Machine learning predictions based on historical earnings data and price patterns
1-Day Prediction
-6.45%
$2.12
0% positive prob.
5-Day Prediction
-12.35%
$1.99
0% positive prob.
20-Day Prediction
-11.32%
$2.01
0% positive prob.
SEC 8-K filings with transcript text
Aug 14, 2026 · 99% conf.
1D
-6.45%
$2.12
Act: +0.88%
5D
-12.35%
$1.99
20D
-11.32%
$2.01
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Second Quarter 2026 Operating Results
New York – August 14, 2026 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three and six months ended June 30, 2026.
"We were pleased to close on the refinancing of the term loan facility which should allow us additional flexibility to execute sales at appropriate pricing and timing to help maximize value for our shareholders while we continue our efforts on the plan of sale. Additionally, we continue to explore the possibility of a strategic transaction as we simplify our portfolio,” said Adam Metz, CEO & President.
Q2 Sale Highlights:
• Generated gross proceeds of $11.0 million from the sale of one vacant/non-income producing asset.
• Subsequent to June 30, 2026, generated $3.0 million in gross proceeds from the sale of one vacant/non-income producing asset and received a distribution of $8.9 million from an unconsolidated entity as a result of the sale of a portion of the underlying property.
• As previously disclosed, the Company has entered into an option purchase and sale agreement (the “PSA”) to sell one vacant non-income producing premier asset in Dallas, Texas for anticipated gross proceeds of $50.8 million before applicable credits and costs. The sale is subject to customary closing conditions and is also cross-conditioned and cross-defaulted with an option purchase and sale agreement between the buyer and unaffiliated owners of a neighboring parcel. The buyer made an initial option payment of $169,200, then (i) commencing on July 1, 2026, and each month thereafter that the PSA remains in effect through December 1, 2026, the Company shall receive an option payment equal to $126,900 and (ii) commencing on January 1, 2027, and each month thereafter that the PSA remains in effect through January 1, 2028, the Company shall receive an option payment equal to $274,950. All option payments are incremental to the purchase price and are non-refundable except as otherwise provided for in the PSA. There can be no assurances that the buyer will exercise the option to purchase the property.
Financial Highlights:
For the three and six months ended June 30, 2026:
• As of June 30, 2026, the Company had cash on hand of $62.9 million, including $14.4 million of restricted cash. As of August 14, 2026, the Company has cash on hand of $48.6 million, including $32.7 million of restricted cash, and $10.0 million of availability under its revolving loan facility discussed below.
• During the three and six months ended June 30, 2026, the Company invested $0.8 million and $0.9 million, respectively, in its consolidated properties and $0.1 million and $2.5 million, respectively, in its unconsolidated properties.
• During the three and six months ended June 30, 2026, the Company received distributions of $1.4 million and $8.8 million, respectively, from its unconsolidated properties.
• The Company did not recognize any impairment charges on its consolidated properties for the three months ended June 30, 2026. The Company recognized an impairment charge of $15.2 million on one of its consolidated properties during the six months ended June 30, 2026.
• During the three months ended June 30, 2026, the Company did not record any other-than-temporary impairment losses on its unconsolidated entities. The Company recorded an other-than-temporary impairment loss of $5.2 million on one of its unconsolidated entities during the six months ended June 30, 2026.
• Net loss attributable to common shareholders of ($7.4) million, or ($0.13) per share and ($38.9) million, or ($0.69) per share, for the three and six months ended June 30, 2026, respectively.
• Subsequent to June 30, 2026, the Company entered into a new $15.0 million term loan facility and a $25.0 million revolving loan facility. At closing, the Company drew $15.0 million under the revolving loan facility, leaving $10.0 million available for future borrowings. The Company used a combination of the proceeds from the closing of the new loans together with cash on hand to fully repay the $50.0 million outstanding balance on the Term Loan Facility.
1
Portfolio
The table below represents a summary of the Company’s properties as of June 30, 2026 (in thousands except number of leases and acreage data):
Planned Usage
Total
Built SF / Acreage (1)
Leased SF (1)(2)
% Leased
Avg. Acreage / Site
Consolidated
Multi-Tenant Retail
1
209 sf / 14 acres
175
83.6%
14.1
Residential (3)
1
33 sf / 5 acres
12
36.7%
4.6
Premier
2
8 sf / 38 acres
8
100.0%
18.6
Unconsolidated
Other Joint Ventures
2
93 sf / 28 acres
5
5.1%
14.2
Premier
3
158 sf / 55 acres
106
67.4%
18.2
(1) Square footage and acreage are presented at the Company’s proportional share.
(2) Based on signed le
May 15, 2026
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports First Quarter 2026 Operating Results
New York – May 15, 2026 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months ended March 31, 2026.
"We continue to advance discussions to refinance our remaining $50 million of corporate debt that matures at the end of July. We are furthering our exploration of the possibility of a strategic transaction while we simultaneously continue our efforts to monetize our remaining assets pursuant to our plan of sale,” said Adam Metz, CEO & President.
Q1 Sale Highlights:
• Received a distribution of $5.7 million from an unconsolidated entity as a result of the sale of a portion of the underlying property.
• Subsequent to March 31, 2026, generated $11.0 million in gross proceeds from the sale of one vacant/non-income producing asset.
Financial Highlights:
For the three months ended March 31, 2026:
• As of March 31, 2026, the Company had cash on hand of $58.8 million, including $14.3 million of restricted cash. As of May 14, 2026, the Company has cash on hand of $63.2 million, including $14.4 million of restricted cash.
• The Company invested $0.1 million in its consolidated properties and invested $2.4 million in its unconsolidated properties.
• The Company received distributions of $7.4 million from its unconsolidated properties.
• The Company recognized impairment charges of $15.2 million on one of its consolidated properties.
• The Company recorded an other-than-temporary impairment loss of $5.2 million on one of its unconsolidated entities.
• Net loss attributable to common shareholders of ($31.3) million, or ($0.56) per share.
Portfolio
The table below represents a summary of the Company’s properties as of March 31, 2026 (in thousands except number of leases and acreage data):
Planned Usage
Total
Built SF / Acreage (1)
Leased SF (1)(2)
% Leased
Avg. Acreage / Site
Consolidated
Multi-Tenant Retail
1
209 sf / 14 acres
175
83.6%
14.1
Residential (3)
2
33 sf / 19 acres
12
36.7%
9.5
Premier
2
8 sf / 38 acres
8
100.0%
18.6
Unconsolidated
Other Joint Ventures
2
93 sf / 28 acres
5
5.1%
14.2
Premier
3
158 sf / 55 acres
106
67.4%
18.2
(1) Square footage and acreage are presented at the Company’s proportional share.
(2) Based on signed leases at March 31, 2026.
(3) Square footage represents built ancillary retail space whereas acreage represents both retail and residential acreage. Retail and residential are counted separately.
1
Financial Summary
The table below provides a summary of the Company’s financial results for the three months ended March 31, 2026:
Three Months Ended
March 31, 2026
March 31, 2025
Net loss attributable to Seritage common shareholders
$
(31,543
)
$
(23,427
)
Net loss per share attributable to Seritage common shareholders
(0.56
)
(0.42
)
As of March 31, 2026, the Company had cash on hand of $58.8 million, including $14.3 million of restricted cash. Subsequent to the three months ended March 31, 2026, the Company sold one of its consolidated properties for aggregate gross proceeds of $11.0 million. The Company does not currently have any assets under contract with closings that are deemed probable. Our existing cash on hand will not allow the Company to fund its operating and other expenses, including general and administrative expenses and debt service (collectively, “Obligations”) because the term loan facility, which matures on July 31, 2026, is presently a current Obligation. This uncertainty raises substantial doubt about the Company’s ability to continue as a going concern. For more information on our liquidity position, including our going concern analysis, please see the notes to the consolidated financial statements included in Part I, Item 1 and in the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” each in our Quarterly Report on Form 10-Q.
Litigation Matters
On July 1, 2024, a purported shareholder of the Company filed a class action lawsuit in the U.S. District Court for the Southern District of New York, captioned Zhengxu He, Trustee of the He & Fang 2005 Revocable Living Trust v. Seritage Growth Properties, Case No. 1:24:CV:05007, alleging that the Company, the Company’s Chief Executive Officer, and the Company’s Chief Financial Officer violated the federal securities laws (the “Securities Action”). The complaint seeks to bring a class action on behalf of all persons and entities that purchased or otherwise acquired Company securities between July 7, 2022 and May 10, 2024. The complaint alleges that the defendants violated federal securities laws by issuing false, misleading, and/or omissive disclosures concerning the Company’s alleged lack of effective internal controls reg
Mar 31, 2026
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Fourth Quarter and Full Year 2025 Operating Results
New York – March 31, 2026 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months and year ended December 31, 2025.
"In 2025, we continued to execute our plan of sale. We generated total gross proceeds of $230.7 million and repaid $190.0 million of debt, leaving a balance of $50.0 million on our term loan facility. As we look ahead in 2026, the team is focused on continuing to execute on the monetization of our remaining assets, many of which are currently in the market. In addition, we are pursuing several different financing alternatives to address our upcoming term loan facility maturity and we are also continuing to explore the possibility of a strategic transaction now that we have a simplified portfolio,” said Adam Metz, CEO & President.
Q4 Sale Highlights:
• Generated $10.5 million of gross proceeds from the sale of one vacant/non-income producing asset eliminating $0.1 million of carrying costs.
• Generated $28.5 million of gross proceeds from the sale of one income producing asset reflecting a 7.4% capitalization rate.
• Generated $131.0 million of gross proceeds from the sale of one non-stabilized premier income producing property.
• Subsequent to December 31, 2025, the Company received a distribution of $5.7 million from an unconsolidated entity as a result of the sale of a portion of the underlying property.
• As of March 31, 2026, the Company has one asset under contract to sell for anticipated gross proceeds of $11.0 million before applicable credits and costs, subject to customary due diligence and customary closing conditions.
Financial Highlights:
For the three and twelve months ended December 31, 2025:
• As of December 31, 2025, the Company had cash on hand of $62.3 million, including $14.2 million of restricted cash. As of March 31, 2026, the Company has cash on hand of $59.1 million, including $14.3 million of restricted cash.
