# EDGAR Filing Document

**Accession Number:** 0000077281
**File Stem:** 0000950170-23-009232
**Filing Date:** 2023-3
**Character Count:** 118025
**Document Hash:** 3f730659745371c6722fbb6cf7f4b142
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000950170-23-009232.hdr.sgml**: 20230322

**ACCESSION NUMBER**: 0000950170-23-009232

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 17

**CONFORMED PERIOD OF REPORT**: 20230322

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230322

**DATE AS OF CHANGE**: 20230322

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** PENNSYLVANIA REAL ESTATE INVESTMENT TRUST
- **CENTRAL INDEX KEY:** 0000077281
- **STANDARD INDUSTRIAL CLASSIFICATION:** REAL ESTATE INVESTMENT TRUSTS [6798]
- **IRS NUMBER:** 236216339
- **STATE OF INCORPORATION:** PA
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-06300
- **FILM NUMBER:** 23753770

**BUSINESS ADDRESS:**
- **STREET 1:** ONE COMMERCE SQUARE
- **STREET 2:** 2005 MARKET STREET, SUITE 1000
- **CITY:** PHILADELPHIA
- **STATE:** PA
- **ZIP:** 19103
- **BUSINESS PHONE:** 2158750426

**MAIL ADDRESS:**
- **STREET 1:** ONE COMMERCE SQUARE
- **STREET 2:** 2005 MARKET STREET, SUITE 1000
- **CITY:** PHILADELPHIA
- **STATE:** PA
- **ZIP:** 19103

?xml version="1.0" encoding="ASCII"? 8-K

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**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):** March 22, 2023

Pennsylvania Real Estate Investment Trust

**(Exact Name of Registrant as Specified in its Charter)** 

---

| | | | |
|:---|:---|:---|:---|
| Pennsylvania | 001-6300 | 001-6300 | 23-6216339 |
| **(State or Other Jurisdiction<br>of Incorporation or Organization)** | **(Commission<br>File Number)** | **(Commission<br>File Number)** | **(IRS Employer<br>Identification No.)** |
| One Commerce Square<br>2005 Market Street**,** Suite 1000<br>Philadelphia**,** Pennsylvania | One Commerce Square<br>2005 Market Street**,** Suite 1000<br>Philadelphia**,** Pennsylvania | <br>19103 | <br>19103 |
| **(Address of Principal Executive Offices)** | **(Address of Principal Executive Offices)** | **(Zip Code)** | **(Zip Code)** |

---

Registrant's telephone number, including area code: (215) 875-0700

------

**(Former Name or Former Address, if Changed Since 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:

---

| | |
|:---|:---|
| &nbsp;&nbsp;Title of each class | &nbsp;&nbsp;Trading Symbol(s) |
| &nbsp;&nbsp;Shares of Beneficial Interest, par value $1.00 per share | &nbsp;&nbsp;PRET<br> &nbsp;&nbsp;\* |
| &nbsp;&nbsp;Series B Preferred Shares, par value $0.01 per share | &nbsp;&nbsp;PRETL<br> &nbsp;&nbsp;\* |
| &nbsp;&nbsp;Series C Preferred Shares, par value $0.01 per share | &nbsp;&nbsp;PRETM<br> &nbsp;&nbsp;\* |
| &nbsp;&nbsp;Series D Preferred Shares, par value $0.01 per share | &nbsp;&nbsp;PRETN<br> &nbsp;&nbsp;\* |

---

\*Pennsyvlania Real Estate Investment Trust's securities began trading exclusively on the over-the-counter market on December 16, 2022, under the symbols, PRET, PRETL, PRETM, and PRETN.

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 March 22, 2023, Pennsylvania Real Estate Investment Trust provided on its website at www.preit.com its Quarterly Supplemental Disclosure dated December 31, 2022. A copy of the Quarterly Supplemental Disclosure is attached as an exhibit to this report.

The information furnished under this "Item 2.02. Results of Operations and Financial Condition" shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing.

---

| | |
|:---|:---|
| **Item 9.01** | **Financial Statements and Exhibits.** |
| 99.1 | [<u>Quarterly Supplemental Disclosure Dated December 31, 2022</u>](pret-ex99_1.htm) |
| 104 | Cover Page Interactive Data File, formatted in Inline XBRL (embedded within the Inline XBRL document). |

---

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | PENNSYLVANIA REAL ESTATE INVESTMENT TRUST | PENNSYLVANIA REAL ESTATE INVESTMENT TRUST |
| March 22, 2023 | By: | /s/ Lisa M. Most |
|  |  | Lisa M. Most |
|  |  | Executive Vice President, Secretary and General Counsel |

---

------

## Ex-99

**Exhibit 99.1**

![img92236436_0.jpg](img92236436_0.jpg)

**Supplemental Financial and Operating Information**

**December 31, 2022**

![img92236436_1.jpg](img92236436_1.jpg)

**www.preit.com**

**OTCQB: PRET**

**OTCQB: PRETL, PRETM, PRETN**

------

**Pennsylvania Real Estate Investment Trust**

**Supplemental Financial and Operating Information**

**December 31, 2022**

---

| | |
|:---|:---|
| **<u>**Table of Contents**</u>** |  |
| **<u>Introduction</u>** |  |
| [<u>Company Information</u>](#company_information) | [<u>1</u>](#company_information) |
| <u>Earnings Release</u> | <u>2</u> |
| [<u>Changes in Funds from Operations (FFO) for the Three Months and Year Ended December 31, 2022</u>](#changes_in_funds_from_operations) | [<u>5</u>](#changes_in_funds_from_operations) |
| [<u>Market Capitalization and Capital Resources</u>](#market_capitalization_capital_resources) | [<u>6</u>](#market_capitalization_capital_resources) |
| **<u>Operating Results</u>** |  |
| [<u>Statements of Operations – Three Months and Year Ended December 31, 2022 and 2021</u>](#statement_of_operations) | [<u>7</u>](#statement_of_operations) |
| [<u>Computation of Earnings Per Share - Three Months and Year Ended December 31, 2022 and 2021</u>](#eps) | [<u>8</u>](#eps) |
| [<u>Reconciliation of Net Operating Income (NOI) and EBITDAre (Non-GAAP Measures) – Three Months and Year Ended December 31, 2022 and 2021</u>](#reconciliation_net_operating_income_earn) | [<u>9</u>](#reconciliation_net_operating_income_earn) |
| [<u>Reconciliation of Net Loss (GAAP Measure) to Net Operating Income (NOI) from Consolidated Properties (Non-GAAP Measure) - Three Months Ended December 31, 2022 and 2021</u>](#reconciliation_net_income_loss_to_net_op) | [<u>10</u>](#reconciliation_net_income_loss_to_net_op) |
| [<u>Reconciliation of Equity in (Loss) Income of Partnerships (GAAP Measure) to Net Operating Income (NOI) from Equity Method Investments, at Ownership Share (Non-GAAP Measure) - Three Months Ended December 31, 2022 and 2021</u>](#reconciliation_equity_in_income_partners) | [<u>11</u>](#reconciliation_equity_in_income_partners) |
| [<u>Reconciliation of Net Loss (GAAP Measure) to Net Operating Income (NOI) from Consolidated Properties (Non-GAAP Measure) - Year Ended December 31, 2022 and 2021</u>](#rec_net_loss_gaap_measure_6_mos) | [<u>12</u>](#rec_net_loss_gaap_measure_6_mos) |
| [<u>Reconciliation of Equity in (Loss) Income of Partnerships (GAAP Measure) to Net Operating Income (NOI) from Equity Method Investments, at Ownership Share (Non-GAAP Measure) - Year Ended December 31, 2022 and 2021</u>](#rec_net_loss_eq_method_inv_6_mos) | [<u>13</u>](#rec_net_loss_eq_method_inv_6_mos) |
| [<u>Reconciliation of Net Loss (GAAP Measure) to Funds From Operations (FFO) and Funds Available for Distribution (FAD) (Non-GAAP Measures) – Three Months and Year Ended December 31, 2022 and 2021</u>](#reconciliation_net_income_to_funds_from_) | [<u>14</u>](#reconciliation_net_income_to_funds_from_) |
| [<u>Condensed Consolidated Balance Sheets</u>](#condensed_consolidated_balance_sheet) | [<u>15</u>](#condensed_consolidated_balance_sheet) |
| [<u>Assets and Liabilities - Equity Method Investments, at Ownership Share (Non-GAAP Measure)</u>](#assets_liabilities_equity_method_investm) | [<u>16</u>](#assets_liabilities_equity_method_investm) |
| **<u>Operating Statistics</u>** |  |
| [<u>Leasing Activity Summary – Three Months and Year Ended December 31, 2022</u>](#leasing_activity_3_mos) | [<u>17</u>](#leasing_activity_3_mos) |
| [<u>Summarized Sales and Rent Per Square Foot and Occupancy Percentages</u>](#summarized_sales_rent_per_square_foot_oc) | [<u>19</u>](#summarized_sales_rent_per_square_foot_oc) |
| [<u>Mall Occupancy Percentage and Sales Per Square Foot</u>](#mall_occupancy_percentage_sales_per_squa) | [<u>20</u>](#mall_occupancy_percentage_sales_per_squa) |
| [<u>Top Twenty Tenants as of December 31, 2022</u>](#top_twenty_tenants) | [<u>21</u>](#top_twenty_tenants) |
| [<u>Lease Expirations as of December 31, 2022</u>](#lease_expirations_as_september_30_2019) | [<u>22</u>](#lease_expirations_as_september_30_2019) |
| [<u>Property Information as of December 31, 2022</u>](#property_info) | [<u>23</u>](#property_info) |
| **<u>Balance Sheet</u>** |  |
| [<u>Investment in Real Estate - Consolidated Properties</u>](#investment_in_real_estate_consolidated_p) | [<u>26</u>](#investment_in_real_estate_consolidated_p) |
| [<u>Investment in Real Estate - Equity Method Investments at Ownership Share</u>](#investment_in_real_estate_equity_method_) | [<u>27</u>](#investment_in_real_estate_equity_method_) |
| [<u>Capital Expenditures – Three Months and Year Ended December 31, 2022</u>](#capital_expenditures) | [<u>28</u>](#capital_expenditures) |
| [<u>Debt Analysis as of December 31, 2022</u>](#debt_analysis_as_september_30_2019) | [<u>29</u>](#debt_analysis_as_september_30_2019) |
| [<u>Debt Schedule as of December 31, 2022</u>](#debt_schedule_as_september_30_2019) | [<u>31</u>](#debt_schedule_as_september_30_2019) |
| [<u>Selected Debt Ratios</u>](#selected_debt_ratios_1) | [<u>32</u>](#selected_debt_ratios_1) |
| [<u>Forward Looking Statements</u>](#forward_looking_statements) | [<u>33</u>](#forward_looking_statements) |
| [<u>Definitions</u>](#definitions) | [<u>34</u>](#definitions) |

