SITE Centers Reports Second Quarter 2023 Results

Rhea-AI Summary

SITE Centers Corp. announces Q2 2023 operating results, with net income of $2.6 million compared to $57.6 million in the year-ago period. The company acquired three shopping centers and sold two during the quarter. They also repurchased Operating Partnership units and reported an increase in same-store net operating income.

Positive

• SITE Centers Corp. exceeded expectations in Q2 2023, with net income of $2.6 million. They acquired three shopping centers for $48.5 million and repurchased Operating Partnership units to reduce future costs. They reported an increase in same-store net operating income of 1.7% compared to the year-ago period.

Negative

• SITE Centers Corp.'s net income in Q2 2023 decreased significantly compared to the year-ago period. Higher depreciation expense and lower joint venture management fees contributed to the decline. The rejection of Bed, Bath & Beyond leases also led to a decline in the leased rate.

BEACHWOOD, Ohio--(BUSINESS WIRE)-- SITE Centers Corp. (NYSE: SITC), an owner of open-air shopping centers in suburban, high household income communities, announced today operating results for the quarter ended June 30, 2023.

“Second quarter results were ahead of expectations and demand for space across unit sizes in our high-quality portfolio remains elevated,” commented David R. Lukes, President and Chief Executive Officer. “We are encouraged by the depth and breadth of activity on recently recaptured square footage from bankruptcies and remain well positioned given the Company's market mix, liquidity and expected tailwind from rent commencements and tactical redevelopment deliveries.”

Results for the Quarter

• Second quarter net income attributable to common shareholders was $2.6 million, or $0.01 per diluted share, as compared to net income of $57.6 million, or $0.27 per diluted share, in the year-ago period. The decrease year-over-year primarily was the result of the gain on sale of joint venture and wholly-owned assets in the second quarter of 2022 as well as higher depreciation expense due to accelerated depreciation due to the commencement of a redevelopment project. Second quarter 2023 results were also impacted by lower joint venture management fees, higher interest expense and a separation charge included within general and administration expenses, partially offset by base rent growth and the net impact of property acquisitions.
• Second quarter operating funds from operations attributable to common shareholders (“Operating FFO” or “OFFO”) was $61.3 million, or $0.29 per diluted share, compared to $66.5 million, or $0.31 per diluted share, in the year-ago period primarily due to the lower management fees and income from joint ventures and higher interest expense.

Significant Second Quarter and Recent Activity

• Issued the Company's ninth Corporate Responsibility and Sustainability Report. The report was completed in alignment with the Global Reporting Initiative and with the Sustainability Accounting Standards Board metrics and frameworks. The report provides an annual update on the Company's corporate responsibility and sustainability programs and can be found at https://www.sitecenters.com/2022CSR.
• Acquired three convenience shopping centers during the quarter for an aggregate price of $48.5 million, including Alpha Soda Center (Atlanta, GA) for $9.4 million, Barrett Corners (Atlanta, GA) for $15.6 million and Briarcroft Center (Houston, TX) for $23.5 million.
• Sold two shopping centers during the quarter for an aggregate price of $72.0 million ($14.4 million at share).
• As previously announced, recorded a charge of $3.1 million related to a restructuring plan, which includes a Voluntary Retirement Offer. The balance of the expected $5.3 million in total charges is expected to be incurred in the third and fourth quarters of 2023. Restructuring charges have been excluded from OFFO results.
• In May 2023, repurchased 140,633 Operating Partnership (“OP”) units in a privately negotiated transaction at an aggregate cost of $1.7 million, or $12.34 per unit. Following the repurchase, the Company has no outstanding OP units, which is expected to reduce future tax and legal compliance costs.

Key Quarterly Operating Results

• Reported an increase of 1.7% in same-store net operating income (“SSNOI”) on a pro rata basis for the second quarter of 2023, including redevelopment, as compared to the year-ago period. SSNOI in the second quarter of 2022 included $1.2 million of rental income at SITE Centers' share related to prior years, primarily from cash basis tenants, which was a 130 basis-point headwind to second quarter 2023 SSNOI growth.
• Generated cash new leasing spreads of 22.5% and cash renewal leasing spreads of 7.4%, both on a pro rata basis, for the trailing twelve-month period ended June 30, 2023 and cash new leasing spreads of 14.8% and cash renewal leasing spreads of 7.2%, both on a pro rata basis, for the second quarter of 2023.
• Generated straight-lined new leasing spreads of 35.0% and straight-lined renewal leasing spreads of 11.3%, both on a pro rata basis, for the trailing twelve-month period ended June 30, 2023 and straight-lined new leasing spreads of 23.3% and straight-lined renewal leasing spreads of 11.9%, both on a pro rata basis, for the second quarter of 2023.
• Reported a leased rate of 95.5% at June 30, 2023, compared to 95.9% at March 31, 2023 and 94.4% at June 30, 2022, all on a pro rata basis. The sequential decline was primarily related to the rejection of four wholly owned Bed, Bath & Beyond leases with one of the units released in the second quarter.
• As of June 30, 2023, the Signed Not Opened (“SNO”) spread was 310 basis points, representing $18.3 million of annualized base rent on a pro rata basis.