• During the three and twelve months ended December 31, 2025, the Company invested $4.5 million and $26.3 million, respectively, in its consolidated properties primarily related to tenant leasing costs and invested $0.1 million and $0.5 million, respectively, in its unconsolidated properties.
• During the three and twelve months ended December 31, 2025, the Company received distributions of $1.7 million and $11.3 million, respectively, from its unconsolidated properties.
• During the three months ended December 31, 2025, the Company made $150.0 million in principal repayments on the Company's term loan facility. For the year, the Company made $190.0 million in principal repayments on its term loan facility, reducing the outstanding principal balance to $50.0 million at December 31, 2025.
• The Company recognized impairment charges of $18.8 million on its consolidated properties for the twelve months ended December 31, 2025.
• During the three months ended December 31, 2025, the Company recorded its proportional share of an impairment charge, adjusted to reflect the impact of basis differences, of $7.1 million from one of its unconsolidated entities. During the twelve months ended December 31, 2025, the Company recorded an other-than-temporary impairment of $8.5 million on one of its unconsolidated entities.
• Net loss attributable to common shareholders of ($6.3) million, or ($0.11) per share and ($73.1) million, or ($1.30) per share for the three and twelve months ended December 31, 2025, respectively.
1
Portfolio
The table below represents a summary of the Company’s properties as of December 31, 2025 (in thousands except number of leases and acreage data):
Total
Built SF / Acreage (1)
Leased SF (2) (3)
% Leased
Avg. Acreage / Site
Consolidated
Multi-Tenant Retail
1
209 sf / 14 acres
175
83.6
%
14.1
Residential (3)
2
33 sf / 19 acres
12
36.7
%
9.5
Premier
2
8 sf / 38 acres
8
100.0
%
18.6
Unconsolidated
Other Entities
2
93 sf / 28 acres
5
5.1
%
14.2
Premier
3
158 sf / 57 acres
105
98.9
%
19.0
(1) Square footage and acreage are presented at the Company’s proportional share.
(2) Based on signed leases at December 31, 2025.
(3) Square footage represents built ancillary retail space whereas acreage represents both retail and residential acreage. Retail and residential are counted separately.
Financial Summary
The table below provides a summary of the Company’s financial results for the three months and year ended December 31, 2025:
(in thousands except per share amounts)
Three Months Ended
Year Ended
December 31, 2025
December 31, 2024
December 31, 2025
December 31, 2024
Net loss attributable to Seritage common shareholders
$
(6,310
)
$
(12,576
)
$
(73,115
)
$
(158,436
)
Net loss per share
Nov 14, 2025
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Third Quarter 2025 Operating Results
New York – November 14, 2025 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months and nine months ended September 30, 2025.
"We continue to see good progress on our various asset sale processes. While not guaranteed, we currently expect to see near-term closings for all three assets under contract with no due diligence contingencies, which, if completed, would allow us to make a sizeable prepayment of our Term Loan Facility outstanding principal balance prior to year end,” said Adam Metz, CEO & President.
Q3 Sale Highlights:
• As of November 13, 2025, the Company has four assets under contract for anticipated gross proceeds of $240.8 million before applicable credits and costs. Of the four assets, three are under contract with no due diligence contingencies for total anticipated gross proceeds of $170.0 million and one asset is subject to a due diligence contingency for anticipated gross proceeds of $70.8 million. All sales are subject to customary closing conditions. Assets under contract include the following:
• One income producing asset for anticipated gross proceeds of $28.5 million reflecting a 7.4% capitalization rate;
• One non-stabilized premier income producing asset for anticipated gross proceeds of $131.0 million;
• One vacant/non-income producing asset for anticipated gross proceeds of $10.5 million eliminating $0.1 million of carrying costs; and
• One premier development asset for anticipated gross proceeds of $70.8 million subject to a long dated closing and the pursuit of a master plan amendment.
• The Company is currently negotiating definitive purchase and sale agreements on three joint venture assets which would result in anticipated gross distributions to the Company of approximately $47.3 million. If the definitive purchase agreements are executed, the assets in negotiations will all have various closing conditions, closing credits and costs and closing timelines.
Financial Highlights:
For the three months ended September 30, 2025:
• As of September 30, 2025, the Company had cash on hand of $59.9 million, including $8.3 million of restricted cash. As of November 13, 2025, the Company had cash on hand of $65.0 million, including $8.3 million of restricted cash.
• During the three months ended September 30, 2025, the Company invested $3.8 million in its consolidated properties primarily related to tenant leasing costs.
• During the three months ended September 30, 2025, the Company received distributions of $2.1 million from its unconsolidated properties.
• On July 28, 2025, the Company exercised its extension option and on July 30, 2025, the Company paid a 2% extension fee equal to $4.0 million on the outstanding principal balance of $200 million, extending the maturity date of the Term Loan Facility to July 31, 2026. The Company also paid the incremental facility fee of $4.0 million. All other terms under the Term Loan Agreement remain unchanged during the extension period including the interest rate and the incremental facility fee in accordance with the Term Loan Agreement.
• During the three months ended September 30, 2025, the Company recognized an impairment charge of $0.8 million on its consolidated properties.
• Net loss attributable to common shareholders of ($13.6) million, or ($0.24) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of $1.6 million.
1
For the nine months ended September 30, 2025:
• During the nine months ended September 30, 2025, the Company invested $21.8 million in its consolidated properties primarily related to tenant leasing costs and $0.4 million in its unconsolidated properties.
• During the nine months ended September 30, 2025, the Company received distributions of $9.6 million from its unconsolidated properties.
• During the nine months ended September 30, 2025, the Company made $40.0 million in principal repayments on the Company's Term Loan Facility.
• During the nine months ended September 30, 2025, the Company recognized impairment charges of $18.8 million on its consolidated properties.
• Net loss attributable to common shareholders of ($66.8) million, or ($1.19) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of $6.8 million.
Future Sales Projections
As of November 13, 2025, all but six of our remaining assets are either under contract or are in PSA negotiations. Information on the assets that are either under contract or are in PSA negotiations is provided above under Q3 Sales Highlights. The remaining six assets are either being marketed or are expected to be marketed at the appropriate time based on market conditions, and, as a result, any sales thereof are anticipated to
Aug 14, 2025
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Second Quarter 2025 Operating Results
New York – August 14, 2025 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months and six months ended June 30, 2025.
"We exercised our option and extended the maturity date of our Term Loan Facility which should allow us to execute sales at appropriate pricing and timing to help maximize value for our shareholders. Additionally, we are pleased to report progress on various asset sale processes including the signing of three purchase and sales agreements with five others in negotiations. We will continue to pursue our Plan of Sale with the objective of repaying our remaining debt and ultimately making distributions to our shareholders.” said Adam Metz, CEO & President.
Q2 Sale Highlights:
• Generated $23.0 million of gross proceeds from the sale of one premier property sold at $130.82 PSF eliminating $0.6 million in carrying costs.
• Generated $8.1 million of gross proceeds from the sale of one unconsolidated entity interest comprised of two properties.
• As of August 14, 2025, the Company has three assets under contract for anticipated gross proceeds of $109.8 million before applicable credits and costs. Of the three assets, two are for sale with no due diligence contingencies for total anticipated gross proceeds of $39.0 million and one asset is subject to a due diligence contingency for anticipated gross proceeds of $70.8 million. All sales are subject to customary closing conditions and in certain instances closing contingencies. Assets under contract include the following:
• One income producing asset for anticipated gross proceeds of $28.5 million reflecting a 7.4% capitalization rate;
• One vacant/non-income producing asset for anticipated gross proceeds of $10.5 million eliminating $0.1 million of carrying costs; and
• One premier development asset for anticipated gross proceeds of $70.8 million subject to a long dated closing and the pursuit of a master plan amendment.
• The Company is currently negotiating definitive purchase and sale agreements on five assets for anticipated gross proceeds of approximately $226.4 million, $181.2 million at share. The assets in negotiations, if the definitive purchase agreements are executed, will all have various closing conditions, closing credits and costs and closing timelines.
Financial Highlights:
For the three months ended June 30, 2025:
• As of June 30, 2025, the Company had cash on hand of $80.1 million, including $8.3 million of restricted cash. As of August 13, 2025, the Company had cash on hand of $65.1 million, including $8.3 million of restricted cash.
• During the three months ended June 30, 2025, the Company invested $4.7 million in its consolidated properties primarily related to tenant leasing costs and $0.4 million in its unconsolidated properties.
• During the three months ended June 30, 2025, the Company received distributions of $1.8 million from its unconsolidated properties.
• During the three months ended June 30, 2025, the Company made $40 million in principal repayments on the Company's term loan facility (the "Term Loan Facility"), reducing the balance of the Term Loan Facility to $200.0 million at June 30, 2025.
• On July 28, 2025, the Company exercised its extension option and on July 30, 2025, the Company paid a 2% extension fee equal to $4.0 million extending the maturity date of the Term Loan Facility to July 31, 2026. The Company also paid the incremental
1
facility fee of $4.0 million. All other terms under the Term Loan Agreement remain unchanged during the extension period including the interest rate and the incremental facility fee in accordance with the Term Loan Agreement.
• During the three months ended June 30, 2025, the Company recognized an impairment charge of $18.0 million on its consolidated properties.
• Net loss attributable to common shareholders of ($29.7) million, or ($0.53) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of $2.6 million.
For the six months ended June 30, 2025:
• During the six months ended June 30, 2025, the Company invested $18.0 million in its consolidated properties primarily related to tenant leasing costs and $0.4 million in its unconsolidated properties.
• During the six months ended June 30, 2025, the Company received distributions of $7.4 million from its unconsolidated properties.
• During the six months ended June 30, 2025, the Company made $40 million in principal repayments on the Company's Term Loan Facility.
• During the six months ended June 30, 2025 and 2024, the Company recognized an impairment charge of $18.0 million on its consolidated properties.
• Net loss attributable to common shareholders of ($53.2) million, or ($0.94) per share.
