NEW
YORK, May 2, 2022 /PRNewswire/ -- Brixmor
Property Group Inc. (NYSE: BRX) ("Brixmor" or the "Company")
announced today its operating results for the three months ended
March 31, 2022. For the three
months ended March 31, 2022 and 2021,
net income was $0.26 per diluted
share and $0.18 per diluted share,
respectively.
Key highlights for the three months ended March 31, 2022 include:
- Executed 1.4 million square feet of new and renewal leases,
with rent spreads on comparable space of 18.1%, including 0.8
million square feet of new leases, with rent spreads on comparable
space of 35.9%
- Realized total leased occupancy of 92.1%, anchor leased
occupancy of 94.4%, and small shop leased occupancy of 87.0%
-
- Leased to billed occupancy spread totaled 350 basis points
- Total signed but not yet commenced lease population represented
2.7 million square feet and $51.7
million of annualized base rent
- Reported an increase in same property NOI of 8.4%
- Reported Nareit FFO of $145.4
million, or $0.49 per diluted
share
- Stabilized $28.1 million of
reinvestment projects at an average incremental NOI yield of 10%,
with the in process reinvestment pipeline totaling $418.9 million at an expected average incremental
NOI yield of 9%
- Completed $159.5 million of
acquisitions and $60.9 million of
dispositions
- Received a positive credit rating outlook from S&P Global
Ratings
Subsequent events:
- Completed $168.6 million of
acquisitions and $17.3 million of
dispositions
- Amended and restated unsecured credit facilities, increasing
the total amount available to $1.75
billion, while extending the maturities and lowering
pricing
- Received a credit rating upgrade from Fitch Ratings to 'BBB'
from 'BBB-', with a stable outlook
- Updated previously provided NAREIT FFO per diluted share
expectations for 2022 to $1.88 -
$1.95 from $1.86 - $1.95 and
same property NOI growth expectations for 2022 to 3.0% - 4.5% from
2.0% - 4.0%
"The portfolio transformation being driven by our value added
platform is evident not only at the property level, but also across
all of our operational metrics, from traffic trends to strong
leasing volumes and spreads, to record ABR, to record small shop
occupancy, and to fundamental growth in NOI," commented
James Taylor, CEO and President.
"And, importantly, our momentum continues with a robust forward
leasing pipeline, continued deliveries of highly accretive
reinvestment projects, and the sourcing of exciting value added
acquisitions that further cluster our investments in our core
markets."
FINANCIAL HIGHLIGHTS
Net Income
- For the three months ended March 31,
2022 and 2021, net income was $79.5
million, or $0.26 per diluted
share, and $52.4 million, or
$0.18 per diluted share,
respectively.
Nareit FFO
- For the three months ended March 31,
2022 and 2021, Nareit FFO was $145.4
million, or $0.49 per diluted
share, and $130.5 million, or
$0.44 per diluted share,
respectively. Results for the three months ended March 31, 2022 and 2021 include items that impact
FFO comparability, including litigation and other non-routine legal
expenses, loss on extinguishment of debt, net, and transaction
expenses of $(0.0) million, or
$(0.00) per diluted share, and $(3.1)
million, or $(0.01) per
diluted share, respectively.
Same Property NOI Performance
- For the three months ended March 31,
2022, the Company reported an increase in same property NOI
of 8.4% versus the comparable 2021 period.
Dividend
- The Company's Board of Directors declared a quarterly cash
dividend of $0.24 per common share
(equivalent to $0.96 per annum) for
the second quarter of 2022.
- The dividend is payable on July 15,
2022 to stockholders of record on July 5, 2022, representing an ex-dividend date of
July 1, 2022.
PORTFOLIO AND INVESTMENT ACTIVITY
Value Enhancing Reinvestment Opportunities
- During the three months ended March 31,
2022, the Company stabilized four value enhancing
reinvestment projects with a total aggregate net cost of
approximately $28.1 million at an
average incremental NOI yield of 10% and added eight new
reinvestment projects to its in process pipeline. Projects added
include three anchor space repositioning projects, one outparcel
development project, and four redevelopment projects, with a total
aggregate net estimated cost of approximately $74.6 million at an expected average incremental
NOI yield of 8%.
