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NAREIT ANNUAL CONFERENCENOVEMBER 2019
1
OVERVIEW
BEST-IN-CLASSASSETS
UNIQUE & SCALABLE PENN DISTRICT OPPORTUNITY
LEADING OPERATINGPLATFORM
FORTRESS BALANCE SHEET
TRACK RECORD OF VALUE CREATION
NEW YORK CITYFOCUSED
2
HEADER TEXT HEREDEEP, TALENTED & EXPERIENCED MANAGEMENT TEAM
MIKE DOHERTY
President & CEO of BMS
MATTHEW IOCCO
Executive Vice President, Chief Accounting Officer
MARK HUDSPETH
Executive Vice President, Head of Capital Markets
FRED GRAPSTEIN
Executive Vice President, Hotel Pennsylvania
EDWARD P. HOGAN, JR.
Executive Vice President, Retail Leasing
ROBERT ENTIN
Executive Vice President, Chief Information Officer
JOSH GLICK
Senior Vice President, Office Leasing
PAUL C. HEINEN
Senior Vice President, Office Leasing, theMART
DAVID BELLMAN
Senior Vice President, Development Design
& Construction
GEOFF SMITH
Senior Vice President, Development
LISA VOGEL
Senior Vice President, Marketing
ELI ZAMEK
Senior Vice President, Development Design
& Construction
STEVE SANTORA
Senior Vice President, Financial Operations
JESSICA ROSS
Senior Vice President, Financial Planning & Analysis
NICK STELLO
Senior Vice President, IT Infrastructure
THOMAS SANELLI
Executive Vice President & Chief Financial Officer,
New York
CRAIG STERN
Executive Vice President, Tax & Compliance
GARY HANSEN
Senior Vice President &Controller - Alexander’s
CATHERINE CRESWELL
Senior Vice President, Investor Relations
RICH FAMULARO
Senior Vice President, Controller
FRANK MAIORANO
Senior Vice President, Tax & Compliance
MYRON MAURER
Chief Operations Officer, theMART
GASTON SILVA
Chief Operations Officer
SUSAN MCCULLOUGH
Senior Vice President, theMART - Tradeshows
ELANA BUTLER
Senior Vice President, Retail Leasing Counsel
PAMELA CARUSO
Senior Vice President, Office Leasing Counsel
ALAN RICE
Senior Vice President, Corporation Counsel
CLIFF BROSER
Senior Vice President, Acquisitions & Capital Markets
ADAM GREEN
Senior Vice President, Acquisitions & Capital Markets
MARIO RAMIREZ
Senior Vice President, Acquisitions & Capital Markets
RICHARD RECZKA
Senior Vice President, Acquisitions & Capital Markets
JAN LACHAPELLE
Senior Vice President, Acquisitions & Capital Markets
GLEN WEISS
Executive Vice President,Office Leasing
Co-Head of Real Estate
STEVEN ROTH
Chairman of the Board and Chief Executive Officer
BARRY S. LANGER
Executive Vice President, Development
Co-Head of Real Estate
HAIM S. CHERA
Executive Vice President, Head of Retail
DAVID R. GREENBAUM
Vice Chairman
JOSEPH MACNOW
Executive Vice President, Chief Financial Officer,
Chief Administrative Officer
MICHAEL J. FRANCO
President
C O R P O R AT EO F F I C E R S
E X E C U T I V EV I C E
P R E S I D E N T S
S E N I O RV I C E
P R E S I D E N T S
3
NEW YORK CITY IS OUR HOME & CONTINUES TO BE A MAGNET FOR TALENT AND COMPANIES
ECONOMIC GROWTH LABOR POOL
INNOVATIONTALENT ATTRACTION
• New York City has captured the greatest share of US (8.9%) and Global GDP (2.6%) of all cities between 2010-2018
• New York City created more jobs than peers across a diverse set of industries, while Tier 2 fast-growing cities are more heavily skewed to technology
• New York City has a growing population of educated individuals (net in-migration of 33K people with bachelor degrees between 2014-2017)
• New York City is leading in new companies formed (e.g., start-up density of 154.7 new businesses per 1000 vs. 150.4 for San Francisco)
• New York City has reached $13B of VC funding in start-ups so far this year and captured 16% of total U.S. VC funding, second only to San Francisco
• New York City is the leading city for talent attraction domestically (#1 city for top U.S. college graduates) and abroad (31% H1B visa approvals)
• New York City has the most ultra high net worth individuals globally and is growing
Source: McKinsey & Co., PwC / CB Insights MoneyTree
4