•
May 15, 2025
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports First Quarter 2025 Operating Results
New York – May 15, 2025 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months ended March 31, 2025.
"The Company's strategy following the completion of a smooth CEO transition remains the same. We will continue to pursue our Plan of Sale with the priority of repaying our remaining debt from the sale of assets. Our team is focused on executing transactions at appropriate pricing for our assets already in the market as well as taking the necessary steps to monetize the remaining assets in our portfolio to create value for our shareholders.” said Adam Metz, Interim CEO & President.
Q1 Sale Highlights:
• Generated $29.9 million of gross proceeds from the sale of an income producing asset reflecting a 7.7% capitalization rate.
• As of May 15, 2025, the Company has one asset owned by our consolidated joint venture under contract for sale subject to customary due diligence for anticipated gross proceeds of $14.0 million or $11.2 million at share.
• The Company is currently negotiating a definitive purchase and sale agreement on one premier development asset for anticipated gross proceeds of approximately $70.0 million. The purchase and sales agreement, if executed, contemplates a long-dated closing due to the agreed upon pursuit of a master plan amendment.
Financial Highlights:
For the three months ended March 31, 2025:
• As of March 31, 2025, the Company had cash on hand of $107.1 million, including $12.9 million of restricted cash. As of May 13, 2025, the Company had cash on hand of $99.9 million, including $11.9 million of restricted cash.
• During the three months ended March 31, 2025, the Company invested $13.3 million in its consolidated properties.
• Net loss attributable to common shareholders of ($23.4) million, or ($0.42) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of $2.6 million.
1
Future Sales Projections
The data below provides additional information regarding current estimated gross sales proceeds per asset in the portfolio as of May 15, 2025 excluding assets under contract or in PSA negotiation, which are described above. The assets listed below are either being marketed or are to be marketed at the appropriate time based on market conditions and, as a result, any sales thereof are anticipated to occur later in 2025 and beyond. Sales projections, including timing of sale, are based on the Company’s latest forecasts and assumptions, but the Company cautions that actual results may differ materially. In addition, see “Market Update” below and the “Risk Factors” section contained in the Company’s filings with the Securities and Exchange Commission for discussion of the risks associated with such estimated gross sale proceeds.
Gateway Markets
• One Multi-Tenant Asset $25 - $30 million
• Eight Premier Assets (Dallas & San Diego are each assumed to be sold in two transactions)
• One Asset $15 - $20 million
• One Asset $20 - $30 million
• Three Assets $30 - $40 million, each
• One Asset $60 - $70 million
• One Asset $100 - $150 million
• One Asset $150 - $200 million
Primary Markets
• One Multi-Tenant Asset $25 - $30 million
• Two Joint Venture Assets $5 - $10 million, each
• One Joint Venture Asset under $5 million
Secondary Markets
• One Retail Asset $5 - $10 million
• One Joint Venture Asset under $5 million
• One Non-Core Asset $5 - $10 million
Portfolio
The table below represents a summary of the Company’s properties by planned usage as of March 31, 2025 (in thousands except number of leases and acreage data):
Planned Usage
Total
Built SF / Acreage (1)
Leased SF (1)(2)
% Leased
Avg. Acreage / Site
Consolidated
Multi-Tenant Retail
2
425 sf / 28 acres
391
92.0%
14.2
Residential (3)
2
33 sf / 19 acres
33
100.0%
9.5
Premier
4
228 sf / 69 acres
189
83.2%
17.2
Non-Core (4)
1
134 sf /15 acres
-
0.0%
14.8
Unconsolidated
Other Joint Ventures
4
258 sf / 52 acres
5
1.8%
13.0
Premier
3
158 sf / 57 acres
106
67.4%
19.0
(1) Square footage is presented at the Company’s proportional share.
(2) Based on signed leases at March 31, 2025.
(3) Square footage represents built ancillary retail space whereas acreage represents both retail and residential acreage. Retail and residential are counted separately.
(4) Represents assets the Company previously designated for sale.
2
Multi-Tenant Retail
The table below provides a summary of all Multi-Tenant Retail signed and in negotiation leases as of March 31, 2025 (in thousands except for number of leases and PSF data):
Number of
Leased
% of Total
Gross Annual Base
% of
Gross Annual
Tenant
Leases
GLA
Leasable GLA
Rent ("ABR")
Total ABR
Rent PSF ("ABR PSF")
In-
Mar 31, 2025
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Fourth Quarter and Full Year 2024 Operating Results
New York – March 31, 2025 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the year ended December 31, 2024.
"This quarter we have made strides to ready more assets for sale: signing critical leases, achieving partnership approvals, securing zoning and other important milestones. As a result, we anticipate that a majority of our assets, whether fully or partially for certain assets anticipated to be sold in multiple transactions, will be in the market in 2025. These include a mix of large development sites, smaller leased properties and vacant assets, all of which have varying anticipated sales processes and closing timelines. In sum, although we have had fewer closings this quarter than previous ones, we have made significant progress towards the completion of our Plan of Sale” said Andrea Olshan, CEO & President.
Q4 Sale Highlights:
• Generated $50.8 million of gross proceeds from the sale of three vacant/non-income producing assets sold at $92.87 PSF eliminating $1.2 million of carry costs and generated $11.0 million of gross proceeds from monetizing two unconsolidated entity interests.
• Subsequent to December 31, 2024, generated $29.9 million in gross proceeds from an income producing asset sold reflecting a 7.7% capitalization rate.
• As of March 31, 2025, the Company has one asset owned by our consolidated joint venture under contract for sale subject to customary due diligence for anticipated gross proceeds of $14.0 million or $11.2 million at share.
• The Company is currently negotiating a definitive purchase and sale agreement on one premier development asset for anticipated gross proceeds of approximately $70.0 million. The purchase and sales agreement, if executed, contemplates a long-dated closing due to the agreed upon pursuit of a master plan amendment.
Financial Highlights:
For the year ended December 31, 2024:
• As of December 31, 2024, the Company had cash on hand of $97.7 million, including $12.5 million of restricted cash. As of March 28, 2025, the Company had cash on hand of $107.0 million, including $12.5 million of restricted cash.
• During the year ended December 31, 2024, the Company invested $27.5 million in its consolidated properties and $9.3 million in its unconsolidated entities.
• Net loss attributable to common shareholders of $(158.4) million, or ($2.82) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of $2.6 million.
• During the year, the Company made $120.0 million in principal repayments on the Company's term loan facility (the "Term Loan Facility"), reducing the balance of the Term Loan Facility to $240.0 million at December 31, 2024. Additionally, the Company secured an extension right on the Term Loan Facility which, if exercised, will extend the maturity date to July 31, 2026.
1
Future Sales Projections
The data below provides additional information regarding current estimated gross sales proceeds per asset in the portfolio as of March 31, 2024, excluding assets under contract or in PSA negotiation, which are described above. The assets listed below are either being marketed or are to be marketed at the appropriate time based on market conditions and, as a result, any sales thereof are anticipated to occur later in 2025 and beyond. Sales projections, including timing of sale, are based on the Company’s latest forecasts and assumptions, but the Company cautions that actual results may differ materially. In addition, see “Market Update” below and the “Risk Factors” section contained in the Company’s filings with the Securities and Exchange Commission for discussion of the risks associated with such estimated gross sale proceeds.
Gateway Markets
• One Multi-Tenant Asset $25 - $30 million
• Eight Premier Assets (Dallas & San Diego are each assumed to be sold in two transactions)
• One Asset $15 - $20 million
• One Asset $20 - $30 million
• Three Assets $30 - $40 million, each
• One Asset $60 - $70 million
• One Asset $100 - $150 million
• One Asset $150 - $200 million
Primary Markets
• One Multi-Tenant Asset $25 - $30 million
• Two Joint Venture Assets $5 - $10 million, each
• One Joint Venture Asset under $5 million
Secondary Markets
• One Retail Asset $5 - $10 million
• One Joint Venture Asset $5 - $10 million
• One Non-Core Asset $5 - $10 million
Portfolio
The table below represents a summary of the Company’s properties by planned usage as of December 31, 2024 (in thousands except number of leases and acreage data):
Planned Usage
Total
Built SF / Acreage (1)
Leased SF (2) (3)
Avg. Acreage / Site
Consolidated
Multi-Tenant Retail
3
507 sf / 63 acres
335
20.9
Residential (3)
2
33 sf / 19 acres
33
9.5
Prem
Nov 12, 2024
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Third Quarter 2024 Operating Results
New York – November 12, 2024 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three and nine months ended September 30, 2024.
"We have made tremendous strides in simplifying our portfolio and improving our balance sheet while maintaining and enhancing our best assets. Our near term priority is our pending term loan maturity in July 2025, and we are simultaneously exploring multiple options to determine which would be the most beneficial to our shareholders. To this end, we are currently engaged in the following: discussions with our current lender on a potential extension of the maturity, in the market for a possible refinancing of the debt with other lenders, pursuing other recapitalization options, and continuing to explore other strategic alternatives. We are doing all of this while continuing our plan of sale and further reducing our debt,” said Andrea L. Olshan, Chief Executive Officer.
Sale Highlights:
• Generated $24.0 million of gross proceeds from the sale of an income producing asset reflecting a 8.5% capitalization rate.
• Subsequent to September 30, 2024, generated $17.1 million in gross proceeds from a vacant/non-income producing asset sold at $87.43 PSF eliminating $0.6 million of carry costs.
• As of November 12, 2024, the Company has five assets under contract for anticipated gross proceeds of $87.9 million. All assets for sale are subject to customary closing conditions. Of these five assets, two are for sale with no due diligence contingencies for total anticipated gross proceeds of $33.7 million and three assets are under contract for sale subject to customary due diligence for anticipated gross proceeds of $54.2 million at share including:
• $33.7 million in gross proceeds from two vacant/non-income producing properties to be sold at $95.90 PSF eliminating $0.6 million of carry costs; and
• $54.2 million in gross proceeds from monetizing three unconsolidated entity interests.
• The Company has accepted an offer and is currently negotiating a definitive purchase and sale agreement on one income producing asset for gross proceeds of $29.9 million.