Guidance

The Company has updated its 2023 full-year guidance for net income attributable to common shareholders and Operating FFO per share to include the impact of the second quarter operating results. Impairment charges, gains on sale of interests and assets, transaction and debt extinguishment costs are excluded from guidance. The guidance update is as follows:

Reconciliation of Net Income Attributable to Common Shareholders to FFO and Operating FFO estimates:

	FY 2023E (prior) Per Share – Diluted		FY 2023E (revised) Per Share – Diluted
Net income attributable to Common Shareholders	$0.17 – $0.25		$0.11 – $0.19
Depreciation and amortization of real estate	0.90 – 0.94		0.96 – 1.00
Equity in net (income) of JVs	(0.02) – (0.01)		(0.03)
JVs' FFO	0.04 – 0.05		0.04
Gain on sale and change in control of interests (reported actual)	(0.02)		(0.02)
FFO (NAREIT)	$1.11 – $1.17		$1.10 – $1.14
Separation and other charges	n/a		0.03
Operating FFO	$1.11 – $1.17		$1.13 – $1.17

In reliance on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K, reconciliation of the assumed range of 2023 SSNOI growth to the most directly comparable GAAP financial measure is not provided because the Company is unable to provide such reconciliation without unreasonable effort due to the multiple components of the calculation which only includes properties owned for comparable periods and excludes all corporate level activity as described below under Non-GAAP Measures and Other Operational Metrics. Key assumptions for 2023 guidance include the following:

	FY 2023E (prior)		FY 2023E (revised)
Joint Venture fee income	$5 – $7 million		$5 – $7 million
SSNOI (1)	(0.50)% – 3.00%		0.00% – 3.00%
SSNOI – Adjusted for 2022 Uncollectible Revenue Impact (2)	0.50% – 4.00%		1.00% – 4.00%

(1)	Including redevelopment and approximately $3.4 million included in Uncollectible Revenue, primarily related to rental income from cash basis tenants, reported in 2022 related to prior periods, which is an approximately 100 basis-point headwind to 2023 SSNOI growth.
(2)	Including redevelopment and excluding revenue impact of approximately $3.4 million included in Uncollectible Revenue, primarily related to rental income from cash basis tenants, reported in 2022 related to prior periods.

About SITE Centers Corp.

SITE Centers is an owner and manager of open-air shopping centers located in suburban, high household income communities. The Company is a self-administered and self-managed REIT operating as a fully integrated real estate company, and is publicly traded on the New York Stock Exchange under the ticker symbol SITC. Additional information about the Company is available at www.sitecenters.com. To be included in the Company’s e-mail distributions for press releases and other investor news, please click here.

Conference Call and Supplemental Information

The Company will hold its quarterly conference call today at 8:00 a.m. Eastern Time. To participate with access to the slide presentation, please visit the Investor Relations portion of SITE's website, ir.sitecenters.com, or for audio only, dial 888‑317‑6003 (U.S.), 866-284-3684 (Canada) or 412-317-6061 (international) using pass code 1798214 at least ten minutes prior to the scheduled start of the call. The call will also be webcast and available in a listen-only mode on SITE Centers’ website at ir.sitecenters.com. If you are unable to participate during the live call, a replay of the conference call will also be available at ir.sitecenters.com for further review. You may also access the telephone replay by dialing 877-344-7529 (U.S.), 855-669-9658 (Canada) or 412-317-0088 (international) using passcode 5634930 through August 25, 2023. Copies of the Company’s supplemental package and earnings slide presentation are available on the Company’s website.

Non-GAAP Measures and Other Operational Metrics

Funds from Operations (“FFO”) is a supplemental non-GAAP financial measure used as a standard in the real estate industry and is a widely accepted measure of real estate investment trust (“REIT”) performance. Management believes that both FFO and Operating FFO provide additional indicators of the financial performance of a REIT. The Company also believes that FFO and Operating FFO more appropriately measure the core operations of the Company and provide benchmarks to its peer group.

