | -8.4 | % | 0.2 | % | -0.2 | % | 88.8 | % | 11.2 | % | 93.0 | % | 7.0 | % | ||||||||||||
Uniontown Mall | 96.0 | % | 4.0 | % | 89.9 | % | 10.1 | % | -0.1 | % | 0.1 | % | -0.2 | % | 0.2 | % | 96.1 | % | 3.9 | % | 90.2 | % | 9.8 | % | ||||||||||||
Valley Mall | 99.3 | % | 0.7 | % | 98.8 | % | 1.2 | % | -0.1 | % | 0.1 | % | -0.1 | % | 0.1 | % | 99.4 | % | 0.6 | % | 98.9 | % | 1.1 | % | ||||||||||||
Valley View Mall | 96.3 | % | 3.7 | % | 94.7 | % | 5.3 | % | 1.6 | % | -1.6 | % | 2.2 | % | -2.2 | % | 94.7 | % | 5.3 | % | 92.6 | % | 7.4 | % | ||||||||||||
Viewmont Mall | 99.3 | % | 0.7 | % | 98.3 | % | 1.7 | % | 0.3 | % | -0.3 | % | 0.8 | % | -0.8 | % | 99.1 | % | 0.9 | % | 97.5 | % | 2.5 | % | ||||||||||||
Washington Crown Center | 94.0 | % | 6.0 | % | 88.9 | % | 11.1 | % | 1.0 | % | -1.0 | % | 1.9 | % | -1.9 | % | 93.0 | % | 7.0 | % | 87.1 | % | 12.9 | % | ||||||||||||
Willow Grove Park | 95.1 | % | 4.9 | % | 91.8 | % | 8.2 | % | -1.1 | % | 1.1 | % | -1.8 | % | 1.8 | % | 96.2 | % | 3.8 | % | 93.7 | % | 6.3 | % | ||||||||||||
Wiregrass Mall | 83.8 | % | 16.2 | % | 83.8 | % | 16.2 | % | 0.9 | % | -0.9 | % | 0.9 | % | -0.9 | % | 82.9 | % | 17.1 | % | 82.9 | % | 17.1 | % | ||||||||||||
Wyoming Valley Mall | 97.9 | % | 2.1 | % | 94.1 | % | 5.9 | % | 0.0 | % | 0.0 | % | -0.1 | % | 0.1 | % | 98.0 | % | 2.0 | % | 94.2 | % | 5.8 | % | ||||||||||||
Enclosed Malls weighted average(1) | 90.7 | % | 9.3 | % | 87.2 | % | 12.8 | % | -0.2 | % | 0.2 | % | -1.8 | % | 1.8 | % | 90.8 | % | 9.2 | % | 89.0 | % | 11.0 | % | ||||||||||||
Wholly Owned Properties(1) | 90.5 | % | 9.5 | % | 87.1 | % | 12.9 | % | -0.1 | % | 0.1 | % | -1.7 | % | 1.7 | % | 90.6 | % | 9.4 | % | 88.9 | % | 11.1 | % | ||||||||||||
Partnership Properties | 93.6 | % | 6.4 | % | 88.3 | % | 11.7 | % | -1.1 | % | 1.1 | % | -2.0 | % | 2.0 | % | 94.7 | % | 5.3 | % | 90.4 | % | 9.6 | % | ||||||||||||
PRI-managed(1) | 90.5 | % | 9.5 | % | 87.1 | % | 12.9 | % | -0.1 | % | 0.1 | % | -1.7 | % | 1.7 | % | 90.6 | % | 9.4 | % | 88.9 | % | 11.1 | % | ||||||||||||
Non PRI-managed | 93.6 | % | 6.4 | % | 88.3 | % | 11.7 | % | -1.1 | % | 1.1 | % | -2.0 | % | 2.0 | % | 94.7 | % | 5.3 | % | 90.4 | % | 9.6 | % | ||||||||||||
Same Properties/Existing | 86.5 | % | 13.5 | % | 85.9 | % | 14.1 | % | -0.1 | % | 0.1 | % | -2.1 | % | 2.1 | % | 86.6 | % | 13.4 | % | 88.0 | % | 12.0 | % | ||||||||||||
New | 93.3 | % | 6.7 | % | 88.1 | % | 11.9 | % | -0.5 | % | 0.5 | % | -1.6 | % | 1.6 | % | 93.9 | % | 6.1 | % | 89.8 | % | 10.2 | % | ||||||||||||
Redevelopment Properties | 97.1 | % | 2.9 | % | 93.2 | % | 6.8 | % | 8.4 | % | -8.4 | % | 0.2 | % | -0.2 | % | 88.8 | % | 11.2 | % | 93.0 | % | 7.0 | % | ||||||||||||
Continuing Operations(1) | 91.1 | % | 8.9 | % | 87.8 | % | 12.2 | % | -0.2 | % | 0.2 | % | -1.8 | % | 1.8 | % | 91.3 | % | 8.7 | % | 89.6 | % | 10.4 | % | ||||||||||||
Discontinued Operations | 76.5 | % | 23.5 | % | 69.3 | % | 30.7 | % | -0.7 | % | 0.7 | % | -1.4 | % | 1.4 | % | 77.2 | % | 22.8 | % | 70.7 | % | 29.3 | % |
(1) | The Mall at Prince Georges is classified as a redevelopment property and is not included in the weighted average. |
PAGE 31
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Enclosed Malls (Includes Non-Anchor Owned Space) |
Q404 | % Change | Q403 | |||||||||||||||||||||||||||||||||||||||||||
Avg Base Rent psf(1) | Avg % Rent psf(1) | Additional Charges psf | Avg Comp Sales psf (2) | Occup. Cost Ratio | Avg Base Rent psf | Avg % Rent psf | Additional Charges psf | Avg Comp Sales psf | Occup. Cost Ratio | Avg Base Rent psf(1) | Avg % Rent psf (1) | Additional Charges psf | Avg Comp Sales psf(2) | Occup. Cost Ratio | |||||||||||||||||||||||||||||||
Beaver Valley Mall | $ | 16.33 | $ | 0.54 | $ | 6.45 | $ | 242 | 9.64 | % | -4.2 | % | 17.3 | % | 22.8 | % | 1.7 | % | 0.1 | % | $ | 17.05 | $ | 0.46 | $ | 5.25 | $ | 238 | 9.57 | % | |||||||||||||||
Capital City | 22.44 | 0.93 | 6.66 | 349 | 8.60 | % | 6.1 | % | -0.2 | % | 16.1 | % | -0.6 | % | 0.7 | % | 21.15 | 0.93 | 5.74 | 351 | 7.93 | % | |||||||||||||||||||||||
Chambersburg Mall | 19.11 | 0.15 | 4.75 | 249 | 9.64 | % | 6.9 | % | -20.6 | % | -4.1 | % | 8.3 | % | -0.4 | % | 17.88 | 0.19 | 4.95 | 230 | 10.01 | % | |||||||||||||||||||||||
Cherry Hill Mall | 36.32 | 0.97 | 17.76 | 434 | 12.69 | % | 4.9 | % | 7.9 | % | 10.3 | % | 3.3 | % | 0.4 | % | 34.63 | 0.90 | 16.10 | 420 | 12.29 | % | |||||||||||||||||||||||
Crossroads Mall | 16.56 | 0.84 | 5.69 | 257 | 8.99 | % | -0.2 | % | -28.8 | % | -5.3 | % | 0.0 | % | -0.3 | % | 16.59 | 1.18 | 6.01 | 257 | 9.25 | % | |||||||||||||||||||||||
Dartmouth Mall | 20.72 | 1.47 | 6.90 | 407 | 7.15 | % | 7.9 | % | 2.8 | % | -11.9 | % | 4.6 | % | -0.2 | % | 19.20 | 1.43 | 7.83 | 389 | 7.31 | % | |||||||||||||||||||||||
Echelon Mall | 22.64 | 0.02 | 9.45 | 217 | 14.80 | % | -1.9 | % | -90.9 | % | -24.4 | % | -3.6 | % | -1.1 | % | 23.07 | 0.20 | 12.50 | 225 | 15.90 | % | |||||||||||||||||||||||
Exton Square Mall | 35.72 | 0.69 | 14.51 | 375 | 13.58 | % | 0.8 | % | 29.8 | % | 11.5 | % | 1.1 | % | 0.4 | % | 35.44 | 0.53 | 13.01 | 371 | 13.20 | % | |||||||||||||||||||||||
Francis Scott Key Mall | 20.96 | 0.49 | 6.80 | 279 | 10.12 | % | 0.1 | % | 23.9 | % | 10.2 | % | 3.3 | % | -0.1 | % | 20.93 | 0.39 | 6.17 | 270 | 10.18 | % | |||||||||||||||||||||||
Jacksonville Mall | 22.02 | 1.47 | 5.43 | 362 | 7.99 | % | 0.2 | % | 34.7 | % | -5.0 | % | 5.2 | % | -0.4 | % | 21.98 | 1.09 | 5.72 | 344 | 8.37 | % | |||||||||||||||||||||||
Laurel Mall | 13.30 | 0.40 | 5.33 | 264 | 7.21 | % | -3.7 | % | -8.9 | % | 0.0 | % | 0.3 | % | -0.2 | % | 13.81 | 0.43 | 5.33 | 263 | 7.45 | % | |||||||||||||||||||||||
Lehigh Valley Mall | 31.47 | 0.60 | 9.69 | 448 | 9.32 | % | 4.4 | % | -11.5 | % | 2.2 | % | 1.8 | % | 0.2 | % | 30.13 | 0.68 | 9.49 | 440 | 9.16 | % | |||||||||||||||||||||||
Logan Valley Mall | 20.73 | 1.59 | 7.67 | 305 | 9.83 | % | -2.9 | % | 23.1 | % | 16.2 | % | 2.7 | % | 0.0 | % | 21.36 | 1.29 | 6.60 | 297 | 9.85 | % | |||||||||||||||||||||||
Lycoming Mall | 14.98 | 0.95 | 5.11 | 259 | 8.12 | % | 6.7 | % | -26.8 | % | 6.8 | % | 6.1 | % | -0.1 | % | 14.04 | 1.29 | 4.79 | 244 | 8.25 | % | |||||||||||||||||||||||
Magnolia Mall | 24.83 | 0.39 | 9.54 | 307 | 11.32 | % | 3.2 | % | -47.1 | % | 11.6 | % | -1.3 | % | 0.6 | % | 24.07 | 0.74 | 8.55 | 311 | 10.72 | % | |||||||||||||||||||||||
Moorestown Mall | 24.89 | 1.00 | 13.84 | 370 | 10.74 | % | 0.7 | % | 38.7 | % | -2.1 | % | 12.1 | % | -1.3 | % | 24.72 | 0.72 | 14.14 | 330 | 11.99 | % | |||||||||||||||||||||||
New River Valley Mall | 19.85 | 0.66 | 4.32 | 249 | 9.97 | % | 3.9 | % | 37.2 | % | -4.7 | % | 8.7 | % | -0.6 | % | 19.10 | 0.48 | 4.54 | 229 | 10.54 | % | |||||||||||||||||||||||
Nittany Mall | 20.56 | 0.82 | 6.78 | 253 | 11.13 | % | 3.7 | % | 14.3 | % | -4.8 | % | -1.2 | % | 0.3 | % | 19.84 | 0.72 | 7.12 | 256 | 10.81 | % | |||||||||||||||||||||||
North Hanover Mall | 19.02 | 1.06 | 6.01 | 262 | 9.96 | % | 3.2 | % | 2.9 | % | -1.6 | % | -4.7 | % | 0.7 | % | 18.42 | 1.03 | 6.11 | 275 | 9.30 | % | |||||||||||||||||||||||
Orlando Fashion Square | 27.45 | 0.16 | 14.40 | 297 | 14.14 | % | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | |||||||||||||||||||||||||||||
Palmer Park Mall | 22.49 | 1.29 | 9.14 | 340 | 9.68 | % | 4.3 | % | 1.4 | % | -1.6 | % | 1.5 | % | 0.1 | % | 21.56 | 1.27 | 9.28 | 335 | 9.58 | % | |||||||||||||||||||||||
Patrick Henry Mall | 31.43 | 2.38 | 11.02 | 441 | 10.17 | % | 3.2 | % | 38.8 | % | 9.8 | % | 6.5 | % | 0.0 | % | 30.46 | 1.72 | 10.04 | 414 | 10.20 | % | |||||||||||||||||||||||
Phillipsburg Mall | 22.19 | 0.78 | 9.28 | 289 | 11.16 | % | 1.2 | % | -12.5 | % | -7.6 | % | 1.4 | % | -0.4 | % | 21.92 | 0.89 | 10.05 | 285 | 11.53 | % | |||||||||||||||||||||||
Plymouth Meeting | 19.21 | 0.28 | 7.91 | 254 | 10.79 | % | 0.7 | % | -29.1 | % | 7.1 | % | -3.8 | % | 0.6 | % | 19.08 | 0.40 | 7.39 | 264 | 10.18 | % | |||||||||||||||||||||||
Schuylkill Mall | 10.43 | 0.23 | 3.20 | 212 | 6.54 | % | 0.7 | % | -20.6 | % | -2.2 | % | 8.2 | % | -0.6 | % | 10.36 | 0.29 | 3.27 | 196 | 7.10 | % | |||||||||||||||||||||||
South Mall | 14.96 | 0.35 | 3.58 | 270 | 7.00 | % | 19.6 | % | -51.9 | % | -16.5 | % | -5.3 | % | 0.8 | % | 12.51 | 0.73 | 4.29 | 285 | 6.15 | % | |||||||||||||||||||||||
The Gallery at Market East | 33.55 | 0.41 | 9.57 | 343 | 12.69 | % | 0.8 | % | -43.2 | % | 4.0 | % | -6.0 | % | 0.9 | % | 33.28 | 0.73 | 9.20 | 365 | 11.84 | % | |||||||||||||||||||||||
The Gallery II at Market East | 29.92 | 1.71 | 3.68 | 421 | 8.39 | % | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | |||||||||||||||||||||||||||||
The Mall at Prince Georges(3) | 24.86 | 1.60 | 13.15 | 373 | 10.62 | % | 6.5 | % | 20.4 | % | 26.8 | % | -3.1 | % | 1.5 | % | 23.35 | 1.33 | 10.37 | 385 | 9.10 | % | |||||||||||||||||||||||
Uniontown Mall | 14.85 | 1.07 | 3.54 | 247 | 7.88 | % | 7.2 | % | 6.9 | % | -14.5 | % | -2.8 | % | 0.4 | % | 13.85 | 1.00 | 4.14 | 254 | 7.47 | % | |||||||||||||||||||||||
Valley Mall | 18.50 | 1.04 | 4.89 | 325 | 7.52 | % | 2.4 | % | 18.5 | % | 2.7 | % | 6.6 | % | -0.3 | % | 18.07 | 0.88 | 4.76 | 305 | 7.77 | % | |||||||||||||||||||||||
Valley View Mall | 22.81 | 0.65 | 13.34 | 309 | 11.91 | % | 5.1 | % | 153.7 | % | 28.9 | % | 1.6 | % | 1.3 | % | 21.71 | 0.25 | 10.36 | 304 | 10.63 | % | |||||||||||||||||||||||
Viewmont Mall | 23.08 | 1.73 | 7.38 | 340 | 9.47 | % | 4.2 | % | 9.1 | % | 2.0 | % | -1.2 | % | 0.5 | % | 22.15 | 1.59 | 7.23 | 344 | 9.00 | % | |||||||||||||||||||||||
Washington Crown Center | 16.46 | 0.16 | 4.71 | 246 | 8.67 | % | 5.5 | % | -77.7 | % | 22.6 | % | 0.0 | % | 0.5 | % | 15.60 | 0.69 | 3.84 | 246 | 8.19 | % | |||||||||||||||||||||||
Willow Grove Park | 38.44 | 0.15 | 19.31 | 409 | 14.16 | % | 2.2 | % | -30.6 | % | -2.9 | % | 3.5 | % | -0.5 | % | 37.60 | 0.22 | 19.88 | 395 | 14.61 | % | |||||||||||||||||||||||
Wiregrass Mall | 21.29 | 0.85 | 6.89 | 269 | 10.79 | % | 2.6 | % | 108.2 | % | -6.0 | % | 2.7 | % | -0.1 | % | 20.75 | 0.41 | 7.33 | 262 | 10.87 | % | |||||||||||||||||||||||
Wyoming Mall | 23.70 | 0.58 | 7.39 | 326 | 9.72 | % | 9.2 | % | 18.8 | % | 3.6 | % | 9.8 | % | -0.2 | % | 21.70 | 0.49 | 7.14 | 297 | 9.87 | % | |||||||||||||||||||||||
Enclosed Malls weighted average(1) | $ | 23.28 | $ | 0.78 | $ | 8.69 | $ | 324 | 10.11 | % | 4.1 | % | 3.3 | % | 4.2 | % | 2.8 | % | 0.1 | % | $ | 22.37 | $ | 0.76 | $ | 8.34 | $ | 315 | 9.99 | % | |||||||||||||||
Wholly Owned Properties(1) | $ | 23.11 | $ | 0.80 | $ | 8.72 | $ | 319 | 10.24 | % | 4.2 | % | 3.9 | % | 4.4 | % | 3.2 | % | 0.1 | % | $ | 22.18 | $ | 0.77 | $ | 8.36 | $ | 309 | 10.14 | % | |||||||||||||||
Partnership Properties | $ | 25.73 | $ | 0.54 | $ | 8.31 | $ | 420 | 8.24 | % | 3.4 | % | -10.7 | % | 2.0 | % | 1.9 | % | 0.1 | % | $ | 24.87 | $ | 0.60 | $ | 8.15 | $ | 412 | 8.16 | % | |||||||||||||||
PRI-managed(1) | $ | 23.11 | $ | 0.80 | $ | 8.72 | $ | 319 | 10.24 | % | 4.2 | % | 3.9 | % | 4.4 | % | 3.2 | % | 0.1 | % | $ | 22.18 | $ | 0.77 | $ | 8.36 | $ | 309 | 10.14 | % | |||||||||||||||
Non PRI-managed | $ | 25.73 | $ | 0.54 | $ | 8.31 | $ | 420 | 8.24 | % | 3.4 | % | -10.7 | % | 2.0 | % | 1.9 | % | 0.1 | % | $ | 24.87 | $ | 0.60 | $ | 8.15 | $ | 412 | 8.16 | % | |||||||||||||||
Same Properties/Existing | $ | 27.04 | $ | 0.63 | $ | 11.30 | $ | 354 | 10.99 | % | 2.2 | % | -1.6 | % | 1.9 | % | 2.0 | % | 0.0 | % | $ | 26.45 | $ | 0.64 | $ | 11.09 | $ | 347 | 10.99 | % | |||||||||||||||
New | $ | 20.59 | $ | 0.89 | $ | 6.83 | $ | 302 | 9.37 | % | 7.8 | % | 4.7 | % | 11.2 | % | 4.8 | % | 0.3 | % | $ | 19.11 | $ | 0.85 | $ | 6.14 | $ | 288 | 9.05 | % | |||||||||||||||
Redevelopment Properties | $ | 24.86 | $ | 1.60 | $ | 13.15 | $ | 373 | 10.62 | % | 6.5 | % | 20.4 | % | 26.8 | % | -3.1 | % | 1.5 | % | $ | 23.35 | $ | 1.33 | $ | 10.37 | $ | 385 | 9.10 | % | |||||||||||||||
Continuing Operations(1) | $ | 23.60 | $ | 0.80 | $ | 8.83 | $ | 326 | 10.20 | % | 4.0 | % | 3.4 | % | 4.2 | % | 2.6 | % | 0.1 | % | $ | 22.69 | $ | 0.77 | $ | 8.48 | $ | 317 | 10.06 | % | |||||||||||||||
Discontinued Operations | $ | 10.43 | $ | 0.23 | $ | 3.20 | $ | 212 | 6.54 | % | 0.7 | % | -20.6 | % | -2.2 | % | 8.2 | % | -0.6 | % | $ | 10.36 | $ | 0.29 | $ | 3.27 | $ | 196 | 7.10 | % |
(1) | Base rent is actual for Q404. Additional charges and % rent are projections for 2004. |
(2) | Average comparable sales for Q403 are actual. |
(3) | The Mall at Prince Georges is classified as a redevelopment property and is not included in the weighted average. |
PAGE 32