Financial Highlights:
For the three months ended September 30, 2024:
• As of September 30, 2024, the Company had cash on hand of $98.2 million, including $12.6 million of restricted cash. As of November 11, 2024, the Company had cash on hand of $87.7 million, including $12.6 million of restricted cash.
• During the three months ended September 30, 2024, the Company invested $3.3 million in its consolidated properties and $5.8 million in its unconsolidated entities.
• Net loss attributable to common shareholders of ($23.2) million, or ($0.41) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of (0.9) million.
Other Highlights
• Signed two leases covering 5.5 thousand square feet in the third quarter at a projected average annual net rent of $65.57 PSF.
• Opened two tenants in the third quarter totaling approximately 6.5 thousand square feet at an average net rent of $63.11 PSF.
1
Future Sales Projections
The data below provides additional information regarding current estimated gross sales proceeds per asset in the portfolio as of November 12, 2024, excluding assets under contract or in PSA negotiation, which are described above. The assets listed below are either being marketed or are to be marketed at the appropriate time based on market conditions and, as a result, any sales thereof are anticipated to occur in 2025 and beyond. Sales projections, including timing of sale, are based on the Company’s latest forecasts and assumptions, but the Company cautions that actual results may differ materially. In addition, see “Market Update” below and the “Risk Factors” section contained in the Company’s filings with the Securities and Exchange Commission for discussion of the risks associated with such estimated gross sale proceeds.
Gateway Markets
• One Multi-Tenant Asset $25 - $30 million
• Eight Premier Assets (Dallas & San Diego are each assumed to be sold in two transactions)
• One Asset $15 - $20 million
• Two Assets $30 - $35 million, each
• One Assets $50 - $60 million
• One Asset $60 - $70 million
• One Asset $70 - $80 million
• One Asset $100 - $150 million
• One Asset $150 - $200 million
Primary Markets
• One Multi-Tenant Asset $25 - $30 million
• Three Joint Venture Assets $5 - $10 million, each
• One Joint Venture Asset under $5 million
Secondary Markets
• One Residential Asset with adjacent Retail asset $5 - $10 million
• One Non-Core Asset $5 - $10 million
Portfolio
The table below represents a summary of the Company’s properties by planned usage as of September 30, 2024 (in thousands except number
Aug 14, 2024
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Second Quarter 2024 Operating Results
New York – August 14, 2024 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three and six months ended June 30, 2024.
“In the second quarter we continued to execute on our Plan of Sale, building a pipeline of accepted offers totaling over $150 million of gross proceeds. We expect to continue to use sale proceeds to pay down our term loan while maintaining appropriate cash balances to fund ongoing operations. As we look ahead, despite the continued uncertainty surrounding the economy, the November elections, and the increasingly tenuous geopolitical climate, we remain focused on our plan of sale while continuing to position our portfolio and balance sheet for a potential strategic transaction.” said Andrea L. Olshan, Chief Executive Officer.
Sale Highlights:
• Generated $40.4 million of gross proceeds from sales including:
• $28.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 5.3% capitalization rate;
• $3.8 million in gross proceeds from one income producing Non-Core asset reflecting a 7.8% capitalization rate; and
• $8.3 million in gross proceeds from two vacant/non-income producing Non-Core assets sold at $20.78 PSF eliminating $0.7 million of carry costs.
• As of August 14, 2024, the Company has five assets under contract for anticipated gross proceeds of $138.6 million. All assets for sale are subject to customary closing conditions. Of these five assets, two are for sale with no due diligence contingencies for total anticipated gross proceeds of $51.9 million and three assets are under contract for sale subject to customary due diligence for anticipated gross proceeds of $86.7 million at share including:
• $53.3 million in gross proceeds from two income producing Multi-Tenant Retail assets reflecting a 8.4% blended capitalization rate;
• $45.1 million in gross proceeds from two vacant/non- income producing Non-Core assets to be sold at $112.84 PSF eliminating $0.9 million of carry costs; and
• $40.2 million in gross proceeds from monetizing an unconsolidated entity interest.
• The Company has accepted offers on and is currently negotiating definitive purchase and sale agreements on two assets for total gross proceeds approximately $13.8 million from monetizing two unconsolidated entity interests.
• The Company has one Non-Core asset in an active auction process with a reserve price of $5.0 million.
1
Financial Highlights:
For the three months ended June 30, 2024:
• As of June 30, 2024, the Company had cash on hand of $100.5 million, including $13.8 million of restricted cash. As of August 13, 2024, the Company had cash on hand of $87.2 million, including $13.6 million of restricted cash.
• Net loss attributable to common shareholders of ($102.5) million, or ($1.82) per share.
• Net Operating Income-cash basis at share (“NOI-cash basis at share”) of (0.1) thousand.
• During the quarter, the Company made $50.0 million in principal repayments on the Company’s term loan facility having a maturity date of July 31, 2025 (the “Term Loan Facility”), reducing the balance of the Term Loan Facility to $280.0 million at June 30, 2024.
Other Highlights
• Signed two leases covering 7.1 thousand square feet in the second quarter at a projected average annual net rent of $118.10 PSF.
• Opened four tenants in the second quarter totaling approximately 13.6 thousand square feet at an average net rent of $56.27 PSF.
Future Sales Projections
The data below provides additional information regarding current estimated gross sales proceeds per asset in the portfolio as of August 14, 2024, excluding assets under contract or in PSA negotiation, which are described above. The assets listed below are either being marketed or are to be marketed at the appropriate time based on market conditions and, as a result, any sales thereof are anticipated to occur in 2024 and beyond. Sales projections, including timing of sale, are based on the Company’s latest forecasts and assumptions, but the Company cautions that actual results may differ materially. In addition, see “Market Update” below and the “Risk Factors” section contained in the Company’s filings with the Securities and Exchange Commission for discussion of the risks associated with such estimated gross sale proceeds.
Gateway Markets
• One Multi-Tenant Asset $25 - $30 million
• Eight Premier Assets (Dallas & San Diego are each assumed to be sold in two transactions)
• One Asset $15 - $20 million
• Two Assets $30 - $35 million, each
• One Assets $50 - $60 million
• One Asset $60 - $70 million
• One Asset $70 - $80 million
• One Asset $100 - $150 million
• One Asset $150 - $200 million
Primary Markets
• One Multi-Tenant Asset $25 -
May 24, 2024
0001628063true0001628063srg:Seven00SeriesACumulativeRedeemablePreferredSharesOfBeneficialInterestParValue001PerShareMember2024-05-102024-05-1000016280632024-05-102024-05-100001628063us-gaap:CommonStockMember2024-05-102024-05-10
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): May 10, 2024
(Exact name of Registrant as Specified in Its Charter)
Maryland
001-37420
38-3976287
(State or Other Jurisdiction of Incorporation)
(Commission File Number)
(IRS Employer Identification No.)
500 Fifth Avenue, Suite 1530
New York, New York
10110
(Address of Principal Executive Offices)
(Zip Code)
Registrant’s Telephone Number, Including Area Code: 212 355-7800
(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:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-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))
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol(s)
Name of each exchange on which registered
Class A common shares of beneficial interest, par value $0.01 per share
SRG
New York Stock Exchange
7.00% Series A cumulative redeemable preferred shares of beneficial interest, par value $0.01 per share
New York Stock Exchange
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. ☐
Item 2.02 Results of Operations and Financial Condition.
On May 10, 2024, the Company issued a press release regarding its financial results for the three months ended March 31, 2024 (the “May 10th Press Release”). A copy of the May 10th Press Release was furnished as Exhibit 99.1 to a Form 8-K also dated May 10, 2024.
In the May 10th Press Release, the Company indicated, in the table entitled “Portfolio” that the Company owned five Multi-Tenant Assets as of March 31, 2024. As noted in the second bullet of the section of the May 10th Press Release titled “Sale Highlights”, one of those assets was sold subsequent to quarter end. Therefore, as of May 10, 2024, the Company owned four Multi-Tenant Assets. Additionally, the Company indicated in the fourth bullet of the “Sale Highlights” section, that the Company had accepted an offer and was negotiating a definitive purchase and sale agreement for $24.0 million for one Multi-Tenant Asset. As such, as of May 10, 2024 there were three Multi-Tenant Assets that did not have accepted offers.
The May 10th Press Release indicated in the section titled “Future Sales Projections” that one of those three remaining Multi-Tenant Assets was in a Gateway Market. Therefore, the May 10th Press Release should have indicated in the “Future Sales Projection” section that there were two Multi-Tenant Assets in Primary Markets, not three, as the third asset was the asset included in the “Sale Highlights” section as having an accepted offer and in negotiation of a definitive purchase and sale agreement as referenced above.
In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K/A, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
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.
By:
/s/ Matthew Fernand
Matthew Fernand
Chief Legal Officer
Date: May 24, 2024
May 10, 2024
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports First Quarter 2024 Operating Results
New York – May 10, 2024 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months ended March 31, 2024.
"We are continuing to advance our Plan of Sale, having sold $80 million of assets year to date and repaid an equal amount of debt in the process. Since the announcement of our strategic review and election to be taxed as a C-Corp two years ago, we have sold 151 assets for approximately $1.7 billion of gross proceeds and repaid roughly $1.2 billion in debt. Based on our broad transaction experience, we are seeing a few themes emerge. Assets previously underwritten for life sciences or tech office are now frequently being reconsidered for other uses in higher demand but with less aggressive rent profiles, which, taken together with high construction costs, drives down the amount that can be paid for land. We are also seeing investors focusing on less risky debt or cash flowing equity investments to generate double-digit returns. Yet, some with a longer-term view are starting to come back to the development market. With more stability in interest rates and inflation, buyers are able to underwrite deals more confidently, albeit at lower valuations. As such we are adjusting our pricing projections for some of our assets.” said Andrea L. Olshan, Chief Executive Officer and President.
Sale Highlights:
• Generated $48.8 million of gross proceeds from sales including:
• $34.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 7.6% capitalization rate; and
• $14.8 million in gross proceeds from four vacant/non-income producing Non-Core assets sold at $28.56 PSF eliminating $0.8 million of carry costs.