FFO is generally defined and calculated by the Company as net income (loss) (computed in accordance with generally accepted accounting principles in the United States (“GAAP”)), adjusted to exclude (i) preferred share dividends, (ii) gains and losses from disposition of real estate property and related investments, which are presented net of taxes, (iii) impairment charges on real estate property and related investments, (iv) gains and losses from changes in control and (v) certain non-cash items. These non-cash items principally include real property depreciation and amortization of intangibles, equity income (loss) from joint ventures and equity income (loss) from non-controlling interests and adding the Company’s proportionate share of FFO from its unconsolidated joint ventures and non-controlling interests, determined on a consistent basis. The Company’s calculation of FFO is consistent with the definition of FFO provided by NAREIT. The Company calculates Operating FFO as FFO excluding certain non-operating charges, income and gains. Operating FFO is useful to investors as the Company removes non-comparable charges, income and gains to analyze the results of its operations and assess performance of the core operating real estate portfolio. Other real estate companies may calculate FFO and Operating FFO in a different manner.

In calculating the expected range for or amount of net (loss) income attributable to common shareholders to estimate projected FFO and Operating FFO for future periods, the Company does not include a projection of gain and losses from the disposition of real estate property, potential impairments and reserves of real estate property and related investments, debt extinguishment costs and certain transaction costs. Other real estate companies may calculate expected FFO and Operating FFO in a different manner.

The Company also uses net operating income (“NOI”), a non-GAAP financial measure, as a supplemental performance measure. NOI is calculated as property revenues less property-related expenses. The Company believes NOI provides useful information to investors regarding the Company’s financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level and, when compared across periods, reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis.

The Company presents NOI information herein on a same store basis or “SSNOI.” The Company defines SSNOI as property revenues less property-related expenses, which exclude straight-line rental income and reimbursements and expenses, lease termination income, management fee expense, fair market value of leases and expense recovery adjustments. SSNOI includes assets owned in comparable periods (15 months for prior period comparisons). In addition, SSNOI is presented including activity associated with major and tactical redevelopment. SSNOI excludes all non-property and corporate level revenue and expenses. Other real estate companies may calculate NOI and SSNOI in a different manner. The Company believes SSNOI at its effective ownership interest provides investors with additional information regarding the operating performances of comparable assets because it excludes certain non-cash and non-comparable items as noted above.

FFO, Operating FFO, NOI and SSNOI do not represent cash generated from operating activities in accordance with GAAP, are not necessarily indicative of cash available to fund cash needs and should not be considered as alternatives to net income computed in accordance with GAAP, as indicators of the Company’s operating performance or as alternatives to cash flow as a measure of liquidity. Reconciliations of these non-GAAP measures to their most directly comparable GAAP measures have been provided herein. In reliance on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K, reconciliation of the assumed rate of 2023 SSNOI growth to the most directly comparable GAAP financial measure is not provided because the Company is unable to provide such reconciliation without unreasonable effort due to the multiple components of the calculation which only includes properties owned for comparable periods and excludes all corporate level activity as noted above.

The Company calculates Cash Leasing Spreads by comparing the prior tenant's annual base rent in the final year of the prior lease to the executed tenant's annual base rent in the first year of the executed lease. Straight-Lined Leasing Spreads are calculated by comparing the prior tenant's average base rent over the prior lease term to the executed tenant's average base rent over the term of the executed lease. For both Cash and Straight-Lined Leasing Spreads, the reported calculation includes only comparable leases which are deals executed within one year of the date that the prior tenant vacated. Deals executed after one year of the date the prior tenant vacated, deals which are a combination of existing units, new leases at major redevelopment properties, and deals for units vacant at the time of acquisition are considered non-comparable and excluded from the calculation.

