-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Rf5CDUl2Hau/wkOveJziISpvbFb94jkOUmVSBEYeGQALZINmcyGgxGuC/NatJl4O ftTVZXuvT+aPwRbe7RG9YA== 0000926861-99-000011.txt : 19990325 0000926861-99-000011.hdr.sgml : 19990325 ACCESSION NUMBER: 0000926861-99-000011 CONFORMED SUBMISSION TYPE: 8-K/A PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19980930 ITEM INFORMATION: FILED AS OF DATE: 19990324 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FIRST WASHINGTON REALTY TRUST INC CENTRAL INDEX KEY: 0000926861 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 521879972 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K/A SEC ACT: SEC FILE NUMBER: 001-14571 FILM NUMBER: 99571725 BUSINESS ADDRESS: STREET 1: 4350 EAST WEST HWY - STE 400 CITY: BETHESDA STATE: MD ZIP: 20814 BUSINESS PHONE: 3019077800 MAIL ADDRESS: STREET 1: 4350 EAST WEST HIGHWAY SUITE 400 STREET 2: 4350 EAST WEST HIGHWAY SUITE 400 CITY: BETHESDA STATE: MD ZIP: 20814 8-K/A 1 8-K/A SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K/A CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) September 30, 1998 First Washington Realty Trust, Inc. ___________________________________ (Exact name of registrant as specified in its charter) Maryland 0-25230 52-1879972 ____________________________ _____________ ___________________ (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification No.) 4350 East-West Highway, Suite 400, Bethesda, Maryland 20814 _____________________________________________________ _____ (Address of principal executive offices) (Zip Code) Registrant's telephone number including area code: 301-907-7800 ____________ FIRST WASHINGTON REALTY TRUST, INC. ________________________________________________________________ SUPPLEMENTAL FINANCIAL INFORMATION FOR THE QUARTER ENDED SEPTEMBER 30, 1998 TABLE OF CONTENTS PRESS RELEASE..........................................................1 BALANCE SHEET..........................................................3 STATEMENT OF OPERATIONS................................................4 QUARTERLY HISTORY OF NET INCOME........................................5 KEY STATISTICS.........................................................6 CAPITAL EXPENDITURES SUMMARY...........................................7 ANALYSIS OF OUTSTANDING DEBT...........................................8 CAPITALIZATION TABLE..................................................10 RECENT ACQUISITIONS...................................................11 PROPERTY TABLE........................................................12 TENANT INFORMATION....................................................14 LEASE EXPIRATION TABLE................................................15 INVESTOR INFORMATION..................................................16 ________________________________________________________________ 4350 East-West Highway, Suite 400 Bethesda, Maryland 20814 301-907-7800 FOR IMMEDIATE RELEASE FIRST WASHINGTON REALTY TRUST, INC. ANNOUNCES THIRD QUARTER OPERATING RESULTS REIT Continues to Post Strong Earnings Growth BETHESDA, MD, October 26, 1998 -- First Washington Realty Trust, Inc. (NYSE: FRW; FRW Pr) today announced its third quarter operating results. For the quarter ended September 30, 1998, funds from operations (FFO), a standard measure of operating performance for real estate investment trusts, on a fully diluted basis, increased 54.2% to $9.1 million as compared to $5.9 million for the third quarter of 1997. On a per share basis, FFO increased 9.8% to $0.56 as compared to $0.51 for the same period last year. Total revenues for the quarter increased 31.9% to $18.6 million as compared to $14.1 million for the third quarter of 1997. Net income for the third quarter increased 147.6% to $5.2 million, or $0.34 per share, as compared to $2.1 million, or $0.20 per share, for the same period last year. In addition, for the first nine months of 1998, the Company reported increases over the same period in 1997 in its overall financial performance: FFO increased 49.4% to $24.8 million [$1.63 per share] from $16.6 million [$1.50 per share]; total revenues increased 35.3% to $53.3 million from $39.4 million; and net income increased 163.0% to $14.2 million [$1.02 per share] from $5.4 million [$0.49 per share]. Stuart D. Halpert, Chairman, commented: "The 1998 third quarter has been one of continued strong earnings growth for First Washington. Notwithstanding the volitility and uncertainty in the capital markets, First Washington has continued to experience strong property performance at the operating level. The occupancy level for our properties averages 96%, and our portfolio continues to experience year-over-year increases in average rental rates. Moreover, we continue what we think to be a prudent and consistent acquisition program with the purchase of selected neighborhood shopping centers for acquisition prices we believe to be attractive." Since January 1, 1998 First Washington has purchased five neighborhood