EX-99.2

EX-99.2 3 akr-ex99_2.htm EX-99.2 EX-99.2

Exhibit 99.2

EALTY TRUST—Q220SUPPLEMENTAL REPFORMATIO


Table of Contents			Supplemental Report – September 30, 2024


Section I – Third Quarter 2024 Earnings Press Release

Section II – Financial Information
Company Information	3
Market Capitalization	4
Operating Statements
Consolidated Statements of Operations	5
Statements of Operations - Pro-rata Adjustments	7
Consolidated Balance Sheet	8
Balance Sheet - Pro-rata Adjustments	9
Funds from Operations (“FFO”), FFO Before Special Items, Adjusted Funds from Operations ("AFFO")	10
EBITDA	11
Same Property Net Operating Income	12
Fee Income Detail	13
Structured Financing	14
Other Information
Transactional Activity	15
2024 Guidance	16
Net Asset Valuation Information	17
Selected Financial Ratios	18
Debt Analysis
Summary	20
Detail	21
Maturities	23
Interest Rate Summary	25

Section III – Core Portfolio Information
Core Properties	26
Core Top Tenants	29
Core Lease Expirations	30
Core New and Renewal Rent Spreads	31
Core Capital Expenditures	32

Section IV – Investment Management Information
Fund Overview	33
Investment Management Properties	35
Investment Management Lease Expirations	39
Development and Redevelopment Activity	41

Section V – Other Information
Important Notes	42

Visit www.acadiarealty.com for additional investor and portfolio information.


Supplemental Report – September 30, 2024		Company Information

Acadia Realty Trust is an equity real estate investment trust that owns and operates a high-quality core real estate portfolio ("Core" or "Core Portfolio") of street and open-air retail properties in the nation's most dynamic retail corridors, along with an investment management platform that targets opportunistic and value-add investments through its institutional co-investment vehicles (“Investment Management”). For further information, please visit www.acadiarealty.com.


Contact Information

	Corporate Headquarters	Investor Relations	New York Stock Exchange
	411 Theodore Fremd Avenue	(914) 288-8100	Symbol AKR
	Suite 300	investorrelations@acadiarealty.com
	Rye, NY 10580






Analyst Coverage

	Bank of America / Merrill Lynch	Citigroup - Global Markets	KeyBanc Capital Markets, Inc.
	Jeff Spector (646) 855-1363	Craig Mailman (212) 816-4471	Todd Thomas (917) 368-2286
	jeff.spector@bofa.com	craig.mailman@citi.com	tthomas@key.com


	Green Street Advisors	Compass Point Research & Trading	J.P. Morgan Securities, Inc.
	Paulina Rojas Schmidt (949) 640-8780	Floris van Dijkum (646) 757-2621	Michael W. Mueller, CFA (212) 622-6689
	projasschmidt@greenstreet.com	fvandijkum@compasspointllc.com	michael.w.mueller@jpmorgan.com


	Jefferies	Truist
	Linda Tsai (212) 778-8011	Ki Bin Kim, CFA (212) 303-4124
	ltsai@jefferies.com	kibin.kim@truist.com


	3	Table of Contents

    
    Market Capitalization

    Supplemental Report – September 30, 2024  

    (Including pro-rata share of Investment Management debt, in thousands, except per share amounts)


