8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM

8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 22, 2020

EMPIRE STATE REALTY TRUST, INC.

(Exact Name of Registrant as Specified in its Charter)


Maryland	001-36105	37-1645259
(State or other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

EMPIRE STATE REALTY OP, L.P.

(Exact Name of Registrant as Specified in its Charter)


Delaware	001-36106	45-4685158
(State or other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)


111 West 33 rd Street, 12 th Floor New York, New York		10120
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s telephone number, including area code:

(212) 687-8700

n/a

(Former name or former address, if changed from last report)

Check the appropriate box below if the Form

8-K

filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Empire State Realty Trust, Inc.
Class A Common Stock, par value $0.01 per share	ESRT	The New York Stock Exchange

Empire State Realty OP, L.P.
Series ES Operating Partnership Units	ESBA	NYSE Arca, Inc.
Series 60 Operating Partnership Units	OGCP	NYSE Arca, Inc.
Series 250 Operating Partnership Units	FISK	NYSE Arca, Inc.

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule

12b-2

of the Securities Exchange Act of 1934 (§

240.12b-2

of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

☐

Item 2.02.

Results of Operations and Financial Condition.

On April 22, 2020, Empire State Realty Trust, Inc. (the “Company” or “we”) issued a press release announcing its financial results for the first quarter 2020. The press release referred to certain supplemental information that is available on the Company’s website. The press release and supplemental report are attached hereto as Exhibits 99.1 and 99.2, respectively, and are incorporated by reference herein.

The information in Item 2.02 of this Current Report, including Exhibits 99.1 and 99.2, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section. Such information shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, unless it is specifically incorporated by reference therein.

Item 7.01.

Regulation FD Disclosure

As discussed in Item 2.02 above, the Company issued a press release regarding its financial results for the first quarter 2020 and made available on its website certain supplemental information relating thereto.

The information in Item 7.01 of this Current Report is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that Section. Such information shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act or the Exchange Act, unless it is specifically incorporated by reference therein.

Item 9.01.

Financial Statements and Exhibits.

(d) Exhibits.


Exhibit No.		Description

	99.1	Press Release announcing financial results for the first quarter 2020

	99.2	Supplemental report

	104	Cover Page Interactive File (the cover page tags are embedded within the Inline XBRL document).

Non-GAAP

Supplemental Financial Measures

Funds From Operations (“FFO”)

in-substance

real estate investments, gains or losses from debt restructurings and sales of depreciable operating properties, plus real estate-related depreciation and amortization (excluding amortization of deferred financing costs), less distributions to

non-controlling

interests and gains/losses from discontinued operations and after adjustments for unconsolidated partnerships and joint ventures. FFO is a widely recognized

non-GAAP

financial measure for REITs that we believe, when considered with financial statements determined in accordance with GAAP, is useful to investors in understanding financial performance and providing a relevant basis for comparison among REITs. In addition, FFO is useful to investors as it captures features particular to real estate performance by recognizing that real estate has generally appreciated over time or maintains residual value to a much greater extent than do other depreciable assets. Investors should review FFO, along with GAAP net income, when trying to understand an equity REIT’s operating performance. We present FFO because we consider it an important supplemental measure of our operating performance and believe that it is frequently used by securities analysts, investors and other interested parties in the evaluation of REITs. However, because FFO excludes depreciation and amortization and captures neither the changes in the value of our properties that result from use or market conditions nor the level of capital expenditures and leasing commissions necessary to maintain the operating performance of our properties, all of which have real economic effect and could materially impact our results of operations, the utility of FFO as a measure of performance is limited. There can be no assurance that FFO presented by us is comparable to similarly titled measures of other REITs. FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. Although FFO is a measure used for comparability in assessing the performance of REITs, as the NAREIT White Paper only provides guidelines for computing FFO, the computation of FFO may vary from one company to another.

Modified Funds From Operations (“Modified FFO”)

non-cash

accounting treatment under GAAP, which stems from the third quarter 2014 acquisition of two option properties following our formation transactions as they carry significantly below market ground leases, the amortization of which is material to our overall results. We present Modified FFO because we consider it an important supplemental measure of our operating performance in that it adds back the

non-cash

amortization of below-market ground leases. There can be no assurance that Modified FFO presented by us is comparable to similarly titled measures of other REITs. Modified FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. Modified FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions.

Core Funds From Operations (“Core FFO”)

Core FFO adds back to Modified FFO the following items: acquisition expenses, deferred tax asset

write-off

and loss on early extinguishment of debt. The Company presents Core FFO because it considers it an important supplemental measure of its operating performance in that it excludes

non-recurring

items. There can be no assurance that Core FFO presented by the Company is comparable to similarly titled measures of other REITs. Core FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. Core FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. In future periods, we may also exclude other items from Core FFO that we believe may help investors compare our results.

Core Funds Available for Distribution (“Core FAD”)

In addition to Core FFO, we present Core FAD by (i) adding to Core FFO

non-real

estate depreciation and amortization, the amortization of deferred financing costs, amortization of debt discounts and

non-cash

compensation expense and (ii) deducting straight line rent, recurring second generation leasing commissions, tenant improvements, prebuilts, capital expenditures, furniture, fixtures & equipment purchases, amortization of debt premiums and above/below market rent revenue. Core FAD is presented solely as a supplemental disclosure that management believes provides useful information regarding our ability to fund our dividends. Core FAD does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. Core FAD is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. There can be no assurance that Core FAD presented by us is comparable to similarly titled measures of other REITs.

Net Operating Income (“NOI”)

NOI is a

non-GAAP

financial measure of performance. NOI is used by our management to evaluate and compare the performance of our properties and to determine trends in earnings and to compute the fair value of our properties as it is not affected by: (i) the cost of funds of the property owner, (ii) the impact of depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets that are included in net income computed in accordance with GAAP, (iii) acquisition expenses, loss on early extinguishment of debt and loss from derivative financial instruments, or (iv) general and administrative expenses and other gains and losses that are specific to the property owner. The cost of funds is eliminated from NOI because it is specific to the particular financing capabilities and constraints of the owner. The cost of funds is eliminated because it is dependent on historical interest rates and other costs of capital as well as past decisions made by us regarding the appropriate mix of capital which may have changed or may change in the future. Depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets are eliminated because they may not accurately represent the actual change in value in our office or retail properties that result from use of the properties or changes in market conditions. While certain aspects of real property do decline in value over time in a manner that is reasonably captured by depreciation and amortization, the value of the properties as a whole have historically increased or decreased as a result of changes in overall economic conditions instead of from actual use of the property or the passage of time. Gains and losses from the sale of real property vary from property to property and are affected by market conditions at the time of sale which will usually change from period to period. These gains and losses can create distortions when comparing one period to another or when comparing our operating results to the operating results of other real estate companies that have not made similarly-timed purchases or sales. We believe that eliminating these costs from net income is useful because the resulting measure captures the actual revenue, generated and actual expenses incurred in operating our properties as well as trends in occupancy rates, rental rates and operating costs. However, the usefulness of NOI is limited because it excludes general and administrative costs, interest expense, depreciation and amortization expense and gains or losses from the sale of properties, and other gains and losses as stipulated by GAAP, the level of capital expenditures and leasing costs necessary to maintain the operating performance of our properties, all of which are significant economic costs. NOI may fail to capture significant trends in these components of net income which further limits its usefulness. NOI is a measure of the operating performance of our properties but does not measure our performance as a whole. NOI is therefore not a substitute for net income as computed in accordance with GAAP. This measure should be analyzed in conjunction with net income computed in accordance with. Other companies may use different methods for calculating NOI or similarly titled measures and, accordingly, our NOI may not be comparable to similarly titled measures reported by other companies that do not define the measure exactly as we do.

EBITDA

We compute EBITDA as net income plus interest expense, income taxes and depreciation and amortization. We present EBITDA because we believe that EBITDA, along with cash flow from operating activities, investing activities and financing activities, provides investors with an additional indicator of its ability to incur and service debt. EBITDA should not be considered as an alternative to net income (determined in accordance with GAAP), as an indication of our financial performance, as an alternative to net cash flows from operating activities (determined in accordance with GAAP), or as a measure of its liquidity.

SIGNATURE

Pursuant to the requirements of the Exchange Act, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


	EMPIRE STATE REALTY TRUST, INC.
	(Registrant)

Date: April 22, 2020	By:	/s/ Thomas N. Keltner, Jr.
		Name: Thomas N. Keltner, Jr.
		Title: Executive Vice President, General Counsel and Secretary

Pursuant to the requirements of the Exchange Act, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


	EMPIRE STATE REALTY OP, L.P.
	(Registrant)

	By: Empire State Realty Trust, Inc., as general partner

Date: April 22, 2020	By:	/s/ Thomas N. Keltner, Jr.
		Name: Thomas N. Keltner, Jr.
		Title: Executive Vice President, General Counsel and Secretary

EX-99.1

LOGO

Exhibit 99.1

EMPIRE STATE REALTY TRUST ANNOUNCES FIRST QUARTER 2020 RESULTS

- Earnings of $0.02 Per Fully Diluted Share -

- Core FFO of $0.18 Per Fully Diluted Share -

- Strong and Flexible Balance Sheet with Over $1 Billion in Cash –

New York, New York, April 22, 2020—Empire State Realty Trust, Inc. (NYSE: ESRT) (the “Company”), a real estate investment trust with office and retail properties in Manhattan and the greater New York metropolitan area, today reported its operational and financial results for the first quarter of 2020.

“We have positioned ourselves for change and face this special period with a rock-solid balance sheet to allow us to meet our requirements and provide for external growth. I look forward to our earnings call and a full discussion of the impacts on our business from the “19,” the repurchase of our shares, and our plans for the use of our balance sheet,” stated Anthony E. Malkin, Empire State Realty Trust’s Chairman and Chief Executive Officer.

First Quarter Highlights

•

Net income attributable to the Company was $0.02 per fully diluted share.

•

Core Funds From Operations (“Core FFO”) was $0.18 per fully diluted share.

•

Fortified its already strong balance sheet with the completion of several financings that raised $300 million in net incremental proceeds.

•

Increased its cash balance to over $1 billion with a $550 million draw under its $1.1 billion unsecured revolving credit facility.

•

Repurchased 8.5 million shares at a weighted average price of $9.37 per share, totaling $79.8 million in aggregate, through April 22, 2020.

•

Occupancy and leased percentages at March 31, 2020:

•

Total portfolio was 88.7% occupied; including Signed Leases Not Commenced (“SLNC”), the total portfolio was 91.1% leased.

•

Manhattan office portfolio (excluding the retail component of these properties) was 90.0% occupied; including SLNC, the Manhattan office portfolio was 92.6% leased.

LOGO

•

Retail portfolio was 88.5% occupied; including SLNC, the retail portfolio was 94.0% leased.

•

Empire State Building was 93.7% occupied; including SLNC, was 95.4% leased.

•

Signed 35 leases, representing 149,143 rentable square feet across the total portfolio, and achieved a 3.4% increase in mark-to-market cash rent over previous fully escalated cash rents portfolio-wide on new, renewal, and expansion leases.

•

Signed 12 new leases, representing 63,153 rentable square feet for the Manhattan office portfolio (excluding the retail component of these properties), and achieved an increase of 19.4% in mark-to-market cash rent over previous fully escalated cash rents.

•

Increased Empire State Building Observatory revenues during the first two months of 2020 by 13.2%, after adjusting for the 102nd floor observation deck, to $14.4 million from $12.7 million in the first two months of 2019. On March 16, 2020, the Company complied with the instructions of authorities and closed the Empire State Building Observatory.

•

Declared a dividend of $0.105 per share.

Investor Presentation Update

The Company has posted on the “Investors” section of its website (www.empirestaterealtytrust.com) the latest investor presentation which contains information on the current impact of the COVID-19 pandemic on its businesses, financial condition and results of operations.

Portfolio Operations

As of March 31, 2020, the Company’s total portfolio contained 10.1 million rentable square feet of office and retail space. The Company’s occupancy levels fluctuate in certain periods due to the timing lag between the date of tenants’ move out and the date of Company’s completion of redevelopment work for new leases to commence. As of March 31, 2020, the Company’s portfolio was occupied and leased as shown below. Leased percentages include signed leases not commenced.

LOGO


	March 31, 2020			December 31, 2019			March 31, 2019
Percent occupied:
Total portfolio		88.7	%		88.6	%		88.8	%
Total office		88.7	%		88.5	%		88.6	%
Manhattan office		90.0	%		89.8	%		88.9	%
Empire State Building		93.7	%		94.1	%		92.9	%
Retail		88.5	%		90.3	%		90.7	%
Percent leased:
Total portfolio		91.1	%		91.2	%		91.5	%
Total office		90.9	%		91.0	%		91.4	%
Manhattan office		92.6	%		92.7	%		92.2	%
Empire State Building		95.4	%		95.2	%		94.1	%
Retail		94.0	%		93.1	%		92.3	%

Leasing

For the three months ended March 31, 2020, the Company signed 35 new, renewal, and expansion leases within the total portfolio, comprising 149,143 rentable square feet with an average starting rental rate of $66.58 per rentable square foot, representing an increase of 3.4% over the previous fully escalated cash rent.

On a blended basis, the 24 new, renewal, and expansion office leases, comprising 93,865 rentable square feet signed within the Manhattan office portfolio during the first quarter, had an average starting rental rate of $61.94 per rentable square foot, representing an increase of 12.6% over the previous fully escalated cash rent.

Leases Signed in the First Quarter 2020 for the Manhattan Office Portfolio

•

12 new leases, comprising 63,153 rentable square feet, with an average starting rental rate of $62.78 per rentable square foot, representing an increase of 19.4% over the previous fully escalated cash rent, and

•

12 renewal leases, comprising 30,712 rentable square feet, with an average starting rental rate of $60.20 per rentable square foot, representing an increase of 0.3% over the previous fully escalated cash rent.

LOGO

Observatory

Revenue for January and February 2020 increased 13.2% from January and February 2019, after adjusting for the 102^nd floor observation deck, which was closed for redevelopment in first quarter 2019 and re-opened in the fourth quarter 2019. The Company closed the Empire State Building Observatory on March 16,2020 due to the COVID-19 pandemic.