shopping centers for an aggregate purchase price of approximately $57 million. The Board of Directors has declared a quarterly distribution of $0.6094 per share to preferred shareholders for the period August 16, 1998, through November 15, 1998, and a quarterly distribution of $0.4875 per share to common shareholders. The distributions are payable on November 15, 1998, to shareholders of record as of November 1, 1998. First Washington Realty Trust, Inc. is a publicly-traded real estate investment trust which owns and operates 52 investment properties. The Company plans to continue its strategy to selectively acquire principally supermarket-anchored neighborhood shopping centers throughout the Mid-Atlantic states, as well as in other metropolitan markets which the Company determines to be both attractive and conveniently accessible. Contacts: Stuart D. Halpert, Chairman - 301/907-7800 William J. Wolfe, President and CEO - 301/907-7800 James G. Blumenthal, Chief Financial Officer - 301/907-7800 TABLE FOLLOWS FINANCIAL HIGHLIGHTS (in thousands, except per share data) Three Months Ended September 30, ___________________ Operating Results 1998 1997 ------ ------- Revenues: Minimum rents $14,707 $10,984 Tenant reimbursements 3,360 2,499 Percentage rents 170 263 Other income 326 370 ------ ------- Total revenues 18,563 14,116 ------ ------- Expenses: Property operating and maintenance 4,254 3,452 General and administrative 857 611 Interest 4,811 4,747 Depreciation and amortization 3,766 2,750 ------ ------- Total expenses 13,688 11,560 ------ ------- Income before income from Management Company 4,875 2,556 Gain on sale of property 335 - Income (loss) from Management Company (59) 77 ------ ------- Net income before extraordinary item $5,151 $2,633 Extraordinary item-loss on early extinguishment of debt - (561) ------ ------- Net income before distributions and minority interest (1) $5,151 $2,072 ====== ======= Weighted average shares outstanding (1) 14,900 10,144 Dilutive effect of stock options 54 75 ------ ------- Weighted average shares outstanding - Diluted (1) 14,954 10,219 ====== ======= Net income per share- Diluted (1) $0.34 $0.20 ====== =======
(1) Assumes that all outstanding operating partnership units and preferred stock have been converted to common stock equivalents. # # # FINANCIAL HIGHLIGHTS (in thousands, except per share data) Nine Months Ended September 30, ___________________ Operating Results 1998 1997 ------ ------- Revenues: Minimum rents $41,689 $30,891 Tenant reimbursements 9,847 6,730 Percentage rents 925 836 Other income 854 906 ------ ------- Total revenues 53,315 39,363 ------ ------- Expenses: Property operating and maintenance 12,838 9,419 General and administrative 2,709 2,751 Interest 14,782 13,675 Depreciation and amortization 10,687 7,867 ------ ------- Total expenses 41,016 33,712 ------ ------- Income before income from Management Company 12,299 5,651 Gain on sale of property 2,018 45 Income (loss) from Management Company 281 376 ------ ------- Net income before extraordinary item 14,598 6,072 Extraordinary item-loss on early extinguishment of debt (358) (695) ------ ------- Net income before distributions and minority interest(1) $14,240 $5,377 ====== ======= Weighted average shares outstanding (1) 13,834 10,958 Dilutive effect of stock options 78 65 ------ ------- Weighted average shares outstanding - Diluted (1) 13,912 11,023 ====== ======= Net income per share- Diluted (1) $ 1.02 $ 0.49 ====== =======
(1) Assumes that all outstanding operating partnership units and preferred stock have been converted to common stock equivalents. # # # FIRST WASHINGTON REALTY TRUST, INC. CONSOLIDATED BALANCE SHEETS (dollars in thousands, except share data) September 30, DECEMBER 31, 1998 1997 _____________ _____________ ASSETS Real Estate Land $99,557 $89,042 Building and improvements 408,567 367,756 _______ _______ 508,124 456,798 Accumulated depreciation (48,045) (40,839) _______ _______ Rental properties, net 460,079 415,959 Cash and equivalents 2,868 3,142 Tenant receivables, net 7,680 7,274 Deferred financing costs, net 2,260 2,734 Other assets 14,931 10,032 ________ ________ Total assets $487,818 $439,141 ======== ======== LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Mortgage notes payable $218,296 $212,030 Exchangeable Debentures 25,000 25,000 Accounts payable and accrued expenses 9,920 10,914 _______ _______ Total liabilities 253,216 247,944 Minority interest 52,500 38,255 Stockholder's Equity: Convertible preferred stock $.01 par value, 3,800,000 shares designated; 2,314,189 shares issued and outstanding 23 23 Common stock $.01 par value, 90,000,000 shares authorized; 8,556,985 and 7,291,732 shares issued and outstanding 86 72 Additional paid-in capital 212,935 179,356 Accumulated distributions in excess of earnings (30,942) (26,509) _______ _______ Total stockholders' equity 182,102 152,942 _______ _______ Total liabilities and stockholders' equity $487,818 $439,141 ======== ========