				Changes in Total Outstanding Common				Weighted Average
	Total Market		Capitalization	Shares and OP Units				Diluted EPS		Diluted FFO
	Capitalization ($)	%	Based on Net Debt 1		Common Shares	Common OP Units	Total	Quarter	YTD	Quarter	YTD
Equity Capitalization
Common Shares	113,902			Balance at 12/31/2023	95,362	5,345	100,707
Common Operating Partnership ("OP") Units	4,712			Vesting RS and LTIPs	9	417	426
Combined Common Shares and OP Units	118,614			OP Conversions	795	(795)	—
				Issuance of Shares	6,987	—	6,987
Share Price at September 30, 2024	$23.48			Other	3	—	3
				Balance at 3/31/2024	103,156	4,967	108,123	102,128	102,128	111,051	111,051
Equity Capitalization - Common Shares and OP Units	$2,785,057			Vesting RS and LTIPs	44	32	76
Preferred OP Units 2	6,012			OP Conversions	400	(255)	145
Total Equity Capitalization	2,791,069	70%	71%	Issuance of Shares	1,652	—	1,652
				Other	15	—	15
Debt Capitalization				Balance at 6/30/2024	105,267	4,744	110,011	103,592	102,860	111,837	111,096
Consolidated debt 3	1,590,413
Adjustment to reflect pro-rata share of debt	(406,007)			OP Conversions 4	96	(32)	64
Total Debt Capitalization	1,184,406	30%	29%	Issuance of Shares	8,533	—	8,533
				Other	6	—	6
Total Market Capitalization	$3,975,475	100%	100%	Balance at 9/30/2024	113,902	4,712	118,614	108,351	104,704	117,004	113,264

Reflects debt net of Core Portfolio cash of $20,129 and pro-rata share of Investment Management cash of $10,642 for $30,771 of total cash netted against debt.

Represents 188 Series A and 66,519 Series C Preferred OP Units convertible into 25,067 and 230,967 Common OP Units, respectively, multiplied by the Common Share price at quarter end.

Reflects consolidated debt excluding $8,806 of unamortized premium and unamortized loan costs.

During the three months ended September 30, 2024, 31,847 Common OP Units and 18,266 Series C Preferred OP Units were converted into 95,269 Common Shares


	4	Table of Contents

    
    Consolidated Statements of Operations

    Supplemental Report – September 30, 2024

    (in thousands)



	September 30, 2024 1
	Quarter			Year to Date
Revenues
Rental income	$	86,288		$	257,951
Other		1,457			8,404
Total revenues		87,745			266,355
Expenses
Depreciation and amortization		34,500			103,721
General and administrative		10,215			30,162
Real estate taxes		11,187			33,514
Property operating		14,351			49,228
Impairment charges		—			—
Total expenses		70,253			216,625

Loss on disposition of properties		—			(441	)
Operating income		17,492			49,289
Equity in earnings of unconsolidated affiliates		11,784			15,952
Interest income		7,859			18,510
Realized and unrealized holding (losses) gains on investments and other		(1,503	)		(5,918	)
Interest expense		(23,363	)		(70,653	)
Income from continuing operations before income taxes		12,269			7,180
Income tax provision		(15	)		(201	)
Net income		12,254			6,979
Net loss attributable to redeemable noncontrolling interests		1,672			6,518
Net income attributable to noncontrolling interests		(5,512	)		(371	)
Net income attributable to Acadia Shareholders	$	8,414		$	13,126


	September 30, 2024 1
	Quarter		Year to Date
Reconciliation of Revenues to Consolidated GAAP Revenues
Total Revenues	$	83,068	$	253,250
Straight-line rent income		2,523		3,409
Above/below-market rent income		1,359		4,151
Asset and property management fees		205		591
Development, construction, leasing and legal fees		91		354
Other income		499		4,600
Consolidated Total Revenues	$	87,745	$	266,355





Reconciliation of Operating Expenses to Consolidated GAAP Expenses
Property operating - CAM and Other	$	11,403	$	39,425
Other property operating (Non-CAM)		2,803		9,356
Asset and property management expense		145		447
Consolidated Total Operating Expenses	$	14,351	$	49,228


	5	Table of Contents

    
    Consolidated Statements of Operations - Detail

    Supplemental Report – September 30, 2024

    (in thousands)



