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CEDAR REALTY TRUST, INC.

Supplemental Financial Information

December 31, 2014

(unaudited)

TABLE OF CONTENTS

 

Earnings Press Release			3-6
Financial Information
Condensed Consolidated Balance Sheets			7
Condensed Consolidated Statements of Operations			8
Supporting Schedules to Consolidated Statements			9
Funds From Operations and Additional Disclosures			10
Earnings Before Interest, Taxes, Depreciation and Amortization			11
Summary of Outstanding Debt			12
Summary of Debt Maturities			13
Portfolio Information
Real Estate Summary			14-16
Leasing Activity			17
Tenant Concentration			18
Lease Expirations			19
Same-Property Net Operating Income			20
2014 Acquisitions and Dispositions			21
Summary of Real Estate Held For Sale/Conveyance			22
Non-GAAP Financial Disclosures			23

Forward-Looking Statements

The information contained in this Supplemental Financial Information is unaudited and does not purport to disclose all items required by accounting principles generally accepted in the United States (“GAAP”). In addition, statements made or incorporated by reference herein may include certain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and, as such, may involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements, which are based on certain assumptions and describe the Company’s future plans, strategies and expectations, are generally identifiable by use of the words “may”, “will”, “should”, “estimates”, “projects”, “anticipates”, “believes”, “expects”, “intends”, “future”, and words of similar import, or the negative thereof. Factors which could have a material adverse effect on the operations and future prospects of the Company include, but are not limited to, those set forth under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K. Accordingly, the information contained herein should be read in conjunction with the Company’s Form 10-K for the year ended December 31, 2014.

 

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CEDAR REALTY TRUST REPORTS FOURTH

QUARTER AND FULL YEAR 2014 RESULTS

Port Washington, New York – February 19, 2015 – Cedar Realty Trust, Inc. (NYSE:CDR) today reported results for the fourth quarter and year ended December 31, 2014.

Highlights

 

•

Operating funds from operations (Operating FFO) of $0.13 per diluted share for the quarter and $0.54 for the year

 

•

Same-property net operating income (NOI) for the quarter increased 2.6% including redevelopments and 1.9% excluding redevelopments. Same property NOI for the year increased 1.6% including redevelopments and 1.8% excluding redevelopments.

 

•

Signed 31 new and renewal leases for 232,800 square feet in the quarter and 173 new and renewal leases for 1.13 million square feet for the year

 

•

Comparable cash-basis lease spreads of 10.3% for the quarter and 9.3% for the year

 

•

Total portfolio 93.3% leased and same-property portfolio 93.7% leased at year-end

 

•

During the year, completed a $92.3 million acquisition and $128.1 million of dispositions

 

•

Subsequent to year-end, issued 5.75 million common shares for net proceeds of $41.9 million, closed $100 million of new unsecured term loans, and extended maturity dates of existing credit facility

 

•

Net debt to EBITDA of 6.9 times after adjusting for the aforementioned $41.9 million equity offering

 

•

Provided initial 2015 Operating FFO guidance of $0.51 to $0.54 per diluted share

“2014 was another solid year for Cedar as we effectively executed on a number of our long-term strategic objectives including continued capital migration into stronger markets and assets, ongoing improvements to our capital structure and further solid leasing results from our high quality portfolio of grocery-anchored shopping centers,” commented Bruce Schanzer, President and CEO.

Financial Results

Operating FFO for fourth quarter 2014 was $10.3 million or $0.13 per diluted share, compared to $9.2 million or $0.13 per diluted share for the same period in 2013. Operating FFO for full year 2014 was $42.5 million or $0.54 per diluted share, compared to $36.4 million or $0.50 per diluted share for the same period in 2013.

NAREIT-defined FFO for fourth quarter 2014 was $9.6 million or $0.12 per diluted share, compared to $18.1 million or $0.25 per diluted share for the same period in 2013. NAREIT-defined FFO for full year 2014 was $40.3 million or $0.51 per diluted share, compared to $44.9 million or $0.62 per diluted share for the same period in 2013. The principal differences between Operating FFO and NAREIT-defined FFO are acquisition costs, debt extinguishment amounts and preferred stock redemption costs.

 

3

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Net income attributable to common shareholders for fourth quarter 2014 was $0.7 million or $0.01 per diluted share, compared to $2.3 million or $0.03 per diluted share for the same period in 2013. Net income attributable to common shareholders for full year 2014 was $14.6 million or $0.18 per diluted share, compared to net loss of $(1.1) million or $(0.03) per diluted share for the same period in 2013.

The principal differences between Operating FFO and NAREIT-defined FFO are acquisition costs, debt extinguishment amounts and preferred stock redemption costs.

Portfolio Results

Same-property NOI for the quarter increased 2.6% including redevelopments and 1.9% excluding redevelopments. Same property NOI for the year increased 1.6% including redevelopments and 1.8% excluding redevelopments.

During fourth quarter 2014, the Company signed 31 leases for 232,800 square feet. On a comparable space basis, the Company leased 224,600 square feet at a positive lease spread of 10.3% on a cash basis (new leases increased 12.9% and renewals increased 10.0%). For full year 2014, the Company signed 173 leases for 1.13 million square feet. On a comparable space basis, the Company leased 1.07 million square feet at a positive lease spread of 9.3% on a cash basis (new leases increased 10.2% and renewals increased 9.2%).

The Company’s total portfolio, excluding properties held for sale, was 93.3% leased at December 31, 2014, compared to 93.1% at September 30, 2014 and 93.6% at December 31, 2013. The decreases in year-over-year leased percentages reflect the Company’s capital migration efforts, whereby it disposed of properties having less desirable demographics but which had high average leased percentages. The Company’s same-property portfolio was 93.7% leased at December 31, 2014, compared to 93.5% at September 30, 2014 and 93.9% at December 31, 2013.

Acquisitions and Dispositions

During the fourth quarter, the Company sold two operating properties and a land parcel for aggregate proceeds of $16.8 million. For the full year, the Company acquired Quartermaster Plaza for $92.3 million and sold eleven operating properties and a land parcel for aggregate proceeds of $128.1 million.

Recent Activities

On January 12, 2015, the Company issued 5.75 million common shares for net proceeds of $41.9 million. The proceeds were initially used to reduce amounts outstanding under the Company’s revolving credit facility.

On February 5, 2015, the Company closed on $100.0 million of unsecured term loans effectively prefunding all of its 2015 mortgage debt maturities. The new unsecured term loans consist of a

 

4

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five-year $50 million term loan, all the proceeds of which were drawn at closing, and a seven-year $50 million term loan that allows for delayed draws of the proceeds through July 1, 2015. The term loans are priced at LIBOR plus a spread based on the Company’s leverage ratio. The Company also entered into forward LIBOR swap agreements that result in an effective fixed interest rate of 2.9% for the five-year term loan and 3.4% for the seven-year term loan beginning July 1, 2015, based on the Company’s leverage ratio at closing.

