0001611547-21-000079.txt : 20211103 0001611547-21-000079.hdr.sgml : 20211103 20211103161548 ACCESSION NUMBER: 0001611547-21-000079 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 17 CONFORMED PERIOD OF REPORT: 20211103 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20211103 DATE AS OF CHANGE: 20211103 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Urban Edge Properties CENTRAL INDEX KEY: 0001611547 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE [6500] IRS NUMBER: 476311266 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-36523 FILM NUMBER: 211375565 BUSINESS ADDRESS: STREET 1: 210 ROUTE 4 EAST CITY: PARAMUS STATE: NJ ZIP: 07652 BUSINESS PHONE: 201-587-1000 MAIL ADDRESS: STREET 1: 210 ROUTE 4 EAST CITY: PARAMUS STATE: NJ ZIP: 07652 FORMER COMPANY: FORMER CONFORMED NAME: Vornado SpinCo DATE OF NAME CHANGE: 20140623 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Urban Edge Properties LP CENTRAL INDEX KEY: 0001681169 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE [6500] IRS NUMBER: 364791544 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 333-212951-01 FILM NUMBER: 211375566 BUSINESS ADDRESS: STREET 1: 210 ROUTE 4 EAST CITY: PARAMUS STATE: NJ ZIP: 07652 BUSINESS PHONE: 201-571-3500 MAIL ADDRESS: STREET 1: 210 ROUTE 4 EAST CITY: PARAMUS STATE: NJ ZIP: 07652 8-K 1 ue-20211103.htm 8-K ue-20211103
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
November 3, 2021

URBAN EDGE PROPERTIES
URBAN EDGE PROPERTIES LP
(Exact name of Registrant as specified in its charter)
Maryland(Urban Edge Properties)001-36523(Urban Edge Properties)47-6311266
Delaware(Urban Edge Properties LP)333-212951-01(Urban Edge Properties LP)36-4791544
(State or other jurisdiction of incorporation or organization)(Commission File Number)(I.R.S. Employer Identification Number)
   888 Seventh Avenue
 New YorkNY10019
(Address of Principal Executive offices) (Zip Code)
Registrant’s telephone number including area code:(212)956-2556
Former name or former address, if changed since last report: N/A
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 (see General Instructions A.2.):
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:
Urban Edge Properties
Title of class of registered securitiesTrading symbolName of exchange on which registered
Common shares of beneficial interest, par value $0.01 per shareUEThe New York Stock Exchange
Urban Edge Properties LP
Title of class of registered securitiesTrading symbolName of exchange on which registered
NoneN/AN/A
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).
        Urban Edge Properties                    Urban Edge Properties LP 
 
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.  
        Urban Edge Properties o                   Urban Edge Properties LP o   



This Current Report on Form 8-K is filed by Urban Edge Properties, a Maryland real estate investment trust (the “Company”), and Urban Edge Properties LP, a Delaware limited partnership through which the Company conducts substantially all of its operations (the "Operating Partnership"). The Company is the sole general partner of the Operating Partnership.

Item 2.02 Results of Operations and Financial Condition

On November 3, 2021, the Company announced its financial results for the three and nine months ended September 30, 2021. Copies of the Company's Earnings Press Release and Supplemental Disclosure Package are furnished as Exhibits 99.1 and 99.2, respectively, to this Current Report on Form 8-K. The information contained in this Current Report on Form 8-K, including Exhibits 99.1 and 99.2, shall not be deemed "filed" with the Securities and Exchange Commission nor incorporated by reference into any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Securities Exchange Act of 1934, as amended (the "Exchange Act"), regardless of any general incorporation language in any such filing.

Item 7.01 Regulation FD Disclosure

On November 3, 2021, the Company announced its financial results for the three and nine months ended September 30, 2021 and made available on its website the Earnings Press Release and Supplemental Disclosure Package described in Item 2.02 above. The information contained in this Current Report on Form 8-K, including Exhibits 99.1 and 99.2, shall not be deemed "filed" with the Securities and Exchange Commission nor incorporated by reference into any filing under the Securities Act or the Exchange Act regardless of any general incorporation language in any such filing.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits:
104Cover Page Interactive Data File (formatted as inline XBRL with applicable taxonomy extension information contained in Exhibits 101.*)




SIGNATURE

Pursuant to the requirements of the Exchange Act, the registrants have duly caused this report to be signed on their behalf by the undersigned thereunto duly authorized.
URBAN EDGE PROPERTIES
(Registrant)
Date: November 3, 2021By:/s/ Mark Langer
Mark Langer, Executive Vice President and Chief Financial Officer
URBAN EDGE PROPERTIES LP
By: Urban Edge Properties, General Partner
Date: November 3, 2021By:/s/ Mark Langer
Mark Langer, Executive Vice President and Chief Financial Officer


EX-99.1 2 exhibit991-earningsrelease.htm EX-99.1 Document

image2b79.jpg
Exhibit 99.1
Urban Edge PropertiesFor additional information:
888 Seventh AvenueMark Langer, EVP and
New York, NY 10019Chief Financial Officer
212-956-2556
FOR IMMEDIATE RELEASE:
Urban Edge Properties Reports Third Quarter 2021 Results
                    
NEW YORK, NY, November 3, 2021 - Urban Edge Properties (NYSE: UE) (the "Company") today announced its results for the quarter ended September 30, 2021.
“Urban Edge had a great third quarter reflecting strong execution across all departments," said Jeff Olson, Chairman and CEO. "Our occupancy growth came from both new anchor tenants and record shop leasing activity while our external growth opportunities are more visible based on our increasing acquisition pipeline.”
Financial Results(1)(2)
Generated net income attributable to common shareholders of $27.8 million, or $0.24 per diluted share, for the third quarter of 2021 compared to a net loss of $5.6 million, or $(0.05) per diluted share, for the third quarter of 2020 and $60.2 million, or $0.51 per diluted share, for the nine months ended September 30, 2021 compared to $74.6 million, or $0.63 per diluted share, for the nine months ended September 30, 2020.
Generated Funds from Operations applicable to diluted common shareholders ("FFO") of $45.3 million, or $0.37 per share, for the quarter compared to $16.9 million, or $0.14 per share, for the third quarter of 2020 and $112.5 million, or $0.92 per share, for the nine months ended September 30, 2021 compared to $107.3 million, or $0.87 per share, for the nine months ended September 30, 2020.
Generated FFO as Adjusted of $33.6 million, or $0.28 per share, for the quarter compared to $22.8 million, or $0.19 per share, for the third quarter of 2020 and $100.4 million, or $0.82 per share, for the nine months ended September 30, 2021 compared to $79.5 million, or $0.65 per share, for the nine months ended September 30, 2020.
Operating Results(1)(3)
Increased same-property Net Operating Income ("NOI"), including properties in redevelopment by 26.4% compared to the third quarter of 2020. The increase was driven by $11.4 million lower rental revenue deemed uncollectible.
Increased same-property NOI, excluding properties in redevelopment by 26.7% compared to the third quarter of 2020. The increase was driven by $11.4 million lower rental revenue deemed uncollectible.
Reported same-property portfolio leased occupancy of 92.8%, an increase of 80 basis points compared to June 30, 2021.
Reported consolidated portfolio leased occupancy of 90.7%, an increase of 90 basis points compared to June 30, 2021.
Executed 46 new leases, renewals and options totaling 448,000 sf during the quarter. Same-space leases totaled 436,000 sf and generated average rent spreads of 17.3% on a GAAP basis and 9.7% on a cash basis.
Collected 98% of third quarter base rents as of October 29, 2021.







1



Balance Sheet and Liquidity(1)(4)
Balance sheet highlights as of September 30, 2021 include:
Total liquidity of approximately $1 billion, comprised of $323 million of cash on hand and $600 million available under our revolving credit agreement.
Weighted average term to maturity of 4.7 years with no debt maturing in 2021 and only $81 million of debt maturing in 2022.
Total market capitalization of approximately $3.8 billion, comprised of 122.0 million fully-diluted common shares valued at $2.2 billion and $1.6 billion of debt.
Net debt to total market capitalization of 33%.
Net debt to Adjusted Earnings before interest, tax, depreciation and amortization for real estate ("EBITDAre") of 6.4x.

Leasing, Development and Redevelopment
The Company commenced $18.3 million of redevelopment projects during the third quarter in connection with the following lease executions:
National tenant at Hudson Mall
Wren Kitchen at Wilkes-Barre Commons
Five Below at Shops at Bruckner

The Company has $152.4 million of active redevelopment projects under way, of which $91.1 million remains to be funded. These projects are expected to generate an approximate 8% unleveraged yield.

On September 29, 2021, the Company reached an agreement to terminate its remaining three leases with Kmart and Sears at Bruckner Commons, Sunrise Mall and The Outlets at Montehiedra for $20 million, effective October 15, 2021. Controlling these anchor spaces is a critical aspect of the value creation plans the Company has under way to reposition these spaces with uses that appeal to the respective communities where the properties are located.

The Company has signed leases that have not yet rent commenced that will generate an additional $16 million of future annual gross rent, representing approximately 7% of current NOI. Approximately $13 million of this amount pertains to leases included in Active Redevelopment Projects.
Acquisition and Disposition Activity
In August, the Company acquired two industrial warehouses aggregating 275,000 sf, for a total purchase price of $55.5 million. The two properties, located at 601 Murray Road and 151 Ridgedale Avenue, are adjacent to our existing 943,000 sf warehouse park in East Hanover, NJ.

During the quarter, the Company sold its property in Westfield, NJ, for $5.5 million, generating proceeds of $0.8 million, net of the repayment of the $4.7 million loan secured by the property. The Company also disposed of its property in Turnersville, NJ for a sales price of $11.8 million. The proceeds from the sale of this property will be utilized to satisfy the reverse 1031 exchange set up in connection with the acquisition of 151 Ridgedale Avenue, allowing for the deferral of capital gains from the sale.