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Power Centers | |||||||||||||||||||||||||||
(Includes Non-Anchor Owned Space) | |||||||||||||||||||||||||||
Q404 | % Change | Q403 | |||||||||||||||||||||||||
Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf | Avg Base Rent psf | Avg % Rent psf | Additional Charges psf | Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf | |||||||||||||||||||
Christiana Power Center | $ | 20.52 | $ | — | $ | 1.99 | 4.8 | % | N/A | 2.3 | % | $ | 19.59 | $ | — | $ | 1.95 | ||||||||||
Creekview Shopping Center | 14.37 | — | 2.62 | 0.2 | % | N/A | -8.9 | % | 14.33 | — | 2.87 | ||||||||||||||||
Northeast Tower Center | 14.53 | — | 3.31 | 8.2 | % | N/A | -15.5 | % | 13.43 | — | 3.91 | ||||||||||||||||
Paxton Towne Centre | 16.12 | — | 2.67 | 0.1 | % | N/A | 2.0 | % | 16.10 | — | 2.62 | ||||||||||||||||
The Court at Oxford Valley | 15.37 | — | 3.01 | 1.5 | % | -100.0 | % | -20.2 | % | 15.14 | 0.03 | 3.77 | |||||||||||||||
Red Rose Commons | 13.86 | 0.09 | 2.50 | 2.1 | % | 412.3 | % | -13.6 | % | 13.57 | 0.02 | 2.89 | |||||||||||||||
Whitehall Mall | 10.69 | 0.27 | 3.18 | -0.3 | % | -34.1 | % | 1.9 | % | 10.72 | 0.41 | 3.12 | |||||||||||||||
Metroplex Shopping Center | 17.88 | — | 3.58 | -1.4 | % | N/A | 3.8 | % | 18.13 | — | 3.45 | ||||||||||||||||
Power Centers weighted average | $ | 15.44 | $ | 0.05 | $ | 2.97 | 1.5 | % | -20.5 | % | -6.5 | % | $ | 15.22 | $ | 0.06 | $ | 3.17 | |||||||||
Wholly Owned Properties | $ | 16.17 | $ | — | $ | 2.68 | 3.6 | % | N/A | -7.8 | % | $ | 15.61 | $ | — | $ | 2.90 | ||||||||||
Partnership Properties | $ | 15.04 | $ | 0.07 | $ | 3.13 | 0.4 | % | -22.5 | % | -6.2 | % | $ | 14.98 | $ | 0.09 | $ | 3.33 | |||||||||
PRI-managed | $ | 16.17 | $ | — | $ | 2.68 | 3.6 | % | N/A | -7.8 | % | $ | 15.61 | $ | — | $ | 2.90 | ||||||||||
Non PRI-managed | $ | 15.04 | $ | 0.07 | $ | 3.13 | 0.4 | % | -22.5 | % | -6.2 | % | $ | 14.98 | $ | 0.09 | $ | 3.33 | |||||||||
Same Properties/Existing | $ | 15.44 | $ | 0.05 | $ | 2.97 | 1.5 | % | -20.5 | % | -6.5 | % | $ | 15.22 | $ | 0.06 | $ | 3.17 | |||||||||
New | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||
Redevelopment Properties | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
(1) | Base rent is actual for Q404. Additional charges and % rent are projections for 2004. |
Occupancy | ||||||||||||||||||||||||||||||||||||
Q404 | Change in % Occupancy | Q403 | ||||||||||||||||||||||||||||||||||
Total w/Anchor % Leased | Total w/Anchor % Available | In-Line Anchor) | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line only (Non-Anchor) % Leased | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line only (Non-Anchor) % Leased | In-Line (Non- Anchor) % Available | |||||||||||||||||||||||||
Christiana Power Center | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | ||||||||||||
Creekview Shopping Center | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | ||||||||||||
Northeast Tower Center | 89.7 | % | 10.3 | % | 75.4 | % | 24.6 | % | -10.3 | % | 10.3 | % | -24.6 | % | 24.6 | % | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | ||||||||||||
Paxton Towne Centre | 92.1 | % | 7.9 | % | 87.9 | % | 12.1 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 92.1 | % | 7.9 | % | 87.9 | % | 12.1 | % | ||||||||||||
The Court at Oxford Valley | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 2.9 | % | -2.9 | % | 4.7 | % | -4.7 | % | 97.1 | % | 2.9 | % | 95.3 | % | 4.7 | % | ||||||||||||
Red Rose Commons | 99.2 | % | 0.8 | % | 99.2 | % | 0.8 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 99.2 | % | 0.8 | % | 99.2 | % | 0.8 | % | ||||||||||||
Whitehall Mall | 97.4 | % | 2.6 | % | 94.0 | % | 6.0 | % | -0.3 | % | 0.3 | % | -0.7 | % | 0.7 | % | 97.6 | % | 2.4 | % | 94.7 | % | 5.3 | % | ||||||||||||
Metroplex Shopping Center | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | ||||||||||||
Power Centers weighted average | 96.8 | % | 3.2 | % | 95.0 | % | 5.0 | % | -1.1 | % | 1.1 | % | -1.7 | % | 1.7 | % | 97.9 | % | 2.1 | % | 96.7 | % | 3.3 | % | ||||||||||||
Wholly Owned Properties | 93.9 | % | 6.1 | % | 88.9 | % | 11.1 | % | -3.4 | % | 3.4 | % | -6.2 | % | 6.2 | % | 97.3 | % | 2.7 | % | 95.1 | % | 4.9 | % | ||||||||||||
Partnership Properties | 99.1 | % | 0.9 | % | 98.6 | % | 1.4 | % | 0.7 | % | -0.7 | % | 1.0 | % | -1.0 | % | 98.4 | % | 1.6 | % | 97.6 | % | 2.4 | % | ||||||||||||
PRI-managed | 93.9 | % | 6.1 | % | 88.9 | % | 11.1 | % | -3.4 | % | 3.4 | % | -6.2 | % | 6.2 | % | 97.3 | % | 2.7 | % | 95.1 | % | 4.9 | % | ||||||||||||
Non PRI-managed | 99.1 | % | 0.9 | % | 98.6 | % | 1.4 | % | 0.7 | % | -0.7 | % | 1.0 | % | -1.0 | % | 98.4 | % | 1.6 | % | 97.6 | % | 2.4 | % | ||||||||||||
Same Properties | 96.8 | % | 3.2 | % | 95.0 | % | 5.0 | % | -1.1 | % | 1.1 | % | -1.7 | % | 1.7 | % | 97.9 | % | 2.1 | % | 96.7 | % | 3.3 | % | ||||||||||||
New | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||
Redevelopment Properties | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
PAGE 33
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Strip Centers | ||||||||||||||||||||||||||||||
(Includes Non-Anchor Owned Space) | ||||||||||||||||||||||||||||||
Q404 | % Change | Q403 | ||||||||||||||||||||||||||||
Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf | Avg Base Rent psf | Avg % Rent psf | Additional Charges psf | Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf | ||||||||||||||||||||||
Crest Plaza Shopping Center | $ | 16.00 | $ | — | $ | 1.89 | 4.4 | % | N/A | -30.6 | % | $ | 15.32 | $ | — | $ | 2.72 | |||||||||||||
Festival at Exton | 16.97 | — | 3.56 | 1.6 | % | N/A | -16.1 | % | 16.71 | — | 4.24 | |||||||||||||||||||
The Commons at Magnolia | 13.18 | — | 1.87 | 2.2 | % | -100.0 | % | 14.6 | % | 12.89 | 0.03 | 1.63 | ||||||||||||||||||
South Blanding Village | 9.38 | — | 2.32 | 4.4 | % | N/A | 8.6 | % | 8.99 | — | 2.14 | |||||||||||||||||||
Springfield Park I & II | 17.71 | — | 4.79 | 0.3 | % | N/A | -7.9 | % | 17.66 | — | 5.21 | |||||||||||||||||||
Strip Centers weighted average | $ | 15.13 | $ | — | $ | 2.81 | 2.4 | % | -100.0 | % | -13.4 | % | $ | 14.77 | $ | 0.01 | $ | 3.25 | ||||||||||||
Wholly Owned Properties | $ | 14.75 | $ | — | $ | 2.52 | 3.0 | % | -100.0 | % | -14.3 | % | $ | 14.32 | $ | 0.01 | $ | 2.94 | ||||||||||||
Partnership Properties | $ | 17.71 | $ | — | $ | 4.79 | 0.3 | % | N/A | -7.9 | % | $ | 17.66 | $ | — | $ | 5.21 | |||||||||||||
PRI-managed | $ | 15.13 | $ | — | $ | 2.81 | 2.4 | % | -100.0 | % | -13.4 | % | $ | 14.77 | $ | 0.01 | $ | 3.25 | ||||||||||||
Non PRI-managed | 0.0 | % | 0.0 | % | 0.0 | % | N/A | N/A | N/A | $ | — | $ | — | $ | — | |||||||||||||||
Same Properties/Existing | $ | 15.13 | $ | — | $ | 2.81 | 2.4 | % | -100.0 | % | -13.4 | % | $ | 14.77 | $ | 0.01 | $ | 3.25 | ||||||||||||
New | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | |||||||||||||||||||||
Redevelopment Properties | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
(1) | Base rent is actual for Q404. Additional charges and % rent are projections for 2004. |
Occupancy | ||||||||||||||||||||||||||||||||||||
Q404 | Change in % Occupancy | Q403 | ||||||||||||||||||||||||||||||||||
Total w/Anchor % Leased | Total w/Anchor % Available | In-Line Anchor) | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line Anchor) | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line only (Non- Anchor) % Leased | In-Line (Non- Anchor) % Available | |||||||||||||||||||||||||
Crest Plaza Shopping Center | 98.1 | % | 1.9 | % | 96.4 | % | 3.6 | % | 12.3 | % | -12.3 | % | 21.1 | % | -21.1 | % | 85.8 | % | 14.2 | % | 75.3 | % | 24.7 | % | ||||||||||||
Festival at Exton | 94.0 | % | 6.0 | % | 89.7 | % | 10.3 | % | -1.5 | % | 1.5 | % | -2.6 | % | 2.6 | % | 95.5 | % | 4.5 | % | 92.3 | % | 7.7 | % | ||||||||||||
The Commons at Magnolia | 100.0 | % | 0.0 | % | 100.0 | % | 0.0 | % | 2.4 | % | -2.4 | % | 4.7 | % | -4.7 | % | 97.6 | % | 2.4 | % | 95.3 | % | 4.7 | % | ||||||||||||
South Blanding Village | 96.8 | % | 3.2 | % | 89.6 | % | 10.4 | % | -0.6 | % | 0.6 | % | -1.8 | % | 1.8 | % | 97.4 | % | 2.6 | % | 91.4 | % | 8.6 | % | ||||||||||||
Springfield Park I & II | 90.9 | % | 9.1 | % | 73.5 | % | 26.5 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 90.9 | % | 9.1 | % | 73.5 | % | 26.5 | % | ||||||||||||
Strip Centers weighted average | 95.7 | % | 4.3 | % | 90.6 | % | 9.4 | % | 2.2 | % | -2.2 | % | 4.6 | % | -4.6 | % | 93.5 | % | 6.5 | % | 86.0 | % | 14.0 | % | ||||||||||||
Wholly Owned Properties | 97.0 | % | 3.0 | % | 93.8 | % | 6.2 | % | 2.8 | % | -2.8 | % | 5.4 | % | -5.4 | % | 94.2 | % | 5.8 | % | 88.4 | % | 11.6 | % | ||||||||||||
Partnership Properties | 90.9 | % | 9.1 | % | 73.5 | % | 26.5 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 90.9 | % | 9.1 | % | 73.5 | % | 26.5 | % | ||||||||||||
PRI-managed | 95.7 | % | 4.3 | % | 90.6 | % | 9.4 | % | 2.2 | % | -2.2 | % | 4.6 | % | -4.6 | % | 93.5 | % | 6.5 | % | 86.0 | % | 14.0 | % | ||||||||||||
Non PRI-managed | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||
Same Properties | 95.7 | % | 4.3 | % | 90.6 | % | 9.4 | % | 2.2 | % | -2.2 | % | 4.6 | % | -4.6 | % | 93.5 | % | 6.5 | % | 86.0 | % | 14.0 | % | ||||||||||||
New | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||
Redevelopment Properties | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
PAGE 34
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Retail Portfolio | |||||||||||||||||||||||||||
(Includes Non-Anchor Owned Space) | |||||||||||||||||||||||||||
Q404 | % Change | Q403 | |||||||||||||||||||||||||
Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf (1) | Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf (1) | Avg Base Rent psf (1) | Avg % Rent psf (1) | Additional Charges psf (1) | |||||||||||||||||||
Enclosed Malls weighted average | $ | 23.28 | $ | 0.78 | $ | 8.69 | 4.1 | % | 3.3 | % | 4.2 | % | $ | 22.18 | $ | 0.77 | $ | 8.36 | |||||||||
Power Centers weighted average | $ | 15.44 | $ | 0.05 | $ | 2.97 | 1.5 | % | -20.5 | % | -6.5 | % | $ | 15.22 | $ | 0.06 | $ | 3.17 | |||||||||
Strip Centers weighted average | $ | 15.13 | $ | — | $ | 2.81 | 2.4 | % | -100.0 | % | -13.4 | % | $ | 14.77 | $ | 0.01 | $ | 3.25 | |||||||||
Retail Portfolio weighted average(2) | $ | 21.82 | $ | 0.65 | $ | 7.63 | 4.0 | % | 3.8 | % | 3.9 | % | $ | 20.98 | $ | 0.62 | $ | 7.34 | |||||||||
Wholly Owned Properties(2) | $ | 22.44 | $ | 0.73 | $ | 8.16 | 4.4 | % | 4.7 | % | 4.4 | % | $ | 21.50 | $ | 0.69 | $ | 7.82 | |||||||||
Partnership Properties | $ | 18.62 | $ | 0.22 | $ | 4.87 | 1.3 | % | -14.7 | % | -2.5 | % | $ | 18.38 | $ | 0.26 | $ | 5.00 | |||||||||
PRI-managed(2) | $ | 22.42 | $ | 0.72 | $ | 8.15 | 4.4 | % | 4.7 | % | 4.4 | % | $ | 21.49 | $ | 0.69 | $ | 7.81 | |||||||||
Non PRI-managed | $ | 18.64 | $ | 0.23 | $ | 4.87 | 1.3 | % | -14.7 | % | -2.4 | % | $ | 18.39 | $ | 0.27 | $ | 4.99 | |||||||||
Same Properties/Existing | $ | 22.94 | $ | 0.42 | $ | 8.36 | 2.0 | % | -2.7 | % | 0.4 | % | $ | 22.50 | $ | 0.44 | $ | 8.32 | |||||||||
New | $ | 20.59 | $ | 0.89 | $ | 6.83 | 7.8 | % | 4.7 | % | 11.2 | % | $ | 19.11 | $ | 0.85 | $ | 6.14 | |||||||||
Redevelopment Properties | $ | 24.86 | $ | 1.60 | $ | 13.15 | 6.5 | % | 20.4 | % | 26.8 | % | $ | 23.35 | $ | 1.33 | $ | 10.37 |
(1) | Base rent is actual for Q404. Additional charges and % rent are projections for 2004. |
(2) | The Mall at Prince Georges is classified as Redevelopment Property and is not included in the weighted average. |
(Includes Only Owned Space)
Occupancy | ||||||||||||||||||||||||||||||||||||
Q404 | Change in % Occupancy | Q403 | ||||||||||||||||||||||||||||||||||
Total w/Anchor % Leased | Total w/Anchor % Available | In-Line Anchor) | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line only (Non- Anchor) % Leased | In-Line (Non- Anchor) % Available | Total w/Anchor % Leased | Total w/Anchor % Available | In-Line only (Non- Anchor) % Leased | In-Line (Non- Anchor) % Available | |||||||||||||||||||||||||
Enclosed Malls weighted average | 90.7 | % | 9.3 | % | 87.2 | % | 12.8 | % | -0.2 | % | 0.2 | % | -1.8 | % | 1.8 | % | 90.8 | % | 9.2 | % | 89.0 | % | 11.0 | % | ||||||||||||
Power Centers weighted average | 96.8 | % | 3.2 | % | 95.0 | % | 5.0 | % | -1.1 | % | 1.1 | % | -1.7 | % | 1.7 | % | 97.9 | % | 2.1 | % | 96.7 | % | 3.3 | % | ||||||||||||
Strip Centers weighted average | 95.7 | % | 4.3 | % | 90.6 | % | 9.4 | % | 2.2 | % | -2.2 | % | 4.6 | % | -4.6 | % | 93.5 | % | 6.5 | % | 86.0 | % | 14.0 | % | ||||||||||||
