BETHESDA, Md., Feb. 28,
2025 /PRNewswire/ -- Saul
Centers, Inc. (NYSE: BFS), an equity real estate investment
trust ("REIT"), announced operating results for the quarter ended
December 31, 2024 ("2024 Quarter"). Total revenue for
the 2024 Quarter increased to $67.9
million from $66.7 million for the quarter ended
December 31, 2023 ("2023 Quarter"). Net income decreased
to $10.4 million for the 2024 Quarter
from $17.5 million for the 2023
Quarter. On October 1, 2024, the
Company delivered Twinbrook Quarter Phase 1, comprised of 452
apartment units, an 80,000 square foot Wegmans supermarket and
approximately 25,000 square feet of small shop space adjacent to
the Twinbrook Metro Station in Rockville,
Maryland. As of February 24,
2025, 202 residential units have been leased and
occupied.
Concurrent with the delivery of Twinbrook Quarter Phase 1 on
October 1, 2024, interest, real
estate taxes and all other costs associated with the residential
portion of the property and Wegmans, including depreciation, began
to be charged to expense, while revenue continues to grow as
occupancy increases. As a result, compared to the 2023 Quarter, net
income for the 2024 Quarter was adversely impacted by $6.8 million due to the initial operations of The
Milton at Twinbrook Quarter. Exclusive of Twinbrook Quarter Phase
I, net income for the 2024 Quarter decreased primarily due to (a)
lower lease termination fees of $2.4 million partially offset by (b) higher
commercial base rent of $2.3
million. Net income available to common stockholders
decreased to $5.3 million, or
$0.22 per basic and diluted
share, for the 2024 Quarter from $10.4
million, or $0.43 per
basic and diluted share, for the 2023 Quarter.
Same property revenue decreased $564,000, or 0.8%, and same property operating
income decreased $1.2 million,
or 2.5%, for the 2024 Quarter compared to the 2023 Quarter.
Shopping Center same property operating income for the 2024 Quarter
totaled $35.3 million, a decrease of
$1.8 million compared to the 2023
Quarter. Shopping Center same property operating income
decreased primarily due to (a) lower lease termination fees of
$2.6 million partially offset by (b)
higher commercial base rent of $1.1 million. Mixed-Use same property
operating income totaled $12.9
million, an increase of $0.6 million compared to the 2023 Quarter.
Mixed-Use same property operating income increased primarily due
to higher residential base rent of $0.5
million. One property, Twinbrook Quarter Phase 1, was
excluded from same property results. Reconciliations of (a)
total revenue to same property revenue and (b) net income to
same property operating income are attached to this press
release.
Same property revenue and same property operating income are
non-GAAP financial measures of performance and improve the
comparability of these measures by excluding the results of
properties that were not in operation for the entirety of the
comparable reporting periods. We define same property revenue as
total revenue less straight-line base rent and above/below
market lease amortization of leases acquired in connection with
purchased real estate investment properties minus the revenue of
properties not in operation for the entirety of the comparable
reporting periods, and we define same property operating income as
net income plus (a) interest expense, net and amortization of
deferred debt costs, (b) depreciation and amortization of deferred
leasing costs, (c) general and administrative expenses, (d) change
in fair value of derivatives, and (e) loss on the early
extinguishment of debt minus (f) gains on sale of property (g)
straight-line base rent and above/below market lease amortization
of leases acquired in connection with purchased real estate
investment properties and (h) the operating income of properties
that were not in operation for the entirety of the comparable
periods.
Funds from operations ("FFO") available to common stockholders
and noncontrolling interests (after deducting preferred stock
dividends) decreased to $22.0
million, or $0.63 per basic
and diluted share, in the 2024 Quarter compared to $26.9 million, or $0.79 per basic and diluted share, respectively,
in the 2023 Quarter. FFO is a non-GAAP supplemental earnings
measure that the Company considers meaningful in measuring its
operating performance. A reconciliation of net income to FFO
is attached to this press release. The decrease in FFO
available to common stockholders and noncontrolling interests was
primarily due to (a) the initial operations of Twinbrook
Quarter Phase I, which adversely impacted FFO by $4.7 million and (b) lower lease termination fees
of $2.4 million partially offset by
(c) higher commercial base rent of $2.3
million.