Additionally, on February 5, 2015, the Company amended its unsecured credit facility extending the maturity date of its $260 million revolving facility from August 1, 2016 to February 5, 2019 and the maturity date for its existing $50 million term loan from August 1, 2018 to February 5, 2020. Initial pricing for the amended revolving facility and the existing $50 million term loan is LIBOR plus 150 bps and LIBOR plus 145 bps, respectively, a reduction of 25 bps and 10 bps, respectively.

Balance Sheet

As of December 31, 2014, the Company had $187.7 million available under its revolving credit facility and reported net debt to earnings before interest, taxes, depreciations, and amortization (EBITDA) of 7.4 times. Reflecting the January 12, 2015 equity offering, net debt to EBITDA is 6.9 times. Additionally, during 2014, the Company repaid approximately $169 million of secured mortgage debt, primarily with proceeds from $150 million of unsecured term loans which closed in February 2014.

2015 Guidance

The Company has established its initial 2015 guidance at a range of $0.51 to $0.54 per diluted share for Operating FFO and a range of $0.50 to $0.53 per diluted share for NAREIT-defined FFO. The principal difference in 2015 guidance between Operating FFO and NAREIT-defined FFO is acquisition costs. The Company will discuss assumptions surrounding guidance on today’s conference call.

Funds From Operations Reconciliation

The Company reports FFO in accordance with the standards established by the National Association of Real Estate Investment Trusts (NAREIT). FFO, as defined by NAREIT, is a widely-recognized non-GAAP financial measure for REITs that the Company believes, when considered with financial statements prepared in accordance with GAAP, is useful to investors in understanding financial performance and providing a relevant basis for comparison among REITs. The Company’s computation of FFO, as detailed in the attached schedule, is in accordance with NAREIT’s pronouncements. The Company also presents Operating FFO, which excludes certain items that are not indicative of the results provided by the Company’s consolidated portfolio and that affect the comparability of the Company’s period-over-period performance, as also detailed in the attached schedule.

 

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Supplemental Financial Information Package

The Company has issued “Supplemental Financial Information” for the period ended December 31, 2014. Such information has been filed today as an exhibit to Form 8-K and will also be available on the Company’s website at www.cedarrealtytrust.com.

Investor Conference Call

The Company will host a conference call today, February 19, 2015, at 5:00 PM (ET) to discuss the fourth quarter and full year results. The conference call can be accessed by dialing (877) 705-6003 or (1) (201) 493-6725 for international participants. A live webcast of the conference call will be available online on the Company’s website at www.cedarrealtytrust.com.

A replay of the call will be available from 8:00 PM (ET) on February 19, 2015, until midnight (ET) on March 5, 2015. The replay dial-in numbers are (877) 870-5176 or (1) (858) 384-5517 for international callers. Please use passcode 13597830 for the telephonic replay. A replay of the Company’s webcast will be available on the Company’s website for a limited time.

About Cedar Realty Trust

Cedar Realty Trust, Inc. is a fully-integrated real estate investment trust which focuses on the ownership and operation of primarily grocery-anchored shopping centers straddling the Washington DC to Boston corridor. The Company’s portfolio (excluding properties treated as “held for sale”) is comprised of 59 properties, with approximately 9.2 million square feet of gross leasable area.

For additional financial and descriptive information on the Company, its operations and its portfolio, please refer to the Company’s website at www.cedarrealtytrust.com.

Forward-Looking Statements

Statements made in this press release that are not strictly historical are “forward-looking” statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance and outcomes to differ materially from those expressed or implied in forward-looking statements. Please refer to the documents filed by Cedar Realty Trust, Inc. with the SEC, specifically the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, which identifies important risk factors that could cause actual results to differ from those contained in forward-looking statements.

Contact Information:

Cedar Realty Trust, Inc.

Philip R. Mays

Chief Financial Officer

(516) 944-4572

 

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CEDAR REALTY TRUST, INC.

Condensed Consolidated Balance Sheets

 

		December 31,
		2014				2013
ASSETS
Real estate
Land		$	312,868,000			$	288,864,000
Buildings and improvements			1,163,305,000				1,162,087,000
			1,476,173,000				1,450,951,000
Less accumulated depreciation			(267,211,000	)			(251,605,000	)
Real estate, net			1,208,962,000				1,199,346,000
Real estate held for sale/conveyance			16,508,000				70,757,000
Cash and cash equivalents			3,499,000				3,973,000
Restricted cash			7,859,000				11,063,000
Receivables			18,405,000				18,492,000
Other assets and deferred charges, net			31,546,000				28,295,000
TOTAL ASSETS		$	1,286,779,000			$	1,331,926,000
LIABILITIES AND EQUITY
Mortgage loans payable		$	393,388,000			$	539,140,000
Unsecured revolving credit facility			72,000,000				153,500,000
Unsecured term loans			200,000,000				50,000,000
Accounts payable and accrued liabilities			22,364,000				22,666,000
Unamortized intangible lease liabilities			23,776,000				30,972,000
Total liabilities			711,528,000				796,278,000
Noncontrolling interest - limited partners’ mezzanine OP Units			396,000				414,000
Equity:
Preferred stock			190,661,000				190,661,000
Common stock and other shareholders’ equity			378,891,000				337,016,000
Minority interests in consolidated joint ventures			2,872,000				4,202,000
Limited partners’ OP Units			2,431,000				3,355,000
Total equity			574,855,000				535,234,000
TOTAL LIABILITIES AND EQUITY		$	1,286,779,000			$	1,331,926,000

 

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CEDAR REALTY TRUST, INC.

Condensed Consolidated Statements of Operations

 