FIRST WASHINGTON REALTY TRUST, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (dollars in thousands, except share data) For three months ended Year Ended September 30, % December 31, 1998 1997 Change 1997 ______________________ _______ ____________ Revenues: Minimum rents $14,707 $10,984 33.9% $43,857 Tenant reimbursements 3,360 2,499 34.5% 9,506 Percentage rents 170 263 (35.3%) 1,060 Other income 326 370 (11.9%) 1,211 _______ ______ _______ ________ Total revenues 18,563 $14,116 31.5% 55,634 _______ ______ _______ ________ Expenses: Property operating and maintenance 4,254 3,452 23.2% 13,522 General and administrative 857 611 40.3% 3,363 Interest 4,811 4,747 1.3% 18,416 Depreciation and amortization 3,766 2,750 36.9% 11,172 _______ ______ _______ ________ Total expenses 13,688 11,560 18.4% 46,473 _______ ______ _______ ________ Income before gain on sale of properties,income (loss) from Management Company, extraordinary item, minority interest and distributions to Preferred Stockholders 4,875 2,556 90.7% 9,161 Gain on sale of properties 335 0 0.0% 549 Income (loss) from Management Company (59) 77 (176.7%) 433 _______ ______ _______ ________ Income before extraordinary item, minority interest and distributions to Preferred Stockholders 5,151 2,633 95.6% 10,143 Extraordinary item - Loss on early extinguishment of debt 0 (561) (100.0%) (954) _______ ______ _______ ________ Income before minority interest and distributions to Preferrred Stockholders 5,151 2,072 148.6% 9,189 Income allocated to minority interest (1,116) (339) 229.0% (1,579) _______ ______ _______ ________ Income before distributions to preferred stockholders 4,035 1,733 132.9% 7,610 Distributions to preferred stockholders (1,410) (1,410) 0.0% (5,641) _______ ______ _______ ________ Income allocated to common stockholders $2,625 $323 712.7% 1,969 ======= ====== ======= ======== Net Income per Common Share - Basic $0.31 $0.06 415.6% $0.35 ======= ====== ======= ======== Net Income per Common Share - Diluted $0.31 $0.06 419.5% $0.34 ======= ====== ======= ======== Shares of Common Stock, in thousands - Basic 8,506 5,396 57.6% 5,663 ======= ====== ======= ======== Shares of Common Stock, in thousands - Diluted 8,560 5,471 56.5% 5,730 ======= ====== ======= ======== Distributions per share $0.4875 $0.4875 0.0% $1.9500 ======= ====== ======= ========
FIRST WASHINGTON REALTY TRUST QUARTERLY HISTORY OF NET INCOME 1998 YTD Actual 1st QTR 2nd QTR 3rd QTR 4th QTR Total Revenues: ________ Minimum rents $41,689 $12,928 $14,054 $14,707 $ 0 $41,689 Tenant reimbursements 9,847 3,088 3,399 3,360 0 9,847 Percentage rents 925 396 359 170 0 925 Other rents 854 228 300 326 0 854 _______ _______ _______ _______ ______ ________ Total revenues 53,315 16,640 18,112 18,563 0 53,315 _______ _______ _______ _______ ______ ________ Expenses: ________ Property operating and maintenance 12,838 4,143 4,441 4,254 0 12,838 General and administrative 2,709 837 1,015 857 0 2,709 Interest 14,782 4,851 5,120 4,811 0 14,782 Depreciation of real estate assets 10,231 3,132 3,493 3,606 0 10,231 Amortization of leasing costs 456 133 163 160 0 456 _______ _______ _______ _______ ______ ________ Total expenses 41,016 13,095 14,233 13,688 0 41,016 _______ _______ _______ _______ ______ ________ Income before income (loss) from Management Company 12,299 3,545 3,879 4,875 (0) 12,299 Gain on sale of property 2,018 1,683 0 335 0 2,018 Income (loss) from Management Company 281 280 60 (59) 0 281 _______ _______ _______ _______ ______ ________ Net income before extraordinary item 14,598 5,508 3,939 5,151 (0) 14,598 Extraordinary item-loss on early extinguishment of debt (358) (358) 0 0 0 (358) _______ _______ _______ _______ ______ ________ Net income (loss) before distributions and minority interest (2) $14,240 $5,150 $3,939 $ 5,151 $ (0) $14,240 ======= ======== ======= ======= ======= ========= Weighted Average Shares O/S - Basic 13,834 13,097 13,492 14,900 0 13,834 Stock Options 78 101 83 54 0 78 _______ _______ _______ _______ ______ ________ Weighted Average Shares O/S - Dilutive 13,912 13,198 13,574 14,954 0 13,912 ======= ======== ======== ======= ====== ======== Net income per share - Basic $ 1.03 $ 0.39 $ 0.29 $ 0.35 $ 0.00 $ 1.03 ======= ======== ======== ======= ====== ======== Net income per share - Diluted $ 1.02 $ 0.39 $ 0.29 $ 0.34 $ 0.00 $ 1.02 ======= ======== ======== ======= ====== ======== RATIOS: ______ TR's as a % of O&M 76.7% 74.5% 76.5% 79.0% Property O&M as a % of Revenues 24.1% 24.9% 24.5% 22.9% G&A as a % of revenues 5.1% 5.0% 5.6% 4.6% Total Expenses as a% of Revenues 29.2% 29.9% 30.1% 27.5% EBITDA/Revenues (excluding Management Company income) 70.8% 70.1% 69.9% 72.5% EBITDA/Interest expense 2.6 2.5 2.5 2.8%
