EX-99.1 2 a16-5160_1ex99d1.htm EX-99.1

Exhibit 99.1

 

 

Press Release

 

iStar Announces Fourth Quarter and Fiscal Year 2015 Results

 

·            Full year adjusted income allocable to common shareholders was $84 million, or $0.81 per diluted common share.

 

·            Quarterly adjusted income allocable to common shareholders was $39 million, or $0.34 per diluted common share.

 

·            Current unrestricted cash balance is approximately $650 million.

 

·            Repurchased 9.2 million shares since the beginning of the fourth quarter through February 24th.

 

NEW YORK, February 25, 2016

 

iStar (NYSE: STAR) today reported results for the fourth quarter and fiscal year ended December 31, 2015.

 

Fourth Quarter 2015 Results

 

iStar reported adjusted income allocable to common shareholders for the fourth quarter of $38.5 million, or $0.34 per diluted common share, an increase from $28.3 million, or $0.26 per diluted common share for the fourth quarter 2014.

 

Adjusted income represents net income computed in accordance with GAAP, prior to the effects of certain non-cash items. Please see the financial tables that follow the text of this press release for the Company’s calculations of adjusted income and reconciliation to GAAP net income (loss).

 

Net income allocable to common shareholders for the fourth quarter was $7.7 million, or $0.09 per diluted common share, compared to a loss of $(13.3) million, or $(0.16) per diluted common share for the fourth quarter 2014.

 

- more -

 


 

Fiscal Year 2015 Results

 

iStar reported adjusted income allocable to common shareholders for the year ended December 31, 2015 of $84.0 million, or $0.81 per diluted common share, compared to $109.4 million, or $1.00 per diluted common share for the year ended December 31, 2014.

 

“We took a cautious view in the fourth quarter regarding new investments, opting to maintain a significant cash balance. At the same time, we exceeded our adjusted income goals by realizing upon the work and value created within our development businesses,” said Jay Sugarman, iStar’s chairman and chief executive officer.

 

Net income (loss) allocable to common shareholders for the year was $(52.7) million, or $(0.62) per diluted common share, compared to $(33.7) million, or $(0.40) per diluted common share for the year ended December 31, 2014.

 

Capital Markets

 

The Company continued its stock repurchase activity, completing open market purchases of 9.2 million shares for $102.1 million from the beginning of the fourth quarter through February 24th. Since the beginning of 2015 to date, iStar repurchased 12.5 million shares, net, of common stock and common stock equivalents, or 14.2% of outstanding iStar common equity, for an aggregate of $132.2 million at an average price of $10.59 per share.

 

On February 15, 2016, the Board of Directors authorized a new $50 million stock repurchase program.

 

The Company’s weighted average cost of debt for the fourth quarter was 5.4%, down from 5.5% for the fourth quarter of last year. The Company’s leverage was 2.1x at December 31, 2015, the low end of the Company’s targeted range of 2.0x — 2.5x. Please see the financial tables that follow the text of this press release for a calculation of the Company’s leverage.

 

Investment Activity

 

iStar funded a total of $92.5 million during the quarter associated with new investments, prior financing commitments and ongoing development, bringing total fundings for the year to $662.5 million.

 

iStar generated $223.0 million of repayments and sales during the fourth quarter, bringing total proceeds for the year to $971.2 million.

 

The Company’s current balance of unrestricted cash is approximately $650 million.

 

Portfolio Overview

 

2


 

At December 31, 2015, the Company’s portfolio totaled $5.09 billion, which is gross of $462.6 million of accumulated depreciation and $36.0 million of general loan loss reserves.

 

Real Estate Finance

 

At December 31, 2015, the Company’s real estate finance portfolio totaled $1.64 billion, gross of general loan loss reserves. The portfolio included $1.58 billion of performing loans with a weighted average maturity of 2.3 years. The performing loans were comprised of 56% first mortgages / senior loans and 44% mezzanine / subordinated debt. The performing loans had a weighted average last dollar loan-to-value ratio of 67% and generated an 8.3% yield for the quarter. The Company invested $43.1 million and received $62.9 million of proceeds within its real estate finance portfolio during the quarter.