---

------

**Pennsylvania Real Estate Investment Trust**

**Company Information**

**Background**

PREIT (OTCQB:PRET) is a publicly traded real estate investment trust (REIT) that owns and manages innovative properties developed to be thoughtful, community-centric hubs. PREIT's robust portfolio of carefully curated, ever-evolving properties generates success for its tenants and meaningful impact for the communities it serves by keenly focusing on five core areas of established and emerging opportunity: multi-family & hotel, health & tech, retail, essentials & grocery and experiential. Located primarily in densely-populated regions, PREIT is a top operator of high quality, purposeful places that serve as one-stop destinations for customers to shop, dine, play and stay. The portfolio consists of 23 retail properties, 22 of which are operating properties and one is a development property. The 22 operating retail properties have a total of 18.3 million square feet and include 19 shopping malls and three other retail properties.

If you would like to learn more about PREIT or participate in our quarterly earnings conference call, please visit preit.com or contact:

Mario Ventresca

EVP & CFO

One Commerce Square

2005 Market Street, Suite 1000

Philadelphia, PA 19103

Telephone: (215) 875-0703

Heather Crowell

heather@gregoryfca.com

**Press release announcements are available on the Company's website at www.preit.com.**

------

![img92236436_2.jpg](img92236436_2.jpg)

**<u>CONTACT: AT THE COMPANY</u>**

Mario Ventresca

EVP & CFO

(215) 875-0703

**<u>INVESTOR RELATIONS</u>**

Heather Crowell

<u>heather@gregoryfca.com</u>

**PREIT Reports Fourth Quarter and Full Year 2022 Results**

Core Mall Total Occupancy Grew to 94.8%

Core Mall Non-Anchor Occupancy Increased 240 Basis Points to 92.1%

Core Mall Sales Per Square Foot Were $606 in January, Growing 1.7% Over December 2022

Average Renewal Spreads Were 1.1% for the Year Ended December 31, 2022

**Philadelphia, March 22, 2023** - PREIT (OTC:PRET) today reported results for the three months and year ended December 31, 2022. A description of each non-GAAP financial measure and the related reconciliation to the comparable GAAP financial measure is provided in the tables accompanying this release.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| (per share amounts) | **2022** | **2021** | **2022** | **2021** |
| Net loss - basic and diluted | $(7.81) | $(6.52) | $(33.06) | $(30.56) |
| FFO | $(0.93) | $2.50 | $(0.55) | $0.81 |
| FFO, as adjusted | $(0.88) | $2.40 | $(1.18) | $(0.56) |

---

"As we reflect on our performance, we are pleased with what the team accomplished in the face of increasing economic pressure facing businesses and consumers, delivering new-to-portfolio tenants and robust leasing results including diverse uses and raising capital through opportunistic asset sales," said Joseph F. Coradino, Chairman and CEO of PREIT. "In spite of the macroeconomic pressures, the prognosis for retail remains positive. The consumer has rediscovered the enclosed mall and is embracing the new experiences we are offering."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Same Store NOI, excluding lease termination revenue, decreased 7.7% and 0.3% for the three months and year ended December 31, 2022 compared to the same periods ended December 31, 2021, respectively, driven by outsized credit recoveries in 2021 and an increase in operating costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Robust leasing activity is driving increased occupancy with Core Mall Total Occupancy increasing by 150 basis points to 94.8% compared to the year ended December 31, 2021. Core Mall non-anchor Occupancy improved 240 basis points to 92.1% compared to the year ended December 31, 2021.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Core Mall total leased space, at 95.7%, exceeds occupied space by 90 basis points, and Core Mall non-anchor leased space, at 93.4%, is higher than occupied space by 130 basis points when including executed new leases slated for future occupancy, demonstrating the rapid pace of leasing activity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•For the rolling 12 month period ended December 31, 2022, core mall comparable sales grew to $596 per square foot, compared to $539 in 2019. Comparable sales demonstrated further improvement in January, rising to $606 per square foot.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Average renewal spreads for the three months and year ended December 31, 2022 were -5.6% and 1.1%, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•The Company made notable advances in its capital-raising efforts, including the sale of Cumberland Mall and several outparcels. Since the beginning of 2022, the Company sold assets generating just over $141 million in gross proceeds. As part of its debt reduction plan, the Company has applied asset sale proceeds and excess cash from operations to pay down debt by $184 million through January 31, 2023.

**Leasing and Redevelopment**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•337,000 square feet of leases are signed for future openings, which is expected to contribute annualized gross rent of over $7.4 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Construction is underway on the new self-storage facility in previously unused below grade space at Mall at Prince George's in Hyattsville, MD, with an anticipated opening in the third quarter of 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Tilted 10 opened Phase I of its planned two-level indoor family entertainment center at Willow Grove Park in March, adding family entertainment to this locally-loved destination shopping experience. The balance of the facility is expected to open in spring 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•At Moorestown Mall, construction is underway for the new state-of-the-art Cooper University Healthcare facility and the 375-unit Pearl apartment development, following completion of the sale of land in the second quarter of 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Tenant construction is underway for a new prototype, 32,000 square foot, LEGO® Discovery Center at Springfield Town Center with expected opening in third quarter 2023. Burlington has also executed a lease for a 30,000 square foot location with an anticipated opening later this year. Approvals were obtained for the development of 460 apartments and a 165-room hotel, setting the stage for sale of these parcels in summer 2023.

**Primary Factors Affecting Financial Results for the Three Months Ended December 31, 2022 and 2021**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Net loss attributable to PREIT common shareholders was $41.5 million (which takes into consideration the accrual of preferred dividends that accumulated during the quarter but have not been paid), or $(7.81) per basic and diluted share for the three months ended December 31, 2022, compared to net loss attributable to PREIT common shareholders of $34.5 million, or $(6.52) per basic and diluted share for the three months ended December 31, 2021.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•Funds from Operations decreased in the three months ended December 31, 2022 compared to the prior year period primarily due to lower NOI from Same Store properties as a result of declines in expense recoveries and sales, Non-Same Store properties as a result of the sale of our interest in Gloucester Premium Outlets and Cumberland Mall as well as higher interest expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•FFO for the three months ended December 31, 2022 was $(0.93) per diluted share and OP Unit compared to $2.50 per diluted share and OP Unit for the three months ended December 31, 2021.

All NOI and FFO amounts referenced as primary factors affecting financial results above include our share of unconsolidated properties' revenues and expenses. Additional information regarding changes in operating results for the three months and year ended December 31, 2022 and 2021 is included on page 15.

**Liquidity and Financing Activities**

------

As of December 31, 2022, the Company had $107.5 million available under its First Lien Revolving Credit Facility. The Company's corporate cash balances, when combined with available credit, provide total liquidity of $119.9 million. The Company extended the maturity date of its Credit Facilities to December 10, 2023 and is pursuing all available alternatives to address this upcoming maturity.

Additionally, the Fashion District Philadelphia partnership has continued to fund required paydowns of the Fashion District Philadelphia mortgage.

**Asset Dispositions**

During the quarter, the Company executed on the sale of Cumberland Mall for $44.6 million in gross proceeds, facilitating the repayment of the $39.0 million mortgage loan balance.

The Company also completed the sale of a former department store space at Valley View Mall for gross proceeds of $2.6 million.

Subsequent to the end of the quarter, the Company closed on the sale of its Whole Foods parcel at Plymouth Meeting Mall for $27 million.

**2023 Outlook**

The Company is not issuing detailed guidance at this time.