The weighted average capitalization rate on properties sold during the quarter is approximately 6%.









(1) Refer to "Non-GAAP Financial Measures" and "Operating Metrics" for definitions and additional detail.
(2) Refer to page 8 for a reconciliation of net income to FFO and FFO as Adjusted for the quarter ended September 30, 2021.
(3) Refer to page 9 for a reconciliation of net income to NOI and Same-Property NOI for the quarter ended September 30, 2021.
(4) Net debt as of September 30, 2021 is calculated as total consolidated debt of $1.6 billion less total cash and cash equivalents, including restricted cash, of $323 million.

2


Non-GAAP Financial Measures
The Company uses certain non-GAAP performance measures, in addition to the primary GAAP presentations, as we believe these measures improve the understanding of the Company's operational results. We continually evaluate the usefulness, relevance, limitations, and calculation of our reported non-GAAP performance measures to determine how best to provide relevant information to the investing public, and thus such reported measures are subject to change. The Company's non-GAAP performance measures have limitations as they do not include all items of income and expense that affect operations, and accordingly, should always be considered as supplemental financial results. Additionally, the Company's computation of non-GAAP metrics may not be comparable to similarly titled non-GAAP metrics reported by other REITs or real estate companies that define these metrics differently and, as a result, it is important to understand the manner in which the Company defines and calculates each of its non-GAAP metrics. The following non-GAAP measures are commonly used by the Company and investing public to understand and evaluate our operating results and performance:
FFO: The Company believes FFO is a useful, supplemental measure of its operating performance that is a recognized metric used extensively by the real estate industry and, in particular real estate investment trusts ("REITs"). FFO, as defined by the National Association of Real Estate Investment Trusts ("Nareit") and the Company, is net income (computed in accordance with GAAP), excluding gains (or losses) from sales of depreciable real estate and land when connected to the main business of a REIT, impairments on depreciable real estate or land related to a REIT's main business and rental property depreciation and amortization expense. The Company believes that financial analysts, investors and shareholders are better served by the presentation of comparable period operating results generated from FFO primarily because it excludes the assumption that the value of real estate assets diminishes predictably. FFO does not represent cash flows from operating activities in accordance with GAAP, should not be considered an alternative to net income as an indication of our performance, and is not indicative of cash flow as a measure of liquidity or our ability to make cash distributions.
FFO as Adjusted: The Company provides disclosure of FFO as Adjusted because it believes it is a useful supplemental measure of its core operating performance that facilitates comparability of historical financial periods. FFO as Adjusted is calculated by making certain adjustments to FFO to account for items the Company does not believe are representative of ongoing core operating results, including non-comparable revenues and expenses. The Company's method of calculating FFO as Adjusted may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs.
NOI: The Company uses NOI internally to make investment and capital allocation decisions and to compare the unlevered performance of our properties to that of our peers. The Company believes NOI is useful to investors as a performance measure because, when compared across periods, NOI reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis, providing perspective not immediately apparent from net income. The Company calculates NOI using net income as defined by GAAP reflecting only those income and expense items that are incurred at the property level, adjusted for non-cash rental income and expense, and income or expenses that we do not believe are representative of ongoing operating results, if any. In addition, the Company uses NOI margin, calculated as NOI divided by total revenue, which the Company believes is useful to investors for similar reasons. The Company has historically defined this metric as "Cash NOI." There have been no changes to the calculation of this metric. However, the Company has decided to refer to this metric as "NOI" instead of "Cash NOI" to further clarify that, consistent with the definition of this metric, the revenue and expenses reflected in this metric include some accrued amounts and are not limited to amounts for which the Company actually received or made cash payment during the applicable period.
Same-property NOI: The Company provides disclosure of NOI on a same-property basis, which includes the results of properties that were owned and operated for the entirety of the reporting periods being compared, which total 71 and 69 properties for the three and nine months ended September 30, 2021 and 2020, respectively. Information provided on a same-property basis excludes properties under development, redevelopment or that involve anchor repositioning where a substantial portion of the gross leasable area ("GLA") is taken out of service and also excludes properties acquired or sold during the periods being compared. As such, same-property NOI assists in eliminating disparities in net income due to the development, redevelopment, acquisition or disposition of properties during the periods presented, and thus provides a more consistent performance measure for the comparison of the operating performance of the Company's properties. While there is judgment surrounding changes in designations, a property is removed from the same-property pool when it is designated as a redevelopment property because it is undergoing significant renovation or retenanting pursuant to a formal plan that is expected to have a significant impact on its operating income. A development or redevelopment property is moved back to the same-property pool once a substantial portion of the NOI growth expected from the development or redevelopment is reflected in both the current and comparable prior year period, generally one year after at least 80% of the expected NOI from the project is realized on a cash basis. Acquisitions are moved into the same-property pool once we have owned the property for the entirety of the
3


comparable periods and the property is not under significant development or redevelopment. The Company has also provided disclosure of NOI on a same-property basis adjusted to include redevelopment properties. Same-property NOI may include other adjustments as detailed in the Reconciliation of Net Income to NOI and same-property NOI included in the tables accompanying this press release. The Company has historically defined this metric as "same-property Cash NOI." There have been no changes to the calculation of this metric. The Company has decided to refer to this metric as "same-property NOI" for the same reasons discussed above under "NOI," which we had historically defined as "Cash NOI."
EBITDAre and Adjusted EBITDAre: EBITDAre and Adjusted EBITDAre are supplemental, non-GAAP measures utilized by us in various financial ratios. The White Paper on EBITDAre, approved by Nareit's Board of Governors in September 2017, defines EBITDAre as net income (computed in accordance with GAAP), adjusted for interest expense, income tax (benefit) expense, depreciation and amortization, losses and gains on the disposition of depreciated property, impairment write-downs of depreciated property and investments in unconsolidated joint ventures, and adjustments to reflect the entity's share of EBITDAre of unconsolidated joint ventures. EBITDAre and Adjusted EBITDAre are presented to assist investors in the evaluation of REITs, as a measure of the Company's operational performance as they exclude various items that do not relate to or are not indicative of our operating performance and because they approximate key performance measures in our debt covenants. Accordingly, the Company believes that the use of EBITDAre and Adjusted EBITDAre, as opposed to income before income taxes, in various ratios provides meaningful performance measures related to the Company's ability to meet various coverage tests for the stated periods. Adjusted EBITDAre may include other adjustments not indicative of operating results as detailed in the Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre included in the tables accompanying this press release. The Company also presents the ratio of net debt (net of cash) to annualized Adjusted EBITDAre as of September 30, 2021, and net debt (net of cash) to total market capitalization, which it believes is useful to investors as a supplemental measure in evaluating the Company's balance sheet leverage. The presentation of EBITDAre and Adjusted EBITDAre is consistent with EBITDA and Adjusted EBITDA as presented in prior periods.
The Company believes net income is the most directly comparable GAAP financial measure to the non-GAAP performance measures outlined above. Reconciliations of these measures to net income have been provided in the tables accompanying this press release.

Operating Metrics

The Company presents certain operating metrics related to our properties, including occupancy, leasing activity and rental rates. Operating metrics are used by the Company and are useful to investors in facilitating an understanding of the operational performance for our properties.

Occupancy metrics represent the percentage of occupied gross leasable area based on executed leases (including properties in development and redevelopment) and include leases signed, but for which rent has not yet commenced. Same-property portfolio leased occupancy includes properties that have been owned and operated for the entirety of the reporting periods being compared, which total 71 and 69 properties for the three and nine months ended September 30, 2021 and 2020, respectively. Occupancy metrics presented for the Company's same-property portfolio excludes properties under development, redevelopment or that involve anchor repositioning where a substantial portion of the gross leasable area is taken out of service and also excludes properties acquired within the past 12 months or properties sold during the periods being compared.

Executed new leases, renewals and exercised options are presented on a same-space basis. Same-space leases represent those leases signed on spaces for which there was a previous lease.



4


ADDITIONAL INFORMATION
For a copy of the Company’s supplemental disclosure package, please access the "Investors" section of our website at www.uedge.com. Our website also includes other financial information, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and amendments to those reports.
ABOUT URBAN EDGE
Urban Edge Properties is a NYSE listed real estate investment trust focused on managing, acquiring, developing, and redeveloping retail real estate in urban communities, primarily in the New York metropolitan region. Urban Edge owns 75 properties totaling 16.4 million square feet of gross leasable area.
FORWARD-LOOKING STATEMENTS
Certain statements contained in this Press Release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of future performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. You can identify many of these statements by words such as “approximates,” “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “would,” “may” or other similar expressions in this Press Release. Many of the factors that will determine the outcome of forward-looking statements are beyond our ability to control or predict and include, among others: (i) the economic, political and social impact of, and uncertainty relating to, the COVID-19 pandemic, including its impact on our retail tenants and their ability to make rent and other payments or honor their commitments under existing leases; (ii) the loss or bankruptcy of major tenants; (iii) the ability and willingness of the Company’s tenants to renew their leases with the Company upon expiration, the Company’s ability to re-lease its properties on the same or better terms, or at all, in the event of non-renewal or in the event the Company exercises its right to replace an existing tenant; (iv) the impact of e-commerce on our tenants’ business; (v) macroeconomic conditions, such as a disruption of, or lack of access to the capital markets, as well as potential volatility in the Company’s share price; (vi) the Company’s success in implementing its business strategy and its ability to identify, underwrite, finance, consummate and integrate diversifying acquisitions and investments; (vii) changes in general economic conditions or economic conditions in the markets in which the Company competes, and their effect on the Company’s revenues, earnings and funding sources, and on those of its tenants; (viii) increases in the Company’s borrowing costs as a result of changes in interest rates and other factors, including the potential phasing out of LIBOR; (ix) the Company’s ability to pay down, refinance, restructure or extend its indebtedness as it becomes due and potential limitations on the Company’s ability to borrow funds under its existing credit facility as a result of covenants relating to the Company’s financial results; (x) potentially higher costs associated with the Company’s development, redevelopment and anchor repositioning projects, and the Company’s ability to lease the properties at projected rates; (xi) the Company’s liability for environmental matters; (xii) damage to the Company’s properties from catastrophic weather and other natural events, and the physical effects of climate change; (xiii) the Company’s ability and willingness to maintain its qualification as a REIT in light of economic, market, legal, tax and other considerations; (xiv) information technology security breaches; and (xv) the loss of key executives. For further discussion of factors that could materially affect the outcome of our forward-looking statements, see “Risk Factors” in Part I, Item 1A, of the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 and the other documents filed by the Company with the Securities and Exchange Commission.
For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date of this Press Release. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances occurring after the date of this Press Release.
5