	September 30, 2024 1
CORE PORTFOLIO AND INVESTMENT MANAGEMENT INCOME	Quarter			Year to Date
REVENUES
Minimum rents	$	65,944		$	199,068
Percentage rents		263			1,513
Expense reimbursements - CAM		8,799			25,784
Expense reimbursements - Taxes		7,417			24,072
Other property income		645			2,813
Total Revenues		83,068			253,250

EXPENSES
Property operating - CAM		12,224			39,295
Other property operating (Non-CAM)		2,803			9,356
Real estate taxes		11,187			33,514
Asset and property management expense		145			447
Total Expenses		26,359			82,612

NET OPERATING INCOME - PROPERTIES		56,709			170,638

OTHER INCOME (EXPENSE)
Interest income		7,859			18,510
Straight-line rent income		2,523			3,409
Above/below-market rent income		1,359			4,151
Interest expense 2		(20,883	)		(63,241	)
Amortization of finance costs		(1,981	)		(5,896	)
Above/below-market interest expense		5			22
Finance lease interest expense		(504	)		(1,538	)
Other income		1,059			4,084
CORE PORTFOLIO AND INVESTMENT MANAGEMENT INCOME		46,146			130,139

FEE AND OTHER INCOME 3
Asset and property management fees		205			624
Development, construction, leasing and legal fees		91			354
Total Investment Management Fee Income		296			978

Net promote and other transactional income		—			—
Total Investment Management Fee Income, Net Promote and Other Transactional Income		296			978

Realized gains on marketable securities, net		2,923			10,503
Less: previously recognized unrealized gains on marketable securities sold		(2,923	)		(10,503	)
Unrealized losses on marketable securities		(1,242	)		(5,565	)
Income tax provision		(15	)		(201	)
Total Fee and Other Loss		(961	)		(4,788	)

General and Administrative		(10,215	)		(30,162	)

Depreciation and amortization		(34,411	)		(103,450	)
Non-real estate depreciation and amortization		(89	)		(271	)
Loss on disposition of properties		—			(441	)
Gain (loss) before equity in earnings and noncontrolling interests		470			(8,973	)

Equity in earnings of unconsolidated affiliates		11,784			15,952
Noncontrolling interests (including redeemable noncontrolling interests)		(3,840	)		6,147

NET INCOME ATTRIBUTABLE TO ACADIA SHAREHOLDERS	$	8,414		$	13,126


	6	Table of Contents

    
    Statements of Operations – Pro-Rata Adjustments7

    Supplemental Report – September 30, 2024

    (in thousands)



	Quarter Ended September 30, 2024						Year to Date September 30, 2024
CORE PORTFOLIO AND INVESTMENT MANAGEMENT INCOME	Noncontrolling Interest in Consolidated Subsidiaries 4			Company’s Interest in Unconsolidated Subsidiaries 5			Noncontrolling Interest in Consolidated Subsidiaries 4			Company’s Interest in Unconsolidated Subsidiaries 5
REVENUES
Minimum rents	$	(29,520	)	$	13,410		$	(87,448	)	$	41,211
Percentage rents		(126	)		113			(441	)		278
Expense reimbursements - CAM		(4,607	)		1,900			(13,321	)		5,683
Expense reimbursements - Taxes		(3,455	)		1,877			(10,384	)		5,970
Other property income		(286	)		107			(1,078	)		448
Total Revenues		(37,994	)		17,407			(112,672	)		53,590

EXPENSES
Property operating - CAM		(5,999	)		1,786			(18,717	)		6,346
Other property operating (Non-CAM)		(808	)		223			(2,514	)		760
Real estate taxes		(4,763	)		2,971			(13,435	)		9,212
Asset and property management expense		(459	)		587			(1,389	)		1,811
Total Expenses		(12,029	)		5,567			(36,055	)		18,129
NET OPERATING INCOME - PROPERTIES		(25,965	)		11,840			(76,617	)		35,461