**Conference Call Information**

Management has scheduled a conference call for 11:00 a.m. Eastern Time on Wednesday, March, 22 2023, to review the Company's results and future outlook. To listen to the call, please dial 1(888) 330-2024 (domestic toll free), or 1(646) 960-0187 (international), and request to join the PREIT call, Conference ID 9326912, at least fifteen minutes before the scheduled start time as callers could experience delays. Investors can also access the call in a "listen only" mode via the internet at the Company's website, preit.com. Please allow extra time prior to the call to visit the site and download the necessary software to listen to the Internet broadcast. Financial and statistical information expected to be discussed on the call will also be available on the Company's website.

For interested individuals unable to join the conference call, the online archive of the webcast will also be available for one year following the call.

**About PREIT**

PREIT (OTC:PRET) is a publicly traded real estate investment trust that owns and manages innovative properties developed to be thoughtful, community-centric hubs. PREIT's robust portfolio of carefully curated, ever-evolving properties generates success for its tenants and meaningful impact for the communities it serves by keenly focusing on five core areas of established and emerging opportunity: multi-family & hotel, health & tech, retail, essentials & grocery and experiential. Located primarily in densely-populated regions, PREIT is a top operator of high quality, purposeful places that serve as one-stop destinations for customers to shop, dine, play and stay. Additional information is available at <u>www.preit.com</u> or on Twitter, Instagram or LinkedIn.

**Rounding**

Certain summarized information in the tables included may not total due to rounding.

------

**Pennsylvania Real Estate Investment Trust**

**Changes in Funds from Operations** <sup>(1)</sup>

**For the Three Months and Year Ended December 31, 2022 as compared to the Three Months and Year Ended December 31, 2021**

**(all per share amounts on a diluted basis unless otherwise noted; rounded to the nearest half penny; amounts may not total due to rounding)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(in thousands, except per share amounts)** | **Three Months Ended <br>December 31, 2022** | **Per Diluted<br>Share and OP<br>Unit** | **Year Ended December 31, 2022** | **Per Diluted<br>Share and OP<br>Unit** |
| **Funds from Operations, as adjusted December 31, 2021** | $**13055** | $**2.40** | $**(3018)** | $**(0.56)** |
| **Changes - Q4 2021 to Q4 2022** |  |  |  |  |
| Contribution from anchor replacements and new box tenants | 593 | 0.11 | 1575 | 0.29 |
| Impact from bankruptcies | (12) | - | 179 | 0.04 |
| Other leasing activity, including base rent and net CAM and real estate tax recoveries | (1638) | (0.30) | 1193 | 0.22 |
| Lease termination revenue | 803 | 0.15 | 1003 | 0.19 |
| Credit losses | (1389) | (0.26) | (1992) | (0.37) |
| Other | (2364) | (0.43) | (3800) | (0.70) |
| Same Store NOI(1) from unconsolidated properties | (97) | (0.02) | 195 | 0.04 |
| Same Store NOI | (4104) | (0.75) | (1647) | (0.29) |
| Non Same Store NOI | (2646) | (0.49) | (30572) | (5.63) |
| General and administrative expenses | (1816) | (0.34) | 5810 | 1.07 |
| Capitalization of leasing costs | (145) | (0.03) | (34) | (0.01) |
| Other | 1041 | 0.18 | 40406 | 7.43 |
| Interest expense, net | (10106) | (1.85) | (17304) | (3.19) |
| **Funds from Operations, as adjusted December 31, 2022** | **(4721)** | **(0.88)** | **(6359)** | **(1.18)** |
| Provision for employee separation expense | (283) | (0.05) | (277) | (0.05) |
| Insurance recoveries | (5) | - | (7) | - |
| Gain on sale of preferred equity interest | - | - | 3688 | 0.68 |
| **Funds from Operations, December 31, 2022** | $**(5009)** | $**(0.93)** | $**(2955)** | $**(0.55)** |

---

(1) Funds from Operations and NOI are non-GAAP measures. See definitions of Funds from Operations and NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Market Capitalization and Capital Resources**

**(in thousands)**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2022** | **December 31, 2021** |
| **<u>MARKET CAPITALIZATION</u>** |  |  |
| **EQUITY CAPITALIZATION** |  |  |
| Common Shares Outstanding | 5356 | 5347 |
| OP Units Outstanding | 69 | 69 |
| Total Common Shares and OP Units Outstanding | 5425 | 5416 |
| **Equity Market Capitalization—Common Shares and OP Units** | $**6347** | $**82855** |
| Series B Preferred Shares, Nominal Value | 86250 | 86250 |
| Series C Preferred Shares, Nominal Value | 172500 | 172500 |
| Series D Preferred Shares, Nominal Value | 125000 | 125000 |
| **Total Equity Market Capitalization** | $**390097** | $**466605** |
| **DEBT CAPITALIZATION** |  |  |
| Secured Debt Balance (1) | $2112693 | $2253673 |
| **TOTAL MARKET CAPITALIZATION** | $**2502790** | $**2720278** |
| **Equity Capitalization/Total Market Capitalization** | **15.6%** | **17.2%** |
| **Debt Capitalization/Total Market Capitalization** | **84.4%** | **82.8%** |
| **<u>CAPITAL RESOURCES</u>** |  |  |
| **Cash and Cash Equivalents** | $36945 | $69043 |
| **Revolving Facility** | 130000 | 130000 |
| Amount Outstanding | (22481) | (54549) |
| Available Revolving Facility (2) | 107519 | 75451 |
| **Term Loans** | 1138404 | 1120751 |
| Amount Borrowed | (1138404) | (1120751) |
| Available Term Loans | - | - |
| **TOTAL** | $**144464** | $**144494** |

---

(1) Includes all consolidated mortgages, term loans, and revolving credit facility, as well as our share of mortgage debt from unconsolidated equity method investments, which includes $52.2 million and $97.3 million of secured debt from our share of the FDP Term Loans as of December 31, 2022 and December 31, 2021 and $107.0 million and $57.8 million from our share of the FDP Partnership Loan as of December 31, 2022 and December 31, 2021, respectively.

(2) The available First Lien Revolving Facility borrowings are subject to covenants that may restrict amounts that can be borrowed.

------

**Pennsylvania Real Estate Investment Trust**

**Statements of Operations – Three Months and Year Ended December 31, 2022 and 2021**

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the Three Months Ended<br>December 31,** | **For the Three Months Ended<br>December 31,** | **For the Year Ended December 31,** | **For the Year Ended December 31,** |
| **<u>(in thousands of dollars)</u>** | **2022** | **2021** | **2022** | **2021** |
| REVENUE: |  |  |  |  |
| Real estate revenue: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Lease revenue | $73277 | $76502 | $271750 | $270065 |
| &nbsp;&nbsp;&nbsp;Expense reimbursements | 4633 | 4078 | 17856 | 16514 |
| &nbsp;&nbsp;&nbsp;Other real estate revenue | 2418 | 4462 | 5719 | 9290 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total real estate revenue | 80328 | 85042 | 295325 | 295869 |
| &nbsp;&nbsp;&nbsp;Other income | 325 | 131 | 702 | 561 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | 80653 | 85173 | 296027 | 296430 |
| EXPENSES: |  |  |  |  |
| Operating expenses: |  |  |  |  |
| Property operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;CAM and real estate taxes | (26515) | (26034) | (107026) | (105933) |
| &nbsp;&nbsp;&nbsp;Utilities | (3350) | (2901) | (14819) | (12473) |
| &nbsp;&nbsp;&nbsp;Other property operating expenses | (2884) | (2596) | (9469) | (9176) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total property operating expenses | (32749) | (31531) | (131314) | (127582) |
| Depreciation and amortization | (27559) | (29319) | (113083) | (117986) |
| General and administrative expenses | (11567) | (9751) | (43760) | (49570) |
| Other (expenses) income | (307) | (130) | (451) | 55 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | (72182) | (70731) | (288608) | (295083) |
| Interest expense, net (1) | (41287) | (32896) | (141760) | (128031) |
| Gain on debt extinguishment, net |  |  |  | 4587 |
| Impairment of assets | (1831) | (8374) | (44101) | (9938) |
| Reorganization expenses |  |  |  | (267) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses | (115300) | (112001) | (474469) | (428732) |
| Equity in loss of partnerships (2) | (2206) | (1303) | (6145) | (3732) |
| Gain (loss) on sales of interests in real estate | 1696 | 11 | 10829 | (1180) |
| Gain (loss) on sale of equity method investment | (77) |  | 8976 |  |
| Gain (loss) on sales of real estate by equity method investee |  |  |  | 1337 |
| Gain on sales of non operating real estate |  | 10 | 10527 | 10 |
| Gain on sale of preferred equity interest |  |  | 3688 |  |
| **Net loss** | (35234) | (28110) | (150567) | (135867) |
| &nbsp;&nbsp;&nbsp;Less: net loss attributable to noncontrolling interest | 530 | 443 | 2248 | 3130 |
| **Net loss attributable to PREIT** | (34704) | (27667) | (148319) | (132737) |
| &nbsp;&nbsp;&nbsp;Less: preferred share dividends | (6844) | (6844) | (27375) | (27375) |
| **Net loss attributable to PREIT common shareholders** | $(41548) | $(34511) | $(175694) | $(160112) |

---

(1) Net of capitalized interest expense of $73 thousand and $8 thousand for the three months ended December 31, 2022 and 2021, respectively and $0.2 million and $0.2 million for the year ended December 31, 2022 and 2021, respectively.

(2) Equity in loss of partnerships is net of capitalized interest expense of $0 and $9 thousand for the three months ended December 31, 2022 and 2021, respectively, and $8 thousand and $0.3 million for the year ended December 31, 2022 and 2021, respectively.