URBAN EDGE PROPERTIES
CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share amounts) 
 September 30,December 31,
 20212020
ASSETS 
Real estate, at cost:
Land$557,890 $568,662 
Buildings and improvements2,364,061 2,326,450 
Construction in progress108,915 44,689 
Furniture, fixtures and equipment7,519 7,016 
Total3,038,385 2,946,817 
Accumulated depreciation and amortization(768,329)(730,366)
Real estate, net2,270,056 2,216,451 
Right-of-use assets75,654 80,997 
Cash and cash equivalents268,952 384,572 
Restricted cash53,840 34,681 
Tenant and other receivables
18,178 15,673 
Receivable arising from the straight-lining of rents
61,444 62,106 
Identified intangible assets, net of accumulated amortization of $37,582 and $37,009, respectively
50,719 56,184 
Deferred leasing costs, net of accumulated amortization of $16,915 and $16,419, respectively
17,413 18,585 
Prepaid expenses and other assets65,565 70,311 
Total assets$2,881,821 $2,939,560 
LIABILITIES AND EQUITY
Liabilities:
Mortgages payable, net$1,573,702 $1,587,532 
Lease liabilities70,071 74,972 
Accounts payable, accrued expenses and other liabilities94,514 132,980 
Identified intangible liabilities, net of accumulated amortization of $83,596 and $71,375, respectively
128,479 148,183 
Total liabilities1,866,766 1,943,667 
Commitments and contingencies
Shareholders’ equity:
Common shares: $0.01 par value; 500,000,000 shares authorized and 117,137,788 and 117,014,317 shares issued and outstanding, respectively
1,170 1,169 
Additional paid-in capital997,085 989,863 
Accumulated deficit(31,968)(39,467)
Noncontrolling interests:
Operating partnership40,006 38,456 
Consolidated subsidiaries8,762 5,872 
Total equity1,015,055 995,893 
Total liabilities and equity$2,881,821 $2,939,560 
6


URBAN EDGE PROPERTIES
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except share and per share amounts)
Three Months Ended September 30,Nine Months Ended September 30,
 2021202020212020
REVENUE
Rental revenue$105,985 $75,359 $294,257 $241,624 
Management and development fees280 404 911 1,003 
Other income574 75 1,338 190 
Total revenue106,839 75,838 296,506 242,817 
EXPENSES
Depreciation and amortization23,171 22,888 68,534 69,658 
Real estate taxes15,862 14,916 47,826 44,778 
Property operating15,692 13,436 51,874 39,867 
General and administrative10,134 8,700 28,286 36,600 
Casualty and impairment loss372 — 372 — 
Lease expense3,164 3,415 9,665 10,200 
Total expenses68,395 63,355 206,557 201,103 
Gain on sale of real estate6,926 — 18,648 39,775 
Interest income77 282 303 2,387 
Interest and debt expense(14,638)(18,136)(44,193)(53,884)
Gain on extinguishment of debt— — — 34,908 
Income (loss) before income taxes30,809 (5,371)64,707 64,900 
Income tax benefit (expense)(704)(459)(905)13,103 
Net income (loss)30,105 (5,830)63,802 78,003 
Less net (income) loss attributable to noncontrolling interests in:
Operating partnership(1,149)225 (2,608)(3,373)
Consolidated subsidiaries(1,190)— (961)— 
Net income (loss) attributable to common shareholders$27,766 $(5,605)$60,233 $74,630 
Earnings (loss) per common share - Basic:$0.24 $(0.05)$0.51 $0.63 
Earnings (loss) per common share - Diluted:$0.24 $(0.05)$0.51 $0.63 
Weighted average shares outstanding - Basic117,087 116,625 117,009 118,033 
Weighted average shares outstanding - Diluted117,137 116,625 122,212 118,111 

7


Reconciliation of Net Income (Loss) to FFO and FFO as Adjusted

The following table reflects the reconciliation of net income to FFO and FFO as Adjusted for the three and nine months ended September 30, 2021 and 2020, respectively. Net income is considered the most directly comparable GAAP measure. Refer to "Non-GAAP Financial Measures" on page 3 for a description of FFO and FFO as Adjusted.

Three Months Ended September 30,Nine Months Ended September 30,
(Amounts in thousands)2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Less net (income) loss attributable to noncontrolling interests in:
Operating partnership(1,149)225 (2,608)(3,373)
Consolidated subsidiaries(1,190)— (961)— 
Net income (loss) attributable to common shareholders27,766 (5,605)60,233 74,630 
Adjustments:
Rental property depreciation and amortization22,941 22,710 67,898 69,102 
Gain on sale of real estate(6,926)— (18,648)(39,775)
Limited partnership interests in operating partnership1,149 (225)2,608 3,373 
Real estate impairment loss372 — 372 — 
FFO Applicable to diluted common shareholders45,302 16,880 112,463 107,330 
FFO per diluted common share(1)
0.37 0.14 0.92 0.87 
Adjustments to FFO:
Impact of lease terminations(2)
(11,078)— (11,078)— 
(Reinstatement)/write-off of receivables arising from the straight-lining of rents, net(716)4,656 (82)10,704 
Tenant bankruptcy settlement income(464)— (752)— 
Transaction, severance and other expenses526 77 271 1,368 
Tax impact of Puerto Rico transactions37 1,205 (453)(12,161)
Gain on extinguishment of debt— — — (34,908)
Executive transition costs— — — 7,152 
FFO as Adjusted applicable to diluted common shareholders$33,607 $22,818 $100,369 $79,485 
FFO as Adjusted per diluted common share(1)
$0.28 $0.19 $0.82 $0.65 
Weighted Average diluted common shares(1)
121,987 121,378 122,212 123,174 
(1) Weighted average diluted shares used to calculate FFO per share and FFO as Adjusted per share for the three months ended September 30, 2021 and 2020 and the nine months ended September 30, 2020 are higher than the GAAP weighted average diluted shares as a result of the dilutive impact of LTIP and OP units which may be redeemed for our common shares.
(2) During the third quarter, net income includes $12.5 million of accelerated amortization of below-market lease intangibles resulting from the termination of our leases with Kmart and Sears. The $11.1 million adjustment to FFO in calculating FFO as Adjusted is net of the $1.4 million attributable to the noncontrolling interest in Sunrise Mall.



8


Reconciliation of Net Income (Loss) to NOI and Same-Property NOI

The following table reflects the reconciliation of net income to NOI, same-property NOI and same-property NOI including properties in redevelopment for the three and nine months ended September 30, 2021 and 2020, respectively. Net income is considered the most directly comparable GAAP measure. Refer to "Non-GAAP Financial Measures" on page 3 for a description of NOI and same-property NOI.

Three Months Ended September 30,Nine Months Ended September 30,
(Amounts in thousands)2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Management and development fee income from non-owned properties(280)(404)(911)(1,003)
Other expense205 257 387 713 
Depreciation and amortization23,171 22,888 68,534 69,658 
General and administrative expense10,134 8,700 28,286 36,600 
Gain on sale of real estate(6,926)— (18,648)(39,775)
Interest income(77)(282)(303)(2,387)
Interest and debt expense14,638 18,136 44,193 53,884 
Gain on extinguishment of debt— — — (34,908)
Income tax expense (benefit)704 459 905 (13,103)
Real estate impairment loss372 — 372 — 
Non-cash revenue and expenses(15,237)2,095 (18,992)3,338 
NOI(1)
56,809 46,019 167,625 151,020 
Adjustments:
Non-same property NOI and other(2)
(600)(1,828)(6,406)(10,205)
Tenant bankruptcy settlement income and lease termination income(533)(251)(1,294)(758)
Same-property NOI$55,676 $43,940 $159,925 $140,057 
NOI related to properties being redeveloped1,019 931 2,778 3,271 
Same-property NOI including properties in redevelopment$56,695 $44,871 $162,703 $143,328 
(1) The Company has historically defined this metric as “Cash NOI.” There have been no changes to the calculation.
(2) Non-same property NOI includes NOI related to properties being redeveloped and properties acquired or disposed in the period. Amounts for 2021 include Sunrise Mall which generated a net loss for the three and nine months ended September 30, 2021, respectively.