- At March 31, 2022, the value
enhancing reinvestment in process pipeline was comprised of 54
projects with an aggregate net estimated cost of approximately
$418.9 million at an expected average
incremental NOI yield of 9%. The in process pipeline includes
16 anchor space repositioning projects with an aggregate net
estimated cost of approximately $73.7
million at an expected incremental NOI yield of 7% - 14%; 13
outparcel development projects with an aggregate net estimated
cost of approximately $24.2 million
at an expected average incremental NOI yield of 11%; and 25
redevelopment projects with an aggregate net estimated cost of
approximately $321.1 million at an
expected average incremental NOI yield of
9%.
- An in-depth review of a recent redevelopment project, which
highlights the Company's reinvestment capabilities, Village at Newtown (Philadelphia-Camden-Wilmington, PA-NJ-DE-MD MSA), can be found at
this link:
https://www.brixmor.com/blog/village-at-newtown-redevelopment-video.
- Follow Brixmor on LinkedIn for video updates on reinvestment
projects at https://www.linkedin.com/company/brixmor.
Acquisitions
- During the three months ended March 31,
2022, the Company acquired three shopping centers and one
land parcel at an existing property for a combined purchase price
of $159.5 million, including:
-
- Brea Gateway (previously announced), located in Brea, California (Los Angeles-Long
Beach-Anaheim, CA MSA).
- Arboretum Village (previously announced), located in
Dallas, Texas (Dallas-Fort
Worth-Arlington, TX MSA).
- Ravinia Plaza, a 101,800 square
foot grocery-anchored neighborhood shopping center located in
Orland Park, Illinois
(Chicago-Naperville-Elgin,
IL-IN-WI MSA), for $26.0
million in February 2022.
Ravinia Plaza is anchored by a
highly-productive Whole Foods Market and has compelling near-term
leasing opportunities related to existing high-profile vacancies.
The property is located three miles west of the Company's
Tinley Park Plaza property, an in
process redevelopment project, and complements the Company's 14
other assets in the market, which aggregate approximately 3.5
million square feet.
- Subsequent to March 31, 2022, the
Company acquired three shopping centers for a combined purchase
price of $168.6 million,
including:
-
- Two grocery-anchored community shopping centers located in the
Chicago, Illinois market
(Chicago-Naperville-Elgin, IL MSA). These acquisitions complement
the Company's existing assets in the market, including Ravinia Plaza, and were acquired below
replacement cost, at attractive pricing relative to recent
comparable sales, and feature tenants performing at the top of
their respective store fleets in the state, while paying below
market rents at two of the most highly trafficked open-air retail
centers in the state.
-
- Elmhurst Crossing, an approximately 348,000 square foot
grocery-anchored community shopping center located in Elmhurst, Illinois (Chicago-Naperville-Elgin, IL MSA), for $75.1 million in April
2022. Elmhurst Crossing is anchored by multiple
high-performing anchors, including Whole Foods Market, At Home, and
Kohl's, and has substantial value creation opportunities, including
below-market in-place rents and anchor repositioning and potential
densification opportunities. The center is located within ten miles
of the Company's Midwest regional office in a dense, highly
affluent trade area.
- North Riverside Plaza, an approximately 384,000 square foot
grocery-anchored community shopping center located in North Riverside, Illinois (Chicago-Naperville-Elgin, IL MSA), for $60.0 million in April 2022. North
Riverside Plaza has a 5-mile population density of over 600,000,
compelling near-term leasing opportunities with several
high-profile vacancies, and chain leading anchors with below-market
in-place rents. Key tenants include Best Buy, Burlington, Kohl's, and Petco, as well as a
future Amazon Fresh.
- West U Marketplace, an approximately 60,000 square foot
grocery-anchored neighborhood shopping center located in a dense
and affluent trade area across the street from the Company's Braes
Heights property and West regional office in Houston, Texas (Houston-The Woodlands-Sugar Land, TX MSA), for $33.5 million in April
2022. West U Marketplace is anchored by a highly productive
Whole Foods Market and has below market in-place rents and
significant remerchandising opportunities. The property complements
the Company's 28 other assets in the market, which aggregate nearly
3.8 million square feet, and will benefit from leasing and
operational synergies resulting from the Company's clustered assets
in the trade area.
Dispositions
- During the three months ended March 31,
2022, the Company generated approximately $60.9 million of gross proceeds on the
disposition of five shopping centers, as well as one partial
property, comprised of 0.6 million square feet of gross leasable
area.