RATIONALE FOR OWNING VORNADO STOCK
• Attractive common dividend yield of 4.0%1
• Trading at a significant discount to NAV
• Deep, talented, proven management team
• Fortress balance sheet with substantial cash and available liquidity (~$3.36 billion today and growing) to fund Penn District and take advantage of future investment opportunities
• Only significant way to invest publicly in fast growing West Side of Manhattan
• Growth from Penn District redevelopment – over 9 million SF existing portfolio with significant NOI upside and value creation
– 6.8 million SF of office with average in-place rents of $67 PSF; neighboring properties to the west asking rents range from $98-225 PSF2
– 5.2 million SF under development now, which is being self-financed with cash from 220 CPS• Farley Building (845,000 rentable SF) development in process• PENN 1 redevelopment in process• PENN 2 transformation (1.8 million rentable SF) to commence in 1Q20
– Hotel Pennsylvania site (2.8 million rentable SF of development) – Other development sites
• Internal growth over time from highly sought-after existing assets (e.g., 770 Broadway, 555 California Street, theMART)
• Largest owner of LEED certified buildings in New York City with 26 million SF
• Management has consistently acted to create shareholder value
1. As of 11/7/2019 market close.2. As of 9/30/2019.
5
FORTRESS BALANCE SHEET
• Investment grade debt — Baa2/BBB
• $2.1 BN in revolver capacity
• $1.0 BN in cash1
• Weighted average debt maturity — 3.6 years
• ~$9 BN of unencumbered assets
(Amounts in millions)
SEPTEMBER 30, 2019
Secured debt $ 5,674
Unsecured debt 1,855
Pro rata share of non-consolidated debt 2,807
Less: noncontrolling interests' share of consolidated debt (484)
Total debt 9,852
Projected cash proceeds from 220 Central Park South (1,787)
Cash, restricted cash and marketable securities1 (995)
Net Debt $ 7,070
TTM EBITDA, as adjusted2 $ 1,119
Net Debt/EBITDA, as adjusted 6.3x
1. Includes $105 million 150 West 34th Street loan participation and deducts potential special dividend of approximately $390 million.2. See page 30 for non-GAAP reconciliation.
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Fron
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GRAND CENTRAL
PLAZADISTRICT
ROCK
EFEL
LER
CEN
TER
MIDTOWN
MURRAYHILL
EAST SIDE
LOWEREAST SIDE
LITTLE ITALY
CITY HALL
INSURANCE
TRIBECA
UNION SQUARE
GRAMERCY
HUDSON SQUARE
GREENWICHVILLAGE
WESTVILLAGE
EASTVILLAGE
SOHO
CHELSEA
FLATIRON
UPPER EAST SIDEUPPER WEST SIDE
CHINATOWN
UNITEDNATIONS
COLUMBUS CIRCLE
TIMES SQUARE
WORLDFINANCIAL
FINANCIAL EAST
PENN DISTRICT
TIMES SQUARE SOUTH
888 SEVENTH
PENN 2
909 THIRD
770 BROADWAY
330 WEST 34TH
640 FIFTH
1601 BROADWAY
510 FIFTH 330 MADISON
666 FIFTH
689 FIFTH
1290 AVE OF THE AMERICAS
731 LEXINGTON650 MADISON
150 EAST 58TH
715 LEXINGTON595 MADISON
350 PARK
280 PARK
655 FIFTH
PENN 1
PENN 11
4 UNION SQUARE SOUTH
512 WEST 22ND STREET
260 ELEVENTH AVENUE
PENN 15
608 FIFTH AVENUE
85 TENTH AVENUE
61 NINTH AVENUE
606 BROADWAY
100 WEST 33RD
50 WEST 57TH
FARLEY BUILDING
6
Upon completion of the developments in process, the Penn District is expected to represent approximately 33% of NOI
Components of NOI at share - Cash Basis
66%
20%
14%NYC OFFICE
NYC RETAIL
PENN DISTRICT
23%
theMART /555 CALIFORNIA
66
COMPONENTS OF PRO-FORMA NOI AT SHARE - CASH BASIS1
TTM 9/30/19 NOI: $1,169M
1. For the trailing twelve months ended 9/30/19, as adjusted for (i) the April 18th Retail Transaction, (ii) the termination of the ground lease at 608 Fifth Avenue, (iii) 330 Madison Avenue (sold on July 11, 2019), (iv) 3040 M Street (sold on September 19, 2019), and (v) the adjustment to offset the accrual in Q4 2018 for the annual real estate tax increase at theMART. NOI is a non-GAAP measure. See “Non-GAAP Financial Measures” on page 31 of this presentation for additional information.