 

At December 31, 2015, the Company’s non-performing loans (NPLs) had a carrying value of $60.3 million, down from $82.6 million in the third quarter. The Company recorded a $5.6 million provision for loan losses during the quarter. At December 31, 2015, loan loss reserves totaled $108.2 million, comprised of $36.0 million of general reserves and $72.2 million of asset specific reserves.

 

Net Lease

 

At the end of the quarter, iStar’s net lease portfolio totaled $1.56 billion, gross of $377.4 million of accumulated depreciation. During the quarter, the Company received $61.4 million of sales proceeds from its net lease portfolio and recorded $24.5 million of gains associated with these sales.

 

The Company’s net lease portfolio totaled 18 million square feet across 33 states. Occupancy for the portfolio was 96.4% at the end of the quarter, with a weighted average remaining lease term of 14.9 years. The net lease portfolio generated an unleveraged yield of 8.4% for the quarter.

 

Operating Properties

 

At the end of the quarter, iStar’s operating properties portfolio totaled $709.0 million, gross of $79.1 million of accumulated depreciation, and was comprised of $571.8 million of commercial and $137.2 million of residential real estate properties. During the quarter, the Company invested $23.3 million within its operating properties portfolio and received $19.7 million of proceeds from sales.

 

Commercial Operating Properties

 

The Company’s commercial operating properties represent a diverse pool of assets across a broad range of geographies and collateral types including office, retail and hotel properties. These properties generated $26.3 million of revenue offset by $19.5 million of expenses during the quarter. iStar generally seeks to reposition or redevelop these assets

 

3


 

with the objective of maximizing their values through the infusion of capital and/or intensive asset management efforts.

 

At the end of the quarter, the Company had $123.8 million of stabilized commercial operating properties that were 89% leased and generated an unleveraged yield of 8.8% for the quarter. The remainder of the commercial operating portfolio was comprised of $448.0 million of transitional properties that were 65% leased and generated an unleveraged yield of 2.8% for the quarter. iStar is actively working to lease up and stabilize these properties.

 

During the quarter, the Company executed commercial operating property leases covering approximately 83,000 square feet.

 

Residential Operating Properties

 

At the end of the quarter, the residential operating portfolio was comprised of condominium units generally located within luxury projects in major U.S. cities. During the quarter, iStar sold 19 condominium units, resulting in $14.6 million of proceeds and recorded $3.6 million of income, offset by $2.5 million of expenses.

 

Land & Development

 

At the end of the quarter, the Company’s land & development portfolio totaled $1.11 billion, with seven projects in production, 10 in development and 13 in the pre-development phase. These projects are collectively entitled for approximately 30,000 lots and units.

 

For the quarter, the Company’s land and development portfolio generated $71.1 million of revenues, offset by $44.6 million of cost of sales, plus $3.0 million from land development equity method investments. This resulted in total gross margin and earnings from equity method investments of $29.5 million compared $15.7 million for the same period last year.  During the quarter, the Company invested $25.1 million in its land portfolio.

 

For the year, the Company’s gross margin and earnings from equity method investments grew to $49.5 million from $17.3 million in the prior year.

 

“We are beginning to realize the embedded value in our land portfolio and development efforts over the past few years as sales and profitability grew significantly year-over-year,” said Sugarman. “We look forward to continuing our efforts to unlock the value in our land portfolio during 2016.”

 

4


 

·                              ·                              ·

 

iStar (NYSE: STAR) finances, invests in and develops real estate and real estate related projects as part of its fully-integrated investment platform. Building on over two decades of experience and more than $35 billion of transactions, iStar brings uncommon capabilities and new ways of thinking to commercial real estate and adapts its investment strategy to changing market conditions. The Company is structured as a real estate investment trust (“REIT”), with a diversified portfolio focused on larger assets located in major metropolitan markets.

 

iStar will hold a quarterly earnings conference call at 10:00 a.m. ET today, February 25, 2016. This conference call will be broadcast live over the internet and can be accessed by all interested parties through iStar’s website, www.istar.com. To listen to the live call, please go to the website’s “Investor” section at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. For those who are not available to listen to the live broadcast, a replay will be available shortly after the call on iStar’s website.

