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Section 1: 8-K

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported) February 6, 2020

 

MONMOUTH REAL ESTATE INVESTMENT CORPORATION

(Exact name of registrant as specified in its charter)

 

Maryland   001-33177   22-1897375
(State or other jurisdiction   (Commission   (IRS Employer
of incorporation)   File Number)   Identification No.)

 

101 Crawfords Corner Road, Suite 1405, Holmdel, NJ   07733
(Address of principal executive offices)   (Zip Code)

 

Registrant’s telephone number, including area code (732) 577-9996

 

 

(Former name or former address, if changed since last report.)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

 

Written communications pursuant to Rule 425 under Securities Act (17 CFR 230.425)
   
Soliciting material pursuant to Rule 142-12 under the Exchange Act (17 CFR 240.14a-12)
   
Pre-commencement communications pursuant to rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
   
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class   Trading Symbol(s)   Name of each exchange on which registered
Common Stock   MNR   New York Stock Exchange
6.125% Series C Cumulative Redeemable Preferred Stock   MNR-PC   New York Stock Exchange

 

 

 

 

 

 

Item 2.02 Results of Operations and Financial Condition.

 

Item 7.01 Regulation FD Disclosure.

 

On February 6, 2020, Monmouth Real Estate Investment Corporation issued a press release announcing the results for the first quarter ended December 31, 2019 and disclosed a supplemental information package in connection with its earnings conference call for the first quarter ended December 31, 2019. A copy of the supplemental information package and press release is furnished with this report as Exhibit 99 and is incorporated herein by reference.

 

The information in this report and the exhibit attached hereto is being furnished, not filed, for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and pursuant to Item 2.02 and Item 7.01 of Form 8-K will not be incorporated by reference into any filing under the Securities Act of 1933, as amended, unless specifically identified therein as being incorporated therein by reference.

 

Forward-Looking Statements

 

Statements contained in this report, including the documents that are incorporated by reference, that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended and the Private Securities Litigation Reform Act of 1995 (the “Exchange Act”). All statements, other than statements of historical facts that address activities, events or developments where the Company uses any of the words “anticipates,” “assumes,” “believes,” “estimates,” “expects,” “intends,” or similar expressions, are forward-looking statements. These forward-looking statements are not guaranteed and are based on the Company’s current intentions and on the Company’s current expectations and assumptions. These statements, intentions, expectations and assumptions involve risks and uncertainties, some of which are beyond the Company’s control that could cause actual results or events to differ materially from those that the Company anticipates or projects, such as:

 

  the ability of our tenants to make payments under their respective leases;
  our reliance on certain major tenants;
  our ability to re-lease properties that are currently vacant or that become vacant;
  our ability to obtain suitable tenants for our properties;
  changes in real estate market conditions, economic conditions in the industrial sector, the markets in which our properties are located and general economic conditions;
  the inherent risks associated with owning real estate, including local real estate market conditions, governing laws and regulations and illiquidity of real estate investments;
  our ability to acquire, finance and sell properties on attractive terms;
  our ability to repay debt financing obligations;
  our ability to refinance amounts outstanding under our debt obligations at maturity on terms favorable to us, or at all;
  the loss of any member of our management team;
  our ability to comply with debt covenants;
  our ability to integrate acquired properties and operations into existing operations;
  continued availability of proceeds from issuances of our debt or equity securities;
  the availability of other debt and equity financing alternatives;
  changes in interest rates, including the replacement of the LIBOR reference rate, under our current credit facility and under any additional variable rate debt arrangements that we may enter into in the future;
  our ability to successfully implement our selective acquisition strategy;
  our ability to maintain internal controls and procedures to ensure all transactions are accounted for properly, all relevant disclosures and filings are timely made in accordance with all rules and regulations, and any potential fraud or embezzlement is thwarted or detected;
  changes in federal or state tax rules or regulations that could have adverse tax consequences;
  declines in the market prices of our investment securities; and
  our ability to qualify as a REIT for federal income tax purposes.

 

Item 9.01 Financial Statements and Exhibits.

 

(d) Exhibits.

 

  99 Supplemental information package for the first quarter ended December 31, 2019 and press release dated February 6, 2020.

 

   2
 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

MONMOUTH REAL ESTATE INVESTMENT CORPORATION

 

/s/ Kevin S. Miller  
KEVIN S. MILLER  
Chief Financial and Accounting Officer  
   
Date February 6, 2020  

 

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Section 2: EX-99

 

Exhibit 99

 

 

 
 

 

 

Table of Contents

 

    Page
Consolidated Balance Sheets   3
Consolidated Statements of Income (Loss)   4
FFO, AFFO and Adjusted EBITDA Reconciliations   5
NOI Reconciliations   6
Financial Highlights   7
Same Property Statistics   8
Consolidated Statements of Cash Flows   9
Capital Structure and Leverage Ratios   10
Debt Maturity   12
Property Table by Tenant   13
Property Table by State   14
Lease Expirations   15
Recent Acquisitions   16
Property Table   17
Definitions   20
Press Release Dated February 6, 2020   21

 

The statement of operations and supplemental statement of operations provided in this supplemental information package present funds from operations (FFO), adjusted funds from operations (AFFO), net operating income (NOI) and adjusted EBITDA, which are REIT industry financial measures that are not calculated in accordance with accounting principles generally accepted in the United States. Please see page 20 for a definition of these supplemental performance measures. Please see the supplemental statement of operations reconciliation for a reconciliation of certain captions in the supplemental statement of operations reported in this supplemental information package to the statement of operations as reported in the Company’s filings with the SEC on Form 10-Q.