As of December 31, 2024, 95.2% of the commercial portfolio
was leased compared to 94.1% as of December 31, 2023. As of
December 31, 2024, excluding The Milton at Twinbrook Quarter,
the residential portfolio was 98.3% leased compared to 98.0% as of
December 31, 2023.
For the year ended December 31, 2024 ("2024 Period"), total
revenue increased to $268.8 million
from $257.2 million for the year
ended December 31, 2023 ("2023 Period"). Net income
decreased to $67.7 million for the
2024 Period from $69.0 million
for the 2023 Period. The decrease in net income was primarily
due to (a) the initial operations of Twinbrook Quarter Phase I,
which adversely impacted net income by $7.1
million, (b) higher general and administrative costs of
$1.2 million and (c) higher
credit losses on operating lease receivables of $0.8 million partially offset by (d) higher
commercial base rent of $6.4 million and (e) higher residential base
rent of $1.3 million. Net income
available to common stockholders decreased to $39.5 million, or $1.64 and $1.63 per basic and diluted share, respectively,
for the 2024 Period compared to $41.5
million, or $1.73 per
basic and diluted share, for the 2023 Period.
Same property revenue increased $10.0
million, or 3.9%, and same property operating income
increased $6.3 million, or 3.3%, for
the 2024 Period compared to the 2023 Period. Shopping Center same
property operating income increased by $4.6 million to $144.7 million primarily due to higher base rent
of $4.5 million. Mixed-Use same
property operating income increased by $1.6
million to $51.0 million
primarily due to (a) higher commercial base rent of $1.0 million and (b) higher residential base
rent of $1.3 million partially
offset by (c) lower parking income, net of expenses, of
$0.5 million. One property, Twinbrook
Quarter Phase I, was excluded from same property results.
FFO available to common stockholders and noncontrolling
interests, after deducting preferred stock dividends, increased to
$106.8 million, or $3.10 and $3.09 per basic and diluted share,
respectively, in the 2024 Period from $106.3
million, or $3.17 and
$3.12 per basic and diluted share,
respectively, in the 2023 Period. FFO available to common
stockholders and noncontrolling interests increased primarily due
to (a) higher commercial base rent of $6.4
million and (b) higher residential rent of $1.3 million partially offset by (c) the initial
operations of Twinbrook Quarter Phase I, which adversely impacted
FFO by $5.0 million, (d) higher general and administrative
costs of $1.2 million and (e) higher credit losses on operating
lease receivables of $0.8 million.
Saul Centers, Inc. is a
self-managed, self-administered equity REIT headquartered in
Bethesda, Maryland, which
currently operates and manages a real estate portfolio of 62
properties, which includes (a) 50 community and neighborhood
shopping centers and eight mixed-use properties with approximately
10.2 million square feet of leasable area and (b) four
non-operating land and development properties. Over 85% of the Saul
Centers' property operating income is generated by properties in
the metropolitan Washington, D.C./Baltimore area.
Safe Harbor Statement
Certain matters discussed within this press release may be
deemed to be forward-looking statements within the meaning of the
federal securities laws. For these statements, we claim the
protection of the safe harbor for forward-looking statements
contained in the Private Securities Litigation Reform Act of
1995. Although the Company believes the expectations
reflected in the forward-looking statements are based on reasonable
assumptions, it can give no assurance that its expectations will be
attained. These factors include, but are not limited to, the risk
factors described in our Annual Report on Form 10-K for the year
ended December 31, 2024 and include
the following: (i) the ability of our tenants to pay rent, (ii) our
reliance on shopping center "anchor" tenants and other significant
tenants, (iii) our substantial relationships with members of the B.