9


Reconciliation of Net Income (Loss) to EBITDAre and Adjusted EBITDAre

The following table reflects the reconciliation of net income to EBITDAre and Adjusted EBITDAre for the three and nine months ended September 30, 2021 and 2020, respectively. Net income is considered the most directly comparable GAAP measure. Refer to "Non-GAAP Financial Measures" on page 3 for a description of EBITDAre and Adjusted EBITDAre.
Three Months Ended September 30,Nine Months Ended September 30,
(Amounts in thousands)2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Depreciation and amortization23,171 22,888 68,534 69,658 
Interest and debt expense14,638 18,136 44,193 53,884 
Income tax expense (benefit)704 459 905 (13,103)
Gain on sale of real estate(6,926)— (18,648)(39,775)
Real estate impairment loss372 — 372 — 
EBITDAre62,064 35,653 159,158 148,667 
Adjustments for Adjusted EBITDAre:
Impact of lease terminations(1)
(12,481)— (12,481)— 
(Reinstatement)/write-off of receivables arising from the straight-lining of rents, net(716)4,656 (82)10,704 
Tenant bankruptcy settlement income(464)— (752)— 
Transaction, severance and other expenses526 77 271 1,368 
Gain on extinguishment of debt— — — (34,908)
Executive transition costs— — — 7,152 
Adjusted EBITDAre$48,929 $40,386 $146,114 $132,983 
(1) Amount reflects accelerated amortization of $12.5 million of below-market intangible liabilities (classified within property rental revenues in the consolidated statements of income).
10
EX-99.2 3 exhibit992-supplementaldis.htm EX-99.2 Document

Exhibit 99.2




URBAN EDGE PROPERTIES
SUPPLEMENTAL DISCLOSURE
PACKAGE
September 30, 2021



image3b65.jpg




Urban Edge Properties
888 7th Avenue, New York, NY 10019
NY Office: 212-956-2556
www.uedge.com







URBAN EDGE PROPERTIES
SUPPLEMENTAL DISCLOSURE
September 30, 2021
(unaudited)
TABLE OF CONTENTS
Page
Press Release
Third Quarter 2021 Earnings Press Release1
Overview
Summary Financial Results and Ratios10
Consolidated Financial Statements
Consolidated Balance Sheets11
Consolidated Statements of Income12
Non-GAAP Financial Measures and Supplemental Data
Supplemental Schedule of Net Operating Income13
Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (EBITDAre)14
Funds from Operations15
Market Capitalization, Debt Ratios and Liquidity16
Additional Disclosures17
Leasing Data
Tenant Concentration - Top Twenty-Five Tenants18
Leasing Activity19
Retail Portfolio Lease Expiration Schedules20
Property Data
Property Status Report22
Property Acquisitions and Dispositions25
Development, Redevelopment and Anchor Repositioning Projects26
Debt Schedules
Debt Summary28
Mortgage Debt Summary29
Debt Maturity Schedule30
COVID-19 Disclosure31








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Urban Edge PropertiesFor additional information:
888 Seventh AvenueMark Langer, EVP and
New York, NY 10019Chief Financial Officer
212-956-2556
FOR IMMEDIATE RELEASE:
Urban Edge Properties Reports Third Quarter 2021 Results
        
NEW YORK, NY, November 3, 2021 - Urban Edge Properties (NYSE: UE) (the "Company") today announced its results for the quarter ended September 30, 2021.
“Urban Edge had a great third quarter reflecting strong execution across all departments," said Jeff Olson, Chairman and CEO. "Our occupancy growth came from both new anchor tenants and record shop leasing activity while our external growth opportunities are more visible based on our increasing acquisition pipeline.”

Financial Results(1)(2)
Generated net income attributable to common shareholders of $27.8 million, or $0.24 per diluted share, for the third quarter of 2021 compared to a net loss of $5.6 million, or $(0.05) per diluted share, for the third quarter of 2020 and $60.2 million, or $0.51 per diluted share, for the nine months ended September 30, 2021 compared to $74.6 million, or $0.63 per diluted share, for the nine months ended September 30, 2020.
Generated Funds from Operations applicable to diluted common shareholders ("FFO") of $45.3 million, or $0.37 per share, for the quarter compared to $16.9 million, or $0.14 per share, for the third quarter of 2020 and $112.5 million, or $0.92 per share, for the nine months ended September 30, 2021 compared to $107.3 million, or $0.87 per share, for the nine months ended September 30, 2020.
Generated FFO as Adjusted of $33.6 million, or $0.28 per share, for the quarter compared to $22.8 million, or $0.19 per share, for the third quarter of 2020 and $100.4 million, or $0.82 per share, for the nine months ended September 30, 2021 compared to $79.5 million, or $0.65 per share, for the nine months ended September 30, 2020.
Operating Results(1)(3)
Increased same-property Net Operating Income ("NOI"), including properties in redevelopment by 26.4% compared to the third quarter of 2020. The increase was driven by $11.4 million lower rental revenue deemed uncollectible.
Increased same-property NOI, excluding properties in redevelopment by 26.7% compared to the third quarter of 2020. The increase was driven by $11.4 million lower rental revenue deemed uncollectible.
Reported same-property portfolio leased occupancy of 92.8%, an increase of 80 basis points compared to June 30, 2021.
Reported consolidated portfolio leased occupancy of 90.7%, an increase of 90 basis points compared to June 30, 2021.
Executed 46 new leases, renewals and options totaling 448,000 sf during the quarter. Same-space leases totaled 436,000 sf and generated average rent spreads of 17.3% on a GAAP basis and 9.7% on a cash basis.
Collected 98% of third quarter base rents as of October 29, 2021.






1



Balance Sheet and Liquidity(1)(4)
Balance sheet highlights as of September 30, 2021 include:
Total liquidity of approximately $1 billion, comprised of $323 million of cash on hand and $600 million available under our revolving credit agreement.
Weighted average term to maturity of 4.7 years with no debt maturing in 2021 and only $81 million of debt maturing in 2022.
Total market capitalization of approximately $3.8 billion, comprised of 122.0 million fully-diluted common shares valued at $2.2 billion and $1.6 billion of debt.
Net debt to total market capitalization of 33%.
Net debt to Adjusted Earnings before interest, tax, depreciation and amortization for real estate ("EBITDAre") of 6.4x.

Leasing, Development and Redevelopment
The Company commenced $18.3 million of redevelopment projects during the third quarter in connection with the following lease executions:
National tenant at Hudson Mall
Wren Kitchen at Wilkes-Barre Commons
Five Below at Shops at Bruckner

The Company has $152.4 million of active redevelopment projects under way, of which $91.1 million remains to be funded. These projects are expected to generate an approximate 8% unleveraged yield.

On September 29, 2021, the Company reached an agreement to terminate its remaining three leases with Kmart and Sears at Bruckner Commons, Sunrise Mall and The Outlets at Montehiedra for $20 million, effective October 15, 2021. Controlling these anchor spaces is a critical aspect of the value creation plans the Company has under way to reposition these spaces with uses that appeal to the respective communities where the properties are located.

The Company has signed leases that have not yet rent commenced that will generate an additional $16 million of future annual gross rent, representing approximately 7% of current NOI. Approximately $13 million of this amount pertains to leases included in Active Redevelopment Projects.
Acquisition and Disposition Activity
In August, the Company acquired two industrial warehouses aggregating 275,000 sf, for a total purchase price of $55.5 million. The two properties, located at 601 Murray Road and 151 Ridgedale Avenue, are adjacent to our existing 943,000 sf warehouse park in East Hanover, NJ.

During the quarter, the Company sold its property in Westfield, NJ, for $5.5 million, generating proceeds of $0.8 million, net of the repayment of the $4.7 million loan secured by the property. The Company also disposed of its property in Turnersville, NJ for a sales price of $11.8 million. The proceeds from the sale of this property will be utilized to satisfy the reverse 1031 exchange set up in connection with the acquisition of 151 Ridgedale Avenue, allowing for the deferral of capital gains from the sale.

The weighted average capitalization rate on properties sold during the quarter is approximately 6%.














(1) Refer to "Non-GAAP Financial Measures" and "Operating Metrics" for definitions and additional detail.
(2) Refer to page 5 for a reconciliation of net income to FFO and FFO as Adjusted for the quarter ended September 30, 2021.
(3) Refer to page 6 for a reconciliation of net income to NOI and Same-Property NOI for the quarter ended September 30, 2021.
(4) Net debt as of September 30, 2021 is calculated as total consolidated debt of $1.6 billion less total cash and cash equivalents, including restricted cash, of $323 million.

2


Non-GAAP Financial Measures
The Company uses certain non-GAAP performance measures, in addition to the primary GAAP presentations, as we believe these measures improve the understanding of the Company's operational results. We continually evaluate the usefulness, relevance, limitations, and calculation of our reported non-GAAP performance measures to determine how best to provide relevant information to the investing public, and thus such reported measures are subject to change. The Company's non-GAAP performance measures have limitations as they do not include all items of income and expense that affect operations, and accordingly, should always be considered as supplemental financial results. Additionally, the Company's computation of non-GAAP metrics may not be comparable to similarly titled non-GAAP metrics reported by other REITs or real estate companies that define these metrics differently and, as a result, it is important to understand the manner in which the Company defines and calculates each of its non-GAAP metrics. The following non-GAAP measures are commonly used by the Company and investing public to understand and evaluate our operating results and performance:
FFO: The Company believes FFO is a useful, supplemental measure of its operating performance that is a recognized metric used extensively by the real estate industry and, in particular real estate investment trusts ("REITs"). FFO, as defined by the National Association of Real Estate Investment Trusts ("Nareit") and the Company, is net income (computed in accordance with GAAP), excluding gains (or losses) from sales of depreciable real estate and land when connected to the main business of a REIT, impairments on depreciable real estate or land related to a REIT's main business and rental property depreciation and amortization expense. The Company believes that financial analysts, investors and shareholders are better served by the presentation of comparable period operating results generated from FFO primarily because it excludes the assumption that the value of real estate assets diminishes predictably. FFO does not represent cash flows from operating activities in accordance with GAAP, should not be considered an alternative to net income as an indication of our performance, and is not indicative of cash flow as a measure of liquidity or our ability to make cash distributions.
FFO as Adjusted: The Company provides disclosure of FFO as Adjusted because it believes it is a useful supplemental measure of its core operating performance that facilitates comparability of historical financial periods. FFO as Adjusted is calculated by making certain adjustments to FFO to account for items the Company does not believe are representative of ongoing core operating results, including non-comparable revenues and expenses. The Company's method of calculating FFO as Adjusted may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs.
NOI: The Company uses NOI internally to make investment and capital allocation decisions and to compare the unlevered performance of our properties to that of our peers. The Company believes NOI is useful to investors as a performance measure because, when compared across periods, NOI reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis, providing perspective not immediately apparent from net income. The Company calculates NOI using net income as defined by GAAP reflecting only those income and expense items that are incurred at the property level, adjusted for non-cash rental income and expense, and income or expenses that we do not believe are representative of ongoing operating results, if any. In addition, the Company uses NOI margin, calculated as NOI divided by total revenue, which the Company believes is useful to investors for similar reasons. The Company has historically defined this metric as "Cash NOI." There have been no changes to the calculation of this metric. However, the Company has decided to refer to this metric as "NOI" instead of "Cash NOI" to further clarify that, consistent with the definition of this metric, the revenue and expenses reflected in this metric include some accrued amounts and are not limited to amounts for which the Company actually received or made cash payment during the applicable period.
Same-property NOI: The Company provides disclosure of NOI on a same-property basis, which includes the results of properties that were owned and operated for the entirety of the reporting periods being compared, which total 71 and 69 properties for the three and nine months ended September 30, 2021 and 2020, respectively. Information provided on a same-property basis excludes properties under development, redevelopment or that involve anchor repositioning where a substantial portion of the gross leasable area ("GLA") is taken out of service and also excludes properties acquired or sold during the periods being compared. As such, same-property NOI assists in eliminating disparities in net income due to the development, redevelopment, acquisition or disposition of properties during the periods presented, and thus provides a more consistent performance measure for the comparison of the operating performance of the Company's properties. While there is judgment surrounding changes in designations, a property is removed from the same-property pool when it is designated as a redevelopment property because it is undergoing significant renovation or retenanting pursuant to a formal plan that is expected to have a significant impact on its operating income. A development or redevelopment property is moved back to the same-property pool once a substantial portion of the NOI growth expected from the development or redevelopment is reflected in both the current and comparable prior year period, generally one year after at least 80% of the expected NOI from the project is realized on a cash basis. Acquisitions are moved into the same-property pool once we have owned the property for the entirety of the
3