 

 
Table of Contents 

 

Consolidated Balance Sheets

(in thousands except for per share amounts)

 

   As of   As of 
   December 31, 2019   September 30, 2019 
   (unaudited)     
ASSETS        
Real Estate Investments:          
Land  $244,138   $239,299 
Buildings and Improvements   1,702,924    1,627,219 
Total Real Estate Investments   1,947,062    1,866,518 
Accumulated Depreciation   (260,963)   (249,584)
Real Estate Investments   1,686,099    1,616,934 
           
Cash and Cash Equivalents   16,383    20,179 
Securities Available for Sale at Fair Value   181,841    185,250 
Tenant and Other Receivables   7,475    1,335 
Deferred Rent Receivable   11,788    11,199 
Prepaid Expenses   11,965    6,714 
Intangible Assets, net of Accumulated Amortization of $16,194 and $15,686, respectively       16,611          14,970   
Capitalized Lease Costs, net of Accumulated Amortization of $3,649 and $3,378, respectively       5,854         5,670   
Financing Costs, net of Accumulated Amortization of $65 and $1,352, respectively       1,665          144   
Other Assets   7,446    9,553 
TOTAL ASSETS  $1,947,127   $1,871,948 
           
LIABILITIES AND SHAREHOLDERS’ EQUITY          
           
Liabilities:          
Fixed Rate Mortgage Notes Payable, net of Unamortized Debt Issuance Costs    $ 784,048    $ 744,928   
Loans Payable   80,000    95,000 
Accounts Payable and Accrued Expenses   4,022    3,570 
Other Liabilities   21,548    17,407 
Total Liabilities   889,618    860,905 
           
COMMITMENTS AND CONTINGENCIES          
           
Shareholders’ Equity:          
6.125% Series C Cumulative Redeemable Preferred Stock, $0.01 Par Value Per Share: 21,900 and 16,400 Shares Authorized as of December 31, 2019 and September 30, 2019, respectively; 15,666 and 13,907 Shares Issued and Outstanding as of December 31, 2019 and September 30, 2019, respectively 391,643       347,678  
Common Stock, $0.01 Par Value Per Share: 200,000 and 188,040 Shares Authorized as of December 31, 2019 and September 30, 2019, respectively; 97,569 and 96,399 Shares Issued and Outstanding as of December 31, 2019 and September 30, 2019, respectively   976     964  
Excess Stock, $0.01 Par Value Per Share: 200,000 Shares Authorized as of December 31, 2019 and September 30, 2019; No Shares Issued or Outstanding as of December 31, 2019 and September 30, 2019     -0-     -0-  
Additional Paid-In Capital   664,890    662,401 
Undistributed Income   -0-    -0- 
Total Shareholders’ Equity   1,057,509    1,011,043 
TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY  $1,947,127   $1,871,948 

 

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Table of Contents 

 

Consolidated Statements of Income (Loss)

(unaudited) (in thousands)

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018 
INCOME:          
Rental Revenue  $34,870   $32,617 
Reimbursement Revenue   6,830    5,605 
TOTAL INCOME   41,700    38,222 
           
EXPENSES:          
Real Estate Taxes   5,036    4,039 
Operating Expenses   2,197    1,864 
General & Administrative Expenses   2,264    1,817 
Non-recurring Severance Expense   786    -0- 
Depreciation   11,433    10,478 
Amortization of Capitalized Lease Costs and Intangible Assets   753    702 
TOTAL EXPENSES   22,469    18,900 
           
OTHER INCOME (EXPENSE):          
Dividend Income   3,238    4,368 
Unrealized Holding Gains (Losses) Arising During the Periods   (3,635)   (42,627)
Interest Expense, including Amortization of Financing Costs   (9,209)   (9,006)
TOTAL OTHER INCOME (EXPENSE)   (9,606)   (47,265)
           
NET INCOME (LOSS)   9,625    (27,943)
           
Less: Preferred Dividends   6,097    4,421 
           
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS  $3,528   $(32,364)

 

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FFO, AFFO and Adjusted EBITDA Reconciliations

(unaudited) (in thousands)

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018 
FFO, AFFO          
Net Income (Loss) Attributable to Common Shareholders  $3,528   $(32,364)
Plus: Unrealized Holding Losses Arising During the Periods (1)   3,635    42,627 
Plus: Depreciation Expense (excluding Corporate Office Capitalized Costs)   11,380    10,438 
Plus: Amortization of Intangible Assets   508    500 
Plus: Amortization of Capitalized Lease Costs   271    228 
FFO Attributable to Common Shareholders   19,322    21,429 
Plus: Depreciation of Corporate Office Capitalized Costs   53    40 
Plus: Stock Compensation Expense   156    129 
Plus: Amortization of Financing Costs   435    317 
Plus: Non-recurring Severance Expense   786    -0- 
Less: Recurring Capital Expenditures   (218)   (557)
Less: Effect of non-cash U.S. GAAP Straight-line Rent Adjustment   (600)   (336)
AFFO Attributable to Common Shareholders  $19,934   $21,022 