OTHER INCOME (EXPENSE)
Interest income		(183	)		42			(329	)		56
Straight-line rent income		(1,745	)		658			(3,308	)		2,508
Above/below-market rent income (expense)		(817	)		554			(2,145	)		1,581
Interest expense		12,280			(4,601	)		36,881			(14,183	)
Amortization of finance costs		969			(333	)		2,929			(1,014	)
Above/below-market interest expense		—			—			—			135
Finance lease interest expense		342			(101	)		1,024			(301	)
Other (expense) income		(547	)		(2	)		(970	)		29
CORE PORTFOLIO AND INVESTMENT MANAGEMENT INCOME		(15,666	)		8,057			(42,535	)		24,272

FEE AND OTHER INCOME 3
Asset and property management fees		3,571			131			8,872			446
Development, construction, leasing and legal fees		1,413			123			4,710			290
Total Investment Management Fee Income		4,984			254			13,582			736

Net promote and other transactional income		—			—			—			—
Total Investment Management Fee Income, Net Promote and Other Transactional Income		4,984			254			13,582			736

Income tax provision		—			(1	)		56			(12	)
Total Fee and Other Loss		4,984			253			13,638			724

General and Administrative		612			(226	)		2,005			(888	)
Depreciation and amortization		15,867			(7,863	)		47,493			(23,828	)
Loss (gain) on disposition of properties		(9,239	)		11,563			(13,750	)		15,672
(Loss) gain before equity in earnings and noncontrolling interests		(3,442	)		11,784			6,851			15,952

Equity in earnings of unconsolidated affiliates		—			—			—			—
Noncontrolling interests 6		(398	)		—			(704	)		—

NET (LOSS) INCOME ATTRIBUTABLE TO ACADIA SHAREHOLDERS	$	(3,840	)	$	11,784		$	6,147		$	15,952


	7	Table of Contents

    
    Balance Sheet

    Supplemental Report – September 30, 2024

    (in thousands)


ASSETS	Consolidated Balance Sheet			Line Item Details:
Real estate
Buildings and improvements	$	3,121,177		Components of Real estate under development:
Tenant improvements		291,401		Core	$	79,213
Land		854,487		Fund III		30,565
Construction in progress		21,212		Total	$	109,778
Right-of-use assets - finance leases		61,366
		4,349,643
Less: Accumulated depreciation and amortization		(899,068	)
Operating real estate, net		3,450,575
Real estate under development		109,778		Summary of other assets, net:
Net investments in real estate		3,560,353		Deferred charges, net	$	37,668
Notes receivable, net ($1,835 of allowance for credit losses)		126,576		Accrued interest receivable		30,542
Investments in and advances to unconsolidated affiliates		187,363		Due from seller		2,343
Lease intangibles, net		83,801		Prepaid expenses		18,031
Other assets, net		113,119		Other receivables		2,748
Right-of-use assets - operating leases, net		26,820		Income taxes receivable		1,557
Cash and cash equivalents		46,207		Corporate assets, net		654
Restricted cash		23,088		Deposits		5,912
Marketable securities		17,503		Derivative financial instruments		13,664
Straight-line rents receivable, net		39,368		Total	$	113,119
Rents receivable, net		16,247
Assets of properties held for sale		35,878
Total assets	$	4,276,323

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
Liabilities:
Mortgage and other notes payable, net		954,371
Unsecured notes payable, net		569,242		Summary of accounts payable and other liabilities:
Unsecured line of credit		56,000		Lease liability - finance leases, net	$	31,738
Accounts payable and other liabilities		153,495		Accounts payable and accrued expenses		59,397
Lease liability - operating leases		29,013		Deferred income		37,329
Dividends and distributions payable		22,995		Tenant security deposits, escrow and other		14,185
Lease intangibles, net		68,011		Derivative financial instruments		10,846
Distributions in excess of income from, and investments in, unconsolidated affiliates		7,797		Total	$	153,495
Liabilities of properties held for sale		5,435
Total liabilities		1,866,359
Commitments and contingencies
Redeemable noncontrolling interests		35,037
Shareholders' Equity
Common shares		114
Additional paid-in capital		2,304,534
Accumulated other comprehensive income		17,251
Distributions in excess of accumulated earnings		(395,172	)
Total Acadia shareholders’ equity		1,926,727
Noncontrolling interests		448,200
Total equity		2,374,927
Total liabilities, redeemable noncontrolling interests, and equity	$	4,276,323