 

Note: Statements in this press release which are not historical fact may be deemed forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although iStar believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, the Company can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from iStar’s expectations include general economic conditions and conditions in the commercial real estate and credit markets, the Company’s ability to generate liquidity and to repay indebtedness as it comes due, additional loan loss provisions, the amount and timing of asset sales, changes in NPLs, repayment levels, the Company’s ability to make new investments, the Company’s ability to maintain compliance with its debt covenants, the Company’s ability to generate income and gains from operating properties and land and other risks detailed from time to time in iStar SEC reports.

 

Company Contacts:

David M. DiStaso, Chief Financial Officer

Jason Fooks, Vice President of Investor Relations & Marketing

 

1114 Avenue of the Americas

New York, NY 10036

(212) 930-9400

investors@istar.com

 

5


 

iStar

Consolidated Statements of Operations

(In thousands)

(unaudited)

 

 

 

Three Months
Ended December 31,

 

Twelve Months
Ended December 31,

 

 

 

2015

 

2014

 

2015

 

2014

 

REVENUES

 

 

 

 

 

 

 

 

 

Operating lease income

 

$

58,730

 

$

59,334

 

$

229,720

 

$

243,100

 

Interest income

 

32,463

 

28,565

 

134,687

 

122,704

 

Other income

 

9,718

 

18,780

 

49,931

 

81,033

 

Land development revenue

 

71,114

 

3,271

 

100,216

 

15,191

 

Total revenues

 

$

172,025

 

$

109,950

 

$

514,554

 

$

462,028

 

COST AND EXPENSES

 

 

 

 

 

 

 

 

 

Interest expense

 

$

57,302

 

$

55,073

 

$

224,639

 

$

224,483

 

Real estate expense

 

35,607

 

38,937

 

146,750

 

163,389

 

Land development cost of sales

 

44,554

 

2,812

 

67,382

 

12,840

 

Depreciation and amortization

 

15,443

 

18,414

 

65,247

 

73,571

 

General and administrative(1)

 

18,757

 

18,780

 

81,277

 

88,287

 

Provision for (recovery of) loan losses

 

5,623

 

5,151

 

36,567

 

(1,714

)

Impairment of assets

 

4,934

 

12,893

 

10,524

 

34,634

 

Other expense

 

29

 

1,433

 

6,374

 

6,340

 

Total costs and expenses

 

$

182,249

 

$

153,493

 

$

638,760

 

$

601,830

 

Income (loss) before other items

 

$

(10,224

)

$

(43,543

)

$

(124,206

)

$

(139,802

)

Income from sales of real estate

 

27,794

 

28,478

 

93,816

 

89,943

 

Earnings from equity method investments

 

6,249

 

18,057

 

32,153

 

94,905

 

Income tax expense

 

(3,843

)

(4,531

)

(7,639

)

(3,912

)

Loss on early extinguishment of debt

 

(2

)

(416

)

(281

)

(25,369

)

Net income (loss)

 

$

19,974

 

$

(1,955

)

$

(6,157

)

$

15,765

 

Net (income) loss attributable to noncontrolling interests

 

546

 

1,071

 

3,722

 

704

 

Net income (loss) attributable to iStar

 

$

20,520

 

$

(884

)

$

(2,435

)

$

16,469

 

Preferred dividends

 

(12,830

)

(12,830

)

(51,320

)

(51,320

)

Net (income) loss allocable to HPU holders and Participating Security holders(2)

 

(5

)

442

 

1,080

 

1,129

 

Net income (loss) allocable to common shareholders

 

$

7,685

 

$

(13,272

)

$

(52,675

)

$

(33,722

)

 

(1) For the three months ended December 31, 2015 and 2014, includes $1,947 and $4,770 of stock-based compensation expense, respectively.  For the twelve months ended December 31, 2015 and 2014, includes $12,013 and $13,314 of stock-based compensation expense, respectively.

(2) HPU Holders are current and former Company employees who purchased high performance common stock units under the Company’s High Performance Unit Program. During the twelve months ended December 31, 2015, the Company repurchased and retired 100% of the outstanding HPU shares through an exchange offer. Participating Security holders are non-employee directors who hold common stock equivalents and restricted stock awards granted under the Company’s LTIP who are eligible to participate in dividends.