		Three months ended December 31,								Years ended December 31,
		2014				2013				2014				2013
PROPERTY REVENUES
Rents		$	28,803,000			$	27,849,000			$	116,505,000			$	110,353,000
Expense recoveries			7,826,000				7,512,000				31,392,000				28,691,000
Other			36,000				55,000				287,000				554,000
Total property revenues			36,665,000				35,416,000				148,184,000				139,598,000
PROPERTY OPERATING EXPENSES
Operating, maintenance and management			6,321,000				6,602,000				26,604,000				24,418,000
Real estate and other property-related taxes			4,485,000				4,502,000				18,182,000				17,901,000
Total property operating expenses			10,806,000				11,104,000				44,786,000				42,319,000
PROPERTY OPERATING INCOME			25,859,000				24,312,000				103,398,000				97,279,000
OTHER EXPENSES AND INCOME
General and administrative			3,736,000				4,006,000				14,356,000				13,980,000
Employee termination costs			—				—				—				106,000
Acquisition costs			—				182,000				2,870,000				182,000
Depreciation and amortization			9,894,000				12,270,000				38,700,000				44,405,000
Gain on sales			(271,000	)			(263,000	)			(6,413,000	)			(609,000	)
Impairment charges/(reversal), net			85,000				296,000				3,148,000				(172,000	)
Total other expenses and income			13,444,000				16,491,000				52,661,000				57,892,000
OPERATING INCOME			12,415,000				7,821,000				50,737,000				39,387,000
NON-OPERATING INCOME AND EXPENSES
Interest expense			(7,890,000	)			(8,357,000	)			(32,301,000	)			(34,762,000	)
Early extinguishment of debt costs			(675,000	)			—				(825,000	)			(106,000	)
Total non-operating income and expense			(8,565,000	)			(8,357,000	)			(33,126,000	)			(34,868,000	)
INCOME (LOSS) FROM CONTINUING OPERATIONS			3,850,000				(536,000	)			17,611,000				4,519,000
DISCONTINUED OPERATIONS
Income from operations			68,000				865,000				1,647,000				2,280,000
Impairment reversals/(charges), net			363,000				(3,681,000	)			47,000				(3,049,000	)
Gain on extinguishment of debt obligations			—				9,154,000				1,423,000				10,452,000
Gain on sales			—				—				7,963,000				—
Total income from discontinued operations			431,000				6,338,000				11,080,000				9,683,000
NET INCOME			4,281,000				5,802,000				28,691,000				14,202,000
Less, net loss (income) attributable to noncontrolling interests:
Minority interests in consolidated joint ventures			73,000				95,000				370,000				247,000
Limited partners’ interest in Operating Partnership			(4,000	)			(12,000	)			(80,000	)			(1,000	)
Total net loss attributable to noncontrolling interests			69,000				83,000				290,000				246,000
NET INCOME ATTRIBUTABLE TO CEDAR REALTY TRUST, INC.			4,350,000				5,885,000				28,981,000				14,448,000
Preferred stock dividends			(3,602,000	)			(3,602,000	)			(14,408,000	)			(14,413,000	)
Preferred stock redemption costs			—				—				—				(1,166,000	)
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS		$	748,000			$	2,283,000			$	14,573,000			$	(1,131,000	)
PER COMMON SHARE ATTRIBUTABLE TO COMMON SHAREHOLDERS (BASIC AND DILUTED)
Continuing operations		$	0.00			$	(0.06	)		$	0.04			$	(0.17	)
Discontinued operations			0.01				0.09				0.14				0.14
		$	0.01			$	0.03			$	0.18			$	(0.03	)
Weighted average number of common shares - basic and diluted			75,547,000				68,474,000				75,311,000				68,381,000

 

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CEDAR REALTY TRUST, INC.

Supporting Schedules to Consolidated Statements

Balance Sheets

 

		December 31
		2014				2013
Construction in process (included in buildings and improvements)		$	11,032,000			$	7,728,000
Receivables
Rents and other tenant receivables, net		$	3,479,000			$	3,282,000
Straight-line rents			14,926,000				15,210,000
		$	18,405,000			$	18,492,000
Other assets and deferred charges, net
Lease origination costs		$	18,180,000			$	15,187,000
Financing costs			4,256,000				5,194,000
Prepaid expenses			6,689,000				5,234,000
Other			2,421,000				2,680,000
		$	31,546,000			$	28,295,000

Statements of Operations

 

		Three months ended December 31,								Years ended December 31,
		2014				2013				2014				2013
Rents
Base rents		$	27,535,000			$	26,334,000			$	110,739,000			$	103,721,000
Percentage rent			232,000				216,000				683,000				804,000
Straight-line rents			63,000				264,000				761,000				1,387,000
Amortization of intangible lease liabilities, net			973,000				1,035,000				4,322,000				4,441,000
		$	28,803,000			$	27,849,000			$	116,505,000			$	110,353,000

 

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CEDAR REALTY TRUST, INC.

Funds From Operations and Additional Disclosures

 

		Three months ended December 31,								Years ended December 31,
		2014				2013				2014				2013
Net income (loss) attributable to common shareholders		$	748,000			$	2,283,000			$	14,573,000			$	(1,131,000	)
Real estate depreciation and amortization			9,812,000				12,493,000				38,365,000				45,280,000
Limited partners’ interest			4,000				12,000				80,000				1,000
Impairment (reversals)/charges			(278,000	)			3,977,000				3,101,000				2,877,000
Gain on sales			(271,000	)			(263,000	)			(14,376,000	)			(609,000	)
Consolidated minority interests:
Share of (loss)			(73,000	)			(95,000	)			(370,000	)			(247,000	)
Share of FFO			(293,000	)			(283,000	)			(1,100,000	)			(1,303,000	)
Funds From Operations (“FFO”)			9,649,000				18,124,000				40,273,000				44,868,000
Adjustments for items affecting comparability:
Early extinguishment of debt costs, net			675,000				—				825,000				543,000
Acquisition costs			—				182,000				2,870,000				182,000
Gain on extinguishment of debt obligations			—				(9,154,000	)			(1,423,000	)			(10,452,000	)
Employee termination costs			—				—				—				106,000
Preferred stock redemption costs			—				—				—				1,166,000
Operating Funds From Operations (“Operating FFO”)		$	10,324,000			$	9,152,000			$	42,545,000			$	36,413,000
FFO per diluted share:		$	0.12			$	0.25			$	0.51			$	0.62
Operating FFO per diluted share:		$	0.13			$	0.13			$	0.54			$	0.50
Weighted average number of diluted common shares:
Common shares			79,213,000				72,283,000				78,985,000				72,204,000
OP Units			393,000				375,000				433,000				297,000
			79,606,000				72,658,000				79,418,000				72,501,000
Additional Disclosures (Pro-Rata Share):
Straight-line rents		$	69,000			$	296,000			$	785,000			$	1,469,000
Amortization of intangible lease liabilities			915,000				972,000				4,087,000				4,083,000
Non-real estate amortization			519,000				371,000				2,450,000				2,231,000
Share-based compensation, net			1,102,000				1,009,000				3,531,000				3,701,000
Maintenance capital expenditures (a)			1,454,000				1,578,000				3,799,000				4,600,000
Lease related expenditures (b)			819,000				918,000				2,807,000				2,930,000
Development and redevelopment capital expenditures			4,095,000				3,087,000				11,374,000				13,655,000
Capitalized interest and financing costs			161,000				80,000				757,000				915,000

 

(a)	Consists of payments for building and site improvements.

(b)	Consists of payments for tenant improvements and leasing commissions.

 

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CEDAR REALTY TRUST, INC.