------

**Pennsylvania Real Estate Investment Trust**

**Computation of Earnings Per Share – Three Months and Year Ended December 31, 2022 and 2021** 

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the Three Months Ended<br>December 31,** | **For the Three Months Ended<br>December 31,** | **For the Year Ended December 31,** | **For the Year Ended December 31,** |
| **<u>(in thousands, except per share amounts)</u>** | **2022** | **2021** | **2022** | **2021** |
| Net loss used to calculate loss per share—basic and diluted | $(41548) | $(34511) | $(175693) | $(160112) |
| Basic and diluted loss per share: | $(7.81) | $(6.52) | $(33.06) | $(30.56) |
| Weighted average shares outstanding—basic | 5317 | 5292 | 5314 | 5240 |
| Effect of common share equivalents(1) |  |  |  |  |
| Weighted average shares outstanding—diluted | 5317 | 5292 | 5314 | 5240 |

---

(1) The Company had net losses used to calculate earnings per share for the three months and year ended December 31, 2022 and 2021. Therefore, the effects of common share equivalents are excluded from the calculation of diluted loss per share for these periods because they would be antidilutive.

------

**Pennsylvania Real Estate Investment Trust**

**Reconciliation of Net Operating Income and Earnings Before Interest, Income Taxes, Depreciation, and Amortization for Real Estate (Non-GAAP Measures) - Three Months and Year Ended December 31, 2022 and 2021** 

**(in thousands)**

**Net Operating Income ("NOI") Reconciliation for the Three Months Ended December 31, 2022 and 2021** <sup>(1)</sup>

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Same Store** | **Same Store** | **Change** | **Non Same Store** | **Non Same Store** | **Total** | **Total** |
| **<u>(in thousands of dollars)</u>** | **2022** | **2021** | **%** | **2022** | **2021** | **2022** | **2021** |
| NOI from consolidated properties | $47211 | $51218 | (7.8%) | $369 | $2293 | $47580 | $53511 |
| NOI attributable to equity method investments, at ownership share | 7888 | 7985 | (1.2%) | (14) | 708 | 7874 | 8693 |
| **Total NOI** | **55099** | **59203** | **(6.9**<br>**%)** | **355** | **3001** | **55454** | **62204** |
| Less: lease termination revenue | 852 | 403 | 111.4% | - | 177 | 852 | 580 |
| Total NOI excluding lease termination revenue | $**54247** | $**58800** | **(7.7**<br>**%)** | $**355** | $**2824** | $**54602** | $**61624** |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

**Net Operating Income ("NOI") Reconciliation for the Year Ended December 31, 2022 and 2021** <sup>(1)</sup>

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Same Store** | **Same Store** | **Change** | **Non Same Store** | **Non Same Store** | **Total** | **Total** |
| **<u>(in thousands of dollars)</u>** | **2022** | **2021** | **%** | **2022** | **2021** | **2022** | **2021** |
| NOI from consolidated properties | $160234 | $162076 | (1.1%) | $3778 | $6211 | $164012 | $168287 |
| NOI attributable to equity method investments, at ownership share | 29679 | 29484 | 0.7% | 1146 | 2686 | 30825 | 32170 |
| **Total NOI** | **189913** | **191560** | **(0.9**<br>**%)** | **4924** | **8897** | **194837** | **200457** |
| Less: lease termination revenue | 3247 | 4306 | (24.6%) | 49 | 323 | 3296 | 4629 |
| Total NOI excluding lease termination revenue | $**186666** | $**187254** | **(0.3**<br>**%)** | $**4875** | $**8574** | $**191541** | $**195828** |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

**Earnings Before Interest, Income Taxes, Depreciation, and Amortization for Real Estate ("EBITDAre") Reconciliation**<sup>(1)</sup>

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2022** | **2021** | **2022** | **2021** |
| Net loss | $(35235) | $(28109) | $(150566) | $(135867) |
| Depreciation and amortization: |  |  |  |  |
| Consolidated | 27559 | 29319 | 113083 | 117986 |
| Unconsolidated properties at ownership share | 2705 | 4322 | 11378 | 13577 |
| Interest expense: |  |  |  |  |
| Consolidated | 41287 | 32896 | 141760 | 128031 |
| Unconsolidated properties at ownership share | 7328 | 5613 | 25412 | 21837 |
| (Gain) loss on sales of interests in real estate | (1696) | (11) | (10829) | 1180 |
| (Gain) loss on sale of equity method investment | 77 | - | (8976) | - |
| (Gain) loss on sales of real estate by equity method investee | - | - | - | (1337) |
| Gain on debt extinguishment, net | - | - | - | (4587) |
| Impairment of assets | 1831 | 8374 | 44101 | 9938 |
| **EBITDAre** | $**43856** | $**52404** | $**165363** | $**150758** |

---

(1) EBITDAre is a non-GAAP measure. See definition on page 35.

------

**Pennsylvania Real Estate Investment Trust**

**Reconciliation of Net Loss (GAAP Measure) to Net Operating Income from Consolidated Properties (Non-GAAP Measure)**

**Three Months Ended December 31, 2022 and 2021** 

**(in thousands)**

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended December 31,** | **Three Months Ended December 31,** |
|  | **2022** | **2021** |
| Net loss | $(35235) | $(28109) |
| Other income | (325) | (131) |
| Depreciation and amortization | 27559 | 29319 |
| General and administrative expenses | 11568 | 9751 |
| Other (expenses) income | 308 | 129 |
| Interest expense, net | 41287 | 32896 |
| Equity in loss of partnerships | 2206 | 1303 |
| Impairment of assets | 1831 | 8374 |
| (Gain) loss on sales of interests in real estate | (1696) | (11) |
| Loss on sale of equity method investment | 77 | - |
| Gain on sales of non operating real estate | - | (10) |
| **NOI from consolidated properties (1)** | $**47580** | $**53511** |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Same Store** | **Same Store** | **Same Store** | **Non Same Store** | **Non Same Store** | **Total** | **Total** |
|  | **2022** | **2021** | **2021** | **2022** | **2021** | **2022** | **2021** |
| Real estate revenue |  |  |  |  |  |  |  |
| Base rent | $50565 | $| 49237 | $1564 | $3069 | $52129 | $52306 |
| CAM reimbursement income | 8233 |  | 8255 | 226 | 424 | 8459 | 8679 |
| Real estate tax income | 6220 |  | 7305 | 116 | 307 | 6336 | 7612 |
| Percentage rent | 5655 |  | 5981 | 19 | 337 | 5674 | 6318 |
| Lease termination revenue | 848 |  | 45 | - | 177 | 848 | 222 |
|  | 71521 |  | 70823 | 1925 | 4314 | 73446 | 75137 |
| Less: credit losses | (190) |  | 1199 | 21 | 166 | (169) | 1365 |
| Lease revenue | 71331 |  | 72022 | 1946 | 4480 | 73277 | 76502 |
| Expense reimbursements | 4489 |  | 3790 | 144 | 288 | 4633 | 4078 |
| Other real estate revenue | 2114 |  | 4174 | 305 | 288 | 2419 | 4462 |
| Total real estate revenue | 77934 |  | 79986 | 2395 | 5056 | 80329 | 85042 |
| Property operating expenses |  |  |  |  |  |  | - |
| CAM and real estate taxes | (24839) |  | (23725) | (1677) | (2308) | (26516) | (26033) |
| Utilities | (3180) |  | (2643) | (170) | (257) | (3350) | (2900) |
| Other property operating expenses | (2704) |  | (2400) | (179) | (198) | (2883) | (2598) |
| Total property operating expenses | (30723) |  | (28768) | (2026) | (2763) | (32749) | (31531) |
| **NOI from consolidated properties(1)** | **47211** |  | **51218** | **369** | **2293** | **47580** | **53511** |
| Less: Lease termination revenue | 848 |  | 45 | - | 177 | 848 | 222 |
| **NOI from consolidated properties excluding lease termination revenue(1)** | $**46363** | **$** | **51173** | $**369** | $**2116** | $**46732** | $**53289** |
| **% change in Same Store NOI from consolidated properties excluding lease termination revenue** |  | **(9.4%)** | **(9.4%)** |  |  |  |  |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Reconciliation of Equity in (Loss) Income of Partnerships (GAAP Measure) to Net Operating Income from Equity Method Investments, at Ownership Share (Non-GAAP Measure)**