comparable periods and the property is not under significant development or redevelopment. The Company has also provided disclosure of NOI on a same-property basis adjusted to include redevelopment properties. Same-property NOI may include other adjustments as detailed in the Reconciliation of Net Income to NOI and same-property NOI included in the tables accompanying this press release. The Company has historically defined this metric as "same-property Cash NOI." There have been no changes to the calculation of this metric. The Company has decided to refer to this metric as "same-property NOI" for the same reasons discussed above under "NOI," which we had historically defined as "Cash NOI."
EBITDAre and Adjusted EBITDAre: EBITDAre and Adjusted EBITDAre are supplemental, non-GAAP measures utilized by us in various financial ratios. The White Paper on EBITDAre, approved by Nareit's Board of Governors in September 2017, defines EBITDAre as net income (computed in accordance with GAAP), adjusted for interest expense, income tax (benefit) expense, depreciation and amortization, losses and gains on the disposition of depreciated property, impairment write-downs of depreciated property and investments in unconsolidated joint ventures, and adjustments to reflect the entity's share of EBITDAre of unconsolidated joint ventures. EBITDAre and Adjusted EBITDAre are presented to assist investors in the evaluation of REITs, as a measure of the Company's operational performance as they exclude various items that do not relate to or are not indicative of our operating performance and because they approximate key performance measures in our debt covenants. Accordingly, the Company believes that the use of EBITDAre and Adjusted EBITDAre, as opposed to income before income taxes, in various ratios provides meaningful performance measures related to the Company's ability to meet various coverage tests for the stated periods. Adjusted EBITDAre may include other adjustments not indicative of operating results as detailed in the Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre included in the tables accompanying this press release. The Company also presents the ratio of net debt (net of cash) to annualized Adjusted EBITDAre as of September 30, 2021, and net debt (net of cash) to total market capitalization, which it believes is useful to investors as a supplemental measure in evaluating the Company's balance sheet leverage. The presentation of EBITDAre and Adjusted EBITDAre is consistent with EBITDA and Adjusted EBITDA as presented in prior periods.
The Company believes net income is the most directly comparable GAAP financial measure to the non-GAAP performance measures outlined above. Reconciliations of these measures to net income have been provided in the tables accompanying this press release.

Operating Metrics

The Company presents certain operating metrics related to our properties, including occupancy, leasing activity and rental rates. Operating metrics are used by the Company and are useful to investors in facilitating an understanding of the operational performance for our properties.

Occupancy metrics represent the percentage of occupied gross leasable area based on executed leases (including properties in development and redevelopment) and include leases signed, but for which rent has not yet commenced. Same-property portfolio leased occupancy includes properties that have been owned and operated for the entirety of the reporting periods being compared, which total 71 and 69 properties for the three and nine months ended September 30, 2021 and 2020, respectively. Occupancy metrics presented for the Company's same-property portfolio excludes properties under development, redevelopment or that involve anchor repositioning where a substantial portion of the gross leasable area is taken out of service and also excludes properties acquired within the past 12 months or properties sold during the periods being compared.

Executed new leases, renewals and exercised options are presented on a same-space basis. Same-space leases represent those leases signed on spaces for which there was a previous lease.




4


Reconciliation of Net Income (Loss) to FFO and FFO as Adjusted

The following table reflects the reconciliation of net income to FFO and FFO as Adjusted for the three and nine months ended September 30, 2021 and 2020, respectively. Net income is considered the most directly comparable GAAP measure. Refer to "Non-GAAP Financial Measures" on page 3 for a description of FFO and FFO as Adjusted.
Three Months Ended September 30,Nine Months Ended September 30,
(Amounts in thousands)2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Less net (income) loss attributable to noncontrolling interests in:
Operating partnership(1,149)225 (2,608)(3,373)
Consolidated subsidiaries(1,190)— (961)— 
Net income (loss) attributable to common shareholders27,766 (5,605)60,233 74,630 
Adjustments:
Rental property depreciation and amortization22,941 22,710 67,898 69,102 
Gain on sale of real estate(6,926)— (18,648)(39,775)
Limited partnership interests in operating partnership1,149 (225)2,608 3,373 
Real estate impairment loss372 — 372 — 
FFO Applicable to diluted common shareholders45,302 16,880 112,463 107,330 
FFO per diluted common share(1)
0.37 0.14 0.92 0.87 
Adjustments to FFO:
Impact of lease terminations(2)
(11,078)— (11,078)— 
(Reinstatement)/write-off of receivables arising from the straight-lining of rents, net(716)4,656 (82)10,704 
Tenant bankruptcy settlement income(464)— (752)— 
Transaction, severance and other expenses526 77 271 1,368 
Tax impact of Puerto Rico transactions37 1,205 (453)(12,161)
Gain on extinguishment of debt— — — (34,908)
Executive transition costs— — — 7,152 
FFO as Adjusted applicable to diluted common shareholders$33,607 $22,818 $100,369 $79,485 
FFO as Adjusted per diluted common share(1)
$0.28 $0.19 $0.82 $0.65 
Weighted Average diluted common shares(1)
121,987 121,378 122,212 123,174 
(1) Weighted average diluted shares used to calculate FFO per share and FFO as Adjusted per share for the three months ended September 30, 2021 and 2020 and the nine months ended September 30, 2020 are higher than the GAAP weighted average diluted shares as a result of the dilutive impact of LTIP and OP units which may be redeemed for our common shares.
(2) During the third quarter, net income includes $12.5 million of accelerated amortization of below-market lease intangibles resulting from the termination of our leases with Kmart and Sears. The $11.1 million adjustment to FFO in calculating FFO as Adjusted is net of the $1.4 million attributable to the noncontrolling interest in Sunrise Mall.

5


Reconciliation of Net Income (Loss) to NOI and Same-Property NOI

The following table reflects the reconciliation of net income to NOI, same-property NOI and same-property NOI including properties in redevelopment for the three and nine months ended September 30, 2021 and 2020, respectively. Net income is considered the most directly comparable GAAP measure. Refer to "Non-GAAP Financial Measures" on page 3 for a description of NOI and same-property NOI.
Three Months Ended September 30,Nine Months Ended September 30,
(Amounts in thousands)2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Management and development fee income from non-owned properties(280)(404)(911)(1,003)
Other expense205 257 387 713 
Depreciation and amortization23,171 22,888 68,534 69,658 
General and administrative expense10,134 8,700 28,286 36,600 
Gain on sale of real estate(6,926)— (18,648)(39,775)
Interest income(77)(282)(303)(2,387)
Interest and debt expense14,638 18,136 44,193 53,884 
Gain on extinguishment of debt— — — (34,908)
Income tax expense (benefit)704 459 905 (13,103)
Real estate impairment loss372 — 372 — 
Non-cash revenue and expenses(15,237)2,095 (18,992)3,338 
NOI(1)
56,809 46,019 167,625 151,020 
Adjustments:
Non-same property NOI and other(2)
(600)(1,828)(6,406)(10,205)
Tenant bankruptcy settlement income and lease termination income(533)(251)(1,294)(758)
Same-property NOI$55,676 $43,940 $159,925 $140,057 
NOI related to properties being redeveloped1,019 931 2,778 3,271 
Same-property NOI including properties in redevelopment$56,695 $44,871 $162,703 $143,328 
(1) The Company has historically defined this metric as “Cash NOI.” There have been no changes to the calculation.
(2) Non-same property NOI includes NOI related to properties being redeveloped and properties acquired or disposed in the period. Amounts for 2021 include Sunrise Mall which generated a net loss for the three and nine months ended September 30, 2021, respectively.


