<PAGE>
FEDERAL REALTY INVESTMENT TRUST
Supplemental Information
September 30, 2000
TABLE OF CONTENTS
<TABLE>
<S> <C>
1. Debt Summary............................................................................. E-2
2. Occupancy
Percentage Leased................................................................... E-3
Regional Breakdown.................................................................. E-4
3. Leases Signed Analysis
Comparable and Non-Comparable....................................................... E-5
4. Street Retail Operating & Development Overview........................................... E-6
5. Development Pipeline..................................................................... E-7
6. Second Quarter Earnings Press Release, November 3, 2000.................................. E-8
7. Glossary of Terms........................................................................ E-11
</TABLE>
1626 East Jefferson Street
Rockville, Maryland 20852-4041
301/998-8100
<PAGE>
FEDERAL REALTY INVESTMENT TRUST
DEBT ANALYSIS (excluding capital leases and interest rate swaps)
September 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Balance
Maturity Rate (in thousands)
-------- ---- --------------
<S> <C> <C> <C>
Mortgages
Leesburg Plaza 10/01/08 6.10% $ 9,900
Federal Plaza 03/10/01 8.95% 26,805
Tysons Station 09/01/01 9.875% 4,009
164 E Houston Street 10/06/08 7.500% 345
Escondido (Municipal bonds) 10/01/16 Variable (a) 9,400
---------
$50,459
=========
</TABLE>
On October 23, 2000, the Trust placed a $152 million mortgage on five (5)
properties. The mortgage bears interest at 7.95% and matures on November 1,
2015. The mortgage was placed as follows (in thousands):
Barracks Road $ 44,300
Hauppauge 16,700
Lawrence Park 31,400
Wildwood 27,600
Wynnewood 32,000
--------
$152,000
========
<TABLE>
<S> <C> <C> <C>
Notes payable
Revolving credit facilities libor +.80%(b) $186,300
Term note with banks libor +.95%(c) 125,000
Construction loan on Woodmont East
{may be extended to 8/29/04} 08/29/02 libor + 1.35% 12,747
Note issued in connection with
renovation of Perring Plaza 01/31/13 10.00% 2,528
Note issued in connection with land purchase 08/14/00 libor + 1.5% 3,400
Other various various 116
---------
$330,091
=========
Unsecured Public Debt
5 1/4% Convertible subordinated 04/30/02 5.250% $ 289
debentures
5 1/4% Convertible subordinated 10/28/03 5.250% 75,000
debentures
8% Notes (fixed) 04/21/02 8.000% 25,000
6.625% Notes (fixed) 12/01/05 6.625% 40,000
7.48% Debentures 08/15/26 7.480% 50,000
6.82% Medium Term Notes 08/01/27 6.820% 40,000
6.74% Medium Term Notes (d) 03/10/04 6.370% 39,500
6.99% Medium Term Notes (d) 03/10/06 6.894% 40,500
8.75% Notes 12/01/09 8.750% 175,000
---------
$485,289
=========
Total fixed rate debt $528,992 61.10%
Total variable rate debt 336,847 38.90%
--------- ------
Total debt $865,839 100.00%
========= ======
Weighted average interest rate:
------------------------------
Fixed rate debt 7.44%
Variable on revolving credit facilities
and term note 7.01% (e)
Variable on muncipal bonds (a)
</TABLE>
(a) The bonds bear interest at a variable rate determined weekly to be the
interest rate which would enable the bonds to be remarketed at 100% of
their principal amount.
(b) Effective July 17, 2000 interest rate increased to LIBOR + .80% from LIBOR
+.65%
(c) Effective July 17, 2000 interest rate increased to LIBOR + .95% from LIBOR
+.75%
(d) The Trust purchased interest rate swaps or hedges on these notes, thereby
decreasing the effective interest.
(e) Weighted average interest rate on revolving credit facilities and term note
for nine months ended September 30, 2000.