First Quarter Observatory Results


(dollars in thousands)	2020			2019			Percent Change
Observatory revenue	$	19,544		$	20,569			(5.0	%)
Less: 102^nd floor revenue		(1,808	)		(180	)		—

Observatory revenue excluding 102^nd floor	$	17,736		$	20,389			(13.0	%)

Number of visitors		422,000			601,000			(29.8	%)
Bad weather days (during open days)		15			15
Days closed due to COVID-19		15			—

Balance Sheet

During the quarter, the Company undertook several capital market actions to further enhance the strength and flexibility of its balance sheet. The Company has over $1.0 billion in cash, additional borrowing capacity under its revolving credit facility, low leverage levels and a weighted average debt maturity of more than seven years.

The Company completed several financings that added $300 million in net incremental cash proceeds to its balance sheet at an all-in blended cost of 2.6%, or 3.6% inclusive of interest rate swap agreements, and a weighted average maturity of 8.1 years.

LOGO

On March 17, 2020, the Company issued and sold an aggregate principal amount of $175 million of senior unsecured notes in a private placement to entities affiliated with Prudential Private Capital, MetLife Management Advisors, LLC, and AIG Asset Management. The notes consist of $100 million of 3.61% Series G Senior Notes due March 2032 and $75 million of 3.73% Series H Senior Notes due March 2035.

On March 19, 2020, the Company proactively refinanced its existing $265 million unsecured bank term loan due August 2022 with a new $215 million unsecured term loan due March 2025 with an initial interest rate of LIBOR plus 1.20% and at the same time completed a new $175 million unsecured term loan due December 2026 with an initial interest rate of LIBOR plus 1.50%.

In addition to the aforementioned financings, and as a prudent action to bolster the Company’s cash balance and enhance its flexibility, the Company drew $550 million under the Company’s $1.1 billion unsecured revolving credit facility. The Company held cash and cash equivalents of approximately $1.0 billion at March 31, 2020.

At March 31, 2020, the Company had total debt outstanding of approximately $2.5 billion, with a weighted average interest rate of 3.60% per annum, and a weighted average term to maturity of 7.2 years. At March 31, 2020, the Company’s consolidated net debt to total market capitalization was approximately 35.5% and consolidated net debt to EBITDA was 4.4x.

Through April 22, 2020, the Company purchased 8.5 million of its shares at a weighted average share price of $9.37 per share, totaling $79.8 million, through a combination of open-market purchases and the execution of a 10B5-1 program.

LOGO

Dividend

On March 31, 2020, the Company paid a dividend of $0.105 per share, or unit as applicable, for the first quarter 2020 to holders of the Company’s Class A common stock (NYSE: ESRT) and Class B common stock and to holders of the Series ES, Series 250 and Series 60 partnership units (NYSE Arca: ESBA, FISK and OGCP, respectively) and Series PR partnership units of Empire State Realty OP, L.P., the Company’s operating partnership (the “Operating Partnership”). The Company paid a dividend of $0.15 per unit for the first quarter 2020 to holders of the Operating Partnership’s Series 2014 private perpetual preferred units and paid a dividend of $0.175 per unit for the first quarter 2020 to holders of the Operating Partnership’s Series 2019 private perpetual preferred units.

Webcast and Conference Call Details

Empire State Realty Trust, Inc. will host a webcast and conference call, open to the general public, on Thursday, April 23, 2020 at 1:00 pm Eastern time.

The webcast will be accessible on the “Investors” section of the Company’s website at www.empirestaterealtytrust.com. To listen to the live webcast, go to the site at least five minutes prior to the scheduled start time in order to register, download and install any necessary audio software. Shortly after the call, a replay of the webcast will be available for 90 days on the Company’s website.

The conference call can also be accessed by dialing 1-877-407-3982 for domestic callers or 1-201-493-6780 for international callers. A dial-in replay will be available starting shortly after the call until April 30, 2020, which can be accessed by dialing 1-844-512-2921 for domestic callers or 1-412-317-6671 for international callers. The passcode for this dial-in replay is 13701815.

The Supplemental Report and Investor Presentation are integral components of quarterly earnings announcement and are now available on the “Investors” section of the Company’s website at www.empirestaterealtytrust.com.

LOGO

About Empire State Realty Trust

Empire State Realty Trust, Inc. (NYSE: ESRT), a leading real estate investment trust (REIT), owns, manages, operates, acquires and repositions office and retail properties in Manhattan and the greater New York metropolitan area, including the Empire State Building, the world’s most famous building. Headquartered in New York, New York, the Company’s office and retail portfolio covers 10.1 million rentable square feet, as of March 31, 2020, consisting of 9.4 million rentable square feet in 14 office properties, including nine in Manhattan, three in Fairfield County, Connecticut, and two in Westchester County, New York; and approximately 700,000 rentable square feet in the retail portfolio.

Forward-Looking Statements

This press release includes “forward looking statements” within the meaning of the federal securities laws. Forward-looking statements may be identified by the use of words such as “believes,” “expects,” “may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans,” “estimates,” “contemplates,” “aims,” “continues,” “would” or “anticipates” or the negative of these words and phrases or similar words or phrases. The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: (i) economic, political and social impact of, and uncertainty relating to, the COVID-19 pandemic, including (a) the effectiveness or lack of effectiveness of governmental relief in providing assistance to businesses that have suffered significant declines in revenues as a result of mandatory business shut-downs, “shelter-in-place” or “stay-at-home” orders and social distancing practices, as well as individuals adversely impacted by the COVID-19 pandemic, (b) the duration of any such orders or other formal recommendations for social distancing and the speed and extent to which revenues of the Company’s tenants, particularly retail, and the Observatory recover following the lifting of any such orders or recommendations, (c) the potential impact of any such events on the obligations of the Company’s tenants to make rent and other payments or honor other commitments, (d) international and national disruption of travel and tourism with a resulting decline in Observatory visitors, and (e) macroeconomic conditions, such as a disruption of, or lack of access to, the capital markets, and general volatility adversely impacting the market price of the Company’s Class A common stock and publicly-traded partnership units of the Operating Partnership; (ii) resolution of legal proceedings involving the Company; (iii) reduced demand for office or retail space; (iv)changes in our business strategy; (v) changes in technology and market competition that affect utilization of our broadcast or other facilities; (vi) changes in domestic or international tourism, including due to health crises such as the COVID-19 pandemic, geopolitical events and/or currency exchange rates, which may cause a decline in Observatory visitors; (vii) defaults on, early terminations of, or non-renewal of, leases by tenants; (viii) increases in the Company’s borrowing costs as a result of changes in interest rates and other factors, including the potential phasing out of LIBOR after 2021; (ix) declining real estate valuations and impairment charges; (x) termination or expiration of our ground leases; (xi) our ability to pay down, refinance, restructure or extend our indebtedness as it becomes due and potential limitations on our ability to borrow additional funds in compliance with drawdown conditions and financial covenants; (xii) decreased rental rates or increased vacancy rates; (xiii) our failure to redevelop and reposition properties, or to execute any newly planned capital project successfully or on the anticipated timeline or at the anticipated costs; (xiv) difficulties in identifying properties to acquire and completing acquisitions; (xv) risks related to our development projects (including our Metro Tower development site) and capital projects, including the cost of construction delays and cost overruns; (xvi) impact of changes in governmental regulations, tax laws and rates and similar matters; (xvii) our failure to qualify as a REIT; and (xviii) environmental uncertainties and risks related to adverse weather conditions, rising sea levels and natural disasters. For a further discussion of these and other factors that could impact the Company’s future results, performance or transactions, see the section entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, and other risks described in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission.

LOGO

While forward-looking statements reflect the Company’s good faith beliefs, they are not guarantees of future performance. The Company disclaims any obligation to update or revise publicly any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events, or other changes after the date of this press release, except as required by applicable law. Prospective investors should not place undue reliance on any forward-looking statements, which are based only on information currently available to the Company (or to third parties making the forward-looking statements).

Contact:

Investors

Empire State Realty Trust Investor Relations

(212) 850-2678

IR@empirestaterealtytrust.com

Media

Sard Verbinnen & Co.

(212) 687-8080

LOGO

Empire State Realty Trust, Inc.

Condensed Consolidated Statements of Income

(unaudited and amounts in thousands, except per share data)


	Three Months Ended March 31,
	2020			2019
Revenues
Rental revenue	$	148,113		$	143,417
Observatory revenue		19,544			20,569
Lease termination fees		211			388
Third-party management and other fees		346			320
Other revenue and fees		2,010			2,599

Total revenues		170,224			167,293
Operating expenses
Property operating expenses		41,468			42,955
Ground rent expenses		2,331			2,331
General and administrative expenses		15,951			14,026
Observatory expenses		8,154			7,575
Real estate taxes		29,254			28,232
Depreciation and amortization		46,093			46,098

Total operating expenses		143,251			141,217

Total operating income		26,973			26,076
Other income (expense):
Interest income		637			3,739
Interest expense		(19,618	)		(20,689	)
Loss on early extinguishment of debt		(86	)		—

Income before income taxes		7,906			9,126
Income tax benefit		382			730

Net income		8,288			9,856
Preferred unit distributions		(1,050	)		(234	)
Net income attributable to non-controlling interests		(2,743	)		(3,945	)

Net income attributable to common stockholders	$	4,495		$	5,677

Total weighted average shares
Basic		181,741			175,850

Diluted		292,645			298,049

Net income per share attributable to common stockholders
Basic	$	0.02		$	0.03

Diluted	$	0.02		$	0.03

LOGO

Empire State Realty Trust, Inc.

Reconciliation of Net Income to Funds From Operations (“FFO”),

Modified Funds From Operations (“Modified FFO”) and Core Funds From Operations (“Core FFO”)

(unaudited and amounts in thousands, except per share data)


	Three Months Ended March 31,
	2020			2019
Net income	$	8,288		$	9,856
Preferred unit distributions		(1,050	)		(234	)
Real estate depreciation and amortization		44,430			45,092

FFO attributable to common stockholders and non-controlling interests		51,668			54,714
Amortization of below-market ground leases		1,958			1,958

Modified FFO attributable to common stockholders and non-controlling interests		53,626			56,672
Loss on early extinguishment of debt		86			—

Core FFO attributable to common stockholders and non-controlling interests	$	53,712		$	56,672

Total weighted average shares
Basic		292,645			298,049

Diluted		292,645			298,049

FFO per share
Basic	$	0.18		$	0.18

Diluted	$	0.18		$	0.18

Modified FFO per share
Basic	$	0.18		$	0.19

Diluted	$	0.18		$	0.19

Core FFO per share
Basic	$	0.18		$	0.19

Diluted	$	0.18		$	0.19

LOGO

Empire State Realty Trust, Inc.

Condensed Consolidated Balance Sheets

(unaudited and amounts in thousands)


	March 31, 2020			December 31, 2019
Assets
Commercial real estate properties, at cost	$	3,123,308		$	3,109,433
Less: accumulated depreciation		(886,822	)		(862,534	)

Commercial real estate properties, net		2,236,486			2,246,899
Cash and cash equivalents		1,008,983			233,946
Restricted cash		36,881			37,651
Tenant and other receivables		22,549			25,423
Deferred rent receivables		229,154			220,960
Prepaid expenses and other assets		40,583			65,453
Deferred costs, net		218,578			228,150
Acquired below market ground leases, net		350,609			352,566
Right of use assets		29,256			29,307
Goodwill		491,479			491,479

Total assets	$	4,664,558		$	3,931,834

Liabilities and equity
Mortgage notes payable, net	$	604,763		$	605,542
Senior unsecured notes, net		973,002			798,392
Unsecured term loan facility, net		386,568			264,640
Unsecured revolving credit facility, net		546,436			—
Accounts payable and accrued expenses		142,315			143,786
Acquired below market leases, net		37,623			39,679
Ground lease liabilities		29,256			29,307
Deferred revenue and other liabilities		64,176			72,015
Tenants’ security deposits		30,543			30,560

Total liabilities		2,814,682			1,983,921
Total equity		1,849,876			1,947,913

Total liabilities and equity	$	4,664,558		$	3,931,834

EX-99.2

Exhibit 99.2

LOGO

First Quarter 2020


*Table of Contents*	*Page*
*Summary*
Company Profile		3
Financial Highlights		4
*Selected Property Data*
Property Summary Net Operating Income		5
Net Operating Income and Initial Free Rent Burn-Off		6
Leasing Activity		7
Portfolio Expirations and Vacates Summary		9
Property Detail		10
Tenant Lease Expirations		11
Largest Tenants and Portfolio Tenant Diversification by Industry		14
Capital Expenditures and Redevelopment Program		15
Observatory Summary		16
*Financial information*
Condensed Consolidated Balance Sheets		17
Condensed Consolidated Statements of Income		18
Core FFO, Modified FFO, FFO, FAD and EBITDA		19
Consolidated Debt Analysis
Debt Summary		20
Debt Detail		21
Debt Maturities		22
Ground Leases		22
Supplemental Definitions		23

Forward-looking Statements

We make forward-looking statements in this supplemental package within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You should not rely on them as predictions of future events. For these statements, we claim the protections of the safe harbor for forward-looking statements contained in such Sections.

You can identify forward-looking statements by the use of forward-looking terminology such as “believes,” “expects,” “may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans,” “estimates,” “contemplates,” “aims,” “continues,” “would” or “anticipates” or similar words or phrases in the positive or negative. In particular, forward looking statements include those pertaining to our capital resources, portfolio performance, dividend policy, results of operations, anticipated growth in our portfolio from operations, acquisitions, and market conditions and demographics.

Forward-looking statements involve numerous risks and uncertainties, many of which are difficult to predict and generally beyond our control. They depend on assumptions, data or methods which may be incorrect or imprecise, and we may not be able to realize them. We do not guarantee that the transactions and events described will happen as described (or that they will happen at all).