 

6


 

iStar

Earnings Per Share Information

(In thousands, except per share data)

(unaudited)

 

 

 

Three Months
Ended December 31,

 

Twelve Months
Ended December 31,

 

 

 

2015

 

2014

 

2015

 

2014

 

EPS INFORMATION FOR COMMON SHARES

 

 

 

 

 

 

 

 

 

Income (loss) from continuing operations attributable to iStar(1)(2)

 

 

 

 

 

 

 

 

 

Basic

 

$

0.09

 

$

(0.16

)

$

(0.62

)

$

(0.40

)

Diluted

 

$

0.09

 

$

(0.16

)

$

(0.62

)

$

(0.40

)

Net income (loss)

 

 

 

 

 

 

 

 

 

Basic

 

$

0.09

 

$

(0.16

)

$

(0.62

)

$

(0.40

)

Diluted

 

$

0.09

 

$

(0.16

)

$

(0.62

)

$

(0.40

)

Adjusted income

 

 

 

 

 

 

 

 

 

Basic

 

$

0.46

 

$

0.33

 

$

0.99

 

$

1.29

 

Diluted

 

$

0.34

 

$

0.26

 

$

0.81

 

$

1.00

 

Weighted average shares outstanding

 

 

 

 

 

 

 

 

 

Basic

 

83,162

 

85,188

 

84,987

 

85,031

 

Diluted (for net income per share)

 

83,581

 

85,188

 

84,987

 

85,031

 

Diluted (for adjusted income per share)

 

127,775

 

129,954

 

129,589

 

129,789

 

Common shares outstanding at end of period

 

81,109

 

85,191

 

81,109

 

85,191

 

 

(1) Including preferred dividends, net (income) loss attributable to noncontrolling interests and income from sales of real estate.

(2) During the twelve months ended December 31, 2015, the Company repurchased and retired 100% of the outstanding HPU shares through an exchange offer.  A portion of income during the twelve months ended December 31, 2015 and in all periods during 2014 is allocable to HPU holders.

 

7


 

iStar

Consolidated Balance Sheets

(In thousands)

(unaudited)

 

 

 

As of

 

As of

 

 

 

December 31,
2015

 

December 31,
2014

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

Real estate

 

 

 

 

 

Real estate, at cost

 

$

2,050,541

 

$

2,276,913

 

Less: accumulated depreciation

 

(456,558

)

(460,482

)

Real estate, net

 

$

1,593,983

 

$

1,816,431

 

Real estate available and held for sale

 

137,274

 

167,303

 

 

 

$

1,731,257

 

$

1,983,734

 

Land and development

 

1,001,963

 

978,962

 

Loans receivable and other lending investments, net

 

1,601,985

 

1,377,843

 

Other investments

 

254,172

 

354,119

 

Cash and cash equivalents

 

711,101

 

472,061

 

Accrued interest and operating lease income receivable, net

 

18,436

 

16,367

 

Deferred operating lease income receivable

 

97,421

 

98,262

 

Deferred expenses and other assets, net

 

206,557

 

181,785

 

Total assets

 

$

5,622,892

 

$

5,463,133

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

Accounts payable, accrued expenses and other liabilities

 

$

214,835

 

$

180,902

 

Loan participations payable, net

 

152,326

 

—

 

Debt obligations, net

 

4,143,683

 

4,022,684

 

Total liabilities

 

$

4,510,844

 

$

4,203,586

 

 

 

 

 

 

 

Redeemable noncontrolling interests

 

$

10,718

 

$

11,199

 

 

 

 

 

 

 

Total iStar shareholders’ equity

 

$

1,059,112

 

$

1,197,092

 

Noncontrolling interests

 

42,218

 

51,256

 

Total equity

 

$

1,101,330

 

$

1,248,348

 

 

 

 

 

 

 

Total liabilities and equity

 

$

5,622,892

 

$

5,463,133

 

 

8


 

iStar

Segment Analysis

(In thousands)

(unaudited)

 

FOR THE THREE MONTHS ENDED DECEMBER 31, 2015

 

 

 

Real
Estate
Finance

 

Net
Lease

 

Operating
Properties

 

Land &
Dev

 