F. Saul Company and certain other affiliated entities, each of
which is controlled by B. Francis Saul
II and his family members, (iv) risks of financing, such as
increases in interest rates, restrictions imposed by our debt, our
ability to meet existing financial covenants and our ability to
consummate planned and additional financings on acceptable terms,
(v) our development activities, (vi) our access to additional
capital, (vii) our ability to successfully complete additional
acquisitions, developments or redevelopments, or if they are
consummated, whether such acquisitions, developments or
redevelopments perform as expected, (viii) adverse trends in the
retail, office and residential real estate sectors, (ix) risks
relating to cybersecurity, including disruption to our business and
operations and exposure to liabilities from tenants, employees,
capital providers, and other third parties, (x) risks generally
incident to the ownership of real property, including adverse
changes in economic conditions, changes in the investment climate
for real estate, changes in real estate taxes and other operating
expenses, adverse changes in governmental rules and fiscal
policies, the relative illiquidity of real estate and environmental
risks, and (xi) risks related to our status as a REIT for federal
income tax purposes, such as the existence of complex regulations
relating to our status as a REIT, the effect of future changes to
REIT requirements as a result of new legislation and the adverse
consequences of the failure to qualify as a REIT. Given these
uncertainties, readers are cautioned not to place undue reliance on
any forward-looking statements that we make, including those in
this press release. Except as may be required by law, we make
no promise to update any of the forward-looking statements as a
result of new information, future events or otherwise. You
should carefully review the risks and risk factors included in our
Annual Report on Form 10-K for the year ended December 31,
2024.
|
Saul Centers,
Inc.
Consolidated Balance
Sheets
|
|
|
(Dollars in
thousands, except per share amounts)
|
December
31,
2024
|
|
December
31,
2023
|
|
Assets
|
|
|
|
|
Real estate
investments
|
|
|
|
|
Land
|
$
562,047
|
|
$
511,529
|
|
Buildings and
equipment
|
1,903,907
|
|
1,595,023
|
|
Construction in
progress
|
326,193
|
|
514,553
|
|
2,792,147
|
|
2,621,105
|
|
Accumulated
depreciation
|
(767,842)
|
|
(729,470)
|
|
Total real estate
investments, net
|
2,024,305
|
|
1,891,635
|
|
Cash and cash
equivalents
|
10,299
|
|
8,407
|
|
Accounts receivable and
accrued income, net
|
50,949
|
|
56,032
|
|
Deferred leasing costs,
net
|
25,907
|
|
23,728
|
|
Other assets
|
14,944
|
|
14,335
|
|
Total
assets
|
$
2,126,404
|
|
$
1,994,137
|
|
Liabilities
|
|
|
|
|
Mortgage notes payable,
net
|
$
1,047,832
|
|
$
935,451
|
|
Revolving credit
facility payable, net
|
186,489
|
|
274,715
|
|
Term loan facility
payable, net
|
99,679
|
|
99,530
|
|
Construction loans
payable, net
|
198,616
|
|
77,305
|
|
Accounts payable,
accrued expenses and other liabilities
|
46,162
|
|
57,022
|
|
Deferred
income
|
23,033
|
|
22,748
|
|
Dividends and
distributions payable
|
23,469
|
|
22,937
|
|
Total
liabilities
|
1,625,280
|
|
1,489,708
|
|
Equity
|
|
|
|
|
Preferred stock,
1,000,000 shares authorized:
|
|
|
|
|
Series D Cumulative
Redeemable, 30,000 shares issued and outstanding
|
75,000
|
|
75,000
|
|
Series E Cumulative
Redeemable, 44,000 shares issued and outstanding
|
110,000
|
|
110,000
|
|
Common stock, $0.01 par
value, 50,000,000 and 40,000,000 shares authorized, respectively,
24,302,576 and 24,082,887 shares issued and outstanding,
respectively
|
243
|
|
241
|
|
Additional paid-in
capital
|
454,086
|
|
449,959
|
|
Distributions in excess
of accumulated earnings
|
(306,541)
|
|
(288,825)
|
|
Accumulated other
comprehensive income
|
2,966
|
|
2,014
|
|
Total Saul Centers,
Inc. equity
|
335,754
|
|
348,389
|
|
Noncontrolling
interests
|
165,370
|
|
156,040
|
|
Total
equity
|
501,124
|
|
504,429
|
|
Total liabilities and
equity
|
$
2,126,404
|
|
$
1,994,137
|
|
Saul Centers,
Inc.