• Subsequent to quarter end, generated $31.8 million of gross proceeds from sales including:
• $28.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 5.3% capitalization rate; and
• $3.8 million in gross proceeds from one income producing Non-Core assets reflecting a 7.8% capitalization rate.
• As of May 7, the Company has four assets under contract for anticipated gross proceeds of $30.1 million. All assets for sale are subject to customary closing conditions. Of these four assets, two are for sale with no due diligence contingencies for total anticipated gross proceeds of $8.3 million and two assets are under contract for sale subject to customary due diligence for total anticipated gross proceeds of $21.8 million including:
• $25.4 million in gross proceeds from three vacant/non- income producing Non-Core assets to be sold at $42.64 PSF eliminating $1.2 million of carry costs; and
• $4.7 million in gross proceeds from monetizing an unconsolidated entity interest.
• The Company has accepted offers on and is currently negotiating definitive purchase and sale agreements on four assets for total gross proceeds of approximately $79.1 million including:
• $24.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 8.5% capitalization rate;
• $8.1 million in gross proceeds from one vacant / non-income producing Non-Core assets to be sold at $55.18 PSF eliminating $0.3 million of carry costs; and
• $47.0 million in gross proceeds from monetizing two unconsolidated entity interests.
1
Financial Highlights:
For the three months ended March 31, 2024:
• As of March 31, 2024, the Company had cash on hand of $130.8 million, including $15.9 million of restricted cash. As of May 7, 2024, the Company had cash on hand of $102.4 million, including $11.7 million of restricted cash.
• Net loss attributable to common shareholders of ($20.2) million, or ($0.36) per share.
• Total Net Operating Income (“Total NOI”) of $2.1 million.
• During the quarter, the Company made $30.0 million in principal repayments on the Company’s term loan facility having a maturity date of July 31, 2025 (the “Term Loan Facility”), reducing the balance of the Term Loan Facility to $330.0 million at March 31, 2024. Subsequent to quarter end, the Company made additional principal payments totaling $50.0 million reducing the balance of the Term Loan Facility to $280.0 million as of May 7, 2024.
Other Highlights
• Signed one lease covering 1.6 thousand square feet in the first quarter at a projected annual net rent of $110.25 PSF.
• Opened five tenants in the first quarter totaling approximately 53.5 thousand square feet at an average net rent of $53.98 PSF.
Future Sales Projections
The data below provides additional information regarding current estimated gross sales proceeds per asset in the portfolio as of May 7, 2024, excluding assets under contract or in PSA negotiation, which are described above. The assets listed below are either being mark
Apr 2, 2024
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Fourth Quarter and Full Year 2023 Operating Results
New York – April 1, 2024– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the year ended December 31, 2023.
“In 2023, we sold 68 assets for gross proceeds of $842.7 million and paid down $670 million of debt. As of today, the overwhelming majority of our remaining assets have identified counterparties, are in the market or about to be launched. With respect to the remaining properties in our portfolio, these are assets for which we need to overcome important hurdles and/or achieve specific objectives prior to launching these assets for sale. We have a line of sight into a significantly more simplified portfolio of primarily premier development sites in prime markets. This along with our low run rate corporate overhead and significant tax losses may position the Company for potential strategic transactions as an alternative to continuing our Plan of Sale,” said Andrea L. Olshan, Chief Executive Officer and President.
Sale Highlights:
• Generated $99.5 million of gross proceeds during the quarter ended December 31, 2023 from sales including:
• $27.5 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 6.4% capitalization rate;
• $15.3 million in gross proceeds from three income producing Non-Core assets reflecting a 7.0% blended capitalization rate; and
• $56.7 million in gross proceeds from two vacant / non-income producing Non-Core assets sold at $54.95 PSF eliminating $2.5 million of carry costs.
• Subsequent to quarter end, generated $48.8 million of gross proceeds from sales including:
• $34.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 7.6% capitalization rate; and
• $14.8 million in gross proceeds from four vacant / non-income producing Non-Core assets sold at $28.56 PSF eliminating $0.8 million of carry costs.
• As of March 22, 2024, the Company has four assets under contract for anticipated gross proceeds of $53.6 million. All assets for sale are subject to customary closing conditions. Of these four assets, one is an income producing Non-Core asset for sale with no due diligence contingencies for total anticipated gross proceeds of $3.8 million reflecting a 7.8% capitalization rate. In addition, of these four assets, three are under contract for sale subject to customary due diligence for total anticipated gross proceeds of $49.8 million, including:
• $28.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 5.3% capitalization rate;
• $17.1 million in gross proceeds from one vacant / non-income producing Non-Core asset priced at $87.43 PSF eliminating $0.5 million of carry costs; and
• $4.7 million in gross proceeds from monetizing one unconsolidated entity interest.
• As of March 22, 2024, the Company has accepted offers on, and is currently negotiating definitive purchase and sale agreements on one unconsolidated equity interest for total gross proceeds of approximately $7.1 million and one income producing Non-Core asset for total gross proceeds of approximately $8.1 million.
• The Company currently has two assets in active auction processes with aggregate reserve prices of $10.0 million.
1
Financial Highlights:
For the year ended December 31, 2023:
• As of December 31, 2023, the Company had cash on hand of $149.7 million, including $15.7 million of restricted cash. As of March 22, 2024, the Company had cash on hand of $132.6 million, including $15.8 million of restricted cash.
• Net loss attributable to common shareholders of ($159.8) million, or ($2.85) per share.
• Total Net Operating Income (“Total NOI”) of $8.6 million.
• During the year, the Company made $670 million in principal repayments on the Company’s term loan facility having a maturity date of July 31, 2025 (the “Term Loan Facility”), reducing the balance of the Term Loan Facility to $360 million at December 31, 2023. Subsequent to year end, the Company made an additional $30 million principal repayment reducing the balance of the Term Loan Facility to $330 million as of March 22, 2024.
Other Highlights
• Signed six leases covering 25 thousand square feet in the fourth quarter at an average projected annual net rent of $66.96 PSF.
• Three ground floor leases covering approximately 4.2 thousand square feet at a Premier asset at a projected annual net rent of $103.75 PSF; and
• Three upper floor leases covering approximately 20.7 thousand square feet at a Premier asset at a projected annual net rent of $59.57 PSF.
• Opened seven tenants in the fourth quarter totaling approximately 128 thousand square feet (123 thousand square feet at share) at an average net rent of $36.35 PSF ($34.75 PSF at share).
Futur
Nov 8, 2023
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Third Quarter 2023 Operating Results
New York – November 8, 2023– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three and nine months ended September 30, 2023.
“We continue to make significant progress on asset sales, grossing more than $156 million during the quarter. We now have a line of sight to a portfolio of approximately 25 assets comprised of many of our best properties in prime markets around the country. Our team's operational discipline has allowed us to reduce run rate G&A, a trend we expect to continue into 2024. We remain focused on our balance sheet, keeping ample cash balances while using excess proceeds to progressively pay down our debt. Looking ahead, we will press on with our plan of sale with a continued focus on delivering value to our shareholders,” said Andrea L. Olshan, Chief Executive Officer and President.
Sale Highlights:
• Generated $156.8 million of gross proceeds during the quarter ended September 30, 2023 from sales including:
• $48.2 million in gross proceeds from two income producing Multi-Tenant Retail assets reflecting a 7.5% blended capitalization rate;
• $8.4 million in gross proceeds from two income producing Non-Core assets reflecting a 6.7% blended capitalization rate;
• $6.2 million in gross proceeds from two vacant / non-income producing Non-Core assets sold at $11.79 PSF eliminating $0.6M of carry costs; and
• $94.0 million in gross proceeds from monetizing three unconsolidated entity interests.
• Subsequent to quarter end, generated $78.6 million of gross proceeds from sales including:
• $27.5 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 6.4% capitalization rate; and
• $51.1 million in gross proceeds from five vacant / non-income producing Non-Core assets sold at $64.28 PSF eliminating $1.7M of carry costs.
• The Company has eight assets under contract for anticipated gross proceeds of $78.0 million. All assets for sale are subject to customary closing conditions. Of these eight assets, three are for sale with no due diligence contingencies for total anticipated gross proceeds of $11.8 million, four assets are under contract for sale subject to customary due diligence for total anticipated gross proceeds of $28.7 million and one asset is subject to a buyer termination right for anticipated gross proceeds of $37.5 million including:
• $37.5 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 5.8% capitalization rate;
• $9.2 million in gross proceeds from two income producing Non-Core assets reflecting a 6.4% blended capitalization rate; and
• $31.3 million in gross proceeds from five vacant / non-income producing Non-Core assets sold at $39.56 PSF eliminating $1.8M of carry costs.
1
• The Company has accepted offers on and is currently negotiating definitive purchase and sale agreements on seven assets for total gross proceeds of approximately $59.0 million including:
• $28.0 million in gross proceeds from one income producing Multi-Tenant Retail asset reflecting a 7.7% capitalization rate;
• $2.7 million in gross proceeds from one income producing Non-Core asset reflecting a 5.5% capitalization rate;
• $8.5 million in gross proceeds from two vacant / non-income producing Non-Core assets sold at $37.59 PSF eliminating $0.4M of carry costs; and
• $19.8 million in gross proceeds from monetizing three unconsolidated entity interests.
Financial Highlights:
For the three months ended September 30, 2023:
• As of September 30, 2023, the Company had cash on hand of $114.8 million, including $16.0 million of restricted cash. As of November 3, 2023, the Company had cash on hand of $187.9 million, including $16.0 million of restricted cash, prior to making an additional principal prepayment of $40 million on November 7, 2023.
• Net loss attributable to common shareholders of ($3.8) million, or ($0.07) per share.
• Total Net Operating Income (“Total NOI”) of $1.1 million.
• During the quarter, the Company made $150 million in principal repayments on the Company’s term loan facility having a maturity date of July 31, 2025 (the “Term Loan Facility”), reducing the balance of the Term Loan Facility to $400 million at September 30, 2023. Subsequent to quarter end, the Company made an additional $40 million principal repayment reducing the balance of the Term Loan Facility to $360 million.