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018 
Adjusted EBITDA          
Net Income (Loss) Attributable to Common Shareholders  $3,528   $(32,364)
Plus: Preferred Dividends   6,097    4,421 
Plus: Interest Expense, including Amortization of Financing Costs   9,209    9,006 
Plus: Depreciation and Amortization   12,186    11,180 
Plus: Net Amortization of Acquired Above and Below Market Lease Revenue   26    25 
Plus: Unrealized Holding (Gains) Losses Arising During the Periods   3,635    42,627 
           
Adjusted EBITDA  $34,681   $34,895 

 

(1) Unrealized Holding Gains or Losses Arising During the Periods, if any, were previously reported as an adjustment to Core Funds From Operations (Core FFO).

 

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NOI Reconciliations

(unaudited) (in thousands)

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018 
Net Operating Income          
Net Income (Loss) Attributable to Common Shareholders  $3,528   $(32,364)
Plus: Preferred Dividends   6,097    4,421 
Plus: General & Administrative Expenses   2,264    1,817 
Plus: Non-recurring Severance Expense   786    -0- 
Plus: Depreciation   11,433    10,478 
Plus: Amortization of Capitalized Lease Costs and Intangible Assets   753    702 
Plus: Interest Expense, including Amortization of Financing Costs   9,209    9,006 
Plus: Unrealized Holding (Gains) Losses Arising During the Periods   3,635    42,627 
Less: Dividend Income   (3,238)   (4,368)
Net Operating Income – NOI  $34,467   $32,319 

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018 
Components of Net Operating Income Consists of:          
Revenues:          
Rental Revenue  $34,870   $32,617 
Reimbursement Revenue   6,830    5,605 
Total Rental and Reimbursement Revenue   41,700    38,222 
           
Expenses:          
Real Estate Taxes   5,036    4,039 
Operating Expenses   2,197    1,864 
Total Real Estate Taxes and Operating Expenses   7,233    5,903 
Net Operating Income – NOI  $34,467   $32,319 

 

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Financial Highlights

(unaudited) (in thousands except for per share amounts)

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018   Change (%) 
             
Weighted Average Common Shares Outstanding               
Basic   96,881    90,505    7.0%
Diluted   97,006    90,660    7.0%
                
Net Income (Loss) Attributable to Common Shareholders  $3,528   $(32,364)   110.9%
                
Basic  $0.04   $(0.36)   111.1%
Diluted   0.04    (0.36)   111.1%
                
Net Operating Income – NOI  $34,467   $32,319    6.6%
                
Basic  $0.36   $0.36    0.0%
Diluted   0.36    0.36    0.0%
                
Funds From Operations – FFO  $19,322   $21,429    (9.8)%
                
Basic  $0.20   $0.24    (16.7)%
Diluted   0.20    0.24    (16.7)%
                
Adjusted Funds From Operations – AFFO  $19,934   $21,022    (5.2)%
                
Basic  $0.21   $0.23    (8.7)%
Diluted   0.21    0.23    (8.7)%
                
Dividends Declared per Common Share  $0.17   $0.17      
                
Dividend/AFFO Payout Ratio   81.0%   73.9%     

 

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Same Property Statistics

(unaudited) (in thousands except for square feet)

 

  

For The

Three Months Ended

         
   12/31/2019       12/31/2018   Change   Change % 
                         
Total Square Feet / Total Properties   22,866,627 / 115        21,647,246 / 113    1,219,381    5.6%
                          
Occupancy Percentage at End of Period   99.2%       98.9%   30 bps    0.3%
                          
Same Property Square Feet / Number of Same Properties        21,040,215 / 110                
                          
Same Property Occupancy Percentage at End of Period   99.1%        98.9%   20 bps    0.2%
                          
Same Property Net Operating Income (NOI) (GAAP)  $30,635        $30,742   $(107)   (0.3)%
                          
Reversal of Effect of Non-cash U.S. GAAP Straight-line Rent Adjustment   (459)        (480)   21      
Same Property Cash NOI  $30,176        $30,262   $(86)   (0.3)%

 

Same Property Statistics include all properties owned during the entire periods presented with the exclusion of properties expanded during the periods presented.

