PRESENTATION Q U A RT E R E N D E D J U N E 3 0 , 2 0 1 8 450 - - PowerPoint PPT Presentation

450 Lexington Ave New York, NY 10017 800.468.7526 BRIXMOR.COM

INVESTOR

PRESENTATION

Q U A RT E R E N D E D J U N E 3 0 , 2 0 1 8

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• We are one of the largest open-air retail landlords in the US
• We strive to own properties that are the “centers of the communities” we serve
• Non-discretionary, value-oriented retail mix with strong service component
• ~70% of centers are grocery-anchored
• High quality, well-diversified portfolio with 5,000+ national, regional, local tenants

PORTFOLIO QUICK FACTS

Number of shopping centers 471 GLA 80M SF Average shopping center size 170K SF Percent billed 89.4% Percent leased 92.5% Percent leased – Anchors (≥ 10K SF) 95.6% Percent leased – Small shops (< 10K SF) 85.1% Average grocer sales PSF 1 ~$550 Average grocer occupancy cost 1 < 2%

2% Other 74%

Community / Neighborhood

13% Power center 11% Grocery-anchored

regional center

FLEXIBLE RETAIL FORMAT 2 TOP RETAILERS BY ABR

Retailer Stores % of GLA % of ABR ABR PSF Credit Rating (S&P/Moody’s) 89 3.5% 3.2% $10.74 A+ / A2 61 5.1% 3.0% 7.07 BBB / Baa1 149 2.1% 1.9% 10.54 BBB- / Baa2 25 1.7% 1.5% 10.47 BBB / Baa1 31 1.7% 1.4% 9.41 NR 23 3.5% 1.4% 4.59 AA / Aa2 23 1.9% 1.3% 8.50 BB / Baa2 20 1.4% 1.3% 10.50 B / Ba2 33 1.1% 1.1% 11.46 A- / A3 31 1.0% 1.0% 12.84 BBB- / Baa2 TOP 10 485 23.0% 17.1% $8.78

BRIXMOR?

WHO IS

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HIGHLIGHTS

2Q 2018

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Executing on all facets of balanced & self-funded business plan

36.1% 20.7% 42.7% 36.7% 28.7% 2Q17 3Q17 4Q17 1Q18 2Q18

New Lease Rent Spreads

(comparable only)

Stable Lease TIs / Duration

$21.48 $23.39 $20.62 $21.11 $23.52 9.0 8.8 9.2 10.2 9.6

2Q17 3Q17 4Q17 1Q18 2Q18

New Lease TI PSF Weighted Avg. Lease Term (years)

$13.21 $13.28 $13.47 $13.61 $13.73 2Q17 3Q17 4Q17 1Q18 2Q18

ABR PSF Trajectory Delivering Reinvestment Value Now

$36M

Delivered YTD1

12%

Incremental returns1,2 at

Prudent Capital Allocation

$246M of dispositions YTD $185M of debt reduction YTD $33M of share repurchases YTD

Visible Tailwinds

~$34M

Value creation3

$43M

Record level of leases signed but not yet commenced

310bps

Spread between leased and billed

• ccupancy, widest since IPO

• We are a leading landlord to retailers who thrive in today’s environment
• We are the most productive leasing platform in the industry
• We have unmatched visibility on growth
• We have an unparalleled opportunity to invest in our assets and drive future growth
• We have a self-funded business plan and disciplined approach to capital allocation
• We have an attractive, well-covered dividend
• We have a strong balance sheet providing maximum flexibility

POSITIONED TO DRIVE SUSTAINABLE GROWTH

WHY BRIXMOR?

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CAPTURING RETAILER MARKET SHARE

WHY BRIXMOR?

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Trusted partner

• One of the largest landlords to thriving retailers including:
• Proven national relationships driving outsized market share
• Recognizing the importance of our tenants’ success

Brixmor’s Share of New Store Opening Plans (2018)1

8% 11% 6% 13% 6% 20% 11% 2% 2% 4% 4% 3% 3% 1% 1% 2% 2% 4% 4% 1% 1%

Ross Burlington TJX Sprouts Fitness Party City Panera

BRX Share of New Stores BRX Share of Existing Retailer Fleet

Fitness

Local sharpshooter approach

• Focused on targeting and developing relationships with successful

local merchants… “The Local Anchor”

• Harvesting valuable local market insight
• Best-in-class leasing and operational service

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LEASING OUTPERFORMANCE

WHY BRIXMOR?

