EFTA01388954.pdf

18 October 2016 REITs US REIT 3016 Earnings Preview PGRE 3016 2010 3010 2010 Earnings ADtuel Actual Actual DIM Cons Pre 30 Guide Post 30 Guide DIM Cons Care FFO/sti $0 20 SO 23 $0.19 S0.19 $061 -$085 $0.85 $0.85 opfling Metrics ADtuS MIS Actual DBe Pre 30 Guide Post 30 Guide DB. Synod Occupancy 92.9% 92.9% 92.4% 92.6% Ohl ch -190bp -270bp -47bp Total Leasing Volume 390,142 149.896 36,785 402,416 Rent spreads (cash/ 134% 22.9% 15 0% 150% 5$ NOI growth (cash, yty) N/A -14.0% Note consensus estimates are based on Thomson compiled data as of 10/14/16 Update on vacant space at 1633 Broadway, 1301 Ave of the Americas, 31 West 52nd St. • Tenant interest in 150ksf being vacated in January at 1325 Ave of the Americas • Update on retail leasing plan at 1633 Broadway • Commentary regarding large block demand and high end office demand in NYC • Overall pace of leasing in D.C. as the election nears • We are updating our model to reflect the One Front Street acquisition and recent financing activity. Our 2016 NAREIT FFO/sh estimate moves to 87c from 86c, core FFO moves to 85c from 83c, and FAD moves to 37c from 35c. Our 2017 NAREIT and core FFO estimates move to 96c from 89c, and FAD moves to 54c from 48c. Please see Figure 98 for a summary of our estimate revisions Scum. 0- ant, Carpi," dalik Thention Figure 75: Sl.G 3016 WSllit 131C.:101^: 31.13 3015 2010 3010 2010 Eamage Actsal Maid Actual DB* Cone Pre 30 Glide Poet 30 Gait DEle Cone FFCpsh $1 65 S339 SI 43 SI 50 5817'S825 5819 5829 Operating Medics Acbal Actual Actual Dfle Pre 30 adds Pod 30 Guide DB eM Manhattan leasing volume le gnedl 533.697 621,150 2 600.000 Manhattan occupancy (commenced! 926% 956% 956% 97%. 95 9% Menhaden rent soread (signed) 156% 161% 72% Manhattan rent spread tcomrnenced) 268% 118% I16% 204% Subtrban leasing volume (sgnedl 131.366 177.684 Subtrban occupancy (commenced' 798% 806% 809% 81 1% Subaban rem spread (sone& -38% 25% Suburban rem spread (commenced) -52% 28% 6% 82% SS NCH growth y/y lash, combined/ 65% 6.6% 6 0% - 6 5% Note consensus estimates are based en Thomson comp led data as of 10/14/16 • With the construction loan in place, update on the funding plans for One Vanderbilt: JV now, JV following some leasing, or wholly-own the asset • SLG recently noted deceleration in high end leases, while BXP has been more positive • Update on leasing goal. Per management commentary, SLG had leased -2.3msf as of mid-September, suggesting -830ksf of leasing in 3Q with a few weeks to go • Press reports from The Real Deal suggesting that SLG is looking to sell its 16 Court St. office tower in Brooklyn for $160MM • Update on the health of luxury street retail • View on the health of SLG's structured finance business Sever Dana. OirIt. cones,'n dirk monne Deutsche Bank Securities Inc. Page 41 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0092968 CONFIDENTIAL SDNY_GM_00239152 EFTA01388954