Maryland
(State or other jurisdiction
of incorporation)
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001-33749
(Commission File Number)
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26-0500600
(I.R.S. Employer
Identification No.)
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81 Main Street, White Plains, NY
(Address of Principal Executive Offices)
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10601
(Zip Code)
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[ ]
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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[ ]
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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[ ]
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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[ ]
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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·
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Independent Auditors’ Report
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·
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Statement of Revenues and Certain Expenses for the Year Ended December 31, 2010 (Audited) and nine months ended September 30, 2011 (Unaudited)
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·
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Notes to Statement of Revenues and Certain Expenses for the Year Ended December 31, 2010 (Audited) and nine months ended September 30, 2011(Unaudited)
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·
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Pro Forma Consolidated Statement of Operations for the Nine Months Ended September 30, 2011 (Unaudited)
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·
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Pro Forma Consolidated Statement of Operations for the Year Ended December 31, 2010 (Unaudited)
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·
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Notes to Pro Forma Consolidated Financial Statements (Unaudited)
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Exhibit No.
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Description
|
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23.1
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Consent of Independent Auditor
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99.1
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Financial statements and pro forma financial information referenced above under paragraphs (a) and (b) of this Item 9.01
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RETAIL OPPORTUNITY INVESTMENTS CORP. | ||
Dated: November 28, 2011
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By: |
/s/ John B. Roche
Name: John B. Roche
Title: Chief Financial Officer
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Exhibit No.
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Description
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23.1
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Consent of Independent Auditor
|
|
99.1
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Financial Statement of Property Acquired and Pro Forma Financial Information
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Page
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Morada Ranch
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Independent Auditors’ Report
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F-1
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Statement of Revenues and Certain Expenses for the Year Ended December 31, 2010 (Audited) and nine months ended September 30, 2011 (Unaudited)
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F-2
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Notes to Statement of Revenues and Certain Expenses for the Year Ended December 31, 2010 (Audited) and nine months ended September 30, 2011 (Unaudited)
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F-3
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Pro Forma Consolidated Financial Statements of Retail Opportunity Investments Corp.
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Pro Forma Consolidated Statement of Operations for the Nine Months Ended September 30, 2011 (Unaudited)
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F-6
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Pro Forma Consolidated Statement of Operations for the Year Ended December 31, 2010 (Unaudited)
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F-7
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Notes to Pro Forma Consolidated Financial Statements (Unaudited)
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F-8
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Year Ended
December 31,
2010
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Nine Months
Ended
September 30,
2011
(Unaudited)
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|||||||
Revenues
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||||||||
Rental income (note 4)
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$ | 2,420 | $ | 1,784 | ||||
Other income
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3 | — | ||||||
Total revenues
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2,423 | 1,784 | ||||||
Certain Expenses
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||||||||
Utilities
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31 | 24 | ||||||
Repairs, maintenance, and supplies
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200 | 118 | ||||||
Real estate taxes
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132 | 99 | ||||||
Insurance
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6 | 6 | ||||||
Total expenses
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369 | 247 | ||||||
Excess of revenues over certain expenses
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$ | 2,054 | $ | 1,537 |
1.
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Business and Organization
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2.
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Basis of Presentation and Summary of Significant Accounting Policies
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3.
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Subsequent Events
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4.
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Leases
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Year ending December 31
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Amounts
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|||
2011
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$ | 2,016,172 | ||
2012
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1,865,832 | |||
2013
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1,843,400 | |||
2014
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1,859,463 | |||
2015
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1,875,821 | |||
Thereafter
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15,275,744 | |||
$ | 24,736,432 |
5.
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Commitments and Contingencies
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Company
Historical(1)
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Morada
Ranch (6)
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Company
Pro Forma
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||||||||||
Revenue
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||||||||||||
Base rents
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$ | 26,441 | $ | 811 | $ | 27,252 | ||||||
Recoveries from tenants
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6,945 | 82 | 7,027 | |||||||||
Mortgage interest
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1,704 | - | 1,704 | |||||||||
Total revenues
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35,090 | 893 | 35,983 | |||||||||
Operating expenses | ||||||||||||
Property operating
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5,284 | 77 | 5,361 | |||||||||
Property taxes
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3,562 | 51 | 3,613 | |||||||||
Depreciation and amortization
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14,661 | 365 | 15,026 | |||||||||
General & Administrative Expenses
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7,253 | - | 7,253 | |||||||||
Acquisition transaction costs
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1,776 | - | 1,776 | |||||||||
Total operating expenses
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32,536 | 493 | 33,029 | |||||||||
Operating income
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2,554 | 400 | 2,954 | |||||||||
Non-operating income (expenses)
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||||||||||||
Interest expense
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(3,733 | ) | - | (3,733 | ) | |||||||
Gain on bargain purchase
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9,449 | - | 9,449 | |||||||||
Equity in earnings from unconsolidated joint ventures
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1,138 | - | 1,138 | |||||||||
Interest income
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15 | - | 15 | |||||||||
Net income attributable to Retail Opportunity Investments Corp.