1997 YTD Actual 1st QTR 2nd QTR 3rd QTR 4th QTR Total Revenues: ________ Minimum rents $43,857 $ 9,632 $10,275 $10,984 $12,966 $43,857 Tenant reimbursements 9,506 2,123 2,108 2,499 2,776 9,506 Percentage rents 1,060 328 245 263 224 1,060 Other rents 1,211 276 260 370 305 1,211 _______ _______ _______ _______ ______ ________ Total revenues 55,634 12,359 12,888 14,116 16,271 55,634 _______ _______ _______ _______ ______ ________ Expenses: ________ Property operating and maintenance 13,522 3,054 2,913 3,452 4,103 13,522 General and administrative 3,363 858 1,282 611 612 3,363 Interest 18,416 4,372 4,556 4,747 4,741 18,416 Depreciation of real estate assets 10,719 2,356 2,552 2,631 3,180 10,719 Amortization of leasing costs 453 105 104 119 125 453 _______ _______ _______ _______ ______ ________ Total expenses 46,473 10,745 11,407 11,560 12,761 46,473 _______ _______ _______ _______ ______ ________ Income before income from Management Company 9,161 1,614 1,481 2,556 3,510 9,161 Gain on sale of property 549 45 0 0 504 549 Income from Management Company 433 163 136 77 57 433 _______ _______ _______ _______ ______ ________ Net income before extraordinary item 10,143 1,822 1,617 2,633 4,071 10,143 Extraordinary item-loss on early extinguishment of debt (954) (134) 0 (561) (259) (954) _______ _______ _______ _______ ______ ________ Net income before distributions and minority interest (2) $ 9,189 $1,688 $1,617 $ 2,072 $ 3,812 $ 9,189 ======= ======== ======= ======= ======= ========= Weighted Average Shares O/S - Basic 10,474 9,400 9,480 10,144 12,840 10,474 Stock Options 67 51 69 75 101 67 _______ _______ _______ _______ ______ ________ Weighted Average Shares O/S - Dilutive 10,541 9,451 9,549 10,219 12,941 10,541 ======= ======== ======== ======= ====== ======== Net income per share - Basic $ 0.88 $ 0.18 $ 0.17 $ 0.20 $ 0.30 $ 0.88 ======= ======== ======== ======= ====== ======== Net income per share - Diluted $ 0.87 $ 0.18 $ 0.17 $ 0.20 $ 0.29 $ 0.87 ======= ======== ======== ======= ====== ======== RATIOS: ______ TR's as a % of O&M 70.3% 69.5% 72.4% 72.4% 67.7% 70.3% Property O&M as a % of Revenues 24.3% 24.7% 22.6% 24.5% 25.2% 24.3% G&A as a % of revenues 6.0% 6.9% 9.9% 4.3% 3.8% 6.0% Total Expenses as a% of Revenues 30.4% 31.7% 32.5% 28.8% 29.0% 30.4% EBITDA/Revenues (excluding Management Company income) 69.6% 68.3% 67.5% 71.2% 71.0% 69.6% EBITDA/Interest expense 2.1 2.0 1.9 2.1 2.4 2.1
FIRST WASHINGTON REALTY TRUST, INC. KEY STATISTICS AS OF AS OF AS OF SEPTEMBER 30, SEPTEMBER 30, DECEMBER 31, 1998 1997 1997 _________ _________ ____________ PORTFOLIO INFORMATION: ______________________ Total square feet of retail properties 5,564,514 4,059,347 4,992,770 No. of properties owned 52 41 49 Occupancy at end of period 96.0% 95.1% 96.2% Average population within three miles of properties 106,000 FINANCIAL STATISTICS: Interest coverage ration (EBITDA/ Interest Expense) 2.8 2.1 2.1 Total debt to total market capitalization ratio 36.2% 36.8% 35.2% Weighted average interest rate 7.8% 8.3% 7.9% % of Fixed rate debt 93.6% 93.7% 91.9% % of Variable rate debt 6.4% 6.3% 8.1% Weighted average term to maturity of debt 3.7 yrs Weighted average term to maturity of debt-incl. int. rate protection 6.1 yrs Return on real estate investments (EBITDA/average undepreciated book value) 10.6% 10.6% 10.2% General & administrative expenses/ total revenues 4.6% 4.3% 6.0% Recoveries as a percentage of operating and maintenance expenses 79.0% 70.9% 70.3% OTHER INFORMATION: __________________ Management ownership-common shares only 5.7% Management ownership-fully diluted 3.1% Management ownership-fully diluted 5.6% (including options) Stock price at end of period: 03/31/98 $23.75 12/31/97 $27.50 12/31/96 $23.50 12/31/95 $18.13 12/31/94 $15.00 Classification of dividend payments-1997 Ordinary income 52.5% Capital Gains (20%) 2.6% Return of Capital 44.9% ------ 100.0% ------
FIRST WASHINGTON REALTY TRUST, INC. OTHER INFORMATION AND CAPITAL EXPENDITURES SUMMARY (dollars in thousands, except share data) QUARTER QUARTER YEAR ENDED ENDED ENDED SEPT 30, SEPT 30, DECEMBER 31, 1998 1997 1997 _________ _________ ____________ OTHER QUARTERLY INFORMATION: Straight-line rental income $403 $291 $1,337 Recurring non-revenue generating capital expenditures $319 n/a $798 SUMMARY OF CAPITAL EXPENDITURES (YTD): Building expansions $538 n/a $3,273 Property renovations 525 n/a 1,185 Tenant improvements-Anchors 233 n/a 1,387 Tenant improvements-Non anchors 1,863 n/a 880 Recurring non-revenue generating cap-ex 387 n/a 798 ________ _______ Subtotal 3,546 7,523 Leasing commissions-Anchors 142 n/a 1,019 Leasing commissions-Non Anchors 765 n/a 725 ________ _______ Subtotal 907 1,744 ________ _______ Total capital expenditures $4,453 $9,267 ======== =======