Earnings Before Interest, Taxes, Depreciation and Amortization

 

		Three months ended December 31,								Years ended December 31,
		2014				2013				2014				2013
EBITDA Calculation
Income (loss) from continuing operations		$	3,850,000			$	(536,000	)		$	17,611,000			$	4,519,000
Add (deduct):
Interest expense (including early extinguishment of debt costs)			8,565,000				8,358,000				33,126,000				34,872,000
Depreciation and amortization			9,894,000				12,270,000				38,700,000				44,405,000
Minority interests share of consolidated joint venture EBITDA			(812,000	)			(802,000	)			(3,159,000	)			(3,363,000	)
Discontinued operations:
Income from operations			68,000				865,000				1,647,000				2,280,000
Interest expense (including early extinguishment of debt costs)			—				511,000				631,000				2,892,000
Depreciation and amortization			—				314,000				—				1,258,000
EBITDA			21,565,000				20,980,000				88,556,000				86,863,000
Adjustments for items affecting comparability:
Impairment charges/(reversal), net			85,000				296,000				3,148,000				(172,000	)
Gain on sales			(271,000	)			(263,000	)			(6,413,000	)			(609,000	)
Acquisition costs			—				182,000				2,870,000				182,000
Employee termination costs			—				—				—				106,000
Adjusted EBITDA		$	21,379,000			$	21,195,000			$	88,161,000			$	86,370,000
Pro-rata share of net debt (a)
Pro-rata share of debt		$	632,694,000			$	710,126,000			$	632,694,000			$	710,126,000
Pro-rata share of unrestricted cash and cash equivalents			(3,022,000	)			(2,862,000	)			(3,022,000	)			(2,862,000	)
		$	629,672,000			$	707,264,000			$	629,672,000			$	707,264,000
Pro-rata fixed charges (a)
Interest expense (b)		$	7,063,000			$	8,110,000			$	29,421,000			$	33,829,000
Preferred stock dividends			3,602,000				3,602,000				14,408,000				14,413,000
Scheduled mortgage repayments			1,519,000				2,188,000				7,161,000				8,925,000
		$	12,184,000			$	13,900,000			$	50,990,000			$	57,167,000
Debt and Coverage Ratios
Net debt to Adjusted EBITDA (c)			7.4x	(d)			7.9x				7.4x				8.0x
Interest coverage ratio (based on Adjusted EBITDA)			3.0x				2.6x				3.0x				2.6x
Fixed charge coverage ratio (based on Adjusted EBITDA)			1.8x				1.5x				1.7x				1.5x

 

(a)	Includes properties “held for sale/conveyance”.

(b)	Excludes early extinguishment of debt costs.

(c)

For the purposes of this computation, this ratio has been adjusted to include the annualized results of properties acquired, and to exclude, where applicable, (i) the results and debt related to properties sold and conveyed, (ii) management fee income relating to the terminated Cedar/RioCan joint venture, and (iii) lease termination income.

(d)	This ratio is 6.9x after adjustment for the January 12, 2015 equity offering.

 

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CEDAR REALTY TRUST, INC.

Summary of Outstanding Debt

As of December 31, 2014

 

Property		Percent Owned				Maturity Date		Interest Rate (a)				Amounts
Fixed-rate mortgages:
New London Mall			40	% (b)		Apr 2015			4.9	%		$	27,365,000	(c)
Oak Ridge Shopping Center			100	%		May 2015			5.5	%			3,166,000	(c)
Pine Grove Plaza			100	%		Sep 2015			5.0	%			5,197,000	(c)
Groton Shopping Center			100	%		Oct 2015			5.3	%			11,064,000	(c)
Quartermaster Plaza			100	%		Oct 2015			5.3	%			41,668,000	(c)
Southington Center			100	%		Nov 2015			5.1	%			5,209,000	(c)
Jordan Lane			100	%		Dec 2015			5.5	%			11,851,000	(c)
Oakland Mills			100	%		Jan 2016			5.5	%			4,457,000
Franklin Village Plaza			100	%		Aug 2016			4.1	%			41,344,000
West Bridgewater Plaza			100	%		Sep 2016			6.2	%			10,277,000
Carman’s Plaza			100	%		Oct 2016			6.2	%			33,500,000
Hamburg Square			100	%		Oct 2016			6.1	%			4,732,000
Meadows Marketplace			100	%		Nov 2016			5.6	%			9,432,000
San Souci Plaza			40	%		Dec 2016			6.2	%			27,200,000
Camp Hill			100	%		Jan 2017			5.5	%			62,464,000
Golden Triangle			100	%		Feb 2018			6.0	%			19,320,000
Gold Star Plaza			100	%		May 2019			7.3	%			1,273,000
Swede Square			100	%		Nov 2020			5.5	%			9,999,000
Colonial Commons			100	%		Feb 2021			5.5	%			26,267,000
The Point			100	%		Nov 2022			4.5	%			29,001,000
Metro Square			100	%		Nov 2029			7.5	%			8,004,000
Total fixed-rate mortgages						weighted average			5.4	%			392,790,000
Net unamortized premium													598,000
Total mortgage debt, net													393,388,000
Unsecured debt:
Variable-rate:
Revolving credit facility (d)						Aug 2016			1.9	%			72,000,000
Term loan (e)						Aug 2018			1.9	%			50,000,000
Fixed-rate (f):
Term loan						Feb 2019			3.2	%			75,000,000
Term loan						Feb 2021			4.1	%			75,000,000
Total unsecured debt						weighted average			2.8	%			272,000,000
Total debt						weighted average			4.3	%		$	665,388,000
Pro-rata share of total debt reconciliation:
Total debt												$	665,388,000
Less pro-rata share attributable to joint venture minority interests													(32,694,000	)
Pro-rata share of total debt												$	632,694,000
Fixed to variable rate-debt ratio:
Fixed-rate debt									80.7	%		$	510,694,000
Variable-rate debt									19.3	%			122,000,000
									100.0	%		$	632,694,000

(a)	For variable-rate debt, rate in effect as of December 31, 2014.

(b)	On January 23, 2015, the Company acquired the remaining 60% interest in this joint venture, giving the Company a 100% ownership interest in this property.

(c)	To be refinanced with the proceeds from unsecured term loans which closed on February 5, 2015, comprised of a $50.0 million five-year term loan and a $50.0 million seven-year term loan.

(d)	As amended on February 5, 2015, now due in February 2019, subject to a one-year extension option.

(e)	As amended on February 5, 2015, now due in February 2020.

(f)	The Company has entered into forward interest rate swap agreements which convert the LIBOR rates to fixed rates for the full term of the loans.

 

12

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CEDAR REALTY TRUST, INC.