The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: (i) economic, political and social impact of, and uncertainty relating to, the COVID-19 pandemic, including (a) the effectiveness or lack of effectiveness of governmental relief in providing assistance to businesses that have suffered significant declines in revenues as a result of mandatory business shut-downs, “shelter-in-place” or “stay-at-home” orders and social distancing practices, as well as individuals adversely impacted by the COVID-19 pandemic, (b) the duration of any such orders or other formal recommendations for social distancing and the speed and extent to which revenues of the Company’s tenants, particularly retail, and the Observatory recover following the lifting of any such orders or recommendations, (c) the potential impact of any such events on the obligations of the Company’s tenants to make rent and other payments or honor other commitments, (d) international and national disruption of travel and tourism with a resulting decline in Observatory visitors, and (e) macroeconomic conditions, such as a disruption of, or lack of access to, the capital markets, and general volatility adversely impacting the market price of the Company’s Class A common stock and publicly-traded partnership units of the Operating Partnership; (ii) resolution of legal proceedings involving the Company; (iii) reduced demand for office or retail space; (iv) changes in our business strategy; (v) changes in technology and market competition that affect utilization of our broadcast or other facilities; (vi) changes in domestic or international tourism, including due to health crises such as the COVID-19 pandemic, geopolitical events and/or currency exchange rates, which may cause a decline in Observatory visitors; (vii) defaults on, early terminations of, or non-renewal of, leases by tenants; (viii) increases in the Company’s borrowing costs as a result of changes in interest rates and other factors, including the potential phasing out of LIBOR after 2021; (ix) declining real estate valuations and impairment charges; (x) termination or expiration of our ground leases; (xi) our ability to pay down, refinance, restructure or extend our indebtedness as it becomes due and potential limitations on our ability to borrow additional funds in compliance with drawdown conditions and financial covenants; (xii) decreased rental rates or increased vacancy rates; (xiii) our failure to redevelop and reposition properties, or to execute any newly planned capital project successfully or on the anticipated timeline or at the anticipated costs; (xiv) difficulties in identifying properties to acquire and completing acquisitions; (xv) risks related to our development projects (including our Metro Tower development site) and capital projects, including the cost of construction delays and cost overruns; (xvi) impact of changes in governmental regulations, tax laws and rates and similar matters; (xvii) our failure to qualify as a REIT; and (xviii) environmental uncertainties and risks related to adverse weather conditions, rising sea levels and natural disasters. For a further discussion of these and other factors that could impact the Company’s future results, performance or transactions, see the section entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, and other risks described in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission.

Page 2

LOGO

First Quarter 2020

COMPANY PROFILE

Empire State Realty Trust, Inc., or the Company, is a leading real estate investment trust (REIT) that owns, manages, operates, acquires and repositions office and retail properties in Manhattan and the greater New York metropolitan area, including the Empire State Building, the world’s most famous building.

BOARD OF DIRECTORS


Anthony E. Malkin		Chairman and Chief Executive Officer
William H. Berkman		Director, Chair of Finance Committee
Leslie D. Biddle		Director
Thomas J. DeRosa		Director
Steven J. Gilbert		Director, Lead Director
S. Michael Giliberto		Director, Chair of Audit Committee
Patricia S. Han		Director
James D. Robinson IV		Director, Chair of Compensation and Nominating/Corporate Governance Committees

EXECUTIVE MANAGEMENT


Anthony E. Malkin		Chairman and Chief Executive Officer
John B. Kessler		President and Chief Operating Officer
Thomas P. Durels		Executive Vice President, Real Estate
Thomas N. Keltner, Jr.		Executive Vice President, General Counsel and Secretary

COMPANY INFORMATION


Corporate Headquarters	Investor Relations	New York Stock Exchange
111 West 33rd Street, 12th Floor	Greg Faje	Trading Symbol: ESRT
New York, NY 10120	IR@empirestaterealtytrust.com
www.empirestaterealtytrust.com
(212) 687-8700

RESEARCH COVERAGE


Bank of America Merrill Lynch	James Feldman	(646) 855-5808	james.feldman@baml.com
BMO Capital Markets Corp.	John Kim	(212) 885-4115	jp.kim@bmo.com
BTIG	Thomas Catherwood	(212) 738-6140	tcatherwood@btig.com
Citi	Michael Bilerman	(212) 816-1383	michael.bilerman@citi.com
	Emmanuel Korchman	(212) 816-1382	emmanuel.korchman@citi.com
Evercore ISI	Steve Sakwa	(212) 446-9462	steve.sakwa@evercoreisi.com
	Jason Green	(212) 446-9449	jason.green@evercoreisi.com
Green Street Advisors	Daniel Ismail	(949) 640-8780	dismail@greenstreetadvisors.com
Goldman Sachs	Richard Skidmore	(801) 741-5459	richard.skidmore@gs.com
KeyBanc Capital Markets	Jordan Sadler	(917) 368-2280	jsadler@key.com
	Craig Mailman	(917) 368-2316	cmailman@key.com
Stifel Nicolaus & Company, Inc.	John Guinee	(443) 224-1307	jwguinee@stifel.com
Wells Fargo Securities, LLC	Blaine Heck	(443) 263-6529	blaine.heck@wellsfargo.com

Page 3

LOGO

First Quarter 2020

Financial Highlights

(unaudited and dollars in thousands, except per share amounts)


	Three Months Ended
Selected Items:	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Revenue	$	170,224		$	194,933		$	192,873		$	176,244		$	167,293
Net income	$	8,288		$	28,720		$	26,784		$	18,930		$	9,856
Cash net operating income ⁽¹⁾	$	81,528		$	103,992		$	98,757		$	93,737		$	80,080
Core funds from operations (“Core FFO”) ⁽¹⁾	$	53,712		$	74,935		$	71,810		$	64,476		$	56,672
Core funds available for distribution (“Core FAD”) ⁽¹⁾	$	37,738		$	41,903		$	54,650		$	48,235		$	41,179
Core FFO per share—diluted	$	0.18		$	0.25		$	0.24		$	0.22		$	0.19
Diluted weighted average shares		292,645,000			296,852,000			298,151,000			298,131,000			298,049,000
Dividends declared and paid per share	$	0.105		$	0.105		$	0.105		$	0.105		$	0.105
Portfolio Statistics:
Number of properties		20			20			20			20			20
Total rentable square footage		10,135,413			10,138,057			10,134,495			10,134,435			10,130,875
Percent occupied ⁽²⁾		88.7	%		88.6	%		89.4	%		90.2	%		88.8	%
Percent leased ⁽³⁾		91.1	%		91.2	%		91.7	%		92.2	%		91.5	%
Observatory Metrics:
Number of visitors ⁽⁴⁾		422,000			894,000			1,042,000			968,000			601,000
Change in visitors year over year		(29.8	%)		(5.5	%)		(10.7	%)		(7.7	%)		(6.7	%)
Observatory revenues ⁽⁵⁾	$	19,544		$	37,730		$	37,575		$	32,895		$	20,569
Change in revenues year over year		(5.0	%)		9.2	%		(6.6	%)		(6.6	%)		(3.2	%)
Ratios:
Consolidated Debt to Total Market Capitalization ⁽⁶⁾		47.8	%		28.2	%		27.7	%		29.8	%		28.5	%
Consolidated Net Debt to Total Market Capitalization ⁽⁶⁾		35.5	%		25.2	%		24.1	%		23.6	%		21.6	%
Consolidated Debt and Perpetual Preferred Units to Total Market Capitalization ⁽⁶⁾		49.5	%		29.7	%		28.2	%		30.2	%		28.9	%
Consolidated Net Debt and Perpetual Preferred Units to Total Market Capitalization ⁽⁶⁾		37.6	%		26.8	%		24.5	%		24.0	%		22.0	%
Consolidated Debt to EBITDA ⁽⁷⁾		7.3x			4.8x			4.6x			5.3x			5.2x
Consolidated Net Debt to EBITDA ⁽⁷⁾		4.4x			4.1x			3.8x			3.9x			3.6x
Interest Coverage Ratio		4.3x			5.0x			4.8x			4.4x			4.0x
Core FFO Payout Ratio ⁽⁸⁾		61	%		43	%		45	%		50	%		56	%
Core FAD Payout Ratio ⁽⁹⁾		87	%		76	%		59	%		66	%		77	%
Class A common stock price at quarter end	$	8.96		$	13.96		$	14.27		$	14.81		$	15.80
Average closing price	$	12.24		$	14.04		$	14.12		$	15.48		$	15.36
Dividends per share—annualized	$	0.42		$	0.42		$	0.42		$	0.42		$	0.42
Dividend yield ⁽¹⁰⁾		4.7	%		3.0	%		2.9	%		2.8	%		2.7	%
Series 2013 Private Perpetual Preferred Units outstanding ($16.62 liquidation value)		1,560,360			1,560,360			1,560,360			1,560,360			1,560,360
Series 2019 Private Perpetual Preferred Units outstanding ($13.52 liquidation value)		4,664,038			4,610,383			—			—			—
Class A common stock		176,112,860			180,877,597			179,131,090			176,991,123			175,557,910
Class B common stock		1,015,149			1,016,799			1,018,463			1,029,782			1,035,327
Operating partnership units		120,548,216			117,757,653			124,107,019			126,870,876			128,232,650

Total common stock and operating partnership units outstanding ⁽¹¹⁾		297,676,225			299,652,049			304,256,572			304,891,781			304,825,887

Notes:

(1)	Represents non-GAAP financial measures. For a discussion on what these metrics represent and why the Company presents them, see page 23 and for a reconciliation of these metrics to net income, see pages 5 and 19.

(2)	Based on leases signed and commenced as of end of period.

(3)	Represents occupancy and includes signed leases not commenced.

(4)	Reflects the number of visitors who pass through the turnstile, excluding visitors who make a second visit on the same ticket at no additional charge.

(5)	Observatory revenues include the fixed license fee received from WDFG North America, the Observatory gift shop operator. See page 16.

(6)

Market capitalization represents the sum of (i) Company’s common stock per share price as of March 31, 2020 multiplied by the total outstanding number of shares of common stock and operating partnership units as of March 31, 2020; (ii) the number of Series 2014 perpetual preferred units at March 31, 2020 multiplied by $16.62, (iii) the number of Series 2019 perpetual preferred units at March 31, 2020 multiplied by $13.52, and (iv) our outstanding indebetedness as of March 31, 2020.

(7)	Calculated based on trailing 12 months EBITDA.

(8)	Represents the amount of Core FFO paid out in distributions.

(9)	Represents the amount of Core FAD paid out in distributions.

(10)	Based on the closing price per share of Class A common stock on March 31, 2020.

(11)

As of March 31, 2020, the Company has had conversions from operating partnership units and Class B common shares to Class A common shares totaling 55.5 million shares or approximately $497 million at a closing share price of $8.96. This represents a 67% increase in the number of Class A shares since the IPO.

Page 4

LOGO

First Quarter 2020

Property Summary—Same Store Net Operating Income (“NOI”) by Quarter

(unaudited and dollars in thousands)


	Three Months Ended
	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Same Store Total Portfolio
Revenues	$	150,123		$	155,664		$	152,633		$	142,655		$	146,016
Operating expenses		(73,053	)		(76,051	)		(79,824	)		(70,826	)		(73,518	)

Same store property NOI		77,070			79,613			72,809			71,829			72,498
Straight-line rent		(8,193	)		(6,276	)		(5,174	)		(3,203	)		(5,404	)
Above/below-market rent revenue amortization		(908	)		(1,530	)		(1,682	)		(1,745	)		(2,354	)
Below-market ground lease amortization		1,958			1,958			1,957			1,958			1,958

Total same store property cash NOI—excluding lease termination fees	$	69,927		$	73,765		$	67,910		$	68,839		$	66,698

Percent increase over prior year		4.8	%		6.9	%		2.0	%		0.2	%		0.1	%

Property cash NOI	$	69,927		$	73,765		$	67,910		$	68,839		$	66,698
Observatory cash NOI		11,390			28,987			28,486			24,535			12,994
Lease termination fees		211			1,240			2,361			363			388

Total portfolio same store cash NOI	$	81,528		$	103,992		$	98,757		$	93,737		$	80,080

Same Store Manhattan Office Portfolio ⁽¹⁾
Revenues	$	128,909		$	132,672		$	130,214		$	120,249		$	123,290
Operating expenses		(62,670	)		(65,509	)		(68,516	)		(60,152	)		(62,665	)

Same store property NOI		66,239			67,163			61,698			60,097			60,625
Straight-line rent		(8,338	)		(6,705	)		(5,319	)		(4,163	)		(5,408	)
Above/below-market rent revenue amortization		(908	)		(1,530	)		(1,682	)		(1,745	)		(2,354	)
Below-market ground lease amortization		1,958			1,958			1,957			1,958			1,958

Total same store property cash NOI—excluding lease termination fees		58,951			60,886			56,654			56,147			54,821
Lease termination fees		159			995			835			301			326

Total same store property cash NOI	$	59,110		$	61,881		$	57,489		$	56,448		$	55,147

Same Store Greater New York Metropolitan Area Office Portfolio
Revenues	$	16,915		$	18,771		$	18,137		$	17,798		$	18,045
Operating expenses		(8,479	)		(8,663	)		(9,373	)		(8,784	)		(8,927	)

Same store property NOI		8,436			10,108			8,764			9,014			9,118
Straight-line rent		12			285			(42	)		655			(124	)
Above/below-market rent revenue amortization		—			—			—			—			—
Below-market ground lease amortization		—			—			—			—			—

Total same store property cash NOI—excluding lease termination fees		8,448			10,393			8,722			9,669			8,994
Lease termination fees		52			245			710			62			62

Total same store property cash NOI	$	8,500		$	10,638		$	9,432		$	9,731		$	9,056

Same Store Standalone Retail Portfolio
Revenues	$	4,299		$	4,221		$	4,282		$	4,608		$	4,681
Operating expenses		(1,904	)		(1,879	)		(1,935	)		(1,890	)		(1,926	)

Same store property NOI		2,395			2,342			2,347			2,718			2,755
Straight-line rent		133			144			187			305			128
Above/below-market rent revenue amortization		—			—			—			—			—
Below-market ground lease amortization		—			—			—			—			—

Total same store property cash NOI—excluding lease termination fees		2,528			2,486			2,534			3,023			2,883
Lease termination fees		—			—			816			—			—

Total same store property cash NOI	$	2,528		$	2,486		$	3,350		$	3,023		$	2,883

Note:

Includes 509,244 rentable square feet of retail space in the Company’s nine Manhattan office properties.