<PAGE>
Federal Realty Investment Trust
Percentage Leased Analysis
September 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Overall Operating Occupancy
(Quarter to Quarter Analysis) At September 30, 2000 At September 30, 1999
---------------------------------------- ------------------------------------
Type Size Leased Occupancy Size Leased Occupancy
---------------------------------- ---------- ---------- ------------- --------- ---------- -----------
<S> <C> <C> <C> <C> <C> <C>
Retail Properties (leasable square feet) 13,929,402 13,397,528 96% 14,348,626 13,658,207 95%
Rollingwood Apartments (# of units) 282 282 100% 282 282 100%
</TABLE>
<TABLE>
<CAPTION>
Overall Operating Occupancy
(Rolling 12 Months) At September 30, 2000 At June 30, 2000
---------------------------------------- ------------------------------------
Type Size Leased Occupancy Size Leased Occupancy
-------------------------- ----------- ---------- ------------- --------- ---------- -----------
<S> <C> <C> <C> <C> <C> <C>
Retail Properties (leasable square feet) 13,929,402 13,397,528 96% 14,179,596 13,619,718 96%
Rollingwood Apartments (# of units) 282 282 100% 282 276 98%
<CAPTION>
Overall Operating Occupancy
(Rolling 12 Months) At March 31, 2000 At December 31, 1999
--------------------------------------- -------------------------------------
Type Size Leased Occupancy Size Leased Occupancy
-------------------------- ----------- ---------- ------------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C>
Retail Properties (leasable square feet) 14,171,079 13,506,203 95% 14,037,093 13,494,066 96%
Rollingwood Apartments (# of units) 282 282 100% 282 278 99%
</TABLE>
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Same Center Occupancy
(Quarter to Quarter Comparison) At September 30, 2000 At September 30, 1999
------------------------------------ --------------------------------------
Type Size Leased Occupancy Size Leased Occupancy
--------------------------------- ---------- ---------- ----------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Retail Properties (leasable square feet) 13,563,527 13,038,704 96% 13,544,498 13,010,974 96%
Rollingwood Apartments (# of units) 282 282 100% 282 282 100%
</TABLE>
<TABLE>
<CAPTION>
Same Center Occupancy
(Rolling 12 Months) At September 30, 2000 At June 30, 2000
------------------------------------ --------------------------------------
Type Size Leased Occupancy Size Leased Occupancy
------------------------------------- ---------- ---------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Retail Properties (leasable square feet) 13,563,527 13,038,704 96% 14,074,930 13,521,971 96%
Rollingwood Apartments (# of units) 282 282 100% 282 276 98%
<CAPTION>
Same Center Occupancy
(Rolling 12 Months) At March 31, 2000 At December 31, 1999
---------------------------------- -------------------------------------
Type Size Leased Occupancy Size Leased Occupancy
------------------------------------- -------- ----------- ---------- --------- ---------- -------------
<S> <C> <C> <C> <C> <C> <C>
Retail Properties (leasable square feet) 14,066,413 13,418,914 95% 13,865,499 13,345,911 96%
Rollingwood Apartments (# of units) 282 282 100% 282 278 99%
</TABLE>
<PAGE>
Federal Realty Investment Trust
Regional Occupancy Analysis
September 30, 2000
======================================================
Total Square Occupancy
Region Footage 09/30/00
------------------- ------------ ----------
Northeast 7,058,808 96%
Mid-Atlantic 5,914,162 96%
West Coast 956,432 97%
======================================================
Total Square Occupancy
Region Footage 09/30/00
------------------- ----------- ----------
Northeast
Anchor 4,282,413 98%
Small Shops 2,776,395 92%
Mid-Atlantic
Anchor 2,765,866 99%