 

Reconciliation of Same Property NOI to Total NOI

(unaudited) (in thousands)

 

  

For The

Three Months Ended

         
   12/31/2019   12/31/2018   Change   Change % 
                 
Same Property NOI (GAAP)  $30,635   $30,742   $(107)   (0.3)%
                     
NOI of properties purchased subsequent to September 30, 2018 (three properties purchased during fiscal 2019 and one property purchased during fiscal 2020)   3,322    1,320           
                     
NOI of property expanded subsequent to September 30, 2018 (one property expanded during fiscal 2019)   510    257           
                     
Total NOI  $34,467   $32,319   $2,148    6.6%

 

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Consolidated Statements of Cash Flows

(unaudited)(in thousands)

 

   For The 
   Three Months Ended 
   12/31/2019   12/31/2018 
CASH FLOWS FROM OPERATING ACTIVITIES          
Net Income (Loss)  $9,625   $(27,943)
Noncash Items Included in Net Income (Loss):          
Depreciation & Amortization   12,621    11,497 
Deferred Straight Line Rent   (600)   (336)
Stock Compensation Expense   156    129 
Unrealized Holding (Gains) Losses Arising During the Periods   3,635    42,627 
Changes in:          
Tenant & Other Receivables   (6,114)   (5,398)
Prepaid Expenses   (5,250)   (5,174)
Other Assets & Capitalized Lease Costs   453    1,224 
Accounts Payable, Accrued Expenses & Other Liabilities   4,572    5,286 
NET CASH PROVIDED BY OPERATING ACTIVITIES   19,098    21,912 
           
CASH FLOWS FROM INVESTING ACTIVITIES          
Purchase of Real Estate & Intangible Assets   (81,513)   (113,406)
Capital Improvements   (1,328)   (5,657)
Return of Deposits on Real Estate   1,200    200 
Deposits Paid on Acquisitions of Real Estate   (100)   (700)
Purchase of Securities Available for Sale   (226)   (33,516)
NET CASH USED IN INVESTING ACTIVITIES   (81,967)   (153,079)
           
CASH FLOWS FROM FINANCING ACTIVITIES          
Net Repayments on Loans Payable   (15,000)   (60,794)
Proceeds from Fixed Rate Mortgage Notes Payable   52,500    72,500 
Principal Payments on Fixed Rate Mortgage Notes Payable   (13,356)   (12,121)
Financing Costs Paid on Debt   (1,980)   (444)
Proceeds from the Exercise of Stock Options   606    -0- 
Proceeds from Underwritten Public Offering of Common Stock, net of offering costs   -0-    132,338 
Proceeds from At-The-Market 6.125% Series C Preferred Stock, net of offering costs   43,153    1,006 
Proceeds from Issuance of Common Stock in the DRIP, net of Dividend Reinvestments      11,305     17,595  
Preferred Dividends Paid   (5,873)   (4,415)
Common Dividends Paid, net of Reinvestments   (12,282)   (11,054)
NET CASH PROVIDED BY FINANCING ACTIVITIES   59,073    134,611 
           
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS   (3,796)   3,444 
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD   20,179    9,325 
CASH AND CASH EQUIVALENTS - END OF PERIOD  $16,383   $12,769 

 

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Capital Structure and Leverage Ratios

(unaudited) (in thousands except for per share amounts)

 

   As of   As of   As of 
   12/31/2019   12/31/2018   9/30/2019 
             
Fixed Rate Mortgage Notes Payable, net of Unamortized Debt Issuance Costs  $784,048   $771,705   $744,928 
Loans Payable   80,000    125,815    95,000 
Total Debt   864,048    897,520    839,928 
                
6.125% Series C Cumulative Redeemable Preferred Stock   391,643    288,311    347,678 
Common Stock, Additional Paid-In-Capital & Other   665,866    617,245    663,365 
Total Shareholders’ Equity   1,057,509    905,556    1,011,043 
                
Total Book Capitalization   1,921,557    1,803,076    1,850,971 
                
Accumulated Depreciation   260,963    217,504    249,584 
Total Undepreciated Book Capitalization  $2,182,520   $2,020,580   $2,100,555 
                
Shares Outstanding   97,569    92,335    96,399 
Market Price Per Share  $14.48   $12.40   $14.41 
                
Equity Market Capitalization  $1,412,803   $1,144,955   $1,389,107 
Total Debt   864,048    897,520    839,928 
Total Preferred Stock   391,643    288,311    347,678 
Total Market Capitalization  $2,668,494   $2,330,786   $2,576,713 
                
Total Debt  $864,048   $897,520   $839,928 
less: Cash and Cash Equivalents   16,383    12,769    20,179 
Net Debt  $847,665   $884,751   $819,749 
less: Securities Available for Sale at Fair Value (Securities)   181,841    145,810    185,250 
Net Debt Less Securities  $665,824   $738,941   $634,499 
                
Net Debt / Total Undepreciated Book Capitalization   38.8%   43.8%   39.0%
Net Debt / Total Market Capitalization   31.8%   38.0%   31.8%
Net Debt Plus Preferred Stock / Total Market Capitalization   46.4%   50.3%   45.3%
Net Debt Less Securities / Total Undepreciated Book Capitalization   30.5%   36.6%   30.2%
Net Debt Less Securities / Total Market Capitalization   25.0%   31.7%   24.6%
Net Debt Less Securities Plus Preferred Stock / Total Market Capitalization   39.6%   44.1%   38.1%
                
Weighted Average Interest Rate on Fixed Rate Mortgage Debt   4.05%   4.08%   4.03%
Weighted Average Term on Fixed Rate Mortgage Debt   11.5 yrs.    11.8 yrs.    11.3 yrs. 
Weighted Average Interest Rate on Fixed Rate Debt (1)   4.00%   4.08%   4.03%
Weighted Average Term on Fixed Rate Debt (1)   10.5 yrs.    11.8 yrs.    11.3 yrs. 
Weighted Average Lease Term   7.6 yrs.    8.0 yrs.    7.6 yrs. 