Safe Harbor

SITE Centers Corp. considers portions of the information in this press release to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, both as amended, with respect to the Company's expectation for future periods. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. For this purpose, any statements contained herein that are not historical fact may be deemed to be forward-looking statements. There are a number of important factors that could cause our results to differ materially from those indicated by such forward-looking statements, including, among other factors, general economic conditions, including inflation and interest rate volatility; local conditions such as the supply of, and demand for, retail real estate space in our geographic markets; the impact of e-commerce; dependence on rental income from real property; the loss of, significant downsizing of or bankruptcy of a major tenant and the impact of any such event on rental income from other tenants and our properties; redevelopment and construction activities may not achieve a desired return on investment; our ability to buy or sell assets on commercially reasonable terms; our ability to secure equity or debt financing on commercially acceptable terms or at all; impairment charges; valuation and risks relating to our joint venture investments; the termination of any joint venture arrangements or arrangements to manage real property; property damage, expenses related thereto and other business and economic consequences (including the potential loss of rental revenues) resulting from extreme weather conditions or natural disasters in locations where we own properties, and the ability to estimate accurately the amounts thereof; sufficiency and timing of any insurance recovery payments related to damages from extreme weather conditions or natural disasters; any change in strategy; the impact of pandemics and other public health crises; unauthorized access, use, theft or destruction of financial, operations or third party data maintained in our information systems or by third parties on our behalf; our ability to maintain REIT status; and the finalization of the financial statements for the period ended June 30, 2023. For additional factors that could cause the results of the Company to differ materially from those indicated in the forward-looking statements, please refer to the Company's most recent reports on Forms 10-K and 10-Q. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

SITE Centers Corp.
Income Statement: Consolidated Interests
	in thousands, except per share
		2Q23		2Q22		6M23		6M22
	Revenues:
	Rental income (1)	$135,954		$136,203		$271,826		$266,087
	Other property revenues	429		922		1,390		2,097
		136,383		137,125		273,216		268,184
	Expenses:
	Operating and maintenance	22,476		22,278		45,642		44,214
	Real estate taxes	20,279		20,624		40,332		40,807
		42,755		42,902		85,974		85,021
	Net operating income	93,628		94,223		187,242		183,163
	Other income (expense):
	JV fees and other fee income	1,775		3,557		3,634		6,818
	Interest expense	(20,921)		(18,909)		(40,844)		(37,167)
	Depreciation and amortization	(58,698)		(51,021)		(112,714)		(101,385)
	General and administrative (2)	(14,031)		(11,353)		(24,676)		(23,604)
	Other income (expense), net	(634)		(1,147)		(1,321)		(1,651)
	Impairment charges	0		(2,536)		0		(2,536)
	Income before earnings from JVs and other	1,119		12,814		11,321		23,638
	Equity in net income of JVs	4,618		1,381		5,977		1,550
	Gain on sale and change in control of interests	0		41,970		3,749		45,326
	(Loss) gain on disposition of real estate, net	(22)		4,597		183		4,455
	Tax expense	(362)		(353)		(575)		(605)
	Net income	5,353		60,409		20,655		74,364
	Non-controlling interests	0		(19)		(18)		(37)
	Net income SITE Centers	5,353		60,390		20,637		74,327
	Preferred dividends	(2,789)		(2,789)		(5,578)		(5,578)
	Net income Common Shareholders	$2,564		$57,601		$15,059		$68,749
	Weighted average shares – Basic – EPS	209,266		213,864		209,616		212,989
	Assumed conversion of diluted securities	181		1,047		445		1,245
	Weighted average shares – Diluted – EPS	209,447		214,911		210,061		214,234
	Earnings per common share – Basic	$0.01		$0.27		$0.07		$0.32
	Earnings per common share – Diluted	$0.01		$0.27		$0.07		$0.32
(1)	Rental income:
	Minimum rents	$89,023		$87,936		$177,996		$172,163
	Ground lease minimum rents	6,343		6,751		12,812		13,458
	Straight-line rent, net	988		537		1,664		1,533
	Amortization of (above)/below-market rent, net	1,691		1,061		2,876		2,218
	Percentage and overage rent	2,252		1,648		3,403		2,785
	Recoveries	34,501		33,763		69,817		66,597
	Uncollectible revenue	(548)		1,162		(315)		2,270
	Ancillary and other rental income	1,448		1,333		3,205		2,797
	Lease termination fees	256		2,012		368		2,266
(2)	Separation charge	2,928		0		2,928		0