Summary of Debt Maturities

As of December 31, 2014

 

		Secured Debt								Unsecured Debt
Year		Scheduled Amortization				Balloon Payments				Revolving Credit Facility				Term Loans				Total
2015		$	5,773,000			$	104,352,000	(a)		$	—			$	—			$	110,125,000
2016			4,220,000				128,564,000				—				—				132,784,000
2017			2,439,000				60,478,000				—				—				62,917,000
2018			2,148,000				18,007,000				—				—				20,155,000
2019			2,036,000				—				72,000,000	(b)			75,000,000				149,036,000
2020			1,981,000				8,849,000				—				50,000,000	(b)			60,830,000
2021			1,244,000				22,367,000				—				75,000,000				98,611,000
2022			1,039,000				24,323,000				—				—				25,362,000
Thereafter			4,498,000				472,000				—				—				4,970,000
		$	25,378,000			$	367,412,000			$	72,000,000			$	200,000,000				664,790,000
Net unamortized premium																			598,000
																		$	665,388,000

 

(a)	To be substantially refinanced with the proceeds from unsecured term loans which closed on February 5, 2015, comprised of a $50.0 million five-year term loan and a $50.0 million seven-year term loan.

(b)	Maturity dates reflect amendment on February 5, 2015. Additionally, the revolving credit facility is subject to a one-year extension option.

 

13

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CEDAR REALTY TRUST, INC.

Real Estate Summary

As of December 31, 2014

 

																		Average
				Percent				Year						Percent				base rent per				Major Tenants (a)
Property Description				owned				acquired		GLA				occupied				leased sq. ft.				Name		GLA
Connecticut
Big Y Shopping Center					100	%		2013			101,105				100.0	%		$	22.75			Big Y			63,817
Brickyard Plaza					100	%		2004			227,193				85.4	%			8.43			Home Depot			103,003
																						Kohl’s			58,966
																						Michaels			21,429
Groton Shopping Center					100	%		2007			117,186				89.0	%			11.60			TJ Maxx			30,000
																						Goodwill			21,306
Jordan Lane					100	%		2005			177,504				96.6	%			11.10			Stop & Shop			60,632
																						CW Price			39,280
																						Retro Fitness			20,283
New London Mall					40	% (b)		2009			259,566				91.8	%			14.75			Shop Rite			64,017
																						Marshalls			30,627
																						Home Goods			25,432
																						Petsmart			23,500
																						A.C. Moore			20,932
Oakland Commons					100	%		2007			90,100				100.0	%			6.37			Walmart			54,911
																						Bristol Ten Pin			35,189
Southington Center					100	%		2003			155,842				98.5	%			7.08			Walmart			95,482
																						NAMCO			20,000
Total Connecticut											1,128,496				93.3	%			11.61
Maryland
Kenley Village					100	%		2005			51,894				71.4	%			8.82			Food Lion			29,000
Metro Square					100	%		2008			71,896				100.0	%			19.26			Shoppers Food Warehouse			58,668
Oakland Mills					100	%		2005			58,224				100.0	%			13.99			Food Lion			43,470
San Souci Plaza					40	%		2009			264,134				79.3	%			10.32			Shoppers Food Warehouse			61,466
																						Marshalls			27,000
																						Maximum Health and Fitness			15,612
Valley Plaza					100	%		2003			190,939				100.0	%			5.06			K-Mart			95,810
																						Ollie’s Bargain Outlet			41,888
																						Tractor Supply			32,095
Yorktowne Plaza					100	%		2007			158,982				88.4	%			13.72			Food Lion			37,692
Total Maryland											796,069				89.0	%			10.71
Massachusetts
Fieldstone Marketplace					100	%		2005/2012			193,970				94.0	%			10.53			Shaw’s			68,000
																						Flagship Cinema			41,975
																						New Bedford Wine and Spirits			15,180
Franklin Village Plaza					100	%		2004/2012			303,085				92.6	%			20.35			Stop & Shop			75,000
																						Marshalls			26,890
																						Team Fitness			15,807
Kings Plaza					100	%		2007			168,243				95.2	%			6.49			Work Out World			42,997
																						CW Price			28,504
																						Ocean State Job Lot			20,300
																						Savers			19,339
Norwood Shopping Center					100	%		2006			102,459				98.2	%			8.96			Hannaford Brothers			42,598
																						Planet Fitness			18,830
																						Dollar Tree			16,798
The Shops at Suffolk Downs					100	%		2005			121,320				100.0	%			13.62			Stop & Shop			74,977
Timpany Plaza					100	%		2007			183,775				100.0	%			7.45			Stop & Shop			59,947
																						Big Lots			28,027
																						Gardner Theater			27,576
Webster Plaza					100	%		2007			101,824				91.7	%			10.41			Price Chopper			58,545
West Bridgewater Plaza					100	%		2007			133,039				96.9	%			8.46			Shaw’s			57,315
																						Big Lots			25,000
																						Planet Fitness			15,000
Total Massachusetts											1,307,715				95.7	%			11.71
New Jersey
Carll’s Corner					100	%		2007			129,582				84.7	%			8.79			Acme Markets			55,000
																						Peebles			18,858
Pine Grove Plaza					100	%		2003			86,089				95.1	%			11.04			Peebles			24,963
Washington Center Shoppes					100	%		2001			157,394				92.6	%			9.29			Acme Markets			66,046
																						Planet Fitness			20,742
Total New Jersey											373,065				90.4	%			9.55

 

14

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CEDAR REALTY TRUST, INC.

Real Estate Summary (Continued)

As of December 31, 2014

 