Other Highlights
• Signed three leases covering 12 thousand square feet in the third quarter at an average projected annual net rent of $55.94 PSF.
• One ground floor lease covering approximately 8 thousand square feet at a Multi-Tenant Retail asset at a projected annual net rent of $46.00 PSF;
• One ground floor lease covering approximately 500 squa
Aug 14, 2023
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Second Quarter 2023 Operating Results
New York – August 14, 2023– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three and six months ended June 30, 2023.
“We continue to make to progress on our strategy to maximize value for our shareholders. Since initiating our plan of sale in March of 2022, we have sold 127 properties for approximately $1.4 billion in gross proceeds and paid down $960 million on our term loan. Our rapid deleveraging has eliminated $67.2 million in debt service, $21.9 million in negative carry on wholly owned vacant or non-income producing properties and significant annual carry and development costs on disposed Joint Venture assets. Year to date we have sold 54 wholly owned, consolidated or joint venture properties for total gross proceeds of $654.6 million. Additionally, we have over $200 million of assets either under contract or with accepted offers. We plan to continue to use excess sales proceeds to reduce the Company’s term loan balance. In conjunction with our sales activity, we continue to build asset value through leasing, development and entitlement activity for the properties slated for sale later in our process,” said Andrea L. Olshan, Chief Executive Officer and President.
Sale Highlights:
• Generated $295.4 million of gross proceeds during the quarter ended June 30, 2023 from the sale of 19 wholly owned or consolidated assets and five joint venture assets.
• Subsequent to quarter end, generated $68.4 million of gross proceeds from the sale of one outparcel and two joint venture assets.
• The Company has nine assets under contract for sale with no due diligence contingencies or with an exercised put option for total anticipated proceeds of $133.3 million and four assets under contract for sale subject to customary due diligence for total anticipated proceeds of $26.9 million. All assets for sale are subject to customary closing conditions.
• The Company has accepted offers on and is currently negotiating definitive purchase and sale agreements on six wholly owned assets and one joint venture asset for total gross proceeds of approximately $62.2 million.
Financial Highlights:
For the three months ended June 30, 2023:
• As of June 30, 2023, the Company had cash on hand of $137.8 million, including $12.9 million of restricted cash. As of August 11, 2023, the Company had cash on hand of $190.9 million, including $12.9 million of restricted cash, prior to making an additional principal prepayment of $70 million on August 14, 2023.
• Net loss attributable to common shareholders of ($96.9) million, or ($1.73) per share.
• Total Net Operating Income (“Total NOI”) of $3.0 million.
• During the quarter, the Company made $250 million in principal repayments on the Company’s term loan facility having a maturity date of July 31, 2025 (the “Term Loan Facility”), reducing the balance of the Term Loan Facility to $550 million. Subsequent to quarter end, the Company made an additional $70 million in principal repayments reducing the balance of our Term Loan Facility to $480 million.
• During the quarter, the Company recorded a total of $104.5 million of impairment on four assets.
Other Highlights
• Signed one lease and one lease expansion covering 11 thousand square feet in the second quarter at an average projected annual net rent of $30.91 PSF.
• One ground lease covering approximately 5 thousand square feet at a Multi-Tenant Retail asset at a projected annual net rent of $38.50 PSF; and
• One ground floor lease expansion covering approximately 6 thousand square feet at a Multi-Tenant Retail asset at a projected annual net rent of $24.30 PSF.
• Opened seven tenants in the second quarter totaling approximately 26 thousand square feet (18 thousand square feet at share) at an average net rent of $57.90 PSF.
1
Sales Activity
The two tables below provide additional information regarding the Company’s disposition activity. The first table provides disposition information as of August 11, 2023. The second table provides updated information, as of August 11, 2023, on portfolio status by market, property type and transaction size consistent.
Sales Progress as of August 11, 2023 (1) (2)
Stabilized
Number
Cap
2023 Sales
2024 & Beyond Sales
Gross Proceeds
Closed since March 31, 2023
2
7.2%
2
-
$
36,650
Under Contract - No DD
2
7.5%
2
-
$
48,200
Under Contract - In DD
1
6.6%
1
-
$
5,200
PSA Neg. / Accepted Offer
1
7..4%
1
-
$
34,000
Total
6
7.3%
6
-
$
124,050
Remaining Stabilized Sales Parcels
3
-
3
Partially Stabilized
Number
Cap
2023 Sales
2024 & Beyond Sales
Gross Proceeds
Closed since March 31, 2023
5
7.3%
5
-
$
102,450
Under Contract - No DD
2
5.8%
1
1
$
43,500
Under Contract
May 10, 2023
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports First Quarter 2023 Operating Results
New York – May 10, 2023– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three months ended March 31, 2023.
“We continue to make steady progress on our plan of sale since initiating the process in March of 2022. Year to date we have sold 31 wholly owned properties for total gross proceeds of $311.9 million. In addition to the sales closed year to date, we have over $500 million of assets either under contract or with accepted offers. We plan to continue to use excess sales proceeds to reduce the Company’s term loan balance. In conjunction with our sales activity, we continue to build asset value through leasing, development and entitlement activity for the properties slated for sale later in our process. Despite the ongoing challenging market conditions, we are prudently progressing our plan of sale to maximize value for our shareholders,” said Andrea L. Olshan, Chief Executive Officer and President.
Sale Highlights:
• Generated $290.8 million of gross proceeds during the quarter ended March 31, 2023 from the sale of 27 wholly owned or consolidated assets.
• Subsequent to quarter end, generated $21.1 million of gross proceeds from the sale of four wholly owned assets.
• The Company has 15 assets under contract for sale with no due diligence contingencies for total anticipated proceeds of $295.6 million and four assets under contract for sale subject to customary due diligence for total anticipated proceeds of $37.9 million. All assets for sale are subject to customary closing conditions.
• The Company has exercised its put rights on four joint venture properties with anticipated proceeds of $106.5 million.
• The Company has accepted offers on and is currently negotiating definitive purchase and sale agreements for assets with accepted offers of approximately $67.7 million on wholly owned assets and $35 million in joint ventures interests.
Financial Highlights:
For the quarter ended March 31, 2023:
• As of March 31, 2023, the Company had cash on hand of $132.1 million, including $11.6 million of restricted cash. As of May 8, 2023, the Company had cash on hand of $143.5 million, including $11.6 million of restricted cash.
• Net loss attributable to common shareholders of ($63.2) million, or ($1.13) per share.
• Total Net Operating Income (“Total NOI”) of $3.1 million.
• During the quarter, the Company made $230 million in principal repayments on the Company’s term loan facility (“Term Loan Facility”), reducing the balance of the Term Loan Facility to $800 million. The Company also extended the maturity of the Term Loan Facility for an additional two years to July 31, 2025.
Other Highlights
• Signed three leases covering 84 thousand square feet in the first quarter at an average projected annual rent of $16.33 PSF.
• One new lease covering approximately eight thousand square feet at a Premier asset at an average projected annual net rent of $71.25 PSF; and
• Two ground floor leases covering approximately 76 thousand square feet at a Multi-Tenant Retail asset at an average projected annual net rent of $10.54 PSF.
• Opened seven tenants in the first quarter totaling approximately 139 thousand square feet (70 thousand square feet at share) at an average net rent of $67.47 PSF.
1
Sales Activity
The tables below provide additional information regarding the Company’s sales activity. The first table provides in chart format certain information contained in the Company’s April 4, 2023 business update. The second table updates this information as of May 9, 2023. The third table provides updated information, as of May 9, 2023, on portfolio status by market, property type and transaction size consistent with the Company’s prior disclosure on April 4, 2023.
Sales Progress as of April 4, 2023 (1)
Stabilized
Number
Cap
2023 Sales
2024 & Beyond Sales
Gross Proceeds
Under Contract - No DD
2
7.2%
2
-
$
36,650
Under Contract - In DD
1
8.6%
1
-
$
25,313
PSA Neg. / Accepted Offer
1
9.2%
1
-
$
10,400
Total
4
8.0%
4
-
$
72,363
Remaining Stabilized Sales Parcels
5
2
3
Partially Stabilized
Number
Cap
2023 Sales
2024 & Beyond Sales
Gross Proceeds
Under Contract - No DD
4
7.6%
4
-
$
115,850
Under Contract - In DD
-
N/A
-
-
$
-
PSA Neg. / Accepted Offer
1
4.0%
1
-
$
7,600
Total
5
7.5%
5
-
$
123,450
Remaining Partially Stabilized Sales Parcels
7
2
5
Pads
Number
Cap
2023 Sales
2024 & Beyond Sales
Gross Proceeds
Under Contract - No DD
-
N/A
-
-
$
-
Under Contract - In DD
2
5.7%
2
-
$
7,015
PSA Neg. / Accepted Offer
-
N/A
-
-
$
-
Total
2
5.7%
2
-
$
7,015
Remaining Pad Sales Parcels
3
3
-
Joint Ventures
Number
PSF
2023 Sales
2024 & Beyond S
Mar 14, 2023
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Fourth Quarter and Full Year 2022 Operating Results
New York – March 14, 2023– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the year ended December 31, 2022.
“Our most significant recent accomplishment, achieved during the first quarter of 2023, was the two-year extension of the Company’s term loan to July 31, 2025. This was made possible by the decisive actions we have taken to unlock the value of the Company’s diverse and high-quality portfolio for the benefit of Seritage shareholders. Since initiating our sale plan last year, we have made significant progress on dispositions, selling 65 wholly owned properties and eight joint venture assets for total gross proceeds of $739.7 million in 2022 and $238.6 million of asset sales year to date. We have used the sales proceeds to reduce the Company’s term loan balance to $800 million from $1.6 billion. We are building on our momentum with over $450 million of assets either under contract or with accepted offers. Future sales will allow us to continue to reduce debt throughout 2023. In addition to divesting of assets, we continue to drive value through leasing, development and entitlement activity. Despite challenging market conditions, we continue to prudently progress our plan of sale to maximize value for shareholders,” said Andrea Olshan, Chief Executive Officer and President.