**Three Months Ended December 31, 2022 and 2021** 

**(in thousands)**

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended December 31,** | **Three Months Ended December 31,** |
| (in thousands of dollars) | **2022** | **2021** |
| Equity in loss of partnerships | $(2206) | $(1303) |
| Depreciation and amortization | 2705 | 4322 |
| Interest expense and other expenses, net | 7376 | 5674 |
| **NOI from equity method investments at ownership share(1)** | $**7875** | $**8693** |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Same Store** | **Same Store** | **Same Store** | **Non Same Store** | **Non Same Store** | **Total** | **Total** |
|  | **2022** | **2021** | **2021** | **2022** | **2021** | **2022** | **2021** |
| Real estate revenue |  |  |  |  |  |  |  |
| Base rent | $7899 | $| 7992 | $8 | $575 | $7907 | $8567 |
| CAM reimbursement income | 1868 |  | 1814 | - | 147 | 1868 | 1961 |
| Real estate tax income | 1012 |  | 2109 | - | 103 | 1012 | 2212 |
| Percentage rent | 323 |  | 727 | 99 | 394 | 422 | 1121 |
| Lease termination revenue | 4 |  | 358 | - | - | 4 | 358 |
|  | 11106 |  | 13000 | 107 | 1219 | 11213 | 14219 |
| Less: credit losses | (113) |  | (174) | - | (5) | (113) | (179) |
| Lease revenue | 10993 |  | 12826 | 107 | 1214 | 11100 | 14040 |
| Expense reimbursements | 704 |  | 771 | - | 97 | 704 | 868 |
| Other real estate revenue | 1423 |  | 1287 | - | (42) | 1423 | 1245 |
| Total real estate revenue | 13120 |  | 14884 | 107 | 1269 | 13227 | 16153 |
| Property operating expenses |  |  |  |  |  |  |  |
| CAM and real estate taxes | (4077) |  | (5147) | (61) | (387) | (4138) | (5534) |
| Utilities | (384) |  | (966) | - | (45) | (384) | (1011) |
| Other property operating expenses | (771) |  | (786) | (60) | (129) | (831) | (915) |
| Total property operating expenses | (5232) |  | (6899) | (121) | (561) | (5353) | (7460) |
| **NOI from equity method investments at ownership share(1)** | **7888** |  | **7985** | **(14)** | **708** | **7874** | **8693** |
| Less: Lease termination revenue | 4 |  | 358 | - | - | 4 | 358 |
| **NOI from equity method investments at ownership share excluding lease termination revenue(1)** | $**7884** | **$** | **7627** | $**(14)** | $**708** | $**7870** | $**8335** |
| **% change in Same Store NOI from equity method investments at ownership share excluding lease termination revenue** |  | **3.4%** | **3.4%** |  |  |  |  |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Reconciliation of Net Loss (GAAP Measure) to Net Operating Income from Consolidated Properties (Non-GAAP Measure)**

**Year Ended December 31, 2022 and 2021** 

**(in thousands)**

---

| | | |
|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2022** | **2021** |
| Net loss | $(150566) | $(135867) |
| Other income | (702) | (561) |
| Depreciation and amortization | 113083 | 117986 |
| General and administrative expenses | 43760 | 49570 |
| Other (expenses) income | 451 | (55) |
| Interest expense, net | 141760 | 128031 |
| Impairment of assets | 44101 | 9938 |
| Equity in loss of partnerships | 6145 | 3732 |
| Gain on debt extinguishment, net | - | (4587) |
| (Gain) loss on sales of interests in real estate | (10829) | 1180 |
| Gain on sale of equity method investment | (8976) | - |
| Gain on sales of real estate by equity method investee | - | (1337) |
| Reorganization expenses | - | 267 |
| Gain on sale of preferred equity interest | (3688) | - |
| Gain on sales of interest in non operating real estate | (10527) | (10) |
| **NOI from consolidated properties(1)** | $**164012** | $**168287** |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Same Store** | **Same Store** | **Same Store** | **Non Same Store** | **Non Same Store** | **Total** | **Total** |
|  | **2022** | **2021** | **2021** | **2022** | **2021** | **2022** | **2021** |
| Real estate revenue |  |  |  |  |  |  |  |
| Base rent | $189707 | $| 183353 | $9672 | $12481 | $199379 | $195834 |
| CAM reimbursement income | 32347 |  | 32107 | 1451 | 1718 | 33798 | 33825 |
| Real estate tax income | 26581 |  | 26874 | 1086 | 1301 | 27667 | 28175 |
| Percentage rent | 7576 |  | 7490 | 210 | 409 | 7786 | 7899 |
| Lease termination revenue | 2397 |  | 1394 | 40 | 315 | 2437 | 1709 |
|  | 258608 |  | 251218 | 12459 | 16224 | 271067 | 267442 |
| Less: credit losses | 549 |  | 2541 | 135 | 83 | 684 | 2624 |
| Lease revenue | 259157 |  | 253759 | 12594 | 16307 | 271751 | 270066 |
| Expense reimbursements | 16839 |  | 15322 | 1017 | 1192 | 17856 | 16514 |
| Other real estate revenue | 5212 |  | 8592 | 507 | 697 | 5719 | 9289 |
| Total real estate revenue | 281208 |  | 277673 | 14118 | 18196 | 295326 | 295869 |
| Property operating expenses |  |  |  |  |  |  | - |
| CAM and real estate taxes | (98561) |  | (95961) | (8465) | (9972) | (107026) | (105933) |
| Utilities | (13716) |  | (11359) | (1103) | (1115) | (14819) | (12474) |
| Other property operating expenses | (8698) |  | (8277) | (772) | (898) | (9470) | (9175) |
| Total property operating expenses | (120975) |  | (115597) | (10340) | (11985) | (131315) | (127582) |
| **NOI from consolidated properties(1)** | **160234** |  | **162076** | **3778** | **6211** | **164012** | **168287** |
| Less: Lease termination revenue | 2397 |  | 1394 | 40 | 315 | 2437 | 1709 |
| **NOI from consolidated properties excluding lease termination revenue(1)** | $**157837** | **$** | **160682** | $**3738** | $**5896** | $**161575** | $**166578** |
| **% change in Same Store NOI from consolidated properties excluding lease termination revenue** |  | **(1.8%)** | **(1.8%)** |  |  |  |  |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Reconciliation of Equity in (Loss) Income of Partnerships (GAAP Measure) to Net Operating Income from Equity Method Investments, at Ownership Share (Non-GAAP Measure)**

**Year Ended December 31, 2022 and 2021** 

**(in thousands)**

---

| | | |
|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** |
| (in thousands of dollars) | **2022** | **2021** |
| Equity in loss of partnerships | $(6145) | $(3732) |
| Depreciation and amortization | 11378 | 13577 |
| Impairment of assets | - | 265 |
| Interest expense and other expenses, net | 25592 | 22060 |
| **NOI from equity method investments at ownership share(1)** | $**30825** | $**32170** |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Same Store** | **Same Store** | **Same Store** | **Non Same Store** | **Non Same Store** | **Total** | **Total** |
|  | **2022** | **2021** | **2021** | **2022** | **2021** | **2022** | **2021** |
| Real estate revenue |  |  |  |  |  |  |  |
| Base rent | $31110 | $| 29844 | $1124 | $2224 | $32234 | $32068 |
| CAM reimbursement income | 7605 |  | 7470 | 288 | 567 | 7893 | 8037 |
| Real estate tax income | 3898 |  | 4791 | 213 | 431 | 4111 | 5222 |
| Percentage rent | 1092 |  | 1394 | 564 | 919 | 1656 | 2313 |
| Lease termination revenue | 850 |  | 2912 | 9 | 8 | 859 | 2920 |
|  | 44555 |  | 46411 | 2198 | 4149 | 46753 | 50560 |
| Less: credit losses | (14) |  | (452) | (20) | 20 | (34) | (432) |
| Lease revenue | 44541 |  | 45959 | 2178 | 4169 | 46719 | 50128 |
| Expense reimbursements | 2751 |  | 2077 | 195 | 426 | 2946 | 2503 |
| Other real estate revenue | 2884 |  | 2668 | 35 | 235 | 2919 | 2903 |
| Total real estate revenue | 50176 |  | 50704 | 2408 | 4830 | 52584 | 55534 |
| Property operating expenses |  |  |  |  |  |  |  |
| CAM and real estate taxes | (15526) |  | (16615) | (766) | (1377) | (16292) | (17992) |
| Utilities | (2171) |  | (1829) | (94) | (185) | (2265) | (2014) |
| Other property operating expenses | (2801) |  | (2776) | (402) | (582) | (3203) | (3358) |
| Total property operating expenses | (20497) |  | (21220) | (1262) | (2144) | (21759) | (23364) |
| **NOI from equity method investments at ownership share(1)** | **29679** |  | **29484** | **1146** | **2686** | **30825** | **32170** |
| Less: Lease termination revenue | 850 |  | 2912 | 9 | 8 | 859 | 2920 |
| **NOI from equity method investments at ownership share excluding lease termination revenue(1)** | $**28829** | **$** | **26572** | $**1137** | $**2678** | $**29966** | $**29250** |
| **% change in Same Store NOI from equity method investments at ownership share excluding lease termination revenue** |  | **8.5%** | **8.5%** |  |  |  |  |

---

(1) NOI is a non-GAAP measure. See definition of NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Reconciliation of Net Loss (GAAP Measure) to Funds From Operations and Funds Available for Distribution (Non-GAAP Measures)**

