Federal Realty Investment Trust 2013 Annual Meeting of Shareholders

Transcription

1 Federal Realty Investment Trust 2013 Annual Meeting of Shareholders

2 Joseph S. Vassalluzzo Chairman of the Board

3 James M. Taylor, Jr. Executive Vice President and Chief Financial Officer

4 A Balanced Strategy Our Goal: Produce consistent top tier earnings growth at the lowest risk in the sector.

5 A Balanced Strategy Our Goal: Produce consistent top tier earnings growth at the lowest risk in the sector. Industry-leading core portfolio

6 A Balanced Strategy Demographics Median Household Income in a 3 mile radius Source: Bank of America-Merrill Lynch Research, June 2012 This unmatched combination of density and affluence sets our centers apart. REG Shopping Center REIT Average DDR KIM EQY WRI National Average Households Per Square Mile

7 A Balanced Strategy Property Operating Income $450 $430 $410 $390 $370 $350 $330 $310 $290 $270 $250 $428 $383 $373 $362 $353 $

8 A Balanced Strategy Our Goal: Produce consistent top tier earnings growth at the lowest risk in the sector. Industry-leading core portfolio Infill locations support additional value creation

9 A Balanced Strategy Redevelopment/Development Pike & Rose Assembly Row

10 A Balanced Strategy Our Goal: Produce consistent top tier earnings growth at the lowest risk in the sector. Industry-leading core portfolio Infill locations support additional value creation Selective acquisitions complement core portfolio 10

11 A Balanced Strategy Acquisitions Plaza El Segundo

12 A Balanced Strategy Acquisitions Montrose Crossing

13 A Balanced Strategy Our Goal: Produce consistent top tier earnings growth at the lowest risk in the sector. Industry-leading core portfolio Infill locations support additional value creation Selective acquisitions complement core portfolio Strong balance sheet and capital structure provide solid foundation 13

14 A Balanced Strategy Balance Sheet Leverage As of December 31, % 50% 49.5% 45% 40% 46.1% 43.7% 44.3% 43.1% 42.1% 44.1% 43.1% 35% 30% 25% 29.3% 26.5% 25.3% 32.2% 30.1% 26.9% 27.0% 25.0% 20% Debt to Undepreciated Book Assets Debt to Total Market Capitalization

15 Source: Company Filings, SNL Financial Stable, Increasing FFO per Share Cumulative Change in FFO per Share Since 2005

16 Stable, Increasing FFO per Share 40% 20% 0% Cumulative Change in FFO per Share Since % -40% -32.1% -60% -80% Source: Company Filings, SNL Financial REG

17 Stable, Increasing FFO per Share 40% 20% 0% Cumulative Change in FFO per Share Since % -40% -32.1% -32.7% -60% -80% Source: Company Filings, SNL Financial REG WRI

18 Stable, Increasing FFO per Share 40% 20% 0% Cumulative Change in FFO per Share Since % -40% -32.1% -32.7% -37.5% -60% -80% Source: Company Filings, SNL Financial REG WRI KIM

19 Stable, Increasing FFO per Share 40% 20% 0% Cumulative Change in FFO per Share Since % -40% -60% -32.1% -32.7% -37.5% -49.1% -80% Source: Company Filings, SNL Financial REG EQY WRI KIM

20 Stable, Increasing FFO per Share 40% 20% 0% Cumulative Change in FFO per Share Since % -40% -60% -32.1% -32.7% -37.5% -49.1% -67.0% -80% REG EQY WRI KIM DDR Source: Company Filings, SNL Financial

21 Stable, Increasing FFO per Share Cumulative Change in FFO per Share Since % 41.3% 20% 0% -20% -40% -60% -32.1% -32.7% -37.5% -49.1% -67.0% -80% FRT REG EQY WRI KIM DDR Source: Company Filings, SNL Financial

22 Dividend Growth, CONSECUTIVE YEARS OF INCREASED ANNUAL DIVIDENDS The Longest Record in the REIT Industry CURRENT ANNUALIZED DIVIDEND PER SHARE $ Asian and Russian financial crises 2009 Great Recession OPEC imposes oil embargo on the U.S. Inflation in U.S. hits 14.8% S&L crisis peaks with 318 thrifts with assets of $135 billion being liquidated Inflation hits 40-year low of 1.1% DIVIDENDS

23 Dividend Growth, CONSECUTIVE YEARS OF INCREASED ANNUAL DIVIDENDS The Longest Record in the REIT Industry CURRENT ANNUALIZED DIVIDEND PER SHARE $ ,000+ Public companies, including ALL REITS 20 Public companies, ZERO REITS Years < Years of Consecutive Dividend Increases 53 58

24 Total Return Cumulative Change in Total Returns Since April 2000

25 Total Return $1,000 Cumulative Change in Total Returns Since April 2000 $800 $600 $400 $200 $- $ Pillow

26 Total Return $1,000 Cumulative Change in Total Returns Since April 2000 $800 $600 $400 $200 $- $ $ S&P500 Pillow

27 Total Return $1,000 Cumulative Change in Total Returns Since April 2000 $800 $600 $400 $200 $- $ $ $ S&P500 Dow Pillow

28 Total Return $1,000 Cumulative Change in Total Returns Since April 2000 $800 $600 $400 $ $200 $- $ $ $ REIT Index S&P500 Dow Pillow

29 Total Return $1,000 Cumulative Change in Total Returns Since April 2000 $800 $600 $ $400 $ $200 $- $ $ $ REIT Index S&P500 Dow Pillow Gold