- Subsequent to March 31, 2022, the
Company disposed of two shopping centers, as well as one partial
property, for $17.3 million of gross
proceeds.
CAPITAL STRUCTURE
- During the three months ended March 31,
2022, the Company raised approximately $44.4 million in gross proceeds, excluding
commissions, from the sale of approximately 1.7 million shares of
common stock at an average price per share of $25.49 through its at-the-market equity offering
program. As of March 31, 2022,
$350.4 million of common stock
remained available for issuance under the at-the-market equity
offering program.
- On April 28, 2022, the Company's
operating partnership, Brixmor Operating Partnership LP (the
"Operating Partnership"), amended and restated its Unsecured Credit
Facility and $300 Million Term Loan
(the "Facilities"), increasing the total amount available under the
Operating Partnership's unsecured credit facilities from
$1.55 billion to $1.75 billion, while extending the maturities and
lowering the pricing of the Facilities. The amendments
provide for (i) revolving loan commitments of $1.25 billion (the "Revolving Facility")
scheduled to mature on June 30, 2026
(extending the prior maturity date from February 28, 2023) and (ii) a continuation of the
existing $300 Million Term Loan
scheduled to mature on July 26, 2027
(extending the prior maturity date from July
26, 2024) and a new $200.0
million delayed draw term loan, maturing on July 26, 2027 (together, the "Term Loan
Facility"). As of May 2, 2022, the
Operating Partnership has not drawn any amounts under the delayed
draw term loan. The Revolving Facility includes two six-month
maturity extension options, the exercise of which is subject to
customary conditions and the payment of a fee on the extended
commitments.
-
- The interest rates applicable to borrowings under the
Facilities were lowered (for the margins based on the Operating
Partnership's current credit ratings), (i) with respect to the
Revolving Facility, to an adjusted SOFR plus 105 basis points from
LIBOR plus 110 basis points and (ii) with respect to the Term Loan
Facility, to an adjusted SOFR plus 120 basis points from LIBOR plus
125 basis points.
- The Facilities feature a sustainability-linked pricing
component whereby the applicable interest rate margin can decrease
by one to two basis points if the Company meets certain
sustainability performance targets related to reductions in
greenhouse gas emissions as verified by an independent third-party
evaluation.
- The Facilities include an accordion feature that allows the
Operating Partnership to increase the total potential capacity of
the Facilities by increasing the revolving loan commitments or
adding term loans in the aggregate amount of up to $1.50 billion, subject to certain conditions,
including obtaining additional lender commitments to provide such
increased amounts.
GUIDANCE
- The Company has updated its previously provided NAREIT FFO per
diluted share expectations for 2022 to $1.88 - $1.95 from
$1.86 - $1.95 and its same property NOI growth
expectations for 2022 to 3.0% - 4.5% from 2.0% - 4.0%.
- Expectations for 2022 same property NOI growth include a:
-
- Contribution from base rent of 400 - 500 bps
- Detraction from revenues deemed uncollectible of (150) bps -
(100) bps, based on net reserves of 100 – 60 bps of total
revenues
- Contribution from all other line items of 50 bps
- Expectations for 2022 Nareit FFO:
-
- Do not contemplate any additional tenants moving to or from a
cash basis of accounting, either of which may result in significant
volatility in straight-line rental income
- Do not include any additional items that impact FFO
comparability, including litigation and other non-routine legal
expenses, loss on extinguishment of debt, and transaction expenses,
or any one-time items
- The following table provides a reconciliation of the range of
the Company's 2022 estimated net income attributable to common
stockholders to Nareit FFO:
(Unaudited, dollars in millions, except per share
amounts)
|
|
2022E
|
|
2022E Per Diluted
Share
|
Net income
|
|
$250 -
$271
|
|
$0.83 -
$0.90
|
Depreciation and amortization related to real
estate
|
|
330
|
|
1.10
|
Gain on sale of real estate assets
|
|
(22)
|
|
(0.07)
|
Impairment of real estate assets
|
|
5
|
|
0.02
|
Nareit FFO
|
|
$563 - $584
|
|
$1.88 - $1.95
|
CONNECT WITH BRIXMOR
- For additional information, please visit
https://www.brixmor.com;
- Follow Brixmor on:
-
- Twitter at https://www.twitter.com/Brixmor
- Facebook at https://www.facebook.com/Brixmor
- Instagram at
https://www.instagram.com/brixmorpropertygroup
- YouTube at https://www.youtube.com/user/Brixmor; and
- Find Brixmor on LinkedIn at
https://www.linkedin.com/company/brixmor.