**Three Months and Year Ended December 31, 2022 and 2021** 

**(in thousands, except per share amounts)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended December 31,** | **Three Months Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2022** | **2021** | **2022** | **2021** |
| **<u>FUNDS FROM OPERATIONS</u> <u>(1)</u>** |  |  |  |  |
| Net loss | $(35235) | $(28109) | $(150566) | $(135867) |
| Depreciation and amortization on real estate: |  |  |  |  |
| Consolidated properties | 27309 | 28993 | 111937 | 116646 |
| PREIT's share of equity method investments | 2705 | 4320 | 11378 | 13577 |
| (Gain) loss on sales of interests in real estate | (1696) | (11) | (10829) | 1180 |
| (Gain) loss on sale of equity method investment | 77 | - | (8976) |  |
| (Gain) loss on sales of real estate by equity method investee | - | - | - | (1337) |
| Impairment of Assets: |  |  |  |  |
| &nbsp;&nbsp;Consolidated properties | 1831 | 8374 | 44101 | 9938 |
| &nbsp;&nbsp;PREIT's share of equity method investments | - | - | - | 264 |
| **Funds from operations attributable to common shareholders and OP Unit holders(1)** | **(5009)** | **13567** | **(2955)** | **4401** |
| (Benefit) provision for employee separation expenses | 283 | 25 | 277 | 305 |
| (Gain) on hedge ineffectiveness | - | (537) | - | (2735) |
| (Gain) on debt extinguishment, net | - | - | - | (4587) |
| Insurance recoveries, net | 5 | - | 7 | (669) |
| (Gain) on sale of preferred equity interest | - | - | (3688) | - |
| Reorganization expenses | - | - | - | 267 |
| **Funds from operations, as adjusted, attributable to common shareholders and OP Unit holders** | $**(4721)** | $**13055** | $**(6359)** | $**(3018)** |

---

(1) Funds from Operations is a Non-GAAP measures. See definition on pages 34.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **<u>FUNDS AVAILABLE FOR DISTRIBUTION</u><u>(1)</u>** |  |  |  |  |
| **Funds from operations, as adjusted, attributable to common shareholders and OP Unit holders(1)** | $**(4721)** | $**13055** | $**(6359)** | $**(3018)** |
| Adjustments: |  |  |  |  |
| &nbsp;&nbsp;Straight line rent | (6) | (216) | 446 | (1048) |
| &nbsp;&nbsp;Recurring capital expenditures | (3625) | (2595) | (7526) | (5873) |
| &nbsp;&nbsp;Tenant allowances | (2607) | (3428) | (7929) | (10753) |
| &nbsp;&nbsp;Amortization of non-cash deferred compensation | 577 | 1054 | 1581 | 4570 |
| &nbsp;&nbsp;Capitalized leasing costs | (28) | (173) | (200) | (234) |
| &nbsp;&nbsp;Amortization of above- and below-market lease intangibles | (243) | (239) | (984) | (933) |
| **Funds available for distribution to common shareholders and OP Unit holders(1)** | $**(10653)** | $**7458** | $**(20971)** | $**(17289)** |
| Funds from operations attributable to common shareholders and OP Unit holders per diluted share and OP Unit(1) | $(0.93) | $2.50 | $(0.55) | $0.81 |
| Funds from operations, as adjusted, attributable to common shareholders and OP Unit holders per diluted share and OP Unit | $(0.88) | $2.40 | $(1.18) | $(0.56) |
| Funds available for distribution to common shareholders and OP Unit holders per diluted share and OP Unit(1) | $(1.98) | $1.37 | $(3.90) | $(3.20) |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| Weighted average number of shares outstanding | 5317 | 5292 | 5314 | 5240 |
| Weighted average effect of full conversion of OP Units | 69 | 69 | 69 | 103 |
| Effect of common share equivalents | - | 72 | - | 63 |
| **Total weighted average shares outstanding, including OP Units** | **5386** | **5433** | **5383** | **5406** |

---

(1) Non-GAAP measures. See definitions on pages 34-35.

------

**Pennsylvania Real Estate Investment Trust**

**Condensed Consolidated Balance Sheets**

**(Unaudited)**

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
| **<u>(in thousands, except per share amounts)</u>** | **2022** | **2021** |
| ASSETS: |  |  |
| INVESTMENTS IN REAL ESTATE, at cost: |  |  |
| &nbsp;&nbsp;&nbsp;Operating properties | $2894944 | $3156194 |
| &nbsp;&nbsp;&nbsp;Construction in progress | 42659 | 45828 |
| &nbsp;&nbsp;&nbsp;Land held for development | 2058 | 4339 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total investments in real estate | 2939661 | 3206361 |
| &nbsp;&nbsp;&nbsp;Accumulated depreciation | (1370065) | (1405260) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net investments in real estate | 1569596 | 1801101 |
| INVESTMENTS IN PARTNERSHIPS, at equity: | 7845 | 16525 |
| OTHER ASSETS: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | 22937 | 43852 |
| &nbsp;&nbsp;&nbsp;Tenant and other receivables | 40459 | 42501 |
| &nbsp;&nbsp;&nbsp;Intangible assets (net of accumulated amortization of $23,029 and $21,598 at December 31, 2022 and 2021, respectively) | 8623 | 10054 |
| &nbsp;&nbsp;&nbsp;Deferred costs and other assets, net | 91902 | 128923 |
| &nbsp;&nbsp;&nbsp;Assets held for sale | 61767 | 8780 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $1803129 | $2051736 |
| LIABILITIES: |  |  |
| &nbsp;&nbsp;&nbsp;Mortgage loans payable, net | $749396 | $851283 |
| &nbsp;&nbsp;&nbsp;Term Loans, net | 976903 | 959137 |
| &nbsp;&nbsp;&nbsp;Revolving Facilities | 22481 | 54549 |
| &nbsp;&nbsp;&nbsp;Tenants' deposits and deferred rent | 13264 | 10180 |
| &nbsp;&nbsp;&nbsp;Distributions in excess of partnership investments | 93136 | 71570 |
| &nbsp;&nbsp;&nbsp;Fair value of derivative instruments |  | 8427 |
| &nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities | 69846 | 89331 |
| &nbsp;&nbsp;&nbsp;Liabilities on assets held for sale | 2539 | 212 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 1927565 | 2044689 |
| COMMITMENTS AND CONTINGENCIES (Note 8) |  |  |
| EQUITY: |  |  |
| &nbsp;&nbsp;&nbsp;Series B Preferred Shares, $.01 par value per share; 3,450 shares issued and outstanding; liquidation preference of $102,151 and $95,791 at December 31, 2022 and 2021, respectively | 35 | 35 |
| &nbsp;&nbsp;&nbsp;Series C Preferred Shares, $.01 par value per share; 6,900 shares issued and outstanding; liquidation preference of $203,550 and $191,130 at December 31, 2022 and 2021, respectively | 69 | 69 |
| &nbsp;&nbsp;&nbsp;Series D Preferred Shares, $.01 par value per share; 5,000 shares issued and outstanding; liquidation preference of $146,485 and $137,891 at December 31, 2022 and 2021, respectively | 50 | 50 |
| &nbsp;&nbsp;&nbsp;Shares of beneficial interest, $1.00 par value per share; 13,333 shares authorized; 5,356 and 5,347 shares issued and outstanding at December 31, 2022 and 2021, respectively | 5356 | 5347 |
| &nbsp;&nbsp;&nbsp;Capital contributed in excess of par | 1858675 | 1851866 |
| &nbsp;&nbsp;&nbsp;Accumulated other comprehensive income (loss) | 3282 | (8830) |
| &nbsp;&nbsp;&nbsp;Distributions in excess of net income | (1980693) | (1832375) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total equity (deficit) – Pennsylvania Real Estate Investment Trust | (113226) | 16162 |
| &nbsp;&nbsp;&nbsp;Noncontrolling interest | (11210) | (9115) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total equity (deficit) | (124436) | 7047 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and equity | $1803129 | $2051736 |

---

------

**Pennsylvania Real Estate Investment Trust**

**Assets and Liabilities - Equity Method Investments, at Ownership Share (Non-GAAP Measure)**

**(in thousands)**

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
| **(in thousands of dollars)** | **2022** | **2021** |
| ASSETS: |  |  |
| Investments in real estate, at cost: |  |  |
| &nbsp;&nbsp;&nbsp;Operating properties | $378585 | $403799 |
| &nbsp;&nbsp;&nbsp;Construction in progress | 5095 | 5430 |
| Total investments in real estate | 383680 | 409229 |
| &nbsp;&nbsp;&nbsp;Accumulated depreciation | (123223) | (120996) |
| Net investments in real estate | 260457 | 288233 |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | 45719 | 25191 |
| &nbsp;&nbsp;&nbsp;Deferred costs and other assets, net | 39639 | 75944 |
| Total assets | 345815 | 389368 |
| LIABILITIES AND PARTNERS' INVESTMENT: |  |  |
| Mortgage loans payable, net | 199349 | 224744 |
| FDP Term Loan, net | 52214 | 97301 |
| Partnership Loans | 107004 | 57771 |
| Other liabilities | 72539 | 64597 |
| &nbsp;&nbsp;&nbsp;Total liabilities | 431106 | 444413 |
| Net investment | $(85291) | $(55045) |
| **Reconciliation to comparable GAAP balance sheet item:** |  |  |
| Investment in partnerships, at equity | $7845 | $16525 |
| Distributions in excess of partnership investments | (93136) | (71570) |
| Net investments and advances | $(85291) | $(55045) |

---

The non-GAAP financial information presented above includes financial information attributable to our share of unconsolidated properties. This proportionate financial information is non-GAAP financial information, but we believe that it is helpful information because it reflects the pro rata contribution from our unconsolidated properties that are owned through investments accounted for under GAAP using the equity method of accounting. Under such method, our investments in these entities are recorded in the balance sheet caption entitled "Investment in partnerships, at equity." In the case of deficit investment balances, such amounts are recorded in "Distributions in excess of partnership investments."