Small Shops 3,148,296 94%
West
Anchor 171,181 100%
Small Shops 785,251 97%
<PAGE>
Federal Realty Investment Trust
Retail Leasing Activity
September 30, 2000
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------------------------------
Comparable Average Estimated
Weighted Average Prior Current Percentage Tenant
Number of Square Average Lease Rent Per Rent Per Annualized Increase Improvement
Rolling 12 Months Leases Signed Feet Term (Years) Square Foot Square Foot Increase in Rent over Prior Rent Costs
------------------ ------------- -------- ------------- ------------ ----------- ---------------- --------------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
3rd Quarter 2000 52 282,354 10.3 $12.85 $15.29 $ 687,804 19% $ 1,727,000
2nd Quarter 2000 67 214,111 5.8 $16.97 $18.85 $ 402,991 11% $ 866,000
1st Quarter 2000 64 297,054 9.1 $16.38 $18.89 $ 746,945 15% $ 5,128,000
4th Quarter 1999 79 270,278 8.7 $20.14 $24.32 $1,129,625 21% $ 2,710,000
Total 262 1,063,797 8.4 $16.52 $19.31 $2,967,365 17% $10,431,000
</TABLE>
<TABLE>
<CAPTION>
Non-Comparable Weighted Estimated
Average Annualized Tenant
Number of Square Lease Average Rent Current Improvement
Rolling 12 Months Leases Signed Feet Term (Years) Per Square Foot Rent Costs
------------------ ------------- ------- ------------ --------------- ---------- -----------
<S> <C> <C> <C> <C> <C> <C>
3rd Quarter 2000 26 138,794 17.0 $30.05 $4,170,745 $ 116,000
2nd Quarter 2000 16 84,287 11.7 $29.37 $2,475,607 $ 248,000
1st Quarter 2000 10 50,126 12.8 $24.07 $1,206,432 $1,026,000
4th Quarter 1999 9 39,545 8.7 $18.13 $ 717,011 $ 389,000
Total 61 312,752 14.4 $27.40 $8,569,795 $1,779,000
</TABLE>
<PAGE>
Federal Realty Investment Trust
Street Retail Operating & Development Overview
September 30, 2000
<TABLE>
<CAPTION>
For nine months ended
For the year ended December 31, September 30,
(in thousands, except sf data) 1996 1997 1998 1999 2000
-----------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Real Estate Assets (1) $ 164,931 $ 288,020 $ 365,874 $ 449,182 $ 546,146
Revenues $ 20,555 $ 31,998 $ 42,643 $ 50,288 $ 41,728
Net Operating Income $ 12,538 $ 20,345 $ 28,660 $ 34,774 $ 29,837
Square Feet (2) 1,123,000 1,503,000 1,602,000 1,692,000 1,781,000
</TABLE>
(1) At September 30, 2000, includes $146 million related to new development in
process. The balance is comprised of both stabilized assets and assets
which are in various stages of redevelopment.
(2) Excludes new development square footage
NORTHEAST Square Feet MID-ATLANTIC Square Feet
Connecticut Virginia
Greenwich Avenue/4 81,000 Pentagon Row N/A (2)
West Hartford/7 125,000 Village at Shirlington 203,000
Westport/2 26,000
WESTERN
Massachusetts Arizona
Coolidge Corner/1 13,000 Mill Avenue/2 40,000
New Jersey California
Central Avenue/1 11,000 Colorado Boulevard/2 69,000
Fifth Avenue/5 67,000
New York Hermosa Beach/1 25,000
Forest Hills/4 91,000 Post Street/1 99,000
Old Town Center 101,000
Santana Row N/A (2)
MID-ATLANTIC Third Street Promenade/8 169,000
District of Columbia Hollywood Blvd./3 199,000
Sam's Park N Shop 50,000 214 Wilshire Blvd 29,000
Illinois
Florida Evanston/2 19,000
Winter Park/2 28,000 Oak Street/1 5,000
Maryland Texas
Bethesda Row 331,000 (2) Houston Street/11 N/A (2)
<PAGE>
FEDERAL REALTY INVESTMENT TRUST
Development Pipeline
September 30, 2000
<TABLE>
<CAPTION>
Total Expected
Cost Estimate To Complete Completed Stabilized Principal
Project Specifications To Date 2000 2001 Cost Return Tenants
-------------------------------------------------------------------------------------------------------------------------
($ i n m i l l i o n s)
<S> <C> <C> <C> <C> <C> <C> <C>
DEVELOPMENT IN PROGRESS
Bethesda Row - Woodmont East 52,000 sf retail $ 22 $ 6 $ 4 $ 32 11.0% Angelo & Maxi