FIRST WASHINGTON REALTY TRUST, INC. SUMMARY OF OUTSTANDING DEBT INTEREST MATURITY BALANCE (2) PROPERTY LENDER RATE (1) DATE 09/30/98 12/31/97 - ----------------- ------------ --------- ---------- -------- -------- FIXED RATE LOANS: Allen St. & Stefko Boulevard Nomura 8.40% 01/31/06 $5,842 $5,913 Bowie Plaza Aid Assoc. for Lutherans 6.64% 01/01/05 5,130 0 Broadmoor Apts(3) Firstrust Bank 0 3,826 Chesapeake Bagel Building Citizens Bank 6.59% 07/01/01 735 735 City Avenue Equitable Life Insurance Co 8.13% 10/18/05 9,792 9,909 Cloppers Mill Jackson National Life 7.37% 03/21/06 13,951 14,132 Elkridge Corners Provident Mutual 6.82% 11/01/10 6,594 0 Festival at Woodholme Aetna 9.83% 04/30/00 11,407 11,489 Firstfield AAF Mutual Aid Association 7.53% 12/01/05 2,452 2,472 Georgetown Shops(3) First National Bank 0 411 Kings Park Aid Assoc. for Lutherans 7.93% 11/01/14 4,665 4,783 McHenry Commons State Farm Insurance 7.07% 03/01/99 6,428 6,643 Mallard Creek Nationwide Insurance 7.07% 02/10/99 11,538 11,823 Mitchellville Nationwide Insurance 7.21% 06/24/05 15,214 15,764 Northway Shopping Center Crown Life Inc. Co 7.94% 01/01/07 6,198 6,282 Northway Shopping Center Crown Life Inc. Co 8.80% 08/01/99 1,777 1,827 Parkville Shopping Northern Life Center Insurance 7.01% 03/01/08 3,478 0 Pheasant Hill Nationwide Insurance 7.19% 07/15/00 7,909 8,128 Potomac Plaza Citizens Bank 7.03% 07/01/99 3,656 3,656 Riverside/Edge Nationwide Insurance 7.05% 07/10/99 2,415 2,505 Shoppes Of Kildaire Nationwide Insurance 7.89% 05/31/06 7,626 7,774 Southside Morgan Stanley 8.77% 08/01/05 7,946 7,999 Stonebrook Nationwide Insurance 7.22% 07/15/00 6,059 6,226 The Oaks LaSalle Bank 7.39% 05/01/03 9,818 10,144 Valley Centre Tal Hong & Ki Kwang 7.75% 06/30/07 589 700 Various/UDRT Lutheran Brotherhood 8.76% 10/31/05 13,047 13,282 Various Properties Nomura 8.92% 07/01/99 38,500 38,500 --------- --------- --------- -------- Subtotal Mortgages 7.99% 202,766 194,925 Penn Station & Fox Mill Exchangeable Debentures 8.25% 06/27/99 25,000 25,000 ________ _________ _________ SUBTOTAL 8.02% 227,766 219,925 --------- --------- --------- % OF TOTAL DEBT: 93.6% 92.8% _________ _________ VARIABLE RATE LOANS: Ashburn Farms First National Bank of Md. L+1.5% 7.13% 01/01/01 6,660 6,730 Mayfair Shopping Center Industrial Revenue Bonds (4) 5.88% 06/24/10 6,870 7,075 Various properties (line of credit) Union Bank of Switzerland L+1.0% 7.05% 02/01/01 2,000 3,300 --------- --------- --------- SUBTOTAL 6.80% 15,530 17,105 --------- --------- --------- 6.4% 7.2% _________ _________ TOTAL 7.84% $243,296 $237,030 ========= ========= =========
(1) The effective interest rate includes the amortization of deferred financing costs and premiums over the terms of the respective loans. (2) Includes premiums on the assumption of mortgage debt. (3) Properties sold in first quarter 1998. (4) Includes a letter of credit enhancer fee of 2.0%. SCHEDULE OF MATURITIES: Principal Amort of Balloon Curtailment Premiums Amount Total % ------------ --------- -------- ----- ------- 1998 $ 759 $ 440 $ 0 $ 1,199 0.5% 1999 3,317 1,202 88,932 93,451 38.4% 2000 3,269 848 24,381 28,498 11.7% 2001 3,460 658 9,186 13,304 5.5% 2002 3,767 640 0 4,407 1.8% 2003 3,638 563 7,615 11,816 4.9% 2004 3,953 478 0 4,431 1.8% 2005 2,436 237 38,156 40,829 16.8% 2006 + 8,558 623 36,180 45,361 18.6% -------- --------- ---------- --------- -------- Totals $33,157 $5,689 $204,450 $243,296 100.0% ======== ========= ========== ========= ========
FIRST WASHINGTON REALTY TRUST, INC. OTHER DEBT INFORMATION SUMMARY OF LINES OF CREDIT: UNION BANK FIRST OF SWITZ UNION TOTAL ---------- ----- -------- TOTAL COMMITMENT $45,000,000 $5,775,000 $50,775,000 EXPIRATION DATE 02/01/01 10/15/98 COLLATERAL- # OF PROPERTIES 6 1 7 CURRENT AMOUNT OUSTANDING $ 2,000 0 $ 2,000 INTEREST RATE L + 1.0% L + 2.0% SUMMARY OF INTEREST RATE PROTECTION AGREEMENTS: TYPE OF NOTIONAL PERIOD OF DATE OF HEDGE AMOUNT CONTRACT AGREE STRIKE ---------- ---------- ----------- -------- -------- CAP $38,500,000 07/01/94-07/01/99 06/22/94 5.700% CAP $6,200,000 01/01/96-01/01/01 12/29/95 9.000% SWAP $38,500,000 07/01/96-07/01/99 12/19/95 5.090% FWD SWAP $38,500,000 07/01/99-12/01/03 12/19/95 6.375% FWD SWAP $20,000,000 03/01/99-03/01/04 08/01/97 6.438% FWD SWAP $15,000,000 06/01/99-06/01/04 11/07/97 6.180% FWD SWAP $24,000,000 05/01/00-05/02/05 01/12/98 5.855%
FIRST WASHINGTON REALTY TRUST, INC. CAPITALIZATION TABLE Sept 30, Dec 31, Dec 31, Dec 31, Dec 31, 1998 1997 1996 1995 1994 PREFERRED STOCK Original issue 1,920,000 1,920,000 1,920,000 1,920,000 1,920,000 Issued for property purchases 394,189 394,189 394,189 394,189 0 --------- --------- -------- -------- --------- Total outstanding shares 2,314,189 2,314,189 2,314,189 2,314,189 1,920,000 ========= ========= ========= ========= ========= Common Equivalents at 1.282051 conversion rate 2,966,908 2,966,908 2,966,908 2,966,908 2,461,538 ========= ========= ========= ========= ========= PREFERRED UNITS Original issue for property purchases 352,000 352,000 352,000 352,000 352,000 Subsequently Issued for property purchases 77,147 77,147 67,609 0 0 -------- -------- ------- ------- ------- Total outstanding units 429,147 429,147 419,609 352,000 352,000 ======== ======== ======= ======== ======= Common Equivalents at 1.282051 conversion rate 550,188 550,188 537,960 451,282 451,282 ======== ======== ======= ======= ======= COMMON STOCK Original issue 1,574,359 1,574,359 