To derive the proportionate financial information reflected in the tables above we multiplied the percentage of our economic interest in each partnership on a property-by-property basis by each line item. Under the partnership agreements relating to our current unconsolidated partnerships with third parties, we own a 40% to 50% economic interest in such partnerships, and there are generally no provisions in such partnership agreements relating to special non-pro rata allocations of income or loss, and there are no preferred or priority returns of capital or other similar provisions. While this method approximates our indirect economic interest in our pro rata share of the assets and liabilities of our unconsolidated partnerships, we do not control these partnerships or have a direct legal claim to the assets, liabilities, revenues or expenses of the unconsolidated partnerships beyond our rights as an equity owner in the event of any liquidation of such entity. Our percentage ownership is not necessarily indicative of the legal and economic implications of our ownership interest.

------

**Pennsylvania Real Estate Investment Trust**

**Leasing Activity Summary – Three Months Ended December 31, 2022**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Number** | **GLA** | **Term** | **Initial Rent<br>per square<br>foot ("psf")** | **Previous<br>Rent psf** | **Initial Gross Rent<br>Renewal Spread(1)** | **Average Rent<br>Renewal<br>Spread(2)** | **Annualized<br>Tenant<br>Improvements<br>psf(3)** |
|  |  |  |  |  |  |  | **%** | **%** |  |
| **<u>Non Anchor</u>** |  |  |  |  |  |  |  |  |  |
| **New Leases** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Under 10k square feet ("sf") | Consolidated | 40 | 92729 | 4.1 | $31.36 | N/A | N/A | N/A | $5.19 |
|  | Unconsolidated(4) | 2 | 4303 | 2.8 | 12.27 | N/A | N/A | N/A |  |
| Total Under 10k sf |  | 42 | 97032 | 4.0 | $30.51 | N/A | N/A | N/A | $5.03 |
| Over 10k sf | Consolidated | 1 | 11000 | 10.0 | 50.00 | N/A | N/A | N/A | 15.72 |
|  | Unconsolidated(4) | - | - | - | - | N/A | N/A | N/A |  |
| Total Over 10k sf |  | 1 | 11000 | 10.0 | 50.00 |  |  |  | 15.72 |
| **Total New Leases** |  | **43** | **108032** | **4.6** | $**32.50** | **N/A** | **N/A** | **N/A** | $**7.37** |
| **Renewal Leases** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Under 10k sf | Consolidated | 87 | 103368 | 3.1 | $49.16 | $49.19) | (0.1%) | 3.0% | $0.19 |
|  | Unconsolidated(4) | 5 | 17693 | 2.5 | $63.20 | $58.89 | 7.3% | (6.8%) | - |
| Total Under 10k sf |  | 92 | 121061 | 3.1 | $51.21 | $50.61 | 1.2% | 1.4% | $0.17 |
| &nbsp;&nbsp;Over 10k | Consolidated | 2 | 94481 | 3.0 | 15.21 | 20.39) | (25.4%) | (27.1%) | $- |
| Total Over 10k sf |  | 2 | 94481 | 3.0 | 15.21 | 20.39) | (25.4%) | (27.1%) | $- |
| &nbsp;&nbsp;**Total Fixed Rent** |  | **94** | **215542** | **3.0** | $**35.43** | $**37.36)** | **(5.2**<br>**%)** | **(5.6**<br>**%)** | $**0.09** |
| Percentage in Lieu | Consolidated | 14 | 53911 | 1.9 | $14.89 | $15.10) | (1.4%) | N/A | $- |
|  | Unconsolidated(4) | - | - | - | $- | N/A | N/A | N/A |  |
| &nbsp;&nbsp;**Total Percentage in Lieu** |  | **14** | **53911** | **1.9** | $**14.89** | **15.10)** | **(1.4**<br>**%)** | **N/A** | **-** |
| &nbsp;&nbsp;**Total Renewal Leases** |  | **108** | **269453** | **2.8** | $**31.32** | $**32.91)** | **(4.8**<br>**%)** |  | $**0.08** |
| &nbsp;&nbsp;**Total Non Anchor** |  | **151** | **377485** | **3.3** | $**31.66** |  |  |  |  |
| **<u>Anchor</u>** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;New Leases | Consolidated |  |  |  |  | N/A | N/A | N/A | $- |
| &nbsp;&nbsp;Renewal Leases | Consolidated | 1 | 135186 | 5.0 | $7.90 | $6.05 | 30.6% |  | - |
| &nbsp;&nbsp;**Total** |  | 1 | 135186 | 5.0 | $7.90 |  |  |  |  |

---

(1) Initial gross rent renewal spread is computed by comparing the initial rent psf in the new lease to the final rent psf amount in the expiring lease. For purposes of this computation, the rent amount includes minimum rent, CAM charges, estimated real estate tax reimbursements and marketing charges, but excludes percentage rent. In certain cases, a lower rent amount may be payable for a period of time until specified conditions in the lease are satisfied.

(2) Average rent renewal spread is computed by comparing the average rent psf over the new lease term to the final rent psf amount in the expiring lease. For purposes of this computation, the rent amount includes minimum rent and fixed CAM charges, but excludes pro rata CAM charges, estimated real estate tax reimbursements, marketing charges and percentage rent.

(3) Tenant improvements and certain other leasing costs are presented as annualized amounts per square foot and are spread uniformly over the initial lease term.

(4) We own a 40% to 50% interest in each of our unconsolidated properties and do not control such properties. Our percentage ownership is not necessarily indicative of the legal and economic implications of our ownership interest. See "—Non-GAAP Supplemental Financial Measures" in our Annual Report on Form 10-K for the year ended December 31, 2022 for further details on our ownership interests in our unconsolidated properties. Our unconsolidated properties include 7 leases and 21,996 square feet of GLA with respect to our unconsolidated partnerships.

------

**Pennsylvania Real Estate Investment Trust**

**Leasing Activity Summary – Year Ended December 31, 2022**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Number** | **GLA** | **Term** | **Initial Rent<br>per square<br>foot ("psf")** | **Previous<br>Rent psf** | **Initial Gross Rent<br>Renewal Spread(1)** | **Average Rent<br>Renewal<br>Spread(2)** | **Annualized<br>Tenant<br>Improvements<br>psf(3)** |
|  |  |  |  |  |  |  | **%** | **%** |  |
| **<u>Non Anchor</u>** |  |  |  |  |  |  |  |  |  |
| **New Leases** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Under 10k square feet ("sf") | Consolidated | 150 | 379197 | 5.2 | $36.06 | N/A | N/A | N/A | $6.33 |
|  | Unconsolidated(4) | 7 | 20816 | 5.9 | 27.46 | N/A | N/A | N/A | 1.34 |
| Total Under 10k sf |  | 157 | 400013 | 5.2 | $35.61 | N/A | N/A | N/A | $6.04 |
| Over 10k sf | Consolidated | 6 | 108264 | 11.1 | 18.37 | N/A | N/A | N/A | 7.25 |
|  | Unconsolidated(4) | 1 | 11089 | 10.0 | 27.05 | N/A | N/A | N/A | 8.12 |
| Total Over 10k sf |  | 7 | 119353 | 11.0 | 19.18 |  |  |  | 7.32 |
| **Total New Leases** |  | **164** | **519366** | **6.6** | $**31.84** | **N/A** | **N/A** | **N/A** | $**6.53** |
| **Renewal Leases** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Under 10k sf | Consolidated | 168 | 290080 | 3.5 | $53.65 | $53.74) | (0.2%) | 4.3% | $0.60 |
|  | Unconsolidated(4) | 18 | 49215 | 2.8 | $68.70 | $65.90 | 4.2% | 2.0% | - |
| Total Under 10k sf |  | 186 | 339295 | 3.4 | $55.83 | $55.50 | 0.6% | 3.9% | $0.53 |
| &nbsp;&nbsp;Over 10k sf | Consolidated | 12 | 336637 | 3.4 | 18.53 | 19.61) | (5.5%) | (5.5%) | **0.88** |
|  | Unconsolidated(4) | 1 | 10287 | 5.0 | 33.34 | 42.37) | (21.3%) | (13.0%) |  |
| &nbsp;&nbsp;Total Over 10k sf |  | 13 | 346924 | 3.4 | 18.97 | 20.28) | (6.5%) | (5.9%) | $0.84 |
| &nbsp;&nbsp;**Total Fixed Rent** |  | **199** | **686219** | **3.4** | $**37.20** | $**37.70)** | **(1.3**<br>**%)** | **1.1%** | $**0.69** |
| &nbsp;&nbsp;Percentage in Lieu | Consolidated | 69 | 233910 | 2.2 | 27.85 | 31.26) | (10.9%) |  | 0.37 |
|  | Unconsolidated(4) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;**Total Percentage in Lieu** |  | **69** | **233910** | **2.2** | $**27.85** | $**31.26)** | **(10.9**<br>**%)** |  | $**0.37** |
| &nbsp;&nbsp;**Total Renewal Leases** (4) |  | **268** | **920129** | **3.1** | $**34.82** | $**36.06)** | **(3.4**<br>**%)** |  | $**0.63** |
| &nbsp;&nbsp;**Total Non Anchor** |  | **432** | **1439495** | **4.3** | $**33.74** |  |  |  |  |
| **Anchor** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;New Leases |  | - | - | - | $- | N/A | N/A | N/A | $- |
| &nbsp;&nbsp;Renewal Leases | Consolidated | 4 | 682115 | 6.9 | 5.06 | 5.10) | (0.8%) |  | - |
| &nbsp;&nbsp;**Total** |  | 4 | 682115 | 6.9 | $5.06 |  |  |  |  |

---

(1) Initial gross rent renewal spread is computed by comparing the initial rent psf in the new lease to the final rent psf amount in the expiring lease. For purposes of this computation, the rent amount includes minimum rent, CAM charges, estimated real estate tax reimbursements and marketing charges, but excludes percentage rent. In certain cases, a lower rent amount may be payable for a period of time until specified conditions in the lease are satisfied.