Bethesda, Maryland 78,000 sf office Landmark Theatres
Jaleo Restaurant
OpNet Technologies
Pentagon Row 300,000 sf retail (1) $ 29 $ 15 $ 27 $ 71 10.5% Harris Teeter
Arlington, Virginia 500 apartment units Bed, Bath & Beyond
---- ----- ----- -----
Bally's Fitness
$ 51 $ 21 $ 31 $ 103 Hudson Trail Outfitters
</TABLE>
--------------------------------------------------------------------------------
FUTURE DEVELOPMENT
Santana Row 710,000 sf retail $ 81
San Jose, California 1,300 residential units
200 hotel rooms (2)
(Full Entitlements)
The Shops at Tanasbourne 400,000 sf retail $ 13
Portland, Oregon 12,000 sf office
Lindbergh City Center 300,000 sf retail (1) $ 1
Atlanta, Georgia 320 apartments
120 hotel rooms
290 condominiums
1.3 million sf office
-----
$ 95
--------------------------------------------------------------------------------
Total New Development and
Construction in Progress $146
====
(1) Federal Realty will develop only the retail component of this project.
(2) Federal Realty will not develop the hotel component of this project.
(3) Does not include redevelopment projects, such as Houston Street.
<PAGE>
Contact:
Kris Warner
Director, Corporate Communications
301/998-8212
FOR IMMEDIATE RELEASE
November 3, 2000
FEDERAL REALTY INVESTMENT TRUST ANNOUNCES
THIRD QUARTER 2000 OPERATING RESULTS
-Trust Shows an 8% increase in FFO per Share-
Rockville, MD (November 3, 2000) - Federal Realty Investment Trust
(NYSE:FRT) today reported operating results for the third quarter ended
September 30, 2000.
. Funds from operations increased 8% to $.65 per common share
. 96% occupancy for overall portfolio
. $152 million raised in mortgage financing
Financial Results
-----------------
For the quarter ended September 30, 2000 funds from operations increased 6%
to $25.8 million from $24.4 million in the third quarter of 1999. On a per
share basis, funds from operations rose 8% to $.65 in the third quarter of 2000
from $.60 in the third quarter of 1999. Funds from operations also improved for
the first nine months of 2000 increasing 6% to $76.5 million from $72.3 million
in the first nine months of 1999. On a per share basis, funds from operations
advanced 7% to $1.91 per share for the first nine months of 2000 compared to
$1.78 for the comparable period of 1999. Increases from the core operating
portfolio, bolstered by recently redeveloped and re-tenanted properties, and a
decrease in administrative expense more than offset increased interest costs.
"Cash flow from our operating portfolio continues to improve with higher
rents and improved occupancy driving results" said Steven J. Guttman, president
and chief executive officer. "The strength and quality of our core portfolio
continues to serve as an excellent foundation as we execute our mixed-use
development strategy."
Portfolio Results
-----------------
During the quarter, more than 470,000 square feet of retail, office and
residential space was leased. On a comparable space basis, 282,000 square feet
of retail leases were signed during the quarter at an average rental increase of
19% over the prior leases. The average rent on new retail leases was $15.29 per
square foot compared to $12.85 for the previous leases. Overall occupancy
increased to 96.2% at September 30, 2000 vs. 95.2% at September 30, 1999. On a
same center basis, occupancy remained high at 96.1% at September 30, 2000 and
1999. Rental income increased 3% to $64.1 million in 2000 from $62.0 million in
1999 and net operating income increased 2% to $48.8 million in 2000 from $47.8
million in 1999. On a same center basis, which removes the effect of property
dispositions, rental income increased 7% and net operating income including
interest income, increased 5.8%, primarily due to recently re-developed and re-
tenanted properties.