Consolidated
Statements of Operations
|
|
|
Three Months
Ended
December
31,
|
|
Year
Ended
December
31,
|
|
(Dollars in
thousands, except per share amounts)
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Revenues
|
|
|
|
|
|
|
|
|
Rental
revenue
|
$
66,634
|
|
$
62,858
|
|
$
261,178
|
|
$
249,057
|
|
Other
|
1,290
|
|
3,825
|
|
7,669
|
|
8,150
|
|
Total
revenue
|
67,924
|
|
66,683
|
|
268,847
|
|
257,207
|
|
Expenses
|
|
|
|
|
|
|
|
|
Property operating
expenses
|
11,407
|
|
9,987
|
|
41,719
|
|
37,489
|
|
Real estate
taxes
|
7,490
|
|
7,061
|
|
30,342
|
|
29,650
|
|
Interest expense, net
and amortization of deferred debt costs
|
16,768
|
|
12,635
|
|
53,696
|
|
49,153
|
|
Depreciation and
amortization of deferred leasing costs
|
14,400
|
|
12,203
|
|
50,502
|
|
48,430
|
|
General and
administrative
|
7,501
|
|
7,334
|
|
25,066
|
|
23,459
|
|
Total
expenses
|
57,566
|
|
49,220
|
|
201,325
|
|
188,181
|
|
Gain on disposition of
property
|
—
|
|
—
|
|
181
|
|
—
|
|
Net
income
|
10,358
|
|
17,463
|
|
67,703
|
|
69,026
|
|
Noncontrolling
interests
|
|
|
|
|
|
|
|
|
Income attributable to
noncontrolling interests
|
(2,268)
|
|
(4,257)
|
|
(17,054)
|
|
(16,337)
|
|
Net income
attributable to Saul Centers, Inc.
|
8,090
|
|
13,206
|
|
50,649
|
|
52,689
|
|
Preferred stock
dividends
|
(2,799)
|
|
(2,799)
|
|
(11,194)
|
|
(11,194)
|
|
Net income available
to common stockholders
|
$
5,291
|
|
$
10,407
|
|
$
39,455
|
|
$
41,495
|
|
Per share net income
available to common stockholders
|
|
|
|
|
|
|
|
|
Basic:
|
$
0.22
|
|
$
0.43
|
|
$
1.64
|
|
$
1.73
|
|
Diluted:
|
$
0.22
|
|
$
0.43
|
|
$
1.63
|
|
$
1.73
|
|
Reconciliation of net
income to FFO available to common stockholders and
noncontrolling
interests (1)
|
|
|
Three Months
Ended
December 31,
|
|
Year Ended
December 31,
|
|
(Dollars in
thousands, except per share amounts)
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Net income
|
$
10,358
|
|
$
17,463
|
|
$
67,703
|
|
$
69,026
|
|
Subtract:
|
|
|
|
|
|
|
|
|
Gain on disposition of
property
|
—
|
|
—
|
|
(181)
|
|
—
|
|
Add:
|
|
|
|
|
|
|
|
|
Real estate
depreciation and amortization
|
14,400
|
|
12,203
|
|
50,502
|
|
48,430
|
|
FFO
|
24,758
|
|
29,666
|
|
118,024
|
|
117,456
|
|
Subtract:
|
|
|
|
|
|
|
|
|
Preferred stock
dividends
|
(2,799)
|
|
(2,799)
|
|
(11,194)
|
|
(11,194)
|
|
FFO available to common
stockholders and noncontrolling interests
|
$
21,959
|
|
$
26,867
|
|
$
106,830
|
|
$
106,262
|
|
Weighted average shares
and units:
|
|
|
|
|
|
|
|
|
Basic
|
34,624
|
|
33,876
|
|
34,508
|
|
33,474
|
|
Diluted (2)
|
34,668
|
|
34,115
|
|
34,526
|
|
34,066
|
|
Basic FFO per share
available to common stockholders and noncontrolling
interests
|
$
0.63
|
|
$
0.79
|
|
$
3.10
|
|
$
3.17
|
|
Diluted FFO per share
available to common stockholders and noncontrolling
interests
|
$
0.63
|
|
$
0.79
|
|
$
3.09
|
|
$
3.12
|
|
|
|
(1)
|
The National
Association of Real Estate Investment Trusts ("Nareit") developed
FFO as a relative non-GAAP financial measure of performance of an
equity REIT in order to recognize that income-producing real estate
historically has not depreciated on the basis determined under
GAAP. FFO is defined by NAREIT as net income, computed in
accordance with GAAP, plus real estate depreciation and