Sale Highlights:
• Generated $739.7 million of gross proceeds during the year ended December 31, 2022 from the sale of 65 wholly owned properties and eight joint venture assets.
• Subsequent to year end, generated $238.6 million of gross proceeds from the sale of 18 assets.
• The Company has 17 assets under contract for sale with no due diligence contingencies for total anticipated proceeds of $326.7 million and five assets under contract for sale subject to customary due diligence for total anticipated proceeds of $39.6 million. All assets for sale are subject to customary closing conditions. Additionally, the Company has accepted offers and is currently negotiating definitive purchase and sale agreements on assets with accepted offers of approximately $98.0 million.
Financial Highlights:
For the year ended December 31, 2022:
• As of December 31, 2022, the Company had cash on hand of $144.9 million, including $11.5 million of restricted cash. As of March 6, 2023, the Company had cash on hand of $97.4 million, including $11.0 million of restricted cash.
• Net loss attributable to common shareholders of ($78.8) million, or ($1.59) per share. Total net loss of ($120.0) million, which includes $126.9 million of impairment of real estate assets and $35.5 million litigation settlement.
• Total Net Operating Income (“Total NOI”) of $43.5 million, which is an increase of 22% when compared to assets held in the same manner as of December 31, 2021.
• During the year, the Company made $410 million in principal repayments on the Company’s term loan facility (“Term Loan Facility”). Subsequent to year end, the Company made an additional $230 million in principal repayments, reducing the balance of the Term Loan Facility to $800 million. The Company also extended the maturity of the Term Loan Facility for an additional two years to July 31, 2025.
Other Highlights
• Signed five leases covering 46 thousand square feet (41 thousand square feet at share) in the fourth quarter at an average projected annual rent of $30.50 PSF ($28.24 PSF at share). To date in 2023, the Company has signed additional leases totaling 84 thousand square feet at a base rent of $16.33 PSF stabilized and has a leasing pipeline of over 200 thousand square feet.
• Leases signed in the fourth quarter included:
• Three new leases covering approximately 17 thousand square feet (12 thousand square feet at share) at Premier assets at an average projected annual rent of $55.39 PSF stabilized net ($57.52 PSF at share);
1
• One upper floor lease covering approximately one thousand square feet at a Premier asset at an average projected annual rent of $44.00 PSF stabilized net; and
• One ground floor lease covering approximately 28 thousand square feet at a Multi-Tenant Retail asset at an average projected annual rent of $14.75 PSF stabilized net, bringing occupancy of the Multi-Tenant Retail portfolio up to 81.0%.
• Leases signed in 2023 to date were:
• Eight thousand square feet of ground floor retail was leased at a Premier asset at a base rent of $74.50 PSF stabilized net; and
• 76 thousand square feet of ground floor retail space was leased at a Multi-Tenant Retail asset at a base rent of $10.50 PSF stabilized net.
• Opened four tenants in the fourth quarter totaling approximately 150 thousand square feet (90 thousand square feet at share) at an average rent of $14.48 PSF stabilized net (
Nov 9, 2022
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Third Quarter 2022 Operating Results
New York – November 9, 2022– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of retail, residential and mixed-use properties today reported financial and operating results for the three and nine months ended September 30, 2022.
“In the third quarter the Company made tremendous progress advancing our plan of sale, which our shareholders overwhelmingly supported at our annual shareholders meeting last month. During the quarter and subsequent to quarter end, our gross proceeds from asset sales totaled $411.6 million, and we have now monetized $583.9 million of assets year to date. This allowed us to repay $280 million of debt from the beginning of Q3 to date, for a total of $440 million of principal repayments since the end of 2021, resulting in annualized interest savings of approximately $30.8 million. We have also developed a robust sales pipeline of over $800 million worth of assets either under contract or with accepted offers, providing a clear path towards further significant debt paydowns. In addition to our success in selling assets and paying down our debt, we continue to create value across the portfolio through leasing, development and securing entitlements” said Andrea Olshan, Chief Executive Officer and President.
Plan of Sale:
On October 24, 2022, at the 2022 Annual Meeting of Shareholders, the shareholders voted to approve the Plan of Sale as detailed in the Company’s Definitive Proxy statement filed with Securities and Exchange Commission on September 14, 2022.
Sale Highlights:
• Generated $235.2 million of gross proceeds during the three months ended September 30, 2022 from the sale of 22 wholly owned properties and 8 joint venture assets.
• Subsequent to quarter end, generated $176.4 million of gross proceeds from the sale of 12 assets.
• The Company has 10 assets under contract for sale with no due diligence contingencies for total anticipated proceeds of $124.9 million and 26 assets under contract for sale subject to customary due diligence for total anticipated proceeds of $421.5 million. All assets for sale are subject to closing conditions. Additionally, the Company has accepted offers and is currently negotiating definitive purchase and sale agreements on assets with accepted offers of approximately $299.2 million.
Financial Highlights:
For the three months ended September 30, 2022:
• Net loss attributable to common shareholders of ($4.7) million, or ($0.08) per share, as compared to net loss attributable to common shareholders of ($21.8) million, or ($0.50) per share for the same period last year.
• Total Net Operating Income (“Total NOI”) of $12.2 million, which is an increase of 50% when compared to assets held in the same manner at September 30, 2021.
• As of September 30, 2022, the Company had cash on hand of $140.6 million, including $10.8 million of restricted cash. As of November 4, 2022, the Company had cash on hand of $134.1 million, including $10.8 million of restricted cash.
• During the quarter, the Company made $170 million in principal repayments on the Company’s term loan facility (“Term Loan Facility”). Subsequent to quarter end, the Company made an additional $110 million in principal repayments, reducing the balance of the Term Loan Facility to $1.16 billion and resulting in a reduction to $360 million of paydowns required by July 31, 2023 to extend the Term Loan Facility for an additional two years.
1
Other Highlights
• Signed 13 leases covering 85 thousand square feet (75 thousand at share) in the third quarter at an average projected annual rent of $22.06 PSF ($21.20 PSF at share).
• Signed leases in the third quarter included:
• Four new leases covering approximately 7 thousand square feet (4 thousand at share) at Premier assets at an average projected annual rent of $91.39 PSF net ($87.72 PSF at share), bringing the portfolio to 63.5% leased;
• Six leases covering approximately 24 thousand square feet at Multi-Tenant Retail assets at an average projected annual rent of $34.13 PSF net, bringing occupancy of the Multi-Tenant Retail portfolio up to 84.2%;
• Two retail leases covering approximately 39 thousand square feet at Non-Core assets at an average projected annual rent of $9.39 PSF net; and
• One retail lease covering approximately 15 thousand square feet (7.5 thousand at share) at one other unconsolidated entity signed at an average projected annual rent of $5.64 PSF net.
• Leases signed subsequent to quarter end were:
• One thousand square feet of second floor retail was leased at a Premier asset at a base rent of $44.00 PSF net; and
• Ten thousand square feet (5 thousand at share) of ground floor retail at Premier assets at a base rent of $55.65 PSF net ($60.81 PSF at share).
• An additional eight leases under negotiation representing over 100 thousand square feet
Aug 9, 2022
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Second Quarter 2022 Operating Results
New York – August 9, 2022– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of 150 retail, residential and mixed-use properties today reported financial and operating results for the three and six months ended June 30, 2022.
“This has been an extremely productive quarter for the Company. Our operating momentum continues with strong leasing, development and entitlement progress. We now have only one major development in active construction, Aventura, which is over 75% leased including leases under negotiation and is set to open to the public in Q422. With the great strides we are making in our disposition and strategic process, and after taking our obligations into account, we were pleased to be able to pay down another $100M of our term loan facility in August. Based on our current projections, we expect to continue more regular debt paydowns, reducing our cash burn and bringing us closer to extending our debt before its maturity” said Andrea Olshan, Chief Executive Officer and President.
Financial Highlights:
For the three months ended June 30, 2022:
• Net loss attributable to common shareholders of ($112.0) million, or ($2.56) per share
• Total Net Operating Income (“Total NOI”) of $10.6 million, which is an increase of 26% when compared to assets held in the same manner at June 30, 2021
• As of June 30, 2022, the Company had cash on hand of $156.7 million, including $7.2 million of restricted cash. As of August 5, 2022, the Company had cash on hand of $97.8 million, including $10.8 million of restricted cash, after making a $100 million principal pay down on the Company’s term loan facility (“Term Loan Facility”)
• Subsequent to June 30, reduced the balance of the Term Loan Facility to $1.34 billion, resulting in a reduction to $540 million of paydowns required to extend Term Loan Facility
Highlights
• Signed 13 leases covering 211 thousand square feet (144 thousand at share) in the second quarter at an average projected annual rent of $15.52 PSF ($18.75 PSF at share).
• Signed leases in the second quarter included:
• Three new leases covering approximately 8 thousand square feet of retail at Premier assets at an average projected annual rent of $105.95 PSF net, bringing the portfolio to 64.5% leased;
• Seven leases covering approximately 54 thousand square feet at Multi-Tenant Retail assets at an average projected annual rent of $18.61 PSF net, bringing occupancy of the Multi-Tenant Retail portfolio up to 84.0%;
• One retail lease covering approximately 8 thousand square feet of retail at a Residential asset at an average projected annual rent of $54.00 PSF net;
• One retail lease covering approximately 14 thousand square feet at a Non-Core asset at an average projected annual rent of $16.00 PSF net; and
• One retail lease covering approximately 127 thousand square feet (63 thousand at share) at other unconsolidated entities signed at an average projected annual rent of $5.66 PSF net;
1
• Leases signed subsequent to quarter end were:
• Eight thousand square feet of outparcels at Multi-Tenant Retail assets at a base rent of $21.88 PSF net;
• Four thousand square feet (two thousand at share) of ground floor retail at Premier assets at a base rent of $90.87 PSF net; and
• Two thousand square feet of second floor office at Premier assets at a base rent of $72.00 PSF net.