																Average
		Percent				Year						Percent				base rent per				Major Tenants (a)
Property Description		owned				acquired		GLA				occupied				leased sq. ft.				Name		GLA
New York
Carman’s Plaza			100	%		2007			194,082				75.0	%			19.41			Pathmark			52,211
																				Home Goods			25,806
																				Department of Motor Vehicle			19,310
Pennsylvania
Academy Plaza			100	%		2001			137,415				91.4	%			14.36			Acme Markets			50,918
Camp Hill			100	%		2002			461,560				99.3	%			14.07			Boscov’s			159,040
																				Giant Foods			92,939
																				LA Fitness			45,000
																				Orthopedic Inst of PA			40,904
																				Barnes & Noble			24,908
																				Staples			20,000
Colonial Commons			100	%		2011			461,914				90.0	%			13.79			Giant Foods			67,815
																				Dick’s Sporting Goods			56,000
																				LA Fitness			41,325
																				Ross Dress For Less			30,000
																				Marshalls			27,000
																				JoAnn Fabrics			25,500
																				David’s Furniture			24,970
																				Office Max			23,500
																				Old Navy			15,500
Crossroads II			100	% (c)		2008			133,717				93.7	%			19.84			Giant Foods			78,815
Fairview Commons			100	%		2007			42,314				56.2	%			10.11			Family Dollar			10,789
Fort Washington Center			100	%		2002			41,000				100.0	%			21.83			LA Fitness			41,000
Gold Star Plaza			100	%		2006			71,720				82.2	%			8.97			Redner’s			48,920
Golden Triangle			100	%		2003			202,943				95.4	%			12.77			LA Fitness			44,796
																				Marshalls			30,000
																				Staples			24,060
																				Just Cabinets			18,665
																				Aldi			15,242
Halifax Plaza			100	%		2003			51,510				100.0	%			12.61			Giant Foods			32,000
Hamburg Square			100	%		2004			99,580				95.2	%			6.47			Redner’s			56,780
																				Peebles			19,683
Maxatawny Marketplace			100	%		2011			58,339				100.0	%			12.21			Giant Foods			53,914
Meadows Marketplace			100	%		2004/2012			91,518				100.0	%			15.64			Giant Foods			67,907
Mechanicsburg Center			100	%		2005			51,500				100.0	%			22.57			Giant Foods			51,500
Newport Plaza			100	%		2003			64,489				100.0	%			11.76			Giant Foods			43,400
Northside Commons			100	%		2008			69,136				100.0	%			9.85			Redner’s			53,019
Palmyra Shopping Center			100	%		2005			111,051				94.5	%			6.73			Weis Markets			46,912
																				Goodwill			18,104
Port Richmond Village			100	%		2001			154,908				98.2	%			13.65			Thriftway			40,000
																				Pep Boys			20,615
																				Shop of New Sorts Thrift Store			15,200
Quartermaster Plaza			100	%		2014			456,364				96.9	%			13.99			Home Depot			150,000
																				BJ’s Wholesale Club			117,718
																				Conway Stores, Inc.			25,200
																				Planet Fitness			23,146
																				Staples			20,388
																				Petsmart			19,089
River View Plaza			100	%		2003			226,786				90.2	%			19.72			United Artists			77,700
																				Avalon Carpet			25,000
																				Pep Boys			22,000
																				Staples			18,000
South Philadelphia			100	%		2003			283,415				83.1	%			14.49			Shop Rite			54,388
																				Ross Dress For Less			31,349
																				LA Fitness			31,000
																				Modell’s			20,000

 

15

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CEDAR REALTY TRUST, INC.

Real Estate Summary (Continued)

As of December 31, 2014

 

																Average
		Percent				Year						Percent				base rent per				Major Tenants (a)
Property Description		owned				acquired		GLA				occupied				leased sq. ft.				Name		GLA
Pennsylvania (continued)
Swede Square			100	%		2003			100,816				97.0	%			17.43			LA Fitness			37,200
The Commons			100	%		2004			203,426				87.5	%			8.13			Bon-Ton			54,500
																				Shop ’n Save			52,654
																				TJ Maxx			24,404
The Point			100	%		2000			268,037				97.1	%			12.55			Burlington Coat Factory			76,665
																				Giant Foods			76,627
																				A.C. Moore			24,890
																				Staples			24,000
Trexler Mall			100	%		2005			339,279				90.2	%			9.68			Kohl’s			90,230
																				Bon-Ton			62,000
																				Lehigh Wellness Partners			33,227
																				Oxyfit Gym			28,870
																				Marshalls			28,488
Trexlertown Plaza			100	%		2006			313,929				89.3	%			12.09			Giant Foods			78,335
																				Hobby Lobby			57,512
																				Redner’s			47,900
																				Big Lots			33,824
																				Tractor Supply			19,097
Upland Square			100	%		2007			394,598				94.4	%			17.03			Giant Foods			78,900
																				Carmike Cinema			45,276
																				LA Fitness			42,000
																				Best Buy			30,000
																				TJ Maxx			25,000
																				Bed, Bath & Beyond			24,721
																				A.C. Moore			21,600
																				Staples			18,336
Total Pennsylvania									4,891,264				93.2	%			13.63
Virginia
Coliseum Marketplace			100	%		2005			106,648				100.0	%			16.26			Farm Fresh			57,662
																				Michaels			23,981
Elmhurst Square			100	%		2006			66,250				85.5	%			9.38			Food Lion			38,272
Fredericksburg Way			100	%		2005			63,000				100.0	%			18.47			Ukrop’s Supermarket			63,000
General Booth Plaza			100	%		2005			71,639				96.6	%			13.97			Farm Fresh			53,758
Glen Allen Shopping Center			100	%		2005			63,328				100.0	%			6.61			Giant Foods			63,328
Kempsville Crossing			100	%		2005			79,512				98.4	%			10.64			Walmart			41,975
																				Farm Fresh			16,938
Oak Ridge Shopping Center			100	%		2006			38,700				92.2	%			10.69			Food Lion			33,000
Suffolk Plaza			100	%		2005			67,216				100.0	%			9.90			Farm Fresh			67,216
Total Virginia									556,293				97.1	%			12.40
Total (93.3% leased at December 31, 2014)									9,246,984				92.9	%		$	12.73

 

(a)	Major tenants are determined as tenants with 15,000 or more sq.ft of GLA, tenants at single-tenant properties, or the largest tenant at a property, based on GLA.

(b)	On January 23, 2015, the Company acquired the remaining 60% interest in this joint venture, giving the Company a 100% ownership interest in this property.

(c)	Although the ownership percentage for this joint venture is 60%, the Company has included 100% of this joint venture’s debt and results of operations in its pro-rata calculations, based on partnership earnings promotes, loan guaranties, and/or other terms of the related joint venture agreement.

 

16

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CEDAR REALTY TRUST, INC.

Leasing Activity

 

		Leases Signed				Square Feet				New Rent Per. Sq. Ft (a)				Prior Rent Per. Sq. Ft (a)				Cash Basis % Change				Tenant Improvements Per. Sq. Ft (b)				Average Lease Term (Yrs)
Total Comparable Leases
4th Quarter 2014			30				224,600			$	16.26			$	14.74				10.3	%		$	3.11				5.3
3rd Quarter 2014			36				173,300			$	17.40			$	16.01				8.8	%		$	1.25				5.0
2nd Quarter 2014			55				355,000			$	13.29			$	12.21				8.9	%		$	0.67				5.5
1st Quarter 2014			38				319,300			$	9.68			$	8.86				9.2	%		$	0.74				4.7
Total			159				1,072,200			$	13.50			$	12.36				9.3	%		$	1.30				5.1
New Leases - Comparable
4th Quarter 2014			3				20,600			$	17.27			$	15.29				12.9	%		$	33.94				7.4
3rd Quarter 2014			5				12,300			$	25.02			$	23.29				7.4	%		$	17.62				7.0
2nd Quarter 2014			11				62,000			$	11.72			$	10.86				8.0	%		$	3.85				9.1
1st Quarter 2014			4				7,400			$	26.60			$	22.45				18.5	%		$	31.70				7.4
Total			23				102,300			$	15.52			$	14.09				10.2	%		$	13.59				8.4
Renewals - Comparable
4th Quarter 2014			27				204,000			$	16.16			$	14.68				10.0	%		$	0.00				5.1
3rd Quarter 2014			31				161,000			$	16.82			$	15.45				8.9	%		$	0.00				4.8
2nd Quarter 2014			44				293,000			$	13.62			$	12.49				9.0	%		$	0.00				4.7
1st Quarter 2014			34				311,900			$	9.27			$	8.54				8.6	%		$	0.00				4.6
Total			136				969,900			$	13.29			$	12.17				9.2	%		$	0.00				4.8
Total Comparable and Non-Comparable
4th Quarter 2014			31				232,800			$	16.38				N/A				N/A			$	3.00				5.5
3rd Quarter 2014			41				187,800			$	17.83				N/A				N/A			$	1.30				5.1
2nd Quarter 2014			61				380,000			$	13.41				N/A				N/A			$	1.38				5.8
1st Quarter 2014			40				328,200			$	9.95				N/A				N/A			$	2.79				4.8
Total			173				1,128,800			$	13.75				N/A				N/A			$	2.11				5.3