 

  (1) For the quarter ended 12/31/19, fixed rate debt includes $784 million in Fixed Rate Mortgage Debt and a $75 million term loan that is fixed with a LIBOR interest rate swap agreement. We obtained the $75 million term loan during the quarter ended 12/31/19. Therefore, for prior year quarters presented, the Fixed Rate Debt only includes Fixed Rate Mortgage Debt.

 

FIRST QUARTER FISCAL YEAR 2020 SUPPLEMENTAL INFORMATION10
Table of Contents 

 

Capital Structure and Leverage Ratios

(unaudited) (in thousands)

 

   For the Three Months Ended    Fiscal Year Ended 
   12/31/2019   12/31/2018   9/30/2019 
Net Income (Loss) Attributable to Common Shareholders  $3,528   $(32,364)  $11,026 
Plus: Preferred Dividends   6,097    4,421    18,774 
Plus: Interest Expense, including Amortization of Financing Costs   9,209    9,006    36,912 
Plus: Depreciation and Amortization   12,186    11,180    45,890 
Plus: Net Amortization of Acquired Above and Below Market Lease Revenue   26    25    103 
Plus: Unrealized Holding (Gains) Losses Arising During the Periods   3,635    42,627    24,680 
Adjusted EBITDA  $34,681   $34,895   $137,385 
                
Interest Expense, including Amortization of Financing Costs  $9,209   $9,006   $36,912 
Preferred Dividends   6,097    4,421    18,774 
Total Fixed Charges  $15,306   $13,427   $55,686 
                
Interest Coverage    3.8 x     3.9 x     3.7 x 
Fixed Charge Coverage    2.3 x     2.6 x     2.5 x 
                
Net Debt  $847,665   $884,751   $819,749 
Net Debt Less Securities   665,824    738,941    634,499 
Total Preferred Stock   391,643    288,311    347,678 
Annualized Adjusted EBITDA   138,724    139,580    137,385 
                
Net Debt / Adjusted EBITDA   6.1 x    6.3 x    6.0 x 
Net Debt Less Securities / Adjusted EBITDA   4.8 x    5.3 x    4.6 x 
Net Debt + Preferred Stock / Adjusted EBITDA   8.9 x    8.4 x    8.5 x 
Net Debt Less Securities + Preferred Stock / Adjusted EBITDA   7.6 x    7.4 x    7.1 x 

 

FIRST QUARTER FISCAL YEAR 2020 SUPPLEMENTAL INFORMATION11
Table of Contents 

 

Debt Maturity

(unaudited) (In thousands)

 

 

          Loans         % of 
Fiscal Year Ended     Mortgages   Payable     Total   Total 
                      
2020     $41,682    -0-     $41,682    4.8%
2021      57,413    -0-      57,413    6.6%
2022      79,659    -0-      79,659    9.1%
2023      58,476    -0-      58,476    6.7%
2024      71,626   $5,000(B)    76,626    8.8%
Thereafter      483,203   $75,000(C)    558,203    64.0%
                          
Total as of 12/31/2019   (A)  $792,059   $80,000     $872,059    100.0%
                          
Weighted Average Interest Rate       4.05%   2.94%     3.95%     
Weighted Average Term      11.5 yrs.    5.0 yrs.      10.9 yrs.      

 

  (A) Mortgages does not include unamortized debt issuance costs of $8 million.
  (B) Represents amount drawn down on a $225 million Revolver maturing January 2024 with two options to extend for additional six-month periods, which is not reflected above. Subsequent to the quarter end, we paid down the remaining amount outstanding, resulting in the full $225 million currently being available under the Revolver.
  (C) Represents a Term Loan maturing January 2025.

 

FIRST QUARTER FISCAL YEAR 2020 SUPPLEMENTAL INFORMATION12
Table of Contents 

 

Property Table by Tenant

(unaudited)

 

      Property   Square   Occupied Square   % of Occupied   Annual  

% of Total

Ann.
  

Rent Per

sf
   Undepreciated    Mortgage 
Tenant     Count   Footage   Footage   sf   Rent   Rent   Occup.   Cost    Balance 
                                         
FedEx Ground Package System, Inc.      44    8,815,312    8,815,312    38.6%  $71,005,000    49.9%  $8.05   $1,008,487,818    $442,196,572 
FedEx Corporation      15    1,095,096    1,095,096    4.8%   6,720,000    4.7%   6.14    95,833,968     12,784,462 
FedEx Forward Depots, Inc.      1    449,900    449,900    2.0%   1,394,000    1.0%   3.10    16,092,852     3,981,503 
Total FedEx      60    10,360,308    10,360,308    45.4%   79,119,000    55.6%   7.64    1,120,414,638     458,962,537 
                                                  
