Strategic Plan to Exit Office
Credit Profile and Balance Sheet
Maintains strong and flexible investment grade balance with strengthened credit profile
Pro Forma Transaction
•
W. P. Carey to remain the largest diversified net lease REIT and a top 25 REIT in the MSCI
US REIT Index
.
WPC expects to continuing operating within leverage targets of mid-to-high 5s net debt to
EBITDA and low-to-mid 40s debt to gross assets
Capitalization ($MM) (2)
Total Equity (3)
Pro Rata Net Debt
Senior Unsecured Notes USD
Senior Unsecured Notes EUR
Mortgage Debt, pro rata USD
W. P. CAREY
9/30/23
$11,569
•
Viewed as a credit positive by both S&P and Moody's with no change to BBB+ / Baa1 ratings
2,900
3,046
557
Mortgage Debt, pro rata (EUR $236 / Other $86)
322
Unsecured Revolving Credit Facility USD
155
Unsecured Revolving Credit Facility (EUR $345 / Other $16)
362
Unsecured Term Loans (EUR $757 / GBP $331)
1,088
$8,430
(136)
$8,293
$19,862
$19,999
•
•
•
Incrementally improves liquidity - NLOP transfer of approximately $350 million, net of
transaction expenses, largely used to repay revolver maintaining substantial capacity
Equity forwards settled subsequent to quarter end raising $384 million of proceeds for
capital needs, including investments and repayment of debt
Improves debt maturities through revolver pay down and removal of $258 million in
mortgage debt from NLOP and Office Sale Program (1)
Total Pro Rata Debt
Less: Cash and Cash Equivalents
Total Pro Rata Net Debt
Enterprise Value
Total Capitalization
Leverage Metrics
•
•
Office Sale Program expected to generate approximately $800 million in total gross
disposition proceeds, providing additional liquidity. ~$140 million has been sold year-to-date
Unsecured debt covenants all remain well within required thresholds
Pro Rata Net Debt / Adjusted EBITDA (4)(5)
Pro Rata Net Debt / Enterprise Value (3)(4)
Total Consolidated Debt / Gross Assets (6)
Weighted Average Interest Rate (pro rata)
Weighted Average Debt Maturity (pro rata)
1. As of September 30, 2023, one asset in the Office Sale Program has been sold, which served as the headquarters for the largest provider of digital pay television in Spain. Mortgage debt outstanding at the time of sale was approximately $46 million.
2. Amounts may not sum to totals due to rounding.
3. Based on a closing stock price of $54.08 on September 30, 2023 and 213,925,817 common shares outstanding as of September 30, 2023.
4. Pro rata net debt to enterprise value and pro rata net debt to Adjusted EBITDA are based on pro rata debt less consolidated cash and cash equivalents.
5. Adjusted EBITDA represents 3Q23 annualized Adjusted EBITDA, as reported in the Form 8-K filed with the SEC on November 3, 2023.
6. Gross assets represent consolidated total assets before accumulated depreciation on real estate. Gross assets are net of accumulated amortization on in-place lease and above-market rent intangible assets.
5.7x
41.8%
40.6%
3.3%
3.7 years
12View entire presentation