ONE LIBERTY PROPERTIES, INC.
ANNOUNCES RESULTS OF OPERATIONS
FOR THE THREE MONTHS AND YEAR ENDED
DECEMBER 31, 1997
Great Neck, New York - March 12, 1998 - One Liberty Properties, Inc. (ASE: OLP;OLP
Pr) today reported that for the three months ended December 31, 1997, it had revenues
of $1,658,934, and net income applicable to common stockholders of $336,197 or $.22
per share. This compares with revenues of $1,534,725 and net income applicable to
common stockholders of $75,990 or $.05 per share for the comparable three months
ended December 31, 1996. Net income applicable to common stockholders is after
dividends and accretion on the preferred stock. Funds from operations, as adjusted,
applicable to common stockholders for the three months ended, December 31, 1997
was $506,834 or $.33 per share as compared to $463,345 or $.31 per share for the
three months ended December 31, 1996. The basic weighted average number of
common shares outstanding was 1,558,483 and 1,472,695 for the three months ended
December 31, 1997 and 1996, respectively.
For the year ended December 31, 1997, the Company reported revenues of $6,284,809,
and net income applicable to common stockholders of $1,533,972, or $1.01 per share.
For the year ended December 31, 1996, the Company reported revenues of
$5,511,556, and net income applicable to common stockholders of $725,593 or $.50 per
share. Net income applicable to common stockholders is after dividends and accretion
on the preferred stock. Funds from operations, as adjusted, applicable to common
stockholders was $1,854,636, or $1.22 per share for the year ended December 31,
1997, as compared to $1,917,550 or $1.32 per share for the year ended December 31,
1996. The basic weighted average number of common shares outstanding was
1,552,967 and 1,447,413 for the years ended December 31, 1997 and 1996,
respectively.
Commenting on the results of operations, Matthew Gould, President of the Company
stated that revenues increased in both the year ended December 31, 1997 and the three
months ended December 31, 1997 as compared to the comparable prior periods, due to
an increase in rental income as a result of the acquisition of five properties in 1996 and
two properties in 1997. The increase in rental income was offset by a decrease in
interest income from related parties substantially due to the payoff in full of a senior note
receivable in August, 1996. On the expense side, for the year ended December 31,
1997, there was a modest increase in expenses resulting from an increase in
depreciation and amortization expense primarily from depreciation on acquired
properties and the amortization of capitalized costs incurred in connection with the
Company's credit facility and in placing mortgages on properties, and an increase in
interest on mortgages payable due to interest paid on mortgages placed on properties
acquired during 1996 and 1997. These increases in expenses were offset in part by a
decrease in general and administrative expenses, primarily a decrease in professional
fees. Mr. Gould stated that in the year ended December 31, 1996, as well as the three
months ended December 31, 1996, the Company had taken a provision for valuation
adjustment of real estate of $659,000 and $200,000, respectively, while no such
provisions were taken in 1997. He also stated that in the year ended December 31,
1997, the Company recognized a $599,251 gain on sale of real estate, which includes a
minority interest $215,336 share and that there was no comparable gain in the prior
fiscal year.
Mr. Gould commented that funds from operations, as adjusted, removes the effects of
straightlining of rents ($101,650 and $64,507 for the quarters ending December 31, 1997
and 1996, respectively and $360,225 and $218,061 for the years ended December 31,
1997 and 1996, respectively) and adds back to net income depreciation of properties
and provision for valuation adjustment and deducts the gain on sale of real estate and
cash distributions to preferred stockholders.
The Company continues to actively pursue the acquisition of net leased properties.
One Liberty Properties is real estate investment trust and invests primarily in improved
commercial real estate under long term net lease.
Contact:
F:/work/press3983
David W. Kalish
(516) 466-3100