Amazon.com Services, Inc. (Amazon.com, Inc.)      4    1,370,465    1,370,465    6.0%   9,709,000    6.8%   7.08    150,153,451     87,875,976 
Milwaukee Electric Tool Corporation      1    861,889    861,889    3.8%   3,076,000    2.2%   3.57    36,914,917     19,454,490 
Shaw Industries, Inc.      1    831,764    831,764    3.6%   3,529,000    2.5%   4.24    56,025,945     29,815,734 
ULTA, Inc.      1    671,354    671,354    2.9%   2,755,000    1.9%   4.10    37,534,403     18,426,899 
Jim Beam Brands Company (Beam Suntory)      1    599,840    599,840    2.6%   2,092,000    1.5%   3.49    28,000,000     15,422,572 
International Paper Company      2    578,472    578,472    2.5%   2,639,000    1.9%   4.56    37,024,608     18,945,064 
TreeHouse Private Brands, Inc.      1    558,600    558,600    2.4%   2,246,000    1.6%   4.02    26,807,852     14,376,842 
Autoneum North America, Inc.      1    413,605    413,605    1.8%   2,221,000    1.6%   5.37    21,040,396     13,480,506 
B. Braun Medical Inc.      1    399,440    399,440    1.7%   2,159,000    1.5%   5.41    30,008,069     17,977,023 
UGN, Inc.      1    387,000    387,000    1.7%   2,088,000    1.5%   5.40    21,576,756     13,363,554 
CBOCS Distribution, Inc. (Cracker Barrel)      1    381,240    381,240    1.7%   1,475,000    1.0%   3.87    14,215,126     -0- 
Best Buy Warehousing Logistics, LLC      1    368,060    368,060    1.6%   1,709,000    1.2%   4.64    19,600,000     8,519,503 
Toyota Tsusho America, Inc.      1    350,000    350,000    1.5%   1,710,000    1.2%   4.89    25,078,587     16,727,842 
Coca-Cola      2    323,358    323,358    1.4%   1,725,000    1.2%   5.33    20,504,069     3,178,690 
Science Applications International Corporation      1    302,400    302,400    1.3%   1,683,000    1.2%   5.57    14,445,353     -0- 
Bunzl USA Holdings, Inc.      2    268,778    268,778    1.2%   1,500,000    1.1%   5.58    18,731,674     11,429,249 
Woodstream Corporation  (A)    1    256,000    256,000    1.1%   932,000    0.7%   3.64    8,951,926     -0- 
Anda Pharmaceuticals, Inc.      1    234,660    234,660    1.0%   1,215,000    0.9%   5.18    14,550,000     6,762,993 
United Technologies Corporation      2    223,150    223,150    1.0%   1,525,000    1.1%   6.83    23,047,057     5,406,526 
Mickey Thompson Performance Tires and Wheels (Cooper Tire)      1    219,765    219,765    1.0%   1,523,000    1.1%   6.93    18,934,065     11,317,662 
Rinnai America Corporation      1    218,120    218,120    1.0%   851,000    0.6%   3.90    15,075,283     -0- 
Anheuser-Busch, Inc.      1    184,800    184,800    0.8%   843,000    0.6%   4.56    12,697,848     -0- 
Carlisle Tire & Wheel Company      1    179,280    179,280    0.8%   765,000    0.5%   4.27    7,232,986     -0- 
NF&M International, Inc.  (B)    1    174,802    174,802    0.8%   841,000    0.6%   4.81    5,408,790     -0- 
Home Depot USA, Inc.      1    171,200    171,200    0.7%   1,015    0.7%   5.93    11,303,317     -0- 
Victory Packaging, L.P.      1    148,000    148,000    0.6%   514,000    0.4%   3.47    5,455,379     -0- 
Challenger Lifts, Inc. (Snap-On Inc.)      1    137,500    137,500    0.6%   852,000    0.6%   6.20    11,304,000     6,017,997 
Altec Industries, Inc.  (A)    1    126,880    126,880    0.6%   376,000    0.3%   2.96    4,436,799     -0- 
General Electric Company      1    125,860    125,860    0.6%   1,334,000    0.9%   10.60    19,964,283     10,204,703 
Keurig Dr Pepper      2    110,080    110,080    0.5%   753,000    0.5%   6.84    10,498,031     1,517,773 
Style Crest, Inc.      1    106,507    106,507    0.5%   398,000    0.3%   3.74    7,263,673     -0- 
Pittsburgh Glass Works, LLC      1    102,135    102,135    0.4%   450,000    0.3%   4.41    4,249,615     -0- 
Dakota Bodies, LLC      1    96,687    96,687    0.4%   378,000    0.3%   3.91    7,839,684     -0- 
National Oilwell Varco, Inc.      1    91,295    91,295    0.4%   763,000    0.5%   8.36    8,163,278     1,511,323 
Joseph T. Ryerson and Son, Inc.      1    89,052    89,052    0.4%   514,000    0.4%   5.77    7,066,732     -0- 
CHEP USA, Inc.      1    83,000    83,000    0.4%   506,000    0.4%   6.10    7,463,672     -0- 
Sherwin-Williams Company      2    78,887    78,887    0.3%   648,000    0.5%   8.21    7,258,078     -0- 
RGH Enterprises, Inc. (Cardinal Health)      1    75,000    75,000    0.3%   619,000    0.4%   8.25    5,525,600     -0- 
Tampa Bay Grand Prix      1    68,385    68,385    0.3%   361,000    0.3%   5.28    5,677,982     -0- 
Various Tenants at Retail Shopping Center      1    64,220    62,440    0.3%   784,000    0.6%   12.56    3,139,564     -0- 
SOFIVE, Inc.      1    60,400    60,400    0.3%   633,000    0.2%   10.48    5,296,752     1,363,818 
Locke Supply Co.      1    60,000    60,000    0.3%   325,000    0.2%   5.42    4,905,925     -0- 
Kellogg Sales Company      1    54,812    54,812    0.2%   329,000    0.2%   6.00    3,494,108     -0- 
Siemens Real Estate      1    51,130    51,130    0.2%   459,000    0.2%   8.98    4,452,425     -0- 
Foundation Building Materials, LLC      1    36,270    36,270    0.2%   178,000    0.1%   4.91    2,543,770     -0- 
Graybar Electric Company      1    26,340    26,340    0.1%   115,000    0.1%   4.37    2,312,027     -0- 
Vacant   (B)    2    185,837    -0-    0.0%   -0-    0.0%   -0-    13,462,700     -0- 
Total as of 12/31/19      115    22,866,627    22,679,010    99.2%  $142,234,000    100.0%  $6.27   $1,947,051,193  (C) $792,059,276 
                                                  