amortization, and excluding impairment charges on real estate
assets and gains or losses from real estate dispositions. FFO does
not represent cash generated from operating activities in
accordance with GAAP and is not necessarily indicative of cash
available to fund cash needs, which is disclosed in the Company's
Consolidated Statements of Cash Flows for the applicable periods.
There are no material legal or functional restrictions on the use
of FFO. FFO should not be considered as an alternative to net
income, its most directly comparable GAAP measure, as an indicator
of the Company's operating performance, or as an alternative to
cash flows as a measure of liquidity. Management considers FFO a
meaningful supplemental measure of operating performance because it
primarily excludes the assumption that the value of the real estate
assets diminishes predictably over time (i.e. depreciation), which
is contrary to what the Company believes occurs with its assets,
and because industry analysts have accepted it as a performance
measure. FFO may not be comparable to similarly titled measures
employed by other REITs.
|
|
|
|
(2)
|
Beginning March 5,
2021, fully diluted shares and units includes 1,416,071 limited
partnership units that were held in escrow related to the
contribution of Twinbrook Quarter by 1592 Rockville Pike. Half of
the units held in escrow were released on October 18, 2021. The
remaining units held in escrow were released on October 18,
2023.
|
|
Reconciliation of
revenue to same property revenue (1)
|
|
|
Three Months
Ended
December 31,
|
|
Year Ended
December 31,
|
|
(Dollars in
thousands)
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Total
revenue
|
$
67,924
|
|
$
66,683
|
|
$
268,847
|
|
$
257,207
|
|
Revenue adjustments
(2)
|
7,279
|
|
(210)
|
|
6,979
|
|
(666)
|
|
Acquisitions,
dispositions and development properties
|
(9,294)
|
|
—
|
|
(9,294)
|
|
—
|
|
Total same property
revenue
|
$
65,909
|
|
$
66,473
|
|
$
266,532
|
|
$
256,541
|
|
|
|
|
|
|
|
|
|
Shopping
Centers
|
$
45,828
|
|
$
46,987
|
|
$
186,205
|
|
$
178,547
|
|
Mixed-Use
properties
|
20,081
|
|
19,486
|
|
80,327
|
|
77,994
|
|
Total same property
revenue
|
$
65,909
|
|
$
66,473
|
|
$
266,532
|
|
$
256,541
|
|
|
|
|
|
|
|
|
|
Total Shopping
Center revenue
|
$
45,828
|
|
$
46,987
|
|
$
186,205
|
|
$
178,547
|
|
Shopping Center
acquisitions, dispositions and development properties
|
—
|
|
—
|
|
—
|
|
—
|
|
Total same Shopping
Center revenue
|
$
45,828
|
|
$
46,987
|
|
$
186,205
|
|
$
178,547
|
|
|
|
|
|
|
|
|
|
Total Mixed-Use
property revenue
|
$
29,375
|
|
$
19,486
|
|
$
89,621
|
|
$
77,994
|
|
Mixed-Use acquisitions,
dispositions and development properties
|
(9,294)
|
|
—
|
|
(9,294)
|
|
—
|
|
Total same Mixed-Use
revenue
|
$
20,081
|
|
$
19,486
|
|
$
80,327
|
|
$
77,994
|
|
|
|
(1)
|
Same property revenue
is a non-GAAP financial measure of performance and improves the
comparability of reporting periods by excluding the results of
properties that were not in operation for the entirety of the
comparable reporting periods. Same property revenue adjusts
property revenue by subtracting the revenue of properties not in
operation for the entirety of the comparable reporting
periods. Same property revenue is a measure of the operating