Corporate
/ Other

 

Total

 

Operating lease income

 

$

—

 

$

39,982

 

$

18,599

 

$

149

 

$

—

 

$

58,730

 

Interest income

 

32,463

 

—

 

—

 

—

 

—

 

32,463

 

Other income

 

903

 

225

 

7,568

 

56

 

966

 

9,718

 

Land development revenue

 

—

 

—

 

—

 

71,114

 

—

 

71,114

 

Earnings from equity method investments

 

—

 

951

 

361

 

2,964

 

1,973

 

6,249

 

Income from sales of real estate

 

—

 

24,497

 

3,297

 

—

 

—

 

27,794

 

Total revenue and other earnings

 

$

33,366

 

$

65,655

 

$

29,825

 

$

74,283

 

$

2,939

 

$

206,068

 

Real estate expense

 

—

 

(5,590

)

(22,076

)

(7,941

)

—

 

(35,607

)

Land development cost of sales

 

—

 

—

 

—

 

(44,554

)

—

 

(44,554

)

Other expense

 

(32

)

—

 

—

 

—

 

3

 

(29

)

Allocated interest expense

 

(14,281

)

(16,378

)

(6,565

)

(8,402

)

(11,676

)

(57,302

)

Allocated general and
administrative(1)

 

(3,378

)

(3,923

)

(1,690

)

(2,729

)

(5,090

)

(16,810

)

Segment profit (loss)

 

$

15,675

 

$

39,764

 

$

(506

)

$

10,657

 

$

(13,824

)

$

51,766

 

 

(1) Excludes $1,947 of stock-based compensation expense.

 

9


 

iStar

Segment Analysis

(In thousands)

(unaudited)

 

FOR THE TWELVE MONTHS ENDED DECEMBER, 2015

 

 

 

Real
Estate
Finance

 

Net
Lease

 

Operating
Properties

 

Land &
Dev

 

Corporate
/ Other

 

Total

 

Operating lease income

 

$

—

 

$

151,481

 

$

77,454

 

$

785

 

$

—

 

$

229,720

 

Interest income

 

134,687

 

—

 

—

 

—

 

—

 

134,687

 

Other income

 

9,737

 

357

 

34,637

 

1,219

 

3,981

 

49,931

 

Land development revenue

 

—

 

—

 

—

 

100,216

 

—

 

100,216

 

Earnings from equity method investments

 

—

 

5,221

 

1,663

 

16,683

 

8,586

 

32,153

 

Income from sales of real estate

 

—

 

40,082

 

53,734

 

—

 

—

 

93,816

 

Total revenue and other earnings

 

$

144,424

 

$

197,141

 

$

167,488

 

$

118,903

 

$

12,567

 

$

640,523

 

Real estate expense

 

—

 

(21,855

)

(95,888

)

(29,007

)

—

 

(146,750

)

Land development cost of sales

 

—

 

—

 

—

 

(67,382

)

—

 

(67,382

)

Other expense

 

(2,291

)

—

 

—

 

—

 

(4,083

)

(6,374

)

Allocated interest expense

 

(57,109

)

(66,504

)

(28,014

)

(32,087

)

(40,925

)

(224,639

)

Allocated general and administrative(1)

 

(13,128

)

(15,569

)

(6,988

)

(11,488

)

(22,091

)

(69,264

)

Segment profit (loss)

 

$

71,896

 

$

93,213

 

$

36,598

 

$

(21,061

)

$

(54,532

)

$

126,114

 

 

(1) Excludes $12,013 of stock-based compensation expense.

 

AS OF DECEMBER 31, 2015

 

 

 

Real
Estate
Finance

 

Net
Lease

 

Operating
Properties

 

Land &
Dev

 

Corporate
/ Other

 

Total

 

Real estate

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate, at cost

 

$

—

 

$

1,489,895

 

$

560,646

 

$

—

 

$

—

 

$

2,050,541

 

Less: accumulated depreciation

 

—

 

(377,416

)

(79,142

)

—

 

—

 

(456,558

)

Real estate, net

 

$

—

 

$

1,112,479

 

$

481,504

 

$

—

 

$

—

 

$

1,593,983

 

Real estate available and held for sale

 