CONFERENCE CALL AND SUPPLEMENTAL INFORMATION
The Company will host a teleconference on Tuesday, May 3, 2022 at 10:00 AM ET. To participate, please dial
877.705.6003 (domestic) or 201.493.6725 (international) within 15
minutes of the scheduled start of the call. The teleconference can
also be accessed via a live webcast at https://www.brixmor.com in
the Investors section. A replay of the teleconference will be
available through midnight ET on
May 17, 2022 by dialing 844.512.2921
(domestic) or 412.317.6671 (international) (Passcode: 13727467) or
via the web through May 3, 2023 at
https://www.brixmor.com in the Investors section.
The Company's Supplemental Disclosure will be posted at
https://www.brixmor.com in the Investors section. These materials
are also available to all interested parties upon request to the
Company at investorrelations@brixmor.com or 800.468.7526.
NON-GAAP PERFORMANCE MEASURES
The Company presents the non-GAAP performance measures set forth
below. These measures should not be considered as
alternatives to, or more meaningful than, net income (calculated in
accordance with GAAP) or other GAAP financial measures, as an
indicator of financial performance and are not alternatives to, or
more meaningful than, cash flow from operating activities
(calculated in accordance with GAAP) as a measure of
liquidity. Non-GAAP performance measures have limitations as
they do not include all items of income and expense that affect
operations, and accordingly, should always be considered as
supplemental financial results to those calculated in accordance
with GAAP. The Company's computation of these non-GAAP
performance measures may differ in certain respects from the
methodology utilized by other REITs and, therefore, may not be
comparable to similarly titled measures presented by such other
REITs. Investors are cautioned that items excluded from these
non-GAAP performance measures are relevant to understanding and
addressing financial performance. A reconciliation of these
non-GAAP performance measures to net income is presented in the
attached tables.
Nareit
FFO
Nareit FFO is a supplemental, non-GAAP performance measure
utilized to evaluate the operating and financial performance of
real estate companies. Nareit defines FFO as net income (loss),
calculated in accordance with GAAP, excluding (i) depreciation and
amortization related to real estate, (ii) gains and losses from the
sale of certain real estate assets, (iii) gains and losses from
change in control, (iv) impairment write-downs of certain real
estate assets and investments in entities when the impairment is
directly attributable to decreases in the value of depreciable real
estate held by the entity and (v) after adjustments for
unconsolidated joint ventures calculated to reflect FFO on the same
basis. Considering the nature of its business as a real estate
owner and operator, the Company believes that Nareit FFO is useful
to investors in measuring its operating and financial performance
because the definition excludes items included in net income that
do not relate to or are not indicative of the Company's operating
and financial performance, such as depreciation and amortization
related to real estate, and items which can make periodic and peer
analyses of operating and financial performance more difficult,
such as gains and losses from the sale of certain real estate
assets and impairment write-downs of certain real estate
assets.
Same Property NOI
Same property NOI is a supplemental, non-GAAP performance
measure utilized to evaluate the operating performance of real
estate companies. Same property NOI is calculated (using
properties owned for the entirety of both periods and excluding
properties under development and completed new development
properties that have been stabilized for less than one year) as
total property revenues (base rent, expense reimbursements,
adjustments for revenues deemed uncollectible, ancillary and other
rental income, percentage rents, and other revenues) less direct
property operating expenses (operating costs and real estate
taxes). Same property NOI excludes (i) corporate level expenses
(including general and administrative), (ii) lease termination
fees, (iii) straight-line rental income, net, (iv) accretion of
below-market leases, net of amortization of above-market leases and
tenant inducements, (v) straight-line ground rent expense, and (vi)
income or expense associated with the Company's captive insurance
company. Considering the nature of its business as a real
estate owner and operator, the Company believes that same property
NOI is useful to investors in measuring the operating performance
of its property portfolio because the definition excludes various
items included in net income that do not relate to, or are not
indicative of, the operating performance of the Company's
properties, such as depreciation and amortization and corporate
level expenses (including general and administrative), lease
termination fees, straight-line rental income, net, accretion of
below-market leases, net of amortization of above-market leases and
tenant inducements, and straight-line ground rent expense and
because it eliminates disparities in NOI due to the acquisition or
disposition of properties or the stabilization of completed new
development properties during the period presented and therefore
provides a more consistent metric for comparing the operating
performance of the Company's real estate between periods.