Page 5

LOGO

First Quarter 2020

Net Operating Income (“NOI”), Initial Free Rent Burn-Off and Signed Leases Not Commenced

(unaudited and dollars in thousands)


	Three Months Ended
	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Reconciliation of Net Income to NOI and Cash NOI
Net income	$	8,288		$	28,720		$	26,784		$	18,930		$	9,856
Add:
General and administrative expenses		15,951			16,618			14,421			15,998			14,026
Depreciation and amortization		46,093			46,409			44,260			44,821			46,098
Interest expense		19,704			18,534			19,426			20,597			20,689
Income tax expense (benefit)		(382	)		1,210			1,338			611			(730	)
Less:
Third-party management and other fees		(346	)		(299	)		(304	)		(331	)		(320	)
Interest income		(637	)		(1,352	)		(2,269	)		(3,899	)		(3,739	)

Net operating income		88,671			109,840			103,656			96,727			85,880
Straight-line rent		(8,193	)		(6,276	)		(5,174	)		(3,203	)		(5,404	)
Above/below-market rent revenue amortization		(908	)		(1,530	)		(1,682	)		(1,745	)		(2,354	)
Below-market ground lease amortization		1,958			1,958			1,957			1,958			1,958

Total cash NOI—including Observatory and lease termination income		81,528			103,992			98,757			93,737			80,080
Less: Observatory NOI		(11,390	)		(28,987	)		(28,486	)		(24,535	)		(12,994	)
Less: lease termination income		(211	)		(1,240	)		(2,361	)		(363	)		(388	)

Total property cash NOI—excluding Observatory and lease termination income	$	69,927		$	73,765		$	67,910		$	68,839		$	66,698

Burn-off of Free Rent and Signed Leases Not Commenced


	Incremental Annual		Base Cash Rent Contributing to Cash NOI in the Following Years
Total Portfolio	Revenue		2020		2021		2022		2023
Commenced leases in free rent period	$	27,570	$	15,053	$	27,508	$	27,570	$	27,570
Signed leases not commenced		22,190		1,094		11,028		18,979		19,705

Total	$	49,760	$	16,147	$	38,536	$	46,549	$	47,275

Commenced leases in free rent period


	Square		Cash		Incremental Annual		Base Cash Rent Contributing to Cash NOI in the Following Years
	Feet		Rent Date		Revenue		2020			2021		2022		2023
Second quarter 2020 - 27 leases		408,164		Apr. 2020 - Jun. 2020	$	18,898	$	12,127	⁽¹⁾	$	18,898	$	18,898	$	18,898
Third quarter 2020 - 11 leases		133,202		Jul. 2020 - Sept. 2020		7,224		2,791			7,224		7,224		7,224
Fourth quarter 2020 - 3 leases		20,841		Oct. 2020 - Dec. 2020		844		135			844		844		844
First quarter 2021 - 1 lease		2,652		Jan. 2021 - Mar. 2021		604		—			542		604		604

					$	27,570	$	15,053		$	27,508	$	27,570	$	27,570

Signed leases not commenced (“SLNC”)


	Square		Expected Base Rent Commencement		Incremental Annual		Base Cash Rent Contributing to Cash NOI in the Following Years
Tenant	Feet		GAAP	Cash	Revenue ⁽²⁾		2020		2021		2022		2023
Interpublic Group of Companies, Inc.		15,086	May. 2020	June 2020	$	1,060	$	613	$	1,060	$	1,060	$	1,060
Uber Technologies, Inc.		32,927	Dec. 2020	Apr. 2021		2,300		—		1,722		2,300		2,300
Concord Music Group, Inc.		46,329	Dec. 2020	Oct. 2021		2,870		—		635		2,870		2,870
Kaplan Hecker & Fink LLP		26,997	Feb. 2021	Feb. 2021		2,000		—		1,743		2,000		2,000
First Republic Bank		14,430	Jul. 2021	Jul. 2021		2,040		—		1,016		2,040		2,040
LinkedIn Corporation:
LinkedIn Corporation		52,939	May 2021	Jan. 2022		1,000		—				994		1,000
LinkedIn Corporation		52,666	Nov. 2021	Nov. 2021		900		—		147		900		900
LinkedIn Corporation		52,574	Jul. 2022	Jul. 2022		1,110		—		—		555		1,110
LinkedIn Corporation		30,283	Dec. 2022	Oct. 2023		670		—		—		—		165
Target		32,579	June 2024	Oct. 2024		1,980		—		—		—		—
Other SLNC		114,833	Apr. 2020 - Dec. 2020	Jan. 2020 - Sept. 2021		6,260		481		4,705		6,260		6,260

Total		471,643			$	22,190	$	1,094	$	11,028	$	18,979	$	19,705

Notes:

(1)	As an example, the 2020 amount represents cash revenue contributing from the cash rent commencement date of April 2020 through December 2020. The full annual amount is realized in 2021.

(2)	Reflects new annual rent less annual rent from existing tenant in the space.

(3)	New York State mandate related to COVID-19 has stopped construction of tenant spaces. The above commencement dates assume that work will be allowed to resume by July 1, 2020. If the government moratorium on construction extends past July 1, 2020, the above commencement dates will change.

Page 6

LOGO

First Quarter 2020

Property Summary — Leasing Activity by Quarter

(unaudited)


	Three Months Ended
	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Total Portfolio
Total leases executed		35			47			25			55			34
Weighted average lease term		6.8 years			8.6 years			10.7 years			6.4 years			8.3 years
Average free rent period		4.1 months			5.3 months			6.9 months			2.8 months			4.7 months
Office
Total square footage executed		117,481			313,027			374,256			228,346			300,408
Average cash rent psf—leases executed	$	57.29		$	59.74		$	62.83		$	59.13		$	61.79
Previously escalated cash rents psf	$	52.43		$	54.02		$	51.10		$	51.72		$	54.36
Percentage of new cash rent over previously escalated rents		9.3	%		10.6	%		23.0	%		14.3	%		13.7	%
Retail
Total square footage executed		31,662			32,579			14,430			32,706			7,643
Average cash rent psf—leases executed	$	101.03		$	122.78		$	141.68		$	71.52		$	109.54
Previously escalated cash rents psf	$	108.81		$	60.79		$	104.66		$	72.08		$	106.84
Percentage of new cash rent over previously escalated rents		(7.1	%)		102.0	%		35.4	%		(0.8	%)		2.5	%
Total Portfolio
Total square footage executed		149,143			345,606			388,686			261,052			308,051
Average cash rent psf—leases executed	$	66.58		$	65.68		$	65.76		$	61.25		$	63.90
Previously escalated cash rents psf	$	64.40		$	54.66		$	53.09		$	54.58		$	56.35
Percentage of new cash rent over previously escalated rents		3.4	%		20.2	%		23.9	%		12.2	%		13.4	%
Leasing commission costs per square foot	$	20.19		$	19.84		$	23.75		$	15.61		$	15.00
Tenant improvement costs per square foot		100.79			55.65			65.59			47.06			55.09

Total LC and TI per square foot ⁽²⁾	$	120.98		$	75.49		$	89.34		$	62.67		$	70.09

Occupancy		88.7	%		88.6	%		89.4	%		90.2	%		88.8	%
Manhattan Office Portfolio ⁽¹⁾
Total leases executed		26			36			18			40			30
Office—New Leases
Total square footage executed		63,153			170,247			266,769			119,235			153,506
Average cash rent psf—leases executed	$	62.78		$	64.82		$	71.36		$	65.08		$	63.74
Previously escalated cash rents psf	$	52.56		$	52.12		$	53.83		$	53.26		$	52.65
Percentage of new cash rent over previously escalated rents		19.4	%		24.4	%		32.6	%		22.2	%		21.1	%
Office—Renewal Leases
Total square footage executed		30,712			54,345			18,826			56,211			131,304
Average cash rent psf—leases executed	$	60.20		$	66.62		$	53.83		$	62.37		$	62.51
Previously escalated cash rents psf	$	60.02		$	66.27		$	53.64		$	55.88		$	58.55
Percentage of new cash rent over previously escalated rents		0.3	%		0.5	%		0.4	%		11.6	%		6.8	%
Retail—New and Renewal Leases
Total square footage executed		26,432			—			14,430			3,711			1,998
Average cash rent psf—leases executed	$	76.73		$	—		$	141.68		$	405.41		$	80.00
Previously escalated cash rents psf	$	103.75		$	—		$	104.66		$	317.25		$	73.73
Percentage of new cash rent over previously escalated rents		(26.0	%)		—			35.4	%		27.8	%		8.5	%
Total Manhattan Office Portfolio
Total square footage executed		120,297			224,592			300,025			179,157			286,808
Average cash rent psf—leases executed	$	65.19		$	65.26		$	73.64		$	71.28		$	63.29
Previously escalated cash rents psf	$	65.71		$	55.54		$	56.26		$	59.55		$	55.50
Percentage of new cash rent over previously escalated rents		(0.8	%)		17.5	%		30.9	%		19.7	%		14.0	%
Leasing commission costs per square foot	$	20.57		$	19.81		$	28.93		$	20.53		$	14.50
Tenant improvement costs per square foot		107.77			70.39			78.31			56.60			54.18

Total LC and TI per square foot ⁽²⁾	$	128.34		$	90.20		$	107.24		$	77.13		$	68.68

Occupancy		89.8	%		89.7	%		89.6	%		90.6	%		88.9	%

Page 7

LOGO

First Quarter 2020

Property Summary—Leasing Activity by Quarter—(Continued)

(unaudited)


	Three Months Ended
	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Greater New York Metropolitan Area Office Portfolio
Total leases executed		7			10			7			12			3
Total square footage executed		23,616			88,435			88,661			52,900			15,598
Average cash rent psf—leases executed	$	38.85		$	45.73		$	39.08		$	42.30		$	36.60
Previously escalated cash rents psf	$	42.23		$	50.15		$	42.36		$	43.82		$	35.78
Percentage of new cash rent over previously escalated rents		(8.0	%)		(8.8	%)		(7.7	%)		(3.5	%)		2.3	%
Leasing commission costs per square foot	$	7.34		$	8.00		$	6.22		$	6.05		$	15.32
Tenant improvement costs per square foot		51.56			26.02			22.53			37.37			77.21

Total LC and TI per square foot ⁽²⁾	$	58.90		$	34.02		$	28.75		$	43.42		$	92.53

Occupancy		83.0	%		83.0	%		88.0	%		87.8	%		87.8	%
Standalone Retail Portfolio
Total leases executed		2			1			—			3			1
Total square footage executed		5,230			32,579			—			28,995			5,645
Average cash rent psf—leases executed	$	223.86		$	122.78		$	—		$	28.78		$	120.00
Previously escalated cash rents psf	$	134.41		$	60.79		$	—		$	40.70		$	118.56
Percentage of new cash rent over previously escalated rents		66.5	%		102.0	%		—			(29.3	%)⁽³⁾		1.2	%
Leasing commission costs per square foot	$	69.53		$	52.21		$	—		$	2.68		$	39.08
Tenant improvement costs per square foot		162.60			34.47			—			5.79			40.00

Total LC and TI per square foot ⁽²⁾	$	232.13		$	86.68		$	—		$	8.47		$	79.08

Occupancy		95.2	%		93.7	%		93.7	%		93.7	%		94.4	%

Notes:

(1)	Includes 509,244 rentable square feet of retail space in the Company’s nine Manhattan office properties.

(2)	Presents all tenant improvement and leasing commission costs as if they were incurred in the period in which the lease was signed, which may be different than the period in which they were actually paid.

(3)	Includes the renewal of two parking garages comprising 27,143 of rentable square feet. These below grade spaces have market rents considerably lower than the Company’s typical street grade retail and drove the negative spread for the quarter.

Page 8

First Quarter 2020

Total Portfolio Expirations and Vacates Summary

(unaudited and in square feet)


	Three Months Ended
	Actual			Forecast ⁽¹⁾			Forecast ⁽¹⁾		Forecast ⁽¹⁾			Forecast ⁽¹⁾			Full Year
	March 31, 2020			June 30, 2020			September 30, 2020		December 31, 2020			Apr. to Dec. 2020			2021
Total Portfolio ⁽²⁾
Total expirations		92,373			382,479			137,859		154,982			675,320			669,641
Less: broadcasting		(906	)		(906	)		—		(753	)		(1,659	)		(1,049	)

Office and retail expirations		91,467			381,573			137,859		154,229			673,661			668,592

Renewal & relocations (3)		35,005			68,471			58,727		48,726			175,924			161,865
Short-term renewals (4)		—			—			—		—			—			—
New leases (5)		2,286			171,863			9,367		10,562			191,792			44,755
Tenant vacates (6)		30,445			98,112			57,937		35,256			191,305			252,657
Intentional vacates (7)		23,731			36,255			4,078		—			40,333			42,348
Holdover (8)		—			—			—		—			—			—
Unknown (9)		—			6,872			7,750		59,685			74,307			166,967

Total Portfolio expirations and vacates		91,467			381,573			137,859		154,229			673,661			668,592

Manhattan Office Portfolio
Total expirations		53,312			247,446			125,968		113,180			486,594			428,098
Less: broadcasting		(906	)		(906	)		—		(753	)		(1,659	)		(1,049	)

Office expirations		52,406			246,540			125,968		112,427			484,935			427,049

Renewal & relocations (3)		16,958			22,355			51,978		31,201			105,534			63,806
Short-term renewals (4)		—			—			—		—			—			—
New leases (5)		2,286			164,549			9,367		10,562			184,478			21,870
Tenant vacates (6)		27,106			24,075			52,795		27,362			104,232			187,803
Intentional vacates (7)		6,056			28,818			4,078		—			32,896			42,348
Holdover (8)		—			—			—		—			—			—
Unknown (9)		—			6,743			7,750		43,302			57,795			111,222

Total expirations and vacates		52,406			246,540			125,968		112,427			484,935			427,049

Greater New York Metropolitan Area Office Portfolio
Office expirations		17,148			124,162			8,391		32,237			164,790			211,165

Renewal & relocations (3)		13,809			42,811			3,249		17,525			63,585			79,727
Short-term renewals (4)		—			—			—		—			—			—
New leases (5)		—			7,314			—		—			7,314			22,885
Tenant vacates (6)		3,339			74,037			5,142		—			79,179			56,455
Intentional vacates (7)		—			—			—		—			—			—
Holdover (8)		—			—			—		—			—			—
Unknown (9)		—			—			—		14,712			14,712			52,098

Total expirations and vacates		17,148			124,162			8,391		32,237			164,790			211,165

Retail Portfolio
Retail expirations		21,913			10,871			3,500		9,565			23,936			30,378

Renewal & relocations (3)		4,238			3,305			3,500		—			6,805			18,332
Short-term renewals (4)		—			—			—		—			—			—
New leases (5)		—			—			—		—			—			—
Tenant vacates (6)		—			—			—		7,894			7,894			8,399
Intentional vacates (7)		17,675			7,437			—		—			7,437			—
Holdover (8)		—			—			—		—			—			—
Unknown (9)		—			129			—		1,671			1,800			3,647

Total expirations and vacates		21,913			10,871			3,500		9,565			23,936			30,378

Notes:

(1)	These forecasts, which are subject to change, are based on management’s expectations, including, among other things, discussions with and other information provided by tenants as well as management’s analyses of past historical trends.

