Gramercy Property Trust Inc. (GPT)

[Enterprising Investor]

Gramercy Property Trust Inc. Reports First Quarter 2014 Financial Results (5/08/14)

NEW YORK--(BUSINESS WIRE)--Gramercy Property Trust Inc. (NYSE:GPT):

HIGHLIGHTS

• Generated funds from operations (“FFO”) of $3.2 million or $0.05 per diluted common share.

• Generated adjusted funds from operations (“AFFO”) of $3.6 million or $0.05 per fully diluted common share for the first quarter 2014.

• Reaffirms previous guidance of estimated quarterly run-rate FFO for Q3 2014 and Q4 2014 of $0.09 - $0.11 per share.

• Raised $115.0 million of gross proceeds through a private offering of Exchangeable Senior Notes priced at 3.75% which will mature in March 2019.

• Increased our senior secured revolving credit facility to $150.0 million by exercising the $50.0 million accordion feature.

• Paid quarterly common stock dividends of $0.035 per common share on April 15, 2014 to holders of record as of March 31, 2014.

• Paid quarterly Series A preferred stock dividend of $0.50781 per share on April 15, 2014 to holders of record as of March 31, 2014.

• Acquired a 115,472 square foot industrial property for approximately $6.3 million (7.6% initial cap rate; 8.5% annualized straight-line cap rate) with a lease term of approximately 12 years. Subsequent to quarter end, the Company acquired two additional properties for a total purchase price of approximately $18.7 million.

• Ended the quarter with approximately $153.4 million of liquidity, as compared to approximately $81.1 million of liquidity reported in prior quarter.

SUMMARY

Gramercy Property Trust Inc. (NYSE:GPT) today reported a net loss to common stockholders of $2.3 million, or $0.03 per fully diluted common share for three months ended March 31, 2014. For the quarter, the Company generated FFO of $3.2 million, or $0.05 per fully diluted common share. For the quarter, the Company generated AFFO of $3.6 million, or $0.05 per fully diluted common share. A reconciliation of FFO and AFFO to net loss available to common stockholders is included on page 9 of the press release.

For the first quarter of 2014, the Company recognized total revenues of approximately $15.6 million, a decrease of 12% over total revenues of $17.7 million reported in the prior period. Prior period included the additional $3.2 million of incentive fees recognized at execution of the extension of the asset management agreement with KBS in December 2013.

DIVIDENDS

The Company resumed payment of dividends to common stockholders, beginning with the first quarter of 2014. The board of directors authorized and the Company declared a dividend of $0.035 per common share for the first quarter of 2014 which was paid on April 15, 2014 to holders of record as of March 31, 2014.

The board of directors also authorized and the Company declared the Series A preferred stock quarterly dividend for the period January 15, 2014 through and including April 14, 2014 in the amount of $0.50781 per share, reflecting an annualized distribution of $2.03125 per share. The preferred stock dividend was paid on April 15, 2014 to holders of record as of March 31, 2014.

http://www.businesswire.com/news/home/20140508005719/en/Gramercy-Property-Trust-Reports-Quarter-2014-Financial#.U3IZg61OWUk