SITE Centers Corp.
Reconciliation: Net Income to FFO and Operating FFO
and Other Financial Information
	in thousands, except per share
		2Q23		2Q22		6M23		6M22
	Net income attributable to Common Shareholders	$2,564		$57,601		$15,059		$68,749
	Depreciation and amortization of real estate	57,350		49,775		110,067		98,903
	Equity in net income of JVs	(4,618)		(1,381)		(5,977)		(1,550)
	JVs' FFO	2,201		3,883		4,183		8,198
	Non-controlling interests	0		19		18		37
	Impairment of real estate	0		2,536		0		2,536
	Gain on sale and change in control of interests	0		(41,970)		(3,749)		(45,326)
	Loss (gain) on disposition of real estate, net	22		(4,597)		(183)		(4,455)
	FFO attributable to Common Shareholders	$57,519		$65,866		$119,418		$127,092
	Separation and other charges	3,099		0		3,099		0
	Transaction, debt extinguishment and other (at SITE's share)	677		973		1,506		1,304
	RVI disposition fees	0		(385)		0		(385)
	Total non-operating items, net	3,776		588		4,605		919
	Operating FFO attributable to Common Shareholders	$61,295		$66,454		$124,023		$128,011
	Weighted average shares & units – Basic: FFO & OFFO	209,326		214,005		209,717		213,130
	Assumed conversion of dilutive securities	181		906		445		1,104
	Weighted average shares & units – Diluted: FFO & OFFO	209,507		214,911		210,162		214,234
	FFO per share – Basic	$0.27		$0.31		$0.57		$0.60
	FFO per share – Diluted	$0.27		$0.31		$0.57		$0.59
	Operating FFO per share – Basic	$0.29		$0.31		$0.59		$0.60
	Operating FFO per share – Diluted	$0.29		$0.31		$0.59		$0.60
	Common stock dividends declared, per share	$0.13		$0.13		$0.26		$0.26
	Capital expenditures (SITE Centers share):
	Redevelopment costs	3,707		3,694		8,117		11,845
	Maintenance capital expenditures	4,878		7,731		7,024		9,987
	Tenant allowances and landlord work	11,031		12,233		25,752		21,601
	Leasing commissions	2,066		2,610		4,394		4,368
	Construction administrative costs (capitalized)	805		971		1,601		2,145
	Certain non-cash items (SITE Centers share):
	Straight-line rent	1,024		625		1,720		1,705
	Straight-line fixed CAM	69		108		144		211
	Amortization of (above)/below-market rent, net	1,782		1,152		3,051		2,396
	Straight-line ground rent expense	(41)		(32)		(105)		(66)
	Debt fair value and loan cost amortization	(1,198)		(1,228)		(2,426)		(2,514)
	Capitalized interest expense	308		245		594		467
	Stock compensation expense	(1,742)		(1,717)		(3,362)		(3,440)
	Non-real estate depreciation expense	(1,349)		(1,248)		(2,652)		(2,486)

SITE Centers Corp.
Balance Sheet: Consolidated Interests
	$ in thousands
		At Period End
		2Q23		4Q22
	Assets:
	Land	$1,094,240		$1,066,852
	Buildings	3,770,497		3,733,805
	Fixtures and tenant improvements	600,948		576,036
		5,465,685		5,376,693
	Depreciation	(1,724,837)		(1,652,899)
		3,740,848		3,723,794
	Construction in progress and land	60,231		56,466
	Real estate, net	3,801,079		3,780,260
	Investments in and advances to JVs	40,556		44,608
	Cash	28,041		20,254
	Restricted cash	552		960
	Receivables and straight-line (1)	61,376		63,926
	Intangible assets, net (2)	98,982		105,945
	Other assets, net	30,415		29,064
	Total Assets	4,061,001		4,045,017
	Liabilities and Equity:
	Revolving credit facilities	175,000		0
	Unsecured debt	1,367,775		1,453,923
	Unsecured term loan	198,689		198,521
	Secured debt	53,829		54,577
		1,795,293		1,707,021
	Dividends payable	30,083		30,389
	Other liabilities (3)	210,927		214,985
	Total Liabilities	2,036,303		1,952,395
	Preferred shares	175,000		175,000
	Common shares	21,437		21,437
	Paid-in capital	5,971,918		5,974,216
	Distributions in excess of net income	(4,085,897)		(4,046,370)
	Deferred compensation	4,941		5,025
	Accumulative comprehensive income	10,125		9,038
	Common shares in treasury at cost	(72,826)		(51,518)
	Non-controlling interests	0		5,794
	Total Equity	2,024,698		2,092,622
	Total Liabilities and Equity	$4,061,001		$4,045,017
(1)	SL rents (including fixed CAM), net	$35,658		$33,879
(2)	Operating lease right of use assets	17,629		18,197
(3)	Operating lease liabilities	37,313		37,777
	Below-market leases, net	57,844		59,825