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Sector leading leasing

$12 $13 $18 $31 1 $36 $45 1.7% 3.9% 2.9% 3.4% 3.7% 4.8%

FRT RPAI DDR REG KIM BRX New ABR Created ($M) % of Portfolio ABR 325 325 574 730 1,199 1,211 11 2,772 72 3,652 25% 19% 24% 9% 16% 21% 33%

RPAI WRI FRT REG DDR KIM BRX New Lease GLA (K SF) New Lease Spreads

New lease productivity – TTM1 New ABR created – TTM2 Better tenants, better rent

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VISIBILITY ON GROWTH

WHY BRIXMOR?

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More Upside Less Downside

Significant revenue growth opportunity

• Historic under-investment and under-management
• Below-market rent profile
• Unmatched mark-to-market opportunity

Lower relative retailer watchlist exposure

(by GLA)

5.1% 5.5% 5.8% 6.6% 7.8% 9.0% 10.3%

WRI REG BRX FRT KIM DDR RPAI

Source: ISI 1 $8.66 $11.31

Expiring anchor ABR PSF 2018 - 2021 with no remaining options TTM new anchor lease ABR PSF

GLA (K SF) 4,449 2,304

31% upside

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More Upside Less Downside

Tailwinds from executed leasing

• $43M of ABR from leases signed but not yet commenced

Proactive risk reduction

$0 $23 $36 $23 $13 $8

2018 1H 2019 2H 2019+ Expected Commencement Commencing in period Previously commenced 52% ($M) 83% 100% At IPO Pro Forma 29 10 Number of Stores 1.3% 0.5% % of ABR

Sears / Kmart Exposure

77 55 Number of Stores 2.1% 1.5% % of ABR

Office Supply Exposure

VISIBILITY ON GROWTH

WHY BRIXMOR?

2018 1H 2019 2H 2019+

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HIGHLY ACCRETIVE REINVESTMENT OPPORTUNITIES

WHY BRIXMOR?

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Over $1B of identified reinvestment opportunities

• Multiple years of reinvestment at highly accretive yields

Actively underway on

$330M1

• f reinvestment projects

 Effectively pre-leased  Average incremental returns of 9%1 → Over $180M of value creation2 Ramping to active pipeline of

$400 - 450M

by 2019  Will support annual reinvestment delivery of $150M - $200M  Represents an additional 150 – 250bps of growth → Annual value creation of $100M2

INVEST IN OUR ASSETS & DRIVE FUTURE GROWTH

WHY BRIXMOR?

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BRX Redevelopment Only Representative Ground-up Development Representative Redevelopment vs. Ground-up Development Total investment $200M $600M

~1/3 /3 the amount

invested Yield ~9% ~7% Residual cap-rate 6.0% 6.0% Value creation $100M $100M Same value creation Risk of value destruction Residual cap-rate 6% - 8% 6% - 8% Value creation $50 - $133M ($75) - $100M

Substantial value creation

Follow-on growth impact

78.4%

Small Shop Occupancy At Future Redevelopments Potential Small Shop Occupancy Following Reinvestment

↗

600 600 – 800 800bps

bps

small shop occupancy improvement following reinvestment

 Effectively pre-leased  Highly accretive returns  Small project sizes / shorter timelines  Incremental follow-on growth impact  Small percent of TEV in program At lower risk

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SELF-FUNDED PLAN & DISCIPLINED CAPITAL ALLOCATION

WHY BRIXMOR?

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 Reinvestment pipeline  Leverage reduction  Stock repurchase program initiated December 2017

• To date, repurchased $39M, excluding commissions

 Selective acquisitions

• Execute on opportunities to build critical mass in attractive

existing markets

• Taking advantage of current liquidity in the transaction

market to capture NAV

• Disciplined execution focused on maximizing risk-

adjusted hold IRRs

Dispositions Strategic investments

$600M

Dispositions since January 2017

Exiting single asset markets

• 18 exited since January 2017

Elevating the efficiency and long-term

growth profile of the Company

Demographics below portfolio averages

• Population (5-mile) ~35% below
• Avg. HH income (5-mile) ~15% below

Free cash flow

• Free cash flow of $100M funds$175M of

accretive reinvestment while further reducing leverage

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ATTRACTIVE, WELL-COVERED DIVIDEND

WHY BRIXMOR?

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One of the highest yields in the sector with the best coverage

Annual dividend growth

$0.80 $0.90 $0.98 $1.04 $1.10 2014 2015 2016 2017 2018E 54% 56% 56% 61% 63% 63% 66% 66% 75% 6.2% 3.5% 3.2% 5.3% 5.2% 6.7%

• 2%

BRX REG FRT RPAI WRI KIM Payout Ratio Dividend Yield

Dividend yield and FFO payout ratio

Source: Citi Research as of 7/31/2018

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BALANCE SHEET PROVIDING MAXIMUM FLEXIBILITY

WHY BRIXMOR?