(2)	Any lease on month to month or short-term will re-appear in “Actual” in each period until tenant has vacated or renewed, and thus it would be double counted if periods were cumulated. “Forecast” avoids double counting.

(3)	For forecasted periods, “Renewals” assume tenants renew their existing leases in all or a portion of their current spaces, and “Relocations” assume tenants move within a building or within the Company’s portfolio.

(4)	Represents tenants which signed renewal leases for a term of less than six months and reappear in forecast periods in 2020.

(5)	For forecasted periods, “New Leases” represents leases that have been signed with a new tenant, a subtenant who signed a direct lease or a tenant who expanded. The lease commencement dates are provided on page 6. There may be downtime between the lease expiration and the new lease commencement.

(6)	For forecasted periods, “Tenant Vacates” assumes a tenant elects not to renew at the end of their existing lease or exercises an early termination option.

(7)	For forecasted periods, “Intentional Vacates” assumes the Company decides not to renew tenant at the end of their existing lease due to anticipated future redevelopment or for other reasons. This also may include early lease terminations.

(8)	Holdover represents a tenant that remains in its space, paying rent after the expiration of its lease, but is not anticipated to continue doing so on a monthly basis. These tenants may reappear in forecast periods in 2020.

(9)	For forecasted periods, “Unknown” represents tenants’ existing leases which do not fall into any of the above categories: Renewals & Relocations,

New Leases, Tenant Vacates or Intentional Vacates and tenants’ whose intention is unknown.

Page 9

LOGO

First Quarter 2020

Property Detail

(unaudited)


									Annualized Rent
Property Name	Location or Sub-Market	Rentable Square Feet ⁽¹⁾		Percent Occupied ⁽²⁾			Annualized Rent ⁽³⁾		per Occupied Square Foot ⁽⁴⁾		Number of Leases ⁽⁵⁾
*Manhattan Office Properties—Office*
The Empire State Building ⁽⁶⁾	Penn Station —Times Sq. South		2,710,823		95.2	%	$	156,739,511	$	60.75		169
One Grand Central Place	Grand Central		1,247,411		88.1	%		65,065,885		59.21		186
1400 Broadway ⁽⁸⁾	Penn Station —Times Sq. South		916,834		88.5	%		43,626,634		53.80		25
111 West 33rd Street ⁽⁹⁾	Penn Station —Times Sq. South		641,135		97.6	%		38,289,310		61.17		24
250 West 57th Street	Columbus Circle—West Side		474,047		71.3	%		21,049,359		62.30		36
501 Seventh Avenue	Penn Station —Times Sq. South		461,652		82.8	%		18,890,710		49.44		30
1359 Broadway	Penn Station —Times Sq. South		455,873		96.4	%		24,245,005		55.18		31
1350 Broadway ⁽¹⁰⁾	Penn Station —Times Sq. South		372,778		85.5	%		19,119,454		60.01		55
1333 Broadway	Penn Station —Times Sq. South		292,835		77.1	%		12,173,226		53.89		8

*Manhattan Office Properties—Office*			7,573,388		90.0	%		399,199,093		58.54		564
*Manhattan Office Properties—Retail*
The Empire State Building ⁽⁷⁾	Penn Station -Times Sq. South		102,364		53.7	%		12,111,789		220.44		12
One Grand Central Place	Grand Central		68,732		79.0	%		6,439,115		118.58		13
1400 Broadway ⁽⁸⁾	Penn Station —Times Sq. South		20,176		77.2	%		2,048,770		131.58		7
112 West 34th Street ⁽⁹⁾	Penn Station —Times Sq. South		90,132		100.0	%		23,273,069		258.21		4
250 West 57th Street	Columbus Circle—West Side		67,927		100.0	%		10,316,195		151.87		8
501 Seventh Avenue	Penn Station —Times Sq. South		33,632		87.3	%		2,028,797		69.11		8
1359 Broadway	Penn Station —Times Sq. South		27,506		100.0	%		2,355,336		85.63		6
1350 Broadway ⁽¹⁰⁾	Penn Station —Times Sq. South		31,774		95.6	%		7,238,797		238.20		5
1333 Broadway	Penn Station —Times Sq. South		67,001		100.0	%		9,330,744		139.26		4

*Manhattan Office Properties—Retail*			509,244		85.8	%		75,142,611		171.90		67

*Sub-Total/Weighted Average* *Manhattan Office Properties—Office and Retail*			8,082,632		89.8	%		474,341,705		65.36		631

*Greater New York Metropolitan Area Office Properties*
First Stamford Place ⁽¹¹⁾	Stamford, CT		779,098		85.4	%		29,274,677		44.00		46
Metro Center	Stamford, CT		287,975		89.0	%		15,786,219		61.58		24
383 Main Avenue	Norwalk, CT		260,546		54.1	%		4,164,606		29.53		21
500 Mamaroneck Avenue	Harrison, NY		287,157		82.8	%		7,160,462		30.13		30
10 Bank Street	White Plains, NY		232,517		100.0	%		8,381,397		36.05		36

*Sub-Total/Weighted Average Greater New York* *Metropolitan Area Office Properties*			1,847,293		83.0	%		64,767,361		42.25		157

*Standalone Retail Properties*
10 Union Square	Union Square		57,984		94.7	%		6,652,084		121.17		11
1542 Third Avenue	Upper East Side		56,250		100.0	%		4,160,189		73.96		4
1010 Third Avenue	Upper East Side		44,662		100.0	%		3,612,691		80.89		2
77 West 55th Street	Midtown		25,388		100.0	%		2,824,593		111.26		3
69-97 Main Street	Westport, CT		16,874		59.7	%		1,143,384		113.49		3
103-107 Main Street	Westport, CT		4,330		100.0	%		776,442		179.32		1

*Sub-Total/Weighted Average Standalone* *Retail Properties*			205,488		95.2	%		19,169,382		98.00		24

*Portfolio Total*			10,135,413		88.7	%	$	558,278,448	$	62.13		812

*Total/Weighted Average Office Properties*			9,420,681		88.7	%	$	463,966,454	$	55.55		721
*Total/Weighted Average Retail Properties*			714,732		88.5	%		94,311,993		149.05		91

*Portfolio Total*			10,135,413		88.7	%	$	558,278,448	$	62.13		812

Notes:

(1)	Excludes (i) 193,510 square feet of space across the Company’s portfolio attributable to building management use and tenant amenities and (ii) 79,613 square feet of space attributable to the Company’s observatory.

(2)	Based on leases signed and commenced as of March 31, 2020.

(3)	Represents annualized base rent and current reimbursement for operating expenses and real estate taxes.

(4)	Represents annualized rent under leases commenced as of March 31, 2020 divided by occupied square feet.

(5)	Represents the number of leases at each property or on a portfolio basis. If a tenant has more than one lease, whether or not at the same property, but with different expirations, the number of leases is calculated equal to the number of leases with different expirations.

(6)	Includes 37,004 rentable square feet of space leased by the Company’s broadcasting tenants.

(7)	Includes 5,300 rentable square feet of space leased by WDFG North America, a licensee of the Company’s observatory.

(8)	Denotes a ground leasehold interest in the property with a remaining term, including unilateral extension rights available to the Company, of approximately 43 years (expiring December 31, 2063).

(9)	Denotes a ground leasehold interest in the property with a remaining term, including unilateral extension rights available to the Company, of approximately 57 years (expiring May 31, 2077).

(10)	Denotes a ground leasehold interest in the property with a remaining term, including unilateral extension rights available to the Company, of approximately 30 years (expiring July 31, 2050).

(11)	First Stamford Place consists of three buildings.

Page 10

LOGO

First Quarter 2020

Tenant Lease Expirations

(unaudited)


*Total Lease Expirations*	Number of Leases Expiring ⁽¹⁾		Rentable Square Feet Expiring ⁽²⁾		Percent of Portfolio Rentable Square Feet Expiring			Annualized Rent ⁽³⁾		Percent of Annualized Rent			Annualized Rent Per Rentable Square Foot
Available		—		901,697		8.9	%	$	—		0.0	%	$	—
Signed leases not commenced		21		248,351		2.5	%		—		0.0	%		—
1Q 2020 ⁽⁴⁾		8		20,108		0.2	%		989,845		0.2	%		49.23
2Q 2020		37		373,476		3.7	%		20,233,336		3.6	%		54.19
3Q 2020		28		137,859		1.4	%		8,140,537		1.5	%		59.05
4Q 2020		25		154,982		1.5	%		8,778,265		1.6	%		56.64

Total 2020		98		686,425		6.8	%		38,141,983		6.8	%		55.57
1Q 2021		29		104,916		1.0	%		7,227,565		1.3	%		68.89
2Q 2021		27		192,371		1.9	%		11,556,452		2.1	%		60.07
3Q 2021		26		175,142		1.7	%		10,193,906		1.8	%		58.20
4Q 2021		23		197,212		1.9	%		9,754,528		1.7	%		49.46

Total 2021		105		669,641		6.6	%		38,732,451		6.9	%		57.84
2022		114		576,655		5.7	%		37,174,196		6.7	%		64.47
2023		94		705,714		7.0	%		44,229,743		7.9	%		62.67
2024		82		791,680		7.8	%		48,339,903		8.7	%		61.06
2025		78		491,437		4.8	%		36,536,513		6.5	%		74.35
2026		57		734,737		7.2	%		40,377,933		7.2	%		54.96
2027		51		562,737		5.6	%		33,596,727		6.0	%		59.70
2028		29		1,031,308		10.2	%		56,660,703		10.1	%		54.94
2029		35		872,679		8.6	%		61,690,892		11.1	%		70.69
2030		29		677,029		6.7	%		43,513,796		7.8	%		64.27
Thereafter		40		1,185,323		11.6	%		79,283,607		14.2	%		66.89

Total		833		10,135,413		100.0	%	$	558,278,448		100.0	%	$	62.13

*Manhattan Office Properties ⁽⁵⁾*
Available		—		562,944		7.4	%	$	—		0.0	%	$	—
Signed leases not commenced		13		190,724		2.5	%		—		0.0	%		—
1Q 2020 ⁽⁴⁾		5		10,958		0.1	%		626,486		0.2	%		57.17
2Q 2020		26		245,593		3.2	%		13,337,868		3.3	%		54.31
3Q 2020		22		125,968		1.7	%		7,095,202		1.8	%		56.33
4Q 2020		18		113,180		1.5	%		5,595,068		1.4	%		49.44

Total 2020		71		495,699		6.5	%		26,654,624		6.7	%		53.77
1Q 2021		14		41,948		0.6	%		2,180,175		0.5	%		51.97
2Q 2021		21		146,911		1.9	%		8,086,408		2.0	%		55.04
3Q 2021		15		115,569		1.5	%		7,230,229		1.8	%		62.56
4Q 2021		16		123,670		1.6	%		6,823,145		1.7	%		55.17

Total 2021		66		428,098		5.7	%		24,319,957		6.1	%		56.81
2022		83		384,272		5.1	%		22,896,842		5.7	%		59.58
2023		71		531,176		7.0	%		31,588,679		7.9	%		59.47
2024		60		561,175		7.4	%		33,299,153		8.3	%		59.34
2025		49		320,138		4.2	%		20,371,468		5.1	%		63.63
2026		36		520,366		6.9	%		29,930,349		7.5	%		57.52
2027		38		433,014		5.7	%		24,684,278		6.2	%		57.01
2028		19		948,934		12.5	%		52,754,296		13.2	%		55.59
2029		23		629,599		8.3	%		36,879,869		9.2	%		58.58
2030		18		576,700		7.6	%		34,542,113		8.7	%		59.90
Thereafter		30		990,549		13.2	%		61,277,465		15.4	%		61.86

Total Manhattan office properties		577		7,573,388		100.0	%	$	399,199,093		100.0	%	$	58.54

Notes:

(1)	If a lease has two different expiration dates, it is considered to be two leases (for the purpose of lease count and square footage).

(2)	Excludes (i) 193,510 rentable square feet of space across the Company portfolio attributable to building management use and tenant amenities and (ii) 79,613 square feet of space attributable to the Company’s observatory.

(3)	Represents annualized base rent and current reimbursement for operating expenses and real estate taxes.

(4)	Represents leases that are included in occupancy as of March 31, 2020 and expire on March 31, 2020.

(5)	Excludes (i) retail space in the Company’s Manhattan office properties and (ii) the Empire State Building broadcasting licenses and observatory operations.