7
731 LEXINGTON AVENUE 1290 AVENUE OF THE AMERICAS
M I D T O W N
SELECT NEW YORK CITY OFFICE PROPERTIES
P L A Z A D I S T R I C T
595 MADISON AVENUE 640 FIFTH AVENUE 689 FIFTH AVENUE888 SEVENTH AVENUE 650 MADISON AVENUE
280 PARK AVENUE
330 WEST 34TH STREET
350 PARK AVENUE
PENN 1
61 NINTH AVENUE
PENN 2 THE FARLEY BUILDING
512 WEST 22ND STREET 85 TENTH AVENUE
90 PARK AVENUE
ONE PARK AVENUE
7 WEST 34TH STREET
770 BROADWAY
PENN 11
G R A N D C E N T R A LP E N N D I S T R I C T
M I D T O W N S O U T H PA R K AV E N U E C H E L S E A / M E AT PA C K I N G
8484-486 BROADWAY435 SEVENTH AVENUE
666 FIFTH AVENUE 510 FIFTH AVENUE
650 MADISON AVENUE 677 MADISON AVENUE595 MADISON AVENUE828-850 MADISON AVENUE
150 WEST 34TH STREET
640 FIFTH AVENUE689 FIFTH AVENUE 697 FIFTH AVENUE 655 FIFTH AVENUE
1540 & 1535 BROADWAY4 UNION SQUARE
SELECT NEW YORK CITY STREET RETAIL PROPERTIES
9
theMART
theMART building (Chicago) – best example of contemporary office space outside of Silicon Valley. Transformed from a showroom building to the premier creative and tech hub in the Midwest, resulting in significant earnings growth and value creation
• 3,674,000 SF building – 95.0% Occupancy at 9/30/19
• Located in River North, the hottest submarket in Chicago
• Since 2011, have converted over 950,000 SF from showroom/trade show space to creative office space
• 9/30/19 TTM Cash NOI (non-GAAP)1 of $102.9 million2 versus 2011 Cash NOI of $54.3 million
• In-place escalated rents average $47.73 PSF as of 9/30/19 (office $43.26, showroom $53.21 and retail $55.05)
• In conjunction with the City of Chicago, theMART hosts Art on theMART, a curated series of digital artwork projects by renowned artists across the 2.5 acre exterior river-façade of theMART. The installation is the largest permanent digital art projection in the world.
Major Tenants: – Motorola Mobility (guaranteed by Google)
– ConAgra Foods Inc. – 1871 – Kellogg's
– Allscripts Healthcare
– Yelp Inc. – Paypal, Inc. – Razorfish – Allstate Insurance – Steelcase
– Herman Miller1. See page 32 for non-GAAP reconciliation.2. The 9/30/19 TTM Cash NOI includes the add back of (i) free rent and (ii) the adjustment to offset the accrual in Q4 2018
for the annual real estate tax increase which is billed to tenants throughout 2019.