6


Reconciliation of Net Income (Loss) to EBITDAre and Adjusted EBITDAre

The following table reflects the reconciliation of net income to EBITDAre and Adjusted EBITDAre for the three and nine months ended September 30, 2021 and 2020, respectively. Net income is considered the most directly comparable GAAP measure. Refer to "Non-GAAP Financial Measures" on page 3 for a description of EBITDAre and Adjusted EBITDAre.
Three Months Ended September 30,Nine Months Ended September 30,
(Amounts in thousands)2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Depreciation and amortization23,171 22,888 68,534 69,658 
Interest and debt expense14,638 18,136 44,193 53,884 
Income tax expense (benefit)704 459 905 (13,103)
Gain on sale of real estate(6,926)— (18,648)(39,775)
Real estate impairment loss372 — 372 — 
EBITDAre62,064 35,653 159,158 148,667 
Adjustments for Adjusted EBITDAre:
Impact of lease terminations(1)
(12,481)— (12,481)— 
(Reinstatement)/write-off of receivables arising from the straight-lining of rents, net(716)4,656 (82)10,704 
Tenant bankruptcy settlement income(464)— (752)— 
Transaction, severance and other expenses526 77 271 1,368 
Gain on extinguishment of debt— — — (34,908)
Executive transition costs— — — 7,152 
Adjusted EBITDAre$48,929 $40,386 $146,114 $132,983 
(1) Amount reflects accelerated amortization of $12.5 million of below-market intangible liabilities (classified within property rental revenues in the consolidated statements of income).
7


ADDITIONAL INFORMATION
For a copy of the Company’s supplemental disclosure package, please access the "Investors" section of our website at www.uedge.com. Our website also includes other financial information, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and amendments to those reports.
ABOUT URBAN EDGE
Urban Edge Properties is a NYSE listed real estate investment trust focused on managing, acquiring, developing, and redeveloping retail real estate in urban communities, primarily in the New York metropolitan region. Urban Edge owns 75 properties totaling 16.4 million square feet of gross leasable area.
FORWARD-LOOKING STATEMENTS
Certain statements contained in this Press Release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of future performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. You can identify many of these statements by words such as “approximates,” “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “would,” “may” or other similar expressions in this Press Release. Many of the factors that will determine the outcome of forward-looking statements are beyond our ability to control or predict and include, among others: (i) the economic, political and social impact of, and uncertainty relating to, the COVID-19 pandemic, including its impact on our retail tenants and their ability to make rent and other payments or honor their commitments under existing leases; (ii) the loss or bankruptcy of major tenants; (iii) the ability and willingness of the Company’s tenants to renew their leases with the Company upon expiration, the Company’s ability to re-lease its properties on the same or better terms, or at all, in the event of non-renewal or in the event the Company exercises its right to replace an existing tenant; (iv) the impact of e-commerce on our tenants’ business; (v) macroeconomic conditions, such as a disruption of, or lack of access to the capital markets, as well as potential volatility in the Company’s share price; (vi) the Company’s success in implementing its business strategy and its ability to identify, underwrite, finance, consummate and integrate diversifying acquisitions and investments; (vii) changes in general economic conditions or economic conditions in the markets in which the Company competes, and their effect on the Company’s revenues, earnings and funding sources, and on those of its tenants; (viii) increases in the Company’s borrowing costs as a result of changes in interest rates and other factors, including the potential phasing out of LIBOR; (ix) the Company’s ability to pay down, refinance, restructure or extend its indebtedness as it becomes due and potential limitations on the Company’s ability to borrow funds under its existing credit facility as a result of covenants relating to the Company’s financial results; (x) potentially higher costs associated with the Company’s development, redevelopment and anchor repositioning projects, and the Company’s ability to lease the properties at projected rates; (xi) the Company’s liability for environmental matters; (xii) damage to the Company’s properties from catastrophic weather and other natural events, and the physical effects of climate change; (xiii) the Company’s ability and willingness to maintain its qualification as a REIT in light of economic, market, legal, tax and other considerations; (xiv) information technology security breaches; and (xv) the loss of key executives. For further discussion of factors that could materially affect the outcome of our forward-looking statements, see “Risk Factors” in Part I, Item 1A, of the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 and the other documents filed by the Company with the Securities and Exchange Commission.
For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date of this Press Release. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances occurring after the date of this Press Release.
8


URBAN EDGE PROPERTIES
ADDITIONAL DISCLOSURES
As of September 30, 2021

Basis of Presentation
The information contained in the Supplemental Disclosure Package does not purport to disclose all items required by GAAP and is unaudited information. This Supplemental Disclosure Package should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 31, 2020 and the Quarterly Report on Form 10-Q for the quarter ended September 30, 2021. The results of operations of any property acquired are included in the Company's financial statements since the date of acquisition, although such properties may be excluded from certain metrics disclosed in this Supplemental Disclosure Package.
Non-GAAP Financial Measures and Forward-Looking Statements
For additional information regarding non-GAAP financial measures and forward-looking statements, please see pages 3 and 8 of this Supplemental Disclosure Package.



9



URBAN EDGE PROPERTIES
SUMMARY FINANCIAL RESULTS AND RATIOS
For the three and nine months ended September 30, 2021 (unaudited)
(in thousands, except per share, sf, rent psf and financial ratio data)

Three months endedNine months ended
Summary Financial ResultsSeptember 30, 2021September 30, 2021
Total revenue$106,839 $296,506 
General & administrative expenses (G&A)$10,134 $28,286 
Net income attributable to common shareholders$27,766 $60,233 
Earnings per diluted share$0.24 $0.51 
Adjusted EBITDAre(7)
$48,929 $146,114 
Funds from operations (FFO)$45,302 $112,463 
FFO per diluted common share$0.37 $0.92 
FFO as Adjusted$33,607 $100,369 
FFO as Adjusted per diluted common share$0.28 $0.82 
Total dividends declared per share$0.15 $0.45 
Stock closing price low-high range (NYSE)$17.71 to $19.58$12.61 to $20.27
Weighted average diluted shares used in EPS computations(1)
117,137 122,212 
Weighted average diluted common shares used in FFO computations(1)
121,987 122,212 
Summary Property, Operating and Financial Data
# of Total properties / # of Retail properties75 / 73
Gross leasable area (GLA) sf - retail portfolio(3)(5)
15,019,000 
Weighted average annual rent psf - retail portfolio(3)(5)
$18.85 
Consolidated portfolio leased occupancy at end of period90.7 %
Consolidated retail portfolio leased occupancy at end of period(5)
89.8 %
Same-property portfolio leased occupancy at end of period(2)
92.8 %
Same-property physical occupancy at end of period(4)(2)
89.4 %
Same-property NOI growth(2)
26.7 %14.2 %
Same-property NOI growth, including redevelopment properties26.4 %13.5 %
NOI margin - total portfolio62.3 %60.8 %
Expense recovery ratio - total portfolio83.0 %84.5 %
New, renewal and option rent spread - cash basis(8)
9.7 %4.7 %
New, renewal and option rent spread - GAAP basis(8)
17.3 %11.2 %
Net debt to total market capitalization(6)
33.0 %33.0 %
Net debt to Adjusted EBITDAre(6)
6.4 x6.5 x
Adjusted EBITDAre to interest expense(7)
3.5 x3.5 x
Adjusted EBITDAre to fixed charges(7)
2.8 x2.8 x
(1) Weighted average diluted shares used to calculate FFO per share and FFO as Adjusted per share for the three months ended September 30, 2021 are higher than the GAAP weighted average diluted shares as a result of the dilutive impact of LTIP and OP units which may be redeemed for our common shares.
(2) The same-property pool for both NOI and occupancy includes properties the Company consolidated, owned and operated for the entirety of both periods being compared and excludes properties under development, redevelopment or that involve anchor repositioning where a substantial portion of the GLA is taken out of service and also excludes properties acquired or sold during the periods being compared.
(3) GLA - retail portfolio excludes 1.3 million square feet of industrial properties and 132,000 square feet of self-storage. The weighted average annual rent per square foot for our industrial portfolio was $6.01.
(4) Physical occupancy includes tenants that have access to their leased space and includes dark and paying tenants.
(5) Our retail portfolio includes shopping centers and malls and excludes industrial and self-storage.
(6) See computation for the quarter ended September 30, 2021 on page 16. Adjusted EBITDAre is annualized for purposes of calculating net debt to Adjusted EBITDAre.
(7) See computation on page 14.
(8) See computation on page 19.


10



URBAN EDGE PROPERTIES
CONSOLIDATED BALANCE SHEETS
As of September 30, 2021 (unaudited) and December 31, 2020
(in thousands, except share and per share amounts)

 September 30,December 31,
 20212020
ASSETS 
Real estate, at cost:  
Land$557,890 $568,662 
Buildings and improvements2,364,061 2,326,450 
Construction in progress108,915 44,689 
Furniture, fixtures and equipment7,519 7,016 
Total3,038,385 2,946,817 
Accumulated depreciation and amortization(768,329)(730,366)
Real estate, net2,270,056 2,216,451 
Right-of-use assets75,654 80,997 
Cash and cash equivalents268,952 384,572 
Restricted cash53,840 34,681 
Tenant and other receivables18,178 15,673 
Receivable arising from the straight-lining of rents61,444 62,106 
Identified intangible assets, net of accumulated amortization of $37,582 and $37,009, respectively
50,719 56,184 
Deferred leasing costs, net of accumulated amortization of $16,915 and $16,419, respectively
17,413 18,585 
Prepaid expenses and other assets65,565 70,311 
Total assets$2,881,821 $2,939,560 
LIABILITIES AND EQUITY  
Liabilities:
Mortgages payable, net $1,573,702 $1,587,532 
Lease liabilities70,071 74,972 
Accounts payable, accrued expenses and other liabilities94,514 132,980 
Identified intangible liabilities, net of accumulated amortization of $83,596 and $71,375, respectively
128,479 148,183 
Total liabilities1,866,766 1,943,667 
Commitments and contingencies
Shareholders’ equity:
Common shares: $0.01 par value; 500,000,000 shares authorized and 117,137,788 and 117,014,317 shares issued and outstanding, respectively
1,170 1,169 
Additional paid-in capital 997,085 989,863 
Accumulated deficit(31,968)(39,467)
Noncontrolling interests:
Operating partnership40,006 38,456 
Consolidated subsidiaries8,762 5,872 
Total equity1,015,055 995,893 
Total liabilities and equity$2,881,821 $2,939,560 
11