Retail Portfolio weighted average(1) | 91.6 | % | 8.4 | % | 88.4 | % | 11.6 | % | -0.3 | % | 0.3 | % | -1.7 | % | 1.7 | % | 91.8 | % | 8.2 | % | 90.1 | % | 9.9 | % | ||||||||||||
Wholly Owned Properties(1) | 90.8 | % | 9.2 | % | 87.4 | % | 12.6 | % | -0.3 | % | 0.3 | % | -1.9 | % | 1.9 | % | 91.1 | % | 8.9 | % | 89.3 | % | 10.7 | % | ||||||||||||
Partnership Properties | 96.6 | % | 3.4 | % | 94.4 | % | 5.6 | % | -0.1 | % | 0.1 | % | -0.1 | % | 0.1 | % | 96.6 | % | 3.4 | % | 94.5 | % | 5.5 | % | ||||||||||||
PRI-managed(1) | 90.8 | % | 9.2 | % | 87.3 | % | 12.7 | % | -0.3 | % | 0.3 | % | -1.9 | % | 1.9 | % | 91.1 | % | 8.9 | % | 89.2 | % | 10.8 | % | ||||||||||||
Non PRI-managed | 96.8 | % | 3.2 | % | 94.9 | % | 5.1 | % | -0.1 | % | 0.1 | % | -0.1 | % | 0.1 | % | 96.9 | % | 3.1 | % | 95.0 | % | 5.0 | % | ||||||||||||
Same Properties/Existing | 89.7 | % | 10.3 | % | 88.7 | % | 11.3 | % | -0.2 | % | 0.2 | % | -1.7 | % | 1.7 | % | 89.9 | % | 10.1 | % | 90.4 | % | 9.6 | % | ||||||||||||
New | 93.3 | % | 6.7 | % | 88.1 | % | 11.9 | % | -0.5 | % | 0.5 | % | -1.6 | % | 1.6 | % | 93.9 | % | 6.1 | % | 89.8 | % | 10.2 | % | ||||||||||||
Redevelopment Properties | 97.1 | % | 2.9 | % | 93.2 | % | 6.8 | % | 8.4 | % | -8.4 | % | 0.2 | % | -0.2 | % | 88.8 | % | 11.2 | % | 93.0 | % | 7.0 | % |
(1) | The Mall at Prince Georges is classified as Redevelopment Property and is not included in the weighted average. |
* | Westgate Anchor Pad consists of a 108,100 sf. Bon-Ton Store for which PREIT receives $307,003/yr ($2.84/sf) and is not included in the Occupancy and Rent reports. |
PAGE 35
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
PREIT Services, LLC/ PREIT-RUBIN Inc.
PREIT Services, LLC and PREIT-RUBIN Inc. are the Trust’s arms for comprehensive development and management of retail and commercial properties. PREIT-RUBIN Inc. provides third party management for 15 properties representing approximately 4.0 million gross leasable square feet. PREIT-RUBIN Inc. also provides third party owners with a full complement of management, leasing, asset management and development services.
SUMMARY OF PORTFOLIO SERVICES
December 31, 2004 | September 30, 2004 | NET GAIN (LOSS) IN CONTRACTS | ||||||||||||||||||||||||||||||||||||||
Retail | Office/ Industrial | TOTAL | Retail | Office/ Industrial | TOTAL | Retail | Office/ Industrial | TOTAL | ||||||||||||||||||||||||||||||||
# | sq ft | # | sq ft | # | sq ft | # | sq ft | # | sq ft | # | sq ft | # | sq ft | # | sq ft | # | sq ft | |||||||||||||||||||||||
Managed Portfolio | ||||||||||||||||||||||||||||||||||||||||
PREIT-Owned(1) | 43 | 28,072,299 | 4 | 254,791 | 47 | 28,327,090 | 42 | 26,885,354 | 4 | 254,791 | 46 | 27,140,145 | 1 | 1,186,945 | — | — | 1 | 1,186,945 | ||||||||||||||||||||||
Non-PREIT Owned (2) | 10 | 2,621,455 | 3 | 757,238 | 13 | 3,378,693 | 11 | 2,770,188 | 3 | 757,238 | 14 | 3,527,426 | (1 | ) | (148,733 | ) | — | — | (1 | ) | (148,733 | ) | ||||||||||||||||||
TOTAL | 53 | 30,693,754 | 7 | 1,012,029 | 60 | 31,705,783 | 53 | 29,655,542 | 7 | 1,012,029 | 60 | 30,667,571 | — | 1,038,212 | — | — | — | 1,038,212 | ||||||||||||||||||||||
Leased Portfolio | ||||||||||||||||||||||||||||||||||||||||
PREIT-Owned | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||
Non-PREIT Owned | 1 | 503,716 | 1 | 119,482 | 2 | 623,198 | 1 | 503,716 | 1 | 119,482 | 2 | 623,198 | — | — | — | — | — | — | ||||||||||||||||||||||
TOTAL | 1 | 503,716 | 1 | 119,482 | 2 | 623,198 | 1 | 503,716 | 1 | 119,482 | 2 | 623,198 | — | — | — | — | — | — | ||||||||||||||||||||||
Asset Managed Portfolio | ||||||||||||||||||||||||||||||||||||||||
PREIT-Owned(1) | 6 | 4,078,844 | — | — | 6 | 4,078,844 | 6 | 4,081,249 | — | — | 6 | 4,081,249 | — | (2,405 | ) | — | — | — | (2,405 | ) | ||||||||||||||||||||
Non-PREIT Owned | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||
TOTAL | 6 | 4,078,844 | — | — | 6 | 4,078,844 | 6 | 4,081,249 | — | — | 6 | 4,081,249 | — | (2,405 | ) | — | — | — | (2,405 | ) | ||||||||||||||||||||
Total Portfolio | ||||||||||||||||||||||||||||||||||||||||
PREIT-Owned | 49 | 32,151,143 | 4 | 254,791 | 53 | 32,405,934 | 48 | 30,966,603 | 4 | 254,791 | 52 | 31,221,394 | 1 | 1,184,540 | — | — | 1 | 1,184,540 | ||||||||||||||||||||||
Non-PREIT Owned | 11 | 3,125,171 | 4 | 876,720 | 15 | 4,001,891 | 12 | 3,273,904 | 4 | 876,720 | 16 | 4,150,624 | (1 | ) | (148,733 | ) | — | — | (1 | ) | (148,733 | ) | ||||||||||||||||||
TOTAL | 60 | 35,276,314 | 8 | 1,131,511 | 68 | 36,407,825 | 60 | 34,240,507 | 8 | 1,131,511 | 68 | 35,372,018 | — | 1,035,807 | — | — | — | 1,035,807 | ||||||||||||||||||||||
(1) | The increase in a result of the acquisition of Orlando Fashion Square in Orlando, Florida. |
(2) | The decrease in a result of the sale of Fairfield Mall in Chicopee, Massachusetts |
PAGE 36
Pennsylvania REIT
FLASH REPORT (December 31, 2004)
QUARTERLY COMPARISON
Financial Statement
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||
Malls | Power and Strip Centers | Retail | Corporate/ Other Properties | TOTAL | % Change | Retail | Multifamily | Corporate/ Other Properties | TOTAL | ||||||||||||||||||||||||||||||
Real Estate Revenues: | |||||||||||||||||||||||||||||||||||||||
Same Store | 48,107,345 | 9,872,159 | $ | 57,979,504 | $ | 102,689 | $ | 58,082,193 | -2.0 | % | $ | 59,197,705 | $ | — | $ | 84,770 | $ | 59,282,475 | |||||||||||||||||||||
New | 55,912,122 | — | 55,912,122 | — | 55,912,122 | N/A | 23,435,410 | — | — | 23,435,410 | |||||||||||||||||||||||||||||
Redevelopment | 4,614,269 | — | 4,614,269 | — | 4,614,269 | N/A | 3,805,221 | — | — | 3,805,221 | |||||||||||||||||||||||||||||
Discontinued Operations | (270,922 | ) | — | (270,922 | ) | — | (270,922 | ) | -107.5 | % | 3,616,211 | 2,248 | — | 3,618,459 | |||||||||||||||||||||||||
Total Real Estate Revenues | 108,362,814 | 9,872,159 | 118,234,973 | 102,689 | 118,337,662 | 31.3 | % | 90,054,546 | 2,248 | 84,770 | 90,141,564 | ||||||||||||||||||||||||||||
Operating Expenses: | |||||||||||||||||||||||||||||||||||||||
Same Store | 17,329,160 | 2,317,460 | 19,646,620 | 14,515 | 19,661,135 | -6.4 | % | 21,003,277 | — | 2,890 | 21,006,167 | ||||||||||||||||||||||||||||
New | 19,843,851 | — | 19,777,668 | — | 19,777,668 | N/A | 7,649,713 | — | — | 7,649,713 | |||||||||||||||||||||||||||||
Redevelopment | 2,081,320 | — | 2,081,320 | — | 2,081,320 | N/A | 1,379,499 | — | — | 1,379,499 | |||||||||||||||||||||||||||||
Discontinued Operations | (22,049 | ) | — | (20,766 | ) | (20,766 | ) | -101.3 | % | 1,581,762 | 14,504 | 1,596,266 | |||||||||||||||||||||||||||
Total Operating Expenses | 39,232,282 | 2,317,460 | 41,484,842 | 14,515 | 41,499,357 | 31.2 | % | 31,614,251 | 14,504 | 2,890 | 31,631,645 | ||||||||||||||||||||||||||||
NOI: | |||||||||||||||||||||||||||||||||||||||
Same Store | 30,778,185 | 7,554,699 | 38,332,884 | 88,174 | 38,421,058 | 0.4 | % | 38,194,428 | — | 81,880 | 38,276,308 | ||||||||||||||||||||||||||||
New | 36,068,271 | — | 36,134,454 | — | 36,134,454 | N/A | 15,785,697 | — | — | 15,785,697 | |||||||||||||||||||||||||||||
Redevelopment | 2,532,949 | — | 2,532,949 | — | 2,532,949 | N/A | 2,425,722 | — | — | 2,425,722 | |||||||||||||||||||||||||||||
Discontinued Operations | (248,873 | ) | — | (250,156 | ) | — | (250,156 | ) | -112.4 | % | 2,034,449 | (12,256 | ) | 2,022,193 | |||||||||||||||||||||||||
NOI | 69,130,532 | 7,554,699 | 76,750,131 | 88,174 | 76,838,305 | 31.3 | % | 58,440,295 | (12,256 | ) | 81,880 | 58,509,919 | |||||||||||||||||||||||||||
OTHER INCOME (EXPENSES): | |||||||||||||||||||||||||||||||||||||||
Management Company Revenue | — | — | — | 4,072,413 | 4,072,413 | 11.2 | % | — | — | 3,662,141 | 3,662,141 | ||||||||||||||||||||||||||||
Interest Income | — | — | — | 161,323 | 161,323 | -51.7 | % | — | — | 334,319 | 334,319 | ||||||||||||||||||||||||||||
General & Administrative | — | — | |||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | — | — | — | (7,466,438 | ) | (7,466,438 | ) | -27.2 | % | — | — | (10,261,792 | ) | (10,261,792 | ) | ||||||||||||||||||||||||
Other G&A Expenses | — | — | — | (3,725,032 | ) | (3,725,032 | ) | -51.0 | % | — | — | (7,597,474 | ) | (7,597,474 | ) | ||||||||||||||||||||||||
EARNINGS BEFORE INTEREST EXPENSES, TAXES, DEPRECIATION AND AMORTIZATION | 69,130,532 | 7,554,699 | 76,750,131 | (6,869,560 | ) | 69,880,571 | 56.5 | % | 58,440,295 | (12,256 | ) | (13,780,926 | ) | 44,647,113 | |||||||||||||||||||||||||
Interest Expense | (17,047,358 | ) | (1,916,563 | ) | (18,963,921 | ) | (1,890,539 | ) | (20,854,460 | ) | 27.7 | % | (15,298,177 | ) | — | (1,033,909 | ) | (16,332,086 | ) | ||||||||||||||||||||
Depreciation and Amortization | (23,111,852 | ) | (3,983,867 | ) | (27,095,719 | ) | (298,522 | ) | (27,394,241 | ) | 41.7 | % | (19,185,241 | ) | — | (153,990 | ) | (19,339,231 | ) | ||||||||||||||||||||
Gain (adjustment to gains) on Sale of Interests in RE | (45,001 | ) | (45,001 | ) | N/A | — | 4,457,176 | — | 4,457,176 | ||||||||||||||||||||||||||||||
DISCONTINUED OPERATIONS | |||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | N/A | — | — | — | — | |||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | — | (23,513 | ) | (23,513 | ) | N/A | — | — | (580,392 | ) | (580,392 | ) | |||||||||||||||||||||||||||
Gain (adjustment to gains) on Disposition of Discontinued Operations | — | — | N/A | — | 194,441 | — | 194,441 | ||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | — | (23,513 | ) | (23,513 | ) | N/A | — | 194,441 | (580,392 | ) | (385,951 | ) | |||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | — | (64,900 | ) | -81.3 | % | (346,548 | ) | — | — | (346,548 | ) | ||||||||||||||||||||||||||
Minority Interest of O.P. Unit Holders | — | (2,333,949 | ) | (2,333,949 | ) | 94.7 | % | — | — | (1,198,594 | ) | (1,198,594 | ) | ||||||||||||||||||||||||||
NET INCOME | 28,971,322 | 1,654,269 | 30,645,490 | (11,416,083 | ) | 19,164,507 | 66.6 | % | 23,956,877 | 4,639,361 | (16,747,811 | ) | 11,501,879 | ||||||||||||||||||||||||||
Gain on Sale of Real Estate | 45,001 | — | 45,001 | N/A | — | (4,651,617 | ) | — | (4,651,617 | ) | |||||||||||||||||||||||||||||
Depreciation and Amor. of Real Estate | 23,045,941 | 3,983,867 | 27,029,808 | (52,460 | ) | 26,977,348 | -240.8 | % | (19,148,187 | ) | — | (12,540 | ) | (19,160,727 | ) | ||||||||||||||||||||||||
Dividends on preferred shares | (3,403,125 | ) | (3,403,125 | ) | N/A | — | — | (1,533,000 | ) | (1,533,000 | ) | ||||||||||||||||||||||||||||
FFO Adjustments | — | 2,357,462 | 2,357,462 | -94.1 | % | — | — | 40,035,440 | 40,035,440 | ||||||||||||||||||||||||||||||
FFO | 52,017,263 | 5,638,136 | 57,720,299 | (12,514,206 | ) | 45,141,193 | 72.3 | % | 4,808,690 | (12,256 | ) | 21,742,089 | 26,191,975 | ||||||||||||||||||||||||||
Adj. Straight Lining of Base Rents | (1,237,977 | ) | (136,785 | ) | (1,374,762 | ) | — | (1,374,762 | ) | 30.3 | % | (1,055,305 | ) | — | — | (1,055,305 | ) | ||||||||||||||||||||||
Recurring Capital Expenditures | (3,989,314 | ) | — | (3,989,314 | ) | 354.9 | % | (876,942 | ) | — | (876,942 | ) | |||||||||||||||||||||||||||
Tenant allowances | (9,164,115 | ) | (9,164,115 | ) | N/A | (1,265,392 | ) | (1,265,392 | ) | ||||||||||||||||||||||||||||||
Amortization of debt premium | (4,811,196 | ) | (4,811,196 | ) | 64.0 | % | (2,933,065 | ) | (2,933,065 | ) | |||||||||||||||||||||||||||||
Amortization of above-and below market lease intangibles | 115,172 | 115,172 | N/A | 167,000 | — | — | 167,000 | ||||||||||||||||||||||||||||||||
FAD | $ | 50,779,286 | $ | 5,501,351 | $ | 38,496,084 | (12,514,206 | ) | $ | 25,916,978 | 28.1 | % | -$ | 1,155,014 | -$ | 12,256 | 21,742,089 | $ | 20,228,271 | ||||||||||||||||||||
Total Dividends | $ | 21,782,545 | 40.2 | % | $ | 15,534,398 | |||||||||||||||||||||||||||||||||
Share Price (at close) | $ | 42.80 | 17.9 | % | $ | 36.30 | |||||||||||||||||||||||||||||||||
Weighted Average Number of Shares | 35,818,787 | 24.4 | % | 28,786,801 | |||||||||||||||||||||||||||||||||||
WA number of Shares and O.P. Units | 40,244,661 | 26.8 | % | 31,744,396 | |||||||||||||||||||||||||||||||||||
Net Income per Share (basic) | $ | 0.43 | 22.9 | % | $ | 0.35 | |||||||||||||||||||||||||||||||||
FFO/Share and O.P. Units | $ | 1.12 | 35.9 | % | $ | 0.83 | |||||||||||||||||||||||||||||||||
FAD/Share and O.P. Units | $ | 0.64 | 1.1 | % | $ | 0.64 | |||||||||||||||||||||||||||||||||
Dividend/Share and O.P. Units | �� | $ | 0.54 | 0.0 | % | $ | 0.54 |
Balance Sheet