10
555 California Street – the franchise office building in San Francisco and arguably the most iconic building on the west coast.
• 1,819,000 SF complex – 100.0% occupancy at 9/30/19
• 9/30/19 TTM Cash NOI (non-GAAP)1 of $60.9 million at share
• In-place escalated rents average $80.96 PSF as of 9/30/19, which are significantly below market
Major Tenants: – Bank of America – Blue Shield – Centerview Partners – Dodge & Cox – Fenwick & West LLP – Goldman Sachs – Jones Day
– Kirkland & Ellis LLP – KKR – Lending Home Corporation – McKinsey & Company – Microsoft – Morgan Stanley – Sidley Austin – UBS
555 CALIFORNIA STREET
1. See page 32 for non-GAAP reconciliation.
11
HEADER TEXT HERENATIONALLY RECOGNIZED, INDUSTRY-LEADING SUSTAINABILITY PROGRAM SUSTAINABILITY
SM
6-time Energy Star Partner of the Year; Sustained Excellence recipient 2019.
Largest owner of LEED certified buildings in New York City with over 26 million square feet. All new commercial developments will be, at minimum, LEED Gold certified.
NAREIT Leader in the Light award 10 years in a row.
Global Real Estate Sustainability Benchmark (GRESB) “Green Star” since 2013, 7th year in a row. Our score of 91 ranks #4 out of 62 Listed (i.e. public) companies in the Americas region, and #59 out of the total 964 respondents.
The Climate Group EP100 Member for commitment to 35% reduction in energy efficiency by 2026.
22% reduction in same-store greenhouse gas emission since 2009.
Our marquee assets 731 Lexington Avenue and theMART are among the first buildings to achieve Fitwel certification.
www.vno.com
W H E R E TA L E N T I S O U R C L I E N T
12
HEADER TEXT HERE
P E N ND I S T R I C TH U D S O N
Y A R D S
C H E L S E A
T I M E SS Q U A R E
M I D T O W NH E L L ’ S
K I T C H E N
U P P E RE A S T S I D E
U P P E RW E S T S I D E
M I D T O W NS O U T H
F L A T I R O ND I S T R I C T
F I N A N C I A LD I S T R I C T
N E WJ E R S E Y
B R O O K L Y N
Q U E E N S
W E S TV I L L A G E
G R E E N W I C HV I L L A G E
E A S TV I L L A G E
L O W E RE A S T S I D E
T R I B E C A
S O H O
G A R M E N TD I S T R I C T
13
N E WJ E R S E Y
M A R Y L A N D
D E L A W A R E
M A S S A C H U S E T T S
N E W Y O R K
P E N N S Y LVA N I A
V I R G I N I A
C O N N E C T I C U T
R H O D EI S L A N D
PHILADELPHIA1 HOUR & 15 MINUTES
BOSTON3 HOURS & 30 MINUTES
WASHINGTON D.C.3 HOURS
PENN STATION / MOYNIHAN
TRAIN HALL IS THE
LINCHPIN OF THE
NORTHEAST INNOVATION
CORRIDOR
THE PENN DISTRICT IS THE EASIEST NEIGHBORHOOD TO GET TO AND SITS IN THE EPICENTER OF MANHATTAN.
Penn Station, including Moynihan Train Hall, is the busiest transportation hub in North America. Home to the Long Island Rail Road, New Jersey Transit, Amtrak and several subway lines.
14
“IN EVERY GREAT GLOBAL CITY, THE MOST VALUABLE REAL ESTATE STANDS ATOP THE MAJOR TRANSPORTATION HUB.“
ONCE REDEVELOPED, THE
VORNADO PENN DISTRICT
HOLDINGS WILL JOIN THE LIST.