21 Weighted avg. stated interest rate 3.8% Weighted avg. maturity 4.8 years Fixed / Variable 100% / 0% Unencumbered ABR 80.9% Net principal debt to Adjusted EBITDA 6.4x Net principal debt to Cash Adjusted EBITDA 6.7x Fixed charge coverage 3.6x Fitch BBB- Stable Moody’s Baa3 Stable S&P BBB- Stable

$0 $600 $658 $686 $500 $500 $807 $700 $608 $400 $11

$0 $250 $500 $750 $1,000 $1,250 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028+

Secured Mortgages Term Loans Unsecured Notes

Attractive leverage profile Manageable near-term debt maturities ($M)

Debt Statistics Leverage & Coverage Ratios Credit Ratings

5.4 5.5 5.5 5.8 6.6 6.9 7.3 7.4

RPAI REG WRI FRT BRX KRG DDR KIM

Net debt + preferred / forward cash EBITDA

Source: Citi Research as of 3/31/2018

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REDEVELOPMENTS

REPRESENTATIVE FUTURE

• Located directly across from UC Davis with 35K+ students
• 104K SF shopping center with potential to add 65K+ SF
• Opportunity to remerchandise with retailers relevant to student

population and enhance restaurant experience – Potential to add residential / student housing component → Net estimated costs of $40M → Expected NOI yield of 10 - 12% (including anticipated residential entitlement sales)

University Mall – Davis, CA

• Located in North Miami Beach with population density of 260K+
• 339K SF enclosed mall originally built in 1956
• Opportunity to de-mall center to drive rental rates with additional

street exposure – Expand merchandise mix with potential addition of grocery, fitness and entertainment & enhance restaurant experience → Net estimated costs of $60M → Expected NOI yield of ~9%

Mall at 163rd Street – Miami, FL

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COMMUNITIES WE SERVE

CENTERS OF

GREEN STAR RECIPIENT

Delivering sustainable growth for our stakeholders through a relentless focus on the environmental, social and economic well-being of the communities we serve, our tenants and our employees

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Committed & responsible employer

• 90% of Brixmor employees rated the

culture as ‘Positive’ in an Employee Satisfaction Survey

• Industry-leading benefits & perks
• Placed dedicated Facility Managers at

five key properties; all military veterans

Positive impact on local community

• Robust tenant engagement program
• Help retailers open more quickly and
• perate more efficiently
• Partner with local communities on

events and use of public spaces

Reduced environmental impact

• Solar: >10 MW renewable energy

installed or under development

• Smart irrigation: >40M gallons of

water saved annually

• Energy Efficiency: >130 LED projects

completed to-date

2014 2015 2016 2017

CAM Electric Consumption vs Target

GOLD LEVEL

Baseline Target Actual

Actual reduction of electric consumption well ahead of 25% target reduction rate

CORPORATE GOVERNANCE

INDUSTRY LEADING

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Enhancing value creation with strong corporate governance practices Ranked 3rd

rd of all public REITS in Green Street 2018 corporate governance rankings

CORPO PORA RATE GOVERN RNANCE PROFI FILE De-classified Board of Directors



Will not classify without stockholder approval

Diversity in composition of directors



Women currently constitute 25% of the Board

Mandatory retirement age of 75



Average age of 58

Robust director and officer stock ownership



Must hold BRX stock worth 5x cash retainer (directors) or 3x-6x base salary (officers)

No supermajority voting standards



Simple majority of voting shares

Majority voting for directors



Directors who do not receive majority support in uncontested elections must submit resignations to Board

Independent chairman and lead independent director



John G. Schrieber ; William D. Rahm

Opted out of the Maryland business combination and control share acquisition statutes



Will not opt in without stockholder approval

No poison pill



Will not adopt poison pill without stockholder approval

Binding bylaw amendments by simple majority vote



May be proposed by stockholders

Pledging and hedging of BRX stock by directors and executive officers prohibited



No cumulative voting



GENERAL INFO & FUNDAMENTALS

REITs

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What is a REIT? A REIT, or Real Estate Investment Trust, is a company that owns, operates or finances income-producing real estate. Modeled after mutual funds, REITs give all investors access to the benefits of real estate investment along with the advantages of investing in a publicly traded stock How to qualify as a REIT 1,2:  Invest at least 75% of total assets in real estate  Derive at least 75% of gross income from real estate investments  Must have a minimum of 100 shareholders and no more than 50% of shares held by five or fewer individuals

 Distribute at least 90% of taxable income to shareholders annually through dividends

– Nearly all REITs pay at least 100% to avoid taxation – Allows shareholders to share in a REITs cash flow growth Key Metrics and Terminology 1