ABOUT BRIXMOR PROPERTY GROUP
Brixmor (NYSE: BRX) is a real estate investment trust (REIT)
that owns and operates a high-quality, national portfolio of
open-air shopping centers. Its 380 retail centers comprise
approximately 67 million square feet of prime retail space in
established trade areas. The Company strives to own and
operate shopping centers that reflect Brixmor's vision "to be the
center of the communities we serve" and are home to a diverse mix
of thriving national, regional and local retailers. Brixmor
is a proud real estate partner to over 5,000 retailers including
The TJX Companies, The Kroger Co., Publix Super Markets and
Ross Stores.
Brixmor announces material information to its investors in SEC
filings and press releases and on public conference calls, webcasts
and the "Investors" page of its website at https://www.brixmor.com.
The Company also uses social media to communicate with its
investors and the public, and the information Brixmor posts on
social media may be deemed material information. Therefore, Brixmor
encourages investors and others interested in the Company to review
the information that it posts on its website and on its social
media channels.
SAFE HARBOR LANGUAGE
This press release may contain 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. These
statements include, but are not limited to, statements related to
the Company's expectations regarding the performance of its
business, its financial results, its liquidity and capital
resources and other non-historical statements. You can identify
these forward-looking statements by the use of words such as
"outlook," "believes," "expects," "potential," "continues," "may,"
"will," "should," "seeks," "projects," "predicts," "intends,"
"plans," "estimates," "anticipates" or the negative version of
these words or other comparable words. Such forward-looking
statements are subject to various risks and uncertainties,
including those described under the sections entitled
"Forward-Looking Statements" and "Risk Factors" in the Company's
Annual Report on Form 10-K for the year ended December 31, 2021, as such factors may be updated
from time to time in our periodic filings with the SEC, which are
accessible on the SEC's website at www.sec.gov. Accordingly, there
are or will be important factors that could cause actual outcomes
or results to differ materially from those indicated in these
statements. These factors should not be construed as exhaustive and
should be read in conjunction with the other cautionary statements
that are included in this release and in the Company's filings with
the SEC. The Company undertakes no obligation to publicly update or
review any forward-looking statement, whether as a result of new
information, future developments or otherwise, except as required
by law.
CONSOLIDATED BALANCE
SHEETS
|
|
|
|
Unaudited, dollars in
thousands, except share information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of
|
|
As of
|
|
|
|
|
|
3/31/22
|
|
12/31/21
|
|
Assets
|
|
|
|
|
|
|
Real estate
|
|
|
|
|
|
|
Land
|
$
1,807,111
|
|
$
1,773,448
|
|
|
|
Buildings and tenant
improvements
|
8,111,446
|
|
8,009,320
|
|
|
|
Construction in
progress
|
109,512
|
|
101,422
|
|
|
|
Lease
intangibles
|
544,836
|
|
544,224
|
|
|
|
|
|
10,572,905
|
|
10,428,414
|
|
|
|
Accumulated
depreciation and amortization
|
(2,847,814)
|
|
(2,813,329)
|
|
|
Real estate,
net
|
7,725,091
|
|
7,615,085
|
|
|
Cash and cash
equivalents
|
31,567
|
|
296,632
|
|
|
Restricted
cash
|
8,817
|
|
1,111
|
|
|
Marketable
securities
|
19,315
|
|
20,224
|
|
|
Receivables,
net
|
239,856
|
|
234,873
|
|
|
Deferred charges and
prepaid expenses, net
|
144,401
|
|
143,503
|
|
|
Real estate assets held
for sale
|
24,398
|
|
16,131
|
|
|
Other assets
|
52,732
|
|
49,834
|
|
Total assets
|
$
8,246,177
|
|
$
8,377,393