- JLL RESEARCH, 4/23/19
15
REAL ESTATE ON TOP OF MAJOR TRANSIT HUBS COMMANDS PREMIUM RENTS & THE HIGHEST VALUES
T O K YO M I R A I N A T O W E R - S H I N J U K U S TAT I O NH O N G K O N G I C C - K O W L O O N / W E S T K O W L O O N S TAT I O N
L O N D O N K I N G ’ S C R O S S - K I N G ’ S C R O S S / S T PA N C R A S S TAT I O N S H A N G H A I I C C / S H A N G H A I I A P M - S O U T H S H A A N X I S TAT I O N
OUTLINE OF INTERNATIONAL TRANSIT HUB OVER THE PENN DISTRICT
HIGH LINE
FARLEY PARK
MOYNIHAN TRAIN HALL
FARLEY
EMPIRESTATE
BUILDING
JACOB K. JAVITS CONVENTION CENTER MACY’S
MADISON SQUAREGARDEN
PLAZA33
PENN 11
100 WEST 33RD STMANHATTAN MALL
PENN 1330 WEST34TH ST
7 WEST34TH ST
PENN 15(HOTEL PENN)
PENN 2
31ST STREET
32ND STREET
33RD STREET
30TH STREET
27TH STREET
29TH STREET
26TH STREET
25TH STREET
8T
H A
VE
NU
E
7TH
AV
EN
UE
5T
H A
VE
NU
EBR
OA
DW
AY
9T
H A
VE
NU
E
10T
H A
VE
NU
E
11T
H A
VE
NU
E
34TH STREET
35TH STREET
36TH STREET
37TH STREET
38TH STREET
39TH STREET
6T
H A
VE
NU
E
TRAINS FOR MOYNIHAN TRAIN HALL AND PENN STATION BELOW
7
6
6
D
B
M
FQ
N
R
1
2
3
1
A
C
E
RN
W
CA
E21
3Q
N
RW
FM
BD
7
ESTIMATED OPENING
2022
T H E P E N N D I S T R I C T
H U D S O N YA R D S
HUDSONR IVER
M A N H AT TA N W E S T
650,000RIDERS PER DAY
Metro-NorthRailroad
UNIQUE VALUE CREATION OPPORTUNITY
• Existing office leasable space of 6.8MM SF with average in-place rents of $67 PSF(1)
• Hudson Yards to the west asking rents range from $98-225 PSF(1)
• Transformation of the neighborhood, including from $3B of public investment, will enormously enhance the value of the Penn District’s office and retail holdings
VORNADO OWNED PROPERTIES 16
THE PENN DISTRICTTHE EPICENTER OF THE NEW NEW YORK
1. As of 9/30/2019
17
TRANSFORMATION OF THE PENN DISTRICT IS UNDERWAY
18
DEVELOPMENT TIMELINE
2020EXPECTED COMPLETION DATE: FUTURE20222021
PENN 15
260 ELEVENTH
OTHER PENN DISTRICTDEVELOPMENT
OPPORTUNITIES
19
HEADER TEXT HERE
19
(Amounts in thousands, except square feet)
THE PENN DISTRICTACTIVE DEVELOPMENT/REDEVELOPMENT SUMMARY - AS OF SEPTEMBER 30, 2019
(2)
(5)
ACTIVE PENN DISTRICT PROJECTS PROPERTY RENTABLE SQ. FT. BUDGET (1) AMOUNT
EXPENDEDREMAINDER TOBE EXPENDED
STABILIZATIONYEAR
PROJECTEDINCREMENTAL CASH YIELD
Farley (95% interest) 845,000 1,030,000 528,080 501,920 2022 7.4%
PENN 2 - as expanded 1,795,000 750,000 34,372 715,628 2024 8.4%
PENN 1(3) 2,544,000 325,000 57,355 267,645 N/A 13.5% (3)(4)
Districtwide Improvements N/A 100,000 5,372 94,628 N/A N/A
Total Active Penn District Projects 2,205,000 625,179 1,579,821 8.3%
1. Excluding debt and equity carry.2. Net of anticipated historic tax credits.3. Property is ground leased through 2098, as fully extended. Fair market value resets occur in 2023, 2048 and 2073. The 13.5% projected return is before the ground rent reset in 2023, which may be material.4. Achieved as existing leases roll; average remaining lease term 5.0 years.5. Expected to be funded from our balance sheet, principally from 220 CPS net sales proceeds.