URBAN EDGE PROPERTIES
CONSOLIDATED STATEMENTS OF INCOME
For the three and nine months ended September 30, 2021 and 2020 (unaudited)
(in thousands, except share and per share amounts)








Three Months Ended September 30,Nine Months Ended September 30,
 2021202020212020
REVENUE
Rental revenue$105,985 $75,359 $294,257 $241,624 
Management and development fees280 404 911 1,003 
Other income574 75 1,338 190 
Total revenue106,839 75,838 296,506 242,817 
EXPENSES
Depreciation and amortization23,171 22,888 68,534 69,658 
Real estate taxes15,862 14,916 47,826 44,778 
Property operating15,692 13,436 51,874 39,867 
General and administrative10,134 8,700 28,286 36,600 
Casualty and impairment loss372 — 372 — 
Lease expense3,164 3,415 9,665 10,200 
Total expenses68,395 63,355 206,557 201,103 
Gain on sale of real estate6,926 — 18,648 39,775 
Interest income77 282 303 2,387 
Interest and debt expense(14,638)(18,136)(44,193)(53,884)
Gain on extinguishment of debt— — — 34,908 
Income (loss) before income taxes30,809 (5,371)64,707 64,900 
Income tax benefit (expense) (704)(459)(905)13,103 
Net income (loss)30,105 (5,830)63,802 78,003 
Less net (income) loss attributable to noncontrolling interests in:
Operating partnership(1,149)225 (2,608)(3,373)
Consolidated subsidiaries(1,190)— (961)— 
Net income (loss) attributable to common shareholders$27,766 $(5,605)$60,233 $74,630 
Earnings (loss) per common share - Basic: $0.24 $(0.05)$0.51 $0.63 
Earnings (loss) per common share - Diluted: $0.24 $(0.05)$0.51 $0.63 
Weighted average shares outstanding - Basic117,087 116,625 117,009 118,033 
Weighted average shares outstanding - Diluted117,137 116,625 122,212 118,111 



12



URBAN EDGE PROPERTIES
SUPPLEMENTAL SCHEDULE OF NET OPERATING INCOME
For the three and nine months ended September 30, 2021 and 2020
(in thousands)


Three Months Ended September 30,Percent ChangeNine Months Ended September 30,Percent Change
2021202020212020
Total NOI(1)
Total revenue$91,138 $77,306 17.9%$275,810 $244,475 12.8%
Total property operating expenses(34,329)(31,287)9.7%(108,185)(93,455)15.8%
NOI - total portfolio$56,809 $46,019 23.4%$167,625 $151,020 11.0%
NOI margin (NOI / Total revenue)62.3 %59.5 %60.8 %61.8 %
Same-property NOI(1)
Property rentals$64,525 $64,093 $185,187 $187,349 
Tenant expense reimbursements22,050 22,540 69,897 68,006 
Rental revenue deemed uncollectible(448)(11,811)518 (24,873)
Total revenue86,127 74,822 255,602 230,482 
Real estate taxes(13,542)(14,864)(41,924)(43,795)
Property operating(13,974)(13,115)(44,955)(37,930)
Lease expense(2,935)(2,903)(8,798)(8,700)
Total property operating expenses(30,451)(30,882)(95,677)(90,425)
Same-property NOI(1)
$55,676 $43,940 26.7%$159,925 $140,057 14.2%
NOI related to properties being redeveloped$1,019 $931 $2,778 $3,271 
Same-property NOI including properties in redevelopment(1)
$56,695 $44,871 26.4%$162,703 $143,328 13.5%
Same-property physical occupancy89.4 %90.8 %89.6 %91.0 %
Same-property leased occupancy92.8 %92.9 %93.1 %93.0 %
Number of properties included in same-property analysis71 69 
(1) NOI excludes non-cash revenue and expenses. Refer to page 6 for a reconciliation of net income to NOI and same-property NOI.

13



URBAN EDGE PROPERTIES
EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION and AMORTIZATION for REAL ESTATE (EBITDAre)
For the three and nine months ended September 30, 2021 and 2020
(in thousands)
Three Months Ended September 30,Nine Months Ended September 30,
2021202020212020
Net income (loss)$30,105 $(5,830)$63,802 $78,003 
Depreciation and amortization23,171 22,888 68,534 69,658 
Interest expense13,893 17,433 41,946 51,771 
Amortization of deferred financing costs745 703 2,247 2,113 
Income tax expense (benefit)704 459 905 (13,103)
Gain on sale of real estate(6,926)— (18,648)(39,775)
Real estate impairment loss372 — 372 — 
EBITDAre62,064 35,653 159,158 148,667 
Adjustments for Adjusted EBITDAre:
Impact of lease terminations(1)
(12,481)— (12,481)— 
(Reinstatement)/write-off of receivables arising from the straight-lining of rents, net(716)4,656 (82)10,704 
Tenant bankruptcy settlement income(464)— (752)— 
Transaction, severance and other expenses526 77 271 1,368 
Gain on extinguishment of debt— — — (34,908)
Executive transition costs— — — 7,152 
Adjusted EBITDAre$48,929 $40,386 $146,114 $132,983 
Interest expense$13,893 $17,433 $41,946 $51,771 
Adjusted EBITDAre to interest expense3.5 x2.3 x3.5 x2.6 x
Fixed charges
Interest expense$13,893 $17,433 $41,946 $51,771 
Scheduled principal amortization3,834 1,592 9,465 4,700 
Total fixed charges$17,727 $19,025 $51,411 $56,471 
Adjusted EBITDAre to fixed charges2.8 x2.1 x2.8 x2.4 x
(1) Amount reflects accelerated amortization of $12.5 million of below-market intangible liabilities (classified within property rental revenues in the consolidated statements of income).
14



URBAN EDGE PROPERTIES
FUNDS FROM OPERATIONS
For the three and nine months ended September 30, 2021
(in thousands, except per share amounts)

Three Months Ended September 30, 2021Nine Months Ended September 30, 2021
(in thousands)
(per share)(2)
(in thousands)
(per share)(2)
Net income (loss)$30,105 $0.25 $63,802 $0.52 
Less net (income) loss attributable to noncontrolling interests in:
Operating partnership(1,149)(0.01)(2,608)(0.02)
Consolidated subsidiaries(1,190)(0.01)(961)(0.01)
Net income attributable to common shareholders27,766 0.23 60,233 0.49 
Adjustments:
Rental property depreciation and amortization22,941 0.19 67,898 0.56 
Gain on sale of real estate(6,926)(0.06)(18,648)(0.15)
Limited partnership interests in operating partnership(1)
1,149 0.01 2,608 0.02 
Real estate impairment loss372 — 372 — 
FFO applicable to diluted common shareholders45,302 0.37 112,463 0.92 
Impact of lease terminations(3)
(11,078)(0.09)(11,078)(0.09)
(Reinstatement)/write-off of receivables arising from the straight-lining of rents(716)(0.01)(82)— 
Tenant bankruptcy settlement income(464)— (752)(0.01)
Transaction, severance and other expenses526 — 271 — 
Tax impact of Puerto Rico transactions37 — (453)— 
FFO as Adjusted applicable to diluted common shareholders$33,607 $0.28 $100,369 $0.82 
Weighted average diluted shares used to calculate EPS117,137 122,212 
Assumed conversion of OP and LTIP Units to common shares4,850 — 
Weighted average diluted common shares - FFO121,987 122,212 
(1) Represents earnings allocated to LTIP and OP unitholders for unissued common shares, which have been excluded for purposes of calculating earnings per diluted share for the periods presented because they are anti-dilutive.
(2) Individual items may not add up due to total rounding.
(3) During the third quarter, net income includes $12.5 million of accelerated amortization of below-market lease intangibles resulting from the termination of our leases with Kmart and Sears. The $11.1 million adjustment to FFO in calculating FFO as Adjusted is net of the $1.4 million attributable to the noncontrolling interest in Sunrise Mall.





15



URBAN EDGE PROPERTIES
MARKET CAPITALIZATION, DEBT RATIOS AND LIQUIDITY
As of September 30, 2021
(in thousands, except share amounts)

September 30, 2021
Closing market price of common shares$18.31 
Basic common shares117,137,788 
OP and LTIP units4,849,749 
Diluted common shares121,987,537 
Equity market capitalization$2,233,592 
Total consolidated debt(1)
$1,582,325 
Cash and cash equivalents including restricted cash(322,792)
Net debt$1,259,533 
Net Debt to annualized Adjusted EBITDAre6.4 x
Total consolidated debt(1)
$1,582,325 
Equity market capitalization2,233,592 
Total market capitalization$3,815,917 
Net debt to total market capitalization at applicable market price33.0 %
Cash and cash equivalents including restricted cash$322,792 
Available under unsecured credit facility600,000 
Total liquidity$922,792 
(1) Total consolidated debt excludes unamortized debt issuance costs of $8.6 million.