 

(a)	New rent per sq. ft. represents the minimum cash rent under the new lease for the first 12 months of the term. Prior rent per sq. ft. represents the minimum cash rent under the prior lease for the last 12 months of the previous term.

(b)	Includes tenant allowance and landlord work. Excludes first generation space.

 

17

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CEDAR REALTY TRUST, INC.

Tenant Concentration (Based on Annualized Base Rent)

As of December 31, 2014

 

Tenant		Number of stores				GLA				% of GLA				Annualized base rent				Annualized base rent per sq. ft.				Percentage annualized base rents
Top twenty tenants (a):
Giant Foods			12				785,000				8.5	%		$	11,703,000			$	14.91				10.7	%
LA Fitness			7				282,000				3.0	%			4,653,000				16.50				4.3	%
Stop & Shop			4				271,000				2.9	%			2,805,000				10.35				2.6	%
Farm Fresh			4				196,000				2.1	%			2,235,000				11.40				2.0	%
Home Depot			2				253,000				2.7	%			2,050,000				8.10				1.9	%
Staples			6				125,000				1.4	%			1,982,000				15.86				1.8	%
Dollar Tree			18				182,000				2.0	%			1,945,000				10.69				1.8	%
Shop Rite			2				118,000				1.3	%			1,744,000				14.78				1.6	%
BJ’s Wholesale Club			1				118,000				1.3	%			1,683,000				14.26				1.5	%
Redner’s			4				207,000				2.2	%			1,538,000				7.43				1.4	%
United Artists			1				78,000				0.8	%			1,454,000				18.64				1.3	%
Marshalls			6				170,000				1.8	%			1,437,000				8.45				1.3	%
Shaw’s			2				125,000				1.4	%			1,431,000				11.45				1.3	%
Big Y			1				64,000				0.7	%			1,404,000				21.94				1.3	%
Food Lion			5				181,000				2.0	%			1,314,000				7.26				1.2	%
Shoppers Food Warehouse			2				120,000				1.3	%			1,237,000				10.31				1.1	%
Walmart			3				192,000				2.1	%			1,188,000				6.19				1.1	%
Ukrop’s Supermarket			1				63,000				0.7	%			1,163,000				18.46				1.1	%
Kohl’s			2				149,000				1.6	%			1,113,000				7.47				1.0	%
Carmike Cinema			1				45,000				0.5	%			1,034,000				22.98				0.9	%
Sub-total top twenty tenants			84				3,724,000				40.3	%			45,113,000				12.11				41.3	%
Remaining tenants			786				4,869,000				52.7	%			64,233,000				13.19				58.7	%
Sub-total all tenants (b)			870				8,593,000				92.9	%		$	109,346,000			$	12.73				100.0	%
Vacant space			N/A				654,000				7.1	%
Total			870				9,247,000				100.0	%

 

(a)	Several of the tenants listed above share common ownership with other tenants:

 

(1)

Giant Foods and Stop & Shop, (2) Farm Fresh, Shoppers Food Warehouse, and Shop ’n Save (GLA of 53,000; annualized base rent of $120,000), (3) Marshalls, TJ Maxx (GLA of 79,000; annualized base rent of $764,000) and Home Goods (GLA of 51,000; annualized base rent of $609,000), and (4) Shaw’s and Acme Markets (GLA of 172,000; annualized base rent of $781,000).

 

(b)	Comprised of large tenants (15,000 or more GLA) and small tenants as follows:

 

		Occupied GLA				% of GLA				Annualized base rent				Annualized base rent per sq. ft.				Percentage annualized base rents
Large tenants			6,068,000				70.6	%		$	64,084,000			$	10.56				58.6	%
Small tenants			2,525,000				29.4	%			45,262,000				17.93				41.4	%
Total			8,593,000				100.0	%		$	109,346,000			$	12.73				100.0	%

 

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CEDAR REALTY TRUST, INC.

Lease Expirations

As of December 31, 2014

 

Year of lease expiration		Number of leases expiring				GLA expiring				Percentage of GLA expiring				Annualized expiring base rents				Annualized expiring base rents per sq. ft.				Percentage of annualized expiring base rents
Month-To-Month			51				231,000				2.7	%		$	2,484,000			$	10.75				2.3	%
2015			121				746,000				8.7	%			8,568,000				11.49				7.8	%
2016			138				880,000				10.2	%			11,196,000				12.72				10.2	%
2017			117				843,000				9.8	%			11,736,000				13.92				10.7	%
2018			102				809,000				9.4	%			11,952,000				14.77				10.9	%
2019			104				892,000				10.4	%			10,620,000				11.91				9.7	%
2020			85				1,379,000				16.0	%			14,640,000				10.62				13.4	%
2021			39				449,000				5.2	%			6,588,000				14.67				6.0	%
2022			24				163,000				1.9	%			2,388,000				14.65				2.2	%
2023			19				154,000				1.8	%			1,776,000				11.53				1.6	%
2024			24				516,000				6.0	%			7,068,000				13.70				6.5	%
2025			14				402,000				4.7	%			5,604,000				13.94				5.1	%
Thereafter			32				1,129,000				13.1	%			14,726,000				13.04				13.5	%
All tenants			870				8,593,000				100.0	%		$	109,346,000			$	12.73				100.0	%
Vacant space			N/A				654,000				N/A
Total portfolio			870				9,247,000				N/A

 

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CEDAR REALTY TRUST, INC.