Leasing Activity Subsequent to 12/31/19                                                 
Sonwil Distribution Center, Inc.  (D)   -    -    104,981    0.5%   630,000    0.4%   6.00            
Pro Forma Total      115    22,866,627    22,783,991    99.6%  $142,864,000    100.0%  $6.27            

 

  (A) Woodstream Corporation and Altec Industries, Inc. are located at one property and, therefore, are counted as one property in the Property Count Total.
  (B) NF&M International is located in a 255,658 square foot industrial park in Monaca (Pittsburgh), PA, of which 80,856 square feet is vacant. This industrial park is counted as one property in the Property Count Total.
    Other than two properties indicated in footnotes (A) and (B) and one retail property, all other properties are single-tenant.
  (C) Does not include unamortized debt issuance costs of $8,011,547.
  (D) Effective 1/7/2020, we leased our previously vacant 104,981 square foot facility located in Cheektowaga (Buffalo), NY for two years to Sonwil Distribution Center, Inc.

 

FIRST QUARTER FISCAL YEAR 2020 SUPPLEMENTAL INFORMATION13
Table of Contents 

 

Property Table by State

(unaudited)

 

   Property   Square   Occupied Square   % of Total   Annual  

% of Total

Ann.

  

Rent Per

sf

   Undepreciated    Mortgage 
State  Count   Footage   Footage   sf   Rent   Rent   Occup.   Cost    Balance 
Florida   13    2,211,583    2,211,583    9.7%  $15,817,000    11.1%  $7.15   $227,225,723    $88,619,503 
Indiana   4    1,964,923    1,964,923    8.6%   11,132,000    7.8%   5.67    167,480,982     96,694,729 
Texas   10    1,781,967    1,781,967    7.8%   13,773,000    9.7%   7.73    182,450,580     70,737,802 
Ohio   9    1,705,506    1,705,506    7.5%   10,021,000    7.0%   5.88    119,522,777     43,920,552 
Georgia   6    1,639,696    1,639,696    7.2%   10,551,000    7.4%   6.43    166,206,747     83,909,760 
South Carolina   6    1,371,721    1,371,721    6.0%   10,309,000    7.2%   7.52    128,503,468     54,236,247 
Kentucky   3    1,295,940    1,295,940    5.7%   5,190,000    3.6%   4.00    66,111,852     35,817,411 
Mississippi   4    1,158,889    1,158,889    5.1%   4,526,000    3.2%   3.91    55,677,635     26,217,483 
Illinois   9    958,045    958,045    4.2%   6,173,000    4.4%   6.44    82,801,814     7,800,333 
North Carolina   4    939,706    939,706    4.1%   5,686,000    4.0%   6.05    85,806,994     39,497,736 
Tennessee   3    891,777    891,777    3.9%   3,188,000    2.2%   3.57    35,665,925     3,981,503 
Michigan   4    833,054    833,054    3.6%   5,577,000    3.9%   6.69    73,374,059     23,565,286 
Kansas   4    813,043    813,043    3.6%   4,678,000    3.3%   5.75    60,943,937     27,188,808 
Missouri   4    740,119    740,119    3.2%   2,900,000    2.0%   3.92    35,481,259     6,411,590 
Oklahoma   4    614,941    614,941    2.7%   3,975,000    2.8%   6.46    54,961,021     27,290,546 
New York   3    518,565    413,584    2.3%   2,942,000    2.1%   7.11    51,587,223     19,753,751 
Pennsylvania   3    504,040    423,184    2.2%   2,826,000    2.0%   6.68    36,897,915     12,948,643 
New Jersey   3    471,765    469,985    2.1%   6,723,000    4.7%   14.30    92,423,938     53,429,023 
Alabama   2    451,595    451,595    2.0%   2,650,000    1.9%   5.87    39,714,135     17,618,674 
Virginia   5    407,265    407,265    1.8%   2,456,000    1.7%   6.03    34,843,751     3,779,289 
Colorado   2    295,227    295,227    1.3%   2,441,000    1.7%   8.27    35,683,647     15,370,483 
Arizona   1    283,358    283,358    1.2%   1,393,000    1.0%   4.92    16,824,226     2,667,239 
Wisconsin   2    238,666    238,666    1.0%   1,295,000    0.9%   5.43    16,377,221     2,227,040 
Washington   1    210,445    210,445    0.9%   1,962,000    1.4%   9.32    30,320,686     16,348,307 
Louisiana   1    175,315    175,315    0.8%   1,270,000    0.9%   7.24    18,425,875     10,242,856 
Maryland   1    148,881    148,881    0.7%   1,455,000    1.0%   9.77    14,512,355     -0- 
Nebraska   1    89,115    89,115    0.2%   446,000    0.3%   5.00    5,963,626     -0- 
Minnesota   1    60,398    60,398    0.2%   372,000    0.3%   6.16    5,223,944     1,784,682 
Connecticut   1    54,812    54,812    0.2%   329,000    0.3%   6.00    3,494,108     -0- 
Iowa   1    36,270    36,270    0.2%   178,000    0.2%   4.91    2,543,770     -0- 
Total as of 12/31/2019   115    22,866,627    22,679,010    100.0%  $142,234,000    100.0%  $6.27   $1,947,051,193  (A) $792,059,276 
                                               