Earnings Metrics

Nareit FFO

• Most commonly accepted and reported measure of REIT operating performance
• Nareit FFO = Net income + Depreciation and Amortization -/+ gains/losses on depreciable property sales + JV adjustments

Operating Metrics

Same Property NOI

• Used to compare company’s core operations
• Typically includes properties that have had stable operations for at least one year, thereby excluding noise from development, redevelopment or other

value-add investment impacts Tenant Improvements

• Upon initiation of a new or renewal lease, landlords may offer potential tenants a build-out package to renovate or update the space to the tenant’s needs

Valuation Metrics

Value enhancing capital expenditures

• Total market value of a property, and all other real estate related income streams plus current assets and, if any, the development pipeline and land bank,

less total debt and preferred equity. To arrive at an estimated market value for the underlying real estate, the next four quarters of expected property NOI are capitalized using an appropriate “cap rate” which encapsulates growth, asset quality and risk. For valuation purposes, an investor can look at the current discount or premium that a stock is trading at relative to estimated NAV and can also compare NAV premium/discounts or absolute cap rates of peer

• companies. An “as of today” or “liquidation” metric, NAV has its fair share of shortcomings in that it typically excludes the expected value of future accretive

investment opportunities as well as G&A impacts

SOURCES

FOOTNOTES &

Page 3 Who Is Brixmor? 1. Based on a combination of most recent tenant reported information and management estimates. 2. Community Centers include properties with total GLA between 125K - 400K SF. Neighborhood Centers include properties with total GLA less than 125K SF. Grocery-Anchored Regional Centers include properties greater than 250K SF with small shop spaces accounting for less than 30% of total property GLA, and that have a traditional or specialty grocer at the property (either owned or non-owned). Power Centers include properties greater than 250K SF with small shop spaces accounting for less than 30% of total property GLA, and that do not have a traditional or specialty grocer at the property (either owned or non-owned). Other includes lifestyle centers, unanchored strip centers, and single tenant centers. Page 14 Highly Accretive Reinvestment Opportunities 1. Represents gross project costs less any project specific credits (lease termination fees or other ancillary credits). 2. Based on 6.0% cap rate and 9% NOI yield. Page 26 REITs – General Info & Fundamentals 1. Source: RBC Capital Markets. 2. Source: Nareit.

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DISC SCLAIMER ER Safe Harbor Langua uage This document may contain 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. These statements include, but are not limited to, statements related to the Company’s expectations regarding the performance of its business, its financial results, its liquidity and capital resources and other non-historical statements. You can identify these forward-looking statements by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “projects,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version

• f these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties, including those described under the section entitled “Risk Factors” in the Company’s Annual Report on

Form 10-K for the year ended December 31, 2017, as such factors may be updated from time to time in our periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in the Company’s filings with the SEC. The Company undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law. Page 9 Leasing Outperformance 1. Data based on company filings as of 2Q 2018. Leasing spreads based on comparable leases/spaces only. FRT and REG comparable leases include those in which there was a former tenant. WRI comparable leases include those in which there was a former tenant within prior 24 months. All other comparable leases include only those in which there was a former tenant within the prior year. RPAI and WRI leasing data excludes non-comparable new leases, as data not provided in company filings. DDR leasing data includes RVI. 2. Includes new, renewal and option leases executed in TTM and calculated as new ABR less old or prior ABR for comparable leases plus new ABR for non-comparable leases. FRT excludes options. Excludes WRI, as data is not provided in company filings. Page 11 Visibility On Growth 1. Source: ISI. Methodology: ISI looked at more than 60 retailers that they believe are the most at risk to closing stores based on conversations with numerous industry participants to determine the “at-risk” roster at this time. They also include a few restaurants (i.e. Kona Grill) to the list as the category is becoming an increasingly important category to track with many restaurants taking space in malls (restaurants were selected based on low credit ratings provided by Creditntell). ISI breaks down the watch list into two buckets which are department stores and non-department stores. ISI shows the exposure each retail REIT has to the aforementioned buckets based on store count and GLA. A better method to formulate exposure would have been to calculate “at-risk percentages” using annualized base rent (ABR) but unfortunately the majority

• f the REITs do not provide this metric for all the listed tenants.

Page 4 2Q 2018 Highlights 1. Represents gross project costs less any project specific credits (lease termination fees or other ancillary credits). 2. NOI yield is calculated as the projected incremental NOI as a percentage of the incremental third party costs of a specified project, net of any project specific credits (i.e. lease termination fees or other ancillary credits). 3. Based on 6.0% cap rate. Page 7 Capturing Retailer Market Share 1. Based on retailers announced store opening plans. BRX Share of new stores reflects LOIs and leases in negotiation. Page 21 Balance Sheet Providing Maximum Flexibility 1. Pro forma for New DDR.