Q4 04 | Q4 03 | |||||||||||||||||||||||||||||||||||||
Retail | Corporate/ Other Properties | Total | % Change | Retail | Multifamily | Corporate/ Other Properties | Total | |||||||||||||||||||||||||||||||
Investment in Real Estate, at cost | $ | 2,336,629,574 | $ | 313,078,795 | $ | 2,649,708,369 | $ | 25,861,672 | $ | 2,675,570,041 | 5.1 | % | $ | 2,515,861,018 | $ | 0 | $ | 29,845,672 | $ | 2,545,706,690 | ||||||||||||||||||
Accumulated Depreciation | (135,017,071 | ) | (47,764,970 | ) | (182,782,041 | ) | (2,126,931 | ) | (184,908,972 | ) | 68.0 | % | (107,991,580 | ) | — | (2,076,771 | ) | (110,068,351 | ) | |||||||||||||||||||
Advances to Partnerships | — | — | — | — | — | N/A | — | — | — | — | ||||||||||||||||||||||||||||
Other Assets | 245,133,703 | 28,403,275 | 273,536,978 | 63,296,562 | 336,833,540 | -7.3 | % | 295,585,275 | — | 67,949,016 | 363,534,291 | |||||||||||||||||||||||||||
Total Assets | $ | 2,446,746,206 | $ | 293,717,100 | $ | 2,740,463,306 | $ | 87,031,303 | $ | 2,827,494,609 | 1.0 | % | $ | 2,703,454,713 | $ | 0 | $ | 95,717,917 | $ | 2,799,172,630 | ||||||||||||||||||
Mortgage Notes | 1,220,531,409 | 105,595,591 | $ | 1,326,127,000 | $ | — | $ | 1,326,127,000 | -5.0 | % | $ | 1,396,262,538 | $ | 0 | $ | — | $ | 1,396,262,538 | ||||||||||||||||||||
Line of Credit | — | — | — | 271,000,000 | 271,000,000 | N/A | — | — | 170,000,000 | 170,000,000 | ||||||||||||||||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | N/A | — | — | — | — | ||||||||||||||||||||||||||||
Other Liabilities | 45,547,446 | 5,723,480 | 51,270,926 | 42,661,764 | 93,932,690 | -2.8 | % | 51,945,310 | — | 44,679,642 | 96,624,952 | |||||||||||||||||||||||||||
Total Liabilities | $ | 1,266,078,855 | $ | 111,319,071 | $ | 1,377,397,926 | $ | 313,661,764 | $ | 1,691,059,690 | 1.7 | % | $ | 1,448,207,848 | $ | 0 | $ | 214,679,642 | $ | 1,662,887,490 | ||||||||||||||||||
Minority Interest | $ | 3,584,992 | $ | 0 | $ | 3,584,992 | $ | 128,383,925 | $ | 131,968,917 | 17.1 | % | $ | 8,590,979 | — | $ | 104,060,548 | $ | 112,651,527 | |||||||||||||||||||
Total Shareholders Equity | — | — | — | 1,004,466,002 | 1,004,466,002 | -1.9 | % | — | — | 1,023,633,613 | 1,023,633,613 | |||||||||||||||||||||||||||
Total Liabilities and Shareholder Equity | $ | 1,269,663,847 | $ | 111,319,071 | $ | 1,380,982,918 | $ | 1,446,511,691 | $ | 2,827,494,609 | 1.0 | % | $ | 1,456,798,827 | $ | 0 | $ | 1,342,373,803 | $ | 2,799,172,630 | ||||||||||||||||||
Ratios | ||||||||||||||||||||||||||||||||||||||
Q4 04 | Change | Q4 03 | ||||||||||||||||||||||||||||||||||||
NOI/Investment in Real Estate | 2.9 | % | 0.6 | % | 2.3 | % | ||||||||||||||||||||||||||||||||
Total Dividends/Total FFO | 48.3 | % | -11.1 | % | 59.3 | % | ||||||||||||||||||||||||||||||||
Dividends/FFO per share | 48.1 | % | -17.3 | % | 65.4 | % |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 37
Pennsylvania REIT
FLASH REPORT (December 31, 2004)
YEARLY COMPARISON
Financial Statement
Malls | Power and Strip Centers | CY 2004 (12 months ended 12/31/04) | Malls | Power and Strip Centers | CY 2003 (12 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||
Retail | Corporate/Other Properties | TOTAL | % Change | Retail | Multifamily | Corporate/Other Properties | TOTAL | ||||||||||||||||||||||||||||||||||||||||
Real Estate Revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
Same Store | 46,188,648 | 40,144,766 | $ | 86,333,414 | $ | 394,477 | $ | 86,727,891 | 3.0 | % | 45,168,070 | 38,709,019 | $ | 83,877,089 | $ | — | $ | 339,018 | $ | 84,216,107 | |||||||||||||||||||||||||||
New | 325,792,348 | 1,312,989 | $ | 327,105,337 | — | 327,105,337 | N/A | 107,031,270 | — | $ | 107,031,270 | — | — | 107,031,270 | |||||||||||||||||||||||||||||||||
Redevelopment | 15,417,360 | — | $ | 15,417,360 | — | 15,417,360 | N/A | 13,238,174 | 1,205,398 | $ | 14,443,572 | — | — | 14,443,572 | |||||||||||||||||||||||||||||||||
Discontinued Operations | 17,205,690 | 448,530 | $ | 17,654,220 | — | 17,654,220 | -43.1 | % | 3,433,545 | 715,898 | $ | 4,149,443 | 26,897,382 | — | 31,046,825 | ||||||||||||||||||||||||||||||||
Total Real Estate Revenues | 404,604,046 | 41,906,285 | 446,510,331 | 394,477 | 446,904,808 | 88.8 | % | 168,871,058 | 40,630,315 | 209,501,373 | 26,897,382 | 339,018 | 236,737,773 | ||||||||||||||||||||||||||||||||||
Operating Expenses: | |||||||||||||||||||||||||||||||||||||||||||||||
Same Store | 15,560,903 | 8,202,959 | $ | 23,763,862 | 52,615 | 23,816,477 | 1.2 | % | 15,731,945 | 7,782,719 | $ | 23,514,664 | — | 15,789 | 23,530,453 | ||||||||||||||||||||||||||||||||
New | 126,312,663 | 549,952 | $ | 126,862,615 | — | 126,862,615 | N/A | 43,521,147 | — | $ | 43,521,147 | — | — | 43,521,147 | |||||||||||||||||||||||||||||||||
Redevelopment | 5,449,154 | — | $ | 5,449,154 | — | 5,449,154 | N/A | 4,617,421 | 459,170 | $ | 5,076,591 | — | — | 5,076,591 | |||||||||||||||||||||||||||||||||
Discontinued Operations | 10,241,387 | 148,479 | $ | 10,389,866 | 10,389,866 | -26.7 | % | 1,521,075 | 225,500 | $ | 1,746,575 | 12,430,545 | 14,177,120 | ||||||||||||||||||||||||||||||||||
Total Operating Expenses | 157,564,107 | 8,901,390 | 166,465,497 | 52,615 | 166,518,112 | 92.9 | % | 65,391,588 | 8,467,389 | 73,858,977 | 12,430,545 | 15,789 | 86,305,311 | ||||||||||||||||||||||||||||||||||
NOI: | |||||||||||||||||||||||||||||||||||||||||||||||
Same Store | 30,627,745 | 31,941,807 | 62,569,552 | 341,862 | 62,911,414 | 3.7 | % | 29,436,125 | 30,926,300 | 60,362,425 | — | 323,229 | 60,685,654 | ||||||||||||||||||||||||||||||||||
New | 199,479,685 | 763,037 | 200,242,722 | — | 200,242,722 | N/A | 63,510,123 | — | 63,510,123 | — | — | 63,510,123 | |||||||||||||||||||||||||||||||||||
Redevelopment | 9,968,206 | — | 9,968,206 | — | 9,968,206 | N/A | 8,620,753 | 746,228 | 9,366,981 | — | — | 9,366,981 | |||||||||||||||||||||||||||||||||||
Discontinued Operations | 6,964,303 | 300,051 | 7,264,354 | — | 7,264,354 | -56.9 | % | 1,912,470 | 490,398 | 2,402,868 | 14,466,837 | 16,869,705 | |||||||||||||||||||||||||||||||||||
NOI | 247,039,939 | 33,004,895 | 280,044,834 | 341,862 | 280,386,696 | 86.4 | % | 103,479,470 | 32,162,926 | 135,642,396 | 14,466,837 | 323,229 | 150,432,462 | ||||||||||||||||||||||||||||||||||
OTHER INCOME (EXPENSES): | |||||||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | — | — | — | 9,702,616 | 9,702,616 | -11.6 | % | — | — | — | — | 10,973,015 | 10,973,015 | ||||||||||||||||||||||||||||||||||
Interest Income | — | — | — | 1,026,116 | 1,026,116 | 15.8 | % | — | — | — | — | 885,975 | 885,975 | ||||||||||||||||||||||||||||||||||
General & Administrative | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | — | — | — | (30,057,014 | ) | (30,057,014 | ) | 29.7 | % | — | — | — | — | (23,168,976 | ) | (23,168,976 | ) | ||||||||||||||||||||||||||||||
Other G&A Expenses | — | — | — | (14,612,911 | ) | (14,612,911 | ) | -11.5 | % | — | — | — | — | (16,509,394 | ) | (16,509,394 | ) | ||||||||||||||||||||||||||||||
EARNINGS BEFORE INTEREST EXPENSES, TAXES, DEPRECIATION AND AMORTIZATION | 247,039,939 | 33,004,895 | 280,044,834 | (33,599,331 | ) | 246,445,503 | 101.0 | % | 103,479,470 | 32,162,926 | 135,642,396 | 14,466,837 | (27,496,151 | ) | 122,613,082 | ||||||||||||||||||||||||||||||||
Interest Expense | (69,354,061 | ) | (7,007,441 | ) | (76,361,502 | ) | (7,190,486 | ) | (83,551,988 | ) | 59.6 | % | (32,356,067 | ) | (6,884,843 | ) | (39,240,910 | ) | (5,652,058 | ) | (7,466,709 | ) | (52,359,677 | ) | |||||||||||||||||||||||
Depreciation and Amortization | (90,387,057 | ) | (11,723,452 | ) | (102,110,509 | ) | (981,485 | ) | (103,091,994 | ) | 126.5 | % | (33,206,631 | ) | (9,320,488 | ) | (42,527,119 | ) | (2,454,834 | ) | (540,411 | ) | (45,522,364 | ) | |||||||||||||||||||||||
Gain (adjustment to gains) on Sale of Interests in RE | — | 1,484,182 | 1,484,182 | 1,484,182 | N/A | — | 1,111,692 | 1,111,692 | 15,087,618 | — | 16,199,310 | ||||||||||||||||||||||||||||||||||||
DISCONTINUED OPERATIONS | |||||||||||||||||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | N/A | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unit holders | — | (622,663 | ) | (622,663 | ) | N/A | — | — | (18,848,730 | ) | (18,848,730 | ) | |||||||||||||||||||||||||||||||||||
Gain (adjustment to gains) on Disposition of Discontinued Operations | (550,000 | ) | (550,000 | ) | N/A | 178,121,005 | — | 178,121,005 | |||||||||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | — | — | — | (1,172,663 | ) | (1,172,663 | ) | N/A | — | — | — | 178,121,005 | (18,848,730 | ) | 159,272,275 | ||||||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | (629,599 | ) | — | (629,599 | ) | -27.2 | % | (864,465 | ) | (864,465 | ) | — | — | (864,465 | ) | ||||||||||||||||||||||||||||||
Minority Interest of O.P. Unit Holders | — | (5,695,811 | ) | (5,695,811 | ) | 72.7 | % | — | — | (3,298,010 | ) | (3,298,010 | ) | ||||||||||||||||||||||||||||||||||
NET INCOME | 87,298,821 | 15,758,184 | 102,427,406 | (48,639,776 | ) | 53,787,630 | -72.6 | % | 37,916,772 | 17,069,287 | 54,121,594 | 199,568,568 | (57,650,011 | ) | 196,040,151 | ||||||||||||||||||||||||||||||||
Gain on Sale of Real Estate | (1,484,182 | ) | 550,000 | (934,182 | ) | N/A | (1,111,692 | ) | (193,208,623 | ) | — | (194,320,315 | ) | ||||||||||||||||||||||||||||||||||
Depreciation and Amor. of Real Estate | 90,128,693 | 11,723,452 | 101,852,145 | (209,840 | ) | 101,642,305 | 127.2 | % | 33,169,577 | 9,320,488 | 42,490,065 | 2,454,834 | (208,842 | ) | 44,736,057 | ||||||||||||||||||||||||||||||||
Dividends on preferred shares | (13,612,500 | ) | (13,612,500 | ) | N/A | — | (1,533,000 | ) | (1,533,000 | ) | |||||||||||||||||||||||||||||||||||||
FFO Adjustments | — | 6,318,474 | 6,318,474 | -71.5 | % | — | — | 22,146,740 | 22,146,740 | ||||||||||||||||||||||||||||||||||||||
FFO | 177,427,514 | 27,481,636 | 202,795,369 | (55,593,642 | ) | 147,201,727 | 119.5 | % | 71,086,349 | 26,389,775 | 95,499,967 | 8,814,779 | (37,245,113 | ) | 67,069,633 | ||||||||||||||||||||||||||||||||
Adj. Straight Lining of Base Rents | (4,682,948 | ) | (529,017 | ) | (5,211,965 | ) | — | (5,211,965 | ) | 85.8 | % | (2,039,421 | ) | (766,126 | ) | (2,805,547 | ) | — | — | (2,805,547 | ) | ||||||||||||||||||||||||||
Recurring Capital Expenditures | (8,905,629 | ) | — | (8,905,629 | ) | 311.8 | % | (876,942 | ) | (1,285,473 | ) | — | (2,162,415 | ) | |||||||||||||||||||||||||||||||||
Tenant allowances | (11,660,288 | ) | (11,660,288 | ) | N/A | (1,265,392 | ) | (1,265,392 | ) | ||||||||||||||||||||||||||||||||||||||
Amortization of debt premium | (19,353,621 | ) | (19,353,621 | ) | 225.8 | % | (5,940,175 | ) | (5,940,175 | ) | |||||||||||||||||||||||||||||||||||||
Amortization of above-and below market lease intangibles | 707,192 | 707,192 | N/A | 404,462 | — | — | 404,462 | ||||||||||||||||||||||||||||||||||||||||
FAD | $ | 172,744,566 | $ | 26,952,619 | $ | 158,371,058 | (55,593,642 | ) | $ | 102,777,416 | 85.9 | % | $ | 69,046,928 | $ | 25,623,649 | $ | 85,016,373 | $ | 7,529,306 | (37,245,113 | ) | $ | 55,300,566 | |||||||||||||||||||||||
Total Dividends | $ | 86,384,997 | 84.2 | % | $ | 46,892,620 | |||||||||||||||||||||||||||||||||||||||||
Share Price (at close) | $ | 42.80 | 17.9 | % | $ | 36.30 | |||||||||||||||||||||||||||||||||||||||||
Weighted Average Number of Shares | 35,609,350 | 74.6 | % | 20,389,577 | |||||||||||||||||||||||||||||||||||||||||||
WA number of Shares and O.P. Units | 39,792,409 | 75.4 | % | 22,693,026 | |||||||||||||||||||||||||||||||||||||||||||
Net Income per Share (basic) | $ | 1.11 | -88.4 | % | $ | 9.54 | |||||||||||||||||||||||||||||||||||||||||
FFO/Share and O.P. Units | $ | 3.70 | 25.2 | % | $ | 2.96 | |||||||||||||||||||||||||||||||||||||||||
FAD/Share and O.P. Units | $ | 2.58 | 6.0 | % | $ | 2.44 | |||||||||||||||||||||||||||||||||||||||||
Dividend/Share and O.P. Units | $ | 2.16 | 4.3 | % | $ | 2.07 | |||||||||||||||||||||||||||||||||||||||||
Ratios | |||||||||||||||||||||||||||||||||||||||||||||||
CY 2004 | Change | CY 2003 | |||||||||||||||||||||||||||||||||||||||||||||
NOI/Investment in Real Estate | 10.5 | % | 4.6 | % | 5.9 | % | |||||||||||||||||||||||||||||||||||||||||
Total Dividends/Total FFO | 58.7 | % | -11.2 | % | 69.9 | % | |||||||||||||||||||||||||||||||||||||||||
Dividends/FFO per share | 58.4 | % | -11.6 | % | 70.0 | % |
NOTE: A reconciliation of the proportionate consolidation method to GAAP is included on pages 39 to 44.
