ALEXANDERS INC Q1 FY2026 earnings call

1. Discussed capital planning including holding billion-dollar-plus cash balances, pre-funding capital needs, operating with lower debt levels, and using non-recourse project-level debt. 2. On leasing side, two larger tenants expiring in second half of year are expected to renew, and confident about 2026 expirations and 2027, 2028 expirations. 3. Talked about assets sales, future developments, and how capital needs are laddered. 4. Addressed questions on Hotel Penn, Manhattan Mall, 2027 FFO, asset sales, acquisitions, share buyback, mark-to-markets, occupancy, litigation, and retail segment reclassification.

1. On 2027 FFO, mentioned continued elevated TIs in 2027 and expect FAD to drop materially in 2028. 2. No plan to give formal SFO guidance currently, but selectively and in limited way guide in calls. 3. Expect to get back to mid to high 90s occupancy over couple of years.

Q: Given activity with Penn assets, update on Hotel Penn and Manhattan Mall?

A: No update.

Q: On 2027 FFO, offsets and FAD?

A: Continued elevated TIs this year and next year, expect FAD to drop materially in 2028.

Q: On 350 Park rent maturity and lease?

A: New rent is coterminous with new mortgage execution, runs until mortgage matures.

Q: Thoughts on giving earnings guidance?

A: No plan to give full guidance currently, selectively guide in calls.

Q: Asset sales and no sacred cows?

A: There are assets not in business mix for sale, no sacred assets, depends on price and economics.

Q: Acquisitions vs share buyback vs leverage?

A: Can do all three, ongoing acquisitions and share buyback.

Q: Mark-to-markets and leasing spreads?

A: Expect positive mark-to-markets, free rent to reduce, TIs starting to come down.

Q: Occupancy update?

A: Historically run mid to high 90s, expect to get back, some buildings over-leveraged and underwater affect occupancy.

Q: PEN1 litigation timing and retail segment change?

A: No comment on PEN1 litigation timing, reclassified retail assets with office assets to align sub-segment.

Q: Sunset Pure Studio short-term tenants converting to longer-term?

A: Prefer long-term leasing, great interest.

Q: Verizon space at Penn subtenant vs new tenant and termination fees?

A: Long-term credit lease, will be opportunistic, no specific comment on termination fees and accounting.