Page 11

First Quarter 2020

Tenant Lease Expirations

(unaudited)


Greater New York Metropolitan Area Office Properties	Number of Leases Expiring ⁽¹⁾		Rentable Square Feet Expiring ⁽²⁾		Percent of Portfolio Rentable Square Feet Expiring			Annualized Rent ⁽³⁾		Percent of Annualized Rent			Annualized Rent Per Rentable Square Foot
Available		—		295,770		16.0	%	$	—		0.0	%	$	—
Signed leases not commenced		4		18,612		1.0	%		—		0.0	%		—
1Q 2020 ⁽⁴⁾		3		9,150		0.5	%		363,359		0.6	%		39.71
2Q 2020		8		117,012		6.3	%		6,307,513		9.7	%		53.90
3Q 2020		4		8,391		0.5	%		399,028		0.6	%		47.55
4Q 2020		5		32,237		1.7	%		1,343,111		2.1	%		41.66

Total 2020		20		166,790		9.0	%		8,413,011		13.0	%		50.44
1Q 2021		11		49,650		2.7	%		2,448,045		3.8	%		49.31
2Q 2021		3		31,767		1.7	%		1,526,572		2.4	%		48.06
3Q 2021		10		56,504		3.1	%		2,427,390		3.7	%		42.96
4Q 2021		7		73,542		4.0	%		2,931,383		4.5	%		39.86

Total 2021		31		211,463		11.4	%		9,333,390		14.4	%		44.14
2022		22		133,636		7.2	%		5,130,047		7.9	%		38.39
2023		13		119,834		6.5	%		5,656,575		8.7	%		47.20
2024		12		205,193		11.1	%		9,248,851		14.3	%		45.07
2025		21		133,974		7.3	%		4,490,391		6.9	%		33.52
2026		13		144,020		7.8	%		5,831,011		9.0	%		40.49
2027		8		73,457		4.0	%		2,486,741		3.8	%		33.85
2028		6		74,387		4.0	%		2,676,163		4.1	%		35.98
2029		6		144,998		7.8	%		5,924,740		9.1	%		40.86
2030		4		36,578		2.0	%		1,794,318		2.8	%		49.05
Thereafter		1		88,581		4.9	%		3,782,123		6.0	%		42.70

Total greater New York metropolitan area office properties		161		1,847,293		100.0	%	$	64,767,361		100.0	%	$	42.25


*Retail Properties*
Available		—		42,983		6.0	%	$	—		0.0	%	$	—
Signed leases not commenced		4		39,015		5.5	%		—		0.0	%		—
1Q 2020 ⁽⁴⁾		—		—		0.0	%		—		0.0	%		—
2Q 2020		3		10,871		1.5	%		587,955		0.6	%		54.08
3Q 2020		2		3,500		0.5	%		646,307		0.7	%		184.66
4Q 2020		2		9,565		1.3	%		1,840,086		2.0	%		192.38

Total 2020		7		23,936		3.3	%		3,074,348		3.3	%		128.44
1Q 2021		4		13,318		1.9	%		2,599,345		2.8	%		195.18
2Q 2021		3		13,693		1.9	%		1,943,472		2.1	%		141.93
3Q 2021		1		3,069		0.4	%		536,287		0.6	%		174.74
4Q 2021		—		—		0.0	%		—		0.0	%		—

Total 2021		8		30,080		4.2	%		5,079,104		5.4	%		168.85
2022		9		58,747		8.2	%		9,147,307		9.7	%		155.71
2023		10		54,704		7.7	%		6,984,489		7.4	%		127.68
2024		10		25,312		3.5	%		5,791,899		6.1	%		228.82
2025		8		37,325		5.2	%		11,674,654		12.4	%		312.78
2026		8		70,351		9.8	%		4,616,573		4.9	%		65.62
2027		5		56,266		7.9	%		6,425,708		6.8	%		114.20
2028		4		7,987		1.1	%		1,230,244		1.3	%		154.03
2029		6		98,082		13.7	%		18,886,283		20.0	%		192.56
2030		7		63,751		8.9	%		7,177,365		7.6	%		112.58
Thereafter		9		106,193		15.0	%		14,224,019		15.1	%		133.94

Total retail properties		95		714,732		100.0	%	$	94,311,993		100.0	%	$	149.05

Notes:

(1)	If a lease has two different expiration dates, it is considered to be two leases (for the purpose of lease count and square footage).

(2)	Excludes (i) 193,510 rentable square feet of space across the Company portfolio attributable to building management use and tenant amenities and (ii) 79,613 square feet of space attributable to the Company’s observatory.

(3)	Represents annualized base rent and current reimbursement for operating expenses and real estate taxes.

(4)	Represents leases that are included in occupancy as of March 31, 2020 and expire on March 31, 2020.

(5)	Represents two license agreements.

Page 12

First Quarter 2020

Tenant Lease Expirations

(unaudited)


*Empire State Building Office* *⁽¹⁾*	Number of Leases Expiring ⁽²⁾		Rentable Square Feet Expiring ⁽³⁾		Percent of Portfolio Rentable Square Feet Expiring			Annualized Rent ^{(4) (5)}		Percent of Annualized Rent			Annualized Rent Per Rentable Square Foot
Available		—		103,689		3.8	%	$	—		0.0	%	$	—
Signed leases not commenced		1		26,997		1.0	%		—		0.0	%		—
1Q 2020 ⁽⁶⁾		2		1,853		0.1	%		41,203		0.0	%		22.24
2Q 2020		6		192,735		7.1	%		10,276,235		6.6	%		53.32
3Q 2020		5		24,519		0.9	%		1,560,771		1.0	%		63.66
4Q 2020		6		37,592		1.4	%		1,997,379		1.3	%		53.13

Total 2020		19		256,699		9.5	%		13,875,588		8.9	%		54.05
1Q 2021		1		2,488		0.1	%		210,663		0.1	%		84.67
2Q 2021		13		81,328		3.0	%		4,362,809		2.8	%		53.64
3Q 2021		3		16,066		0.6	%		1,158,610		0.7	%		72.12
4Q 2021		2		7,903		0.3	%		505,720		0.3	%		63.99

Total 2021		19		107,785		4.0	%		6,237,802		4.0	%		57.87
2022		24		122,863		4.5	%		7,832,660		5.0	%		63.75
2023		25		112,852		4.2	%		7,588,787		4.8	%		67.25
2024		18		227,351		8.4	%		14,880,657		9.5	%		65.45
2025		14		106,823		3.9	%		7,214,570		4.6	%		67.54
2026		9		122,685		4.5	%		7,673,978		4.9	%		62.55
2027		8		29,184		1.1	%		1,762,316		1.1	%		60.39
2028		4		545,713		20.1	%		30,765,416		19.6	%		56.38
2029		7		282,020		10.4	%		17,327,003		11.1	%		61.44
2030		5		204,740		7.6	%		12,072,670		7.7	%		58.97
Thereafter		17		461,422		17.0	%		29,508,064		18.8	%		63.95

Total Empire State Building office		170		2,710,823		100.0	%	$	156,739,511		100.0	%	$	60.75



*Empire State Building Broadcasting Licenses and Leases*	Annualized Base Rent ⁽⁷⁾		Annualized Expense Reimbursements		Annualized Rent ⁽⁴⁾		Percent of Annualized Rent
1Q 2020 ⁽⁶⁾	$	31,710	$	12,618	$	44,328		0.3	%
2Q 2020		—		—		—		0.0	%
3Q 2020		—		—		—		0.0	%
4Q 2020		99,320		31,588		130,908		0.9	%

Total 2020		131,030		44,206		175,236		1.2	%
1Q 2021		—		—		—		0.0	%
2Q 2021		—		—		—		0.0	%
3Q 2021		—		—		—		0.0	%
4Q 2021		—		—		—		0.0	%

Total 2021		—		—		—		0.0	%
2022		1,727,808		414,711		2,142,519		15.2	%
2023		219,668		49,169		268,837		1.9	%
2024		65,000		21,278		86,278		0.6	%
2025		1,571,830		176,869		1,748,699		12.4	%
2026		807,668		63,727		871,395		6.2	%
2027		787,969		70,312		858,281		6.1	%
2028		248,614		7,964		256,578		1.8	%
2029		—		—		—		0.0	%
2030		463,507		88,346		551,853		3.9	%
Thereafter		6,398,955		719,840		7,118,795		50.7	%

Total Empire State Building broadcasting licenses and leases	$	12,422,049	$	1,656,422	$	14,078,471		100.0	%

Notes:

(1)	Excludes retail space, broadcasting licenses and observatory operations

(2)	If a lease has two different expiration dates, it is considered to be two leases (for the purpose of lease count and square footage).

(3)	Excludes 52,508 rentable square feet of space attributable to building management use.

(4)	Represents annualized base rent and current reimbursement for operating expenses and real estate taxes.

(5)	Includes approximately $6.0 million of annualized rent related to physical space occupied by broadcasting tenants for their broadcasting operations. Does not include license fees charged to broadcasting tenants.

(6)	Represents leases that are included in occupancy as of March 31, 2020 and expire on March 31, 2020.

(7)	Represents license fees for the use of the Empire State Building mast and base rent for physical space occupied by broadcasting tenants.

Page 13

First Quarter 2020

20 Largest Tenants and Portfolio Tenant Diversification by Industry

(unaudited)


20 Largest Tenants	Property	Lease Expiration ⁽¹⁾	Weighted Average Remaining Lease Term⁽²⁾	Total Occupied Square Feet ⁽³⁾		Percent of Portfolio Rentable Square Feet ⁽⁴⁾			Annualized Rent ⁽⁵⁾		Percent of Portfolio Annualized Rent ⁽⁶⁾
1. Global Brands Group	ESB, 1333 B’Way	Oct. 2023 - Oct. 2028	7.8 years		668,942		6.6	%	$	36,579,857		6.6	%
2. LinkedIn	ESB	Aug. 2036	16.4 years		312,947		3.1	%		18,434,225		3.3	%
3. Coty	ESB	Apr. 2020 - Jan. 2030	5.1 years		312,471		3.1	%		17,712,823		3.2	%
4. PVH Corp.	501 Seventh Avenue	Oct. 2028	8.6 years		237,281		2.3	%		11,716,228		2.1	%
5. Sephora	112 West 34th Street	Jan. 2029	8.8 years		11,334		0.1	%		10,468,996		1.9	%
6. Macy’s	111 West 33rd Street	May 2030	10.2 years		131,117		1.3	%		7,813,096		1.4	%
7. Li & Fung	1359 Broadway	Oct. 2021 - Oct. 2027	4.0 years		149,436		1.5	%		7,701,934		1.4	%
8. Signature Bank	1333 & 1400 Broadway	Jul. 2030 - Apr. 2035	14.6 years		124,884		1.2	%		7,540,459		1.4	%
9. Federal Deposit Insurance Corp.	ESB	Dec. 2024	4.8 years		119,226		1.2	%		7,511,238		1.3	%
10. Urban Outfitters	1333 Broadway	Sept. 2029	9.5 years		56,730		0.6	%		7,367,374		1.3	%
11. Footlocker	112 West 34th Street	Sept. 2031	11.5 years		34,192		0.3	%		6,898,262		1.2	%
12. Duane Reade/Walgreen’s	ESB, 1350 B’Way, 250 West 57th	Feb. 2021 - Sept. 2027	4.7 years		47,541		0.5	%		6,704,508		1.2	%
13. HNTB Corporation	ESB	Feb. 2029	8.9 years		105,143		1.0	%		6,666,632		1.2	%
14. The Interpublic Group of Co’s, Inc.	111 West 33rd St & 1400 B’way	Jul. 2024 - Feb. 2025	4.5 years		117,278		1.2	%		6,443,584		1.2	%
15. Legg Mason	First Stamford Place	Sept. 2024	4.5 years		137,583		1.4	%		6,407,814		1.1	%
16. WDFG North America	ESB	Dec. 2025	5.8 years		5,300		0.1	%		6,037,484		1.1	%
17. Shutterstock	ESB	Apr. 2029	9.1 years		104,386		1.0	%		5,953,855		1.1	%
18. Fragomen	1400 Broadway	Feb. 2035	14.9 years		107,680		1.1	%		5,922,400		1.1	%
19. The Michael J. Fox Foundation	111 West 33rd Street	Nov. 2029	9.7 years		86,492		0.9	%		5,390,818		1.0	%
20. ASCAP	250 West 57th Street	Aug. 2034	14.4 years		87,943		0.9	%		5,345,814		1.0	%

Total					2,957,906		29.4	%	$	194,617,401		35.1	%

Notes:

(1)	Expiration dates are per lease and do not assume exercise of renewal or extension options. For tenants with more than two leases, the lease expiration is shown as a range.

(2)	Represents the weighted average lease term, based on annualized rent.

(3)	Based on leases signed and commenced as of March 31, 2020.

(4)	Represents the percentage of rentable square feet of the Company’s office and retail portfolios in the aggregate.

(5)	Represents annualized base rent and current reimbursement for operating expenses and real estate taxes.

(6)	Represents the percentage of annualized rent of the Company’s office and retail portfolios in the aggregate.

Portfolio Tenant Diversification by Industry (based on annualized rent)

LOGO

Page 14

First Quarter 2020

Capital Expenditures and Redevelopment Program and Leasing Opportunity

(unaudited and dollars in thousands)


	Three Months Ended
Capital expenditures	March 31, 2020		December 31, 2019		September 30, 2019		June 30, 2019		March 31, 2019
Tenant improvements—first generation	$	4,913	$	22,479	$	17,639	$	17,255	$	19,142
Tenant improvements—second generation		8,151		12,581		8,734		10,513		9,028
Leasing commissions—first generation		4,001		578		574		4,742		1,276
Leasing commissions—second generation		3,347		13,244		2,651		3,016		1,869
Building improvements—first generation		8,379		14,457		10,988		12,910		11,022
Building improvements—second generation		3,846		6,556		4,931		6,296		4,840
Observatory capital project ⁽¹⁾		1,175		17,574		18,185		14,539		13,789
Development ⁽²⁾		811		—		—		—		—

Total	$	34,623	$	87,469	$	63,702	$	69,271	$	60,966

Note:

(1)	Total Observatory capital project spent-to-date was $156.6 million as of March 31, 2020.

(2)	Primarily represents design and engineering costs.

Tenant space redevelopment by square feet ^{(3) (4)}

- Future redevelopment (Empire State Building) - 140,000 square feet

- Future redevelopment (other Manhattan properties) - 330,000 square feet

- Redevelopment completed - 7,500,000 square feet

Inventory of vacant space ⁽³⁾

- Developed - 530,000 square feet, 93%

- Undeveloped - 40,000 square feet, 7%

Inventory of undeveloped space ⁽³⁾

- Vacant - 40,000 square feet, 9%

- Expires in 2020 - 110,000 square feet, 23%

- Expires in 2021 and thereafter - 320,000 square feet, 68%

Developed 80,000 square feet in the first quarter 2020.