1,574,359 1,574,359 1,574,359 Subsequent public offerings 6,403,393 5,253,393 3,183,393 1,528,393 0 Private offerings 85,562 85,562 0 0 0 Exercise of stock options 5,875 2,956 0 0 0 Restricted stock grants 110,762 99,664 84,280 0 0 Unrestricted stock grants 210,780 200,000 66,666 66,666 0 Exchange of partnership units 166,254 75,798 37,547 20,131 0 ---------- ---------- --------- --------- --------- Total outstanding shares 8,556,985 7,291,732 4,946,245 3,189,549 1,574,359 ========== ========== ========= ========= ========= COMMON UNITS Original issue 347,056 347,056 347,056 347,056 347,056 Subsequent property purchases 2,696,026 1,849,831 472,851 95,877 0 Exchange of partnership units (166,254) (75,798) (37,547) (20,131) 0 ---------- --------- -------- -------- -------- Total outstanding units 2,876,828 2,121,089 782,360 422,802 347,056 ======== ======== ======== ======== ======== Total common share equivalents-basic 14,950,909 12,929,918 9,233,473 7,030,541 4,834,235 Conversion of Exchangeable Debentures 1,282,051 1,282,051 1,282,051 1,282,051 1,282,051 ---------- ---------- --------- --------- --------- Total common share equivalents-diluted 16,232,960 14,211,969 10,515,524 8,312,592 6,116,286 ========== ========== ========== ========= ========= Market capitalization (in 000's): Equity capitalization based on closing stock price $385,533 $390,829 $247,115 $150,666 $91,744 Outstanding debt (with Debentures as equity) 218,296 212,030 167,047 116,182 89,858 ---------- --------- -------- -------- ------- Total market capitalization $603,829 $602,859 $414,162 $266,848 $181,602 ========== ========== ======== ======== ======== Debt to total market capitalization 36.2% 35.2% 40.3% 43.5% 49.5% ========== ========== ======== ======== ======== Closing stock price $23.75 $27.50 $23.50 $18.13 $15.00 ========== ========== ======== ======== ========
FIRST WASHINGTON REALTY TRUST, INC. 1998 ACQUISITIONS All-in Projected Date Property Land Year Costs NOI Acquired Name Location S.F. Area Built (in 000's) Yield Occupancy -------- ------------- ----- ---------- -------- ------ --------- 01/98 Bowie Plaza Bowie, MD 104,836 10.8 1966 $12,135 (2) 10.3% 98.3% 03/98 Watkins Park Plaza Mitchellville, MD 112,143 12.8 1985 14,662 10.2% 98.7% 04/98 Parkville Shopping Center Baltimore, MD 140,925 12.7 1961 8,388 (2) 10.8% 100.0% 06/98 Elkridge Corners Baltimore, MD 73,529 8.4 1990 8,873 (2) 10.0% 97.8% 06/98 Village Center Richmond, VA 110,885 11.7 1948 13,305 (2) 10.0% 99.4% ------- ------- ----- Totals 542,318 $57,363 10.2% ======= ======= =====
(2) These acquisitions were structured as contribution to First Washington Realty Limited Partnership (FWRLP) in exchange for operating units of FWRLP. Property Name Anchor Tenant (lease expiration) ------------- -------------------------------- Bowie Plaza Giant (2002), CVS (2003) Watkins Park Plaza Safeway (2007), CVS (2001) Parkville Shopping Center A&P Superfresh (2003),Rite Aid (2001) Elkridge Corners A&P Superfresh (2015), Rite Aid (2005) Village Center Ukrop's Super Market (2019), CVS (2003)
Note:The Company sold its two multi-family properties in March 1998 for $8,050,000 and one of the Georgetown properties for $750,000 . Net proceeds of $4,200,000 were used to acquire Watkins Park Plaza in a Section 1031 tax free exchange. FIRST WASHINGTON REALTY TRUST INC PROPERTY SUMMARY TABLE Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- MARYLAND:- Bowie Plaza Bowie, MD 104,836 10.8 1966 1998 98.3% 100.0% Bryans Road Shopping Center Bryans Road, MD 118,676 11.8 1972 1990 89.2% 86.7% Capital Corner Shopping Center Landover, MD 42,625 4.1 1987 1987 100.0% 91.6% Clinton Square Shopping Center Clinton, MD 18,961 2.0 1979 1984 68.7% 68.7% Cloppers Mills Germantown, MD 137,035 14.2 1995 1996 100.0% 98.2% Elkridge Corners Baltimore, MD 73,529 8.4 1990 1998 100.0% 97.8% Festival at Woodholme Baltimore, MD 81,027 7.1 1986 1995 100.0% 100.0% Firstfield Shopping Center Gaithersburg, MD 22,327 2.4 1978 1995 100.0% 100.0% Mitchellville Plaza Mitchellville, MD 155,674 14.5 1991 1997 97.3% 98.6% Northway Shopping Center Millersville, MD 98,016 9.6 1987 1996 93.1% 100.0% P.G. County Commercial Park Beltsville, MD 146,422 9.7 1988 1985 95.6% 98.0% Parkville Shopping Center (1) Baltimore,MD 140,925 12.7 1961 1998 99.1% 100.0% Penn Station Shopping Center (2) District Heights,MD 334,970 22.5 1989 1987 96.3% 98.4% Rosecroft Shopping Center Temple Hills, MD 119,010 8.3 1963 1985 79.3% 87.4% Southside Marketplace Baltimore, MD 126,646 9.1 1990 1996 84.7% 88.2% Takoma Park Takoma Park, MD 108,168 9.8 1960 1996 90.5% 88.8% Valley Centre Owings Mills, MD 251,928 33.0 1987 1994 97.5% 99.0% Watkins Park Plaza Mitchellville, MD 112,143 12.8 1985 1998 96.5% 98.7% --------- 2,192,918 --------- 39.4% ==========