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
Debt obligations,
net
|
$
5,010,568
|
|
$
5,164,518
|
|
|
Accounts payable,
accrued expenses and other liabilities
|
461,951
|
|
494,529
|
|
Total
liabilities
|
5,472,519
|
|
5,659,047
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
Common stock, $0.01 par
value; authorized 3,000,000,000 shares;
|
|
|
|
|
|
|
308,615,244 and
306,337,045 shares issued and 299,488,252 and
297,210,053
|
|
|
|
|
|
|
shares
outstanding
|
2,995
|
|
2,972
|
|
|
Additional paid-in
capital
|
3,269,719
|
|
3,231,732
|
|
|
Accumulated other
comprehensive loss
|
(1,722)
|
|
(12,674)
|
|
|
Distributions in excess
of net income
|
(497,334)
|
|
(503,684)
|
|
Total equity
|
2,773,658
|
|
2,718,346
|
|
Total liabilities and
equity
|
$
8,246,177
|
|
$
8,377,393
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|
|
|
Unaudited, dollars in
thousands, except per share amounts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
3/31/22
|
|
3/31/21
|
|
Revenues
|
|
|
|
|
|
Rental
income
|
$
298,362
|
|
$
276,461
|
|
|
Other
revenues
|
267
|
|
3,285
|
|
Total
revenues
|
298,629
|
|
279,746
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
|
Operating
costs
|
34,796
|
|
31,385
|
|
|
Real estate
taxes
|
41,640
|
|
42,888
|
|
|
Depreciation and
amortization
|
84,222
|
|
83,420
|
|
|
Impairment of real
estate assets
|
4,590
|
|
1,467
|
|
|
General and
administrative
|
28,000
|
|
24,645
|
|
Total operating
expenses
|
193,248
|
|
183,805
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
Dividends and
interest
|
75
|
|
87
|
|
|
Interest
expense
|
(47,322)
|
|
(48,994)
|
|
|
Gain on sale of real
estate assets
|
21,911
|
|
5,764
|
|
|
Loss on extinguishment
of debt, net
|
-
|
|
(1,197)
|
|
|
Other
|
(539)
|
|
770
|
|
Total other
expense
|
(25,875)
|
|
(43,570)
|
|
|
|
|
|
|
|
|
|
Net income
|
$
79,506
|
|
$
52,371
|
|
|
|
|
|
|
|
|
|
Net income per common
share:
|
|
|
|
|
|
|
|
Basic
|
|
|
$
0.27
|
|
$
0.18
|
|
|
Diluted
|
|
|
$
0.26
|
|
$
0.18
|
|
Weighted average
shares:
|
|
|
|
|
|
|
|
Basic
|
|
|
298,528
|
|
297,110
|
|
|
Diluted
|
|
|
299,457
|
|
297,846
|
FUNDS FROM
OPERATIONS (FFO)
|
|
|
|
Unaudited, dollars in
thousands, except per share amounts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
3/31/22
|
|
3/31/21
|
|
|
|
|
|
|
|
|
|
Net income
|
$
79,506
|
|
$
52,371
|
|
|
Depreciation and
amortization related to real estate
|
83,190
|
|
82,455
|
|
|
Gain on sale of real
estate assets
|
(21,911)
|
|
(5,764)
|
|
|
Impairment of real
estate assets
|
4,590
|
|
1,467
|
|
NAREIT FFO
|
$
145,375
|
|
$
130,529
|
|
|
|
|
|
|
|
|
|
NAREIT FFO per diluted
share
|
$
0.49
|
|
$
0.44
|
|
Weighted average
diluted shares outstanding
|
299,457
|
|
297,846
|
|
|
|
|
|
|
|
|
|
Items that impact FFO
comparability
|
|
|
|
|
|
Litigation and other
non-routine legal expenses
|
$
-
|
|
$
(1,831)
|
|
|
Loss on extinguishment
of debt, net
|
-
|
|
(1,197)
|
|
|
Transaction
expenses
|
(33)
|
|
(32)
|
|
Total items that impact
FFO comparability
|
$
(33)
|
|
$
(3,060)
|
|
Items that impact FFO
comparability, net per share
|
$
(0.00)
|
|
$
(0.01)
|
|
|
|
|
|
|
|
|
|
Additional
Disclosures
|
|
|
|
|
|
Straight-line rental
income, net (1)
|
$
4,739
|
|
$
2,272
|
|
|
Accretion of
below-market leases, net of amortization of above-market leases and
tenant inducements
|
2,044
|
|
984
|
|
|
Straight-line ground
rent expense, net (2)
|
8
|
|
(46)
|
|
|
|
|
|
|
|
|
|
Dividends declared per
share
|
$
0.240
|
|
$
0.215
|
|
Dividends
declared
|
$
71,877
|
|
$
63,843
|
|
Dividend payout ratio
(as % of NAREIT FFO)
|
49.4%
|
|
48.9%
|
(1)
|
Includes straight-line
rental income reversals and re-establishments associated with the
conversion of tenants between the cash and accrual bases of
accounting of ($0.1 million) and ($1.6 million) during the three
months ended March 31, 2022 and 2021, respectively.