Leasing Opportunity—Inventory of Current Vacant Space as of March 31, 2020 (in square feet)
Total Portfolio vacant space			1,150,000

Signed leases not commenced (“SLNC”):
Manhattan Office Properties SLNC			191,000
Greater New York Office Properties SLNC			18,000
Retail Properties SLNC			39,000
Redeveloped Manhattan Office space			467,000
Greater New York Office Properties space			296,000
Retail Properties space			43,000
Undeveloped Manhattan Office space			20,000
Space held off market			32,000
Other			44,000

Total			1,150,000

Notes:

(3)	These estimates are based on the Company’s current budgets and are subject to change.

(4)

Redevelopment program is for the Manhattan office assets only. Square footage based on market measurement. Developed space includes space that has been demolished and completed asbestos abatement and available for lease up or ready to be prebuilt. Permanent building use spaces, amenity spaces and broadcasting spaces are excluded.

Page 15

First Quarter 2020

Observatory Summary

(unaudited and dollars in thousands)


			Three Months Ended
Observatory NOI	Twelve Months to Date		March 31, 2020 ⁽¹⁾			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Observatory revenue ⁽²⁾	$	127,744	$	19,544		$	37,730		$	37,575		$	32,895		$	20,569
Observatory expenses		34,346		8,154			8,743			9,089			8,360			7,575

NOI		93,398		11,390			28,987			28,486			24,535			12,994
Intercompany rent expense ⁽³⁾		79,984		11,536			23,715			23,242			21,491			14,021

NOI after intercompany rent	$	13,414	$	(146	)	$	5,272		$	5,244		$	3,044		$	(1,027	)


Observatory Metrics
Number of visitors ⁽⁴⁾				422,000			894,000			1,042,000			968,000			601,000
Change in visitors year over year				(29.8	%)		(5.5	%)		(10.7	%)		(7.7	%)		(6.7	%)
Number of bad weather days during open days (“BWD”) ⁽⁵⁾				15			22			12			24			15
Days closed due to COVID-19				15			—			—			—			—
102nd floor revenue ⁽⁶⁾			$	1,808		$	3,375		$	—		$	—		$	180

Notes:

(1)	Due to the COVID-19 pandemic, the Observatory was closed on March 16, 2020.

(2)

Observatory revenues include the fixed license fee received from WDFG North America, the Observatory gift shop operator. For the three months ended March 31, 2020, December 31, 2019, September 30, 2019, June 30, 2019 and March 31, 2019, the fixed license fee was $1,314, $1,453, $1,453, $1,453, and $1,413, respectively.

(3)	The observatory pays a market-based rent payment comprised of fixed and percentage rent to the Empire State Building. Intercompany rent is eliminated upon consolidation.

(4)	Reflects the number of visitors who pass through the turnstile, excluding visitors who make a second visit on the same ticket at no additional charge.

(5)	The Company defines a bad weather day as one in which the top of the Empire State Building is obscured from view for more than 50% of the day.

(6)	Reflects revenues derived from the 102nd floor observatory which are included in total observatory revenues above.

Annual Observatory Revenues 2015 to 2019

LOGO

Note:

(1)	The 102nd floor observatory was closed for approximately nine months in 2019 for renovations.

Page 16

LOGO

First Quarter 2020

Condensed Consolidated Balance Sheets

(unaudited and dollars in thousands)


	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Assets
Commercial real estate properties, at cost:
Land	$	201,196		$	201,196		$	201,196		$	201,196		$	201,196
Development costs		8,800			7,989			7,989			7,987			7,987
Building and improvements		2,913,312			2,900,248			2,830,353			2,784,472			2,727,497

		3,123,308			3,109,433			3,039,538			2,993,655			2,936,680
Less: accumulated depreciation		(886,822	)		(862,534	)		(829,495	)		(809,197	)		(777,794	)

Commercial real estate properties, net		2,236,486			2,246,899			2,210,043			2,184,458			2,158,886
Cash and cash equivalents		1,008,983			233,946			293,710			375,335			242,910
Restricted cash		36,881			37,651			36,609			38,043			61,766
Short term investments		—			—			—			150,000			350,000
Tenant and other receivables, net		22,549			25,423			29,287			31,264			22,052
Deferred rent receivables, net		229,154			220,960			214,685			209,510			206,307
Prepaid expenses and other assets		40,583			65,453			41,927			60,818			37,766
Deferred costs, net		218,578			228,150			223,698			228,782			233,382
Acquired below-market ground leases, net		350,609			352,566			354,524			356,482			358,440
Right of use assets		29,256			29,307			29,355			29,404			29,452
Goodwill		491,479			491,479			491,479			491,479			491,479

Total assets	$	4,664,558		$	3,931,834		$	3,925,317		$	4,155,575		$	4,192,440

Liabilities and Equity
Mortgage notes payable, net	$	604,763		$	605,542		$	606,313		$	607,072		$	607,823
Senior unsecured notes, net		973,002			798,392			798,347			1,047,939			1,047,078
Unsecured term loan facility, net		386,568			264,640			264,517			264,394			264,271
Unsecured revolving credit facility, net		546,436			—			—			—			—
Accounts payable and accrued expenses		142,315			143,786			143,201			131,842			127,986
Acquired below-market leases, net		37,623			39,679			42,655			45,651			48,731
Ground lease liabilties		29,256			29,307			29,355			29,404			29,452
Deferred revenue and other liabilities		64,176			72,015			68,742			48,858			43,339
Tenants’ security deposits		30,543			30,560			31,841			32,383			56,559

Total liabilities		2,814,682			1,983,921			1,984,971			2,207,543			2,225,239
Total equity		1,849,876			1,947,913			1,940,346			1,948,032			1,967,201

Total liabilities and equity	$	4,664,558		$	3,931,834		$	3,925,317		$	4,155,575		$	4,192,440

Page 17

First Quarter 2020

Condensed Consolidated Statements of Income

(unaudited and in thousands, except per share amounts)


	Three Months Ended
	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Revenues
Rental revenue ⁽¹⁾	$	148,113		$	151,701		$	150,225		$	141,071		$	143,417
Observatory revenue		19,544			37,730			37,575			32,895			20,569
Lease termination fees		211			1,240			2,361			363			388
Third party management and other fees		346			299			304			331			320
Other revenue and fees		2,010			3,963			2,408			1,584			2,599

Total revenues		170,224			194,933			192,873			176,244			167,293
Operating expenses
Property operating expenses		41,468			43,901			47,894			40,227			42,955
Ground rent expenses		2,331			2,332			2,331			2,332			2,331
General and administrative expenses		15,951			16,618			14,421			15,998			14,026
Observatory expenses		8,154			8,743			9,089			8,360			7,575
Real estate taxes		29,254			29,818			29,599			28,267			28,232
Depreciation and amortization		46,093			46,409			44,260			44,821			46,098

Total operating expenses		143,251			147,821			147,594			140,005			141,217

Total operating income		26,973			47,112			45,279			36,239			26,076
Other income (expense)
Interest income		637			1,352			2,269			3,899			3,739
Interest expense		(19,618	)		(18,534	)		(19,426	)		(20,597	)		(20,689	)
Loss on early extinguishment of debt		(86	)		—			—			—			—

Income before income taxes		7,906			29,930			28,122			19,541			9,126
Income tax (expense) benefit		382			(1,210	)		(1,338	)		(611	)		730

Net income		8,288			28,720			26,784			18,930			9,856
Perpetual preferred unit distributions		(1,050	)		(1,041	)		(234	)		(234	)		(234	)
Net income attributable to non-controlling interests		(2,743	)		(10,880	)		(10,668	)		(7,609	)		(3,945	)

Net income attributable to common stockholders	$	4,495		$	16,799		$	15,882		$	11,087		$	5,677

Weighted average common shares outstanding
Basic		181,741			180,166			178,352			176,796			175,850

Diluted		292,645			296,852			298,151			298,131			298,049

Net income per share attributable to common stockholders
Basic and diluted	$	0.02		$	0.09		$	0.09		$	0.06		$	0.03

Dividends per share	$	0.105		$	0.105		$	0.105		$	0.105		$	0.105

Notes:

(1)	The following table reflects the components of rental revenue.


	Three Months Ended
Rental Revenue	March 31, 2020		December 31, 2019		September 30, 2019		June 30, 2019		March 31, 2019
Base rent	$	130,577	$	130,234	$	129,098	$	125,170	$	126,634
Billed tenant expense reimbursement		17,536		21,467		21,127		15,901		16,783

Total rental revenue	$	148,113	$	151,701	$	150,225	$	141,071	$	143,417

The Company believes the preceding table of the components of rental revenue is not, and is not intended to be, a presentation in accordance with GAAP. The Company believes this information is frequently used by management, investors, securities analysts and other interested parties to evaluate the Company’s performance.

Page 18

LOGO

First Quarter 2020

Funds from Operations (“FFO”), Modified Funds From Operations (“Modified FFO”), Core Funds

from Operations (“Core FFO”), Core Funds Available for Distribution (“Core FAD”) and EBITDA

(unaudited and in thousands, except per share amounts)


	Three Months Ended
	March 31, 2020			December 31, 2019			September 30, 2019			June 30, 2019			March 31, 2019
Reconciliation of Net Income to FFO, Modified FFO and Core FFO
Net Income	$	8,288		$	28,720		$	26,784		$	18,930		$	9,856
Preferred unit distributions		(1,050	)		(1,041	)		(234	)		(234	)		(234	)
Real estate depreciation and amortization		44,430			45,298			43,303			43,822			45,092

FFO attributable to common stockholders and non-controlled interests		51,668			72,977			69,853			62,518			54,714
Amortization of below-market ground lease		1,958			1,958			1,957			1,958			1,958

Modified FFO attributable to common stockholders and non-controlled interests		53,626			74,935			71,810			64,476			56,672
Loss on early extinguishment of debt		86			—			—			—			—

Core FFO attributable to common stockholders and non-controlled interests	$	53,712		$	74,935		$	71,810		$	64,476		$	56,672

Total weighted average shares and Operating Partnership Units
Basic		292,645			296,852			298,151			298,131			298,049

Diluted		292,645			296,852			298,151			298,131			298,049

FFO attributable to common stockholders and non-controlled interests per share
Basic	$	0.18		$	0.25		$	0.23		$	0.21		$	0.18

Diluted	$	0.18		$	0.25		$	0.23		$	0.21		$	0.18

Modified FFO attributable to common stockholders and non-controlled interests per share
Basic	$	0.18		$	0.25		$	0.24		$	0.22		$	0.19

Diluted	$	0.18		$	0.25		$	0.24		$	0.22		$	0.19

Core FFO attributable to common stockholders and non-controlled interests per share
Basic	$	0.18		$	0.25		$	0.24		$	0.22		$	0.19

Diluted	$	0.18		$	0.25		$	0.24		$	0.22		$	0.19

Reconciliation of Core FFO to Core FAD
Core FFO	$	53,712		$	74,935		$	71,810		$	64,476		$	56,672
Add:
Amortization of deferred financing costs		894			873			923			1,020			1,021
Non-real estate depreciation and amortization		1,664			1,110			958			998			1,007
Amortization of non-cash compensation expense		5,892			5,465			4,049			5,924			5,419
Amortization of debt discount		—			—			311			668			668
Amortization of loss on interest rate derivative		447			385			385			385			385
Deduct:
Straight-line rental revenues		(8,193	)		(6,276	)		(5,174	)		(3,203	)		(5,404	)
Above/below-market rent revenue amortization		(908	)		(1,530	)		(1,682	)		(1,745	)		(2,354	)
Corporate capital expenditures		(426	)		(678	)		(614	)		(463	)		(498	)
Tenant improvements—second generation		(8,151	)		(12,581	)		(8,734	)		(10,513	)		(9,028	)
Building improvements—second generation		(3,846	)		(6,556	)		(4,931	)		(6,296	)		(4,840	)
Leasing commissions—second generation		(3,347	)		(13,244	)		(2,651	)		(3,016	)		(1,869	)

Core FAD	$	37,738		$	41,903		$	54,650		$	48,235		$	41,179

Reconciliation of Net Income to EBITDA
Net income	$	8,288		$	28,720		$	26,784		$	18,930		$	9,856
Interest expense		19,618			18,534			19,426			20,597			20,689
Income tax expense (benefit)		(382	)		1,210			1,338			611			(730	)
Depreciation and amortization		46,093			46,409			44,260			44,821			46,098

EBITDA	$	73,617		$	94,873		$	91,808		$	84,959		$	75,913

Page 19

LOGO

First Quarter 2020

Debt Summary

(unaudited and dollars in thousands)


	March 31, 2020								December 31, 2019
				Weighted Average								Weighted Average
Debt Summary	Balance			Interest Rate			Maturity (Years)		Balance			Interest Rate			Maturity (Years)
Fixed rate mortgage debt	$	609,851			4.10	%		8.8	$	610,821			4.10	%		9.0
Senior unsecured notes		975,000			4.10	%		9.9		800,000			4.19	%		9.5
Unsecured term loan facilities ⁽¹⁾		390,000			3.70	%		5.8		265,000			3.35	%		2.7

Total fixed rate debt		1,974,851			4.02	%		8.3		1,675,821			4.03	%		8.3
Unsecured revolving credit facilities		550,000			2.09	%		1.4		—			—			1.7

Total variable rate debt ⁽²⁾		550,000			2.09	%		1.4		—			—			1.7

Total debt		2,524,851			3.60	%		7.2		1,675,821			4.03	%		8.3

Deferred financing costs, net		(14,082	)							(7,247	)

Total	$	2,510,769							$	1,668,574

Note:

(1)	LIBOR is fixed at 2.1485% for $265 million and 2.958% for $125 million under variable to fixed interest rate swap agreements.