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ Bowie Plaza Giant (2002), CVS (2003) Bryans Road Shopping Center Safeway (2014), CVS (2001) Capital Corner Shopping Center Clinton Square Shopping Center Clopper's Mill Shoppers Food Warehouse (2015), CVS (2006 Elkridge Corners A&P Superfresh (2003), Rite Aid (2001) Festival at Woodholme Sutton Place (2006) Firstfield Shopping Center Mitchellville Shopping Center Food Lion (2016) Northway Shopping Center Metro Foods (2007), Rite Aid (1999) P.G. County Commercial Park Parkville Shopping Center (1) A&P Superfresh (2003), Rite Aid (2001) Penn Station Shopping Center (2) Safeway (n/a), Service Merchandise (2006) Rosecroft Shopping Center Food Lion (2015) Southside Marketplace Metro Foods (2016), Rite Aid (2001) Takoma Park Shoppers Food Warehouse (2011) Valley Centre Weis Markets (2002), TJ Maxx (2007), Sony Theatres (2005) Watkins Park Plaza Safeway (2007), CVS (2001)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- VIRGINIA:- Ashburn Farm Village Center Ashburn,VA 88,917 10.2 1996 1997 100.0% 100.0% Brafferton Center Garrisonville, VA 94,731 9.4 1974 1994 97.9% 94.2% Centre Ridge Marketplace Centreville, VA 104,154 10.9 1996 1996 98.8% 100.0% Chesapeake Bagel Building Alexandria, VA 11,288 0.1 1800's 1983 100.0% 100.0% Davis Ford Crossing Manassas,VA 149,917 20.8 1988 1994 91.1% 95.2% Four Mile Fork Shopping Center Fredericksburg, VA 101,360 10.3 1975 1997 88.6% 84.6% Fox Mill Shopping Center Reston, VA 103,269 14.0 1977 1994 98.1% 96.1% Glen Lea Shopping Center Richmond,VA 77,603 9.2 1969 1995 100.0% 100.0% Hanover Village Shopping Center Mechanicsville, VA 96,146 9.5 1971 1995 98.3% 98.3% Kings Park Burke, VA 78,712 8.6 1966 1996 88.6% 100.0% Laburnum Park Richmond, VA 113,992 9.3 1988 1995 98.7% 100.0% Laburnum Square (3) Richmond, VA 109,405 11.4 1975 1995 94.1% 95.4% Potomac Plaza Woodbridge,VA 85,400 5.4 1963 1986 94.2% 88.3% Village Center Richmond, VA 110,885 11.7 1948 1998 99.0% 99.4% --------- 1,325,779 --------- 23.8% =========
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ Ashburn Farm Village Center A&P Superfresh (2016) Brafferton Center Giant Food (2009) Centre Ridge Marketplace A&P Superfresh (2016), Sears Paint & Hardware (2007 Chesapeake Bagel Building Davis Ford Crossing Weis Markets (2010), CVS (2000) Four Mile Fork Shopping Center Safeway (2000), CVS (2001) Fox Mill Shopping Center Giant Food (2016) Glen Lea Shopping Center Winn Dixie (2005), Eckerd Drug (2000) Hanover Village Shopping Center Rack 'N Sack (2008), Rite Aid (2003) Kings Park Giant (2013), CVS (2003) Laburnum Park Ukrops Supermarket (n/a), Rite Aid (2007) Laburnum Square (3) Hannaford Brothers Supermarket (2013), CVS (1999) Potomac Plaza Village Center Ukrop's Super Market (2019), CVS (2003)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- PENNSYLVANIA:- Allen Street Allentown,PA 46,503 4.1 1958 1996 98.1% 95.5% City Avenue Shopping Center Philadelphia, PA 161,454 12.2 1950-60's 1997 97.1% 95.0% Colonial Square Shopping Center York, PA 29,208 2.9 1955 1990 89.6% 89.0% Kenhorst Plaza Shopping Center Kenhorst,PA 161,424 19.2 1990 1995 97.5% 98.0% Mayfair Shopping Center Philadelphia, PA 115,027 5.7 1988 1994 99.0% 100.0% Newtown Square Shopping Center Newtown Square, PA 137,566 14.4 1960-70's 1996 99.1% 98.0% Stefko Boulevard Shopping Center Bethlehem,PA 135,864 10.3 1958-60-75 1996 95.1% 98.8% ------- 787,046 ------- 14.1% =======
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ Allen Street Lanecor (2003), Eckerd Drug (2004) City Avenue Shopping Center Acme Supermarkets (1999), Eckerd Drug (1999), T.J. Maxx (2001) Colonial Square Shopping Center Minnichs Pharmacy (1999) Kenhorst Plaza Shopping Center Redners (2009), Rite Aid (2000), Sears Paint & Hardware (2007) Mayfair Shopping Center Shop 'N Bag Supermarket (2013), Eckerd Drug (2006) Newtown Square Shopping Center Acme Supermarkets (2014),Eckerd Drug (1999) Stefko Boulevard Shopping Center Laneco (2003)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- ILLINOIS:- McHenry Commons McHenry, IL 100,526 11.5 1988 1997 98.0% 98.6% Mallard Creek Round Lake Beach, IL 143,759 14.9 1987 1997 94.6% 98.9% Pheasant Hill Plaza Bolingbrook,IL 111,190 14.4 1983 1997 98.9% 100.0% Riverside Square/ River's Edge Chicago, IL 169,435 17.7 1986 1997 94.6% 90.0% Stonebrook Plaza Merrionette Park, IL 95,825 8.1 1984 1997 100.0% 95.3% The Oaks Des Plaines,IL 138,274 16.7 1983 1997 100.0% 92.2% ------- 759,009 ------- 13.6% =======
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ McHenry Commons Dominick's Finer Foods (2018) Mallard Creek Dominick's Finer Foods (2008) Pheasant Hill Plaza Dominick's Finer Foods (2005) Riverside Square/River's Edge Dominick's Finer Foods (2017) Stonebrook Plaza Dominick's Finer Foods (2005) The Oaks Dominick's Finer Foods (2017)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- DELAWARE:- First State Plaza New Castle,DE 164,569 21.0 1988 1994 95.6% 100.0% Shoppes of Graylyn Wilmington,DE 65,746 5.0 1971 1997 97.7% 97.7% -------- 230,315 -------- 4.1% ========