performance of the Company's properties but does not measure the
Company's performance as a whole. Same property revenue
should not be considered as an alternative to total revenue, its
most directly comparable GAAP measure, as an indicator of the
Company's operating performance. Management considers same
property revenue a meaningful supplemental measure of operating
performance because it is not affected by the cost of the Company's
funding, the impact of depreciation and amortization expenses,
gains or losses from the acquisition and sale of operating real
estate assets, general and administrative expenses or other gains
and losses that relate to ownership of the Company's
properties. Management believes the exclusion of these items
from same property revenue is useful because the resulting measure
captures the actual revenue generated by operating the Company's
properties. Other REITs may use different methodologies for
calculating same property revenue. Accordingly, the Company's
same property revenue may not be comparable to those of other
REITs.
|
|
|
|
(2)
|
Revenue adjustments are
straight-line base rent and above/below market lease
amortization.
|
|
Mixed-Use
same property revenue is composed of the following:
|
|
|
Three Months
Ended
December 31,
|
|
Year Ended
December 31,
|
|
(Dollars in
thousands)
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Office mixed-use
properties (1)
|
$
9,770
|
|
$
9,707
|
|
$
39,839
|
|
$
38,831
|
|
Residential mixed-use
properties (residential activity) (2)
|
9,181
|
|
8,704
|
|
35,994
|
|
34,770
|
|
Residential mixed-use
properties (retail activity) (3)
|
1,130
|
|
1,075
|
|
4,494
|
|
4,393
|
|
Total Mixed-Use same
property revenue
|
$
20,081
|
|
$
19,486
|
|
$
80,327
|
|
$
77,994
|
|
|
|
(1)
|
Includes Avenel
Business Park, Clarendon Center – North and South Blocks,
601 Pennsylvania Avenue and Washington Square
|
|
(2)
|
Includes Clarendon
South Block, The Waycroft and Park Van Ness
|
|
(3)
|
Includes The Waycroft
and Park Van Ness
|
|
Reconciliation of net
income to same property operating income (1)
|
|
|
Three Months
Ended
December 31,
|
|
Year Ended
December 31,
|
|
(Dollars in
thousands)
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Net
income
|
$
10,358
|
|
$
17,463
|
|
$
67,703
|
|
$
69,026
|
|
Interest expense, net
and amortization of deferred debt costs
|
16,768
|
|
12,635
|
|
53,696
|
|
49,153
|
|
Depreciation and
amortization of deferred leasing costs
|
14,400
|
|
12,203
|
|
50,502
|
|
48,430
|
|
General and
administrative
|
7,501
|
|
7,334
|
|
25,066
|
|
23,459
|
|
Gain on disposition of
property
|
—
|
|
—
|
|
(181)
|
|
—
|
|
Revenue adjustments
(2)
|
7,279
|
|
(210)
|
|
6,979
|
|
(666)
|
|
Total property
operating income
|
56,306
|
|
49,425
|
|
203,765
|
|
189,402
|
|
Acquisitions,
dispositions, and development properties
|
(8,108)
|
|
—
|
|
(8,108)
|
|
—
|
|
Total same property
operating income
|
$
48,198
|
|
$
49,425
|
|
$
195,657
|
|
$
189,402
|
|
|
|
|
|
|
|
|
|
Shopping
Centers
|
$
35,339
|
|
$
37,170
|
|
$
144,699
|
|
$
140,062
|
|
Mixed-Use
properties
|
12,859
|
|
12,255
|
|
50,958
|
|
49,340
|
|
Total same property
operating income
|
$
48,198
|
|
$
49,425
|
|
$
195,657
|
|
$
189,402
|
|
|
|
|
|
|
|
|
|
Shopping Center
operating income
|
$
35,339
|
|
$
37,170
|