|
(2)
|
Straight-line ground
rent expense, net is included in Operating costs on the
Consolidated Statements of Operations.
|
SAME PROPERTY NOI
ANALYSIS
Unaudited, dollars in thousands
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
3/31/22
|
|
3/31/21
|
|
Change
|
Same Property NOI
Analysis
|
|
|
|
|
|
|
Number of
properties
|
|
360
|
|
360
|
|
-
|
Percent
billed
|
|
88.5%
|
|
87.7%
|
|
0.8%
|
Percent
leased
|
|
92.0%
|
|
90.8%
|
|
1.2%
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
|
Base rent
|
|
$
201,784
|
|
$
194,191
|
|
|
|
Expense
reimbursements
|
|
61,867
|
|
60,463
|
|
|
|
Revenues deemed
uncollectible
|
|
2,103
|
|
(4,096)
|
|
|
|
Ancillary and other
rental income / Other revenues
|
|
5,622
|
|
4,485
|
|
|
|
Percentage
rents
|
|
3,259
|
|
2,003
|
|
|
|
|
|
274,635
|
|
257,046
|
|
6.8%
|
Operating
expenses
|
|
|
|
|
|
|
|
Operating
costs
|
|
(32,895)
|
|
(29,553)
|
|
|
|
Real estate
taxes
|
|
(39,334)
|
|
(40,782)
|
|
|
|
|
|
(72,229)
|
|
(70,335)
|
|
2.7%
|
Same property
NOI
|
|
$
202,406
|
|
$
186,711
|
|
8.4%
|
|
|
|
|
|
|
|
|
NOI margin
|
|
73.7%
|
|
72.6%
|
|
|
Expense recovery
ratio
|
|
85.7%
|
|
86.0%
|
|
|
|
|
|
|
|
|
|
Percent Contribution
to Same Property NOI Performance:
|
|
|
|
|
|
|
|
|
|
|
|
Change
|
|
Percent
Contribution
|
|
|
|
Base rent - excluding
COVID-19 rent deferrals (lease modifications) and rent
abatements
|
|
$
5,260
|
|
2.8%
|
|
|
|
Base rent - COVID-19
rent deferrals (lease modifications) and rent abatements
|
|
2,333
|
|
1.3%
|
|
|
|
Revenues deemed
uncollectible
|
|
6,199
|
|
3.3%
|
|
|
|
Net expense
reimbursements
|
|
(490)
|
|
(0.3%)
|
|
|
|
Ancillary and other
rental income / Other revenues
|
|
1,137
|
|
0.6%
|
|
|
|
Percentage
rents
|
|
1,256
|
|
0.7%
|
|
|
|
|
|
|
|
|
|
8.4%
|
|
|
Reconciliation of
Net Income to Same Property NOI
|
|
|
|
|
|
Same property
NOI
|
|
$
202,406
|
|
$
186,711
|
|
Adjustments:
|
|
|
|
|
|
|
Non-same property
NOI
|
|
11,866
|
|
14,168
|
|
|
Lease termination
fees
|
|
1,130
|
|
1,384
|
|
|
Straight-line rental
income, net
|
|
4,739
|
|
2,272
|
|
|
Accretion of
below-market leases, net of amortization of above-market leases and
tenant inducements
|
|
2,044
|
|
984
|
|
|
Straight-line ground
rent expense, net
|
|
8
|
|
(46)
|
|
|
Depreciation and
amortization
|
|
(84,222)
|
|
(83,420)
|
|
|
Impairment of real
estate assets
|
|
(4,590)
|
|
(1,467)
|
|
|
General and
administrative
|
|
(28,000)
|
|
(24,645)
|
|
|
Total other
expense
|
|
(25,875)
|
|
(43,570)
|
|
Net income
|
|
$
79,506
|
|
$
52,371
|
|
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SOURCE Brixmor Property Group Inc.