PAGE 38
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
BALANCE SHEET-RECONCILIATION TO GAAP
(Wholly Owned vs. JVs)
December 31, 2004 | December 31, 2003 | |||||||||||||||||||||||||||||||||||||||
Combined TOTAL(1) | Adjustments to Equity | Subtotal | Assets Held for Sale | TOTAL | Combined TOTAL(1) | Adjustments to Equity | Subtotal | Assets Held for Sale | TOTAL | |||||||||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||||||||||||||||||
Investments in Real Estate, at cost | ||||||||||||||||||||||||||||||||||||||||
Retail Properties | $ | 2,649,708,369 | $ | (131,343,981 | ) | $ | 2,518,364,388 | $ | (8,108,066 | ) | $ | 2,510,256,322 | $ | 2,515,861,018 | $ | (133,107,107 | ) | $ | 2,382,753,911 | $ | (118,887,475 | ) | $ | 2,263,866,436 | ||||||||||||||||
Multifamily Properties | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||
Industrial Properties | 2,504,211 | — | 2,504,211 | — | 2,504,211 | 2,504,211 | — | 2,504,211 | — | 2,504,211 | ||||||||||||||||||||||||||||||
Lend Held for Development | 9,862,704 | — | 9,862,704 | — | 9,862,704 | 5,604,470 | — | 5,604,470 | — | 5,604,470 | ||||||||||||||||||||||||||||||
Construction In Progress | 13,494,757 | (2,542,307 | ) | 10,952,450 | — | 10,952,450 | 21,736,991 | (1,506,178 | ) | 20,230,813 | — | 20,230,813 | ||||||||||||||||||||||||||||
TOTAL INVESTMENTS IN REAL ESTATE | 2,675,570,041 | (133,886,288 | ) | 2,541,683,753 | (8,108,066 | ) | 2,533,575,687 | 2,545,706,690 | (134,613,285 | ) | 2,411,093,405 | (118,887,475 | ) | 2,292,205,930 | ||||||||||||||||||||||||||
Accumulated Depreciation | (184,908,972 | ) | 34,023,363 | (150,885,609 | ) | — | (150,885,609 | ) | (110,068,351 | ) | 31,652,085 | (78,416,266 | ) | (78,416,266 | ) | |||||||||||||||||||||||||
Net Real Estate | 2,490,661,069 | (99,862,925 | ) | 2,390,798,144 | (8,108,066 | ) | 2,382,690,078 | 2,435,638,339 | (102,961,200 | ) | 2,332,677,139 | (118,887,475 | ) | 2,213,789,664 | ||||||||||||||||||||||||||
Investment in and advances to Partnerships | — | 27,243,862 | 27,243,862 | — | 27,243,862 | — | 29,166,089 | 29,166,089 | — | 29,166,089 | ||||||||||||||||||||||||||||||
2,490,661,069 | (72,619,063 | ) | 2,418,042,006 | (8,108,066 | ) | 2,409,933,940 | 2,435,638,339 | (73,795,111 | ) | 2,361,893,228 | (118,887,475 | ) | 2,242,955,753 | |||||||||||||||||||||||||||
Other Assets: | ||||||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents | 45,949,300 | (5,609,103 | ) | 40,340,197 | — | 40,340,197 | 46,883,041 | (3,905,956 | ) | 42,977,085 | — | 42,977,085 | ||||||||||||||||||||||||||||
Rents and Other Receivables | 42,290,448 | (11,328,239 | ) | 30,962,209 | — | 30,962,209 | 35,665,968 | (7,991,132 | ) | 27,674,836 | — | 27,674,836 | ||||||||||||||||||||||||||||
Assets held for sale | 6,837,914 | — | 6,837,914 | 8,108,066 | 14,945,980 | 37,686,662 | — | 37,686,662 | 118,887,475 | 156,574,137 | ||||||||||||||||||||||||||||||
Intangible Assets(2) | 171,849,678 | — | 171,849,678 | — | 171,849,678 | 181,544,375 | — | 181,544,375 | — | 181,544,375 | ||||||||||||||||||||||||||||||
Deferred Costs, Prepaid Taxes & Exp. & Other Assets | 69,906,200 | (7,550,567 | ) | 62,355,633 | 62,355,633 | 61,754,245 | (11,942,821 | ) | 49,811,424 | — | 49,811,424 | |||||||||||||||||||||||||||||
TOTAL OTHER ASSETS | 336,833,540 | (24,487,909 | ) | 312,345,631 | 8,108,066 | 320,453,697 | 363,534,291 | (23,839,909 | ) | 339,694,382 | 118,887,475 | 458,581,857 | ||||||||||||||||||||||||||||
TOTAL ASSETS | 2,827,494,609 | (97,106,972 | ) | 2,730,387,637 | — | 2,730,387,637 | 2,799,172,630 | (96,079,767 | ) | 2,701,537,610 | — | 2,701,537,610 | ||||||||||||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||||||||||
Mortgage Notes Payable | 1,269,992,376 | (107,513,205 | ) | 1,162,479,171 | (17,399,761 | ) | 1,145,079,410 | 1,320,774,295 | (109,581,659 | ) | 1,211,192,636 | (61,138,707 | ) | 1,150,053,929 | ||||||||||||||||||||||||||
Mortgage Debt Premium(3) | 56,134,624 | — | 56,134,624 | — | 56,134,624 | 75,488,243 | 75,488,243 | (4,361,443 | ) | 71,126,800 | ||||||||||||||||||||||||||||||
Bank Loans Payable | 271,000,000 | — | 271,000,000 | — | 271,000,000 | 170,000,000 | — | 170,000,000 | — | 170,000,000 | ||||||||||||||||||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Assets held for sale | 1,156,442 | — | 1,156,442 | 17,399,761 | 18,556,203 | 5,840,385 | — | 5,840,385 | 65,500,150 | 71,340,535 | ||||||||||||||||||||||||||||||
Other Liabilities(4) | 92,776,248 | 10,406,233 | 103,182,481 | 103,182,481 | 90,784,568 | 11,946,639 | 102,731,207 | — | 102,731,207 | |||||||||||||||||||||||||||||||
TOTAL LIABILITIES | 1,691,059,690 | (97,106,972 | ) | 1,593,952,718 | — | 1,593,952,718 | 1,662,887,491 | (97,635,020 | ) | 1,565,252,471 | — | 1,565,252,471 | ||||||||||||||||||||||||||||
Minority Interest | 131,968,917 | — | 131,968,917 | — | 131,968,917 | 112,651,526 | — | 112,651,526 | — | 112,651,526 | ||||||||||||||||||||||||||||||
Shareholders’ Equity: | ||||||||||||||||||||||||||||||||||||||||
Shares of Beneficial Interest at $1 Par | 36,272,160 | — | 36,272,160 | — | 36,272,160 | 35,544,280 | — | 35,544,280 | — | 35,544,280 | ||||||||||||||||||||||||||||||
Preferred Shares $0.01 Par | 24,750 | — | 24,750 | — | 24,750 | 24,750 | — | 24,750 | — | 24,750 | ||||||||||||||||||||||||||||||
Capital Contributed in Excess of Par | 899,506,128 | — | 899,506,128 | — | 899,506,128 | 877,444,615 | — | 877,444,615 | — | 877,444,615 | ||||||||||||||||||||||||||||||
Restricted Stock | (7,736,812 | ) | — | (7,736,812 | ) | — | (7,736,812 | ) | (3,195,777 | ) | — | (3,195,777 | ) | — | (3,195,777 | ) | ||||||||||||||||||||||||
Other Comprehensive Income | (1,821,457 | ) | — | (1,821,457 | ) | — | (1,821,457 | ) | (2,005,840 | ) | — | (2,005,840 | ) | — | (2,005,840 | ) | ||||||||||||||||||||||||
Retained Earnings (Distributions in Excess of Net Income) | 78,221,233 | — | 78,221,233 | — | 78,221,233 | 115,821,585 | — | 115,821,585 | — | 115,821,585 | ||||||||||||||||||||||||||||||
TOTAL SHAREHOLDERS’ EQUITY | 1,004,466,002 | — | 1,004,466,002 | — | 1,004,466,002 | 1,023,633,613 | — | 1,023,633,613 | — | 1,023,633,613 | ||||||||||||||||||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 2,827,494,609 | $ | (97,106,972 | ) | $ | 2,730,387,637 | $ | — | $ | 2,730,387,637 | $ | 2,799,172,630 | $ | (96,079,767 | ) | $ | 2,701,537,610 | $ | — | $ | 2,701,537,610 | ||||||||||||||||||
December 31, 2002 | |||||||||||||||||||
Combined TOTAL(1) | Adjustments to Equity | Subtotal | Assets Held for Sale | TOTAL | |||||||||||||||
ASSETS | |||||||||||||||||||
Investments in Real Estate, at cost | |||||||||||||||||||
Retail Properties | $ | 620,345,902 | $ | (197,299,357 | ) | $ | 423,046,545 | $ | — | $ | 423,046,545 | ||||||||
Multifamily Properties | 305,335,579 | (14,728,865 | ) | 290,606,714 | — | 290,606,714 | |||||||||||||
Industrial Properties | 2,504,211 | — | 2,504,211 | — | 2,504,211 | ||||||||||||||
Lend Held for Development | — | — | — | — | — | ||||||||||||||
Construction In Progress | 24,825,973 | (1,554,110 | ) | 23,271,863 | — | 23,271,863 | |||||||||||||
TOTAL INVESTMENTS IN REAL ESTATE | 953,011,665 | (213,582,332 | ) | 739,429,333 | — | 739,429,333 | |||||||||||||
Accumulated Depreciation | (180,493,036 | ) | 43,759,779 | (136,733,257 | ) | �� | (136,733,257 | ) | |||||||||||
Net Real Estate | 772,518,629 | (169,822,553 | ) | 602,696,076 | — | 602,696,076 | |||||||||||||
Investment in and advances to Partnerships | 105,309 | 25,256,374 | 25,361,683 | — | 25,361,683 | ||||||||||||||
772,623,938 | (144,566,179 | ) | 628,057,759 | — | 628,057,759 | ||||||||||||||
Other Assets: | 18,628,137 | (5,075,355 | ) | 13,552,782 | — | 13,552,782 | |||||||||||||
Cash and Cash Equivalents | 23,365,079 | (10,122,016 | ) | 13,243,063 | — | 13,243,063 | |||||||||||||
Rents and Other Receivables | — | — | — | — | — | ||||||||||||||
Assets held for sale | — | — | — | — | — | ||||||||||||||
Intangible Assets(2) | 16,679,886 | — | 16,679,886 | — | 16,679,886 | ||||||||||||||
Deferred Costs, Prepaid Taxes & Exp. & Other Assets | 46,111,466 | (13,981,793 | ) | 32,129,673 | — | 32,129,673 | |||||||||||||
TOTAL OTHER ASSETS | 104,784,568 | (29,179,164 | ) | 75,605,404 | — | 75,605,404 | |||||||||||||
TOTAL ASSETS | 877,408,506 | (173,745,343 | ) | 703,663,163 | — | 703,663,163 | |||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||||
Liabilities: | |||||||||||||||||||
Mortgage Notes Payable | 486,479,770 | (166,728,446 | ) | 319,751,324 | — | 319,751,324 | |||||||||||||
Mortgage Debt Premium(3) | |||||||||||||||||||
Bank Loans Payable | 130,800,000 | — | 130,800,000 | — | 130,800,000 | ||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | ||||||||||||||
Assets held for sale | — | — | — | — | — | ||||||||||||||
Other Liabilities(4) | 39,643,762 | (7,016,897 | ) | 32,626,865 | — | 32,626,865 | |||||||||||||
TOTAL LIABILITIES | 656,923,532 | (173,745,343 | ) | 483,178,189 | — | 483,178,189 | |||||||||||||
Minority Interest | 32,472,437 | — | 32,472,437 | — | 32,472,437 | ||||||||||||||
Shareholders’ Equity: | |||||||||||||||||||
Shares of Beneficial Interest at $1 Par | 16,697,117 | — | 16,697,117 | — | 16,697,117 | ||||||||||||||
Preferred Shares $0.01 Par | |||||||||||||||||||
Capital Contributed in Excess of Par | 216,768,855 | — | 216,768,855 | — | 216,768,855 | ||||||||||||||
Restricted Stock | (2,513,191 | ) | — | (2,513,191 | ) | — | (2,513,191 | ) | |||||||||||
Other Comprehensive Income | (4,365,728 | ) | — | (4,365,728 | ) | — | (4,365,728 | ) | |||||||||||
Retained Earnings (Distributions in Excess of Net Income) | (38,574,516 | ) | — | (38,574,516 | ) | — | (38,574,516 | ) | |||||||||||
TOTAL SHAREHOLDERS’ EQUITY | 188,012,537 | — | 188,012,537 | — | 188,012,537 | ||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 877,408,506 | $ | (173,745,343 | ) | $ | 703,663,163 | $ | — | $ | 703,663,163 | ||||||||
(1) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Company’s share of the Total Assets and Liabilities of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
(2) | Includes value of acquired in-place leases and above-market value of leases recorded in connection with the acquisition of properties since 2002. Purchase accounting rules require a purchaser to separately value the leases that are in place at the acquisition date, as well as the above- or below-market values of the leases. |
(3) | Represents premium that is recorded in connection with debt assumed when a property is purchased. The debt is marked to market at the acquisition date and the premium is amortized through interest expense over the remaining term of the debt. |
(4) | For Wholly Owned Properties, Other Liabilities includes Tenant Deposits and Deferred Rents, Accrued Pension and Retirement Benefits, Accrued Expenses and Other Liabilities including Deficit Partnership Investments. |
PAGE 39
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
INCOME STATEMENT-RECONCILIATION TO GAAP(1)
QUARTERLY COMPARISON
(Wholly Owned vs. Partnerships)
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||
Combined TOTAL(2) | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | TOTAL % CHANGE | Combined TOTAL(2) | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | |||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING REVENUES | |||||||||||||||||||||||||||||||||||||||||||
Base Rents (Net of Vacancies) | $ | 75,105,772 | $ | (5,380,110 | ) | $ | 69,725,662 | $ | (927,741 | ) | $ | 68,797,921 | 42.6 | % | $ | 56,257,974 | $ | (5,419,424 | ) | $ | 50,838,550 | (2,578,149 | ) | $ | 48,260,401 | ||||||||||||||||||
Straight-Lining of Base Rents | 1,374,762 | (62,109 | ) | 1,312,653 | (6,853 | ) | 1,305,800 | 26.4 | % | 1,055,305 | 3,327 | 1,058,632 | (25,787 | ) | 1,032,845 | ||||||||||||||||||||||||||||
Percentage Rents | 4,745,172 | (126,665 | ) | 4,618,507 | 78,124 | 4,696,631 | 40.9 | % | 3,490,813 | (15,832 | ) | 3,474,981 | (141,500 | ) | 3,333,481 | ||||||||||||||||||||||||||||
Expense Reimbursables | 29,657,333 | (1,723,064 | ) | 27,934,269 | (214,840 | ) | 27,719,429 | 28.4 | % | 24,622,203 | (1,856,073 | ) | 22,766,130 | (1,185,247 | ) | 21,580,883 | |||||||||||||||||||||||||||
Lease Termination | 1,252,868 | — | 1,252,868 | — | 1,252,868 | N/A | 744,306 | — | 744,306 | (45,556 | ) | 698,750 | |||||||||||||||||||||||||||||||
Other Real Estate Revenues | 6,201,755 | (258,453 | ) | 5,943,302 | (123,619 | ) | 5,819,683 | 68.6 | % | 3,970,963 | (366,474 | ) | 3,604,489 | (153,033 | ) | 3,451,456 | |||||||||||||||||||||||||||
TOTAL REVENUES | 118,337,662 | (7,550,401 | ) | 110,787,261 | (1,194,929 | ) | 109,592,332 | 39.9 | % | 90,141,564 | (7,654,476 | ) | 82,487,088 | (4,129,272 | ) | 78,357,816 | |||||||||||||||||||||||||||
REAL ESTATE OPERATING EXPENSES | |||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 31,881,877 | (1,547,390 | ) | 30,334,487 | (692,830 | ) | 29,641,657 | 45.2 | % | 23,935,940 | (1,941,169 | ) | 21,994,771 | (1,581,444 | ) | 20,413,327 | |||||||||||||||||||||||||||