Leasing Activity Subsequent to 12/31/19                                              
New York (B)   -    -    104,981    0.5%   630,000    0.4%   6.00            
Pro Forma Total   115    22,866,627    22,783,991    100.0%  $142,864,000    100.0%  $6.27            

 

  (A) Does not include unamortized debt issuance costs of $8,011,547.
  (B) Effective 1/7/2020, we leased our previously vacant 104,981 square foot facility located in Cheektowaga (Buffalo), NY for two years to Sonwil Distribution Center, Inc.

 

FIRST QUARTER FISCAL YEAR 2020 SUPPLEMENTAL INFORMATION14
Table of Contents 

 

Lease Expirations

(unaudited)

 

       Property   Square   % of Total   Annual  

% of Total

Ann.
   Rent Per sf  

Lease Exp.

Term
in
   Undepreciated    Mortgage 
Fiscal Year      Count   Footage   Sf   Rent   Rent   Occup.   Years   Cost    Balance 
                                          
2020  (B)    4    350.397    1.5%  $1,949,000    1.4%  $5.56    0.5   $17,109,452    $-0- 
2021  (A)    10    1,206,723    5.3%   5,560,000    3.9%   4.61    1.4    69,799,838     6,964,290 
2022       7    1,138,320    5.0%   6,505,000    4.6%   5.71    2.2    76,123,274     22,276,371 
2023  (A)    13    1,668,804    7.3%   9,548,000    6.7%   5.72    3.5    117,189,426     18,760,182 
2024       13    1,887,034    8.3%   11,740,000    8.3%   6.22    4.4    136,821,074     24,205,425 
2025  (A)    9    2,433,130    10.6%   12,341,000    8.7%   5.07    5.4    162,101,246     67,058,021 
2026       8    1,078,913    4.7%   8,331,000    5.9%   7.72    6.4    113,194,022     31,673,987 
2027       12    2,373,001    10.4%   13,049,000    9.2%   5.50    7.6    185,550,657     66,832,541 
2028       11    2,571,915    11.2%   13,970,000    9.8%   5.43    8.3    182,415,303     64,633,427 
2029       8    1,739,634    7.6%   9,752,000    6.9%   5.61    8.8    138,152,933     62,704,916 
2030       4    873,032    3.8%   6,980,000    4.9%   8.00    10.3    101,878,345     51,465,675 
2031       3    963,269    4.2%   7,152,000    5.0%   7.42    11.3    104,617,800     60,113,581 
2032  (B)    8    2,131,983    9.3%   18,803,000    13.2%   8.82    12.0    290,943,536     169,925,686 
2033       2    639,068    2.8%   6,486,000    4.6%   10.15    13.3    106,803,506     65,366,688 
2034       3    1,561,347    6.8%   9,284,000    6.5%   5.95    14.3    127,748,517     80,078,486 
Various tenants at retail shopping center       1    64,220    0.4%   784,000    0.3%   12.56    -0-    3,139,564     -0- 
Vacant  (A)    2    185,837    0.8%   -0-    0.0%   -0-    -0-    13,462,700     -0- 
Total as of 12/31/19       115    22,866,627    100.0%  $142,234,000    100.0%  $6.27    7.6   $1,947,051,193  (C) $792,059,276 
                                                   
Leasing Activity Subsequent to 12/31/19                                                  
2022  (D)    -    -    -    630,000    0.4%   6.00    2.1            
Pro Forma Total       115    22,866,627    100.0%  $142,864,000    100.0%