—

 

—

 

137,274

 

—

 

—

 

137,274

 

Total real estate

 

$

—

 

$

1,112,479

 

$

618,778

 

$

—

 

$

—

 

$

1,731,257

 

Land and development

 

—

 

—

 

—

 

1,001,963

 

—

 

1,001,963

 

Loans receivable and other lending investments, net

 

1,601,985

 

—

 

—

 

—

 

—

 

1,601,985

 

Other investments

 

—

 

69,096

 

11,124

 

100,419

 

73,533

 

254,172

 

Total portfolio assets

 

$

1,601,985

 

$

1,181,575

 

$

629,902

 

$

1,102,382

 

$

73,533

 

$

4,589,377

 

Cash and other assets

 

 

 

 

 

 

 

 

 

 

 

1,033,515

 

Total assets

 

 

 

 

 

 

 

 

 

 

 

$

5,622,892

 

 

10


 

iStar

Supplemental Information

(In thousands)

(unaudited)

 

 

 

Three Months
Ended December 31,

 

Twelve Months
Ended December 31,

 

 

 

2015

 

2014

 

2015

 

2014

 

ADJUSTED INCOME (1)

 

 

 

 

 

 

 

 

 

Reconciliation of Net Income to Adjusted Income

 

 

 

 

 

 

 

 

 

Net income (loss) allocable to common shareholders

 

$

7,685

 

$

(13,272

)

$

(52,675

)

$

(33,722

)

Add: Depreciation and amortization

 

17,207

 

19,763

 

72,132

 

76,287

 

Add: Provision for (recovery of) loan losses

 

5,623

 

5,151

 

36,567

 

(1,714

)

Add: Impairment of assets

 

6,100

 

12,893

 

18,509

 

34,634

 

Add: Stock-based compensation expense

 

1,947

 

4,770

 

12,013

 

13,314

 

Add: Loss on early extinguishment of debt

 

2

 

416

 

281

 

25,369

 

Less: HPU/Participating Security allocation

 

(21

)

(1,386

)

(2,850

)

(4,791

)

Adjusted income allocable to common shareholders

 

$

38,543

 

$

28,335

 

$

83,977

 

$

109,377

 

 

(1) Adjusted Income (loss) allocable to common shareholders should be examined in conjunction with net income (loss) as shown in the Consolidated Statements of Operations. This non-GAAP financial measure should not be considered as an alternative to net income (determined in accordance with GAAP) as an indicator of the Company’s performance, or to cash flows from operating activities (determined in accordance with GAAP) as a measure of the Company’s liquidity, nor is it indicative of funds available to fund the Company’s cash needs or available for distribution to shareholders. It should be noted that the Company’s manner of calculating this non-GAAP financial measure may differ from the calculations of similarly-titled measures by other companies. Management believes that it is useful to consider Adjusted Income because the adjustments are non-cash items that do not necessarily reflect an actual change in the long-term economic value or performance of our assets. Management considers this non-GAAP financial measure as supplemental information to net income in analyzing the performance of our underlying business. Depreciation and amortization includes our proportionate share of depreciation and amortization expense relating to equity method investments and excludes the portion of depreciation and amortization expense allocable to non-controlling interests. Impairment of assets includes impairments on cost and equity method investments recorded in other income and earnings from equity method investments, respectively.

 

11


 

iStar

Supplemental Information

(In thousands)

(unaudited)

 

 

 

Twelve Months Ended
December 31, 2015

 

OPERATING STATISTICS

 

 

 

 

 

 

 

Expense Ratio

 

 

 

General and administrative expenses (A)

 

$

81,277

 

Average total assets (B)

 

$

5,610,953

 

Expense Ratio (A) / (B)

 

1.4

%

 

 

 

 

 

 

As of

 

 

 

December 31, 2015

 

Leverage

 

 

 

Book debt

 

$

4,143,683

 

Less: Cash and cash equivalents

 

(711,101

)

Net book debt (C)

 

$

3,432,582

 

 

 

 

 

Book equity

 

$

1,101,330

 

Add: Accumulated depreciation and amortization(1)

 

514,801

 

Add: General loan loss reserves

 

36,000

 

Sum of book equity, accumulated D&A and general loan loss reserves (D)

 

$

1,652,131

 

Leverage (C) / (D)

 

2.1x

 

 

 

 

 

UNENCUMBERED ASSETS / UNSECURED DEBT

 

 

 

 

 

 

 

Unencumbered assets (E)(2)

 

$

4,681,809

 

Unsecured debt (F)

 

$

3,321,125

 

Unencumbered Assets / Unsecured Debt (E) / (F)

 

1.4x

 

 

(1) Accumulated depreciation and amortization includes iStar’s proportionate share of accumulated depreciation and amortization relating to equity method investments.