Real Estate Taxes | 9,617,480 | (663,230 | ) | 8,954,250 | (101,094 | ) | 8,853,156 | 33.1 | % | 7,695,705 | (669,198 | ) | 7,026,507 | (376,420 | ) | 6,650,087 | |||||||||||||||||||||||||||
TOTAL EXPENSES | 41,499,357 | (2,210,620 | ) | 39,288,737 | (793,924 | ) | 38,494,813 | 42.2 | % | 31,631,645 | (2,610,367 | ) | 29,021,278 | (1,957,864 | ) | 27,063,414 | |||||||||||||||||||||||||||
NET OPERATING INCOME | 76,838,305 | (5,339,781 | ) | 71,498,524 | (401,005 | ) | 71,097,519 | 38.6 | % | 58,509,919 | (5,044,109 | ) | 53,465,810 | (2,171,408 | ) | 51,294,402 | |||||||||||||||||||||||||||
OTHER INCOME (EXPENSES) | |||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | 4,072,413 | — | 4,072,413 | 4,072,413 | 11.2 | % | 3,662,141 | — | 3,662,141 | — | 3,662,141 | ||||||||||||||||||||||||||||||||
Interest Income | 161,323 | — | 161,323 | 161,323 | -51.7 | % | 334,319 | — | 334,319 | — | 334,319 | ||||||||||||||||||||||||||||||||
General & Administrative: | |||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | (7,466,438 | ) | — | (7,466,438 | ) | (7,466,438 | ) | -27.2 | % | (10,261,792 | ) | — | (10,261,792 | ) | — | (10,261,792 | ) | ||||||||||||||||||||||||||
Other G&A Expenses | (3,725,032 | ) | — | (3,725,032 | ) | (3,725,032 | ) | -51.0 | % | (7,597,474 | ) | — | (7,597,474 | ) | — | (7,597,474 | ) | ||||||||||||||||||||||||||
Earnings before interest expenses, taxes, depreciation and amortization | 69,880,571 | (5,339,781 | ) | 64,540,790 | (401,005 | ) | 64,139,785 | 71.4 | % | 44,647,113 | (5,044,109 | ) | 39,603,004 | (2,171,408 | ) | 37,431,596 | |||||||||||||||||||||||||||
Interest Expense(1) | (20,854,460 | ) | 2,083,405 | (18,771,055 | ) | 315,357 | (18,455,698 | ) | 34.8 | % | (16,332,086 | ) | 2,190,986 | (14,141,100 | ) | 449,311 | (13,691,789 | ) | |||||||||||||||||||||||||
Depreciation & Amortization | (27,394,241 | ) | 2,558,958 | (24,835,283 | ) | — | (24,835,283 | ) | 37.2 | % | (19,339,231 | ) | 1,243,672 | (18,095,559 | ) | — | (18,095,559 | ) | |||||||||||||||||||||||||
TOTAL OTHER INCOME (EXPENSES) | (48,248,701 | ) | 4,642,363 | (43,606,338 | ) | 315,357 | (43,290,981 | ) | 36.2 | % | (35,671,317 | ) | 3,434,658 | (32,236,659 | ) | 449,311 | (31,787,348 | ) | |||||||||||||||||||||||||
Equity in Income of partnerships | — | 697,418 | 697,418 | 697,418 | 1,609,451 | 1,609,451 | 1,609,451 | ||||||||||||||||||||||||||||||||||||
Gains (adjustment to gains) on sales of interests in Real Estate | (45,001 | ) | — | (45,001 | ) | — | (45,001 | ) | N/A | 4,457,176 | — | 4,457,176 | — | 4,457,176 | |||||||||||||||||||||||||||||
Income before Minority Interest | 21,586,869 | — | 21,586,869 | (85,648 | ) | 21,501,221 | 83.6 | % | 13,432,972 | — | 13,432,972 | (1,722,097 | ) | 11,710,875 | |||||||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | — | (64,900 | ) | (1,283 | ) | (66,183 | ) | (346,548 | ) | (346,548 | ) | 7,601 | (338,947 | ) | |||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (2,333,949 | ) | — | (2,333,949 | ) | — | (2,333,949 | ) | 94.7 | % | (1,198,594 | ) | — | (1,198,594 | ) | — | (1,198,594 | ) | |||||||||||||||||||||||||
Income from Operations | 19,188,020 | — | 19,188,020 | (86,931 | ) | 19,101,089 | 87.8 | % | 11,887,830 | — | 11,887,830 | (1,714,496 | ) | 10,173,334 | |||||||||||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||||||||||||||
Income from Discontinued Operations | — | — | — | 85,648 | 85,648 | -95.0 | % | — | — | — | 1,722,097 | 1,722,097 | |||||||||||||||||||||||||||||||
Equity in Income of partnerships | — | — | |||||||||||||||||||||||||||||||||||||||||
Minority interest in properties | — | 1,283 | 1,283 | (7,601 | ) | (7,601 | ) | ||||||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (23,513 | ) | — | (23,513 | ) | (23,513 | ) | N/A | (580,392 | ) | — | (580,392 | ) | — | (580,392 | ) | |||||||||||||||||||||||||||
Gain (adjustment to gains) on Disposition of Discontinued Operations | — | — | — | — | N/A | 194,441 | — | 194,441 | — | 194,441 | |||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | (23,513 | ) | — | (23,513 | ) | 86,931 | 63,418 | N/A | (385,951 | ) | — | (385,951 | ) | 1,714,496 | 1,328,545 | ||||||||||||||||||||||||||||
NET INCOME | $ | 19,164,507 | $ | — | $ | 19,164,507 | $ | — | $ | 19,164,507 | 66.6 | % | $ | 11,501,879 | $ | — | $ | 11,501,879 | $ | — | $ | 11,501,879 | |||||||||||||||||||||
(1) | Capitalized interest expense of $379,000 is not included in the quarter ended 12/31/04 and $338,000 is not included in the quarter ended 12/31/03. |
(2) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Trust’s share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
PAGE 40
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
INCOME STATEMENT-RECONCILIATION TO GAAP(1)
YEARLY COMPARISON
(Wholly Owned vs. Partnerships)
CY 2004 (12 months ended 12/31/04) | CY 2003 (12 months ended 12/31/03) | ||||||||||||||||||||||||||||||||||||||||||
Combined TOTAL(2) | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | TOTAL % CHANGE | Combined TOTAL(2) | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | |||||||||||||||||||||||||||||||||
REAL ESTATE OPERATING REVENUES | |||||||||||||||||||||||||||||||||||||||||||
Base Rents (Net of Vacancies) | $ | 286,789,393 | $ | (21,001,931 | ) | $ | 265,787,462 | $ | (14,929,035 | ) | $ | 250,858,427 | 129.1 | % | $ | 162,339,218 | $ | (26,669,101 | ) | $ | 135,670,117 | $ | (26,160,683 | ) | $ | 109,509,434 | |||||||||||||||||
Straight-Lining of Base Rents | 5,211,965 | (113,879 | ) | 5,098,086 | (206,161 | ) | 4,891,925 | 87.6 | % | 2,805,547 | (172,194 | ) | 2,633,353 | (25,787 | ) | 2,607,566 | |||||||||||||||||||||||||||
Percentage Rents | 10,466,745 | (314,403 | ) | 10,152,342 | (324,843 | ) | 9,827,499 | 129.6 | % | 4,765,061 | (342,437 | ) | 4,422,624 | (141,500 | ) | 4,281,124 | |||||||||||||||||||||||||||
Expense Reimbursables | 127,250,878 | (6,365,867 | ) | 120,885,011 | (6,758,511 | ) | 114,126,500 | 137.9 | % | 58,116,169 | (8,962,472 | ) | 49,153,697 | (1,185,247 | ) | 47,968,450 | |||||||||||||||||||||||||||
Lease Termination | 3,953,472 | — | 3,953,472 | (22,410 | ) | 3,931,062 | N/A | 1,166,949 | (10,995 | ) | 1,155,954 | (171,325 | ) | 984,629 | |||||||||||||||||||||||||||||
Other Real Estate Revenues | 13,232,355 | (697,024 | ) | 12,535,331 | (650,496 | ) | 11,884,835 | 130.1 | % | 7,544,829 | (1,173,036 | ) | 6,371,793 | (1,206,716 | ) | 5,165,077 | |||||||||||||||||||||||||||
TOTAL REVENUES | 446,904,808 | (28,493,104 | ) | 418,411,704 | (22,891,456 | ) | 395,520,248 | 132.0 | % | 236,737,773 | (37,330,235 | ) | 199,407,538 | (28,891,258 | ) | 170,516,280 | |||||||||||||||||||||||||||
REAL ESTATE OPERATING EXPENSES | |||||||||||||||||||||||||||||||||||||||||||
Operating and Maintenance | 126,591,371 | (6,325,367 | ) | 120,266,004 | (11,314,010 | ) | 108,951,994 | 149.1 | % | 64,885,685 | (10,472,504 | ) | 54,413,181 | (10,683,544 | ) | 43,729,637 | |||||||||||||||||||||||||||
Real Estate Taxes | 39,926,741 | (2,463,793 | ) | 37,462,948 | (2,164,241 | ) | 35,298,707 | 126.5 | % | 21,419,626 | (3,174,423 | ) | 18,245,203 | (2,658,064 | ) | 15,587,139 | |||||||||||||||||||||||||||
TOTAL EXPENSES | 166,518,112 | (8,789,160 | ) | 157,728,952 | (13,478,251 | ) | 144,250,701 | 143.2 | % | 86,305,311 | (13,646,927 | ) | 72,658,384 | (13,341,608 | ) | 59,316,776 | |||||||||||||||||||||||||||
NET OPERATING INCOME | 280,386,696 | (19,703,944 | ) | 260,682,752 | (9,413,205 | ) | 251,269,547 | 126.0 | % | 150,432,462 | (23,683,308 | ) | 126,749,154 | (15,549,650 | ) | 111,199,504 | |||||||||||||||||||||||||||
OTHER INCOME (EXPENSES) | |||||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | 9,702,616 | — | 9,702,616 | 9,702,616 | -11.6 | % | 10,973,015 | — | 10,973,015 | — | 10,973,015 | ||||||||||||||||||||||||||||||||
Interest Income | 1,026,116 | — | 1,026,116 | 1,026,116 | 15.8 | % | 885,975 | — | 885,975 | — | 885,975 | ||||||||||||||||||||||||||||||||
General & Administrative: | |||||||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | (30,057,014 | ) | — | (30,057,014 | ) | (30,057,014 | ) | 29.7 | % | (23,168,976 | ) | — | (23,168,976 | ) | — | (23,168,976 | ) | ||||||||||||||||||||||||||
Other G&A Expenses | (14,612,911 | ) | — | (14,612,911 | ) | (14,612,911 | ) | -11.5 | % | (16,509,394 | ) | — | (16,509,394 | ) | — | (16,509,394 | ) | ||||||||||||||||||||||||||
Earnings before interest expenses, taxes, depreciation and amortization | 246,445,503 | (19,703,944 | ) | 226,741,559 | (9,413,205 | ) | 217,328,354 | 160.6 | % | 122,613,082 | (23,683,308 | ) | 98,929,774 | (15,549,650 | ) | 83,380,124 | |||||||||||||||||||||||||||
Interest Expense(1) | (83,551,988 | ) | 8,316,639 | (75,235,349 | ) | 2,921,547 | (72,313,802 | ) | 104.7 | % | (52,359,677 | ) | 11,381,104 | (40,978,573 | ) | 5,660,310 | (35,318,263 | ) | |||||||||||||||||||||||||
Depreciation & Amortization | (103,091,994 | ) | 5,780,886 | (97,311,108 | ) | — | (97,311,108 | ) | 155.1 | % | (45,522,364 | ) | 5,071,443 | (40,450,921 | ) | 2,308,553 | (38,142,368 | ) | |||||||||||||||||||||||||
TOTAL OTHER INCOME (EXPENSES) | (186,643,982 | ) | 14,097,525 | (172,546,457 | ) | 2,921,547 | (169,624,910 | ) | 130.9 | % | (97,882,041 | ) | 16,452,547 | (81,429,494 | ) | 7,968,863 | (73,460,631 | ) | |||||||||||||||||||||||||
Equity in Income of partnerships | — | 5,606,419 | 5,606,419 | 5,606,419 | 7,230,761 | 7,230,761 | 7,230,761 | ||||||||||||||||||||||||||||||||||||
Gains (adjustment to gains) on sales of interests in Real Estate | 1,484,182 | — | 1,484,182 | — | 1,484,182 | N/A | 16,199,310 | — | 16,199,310 | — | 16,199,310 | ||||||||||||||||||||||||||||||||
Income before Minority Interest | 61,285,703 | — | 61,285,703 | (6,491,658 | ) | 54,794,045 | 64.3 | % | 40,930,351 | — | 40,930,351 | (7,580,787 | ) | 33,349,564 | |||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | — | (629,599 | ) | 18,426 | (611,173 | ) | (864,465 | ) | (864,465 | ) | 7,601 | (856,864 | ) | ||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (5,695,811 | ) | — | (5,695,811 | ) | — | (5,695,811 | ) | 72.7 | % | (3,298,010 | ) | — | (3,298,010 | ) | — | (3,298,010 | ) | |||||||||||||||||||||||||
Income from Operations | 54,960,293 | — | 54,960,293 | (6,473,232 | ) | 48,487,061 | 66.1 | % | 36,767,876 | — | 36,767,876 | (7,573,186 | ) | 29,194,690 | |||||||||||||||||||||||||||||
Discontinued Operations: | |||||||||||||||||||||||||||||||||||||||||||
Income from Discontinued Operations | — | — | — | 6,491,658 | 6,491,658 | -14.4 | % | — | — | — | 7,580,787 | 7,580,787 | |||||||||||||||||||||||||||||||
Equity in Income of partnerships | — | — | |||||||||||||||||||||||||||||||||||||||||
Minority interest in properties | — | (18,426 | ) | (18,426 | ) | N/A | (7,601 | ) | (7,601 | ) | |||||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (622,663 | ) | — | (622,663 | ) | (622,663 | ) | N/A | (18,848,730 | ) | — | (18,848,730 | ) | — | (18,848,730 | ) | |||||||||||||||||||||||||||
Gain (adjustment to gains) on Disposition of Discontinued Operations | (550,000 | ) | — | (550,000 | ) | (550,000 | ) | N/A | 178,121,005 | — | 178,121,005 | — | 178,121,005 | ||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | (1,172,663 | ) | — | (1,172,663 | ) | 6,473,232 | 5,300,569 | N/A | 159,272,275 | — | 159,272,275 | 7,573,186 | 166,845,461 | ||||||||||||||||||||||||||||||
NET INCOME | $ | 53,787,630 | $ | — | $ | 53,787,630 | $ | — | $ | 53,787,630 | -72.6 | % | $ | 196,040,151 | $ | — | $ | 196,040,151 | $ | — | $ | 196,040,151 | |||||||||||||||||||||
(1) | Capitalized interest expense of $1,418,000 is not included in the year ended 12/31/04 and $1,408,000 is not included in the year ended 12/31/03. |
(2) | Includes PREIT’s percent of partnership investments that is “grossed up” to reflect the Trust’s share of the Total Revenues and Expenses of the underlying properties. The Company calculates the “gross up” by applying its percentage ownership interest to the historical financial statements of its equity method investments. |
PAGE 41
Pennsylvania REIT
FLASH REPORT-RECONCILIATION TO GAAP (December 31, 2004)
QUARTERLY COMPARISON
Financial Statement
Q4 04 (3 months ended 12/31/04) | Q4 03 (3 months ended 12/31/03) | |||||||||||||||||||||||||||||||||||||||
Combined TOTAL | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | Combined TOTAL | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | |||||||||||||||||||||||||||||||
Real Estate Revenues: | ||||||||||||||||||||||||||||||||||||||||
Same Store | $ | 58,082,193 | (7,550,401 | ) | $ | 50,531,792 | — | $ | 50,531,792 | $ | 59,282,475 | (7,471,810 | ) | $ | 51,810,665 | — | $ | 51,810,665 | ||||||||||||||||||||||
New | 55,912,122 | — | 55,912,122 | — | 55,912,122 | 23,435,410 | — | 23,435,410 | — | 23,435,410 | ||||||||||||||||||||||||||||||
Redevelopment | 4,614,269 | — | 4,614,269 | — | 4,614,269 | 3,805,221 | — | 3,805,221 | — | 3,805,221 | ||||||||||||||||||||||||||||||