30 Total Return $1,000 Cumulative Change in Total Returns Since April 2000 $ $800 $600 $ $400 $ $200 $- $ $ $ FRT REIT Index S&P500 Dow Pillow Gold

31 Donald C. Wood President and Chief Executive Officer

32 Welcome Shareholders Board of Trustees Employees

33 Dividend Growth, CONSECUTIVE YEARS OF INCREASED ANNUAL DIVIDENDS The Longest Record in the REIT Industry CURRENT ANNUALIZED DIVIDEND PER SHARE $ Asian and Russian financial crises 2009 Great Recession OPEC imposes oil embargo on the U.S. Inflation in U.S. hits 14.8% S&L crisis peaks with 318 thrifts with assets of $135 billion being liquidated Inflation hits 40-year low of 1.1% DIVIDENDS

34 Federal Realty Ratings 2000: S&P RATED FEDERAL REALTY 2006: S&P UPGRADED FEDERAL REALTY

35 Federal Realty Ratings APRIL 2013: S&P UPGRADED FEDERAL REALTY TO Of 166 total REITs Only THREE REITs carry A- ratings!

36 External Growth through Acquisitions and Development

37 External Growth through Acquisitions and Development Acquisitions: Investment Darien Darien, CT $47M

38 Darien Darien, Connecticut A 95,000 square foot neighborhood shopping center in one of the most affluent towns. Located directly across the street from train station that serves busy commuter trains (up to 1,200 weekday riders). Opportunity for future upside. Equinox

39 Darien Darien, Connecticut

40 External Growth through Acquisitions and Development Acquisitions: Investment Darien Darien, CT $47M East Bay Bridge Oakland/Emeryville, CA $117M $164M

41 East Bay Bridge Oakland/Emeryville, California A 438,000 square foot, grocery-anchored power center spanning two municipalities, Emeryville and Oakland, CA. Located at the intersections of three major highways: I-80, I-580 and I- 880.

42 East Bay Bridge Oakland/Emeryville, California

43 External Growth through Acquisitions and Development Acquisitions: Investment Darien Darien, CT $47M East Bay Bridge Oakland/Emeryville, CA $117M $164M Development Progress: Assembly Row Somerville, MA $200M

44 Proposed development scenario. Assembly Row Somerville, Massachusetts Recent Milestones: Construction commenced for Phase I MBTA constructing first T-stop in 27 years Signed leases/loi s completed - AMC Theaters, Saks Off 5 th, American Eagle, Puma, Brooks Brothers, Charlotte Russe, and Chico s

45 Assembly Row Somerville, Massachusetts On 40+ acres, one of the largest mixed used projects in New England will be developed by Federal Realty. Rendering of Assembly Row - Phase I Phase I includes: 326,000 sf of retail space, including a restaurant pad site 98,000 sf of office 448 residential units (by AvalonBay) A new Orange Line T-Stop will be constructed by Massachusetts Bay Transit Authority (MBTA) Initial delivery planned for Q Proposed development scenario.

46 Assembly Row Somerville, Massachusetts Proposed development scenario. Ariel View of Assembly Row

47 Proposed development scenario. Assembly Row Somerville, Massachusetts

48 External Growth through Acquisitions and Development Acquisitions: Investment Darien Darien, CT $47M East Bay Bridge Oakland/Emeryville, CA $117M $164M Development Progress: Assembly Row Somerville, MA $200M Pike & Rose North Bethesda, MD $250M

49 Proposed development scenario. Pike & Rose (Mid-Pike) North Bethesda, Maryland Recent Milestones: Construction commenced for Phase I approximately 6 acres of land New metro entrance to White Flint station Signed lease/loi s completed for 59% of the retail rent. Construction of Pike & Rose Phase I

50 Pike & Rose (Mid-Pike) North Bethesda, Maryland On 24+ acres, Pike & Rose is the latest mixed-use neighborhood from Federal Realty, located just off Rockville Pike, between Montrose Parkway and Old Georgetown Road. Phase I includes: 150,000 sf of retail space 80,000 sf of office 493 residential units Initial delivery planned for Fall 2014 Proposed development scenario.

51 Proposed development scenario. Pike & Rose (Mid-Pike) North Bethesda, Maryland

52 External Growth through Acquisitions and Development Acquisitions: Investment Darien Darien, CT $47M East Bay Bridge Oakland/Emeryville, CA $117M $164M Development Progress: Assembly Row Somerville, MA $200M Pike & Rose North Bethesda, MD $250M Santana Row San Jose, CA $75M $525M

53 Proposed development scenario. Santana Row San Jose, California under construction Lot 8B Misora April 2013 Santana Row Federal Realty Investment Trust

54 Proposed development scenario. Santana Row San Jose, California

55 Foundations of Sustainability In the last 3 years, Federal Realty has committed over $1 billion to green growth. Santana Row (300 Santana Row Office) LEED Certified Bethesda Row (Equinox Building) LEED Gold, Core & Shell Linden Square (Residential Townhomes) LEED Platinum Santana Row (Levare) LEED Silver Sustainability put to use: Solar panel installations Grease to Bio-Fuel conversion Electric Vehicle Charging stations ZIP Car Bike Share & bike parking stations

56 A Balanced Strategy Property Operating Income $450 $430 $410 $390 $370 $350 $330 $310 $290 $270 $250 $428 $383 $373 $362 $353 $

57 Local Merchants Support Your Local Merchants!

58 Local Merchants Federal Plaza

59 Local Merchants Bethesda Row

60 Local Merchants Rockville Town Square

61 What Would You Like To Know?