Development Activities
----------------------
At Bethesda Row, the 130,000 square foot Woodmont East building, which is
phase IV of a master plan development, is nearing completion on time and on
budget. Grand opening is anticipated for spring 2001. In Arlington, Virginia,
construction continues on Pentagon Row with the first buildings anticipated to
open during the first quarter of 2001 with full retail occupancy by the end of
2001. Pentagon Row is presently 88% pre-leased, including leases out for
signature. At Santana Row in San Jose, California, demolition of the existing
structure is now complete. Site work is currently underway to prepare for
construction as the Trust is working with a number of lenders to finalize
construction financing for Santana Row. Leasing activity is proceeding as
interest continues to be strong from national and local retailers.
Financing Activities
--------------------
On October 23, 2000, Federal Realty closed a $152 million mortgage secured
by five shopping center properties bearing interest at 7.95%. Proceeds from the
financing were used to pay down the Trust's existing unsecured revolving credit
facility, thereby providing additional funds for the Trust's development
pipeline.
Conference Call
---------------
Federal Realty's third quarter conference call is scheduled for 11:00 a.m.
Monday November 6, 2000. Please call 719/457-2661 5-10 minutes prior to the
start time. Federal Realty will also provide an online Web Simulcast on the
company's web site, www.federalrealty.com. For those interested parties who are
---------------------
unable to participate in the conference call, a re-broadcast will be available
online at www.federalrealty.com beginning at 2:00 p.m. on November 6. A
---------------------
telephone recording of the call can also be heard by dialing 719/457-0820. The
pass-code for this replay is 532591.
Federal Realty is an equity real estate investment trust specializing in
the ownership, management, development and redevelopment of prime retail and
urban mixed-use districts. The Trust's real estate portfolio contains more than
120 properties consisting of community and neighborhood shopping centers, urban
mixed-use main street retail and apartment properties located in strategic
metropolitan markets across the United States. These markets include Boston,
New York, Philadelphia, Washington D.C., Chicago, San Antonio, Portland, San
Francisco, Los Angeles, San Jose and San Diego. The Trust is nationally
recognized for both its main street revitalization and value-added urban
development programs.
Federal Realty has paid quarterly dividends to its shareholders
continuously since its founding in 1962 and has increased its dividend rate for
33 consecutive years. Shares of the Trust are traded on the New York Stock
Exchange under the symbol:FRT.
Certain matters discussed within this press release may be deemed to be forward
looking statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Although Federal Realty Investment Trust believes the
expectations reflected in such forward looking statements are based on
reasonable assumptions, it can give no assurance that its expectations will be
attained. Factors of a general nature that could cause actual results to differ
materially from Federal's expectations are detailed from time to time in the
company's SEC reports and filings, including its annual report on Form 10-K.
Federal assumes no obligation to update or supplement forward looking statements
that become untrue because of subsequent events.