(2) Unencumbered assets are calculated in accordance with the indentures governing the Company’s unsecured debt securities.

 

12


 

iStar

Supplemental Information

(In thousands)

(unaudited)

 

 

 

As of

 

 

 

December 31, 2015

 

UNFUNDED COMMITMENTS

 

 

 

 

 

 

 

Performance-based commitments

 

$

728,000

 

Strategic investments

 

45,940

 

Discretionary fundings

 

5,000

 

Total Unfunded Commitments

 

$

778,940

 

 

LOAN RECEIVABLE CREDIT STATISTICS

 

 

 

As of

 

 

 

December 31, 2015

 

December 31, 2014

 

 

 

 

 

 

 

 

 

 

 

Carrying value of NPLs /

 

 

 

 

 

 

 

 

 

As a percentage of total carrying value of loans

 

$

60,327

 

3.9

%

$

65,047

 

5.5

%

 

 

 

 

 

 

 

 

 

 

Total reserve for loan losses /

 

 

 

 

 

 

 

 

 

As a percentage of total gross carrying value of loans(1)

 

$

108,165

 

6.6

%

$

98,490

 

7.6

%

 

(1) Gross carrying value represents iStar’s carrying value of loans, gross of loan loss reserves.

 

13


 

iStar

Supplemental Information

(In millions)

(unaudited)

 

PORTFOLIO STATISTICS AS OF DECEMBER 31, 2015(1)

 

Property Type

 

Real 
Estate 
Finance

 

Net Lease

 

Operating 
Properties

 

Land & 
Dev

 

Total

 

% of
Total

 

Land & Development

 

$

45

 

$

—

 

$

—

 

$

1,108

 

$

1,153

 

23

%

Office / Industrial

 

154

 

854

 

136

 

—

 

1,144

 

22

%

Mixed Use / Collateral

 

546

 

—

 

257

 

—

 

803

 

16

%

Hotel

 

349

 

136

 

55

 

—

 

540

 

11

%

Entertainment / Leisure

 

—

 

502

 

—

 

—

 

502

 

10

%

Condominium

 

250

 

—

 

137

 

—

 

387

 

8

%

Retail

 

78

 

58

 

124

 

—

 

260

 

5

%

Other Property Types

 

216

 

9

 

—

 

—

 

225

 

4

%

Strategic Investments

 

—

 

—

 

—

 

—

 

74

 

1

%

Total

 

$

1,638

 

$

1,559

 

$

709

 

$

1,108

 

$

5,088

 

100

%

 

Geography

 

Real 
Estate 
Finance

 

Net Lease

 

Operating 
Properties

 

Land & 
Dev

 

Total

 

% of 
Total

 

Northeast

 

$

928

 

$

383

 

$

—

 

$

229

 

$

1,540

 

30

%

West

 

78

 

410

 

58

 

357

 

903

 

18

%

Southeast

 

136

 

235

 

277

 

152

 

800

 

16

%

Mid-Atlantic

 

227

 

140

 

142

 

203

 

712

 

14

%

Southwest

 

53

 

169

 

143

 

150

 

515

 

10

%

Central

 

155

 

80

 

58

 

6

 

299

 

6

%

Various

 

61

 

142

 

31

 

11

 

245

 

5

%

Strategic Investments

 

—

 

—

 

—

 

—

 

74

 

1

%

Total

 

$

1,638

 

$

1,559

 

$

709

 

$

1,108

 

$

5,088

 

100

%

 

(1) Based on carrying value of the Company’s total investment portfolio, gross of accumulated depreciation and general loan loss reserves.

 

- end -

 

14