• An additional 25 leases under negotiation representing over 300 thousand square feet at an average projected base rent of $20.54 PSF ($19.89 PSF at share) net;
• Brought 11 tenants online representing 273 thousand square feet (255 thousand at share) and $3.4 million in annual base rent ($3.0 million at share);
• Generated $163.4 million of gross proceeds through disposition activity during the three months ended June 30, 2022. Subsequent to quarter end, the Company generated $102.3 million of gross proceeds through disposition activity; and
• The Company has additional asset sales under contract for anticipated gross proceeds of $260.8 million, subject to buyer diligence and closing conditions and is currently negotiating sales, evaluating bona fide offers received and marketing or about to bring to market over $1.2 billion of properties for sale at estimated fair value, which would provide sufficient proceeds to qualify the Company for the extension of its $1.34 billion Term Loan Facility, assuming all deals closed prior to July 2023 as anticipated.
Portfolio
The table below represents a summary of the Company’s properties by planned usage as of June 30, 2022:
(in thousands except number of leases and acreage data)
Planned Usage
Total
Built SF / Acreage (1)
Leased SF (1)(2)
Avg. Acreage / Site
Consolidated
Multi-Tenant Retail
38
5,328 sf / 523 acres
4,475
13.8
Residential (3)
18
100 sf / 215 acres
100
11.9
Premier (4)
5
235 s
May 10, 2022
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports First Quarter 2022 Operating Results
New York – May 10, 2022– Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of 161 retail, residential and mixed-use properties today reported financial and operating results for the three months ended March 31, 2022.
“2022 is off to a great start. The quarter has been marked by strong momentum in leasing, significant new tenant openings, progress on current developments and entitlements, as well as robust sales activity on the disposition pipeline. This quarter demonstrates that even while exploring strategic alternatives for the Company, we can and will continue implementing our value creation activities across every facet of the portfolio” said Andrea Olshan, Chief Executive Officer and President.
REIT Status
On March 31, 2022, the Company announced that its Board of Trustees, with the recommendation of the Special Committee, approved a plan to terminate the Company's REIT status and become a taxable C Corporation, effective for the year ending December 31, 2022. As a result, the Company is no longer required to operate under REIT rules, including the requirement to distribute at least 90% of REIT taxable income to its stockholders, which provides the Company with greater flexibility to use its free cash flow. Effective January 1, 2022, the Company is subject to federal and state income taxes on its taxable income at applicable tax rates and is no longer entitled to a tax deduction for dividends paid. The Company operated as a REIT for the 2021 tax year, and existing REIT requirements and limitations, including those established by the Company’s organizational documents, remained in place until December 31, 2021.
Financial Highlights:
For the three months ended March 31, 2022:
• Net income attributable to common shareholders of ($53.4) million, or ($1.22) per share
• Total Net Operating Income (“Total NOI”) of $10.5 million
• As of March 31, 2022, the Company had cash on hand of $61.0 million, including $7.2 million of restricted cash
Highlights
• Signed 13 leases covering 249 thousand square feet (178 thousand at share) in the first quarter at an average projected annual rent of $47.84 PSF ($39.75 PSF at share).
• Signed leases in the first quarter included:
• A new lease with Amazon at San Diego UTC covering approximately 123 thousand square feet (61.5 thousand at share) with an average projected annual rent of $68.40 PSF gross;
• Seven new leases covering approximately 33 thousand square feet (26 thousand at share) of retail at Premier assets at an average projected annual rent of $64.11 PSF ($61.40 PSF at share) net;
• Two leases covering approximately 86 thousand square feet at Multi-Tenant Retail assets at an average projected annual rent of $12.00 PSF gross, bringing occupancy of the Multi-Tenant Retail portfolio up to 82.7%;
• One retail lease covering approximately three thousand square feet at a Non-Core asset at an average projected annual rent of $52.04 PSF net; and
• Two retail leases covering approximately four thousand square feet (two thousand at share) at other unconsolidated entities signed at an average projected annual rent of $44.01 PSF net;
1
• Subsequent to quarter end, the Company has signed additional leases totaling 61 thousand square feet at a base rent of $23.75 PSF net. The Company currently has a pipeline of leases in active negotiations of over 275 thousand square feet at an average rent of $32.19 PSF net ($31.63 PSF at share) projected to bring the Company's occupancy up to 85.3% and 68.9% for MT Retail and Premier Mixed-use, respectively;
• Leases signed subsequent to quarter end were:
• 43 thousand square feet of retail at Multi-Tenant Retail assets at a base rent of $18.57 PSF net;
• Four thousand square feet of retail at Premier assets at a base rent of $105.00 PSF net; and
• 14 thousand square feet of retail at Premier at Non-core assets at a base rent of $16.00 PSF net;
• Brought 19 tenants online representing 327 thousand square feet (293 thousand at share) and $5 million in annual base rent ($4.1 million at share);
• Generated $9.0 million of gross proceeds through disposition activity during the three months ended March 31, 2022. The Company temporarily slowed the pace of closings until the election to be taxed as a C Corporation. Subsequent to quarter end, the Company generated $74.7 million of gross proceeds through disposition activity. The Company has additional asset sales under contract for anticipated gross proceeds of $85.0 million, subject to buyer diligence and closing conditions; and
• Seritage is currently marketing over $700 million of properties for sale at estimated fair value (before considering the strategic review process), which would provide sufficient proceeds to qualify the Company for the extension of its $1.44 billion term loan facility (the “Term Loan
Mar 16, 2022
2 srg-ex99_1.htm
Exhibit 99.1
Seritage Growth Properties Reports Fourth Quarter and Full Year 2021 Operating Results
New York – March 15, 2022 – Seritage Growth Properties (NYSE: SRG) (the “Company”), a national owner and developer of 162 retail, residential and mixed-use properties today reported financial and operating results for the quarter and year ended December 31, 2021.
Andrea Olshan, Chief Executive Officer and President commented, “I am very proud of all we have accomplished this year. We realigned our operating platform to focus on the efficient execution of our business strategies to achieve our repositioning goals. The team made tremendous progress, including significant additional leasing to credit tenants, creating and leasing additional triple net pad sites, advancing entitlements for multifamily, office and life science developments and continued to progress development projects already in process, all while monetizing assets deemed non-core to our portfolio. We were also able to restructure our debt providing the flexibility to make prepayments as well as giving us the potential to extend the maturity date of the loan. Our value proposition is simple: we turn well located land sites into higher and better uses. While we have made tremendous progress toward this goal, we also recognize the need to translate this value creation into greater shareholder value. As such, I am very pleased that we have decided to explore strategic alternatives for the business.”
Financial Highlights:
During the fourth quarter, the Company reported:
• Net income attributable to common shareholders of $71.7 million, or $1.64 per share
• Total Net Operating Income (“Total NOI”) of $10.5 million
• Funds from Operations (“FFO”) of ($25.3) million, or ($0.45) per share
For the year ended December 31, 2021:
• Net loss attributable to common shareholders of ($33.0) million, or ($0.78) per share
• Total NOI of $35.5 million
• FFO of ($105.7) million, or ($1.89) per share
Highlights:
• Opened the Company’s first mixed-use premier project in San Diego and subsequent to quarter end stabilized the property with an office lease totaling approximately 123 thousand square feet (61.5 thousand at share) with a high credit national tenant bringing overall occupancy to 82.7%
• Opened 14 tenants in the fourth quarter totaling approximately 201 thousand square feet (187 thousand at share) at an average rent of $26.35 per square foot ($25.01 at share):
• 141 thousand square feet at multi-tenant retail assets at an average base rent of $25.23 per square foot net
• 17 thousand square feet (8.5 thousand at share) at premier / master planned mixed use (“Premier”) assets at an average base rent of $65.85 net for retail rents
• 32 thousand square feet at Non-Core assets at an average base rent of $15.78 per square foot net
• 11 thousand square feet (5.5 thousand at share) at other unconsolidated entities at an average base rent of $19.30 per square foot net
• Signed 16 leases covering approximately 242 thousand square feet (233 thousand at share) in the fourth quarter at an average projected annual rent of $19.59 PSF ($17.10 PSF at share). To date in 2022, the Company has signed additional leases totaling 149 thousand square feet at a base rent of $66.60 PSF (84 thousand square feet at $65.48 at share) and has a pipeline of leases in active negotiations of over 250 thousand square feet
1
Leases signed in the fourth quarter were:
• Eight leases covering approximately 176 thousand square feet at multi-tenant Retail assets at an average projected annual rent of $13.90 PSF net
• Five leases covering approximately 18 thousand square feet (10 thousand at share) at Premier assets at an average projected annual rent for retail of $81.89 PSF ($75.03 PSF at share) net
• One lease covering approximately 10 thousand square feet at Non-Core assets at an average projected annual rent of $12.38 PSF net for retail
• One lease covering approximately 35 thousand square feet at Residential assets at an average projected annual rent of $16.74 PSF net for retail
• One lease covering approximately 3 thousand square feet (1.5 thousand at share) at an unconsolidated entity signed at an average projected annual rent of $33.00 PSF net for retail
Leases signed in 2022 are as follows:
• 141 thousand square feet of office (80 thousand at share) at Premier Assets at a base rent of $66.68 PSF net ($65.35 PSF at share)
• 4 thousand square feet of retail (2 thousand at share) at Premier Assets at a base rent of $85.06 PSF net ($86.75 PSF at share)
• 4 thousand square feet of retail (2 thousand at share) at other unconsolidated entities at a base rent of $44.01 PSF net
• Collected 98% of billed rent and other recoverable expenses for the quarter ended December 31, 2021
• Generated $191.6 million of gross proceeds through disposition activity during the quarter ended December 31, 2021, for total gross proceeds of $39
This page provides Seritage Growth Properties (SRG) earnings call transcripts from SEC 8-K filings along with AI-powered predictions for post-earnings price movements. Our machine learning models analyze historical earnings data, pre-earnings price patterns, volume changes, and volatility to predict 1-day, 5-day, and 20-day returns after each earnings release.
Earnings transcripts are sourced directly from SEC EDGAR filings. Predictions are generated using gradient boosting models trained on SRG's historical earnings reactions. All predicted returns are shown as percentages, and predicted prices are calculated from the closing price at the time of prediction. Past performance does not guarantee future results.