16



URBAN EDGE PROPERTIES
ADDITIONAL DISCLOSURES
(in thousands)

Three Months Ended September 30,Nine Months Ended September 30,
2021202020212020
Rental revenue:
Property rentals(1)
$82,878 $64,063 $219,234 $196,236 
Tenant expense reimbursements24,108 23,213 77,200 71,193 
Rental revenue deemed uncollectible(1,001)(11,917)(2,177)(25,805)
Total rental revenue$105,985 $75,359 $294,257 $241,624 
Certain non-cash items:
Straight-line rents(2)
$352 $(4,239)$(338)$(9,503)
Amortization of below-market lease intangibles, net(1)(2)
15,021 2,349 19,775 6,803 
Lease expense GAAP adjustments(3)
(137)(205)(445)(638)
Amortization of deferred financing costs(4)
(745)(703)(2,247)(2,113)
Capitalized interest(4)
386 232 733 513 
Share-based compensation expense(5)
(2,809)(2,604)(8,218)(14,463)
Capital expenditures: (6)
Development and redevelopment costs$23,712 $2,695 $37,441 $8,984 
Maintenance capital expenditures2,950 4,026 6,781 7,677 
Leasing commissions760 407 1,538 1,094 
Tenant improvements and allowances424 375 2,215 1,605 
Total capital expenditures$27,846 $7,503 $47,975 $19,360 
September 30, 2021December 31, 2020
Accounts payable, accrued expenses and other liabilities:
Dividend payable$— $55,905 
Deferred tenant revenue23,958 26,594 
Accrued interest payable9,437 11,095 
Accrued capital expenditures and leasing costs(7)
33,115 7,797 
Security deposits6,720 5,884 
Finance lease liability3,001 2,993 
Accrued payroll expenses6,811 5,797 
Other liabilities and accrued expenses11,472 16,915 
Total accounts payable, accrued expenses and other liabilities$94,514 $132,980 
(1) Amount includes accelerated amortization of $12.5 million of below-market intangible liabilities.
(2) Amounts included in the financial statement line item "Rental revenue" in the consolidated statements of income. The Company reinstated $0.7 million and $0.1 million of receivables arising from the straight-lining of rents, net of write-offs during the three and nine months ended September 30, 2021, respectively, pertaining to tenants moved back to accrual-basis accounting, compared to a write-off of $4.7 million and $10.7 million during the three and nine months ended September 30, 2020, respectively.
(3) Amounts consist of amortization of below-market ground lease intangibles and straight-line lease expense, and are included in the financial statement line item "Lease expense" in the consolidated statements of income.
(4) Amounts included in the financial statement line item "Interest and debt expense" in the consolidated statements of income.
(5) Amounts included in the financial statement line item "General and administrative" in the consolidated statements of income.
(6) Amounts presented on a cash basis.
(7) Amount includes $20 million accrued in connection with the agreements to terminate our leases with Kmart and Sears.
17



URBAN EDGE PROPERTIES
TENANT CONCENTRATION - TOP TWENTY-FIVE TENANTS
As of September 30, 2021

TenantNumber of storesSquare feet% of total square feetAnnualized base rent ("ABR")% of total ABRWeighted average ABR per square foot
Average remaining term of ABR(1)
The Home Depot, Inc.808,926 4.9%$15,731,153 6.0%$19.45 13.8
The TJX Companies, Inc.(2)
22 714,731 4.4%14,320,938 5.5%20.04 4.4
Lowe's Companies, Inc.976,415 6.0%8,925,004 3.4%9.14 6.0
Best Buy Co., Inc.359,476 2.2%8,173,456 3.1%22.74 4.3
Walmart Inc.708,435 4.3%7,479,449 2.8%10.56 6.7
Burlington Stores, Inc.415,828 2.5%7,200,733 2.7%17.32 7.3
Kohl's Corporation633,345 3.9%6,570,371 2.5%10.37 3.6
BJ's Wholesale Club454,297 2.8%5,771,563 2.2%12.70 6.6
PetSmart, Inc.10 228,869 1.4%5,709,400 2.2%24.95 3.6
Ahold Delhaize (Stop & Shop)
362,696 2.2%5,429,430 2.1%14.97 7.0
Target Corporation335,937 2.1%5,290,952 2.0%15.75 11.1
Wakefern (ShopRite)296,018 1.8%5,241,942 2.0%17.71 10.7
The Gap, Inc.(3)
10 151,239 0.9%4,390,863 1.7%29.03 3.8
LA Fitness International LLC245,266 1.5%4,378,624 1.7%17.85 6.8
Whole Foods Market, Inc.100,682 0.6%3,759,050 1.4%37.34 9.2
Sears Holdings Corporation(4)(6)
522,089 3.2%3,738,280 1.4%7.16 
Staples, Inc.167,832 1.0%3,607,035 1.4%21.49 2.3
Bob's Discount Furniture170,931 1.0%3,222,108 1.2%18.85 5.5
Bed Bath & Beyond Inc.(5)
205,673 1.3%3,046,507 1.2%14.81 4.3
Dick's Sporting Goods, Inc.153,910 0.9%2,806,402 1.1%18.23 3.6
24 Hour Fitness53,750 0.3%2,400,000 0.9%44.65 10.3
Raymour & Flanigan215,254 1.3%2,370,497 0.9%11.01 7.1
URBN (Anthropologie)31,450 0.2%2,201,500 0.8%70.00 7.0
Visiting Nurse Services58,387 0.4%2,060,539 0.8%35.29 0.7
Planet Fitness84,911 0.5%1,882,877 0.7%22.17 7.9
Total/Weighted Average140 8,456,347 51.6%$135,708,673 51.7%$16.05 6.7
(1) In years excluding tenant renewal options. The weighted average is based on ABR.
(2) Includes Marshalls (14), T.J. Maxx (4), HomeGoods (3) and Homesense (1).
(3) Includes Old Navy (7), Gap (2) and Banana Republic (1).
(4) Includes Kmart (2) and Sears (1). The Company terminated our leases with Kmart and Sears effective October 15, 2021. These leases contributed $6.6 million of annual gross rent including tenant reimbursements for operating expenses, taxes and insurance and contributed an additional $3.3 million in annual non-cash revenue related to the amortization of below-market leases.
(5) Includes Harmon Face Values (3), Bed Bath & Beyond (3) and buybuy Baby (1).
(6) When the Company acquired Sunrise Mall in December 2020, Sears was a tenant through a sub-lease. In July 2021, the Company acquired the sandwich lease position and became the direct landlord to Sears, resulting in an increase in the ABR compared to what was reported as of June 30, 2021.


Note: Amounts shown in the table above include all retail properties including those in redevelopment on a cash basis other than tenants in free rent periods which are shown at their initial cash rent.
18



URBAN EDGE PROPERTIES
LEASING ACTIVITY
For the three and nine months ended September 30, 2021

Three Months Ended September 30, 2021Nine Months Ended September 30, 2021
GAAP(2)
Cash(1)
GAAP(2)
Cash(1)
New leases
Number of new leases executed21 21 43 43 
Total square feet138,930 138,930 407,211 407,211 
Number of same space leases20 20 36 36 
Same space square feet132,013 132,013 384,680 384,680 
Prior rent per square foot$22.45 $22.95 $15.65 $16.18 
New rent per square foot$30.00 $27.87 $19.68 $18.15 
Same space weighted average lease term (years)9.5 9.5 9.2 9.2 
Same space TIs per square footN/A$25.67 N/A$38.05 
Rent spread33.6 %21.4 %25.8 %12.2 %
Renewals & Options
Number of leases executed25 25 84 84 
Total square feet309,291 309,291 714,625 714,625 
Number of same space leases22 22 78 78 
Same space square feet304,277 304,277 705,341 705,341 
Prior rent per square foot$16.23 $16.72 $22.19 $22.87 
New rent per square foot$17.46 $17.18 $23.43 $23.29 
Same space weighted average lease term (years)4.5 4.5 4.0 4.0 
Same space TIs per square footN/A$0.33 N/A$0.14 
Rent spread7.6 %2.8 %5.6 %1.8 %
Total New Leases and Renewals & Options
Number of leases executed46 46 127 127 
Total square feet448,221 448,221 1,121,836 1,121,836 
Number of same space leases42 42 114 114 
Same space square feet436,290 436,290 1,090,021 1,090,021 
Prior rent per square foot$18.12 $18.60 $19.88 $20.51 
New rent per square foot$21.26 $20.41 $22.11 $21.47 
Same space weighted average lease term (years)6.0 6.0 5.8 5.8 
Same space TIs per square footN/A$8.00 N/A$13.52 
Rent spread17.3 %9.7 %11.2 %4.7 %
(1) Rents are not calculated on a straight-line (GAAP) basis. Previous/expiring rent is the rent at expiry and includes any percentage rent paid. New rent is the rent paid at commencement.
(2) Rents are calculated on a straight-line (GAAP) basis.










19



URBAN EDGE PROPERTIES
RETAIL PORTFOLIO LEASE EXPIRATION SCHEDULE
As of September 30, 2021

ANCHOR TENANTS (SF>=10,000)SHOP TENANTS (SF<10,000)TOTAL TENANTS
Year(1)
# of leasesSquare Feet% of Total SF
Weighted Avg ABR PSF(2)
# of leasesSquare Feet% of Total SF
Weighted Avg ABR PSF(2)
# of leasesSquare Feet% of Total SF
Weighted Avg ABR PSF(2)
M-T-M13,000 0.1 %$18.98 28 73,000 2.8%$24.71 29 86,000 0.6 %$23.84 
2021(3)
557,000 4.5 %7.68 18 51,000 2.0%37.39 23 608,000 4.0 %10.18 
202220 693,000 5.6 %14.29 87 241,000 9.3%28.33 107 934,000 6.2 %17.91 
202332 1,130,000 9.1 %19.30 76 227,000 8.7%35.23 108 1,357,000 9.0 %21.96 
202435 1,281,000 10.3 %18.09 68 222,000 8.5%33.79 103 1,503,000 10.0 %20.41 
202530 1,277,000 10.3 %13.24 50 184,000 7.1%35.13 80 1,461,000 9.7 %16.00 
202619 670,000 5.4 %18.05 71 248,000 9.5%34.15 90 918,000 6.1 %22.40 
202715 518,000 4.2 %13.22 51 197,000 7.6%32.54 66 715,000 4.8 %18.54 
202810 449,000 3.6 %22.06 35 121,000 4.6%41.39 45 570,000 3.8 %26.16 
202930 1,393,000 11.2 %19.43 36 141,000 5.4%42.57 66 1,534,000 10.2 %21.56 
203013 923,000 7.4 %13.66 25 91,000 3.5%40.64 38 1,014,000 6.7 %16.08 
203111 648,000 5.2 %15.45 18 67,000 2.6%33.17 29 715,000 4.7 %17.11 
Thereafter28 1,927,000 15.6 %15.07 33 146,000 5.6%