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$ | 9,423 | $ | 400 | $ | 9,823 | ||||||
Pro forma weighted average shares outstanding | ||||||||||||
Basic:
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41,929 | 41,929 | ||||||||||
Diluted:
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41,997 | 41,997 | ||||||||||
Pro forma income per share
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||||||||||||
Basic and diluted:
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$ | 0.22 | $ | 0.23 | ||||||||
Pro forma dividends per common share:
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$ | 0.27 | $ | 0.27 |
Company
Historical(1)
|
Morada
Ranch
|
Pro Forma
Adjustments
|
Company
Pro Forma
|
|||||||||||||
Revenue
|
||||||||||||||||
Base rents
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$ | 12,381 | $ | 2,094 | $ | 97 | (2) | $ | 14,572 | |||||||
Recoveries from tenants
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2,879 | 329 | - | 3,208 | ||||||||||||
Mortgage interest
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1,069 | - | - | 1,069 | ||||||||||||
Total revenues
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16,329 | 2,423 | 97 | 18,849 | ||||||||||||
Operating expenses
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||||||||||||||||
Property operating
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2,848 | 237 | - | 3,085 | ||||||||||||
Property taxes
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1,697 | 132 | - | 1,829 | ||||||||||||
Depreciation and amortization
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6,081 | - | 487 | (3) | 6,568 | |||||||||||
General & Administrative Expenses
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8,381 | - | 8,381 | |||||||||||||
Acquisition transaction costs
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2,636 | - | 46 | (4) | 2,682 | |||||||||||
Total operating expenses
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21,643 | 369 | 533 | 22,545 | ||||||||||||
Operating (loss) income
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(5,314 | ) | 2,054 | (436 | ) | (3,696 | ) | |||||||||
Non-operating income (expenses)
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||||||||||||||||
Interest expense
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(324 | ) | - | (473 | )(5) | (797 | ) | |||||||||
Gain on bargain purchase
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2,217 | - | - | 2,217 | ||||||||||||
Equity in earnings from unconsolidated joint ventures
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38 | - | - | 38 | ||||||||||||
Interest income
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1,109 | - | - | 1,109 | ||||||||||||
Other income
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1,873 | - | - | 1,873 | ||||||||||||
Net (loss) income attributable to Retail Opportunity Investments Corp.
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$ | (401 | ) | $ | 2,054 | $ | (909 | ) | $ | 744 | ||||||
Pro forma weighted average shares outstanding – basic and diluted
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41,582 | 41,582 | ||||||||||||||
Pro forma (loss) income per share
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||||||||||||||||
Basic and diluted:
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$ | (0.01 | ) | $ | 0.02 | |||||||||||
Pro forma dividends per common share: | $ | 0.18 | $ | 0.18 |
1.
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Derived from the Company’s audited and unaudited financial statements for the year ended December 31, 2010 and the nine months ended September 30, 2011.
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2.
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Reflects the pro forma adjustment of $97 for the year ended December 31, 2010, to record operating rents on a straight-line basis beginning January 1, 2010.
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3.
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Reflects the estimated depreciation for the Property based on estimated values allocated to building at the beginning period presented. Depreciation expense is computed on a straight-line basis over the estimated useful life of the assets as follows:
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Estimated Useful
Life
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Year Ended
December 31, 2010
Depreciation
Expense
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||||
Building
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39 years
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$ | 487 |
4.
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Reflects the pro forma adjustment for estimated costs related to the acquisition of the Property.
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5.
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Reflects the pro forma adjustment to interest expense to assume the acquisition has been made on January 1, 2010.
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6.
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Reflects the operating results for the period January 1, 2011 to May 19, 2011.
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