|
$
144,699
|
|
$
140,062
|
|
Shopping Center
acquisitions, dispositions and development properties
|
—
|
|
—
|
|
—
|
|
—
|
|
Total same Shopping
Center operating income
|
$
35,339
|
|
$
37,170
|
|
$
144,699
|
|
$
140,062
|
|
|
|
|
|
|
|
|
|
Mixed-Use property
operating income
|
$
20,967
|
|
$
12,255
|
|
$
59,066
|
|
$
49,340
|
|
Mixed-Use acquisitions,
dispositions and development properties
|
(8,108)
|
|
—
|
|
(8,108)
|
|
—
|
|
Total same Mixed-Use
property operating income
|
$
12,859
|
|
$
12,255
|
|
$
50,958
|
|
$
49,340
|
|
|
|
(1)
|
Same property operating
income is a non-GAAP financial measure of performance and improves
the comparability of reporting periods by excluding the results of
properties that were not in operation for the entirety of the
comparable reporting periods. Same property operating income
adjusts property operating income by subtracting the results of
properties that were not in operation for the entirety of the
comparable periods. Same property operating income is a
measure of the operating performance of the Company's properties
but does not measure the Company's performance as a whole.
Same property operating income should not be considered as an
alternative to property operating income, its most directly
comparable GAAP measure, as an indicator of the Company's operating
performance. Management considers same property operating
income a meaningful supplemental measure of operating performance
because it is not affected by the cost of the Company's funding,
the impact of depreciation and amortization expenses, gains or
losses from the acquisition and sale of operating real estate
assets, general and administrative expenses or other gains and
losses that relate to ownership of the Company's properties.
Management believes the exclusion of these items from property
operating income is useful because the resulting measure captures
the actual revenue generated and actual expenses incurred by
operating the Company's properties. Other REITs may use
different methodologies for calculating same property operating
income. Accordingly, same property operating income may not
be comparable to those of other REITs.
|
|
|
|
(2)
|
Revenue adjustments are
straight-line base rent and above/below market lease
amortization.
|
|
Mixed-Use
same property operating income is composed of the
following:
|
|
|
Three Months
Ended
December 31,
|
|
Year Ended
December 31,
|
|
(Dollars in
thousands)
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Office mixed-use
properties (1)
|
$
6,399
|
|
$
6,153
|
|
$
25,701
|
|
$
24,826
|
|
Residential mixed-use
properties (residential activity) (2)
|
5,660
|
|
5,312
|
|
22,032
|
|
21,358
|
|
Residential mixed-use
properties (retail activity) (3)
|
800
|
|
790
|
|
3,225
|
|
3,156
|
|
Total Mixed-Use same
property revenue
|
$
12,859
|
|
$
12,255
|
|
$
50,958
|
|
$
49,340
|
|
|
|
(1)
|
Includes Avenel
Business Park, Clarendon Center – North and South Blocks,
601 Pennsylvania Avenue and Washington Square
|
|
(2)
|
Includes Clarendon
South Block, The Waycroft and Park Van Ness
|
|
(3)
|
Includes The Waycroft
and Park Van Ness
|
View original
content:https://www.prnewswire.com/news-releases/saul-centers-inc-reports-fourth-quarter-2024-earnings-302389061.html
SOURCE Saul Centers, Inc.