There can be no assurance that the above projects will be completed, completed on schedule or within budget. In addition, there can be no assurance that the Company will be successful in leasing the properties on the expected schedule or at the assumed rental rates.
Capital to fund these projects comes entirely from 220 CPS proceeds
20
SIGNIFICANT DRY POWDER AVAILABLE FOR CURRENT PIPELINE & FUTURE INVESTMENTS
INVESTMENTOPPORTUNITIES
PENN 15
260 ELEVENTH
SOURCES USESAVAILABLE TO FUND
FUTURE GROWTH
FARLEY COSTTO COMPLETE2
502,000
PENN 1 COSTTO COMPLETE
268,000
PENN 2 COST TO COMPLETE
716,000
DISTRICTWIDEIMPROVEMENTS
95,000
(Amounts in thousands)
$2,782,000 $1,581,000 $1,201,0003
1. Includes restricted cash, marketable securities and 150 West 34th Street loan participation, as of 9/30/19, and deducts potential special dividend of approximately $390 million.2. Farley development costs at our share, net of anticipated historic tax credits.3. Does not include $1.83 billion of preferred equity received as part of the Retail Transaction.
220 CPS REMAININGNET PROCEEDS
1,787,000
CASH AS OF 9/30/191
995,000
21
FARLEYUNIQUE HORIZONTAL CAMPUS DIRECTLY ON TOP OF TRANSPORTATION
21
22
FARLEYOFFICE INTERIORS & ROOFTOP PARK
22
23
PENN 134TH STREET ENTRANCE
24
PENN 1LOBBY, AMENITY SPACE & PLAZA33
25
PENN 2TRANSFORMATIVE REDEVELOPMENT
26
New rooftop terrace
New penthouse duplex
Two exterior loggias located on all floors
New 4,000 SF town hall space
New modern curtain wall
Two Bustle floors, 44,000 RSF each, featuring double height ceilings and column free space
New triple height lobby located off of 33rd Street tree lined plaza
PENN 2REDEVELOPMENT FEATURES
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PENN 27TH AVENUE & 33RD STREET LOBBY
APPENDIX
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NON-GAAP FINANCIAL MEASURES
This investor presentation contains certain non-GAAP financial measures, including net operating income (“NOI”) and earnings before interest, taxes, depreciation and amortization (“EBITDA”).
NOI represents total revenues less operating expenses. We consider NOI to be the primary non-GAAP financial measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on NOI, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. NOI should not be considered a substitute for net income. NOI may not be comparable to similarly titled measures employed by other companies. We calculate NOI on an Operating Partnership basis which is before allocation to the noncontrolling interest of Vornado Realty L.P. (the "Operating Partnership").
EBITDA represents earnings before interest, taxes, depreciation and amortization. EBITDA is essentially NOI less general and administrative expenses. We use EBITDA as a secondary non-GAAP measure primarily in the context of a net debt to EBITDA ratio. We calculate EBITDA on an Operating Partnership basis which is before allocation to the noncontrolling interest of Vornado Realty L.P. (the "Operating Partnership").
A reconciliation of NOI and EBITDA to net income, the most directly comparable GAAP measure, is provided on the following pages.
These non-GAAP financial measures are used by management, investors and analysts to facilitate meaningful comparisons of operating performance between periods and among our peers because they exclude the effect of real estate depreciation and amortization and net gains on sales, which are based on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions. These metrics do not represent cash generated from operating activities and are not necessarily indicative of cash available to fund obligations and should not be considered as an alternative to net income as performance measures or cash flow as liquidity measures. These non-GAAP metrics may not be comparable to similarly titled measures employed by other companies.