<PAGE>
Financial Highlights
(in thousands, except per share data)
( unaudited)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
OPERATING RESULTS 2000 1999 2000 1999
----------------- ---- ---- ---- ----
<S> <C> <C> <C> <C>
Revenues
Rental income $ 64,101 $ 61,971 $ 192,584 $ 181,078
Other property income 2,683 3,349 8,148 8,176
Interest and other income 1,797 1,935 5,759 5,779
--------- --------- ----------- ----------
68,581 67,255 206,491 195,033
Expenses
Rental 13,015 12,950 41,057 39,054
Real estate taxes 6,741 6,477 19,720 18,344
Interest 15,992 14,989 49,521 45,507
Administrative 3,245 5,474 9,035 10,888
Depreciation and amortization 13,440 12,381 39,433 37,313
--------- --------- ----------- ----------
52,433 52,271 158,766 151,106
--------- --------- ----------- ----------
Operating income before investors' share of operations 16,148 14,984 47,725 43,927
Investor's share of operations (1,727) (798) (4,772) (2,322)
--------- --------- ----------- ----------
Income before gain (loss) on sale of real estate 14,421 14,186 42,953 41,605
Gain (Loss) on sale of real estate - - 3,681 (7,050)
--------- --------- ----------- ----------
Net Income $ 14,421 $ 14,186 $ 46,634 $ 34,555
Dividends on preferred stock (1,988) (1,988) (5,963) (5,963)
--------- --------- ----------- ----------
Net income available for common shareholders $ 12,433 $ 12,198 $ 40,671 $ 28,592
========= ========= =========== ==========
Earnings per common share, basic $ 0.32 $ 0.31 $ 1.05 $ 0.72
========= ========= =========== ==========
Earnings per common share, diluted $ 0.32 $ 0.30 $ 1.04 $ 0.72
========= ========= =========== ==========
Weighted average shares outstanding, basic 38,695 39,634 38,812 39,534
Weighted average shares outstanding, diluted 39,774 40,701 39,949 40,639
Funds from Operations
Net income available for common shareholders $ 12,433 $ 12,198 $ 40,671 $ 28,592
Add: (gain) loss on sale of real estate 0 0 (3,681) 7,050
Add: depreciation and amortization of real estate assets 12,229 11,232 35,852 33,849
Add: amortization of initial direct costs of leases 897 775 2,597 2,235
Add: income attributable to operating partnership units 278 191 1,022 552
--------- --------- ----------- ----------
Funds from operations $ 25,837 $ 24,396 $ 76,461 $ 72,278
========= ========= =========== ==========
Funds from operations per share, diluted $ 0.65 $ 0.60 $ 1.91 $ 1.78
========= ========= =========== ==========
</TABLE>
<TABLE>
<CAPTION>
September 30, December 31,
2000 1999
---- ----
<S> <C> <C>
BALANCE SHEET DATA
------------------
Assets
Real estate, at cost $ 1,804,186 $1,721,459
Accumulated depreciation and amortization (349,822) (317,921)
----------- ----------
1,454,364 1,403,538
Mortgage notes receivable 46,089 53,495
Cash and investments 13,726 11,738
Receivables 20,585 23,130
Other assets 44,275 42,147
----------- ----------
Total assets $ 1,579,039 $1,534,048
=========== ==========
Liabilities and Shareholders' Equity
Obligations under capital leases & mortgages payable $ 172,178 $ 172,573
Notes payable 330,091 162,768
Senior Notes 410,000 510,000
5 1/4% Convertible subordinated debentures 75,289 75,289
Other liabilities 117,966 111,591
Shareholders' Equity 473,515 501,827
------------ -----------
$ 1,579,039 $ 1,534,048
============ ===========
</TABLE>
<PAGE>
Glossary of Terms
Average occupancy costs: Includes rent, common area maintenance expense, real
estate taxes, merchant association dues and other charges
Economic occupancy: The square footage generating rental income expressed as a
percentage of its total rentable square feet.
Leases signed - comparable: Represents leases signed on spaces for which there
was a former tenant.
Leases signed - noncomparable: Represents leases signed on spaces for which
there was no previous tenant, i.e. expansion space or space that was previously
non-leasable.
Leases signed - prior rent: Total rent paid by the previous tenant; includes
minimum and percentage rent.
Net Operating Income: Gross revenues, including interest income, less rental
expenses and real estate taxes.
Occupancy: The currently leased portion of a property expressed as a percentage
of its total rentable square feet; includes square feet covered by leases for
stores not yet opened.
Overall occupancy: Occupancy for the entire portfolio -- includes all operating
properties owned in reporting period.
Same center occupancy: Occupancy for only those properties owned and operating
in the periods being compared. Excludes centers purchased or sold as well as
properties under redevelopment and development.
Tenant improvement costs: Represents the total dollars committed for the
improvement (fit-out) of a space as relates to a specific lease. The amounts
shown represent not only the estimated cost to fit-out the tenant space, but may
also include base building costs (i.e. expansion, escalators or new entrances)
which are required to make the space leasable.