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ First State Plaza Shop Rite Supermarket (2009), Cinemark USA (2011) Shoppes of Graylyn Rite Aid (2016)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- NORTH CAROLINA:- Shoppes of Kildaire Cary, NC 148,204 14.0 1986 1986 99.5% 100.0% ------- 148,204 ------- 2.7% =======
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ Shoppes of Kildaire Winn Dixie (2006)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- SOUTH CAROLINA:- James Island Shopping Center Charleston,SC 88,557 6.5 1967 1990 100.0% 98.9% ------ 88,557 ------ 1.6% ======
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ James Island Shopping Center Piggly Wiggly (2010), Kerr Drug (2002)
Land Percent Percent Area Year Year Leased Leased Property Location GLA (Acres) Built Acquired 09/30/98 12/31/97 - ------------------------------------------------------------------------------- WASHINGTON D.C.:- The Georgetown Shops (4) Washington,DC 13,152 0.3 Late 1800's 1981-1989 100.0% 100.0% Connecticut Avenue Shops Washington,DC 3,000 0.1 1954 1986 100.0% 100.0% Spring Valley Shopping Center Washington,DC 16,834 0.9 1930 1997 100.0% 100.0% ------ 32,986 ------ 0.6% ======
Property Significant Tenants (lease expiration date) - ------------------------ ------------------------------------------ The Georgetown Shops (3) Connecticut Avenue Shops Spring Valley Shopping Center CVS (1999) Total/Average 5,568,514 543.3 96.0% 96.2% ========= ===== ==== ==== 100.0% =========
(1) Includes Safeway (50,000 sq.ft) and Bowling alley (40,000 sq.ft) pad sites owned by others. (2) Includes Ukrops Supermarket (49,000 sq.ft ) pad site not owned by the Company. (3) Represents three (3) historic retail shops all clustered in close proximity in the central shopping district in Georgetown, Washington D.C. FIRST WASHINGTON REALTY TRUST, INC. TENANT INFORMATION TOP 20 TENANTS BY BASE RENT % of Number Annualized Aggregate GLA Of Minimum Anualized Tenant (Sq Ft.) Properties Rent Minimum Rents ____________________ ________ ____________ ___________ _______________ 1. Safeway / Dominick's 577,090 10 5,186,369 9.09% 2. Richfood / Shoppers Food / Metro Foods / Rack 'N Sack 261,565 5 2,151,067 3.77% 3. A&P Superfresh 170,489 4 1,549,330 2.71% 4. Blockbuster Video 54,149 9 933,625 1.64% 5. Rite Aid 87,754 8 816,658 1.43% 6. CVS/Pharmacy 113,430 10 811,000 1.42% 7. Fashion Bug 73,273 9 804,832 1.41% 8. Weis Markets 94,960 2 786,200 1.38% 9. Food Lion 78,100 2 677,500 1.19% 10. Sears Paint & Hardware 65,816 3 669,596 1.17% 11. Giant Food 143,268 4 650,240 1.14% 12. First Union Bank 17,643 7 587,921 1.01% 13. Ukrops 88,003 2 545,564 0.96% 14. T.J. Maxx 54,686 2 500,211 0.88% 15. Acme Markets 86,226 2 500,000 0.88% 16. Winn Dixie 79,000 2 481,500 0.84% 17. Shop Rite Supermarket 57,333 1 458,552 0.80% 18. Eckerd Drug 45,572 5 431,191 0.76% 19. Hollywood Video 22,366 3 424,520 0.74% 20. Render's Supermarket 52,070 1 416,560 0.73% --------- ---------- ------- TOTAL 2,222,972 19,382,436 33.95% ========= ========== ======= TENANT MIX S.F. BASE RENT -------- -------- ANCHOR (1) 41.9% 30.2% NON-ANCHOR 58.1% 69.8% -------- -------- 100.0% 100.0% ======== ========
(1) Anchor tenants are defined as Supermarkets, Drug Stores and any tenant in excess of 35,000 Sq. Ft. FIRST WASHINGTON REALTY TRUST, INC. LEASE EXPIRATIONS AS OF SEPTEMBER 30, 1998 Percent Average of Total Annual Number Future Percent of Total Annualized Annualized Minimum Of GLA In GLA Represented Minimum Minimum Rent per Year Leases Square Feet By Expiring Leases Rent Rent Square Foot ____ _______ ___________ __________________ _________ _________ ___________ (in 000's) (in 000's) 1998 75 158 3.1% $1,739 3.0% $11.01 1999 167 482 9.5% 5,306 9.1% 11.01 2000 178 484 9.5% 5,728 9.9% 11.83 2001 183 551 10.9% 6,865 11.8% 12.46 2002 137 392 7.7% 5,408 9.3% 13.80 2003 143 582 11.5% 6,901 11.9% 11.86 2004 27 98 1.9% 1,307 2.2% 13.34 2005 41 350 6.9% 4,133 7.1% 11.81 2006 42 263 5.2% 3,483 6.0% 13.24 2007 27 314 6.2% 3,267 5.6% 10.40 Thereafter 62 1,399 27.6% 13,962 24.1% 9.98 ----- ----- ------ ------- ------ ------ Total 1,082 5,073 100.0% $58,199 100.0% $11.45 ===== ===== ====== ======= ====== ======
FIRST WASHINGTON REALTY TRUST, INC. INVESTOR INFORMATION Contacts: Stuart D.Halpert 301-907-7800 or 301-961-1866 Jim Blumenthal 301-907-7800 or 301-961-1862 E-mail: jblumenthal@firstwash.com Company address: 4350 East-West Highway Suite 400 Bethesda, Maryland 20814 Research Coverage: BT Alex. Brown Kevin Comer 212-250-5941 Friedman, Billings, Ramsey & Co. Charles Post 703-312-9616 Tucker Anthony Jeffrey Caira 617-725-2058 CIBC Oppenheimer Jeffrey Olson 212-667-8116 Raymond James & Associates Mark Foushee 813-573-3800 Paine Webber Gary Boston 212-713-4765 Ticker Symbol: Common shares FRW Preferred Shares FRW pr Quarterly Results: The company plans to announce quarterly results according to the following schedule: 4Q 1998 February 8, 1999 1Q 1999 April 26, 1999 Transfer Agent: American Stock Transfer & Trust Co. Auditor: PricewaterhouseCoopers Counsel: Latham & Watkins -----END PRIVACY-ENHANCED MESSAGE-----