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Reconciliation of Net income attributable to the Operating Partnership to EBITDA and EBITDA, as adjusted for the trailing twelve months ended September 30, 2019
NON-GAAP RECONCILIATIONS
(Amounts in millions)
For the TTM September 30, 2019
Net income attributable to the Operating Partnership $ 3,259 Interest and debt expense 410Depreciation and amortization 535Income tax expense 114
EBITDA 4,318Adjustments, net (1) (3,199)
EBITDA, as adjusted $ 1,119
1. Includes our share of gain on transfer to Fifth Avenue and Times Square JV, income from our sold properties, our Real Estate Fund, gains on sale of real estate, impairment losses, change in fair value of marketable securities, gains on sale of 220 CPS condominium units and other adjustments.
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(Amounts in millions)
NON-GAAP RECONCILIATIONS
For the TTM Ended
September 30, 2019
Net income $ 3,271Depreciation and amortization expense 439General and administrative expense 163Transaction related costs, impairment losses and other 118Income from partially owned entities (59)Loss from real estate fund investments 65Interest and other investment income, net (24)Interest and debt expense 310Net gain on transfer to Fifth Avenue and Times Square JV (2,571)Net gains on disposition of wholly owned and partially owned assets (723)Purchase price fair value adjustment (44)Income tax expense 113NOI from partially owned entities 297NOI attributable to noncontrolling interests in consolidated subsidiaries (72)Adjustment for Retail Transaction1 (60)Non cash adjustments for straight-line rents, amortization of acquired below-market leases, net and other2 (23)Total NOI at share - Cash Basis 1,200Other Investments NOI - Cash Basis (31)
NOI at share - Cash Basis $ 1,169
For the TTM Ended
September 30, 2019
New York:Office (includes $27MM of BMS NOI) $ 700Retail2 230Residential 22 Alexander's 45Hotel Pennsylvania 7
1,004
Other:theMART (including trade shows)2 105555 California Street 60
165
NOI at share - Cash Basis excluding other investments $ 1,169
Reconciliation of Net income to Pro-Forma NOI at share - Cash Basis for the trailing twelve months ended September 30, 2019
Pro-Forma NOI at share - Cash Basis by segment:
1. Adjustment for the April 18th Retail Transaction impact on NOI.2. Includes adjustment for Topshop at 608 Fifth Avenue, 330 Madison Avenue (sold July 11, 2019), 3040 M Street (sold September 19, 2019) and the adjustment to offset
the accrual in Q4 2018 for the annual real estate tax increase at theMART.
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For the TTM Ended September 30, 2019 at share
For the Year EndedDecember 31, 2012 at share
Net income (loss) $ 15.3 $ (4.6) Interest and debt expense 17.3 22.0 Depreciation and amortization 26.6 28.5 Income tax expense 0.8 0.3
EBITDA 60.0 46.2Non-cash adjustments and other (0.6) (9.1)
NOI at share - Cash Basis 59.4 37.1Free rent 1.5 1.1
NOI at share - Cash Basis as adjusted $ 60.9 $ 38.2
For the TTM EndedSeptember 30, 2019
For the Year EndedDecember 31, 2011
Net income (loss) $ 24.1 $ (4.5) Interest and debt expense 18.7 31.2
Depreciation and amortization 40.3 21.6
EBITDA 83.1 48.3Non-cash adjustments and other 5.3 3.1
NOI - Cash Basis 88.4 51.4Real estate tax expense adjustment 9.0 —
Free rent 5.5 2.9
NOI - Cash Basis as adjusted $ 102.9 $ 54.3
Reconciliation of theMART Net income to EBITDA, NOI - Cash Basis and NOI - Cash Basis as adjusted for the year ended December 31, 2011 and for the trailing twelve months ended September 30, 2019
Reconciliation of 555 California Street Net income to EBITDA, NOI at share - Cash Basis and NOI at share - Cash Basis as adjusted for the year ended December 31, 2012 and for the trailing twelve months ended September 30, 2019
(Amounts in millions)
NON-GAAP RECONCILIATIONS
NAREIT ANNUAL CONFERENCENOVEMBER 2019