Available Capacity	Facility		Outstanding at March 31, 2020		Letters of Credit		Available Capacity
Unsecured revolving credit facility ⁽¹⁾	$	1,100,000	$	550,000	$	—	$	550,000

Covenant Summary

Required

Current
Quarter

In
Compliance

Maximum Total Leverage⁽²⁾

< 60

35.4

Yes

Maximum Secured Debt

< 40

8.4

Yes

Minimum Fixed Charge Coverage

> 1.50

3.6

Yes

Minimum Unencumbered Interest Coverage

> 1.75

6.9

Yes

Maximum Unsecured Leverage

< 60

30.7

Yes

Notes:

(1)

The unsecured revolving credit and term loan facilities have an accordion feature allowing for an increase in maximum aggregate principal balance to $2.0 billion under certain circumstances. This unsecured revolving credit facility matures in August 2021 with two additional six-month extension options.

(2)	Represents the ratio of total indebtedness to total asset value as defined and determined in accordance with the credit facility agreement.

Page 20

LOGO

First Quarter 2020

Debt Detail

(unaudited and dollars in thousands)


	Stated Interest Rate (%)			Effective Interest Rate (%) ⁽¹⁾			Principal Balance			Maturity Date		Amortization
Fixed rate mortgage debt:
Metro Center		3.59	%		3.68	%	$	89,090			11/5/2024		30 years
10 Union Square		3.70	%		3.97	%		50,000			4/1/2026		Interest only
1542 Third Avenue		4.29	%		4.53	%		30,000			5/1/2027		Interest only
First Stamford Place ⁽²⁾		4.28	%		4.75	%		180,000			7/1/2027		5 years interest only; 30 years thereafter
1010 Third Avenue and 77 West 55th Street		4.01	%		4.23	%		38,061			1/5/2028		30 years
10 Bank Street		4.23	%		4.36	%		32,700			6/1/2032		25 years
383 Main Avenue		4.44	%		4.55	%		30,000			6/30/2032		5 years interest only; 30 years thereafter
1333 Broadway		4.21	%		4.29	%		160,000			2/5/2033		Interest only

Total mortgage debt								609,851
Unsecured revolving credit facility		LIBOR plus 1.10	%		3.48	%		550,000			8/29/2021		Interest only
Unsecured term loan facility		LIBOR plus 1.20	%		3.39	%		215,000			3/19/2025		Interest only
Unsecured term loan facility		LIBOR plus 1.50	%		3.87	%		175,000			12/31/2026		Interest only
Senior unsecured notes:
Series A		3.93	%		3.96	%		100,000			3/27/2025		Interest only
Series B		4.09	%		4.12	%		125,000			3/27/2027		Interest only
Series C		4.18	%		4.21	%		125,000			3/27/2030		Interest only
Series D		4.08	%		4.11	%		115,000			1/22/2028		Interest only
Series E		4.26	%		4.27	%		160,000			3/22/2030		Interest only
Series F		4.44	%		4.45	%		175,000			3/22/2033		Interest only
Series G		3.61	%		4.90	%		100,000			3/17/2032		Interest only
Series H		3.73	%		5.00	%		75,000			3/17/2035		Interest only

Total / weighted average debt		3.60	%		4.04	%		2,524,851

Deferred financing costs, net								(14,082	)

Total ⁽³⁾							$	2,510,769

Notes:

(1)	The effective interest rate is composed of the stated interest rate, deferred financing cost amortization and interest associated with variable to fixed interest rate swap agreements.

(2)	Represents a $164 million mortgage loan bearing interest at 4.09% and a $16 million loan bearing interest at 6.25%.

Page 21

LOGO

First Quarter 2020

Debt Maturities and Ground Lease Commitments

(unaudited and dollars in thousands)


Year	Maturities ⁽¹⁾		Amortization		Total			Percentage of Total Debt			Weighted Average Interest Rate of Maturing Debt
2020	$	—	$	2,967	$	2,967			0.1	%		n/a
2021		550,000		4,090		554,090			21.9	%		2.09	%
2022		—		5,628		5,628			0.2	%		n/a
2023		—		7,876		7,876			0.3	%		n/a
2024		77,675		7,958		85,633			3.4	%		3.59	%
2025		315,000		5,826		320,826			12.7	%		3.77	%
2026		225,000		6,080		231,080			9.2	%		3.70	%
2027		319,000		5,008		324,008			12.8	%		4.21	%
2028		146,092		1,877		147,969			5.9	%		4.06	%
2029		—		1,959		1,959			0.1	%		n/a
Thereafter		837,656		5,159		842,815			33.4	%		4.16	%

Total debt	$	2,470,423	$	54,428		2,524,851			100.0	%		3.60	%

Deferred financing costs, net						(14,082	)

Total					$	2,510,769

Note:

(1)	Assumes no extension options are exercised.

Debt Maturity and Amortization Profile

LOGO

Ground Lease Commitments (1)


Year	1350 Broadway ⁽²⁾		1400 Broadway ⁽³⁾			111 West 33rd Street ⁽⁴⁾		Total
2020	$	81		$	506	$	551	$	1,139
2021		108			675		735		1,518
2022		108			675		735		1,518
2023		108			675		735		1,518
2024		108			675		735		1,518
Thereafter		1,929			26,325		38,526		66,780

	$	2,442		$	29,531	$	42,017	$	73,991

Notes:

(1)	There are no fair value market resets, no step-ups, and no escalations in the three ground lease commitments.

(2)	Expires July 31, 2050 with a remaining term, including unilateral extension rights available to the Company, of approximately 30 years.

(3)	Expires December 31, 2063 with a remaining term, including unilateral extension rights available to the Company, of approximately 43 years.

(4)	Expires May 31, 2077 with a remaining term, including unilateral extension rights available to the Company, of approximately 57 years.

Page 22

LOGO

First Quarter 2020

Supplemental Definitions

Funds From Operations (“FFO”)

We compute FFO in accordance with the “White Paper” on FFO published by the National Association of Real Estate Investment Trusts, or NAREIT, which defines FFO as net income (loss) (determined in accordance with GAAP), excluding impairment writedowns of investments in depreciable real estate and investments in in-substance real estate investments, gains or losses from debt restructurings and sales of depreciable operating properties, plus real estate-related depreciation and amortization (excluding amortization of deferred financing costs), less distributions to non-controlling interests and gains/losses from discontinued operations and after adjustments for unconsolidated partnerships and joint ventures. FFO is a widely recognized non-GAAP financial measure for REITs that we believe, when considered with financial statements determined in accordance with GAAP, is useful to investors in understanding financial performance and providing a relevant basis for comparison among REITs. In addition, FFO is useful to investors as it captures features particular to real estate performance by recognizing that real estate has generally appreciated over time or maintains residual value to a much greater extent than do other depreciable assets. Investors should review FFO, along with GAAP net income, when trying to understand an equity REIT’s operating performance. We present FFO because we consider it an important supplemental measure of our operating performance and believe that it is frequently used by securities analysts, investors and other interested parties in the evaluation of REITs. However, because FFO excludes depreciation and amortization and captures neither the changes in the value of our properties that result from use or market conditions nor the level of capital expenditures and leasing commissions necessary to maintain the operating performance of our properties, all of which have real economic effect and could materially impact our results of operations, the utility of FFO as a measure of its performance is limited. There can be no assurance that FFO presented by us is comparable to similarly titled measures of other REITs. FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. Although FFO is a measure used for comparability in assessing the performance of REITs, as the NAREIT White Paper only provides guidelines for computing FFO, the computation of FFO may vary from one company to another.

Modified Funds From Operations (“Modified FFO”)

Modified FFO adds back an adjustment for any above or below-market ground lease amortization to traditionally defined FFO. We consider this a useful supplemental measure in evaluating our operating performance due to the non-cash accounting treatment under GAAP, which stems from the third quarter 2014 acquisition of two option properties following our formation transactions as they carry significantly below market ground leases, the amortization of which is material to our overall results. We present Modified FFO because we consider it an important supplemental measure of our operating performance in that it adds back the non-cash amortization of below-market ground leases. There can be no assurance that Modified FFO presented by us is comparable to similarly titled measures of other REITs. Modified FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. Modified FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions.

Core Funds From Operations (“Core FFO”)

Core FFO adds back to Modified FFO the following items: deferred tax asset write-off, loss on early extinguishment of debt and acquisition expenses. The Company presents Core FFO because it considers it an important supplemental measure of its operating performance in that it excludes non-recurring items. There can be no assurance that Core FFO presented by the Company is comparable to similarly titled measures of other REITs. Core FFO does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. Core FFO is not indicative of cash available to fund ongoing cash needs, including the ability to make cash distributions. In future periods, we may also exclude other items from Core FFO that we believe may help investors compare our results.

Core Funds Available for Distribution (“Core FAD”)

In addition to Core FFO, we present Core FAD by (i) adding to Core FFO non-real estate depreciation and amortization, the amortization of deferred financing costs, amortization of debt discounts and non-cash compensation expenses and (ii) deducting straight line rent, recurring second generation leasing commissions, tenant improvements, prebuilts, capital expenditures, furniture, fixtures & equipment, amortization of debt premiums and above/below market rent revenue. Core FAD is presented solely as a supplemental disclosure that we believe provides useful information regarding our ability to fund our dividends. Core FAD does not represent cash generated from operating activities and should not be considered as an alternative to net income (loss) determined in accordance with GAAP or to cash flow from operating activities determined in accordance with GAAP. Core FAD is not indicative of cash available to fund ongoing cash needs., including the ability to make cash distributions. There can be no assurance that Core FAD presented by us is comparable to similarly titled measures of other REITs.

Net Operating Income (NOI)

NOI is a non-GAAP financial measure of performance. NOI is used by our management to evaluate and compare the performance of our properties and to determine trends in earnings and to compute the fair value of our properties as it is not affected by; (i) the cost of funds of the property owner, (ii) the impact of depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets that are included in net income computed in accordance with GAAP, (iii) acquisition expenses, loss on early extinguishment of debt and loss from derivative financial instruments or (iv) general and administrative expenses and other gains and losses that are specific to the property owner. The cost of funds is eliminated from net operating income because it is specific to the particular financing capabilities and constraints of the owner. The cost of funds is also eliminated because it is dependent on historical interest rates and other costs of capital as well as past decisions made by us regarding the appropriate mix of capital which may have changed or may change in the future. Depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets are eliminated because they may not accurately represent the actual change in value in our office or retail properties that result from use of the properties or changes in market conditions. While certain aspects of real property do decline in value over time in a manner that is reasonably captured by depreciation and amortization, the value of the properties as a whole have historically increased or decreased as a result of changes in overall economic conditions instead of from actual use of the property or the passage of time. Gains and losses from the sale of real property vary from property to property and are affected by market conditions at the time of sale which will usually change from period to period. These gains and losses can create distortions when comparing one period to another or when comparing our operating results to the operating results of other real estate companies that have not made similarly timed, purchases or sales. We believe that eliminating these costs from net income is useful because the resulting measure captures the actual revenue, generated and actual expenses incurred in operating our properties as well as trends in occupancy rates, rental rates and operating costs. However, the usefulness of NOI is limited because it excludes general and administrative costs, interest expense, depreciation and amortization expense and gains or losses from the sale of properties, and other gains and losses as stipulated by GAAP, the level of capital expenditures and leasing costs necessary to maintain the operating performance of our properties, all of which are significant economic costs. NOI may fail to capture significant trends in these components of net income which further limits its usefulness. NOI is a measure of the operating performance of our properties but does not measure our performance as a whole. NOI is therefore not a substitute for net income as computed in accordance with GAAP. This measure should be analyzed in conjunction with net income computed in accordance with GAAP. Other companies may use different methods for calculating NOI or similarly titled measures and, accordingly, our NOI may not-be comparable to similarly titled measures reported by other companies that do not define the measure exactly as we do.

EBITDA

We compute EBITDA as net income plus interest expense, income taxes and depreciation. We present EBITDA because we believe that EBITDA, along with cash flow from operating activities, investing activities and financing activities, provides investors with an additional indicator of its ability to incur and service debt. EBITDA should not be considered as an alternative to net income (determined in accordance with GAAP), as an indication of our financial performance, as an alternative to net cash flows from operating activities (determined in accordance with GAAP), or as a measure of its liquidity.

Page 23

Cover Page	Apr. 22, 2020
Document Information [Line Items]
Amendment Flag	false
Entity Central Index Key	0001541401
Document Type	8-K
Document Period End Date	Apr. 22, 2020
Entity Registrant Name	EMPIRE STATE REALTY TRUST, INC.
Entity Incorporation State Country Code	MD
Entity File Number	001-36105
Entity Tax Identification Number	37-1645259
Entity Address, Address Line One	111 West 33rd Street
Entity Address, Address Line Two	12th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10120
City Area Code	212
Local Phone Number	687-8700
Written Communications	false
Soliciting Material	false
Pre Commencement Tender Offer	false
Pre Commencement Issuer Tender Offer	false
Entity Emerging Growth Company	false
EMPIRE STATE REALTY OP, L.P. [Member]
Document Information [Line Items]
Entity Registrant Name	EMPIRE STATE REALTY OP, L.P.
Entity Incorporation State Country Code	DE
Entity File Number	001-36106
Entity Tax Identification Number	45-4685158
Entity Emerging Growth Company	false
Common Class A [Member]
Document Information [Line Items]
Security 12b Title	Class A Common Stock, par value $0.01 per share
Trading Symbol	ESRT
Security Exchange Name	NYSE
Series ES Operating Partnership Units [Member] \| EMPIRE STATE REALTY OP, L.P. [Member]
Document Information [Line Items]
Security 12b Title	Series ES Operating Partnership Units
Trading Symbol	ESBA
Security Exchange Name	NYSEArca
Series 60 Operating Partnership Units [Member] \| EMPIRE STATE REALTY OP, L.P. [Member]
Document Information [Line Items]
Security 12b Title	Series 60 Operating Partnership Units
Trading Symbol	OGCP
Security Exchange Name	NYSEArca
Series 250 Operating Partnership Units [Member] \| EMPIRE STATE REALTY OP, L.P. [Member]
Document Information [Line Items]
Security 12b Title	Series 250 Operating Partnership Units
Trading Symbol	FISK
Security Exchange Name	NYSEArca