SITE Centers Corp.
Reconciliation of Net Income Attributable to SITE to Same Store NOI
$ in thousands
	2Q23		2Q22		2Q23		2Q22
	SITE Centers at 100%				At SITE Centers Share (Non-GAAP)
GAAP Reconciliation:
Net income attributable to SITE Centers	$5,353		$60,390		$5,353		$60,390
Fee income	(1,775)		(3,557)		(1,775)		(3,557)
Interest expense	20,921		18,909		20,921		18,909
Depreciation and amortization	58,698		51,021		58,698		51,021
General and administrative	14,031		11,353		14,031		11,353
Other expense (income), net	634		1,147		634		1,147
Impairment charges	0		2,536		0		2,536
Equity in net income of joint ventures	(4,618)		(1,381)		(4,618)		(1,381)
Tax expense	362		353		362		353
Gain on sale and change in control of interests	0		(41,970)		0		(41,970)
Loss (gain) on disposition of real estate, net	22		(4,597)		22		(4,597)
Income from non-controlling interests	0		19		0		19
Consolidated NOI	93,628		94,223		93,628		94,223
Net income from unconsolidated joint ventures	15,860		1,339		3,233		589
Interest expense	6,307		9,030		1,441		2,063
Depreciation and amortization	8,281		13,328		1,938		2,969
Impairment charges	0		3,340		0		668
Other expense (income), net	2,378		2,422		538		585
Gain on disposition of real estate, net	(14,874)		(1,790)		(2,975)		(357)
Unconsolidated NOI	$17,952		$27,669		4,175		6,517
Total Consolidated + Unconsolidated NOI					97,803		100,740
Less: Non-Same Store NOI adjustments					(4,063)		(8,591)
Total SSNOI including redevelopment					93,740		92,149
SSNOI % Change including redevelopment					1.7%

SITE Centers Corp.
Reconciliation of Net Income Attributable to SITE to Same Store NOI
$ in thousands
	6M23		6M22		6M23		6M22
	SITE Centers at 100%				At SITE Centers Share (Non-GAAP)
GAAP Reconciliation:
Net income attributable to SITE Centers	$20,637		$74,327		$20,637		$74,327
Fee income	(3,634)		(6,818)		(3,634)		(6,818)
Interest expense	40,844		37,167		40,844		37,167
Depreciation and amortization	112,714		101,385		112,714		101,385
General and administrative	24,676		23,604		24,676		23,604
Other expense (income), net	1,321		1,651		1,321		1,651
Impairment charges	0		2,536		0		2,536
Equity in net income of joint ventures	(5,977)		(1,550)		(5,977)		(1,550)
Tax expense	575		605		575		605
Gain on sale and change in control of interests	(3,749)		(45,326)		(3,749)		(45,326)
Gain on disposition of real estate, net	(183)		(4,455)		(183)		(4,455)
Income from non-controlling interests	18		37		18		37
Consolidated NOI	187,242		183,163		187,242		183,163
Net income (loss) from unconsolidated joint ventures	20,627		(39)		4,237		615
Interest expense	13,348		18,319		3,028		4,151
Depreciation and amortization	17,343		27,673		4,029		6,148
Impairment charges	0		8,540		0		1,708
Other expense (income), net	4,938		4,994		1,112		1,182
Gain on disposition of real estate, net	(20,178)		(1,692)		(4,037)		(291)
Unconsolidated NOI	$36,078		$57,795		8,369		13,513
Total Consolidated + Unconsolidated NOI					195,611		196,676
Less: Non-Same Store NOI adjustments					(9,566)		(15,922)
Total SSNOI including redevelopment					186,045		180,754
SSNOI % Change including redevelopment					2.9%

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20230725367664/en/

SITE Centers Corp.

Conor Fennerty, EVP and

Chief Financial Officer

216-755-5500

Source: SITE Centers Corp.

FAQ

What were SITE Centers Corp.'s operating results in Q2 2023?

SITE Centers Corp. reported net income of $2.6 million in Q2 2023.

What acquisitions and sales did SITE Centers Corp. make during the quarter?

SITE Centers Corp. acquired three shopping centers for $48.5 million and sold two shopping centers.

What did SITE Centers Corp. do to reduce future costs?

SITE Centers Corp. repurchased Operating Partnership units to reduce future tax and legal compliance costs.

How did SITE Centers Corp.'s same-store net operating income perform?

SITE Centers Corp. reported a 1.7% increase in same-store net operating income compared to the year-ago period.

What factors contributed to the decline in SITE Centers Corp.'s net income?

Higher depreciation expense, lower joint venture management fees, and the rejection of Bed, Bath & Beyond leases contributed to the decline in net income.