Same-Property Net Operating Income (“Same-property NOI”)

Same-Property NOI (a)

 

		Three months ended December 31,
		2014				2013
Base Rents		$	22,046,000			$	21,760,000
Expense Recoveries			6,499,000				6,467,000
Total Revenues			28,545,000				28,227,000
Operating expenses			8,823,000				8,870,000
NOI		$	19,722,000			$	19,357,000
Occupied			93.2	%			93.6	%
Leased			93.7	%			93.9	%
Average base rent		$	12.72			$	12.59
Number of same properties			52				52
NOI growth			1.9%
		Years ended December 31,
		2014				2013
Base Rents		$	84,156,000			$	82,436,000
Expense Recoveries			24,406,000				23,907,000
Total Revenues			108,562,000				106,343,000
Operating expenses			33,524,000				32,634,000
NOI		$	75,038,000			$	73,709,000
Occupied			93.3	%			93.8	%
Leased			93.8	%			94.2	%
Average base rent		$	12.87			$	12.71
Number of same properties			50				50
NOI growth			1.8%
NOI growth, excluding dark anchor re-tenanting impact			1.2%

 

(a)

Same-property NOI includes properties that were owned and operated for the entirety of both periods being compared, except for properties undergoing significant redevelopment and expansion until such properties have stabilized, and properties classified as “held for sale/conveyance”. Same-property NOI (i) excludes non-cash revenues such as straight-line rent adjustments and amortization of intangible lease liabilities, (ii) reflects internal management fees charged to properties, and (iii) excludes infrequent items, such as lease termination fee income.

 

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CEDAR REALTY TRUST, INC.

2014 Acquisitions and Dispositions

 

Acquisition

Location

GLA

Date Acquired

Purchase Price

Quartermaster Plaza

Philadelphia, PA

456,364

3/21/2014

$

92,300,000

Disposition

Location

GLA

Date Sold

Sales Price

Harbor Square (f/k/a Shore Mall)

Egg Harbor, NJ

344,823

2/25/2014

$

25,000,000

McCormick Place

Olmstead, OH

46,000

5/6/2014

2,679,000

(a)

Gahanna Discount Drug Mart Plaza

Columbus, OH

48,667

5/27/2014

4,982,000

(a)

Fairview Plaza

New Cumberland, PA

71,979

5/27/2014

12,450,000

Townfair Center

Indiana, PA

218,610

5/29/2014

22,600,000

Lake Raystown Plaza

Huntingdon, PA

142,559

6/25/2014

19,500,000

Carbondale Plaza

Carbondale, PA

120,689

7/18/2014

10,700,000

Virginia Little Creek

Norfolk, VA

69,620

8/22/2014

9,850,000

Annie Land Plaza

Lovingston, VA

42,500

9/26/2014

3,500,000

Smithfield Plaza

Smithfield, VA

134,664

10/21/2014

12,350,000

Blue Mountain Commons land parcel

Harrisburg, PA

N/A

10/22/2014

350,000

St. James Square

Hagerstown, MA

39,903

11/5/2014

4,125,000

$

128,086,000

 

(a)	Lender accepted a deed-in-lieu of foreclosure on the property. Sales price represents mortgage loan payable, accrued interest and other expenses forgiven upon title transfer.

 

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CEDAR REALTY TRUST, INC.

Summary of Real Estate Held for Sale/Conveyance

As of December 31, 2014

 

Property Description		State		Percent owned				Real estate at book value				GLA				Percent occupied				Average base rent per leased sq. ft.
Included in results from Continuing Operations
Circle Plaza		PA			100	%		$	1,492,000				92,171				100.0	%		$	2.74
Liberty Marketplace		PA			100	%			13,084,000				68,200				98.2	%			18.04
									14,576,000				160,371				99.3	%			9.18
Included in results from Discontinued Operations
Huntingdon Plaza (a)		PA			100	%			1,932,000				142,845				64.9	%			4.50
Total Real Estate Held for Sale/Conveyance								$	16,508,000				303,216				83.1	%		$	7.46

 

(a)	Property sold on February 2, 2015.

 

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CEDAR REALTY TRUST, INC.

Non-GAAP Financial Disclosures

Funds From Operations (“FFO”)

FFO is a widely-recognized non-GAAP financial measure for REITs that the Company believes, when considered with financial statements prepared in accordance with GAAP, is useful to investors in understanding financial performance and providing a relevant basis for comparison among REITs. In addition, FFO is useful to investors as it captures features particular to real estate performance by recognizing that real estate generally appreciates over time or maintains residual value to a much greater extent than do other depreciable assets. Investors should review FFO, along with GAAP net income, when trying to understand a REIT’s operating performance. The Company considers FFO an important supplemental measure of its operating performance and believes that it is frequently used by securities analysts, investors and other interested parties in the evaluation of REITs.

The Company computes FFO in accordance with the “White Paper” published by the National Association of Real Estate Investment Trusts (“NAREIT”), which defines FFO as net income applicable to common shareholders (determined in accordance with GAAP), excluding impairment charges, excluding gains or losses from debt restructurings and sales of properties, plus real estate-related depreciation and amortization, and after adjustments for partnerships and joint ventures (which are computed to reflect FFO on the same basis). FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income applicable to common shareholders or to cash flow from operating activities. FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. Although FFO is a measure used for comparability in assessing the performance of REITs, as the NAREIT White Paper only provides guidelines for computing FFO, the computation of FFO may vary from one company to another.

The Company also presents “Operating FFO”, which excludes certain items that are not indicative of the results provided by the Company’s operating portfolio and that affect the comparability of the Company’s period-over-period performance, such as acquisition costs, amounts relating to early extinguishment of debt, gain on extinguishment of debt obligations, employee termination costs, and preferred stock redemption costs.

Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”)

EBITDA is another widely-recognized non-GAAP financial measure that the Company believes, when considered with financial statements prepared in accordance with GAAP, is useful to investors and lenders in understanding financial performance and providing a relevant basis for comparison among other companies, including REITs. While EBITDA should not be considered as a substitute for net income attributable to the Company’s common shareholders, net operating income, cash flow from operating activities, or other income or cash flow data prepared in accordance with GAAP, the Company believes that EBITDA may provide additional information with respect to the Company’s performance or ability to meet its future debt service requirements, capital expenditures and working capital requirements. The Company computes EBITDA by excluding interest expense and amortization of deferred financing costs, and depreciation and amortization, from income from continuing operations.

The Company also presents “Adjusted EBITDA”, which excludes certain items that are not indicative of the results provided by the Company’s operating portfolio and that affect the comparability of the Company’s period-over-period performance, such as acquisition costs, impairment charges/reversals, employee termination costs, and gain on sales of real estate. The ratios of debt to Adjusted EBITDA, Adjusted EBITDA to interest expense, and Adjusted EBITDA to fixed charges are additional related measures of financial performance. Because EBITDA from one company to another excludes some, but not all, items that affect net income, the computations of EBITDA may vary from one company to another.

 

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