	8	Table of Contents

    
    Balance Sheet – Pro-rata Adjustments7

    Supplemental Report – September 30, 2024

    (in thousands)


ASSETS	Noncontrolling Interest in Consolidated Subsidiaries 4			Company’s Interest in Unconsolidated Subsidiaries 5
Real estate
Buildings and improvements	$	(202,828	)	$	67,080
Tenant improvements		(812,544	)		262,775
Land		(60,773	)		19,318
Construction in progress		(5,673	)		2,017
Right-of-use assets - finance leases		(22,571	)		22,104
		(1,104,389	)		373,294
Less: Accumulated depreciation and amortization		161,116			(79,714	)
Operating real estate, net		(943,273	)		293,580
Real estate under development		(23,065	)		2,217
Net investments in real estate		(966,338	)		295,797
Notes receivable, net ($1,835 of allowance for credit losses)		65,968			—
Investments in and advances to unconsolidated affiliates		(58,217	)		(124,942	)
Lease intangibles, net		(35,098	)		5,997
Other assets, net		32,732			5,283
Right-of-use assets - operating leases, net		(1,673	)		—
Cash and cash equivalents		(28,712	)		13,971
Restricted cash		(4,384	)		375
Marketable securities		—			—
Straight-line rents receivable, net		(10,868	)		6,231
Rents receivable, net		(5,653	)		1,811
Total assets	$	(1,012,243	)	$	204,523

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
Mortgage and other notes payable, net	$	(568,429	)	$	176,764
Unsecured notes payable, net		—			—
Unsecured line of credit		—			—
Accounts payable and other liabilities		(29,567	)		22,275
Lease intangibles, net		(29,932	)		5,152
Lease liability - operating leases		(1,741	)		4
Dividends and distributions payable		—			—
Lease liability - finance leases		(21,093	)		8,127
Distributions in excess of income from, and investments in, unconsolidated affiliates		—			(7,799	)
Total liabilities		(650,762	)		204,523
Shareholders' Equity
Common shares		—			—
Additional paid-in capital		—			—
Accumulated other comprehensive income		—			—
Distributions in excess of accumulated earnings		—			—
Total Acadia shareholders’ equity		—			—
Noncontrolling interests (including redeemable noncontrolling interests)		(361,481	)		—
Total equity		(361,481	)		—
Total liabilities, redeemable noncontrolling interests, and equity	$	(1,012,243	)	$	204,523

Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management are necessary for a fair presentation of operating results for the interim periods.

Net of consolidated capitalized interest of $1.9 million and $5.2 million for the three and nine months ended September 30, 2024.

Refer to Fee Income Detail page in the Supplemental Report.

Noncontrolling interests represent limited partners’ interests in consolidated partnerships’ activities and includes redeemable noncontrolling interests.

Represents the Company’s pro-rata share of unconsolidated investments (which consists of unconsolidated Core properties but also includes Investment Management assets that are held off-balance sheet), of which each are included on a single line presentation in the Company’s consolidated financial statements in accordance with GAAP.

This represents the (loss) income allocable to Operating Partnership Units of $0.4 million and $0.7 million, respectively, for the three and nine months ended September 30, 2024.

The Company currently has controlling ownership interests in both (a) Investment Management (represented by Funds II, III, IV & V and Mervyns II) and (b) non-wholly owned Core assets. All properties which the Company is deemed to control are consolidated within the Company's financial statements.


	9	Table of Contents