Discontinued | (270,922 | ) | — | (270,922 | ) | (1,194,929 | ) | (1,465,851 | ) | 3,618,459 | (182,666 | ) | 3,435,793 | (4,129,272 | ) | (693,479 | ) | |||||||||||||||||||||||
Total Real Estate Revenues | 118,337,662 | (7,550,401 | ) | 110,787,261 | (1,194,929 | ) | 109,592,332 | 90,141,564 | (7,654,476 | ) | 82,487,088 | (4,129,272 | ) | 78,357,816 | ||||||||||||||||||||||||||
Operating Expenses: | ||||||||||||||||||||||||||||||||||||||||
Same Store | 19,661,135 | (2,210,620 | ) | 17,450,515 | — | 17,450,515 | 21,006,167 | (2,549,680 | ) | 18,456,487 | — | 18,456,487 | ||||||||||||||||||||||||||||
New | 19,777,668 | — | 19,777,668 | — | 19,777,668 | 7,649,713 | — | 7,649,713 | — | 7,649,713 | ||||||||||||||||||||||||||||||
Redevelopment | 2,081,320 | — | 2,081,320 | — | 2,081,320 | 1,379,499 | — | 1,379,499 | — | 1,379,499 | ||||||||||||||||||||||||||||||
Discontinued | (20,766 | ) | — | (20,766 | ) | (793,924 | ) | (814,690 | ) | 1,596,266 | (60,687 | ) | 1,535,579 | (1,957,864 | ) | (422,285 | ) | |||||||||||||||||||||||
Total Operating Expenses | 41,499,357 | (2,210,620 | ) | 39,288,737 | (793,924 | ) | 38,494,813 | 31,631,645 | (2,610,367 | ) | 29,021,278 | (1,957,864 | ) | 27,063,414 | ||||||||||||||||||||||||||
NOI: | ||||||||||||||||||||||||||||||||||||||||
Same Store | 38,421,058 | (5,339,781 | ) | 33,081,277 | — | 33,081,277 | 38,276,308 | (4,922,130 | ) | 33,354,178 | — | 33,354,178 | ||||||||||||||||||||||||||||
New | 36,134,454 | — | 36,134,454 | — | 36,134,454 | 15,785,697 | — | 15,785,697 | — | 15,785,697 | ||||||||||||||||||||||||||||||
Redevelopment | 2,532,949 | — | 2,532,949 | — | 2,532,949 | 2,425,722 | — | 2,425,722 | — | 2,425,722 | ||||||||||||||||||||||||||||||
Discontinued | (250,156 | ) | — | (250,156 | ) | (401,005 | ) | (651,161 | ) | 2,022,193 | (121,979 | ) | 1,900,214 | (2,171,408 | ) | (271,194 | ) | |||||||||||||||||||||||
NOI | 76,838,305 | (5,339,781 | ) | 71,498,524 | (401,005 | ) | 71,097,519 | 58,509,919 | (5,044,109 | ) | 53,465,810 | (2,171,408 | ) | 51,294,402 | ||||||||||||||||||||||||||
OTHER INCOME (EXPENSES): | ||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | 4,072,413 | — | 4,072,413 | — | 4,072,413 | 3,662,141 | — | 3,662,141 | — | 3,662,141 | ||||||||||||||||||||||||||||||
Interest Income | 161,323 | — | 161,323 | — | 161,323 | 334,319 | — | 334,319 | — | 334,319 | ||||||||||||||||||||||||||||||
General & Administrative: | — | |||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | (7,466,438 | ) | — | (7,466,438 | ) | — | (7,466,438 | ) | (10,261,792 | ) | — | (10,261,792 | ) | — | (10,261,792 | ) | ||||||||||||||||||||||||
Other G&A Expenses | (3,725,032 | ) | — | (3,725,032 | ) | — | (3,725,032 | ) | (7,597,474 | ) | — | (7,597,474 | ) | — | (7,597,474 | ) | ||||||||||||||||||||||||
EARNINGS BEFORE INTEREST EXPENSES, TAXES, DEPRECIATION AND AMORTIZATION | 69,880,571 | (5,339,781 | ) | 64,540,790 | (401,005 | ) | 64,139,785 | 44,647,113 | (5,044,109 | ) | 39,603,004 | (2,171,408 | ) | 37,431,596 | ||||||||||||||||||||||||||
Interest Expense | (20,854,460 | ) | 2,083,405 | (18,771,055 | ) | $ | 315,357 | (18,455,698 | ) | (16,332,086 | ) | 2,190,986 | (14,141,100 | ) | 449,311 | (13,691,789 | ) | |||||||||||||||||||||||
Depreciation and Amortization | (27,394,241 | ) | 2,558,958 | (24,835,283 | ) | — | (24,835,283 | ) | (19,339,231 | ) | 1,243,672 | (18,095,559 | ) | — | (18,095,559 | ) | ||||||||||||||||||||||||
Gain (adjustment to gains) on Sale of Interests in RE | (45,001 | ) | — | (45,001 | ) | — | (45,001 | ) | 4,457,176 | — | 4,457,176 | — | 4,457,176 | |||||||||||||||||||||||||||
Equity in income of partnerships | — | 697,418 | 697,418 | — | 697,418 | 1,609,451 | 1,609,451 | — | 1,609,451 | |||||||||||||||||||||||||||||||
DISCONTINUED OPERATIONS: | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | 85,648 | 85,648 | — | — | — | 1,722,097 | 1,722,097 | ||||||||||||||||||||||||||||||
Equity in income of partnership | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Minority Interest in properties | — | — | — | 1,283 | 1,283 | (7,601 | ) | (7,601 | ) | |||||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (23,513 | ) | — | (23,513 | ) | — | (23,513 | ) | (580,392 | ) | — | (580,392 | ) | — | (580,392 | ) | ||||||||||||||||||||||||
Gain (adjustment to gains) on Disposition of Discontinued Operations | — | — | — | — | 194,441 | 194,441 | — | 194,441 | ||||||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | (23,513 | ) | — | (23,513 | ) | 86,931 | 63,418 | (385,951 | ) | — | (385,951 | ) | 1,714,496 | 1,328,545 | ||||||||||||||||||||||||||
Minority Interest in Properties | (64,900 | ) | — | (64,900 | ) | (1,283 | ) | (66,183 | ) | (346,548 | ) | — | (346,548 | ) | 7,601 | (338,947 | ) | |||||||||||||||||||||||
Extraordinary item (Loss on early extinguishment of debt) | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Minority Interest of OP Unit Holders | (2,333,949 | ) | — | (2,333,949 | ) | — | (2,333,949 | ) | (1,198,594 | ) | — | (1,198,594 | ) | — | (1,198,594 | ) | ||||||||||||||||||||||||
NET INCOME | 19,164,507 | — | 19,164,507 | — | 19,164,507 | 11,501,879 | — | 11,501,879 | — | 11,501,879 | ||||||||||||||||||||||||||||||
Gain on Sale of Real Estate | 45,001 | — | 45,001 | — | 45,001 | (4,651,617 | ) | — | (4,651,617 | ) | — | (4,651,617 | ) | |||||||||||||||||||||||||||
Depreciation and Amor. of Real Estate | 26,977,348 | — | 26,977,348 | — | 26,977,348 | (19,160,727 | ) | — | (19,160,727 | ) | — | (19,160,727 | ) | |||||||||||||||||||||||||||
Dividends on preferred shares | (3,403,125 | ) | — | (3,403,125 | ) | — | (3,403,125 | ) | (1,533,000 | ) | — | (1,533,000 | ) | — | (1,533,000 | ) | ||||||||||||||||||||||||
FFO Adjustments | 2,357,462 | — | 2,357,462 | — | 2,357,462 | 40,035,440 | — | 40,035,440 | — | 40,035,440 | ||||||||||||||||||||||||||||||
FFO | 45,141,193 | — | 45,141,193 | — | 45,141,193 | 26,191,975 | — | 26,191,975 | — | 26,191,975 | ||||||||||||||||||||||||||||||
Adj. Straight Lining of Base Rents | (1,374,762 | ) | — | (1,374,762 | ) | — | (1,374,762 | ) | (1,055,305 | ) | — | (1,055,305 | ) | — | (1,055,305 | ) | ||||||||||||||||||||||||
Recurring Capital Expenditures | (3,989,314 | ) | — | (3,989,314 | ) | — | (3,989,314 | ) | (876,942 | ) | — | (876,942 | ) | — | (876,942 | ) | ||||||||||||||||||||||||
Tenant allowances | (9,164,115 | ) | — | (9,164,115 | ) | — | (9,164,115 | ) | (1,265,392 | ) | — | (1,265,392 | ) | (1,265,392 | ) | |||||||||||||||||||||||||
Amortization of Debt Premium | (4,811,196 | ) | — | (4,811,196 | ) | — | (4,811,196 | ) | (2,933,065 | ) | — | (2,933,065 | ) | (2,933,065 | ) | |||||||||||||||||||||||||
Amortization of above-and below market lease intangibles | 115,172 | — | 115,172 | — | 115,172 | 167,000 | — | — | — | 167,000 | ||||||||||||||||||||||||||||||
FAD | $ | 25,916,978 | $ | — | $ | 25,916,978 | $ | — | $ | 25,916,978 | $ | 20,228,271 | $ | — | $ | 20,061,271 | $ | — | $ | 20,228,271 | ||||||||||||||||||||
Total Dividends | $ | 21,782,545 | $ | 15,534,398 | ||||||||||||||||||||||||||||||||||||
Share Price (at close) | $ | 42.80 | $ | 36.30 | ||||||||||||||||||||||||||||||||||||
Weighted Average Number of Shares | 35,818,787 | 28,786,801 | ||||||||||||||||||||||||||||||||||||||
WA number of Shares and OP Units | 40,244,661 | 31,744,396 | ||||||||||||||||||||||||||||||||||||||
Net Income per Share (basic) | $ | 0.43 | $ | 0.35 | ||||||||||||||||||||||||||||||||||||
FFO/Share and OP Units | $ | 1.12 | $ | 0.83 | ||||||||||||||||||||||||||||||||||||
FAD/Share and OP Units | $ | 0.64 | $ | 0.64 | ||||||||||||||||||||||||||||||||||||
Dividend/Share and OP Units | $ | 0.54 | $ | 0.54 |
Balance Sheet
Combined Total | Adjustments to Equity Method | Subtotal | Assets Held for Sale | TOTAL | Combined Total | Adjustments to Equity Method | Subtotal | Assets Held for Sale | TOTAL | |||||||||||||||||||||||||||||||
Investment in Real Estate, at cost | $ | 2,675,570,041 | $ | (133,886,288 | ) | $ | 2,541,683,753 | $ | (8,108,066 | ) | $ | 2,533,575,687 | $ | 2,545,706,690 | $ | (134,613,285 | ) | $ | 2,411,093,405 | (118,887,475 | ) | $ | 2,292,205,930 | |||||||||||||||||
Accumulated Depreciation | (184,908,972 | ) | 34,023,363 | (150,885,609 | ) | — | (150,885,609 | ) | (110,068,351 | ) | 31,652,085 | (78,416,266 | ) | — | (78,416,266 | ) | ||||||||||||||||||||||||
Investment in and advances to Partnerships | — | 27,243,862 | 27,243,862 | — | 27,243,862 | — | 29,166,089 | 29,166,089 | — | 29,166,089 | ||||||||||||||||||||||||||||||
Other Assets | 336,833,540 | (24,487,909 | ) | $ | 312,345,631 | 8,108,066 | 320,453,697 | 363,534,291 | (23,839,909 | ) | $ | 339,694,382 | 118,887,475 | 458,581,857 | ||||||||||||||||||||||||||
Total Assets | $ | 2,827,494,609 | $ | (97,106,972 | ) | $ | 2,730,387,637 | $ | — | $ | 2,730,387,637 | $ | 2,799,172,630 | $ | (97,635,020 | ) | $ | 2,701,537,610 | — | $ | 2,701,537,610 | |||||||||||||||||||
Mortgage Notes | $ | 1,326,127,000 | $ | (107,513,205 | ) | $ | 1,218,613,795 | $ | (17,399,761 | ) | $ | 1,201,214,034 | $ | 1,396,262,538 | $ | (109,581,659 | ) | $ | 1,286,680,879 | $ | (65,500,150 | ) | $ | 1,221,180,729 | ||||||||||||||||
Line of Credit | 271,000,000 | — | 271,000,000 | — | 271,000,000 | 170,000,000 | — | 170,000,000 | — | 170,000,000 | ||||||||||||||||||||||||||||||
Acquisition Term Loan & Unsecured Line of Credit | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Other Liabilities | 93,932,690 | 10,406,233 | 104,338,923 | 17,399,761 | 121,738,684 | 96,624,952 | 11,946,639 | 110,126,844 | 65,500,150 | 175,626,994 | ||||||||||||||||||||||||||||||
Total Liabilities | $ | 1,691,059,690 | $ | (97,106,972 | ) | $ | 1,593,952,718 | $ | — | $ | 1,593,952,718 | $ | 1,662,887,490 | $ | (97,635,020 | ) | $ | 1,565,252,470 | — | $ | 1,565,252,470 | |||||||||||||||||||
Minority Interest | $ | 131,968,917 | $ | — | $ | 131,968,917 | $ | — | $ | 131,968,917 | $ | 112,651,527 | $ | — | $ | 112,651,527 | $ | — | $ | 112,651,527 | ||||||||||||||||||||
Total Shareholders Equity | 1,004,466,002 | — | 1,004,466,002 | — | 1,004,466,002 | 1,023,633,613 | — | 1,023,633,613 | — | 1,023,633,613 | ||||||||||||||||||||||||||||||
Total Liabilities and Shareholder Equity | $ | 2,827,494,609 | $ | (97,106,972 | ) | $ | 2,730,387,637 | $ | — | $ | 2,730,387,637 | $ | 2,799,172,630 | $ | (97,635,020 | ) | $ | 2,701,537,610 | — | $ | 2,701,537,610 | |||||||||||||||||||
PAGE 42
Pennsylvania REIT
FLASH REPORT-RECONCILIATION TO GAAP (December 31, 2004)
YEARLY COMPARISON
Financial Statement
CY 2004 (12 months ended 12/31/04) | CY 2003 (12 months ended 12/31/03) | |||||||||||||||||||||||||||||||||||||||
Combined TOTAL | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | Combined TOTAL | Adjustments to Equity Method | Subtotal | Assets Held for Sale | Total | |||||||||||||||||||||||||||||||
Real Estate Revenues: | ||||||||||||||||||||||||||||||||||||||||
Same Store | $ | 86,727,891 | (28,044,574 | ) | $ | 58,683,317 | — | $ | 58,683,317 | $ | 84,216,107 | (29,743,623 | ) | $ | 54,472,484 | — | $ | 54,472,484 | ||||||||||||||||||||||
New | 327,105,337 | — | 327,105,337 | — | 327,105,337 | 107,031,270 | (4,737,566 | ) | 102,293,704 | — | 102,293,704 | |||||||||||||||||||||||||||||
Redevelopment | 15,417,360 | — | 15,417,360 | — | 15,417,360 | 14,443,572 | — | 14,443,572 | — | 14,443,572 | ||||||||||||||||||||||||||||||
Discontinued | 17,654,220 | (448,530 | ) | 17,205,690 | (22,891,456 | ) | (5,685,766 | ) | 31,046,825 | (2,849,046 | ) | 28,197,779 | (28,891,258 | ) | (693,479 | ) | ||||||||||||||||||||||||
Total Real Estate Revenues | 446,904,808 | (28,493,104 | ) | 418,411,704 | (22,891,456 | ) | 395,520,248 | 236,737,773 | (37,330,235 | ) | 199,407,538 | (28,891,258 | ) | 170,516,280 | ||||||||||||||||||||||||||
Operating Expenses: | ||||||||||||||||||||||||||||||||||||||||
Same Store | 23,816,477 | (8,640,681 | ) | 15,175,796 | — | 15,175,796 | $ | 23,530,453 | (9,510,397 | ) | 14,020,056 | — | 14,020,056 | |||||||||||||||||||||||||||
New | 126,862,615 | — | 126,862,615 | — | 126,862,615 | 43,521,147 | (2,878,733 | ) | 40,642,414 | — | 40,642,414 | |||||||||||||||||||||||||||||
Redevelopment | 5,449,154 | — | 5,449,154 | — | 5,449,154 | 5,076,591 | — | 5,076,591 | — | 5,076,591 | ||||||||||||||||||||||||||||||
Discontinued | 10,389,866 | (148,479 | ) | 10,241,387 | (13,478,251 | ) | (3,236,864 | ) | 14,177,120 | (1,257,797 | ) | 12,919,323 | (13,341,608 | ) | (422,285 | ) | ||||||||||||||||||||||||
Total Operating Expenses | 166,518,112 | (8,789,160 | ) | 157,728,952 | (13,478,251 | ) | 144,250,701 | 86,305,311 | (13,646,927 | ) | 72,658,384 | (13,341,608 | ) | 59,316,776 | ||||||||||||||||||||||||||
NOI: | ||||||||||||||||||||||||||||||||||||||||
Same Store | 62,911,414 | (19,403,893 | ) | 43,507,521 | — | 43,507,521 | 60,685,654 | (20,233,226 | ) | 40,452,428 | — | 40,452,428 | ||||||||||||||||||||||||||||
New | 200,242,722 | — | 200,242,722 | — | 200,242,722 | 63,510,123 | (1,858,833 | ) | 61,651,290 | — | 61,651,290 | |||||||||||||||||||||||||||||
Redevelopment | 9,968,206 | — | 9,968,206 | — | 9,968,206 | 9,366,981 | — | 9,366,981 | — | 9,366,981 | ||||||||||||||||||||||||||||||
Discontinued | 7,264,354 | (300,051 | ) | 6,964,303 | (9,413,205 | ) | (2,448,902 | ) | 16,869,705 | (1,591,249 | ) | 15,278,456 | (15,549,650 | ) | (271,194 | ) | ||||||||||||||||||||||||
NOI | 280,386,696 | (19,703,944 | ) | 260,682,752 | (9,413,205 | ) | 251,269,547 | 150,432,462 | (23,683,308 | ) | 126,749,154 | (15,549,650 | ) | 111,199,504 | ||||||||||||||||||||||||||
OTHER INCOME (EXPENSES): | ||||||||||||||||||||||||||||||||||||||||
Management Company Revenue | 9,702,616 | — | 9,702,616 | — | 9,702,616 | 10,973,015 | — | 10,973,015 | — | 10,973,015 | ||||||||||||||||||||||||||||||
Interest Income | 1,026,116 | — | 1,026,116 | — | 1,026,116 | 885,975 | — | 885,975 | — | 885,975 | ||||||||||||||||||||||||||||||
General & Administrative: | — | |||||||||||||||||||||||||||||||||||||||
Corporate Payroll and Benefits | (30,057,014 | ) | — | (30,057,014 | ) | — | (30,057,014 | ) | (23,168,976 | ) | — | (23,168,976 | ) | — | (23,168,976 | ) | ||||||||||||||||||||||||
Other G&A Expenses | (14,612,911 | ) | — | (14,612,911 | ) | — | (14,612,911 | ) | (16,509,394 | ) | — | (16,509,394 | ) | — | (16,509,394 | ) | ||||||||||||||||||||||||
EARNINGS BEFORE INTEREST EXPENSES, TAXES, DEPRECIATION AND AMORTIZATION | 246,445,503 | (19,703,944 | ) | 226,741,559 | (9,413,205 | ) | 217,328,354 | 122,613,082 | (23,683,308 | ) | 98,929,774 | (15,549,650 | ) | 83,380,124 | ||||||||||||||||||||||||||
Interest Expense | (83,551,988 | ) | 8,316,639 | (75,235,349 | ) | $ | 2,921,547 | (72,313,802 | ) | (52,359,677 | ) | 11,381,104 | (40,978,573 | ) | 5,660,310 | (35,318,263 | ) | |||||||||||||||||||||||
Depreciation and Amortization | (103,091,994 | ) | 5,780,886 | (97,311,108 | ) | — | (97,311,108 | ) | (45,522,364 | ) | 5,071,443 | (40,450,921 | ) | 2,308,553.00 | (38,142,368 | ) | ||||||||||||||||||||||||
Gain (adjustment to gains) on Sale of Interests in RE | 1,484,182 | — | 1,484,182 | — | 1,484,182 | 16,199,310 | — | 16,199,310 | — | 16,199,310 | ||||||||||||||||||||||||||||||
Equity in income of partnerships | — | 5,606,419 | 5,606,419 | — | 5,606,419 | — | 7,230,761 | 7,230,761 | — | 7,230,761 | ||||||||||||||||||||||||||||||
DISCONTINUED OPERATIONS: | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||
Income from Disposed Real Estate | — | — | — | 6,491,658 | 6,491,658 | — | — | — | 7,580,787 | 7,580,787 | ||||||||||||||||||||||||||||||
Equity in income of partnership | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Minority Interest in properties | — | — | — | (18,426 | ) | (18,426 | ) | — | (7,601 | ) | (7,601 | ) | ||||||||||||||||||||||||||||
Minority Interest of O.P. Unitholders | (622,663 | ) | — | (622,663 | ) | — | (622,663 | ) | (18,848,730 | ) | — | (18,848,730 | ) | (18,848,730 | ) | |||||||||||||||||||||||||
Gain (adjustment to gains) on Disposition of Discontinued Operations | (550,000 | ) | — | (550,000 | ) | (550,000 | ) | 178,121,005 | 178,121,005 | — | 178,121,005 | |||||||||||||||||||||||||||||
TOTAL DISCONTINUED OPERATIONS | (1,172,663 | ) | — | (1,172,663 | ) | 6,473,232 | 5,300,569 | 159,272,275 | — | 159,272,275 | 7,573,186 | 166,845,461 | ||||||||||||||||||||||||||||
Minority Interest in Properties | (629,599 | ) | — | (629,599 | ) | 18,426 | (611,173 | ) | (864,465 | ) | — | (864,465 | ) | 7,601 | (856,864 | ) | ||||||||||||||||||||||||
Extraordinary item (Loss on early extinguishment of debt) | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Minority Interest of OP Unit Holders | (5,695,811 | ) | — | (5,695,811 | ) | — | (5,695,811 | ) | (3,298,010 | ) | — | (3,298,010 | ) | — | (3,298,010 | ) | ||||||||||||||||||||||||
NET INCOME | 53,787,630 | — | 53,787,630 | — | 53,787,630 | 196,040,151 | — | 196,040,151 | — | 196,040,151 | ||||||||||||||||||||||||||||||
Gain on Sale of Real Estate | (934,182 | ) | — | (934,182 | ) | — | (934,182 | ) | (194,320,315 | ) | — | (194,320,315 | ) | — | (194,320,315 | ) | ||||||||||||||||||||||||
Depreciation and Amor. of Real Estate | 101,642,305 | — | 101,642,305 | — | 101,642,305 | 44,736,057 | — | 44,736,057 | — | 44,736,057 | ||||||||||||||||||||||||||||||
Dividends on preferred shares | (13,612,500 | ) | — | (13,612,500 | ) | — | (13,612,500 | ) | (1,533,000 | ) | — | (1,533,000 | ) | — | (1,533,000 | ) | ||||||||||||||||||||||||
FFO Adjustments | 6,318,474 | — | 6,318,474 | — | 6,318,474 | 22,146,740 | — | 22,146,740 | — | 22,146,740 | ||||||||||||||||||||||||||||||
FFO | 147,201,727 | — | 147,201,727 | — | 147,201,727 | 67,069,633 | — | 67,069,633 | — | 67,069,633 | ||||||||||||||||||||||||||||||
Adj. Straight Lining of Base Rents | (5,211,965 | ) | — | (5,211,965 | ) | — | (5,211,965 | ) | (2,805,547 | ) | — | (2,805,547 | ) | — | (2,805,547 | ) | ||||||||||||||||||||||||
Recurring Capital Expenditures | (8,905,629 | ) | — | (8,905,629 | ) | — | (8,905,629 | ) | (2,162,415 | ) | — | (2,162,415 | ) | — | (2,162,415 | ) | ||||||||||||||||||||||||
Tenant allowances | (11,660,288 | ) | — | (11,660,288 | ) | — | (11,660,288 | ) | (1,265,392 | ) | — | (1,265,392 | ) | (1,265,392 | ) | |||||||||||||||||||||||||
Amortization of Debt Premium | (19,353,621 | ) | — | (19,353,621 | ) | — | (19,353,621 | ) | (5,940,175 | ) | — | (5,940,175 | ) | (5,940,175 | ) | |||||||||||||||||||||||||
Amortization of above-and below market lease intangibles | 707,192 | — | 707,192 | — | 707,192 | 404,462 | — | — | — | 404,462 | ||||||||||||||||||||||||||||||
FAD | $ | 102,777,416 | $ | — | $ | 102,777,416 | $ | — | $ | 102,777,416 | $ | 55,300,566 | $ | — | $ | 54,896,104 | $ | — | $ | 55,300,566 | ||||||||||||||||||||
Total Dividends | $ | 86,384,997 | $ | 46,892,620 | ||||||||||||||||||||||||||||||||||||
Share Price (at close) | $ | 42.80 | $ | 36.30 | ||||||||||||||||||||||||||||||||||||
Weighted Average Number of Shares | 35,609,350 | 20,389,577 | ||||||||||||||||||||||||||||||||||||||
WA number of Shares and OP Units | 39,792,409 | 22,693,026 | ||||||||||||||||||||||||||||||||||||||
Net Income per Share (basic) | $ | 1.11 | $ | 9.54 | ||||||||||||||||||||||||||||||||||||
FFO/Share and OP Units | $ | 3.70 | $ | 2.96 | ||||||||||||||||||||||||||||||||||||
FAD/Share and OP Units | $ | 2.58 | $ | 2.44 | ||||||||||||||||||||||||||||||||||||
Dividend/Share and OP Units | $ | 2.16 | $ | 2.07 |
PAGE 43
Pennsylvania REIT
QUARTERLY SUPPLEMENTAL DISCLOSURE (December 31, 2004)
Definitions
Funds From Operations (FFO)
The National Association of Real Estate Investment Trusts (“NAREIT”) defines Funds From Operations (“FFO”) which is a non-GAAP measure, as income before gains (losses) on sales of property and extraordinary items (computed in accordance with GAAP); plus real estate depreciation; plus or minus adjustments for unconsolidated partnership to reflect funds from operations on the same basis. FFO is a commonly used measure of operating performance and profitability in the REIT industry, and we use FFO as a supplemental non-GAAP measure to compare our company’s performance to that of our industry peers. In addition, we use FFO as a performance measure for determining bonus amounts earned under certain of our performance-based executive compensation programs. The Company computes FFO in accordance with standards established by NAREIT, which may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current NAREIT definition, or that interpret the current NAREIT definition differently than the Company.
FFO does not include gains (losses) on real estate assets, which are included in the determination of net income in accordance with GAAP. Accordingly, FFO is not a comprehensive measure of our operating cash flows. In addition, since FFO does not include depreciation on real estate assets, FFO may not be a useful performance measure when comparing our operating performance to that of other non-real estate commercial enterprises. We compensate for these limitations by using FFO in conjunction with other GAAP financial performance measures, such as net income and net cash provided by operating activities, and other non-GAAP financial performance measures such as net operating income. FFO does not represent cash generated from operating activities in accordance with GAAP and should not be considered to be an alternative to net income (determined in accordance with GAAP) as an indication of the Company's financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of the Company's liquidity, nor is it indicative of funds available for the Company's cash needs, including its ability to make cash distributions.
The Company believes that net income is the most directly comparable GAAP measurement to FFO. The Company believes that FFO is helpful to management and investors as a measure of operating performance because it excludes various items included in net income that do not relate to or are not indicative of operating performance, such as various non-recurring items that are considered extraordinary under GAAP, gains on sales of real estate and depreciation and amortization of real estate.
Net Operating Income (NOI)
Net operating income (“NOI”) which is a non-GAAP measure is derived from revenues (determined in accordance with GAAP) minus property operating expenses (determined in accordance with GAAP). Net operating income is a non-GAAP measure. It does not represent cash generated from operating activities in accordance with GAAP and should not be considered to be an alternative to net income (determined in accordance with GAAP) as an indication of the Company’s financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of the Company’s liquidity; nor is it indicative of funds available for the Company's cash needs, including its ability to make cash distributions. The Company believes that net income is the most directly comparable GAAP measurement to net operating income.
The Company believes that net operating income is helpful to management and investors as a measure of operating performance because it is an indicator of the return on property investment, and provides a method of comparing property performance over time. Net operating income excludes general and administrative expenses, management company revenues, interest income, interest expense, depreciation and amortization, income from discontinued operations and gains on sales of interests in real estate.
Funds Available for Distribution (FAD)
FAD also referred to as Cash Available for Distributions (CAD) and adjusted FFO (AFFO). FAD refers to a computation made by analysts and investors to measure a real estate company's cash flows generated by operations. FAD is calculated by subtracting from FFO (1) normalized recurring capital expenditures that are capitalized but necessary to maintain a REIT's properties and (2) straight-line rents.
The Company believes that net income is the most directly comparable GAAP measurement to FAD. The Company believes FAD provides a meaningful indicator of its ability to fund cash needs and to make cash distributions to equity owners. In addition, the Company feels to further understand its liquidity, FAD should be compared with its cash flow from operating activities determined in accordance with GAAP, as presented in its consolidated financial statements. The computation of FAD may not be comparable to FAD reported by other REITs or real estate companies and FAD does not represent cash generated from operating activities determined in accordance with GAAP, and should not be considered as an alternative to net income (determined in accordance with GAAP) as an indication of our performance, or as an alternative to net cash flow from operating activities (determined in accordance with GAAP), as a measure of our liquidity.
Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA)
Earnings before interest, taxes, depreciation and amortization. On a property level, EBITDA and NOI are equivalent; however, certain corporate revenues and expenses are added and deducted to/from NOI to derive EBITDA on a company wide basis. Specifically, management company revenues and interest income are added to NOI while corporate payroll and other General and Administrative expenses are deducted from NOI to calculate EBITDA.
The Company believes that net income is the most directly comparable GAAP measurement to EBITDA. The Company believes that EBITDA helps the Company and its investors evaluate the ongoing operating performance of its properties and facilitate comparisons with other REITs and real estate companies. These measures assist management by providing a baseline to assess property-level results, particularly as the Company acquires or sells assets. The EBITDA measures presented by the Company may not be comparable to other similarly titled measures of other companies.
PAGE 44