(2) Average rent renewal spread is computed by comparing the average rent psf over the new lease term to the final rent psf amount in the expiring lease. For purposes of this computation, the rent amount includes minimum rent and fixed CAM charges, but excludes pro rata CAM charges, estimated real estate tax reimbursements, marketing charges and percentage rent.

(3) Tenant improvements and certain other leasing costs are presented as annualized amounts per square foot and are spread uniformly over the initial lease term.

(4) We own a 40% to 50% interest in each of our unconsolidated properties and do not control such properties. Our percentage ownership is not necessarily indicative of the legal and economic implications of our ownership interest. See "—Non-GAAP Supplemental Financial Measures" in our Annual Report on Form 10-K for the year ended December 31, 2022 for further details on our ownership interests in our unconsolidated properties. Our unconsolidated properties include 27 leases and 91,407 square feet of GLA with respect to our unconsolidated partnerships.

------

**Pennsylvania Real Estate Investment Trust**

**Summarized Sales and Rent Per Square Foot and Occupancy Percentages**

---

| | | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** |  | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** |
|  |  |  |  |  | **Actual Occupancy** | **Actual Occupancy** | **Leased Occupancy** | **Leased Occupancy** |  |  |  |  | **Actual Occupancy** | **Actual Occupancy** |
|  | **%<br>Rolling<br>12 Mo.<br>NOI (4)** | **Average<br>Comp<br>Sales** | **Average<br>Gross<br>Rent(1)(2)** | **Occupancy<br>Cost(3)** | **Total** | **Non-<br>Anchor** | **Total** | **Non-<br>Anchor** | **%<br>Rolling<br>12 Mo.<br>NOI** | **Average<br>Comp<br>Sales** | **Average<br>Gross<br>Rent(1)(2)** | **Occupancy<br>Cost(3)** | **Total** | **Non-<br>Anchor** |
| Malls | 92.9% | $596 | $56.55 | 11.2% | 94.8% | 92.1% | 95.7% | 93.4% | 91.4% | $603 | $57.49 | 10.6% | 93.3% | 89.7% |
| Non-Core Malls (3) | -0.2% | $348 | $35.17 | 10.5% | 53.2% | 52.5% | 53.2% | 52.5% | 0.6% | $283 | $30.06 | 10.2% | 50.2% | 46.1% |
| **Malls Total** | **92.7%** | $**594** | $**56.29** | **11.2%** | **92.2%** | **90.3%** | **93.0%** | **91.6%** | **92.0%** | $**596** | $**56.89** | **10.6%** | **90.6%** | **87.8%** |
| Other Retail Properties | 5.2% | n/a | $19.25 | n/a | 99.4% | 99.3% | 99.4% | 99.3% | 5.5% | n/a | $19.09 | n/a | 93.0% | 92.2% |
| **Total Retail Properties** | **97.9%** | $**594** | $**47.55** | **11.2%** | **92.8%** | **91.3%** | **93.6%** | **92.5%** | **97.5%** | $**596** | $**48.33** | **10.6%** | **90.8%** | **88.3%** |
| Sold Properties | 2.6% | n/a |  | n/a |  |  |  |  | 2.8% | $460 | $41.39 | 8.1% | 85.4% | 80.6% |
| Other Properties | -0.4% | n/a |  | n/a |  |  |  |  | -0.3% | n/a |  | n/a |  |  |
| **Total Portfolio** | **100.0%** | $**594** | $**47.55** | **11.2%** | **92.8%** | **91.3%** | **93.6%** | **92.5%** | **100.0%** | $**596** | $**47.73** | **10.5%** | **90.4%** | **87.7%** |

---

(1) Average gross rent for malls includes all non-anchor space owned by the Company and leased to tenants that occupy individual spaces of less than 10,000 square feet. Average gross rent for other retail properties includes all non-anchor space owned by the Company regardless of size.

(2) Average gross rent for mall tenants greater than 10,000 sf was $22.00 per square foot as of December 31, 2022 and $22.52 per square foot as of December 31, 2021.

(3) Beginning in the third quarter of 2021, Fashion District Philadelphia is classified as a Core Mall, compared to prior quarters when it was classified as a Non-Core Mall.

(4) NOI is a non-GAAP measure. See definition of NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Mall Occupancy Percentage and Sales Per Square Foot**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** | **Change** | **Change** | **Change** |
|  | **% of Mall<br>NOI (2)** | **Avg Comp<br>Sales (1)** | **Total<br>Occupancy%** | **Non-<br>Anchor<br>Occupancy%** | **Avg Comp<br>Sales** | **Total<br>Occupancy%** | **Non-Anchor<br>Occupancy%** | **Avg Comp<br>Sales** | **Total<br>Occupancy%** | **Non-<br>Anchor<br>Occupancy%** |
| **<u>Top 6 Malls</u>** |  |  |  |  |  |  |  |  |  |  |
| Cherry Hill Mall | 13.6% | $926 | 95.9% | 95.1% | $936 | 95.7% | 94.8% | (1.1%) | 0.2% | 0.3% |
| Willow Grove Park | 5.3% | 780 | 96.8% | 94.4% | 777 | 97.8% | 96.1% | 0.4% | (1.0%) | (1.7%) |
| Woodland Mall | 6.6% | 646 | 97.8% | 97.4% | 632 | 88.7% | 86.6% | 2.2% | 9.1% | 10.8% |
| Lehigh Valley Mall | 7.0% | 629 | 87.3% | 79.5% | 630 | 89.1% | 82.3% | (0.2%) | (1.8%) | (2.8%) |
| Dartmouth Mall | 4.7% | 597 | 99.9% | 99.9% | 580 | 93.1% | 90.2% | 2.9% | 6.8% | 9.7% |
| Springfield Town Center | 10.5% | 572 | 91.1% | 88.0% | 558 | 91.7% | 88.8% | 2.5% | (0.6%) | (0.8%) |
|  | **47.7%** | $**705** | **93.8%** | **91.3%** | $**704** | **92.5%** | **89.5%** | **0.1%** | **1.3%** | 1.8% |
| **<u>Malls 7-12</u>** |  |  |  |  |  |  |  |  |  |  |
| Mall at Prince Georges | 8.4% | $561 | 99.0% | 98.4% | $544 | 99.0% | 98.3% | 3.1% | 0.0% | 0.1% |
| Jacksonville Mall | 4.1% | 540 | 99.3% | 98.6% | 548 | 99.9% | 99.8% | (1.5%) | (0.6%) | (1.2%) |
| Capital City Mall | 5.8% | 531 | 99.0% | 98.5% | 551 | 98.8% | 98.3% | (3.6%) | 0.2% | 0.2% |
| Viewmont Mall | 4.1% | 508 | 99.7% | 99.4% | 546 | 98.3% | 96.5% | (7.0%) | 1.4% | 2.9% |
| Magnolia Mall | 3.2% | 496 | 98.6% | 97.5% | 540 | 99.1% | 98.5% | (8.1%) | (0.5%) | (1.0%) |
| Patrick Henry Mall | 5.0% | 494 | 97.1% | 95.8% | 555 | 95.7% | 93.8% | (11.0%) | 1.4% | 2.0% |
|  | **30.6%** | $**522** | **98.8%** | **98.0%** | $**548** | **98.6%** | **97.6%** | **-4.7%** | **0.2%** | 0.4% |
| **<u>Malls 13-19</u>** |  |  |  |  |  |  |  |  |  |  |
| Valley Mall | 4.8% | $479 | 99.4% | 98.6% | $522 | 98.2% | 96.0% | (8.2%) | 1.2% | 2.6% |
| Moorestown Mall | 2.9% | 441 | 97.7% | 95.9% | 438 | 96.4% | 93.7% | 0.7% | 1.3% | 2.2% |
| Springfield Mall | 1.5% | 418 | 94.9% | 94.9% | 495 | 87.6% | 87.6% | (15.6%) | 7.3% | 7.3% |
| Francis Scott Key Mall | 3.7% | 414 | 97.7% | 96.4% | 427 | 93.9% | 90.5% | (3.0%) | 3.8% | 5.9% |
| Plymouth Meeting Mall | 3.9% | 402 | 88.9% | 83.7% | 386 | 85.2% | 78.2% | 4.1% | 3.7% | 5.5% |
| Fashion District Philadelphia | 2.8% | n/a | 81.4% | 76.5% | n/a | 79.0% | 73.3% | n/a | 2.4% | 3.2% |
|  | **19.4%** | $**434** | **92.6%** | **88.6%** | $**461** | **89.9%** | **84.4%** | **-5.9%** | **2.7%** | 4.2% |
| **All Core Malls** | **97.7%** | $**596** | **94.8%** | **92.1%** | $**603** | **93.3%** | **89.7%** | **-1.2%** | **1.5%** | 2.4% |
| **<u>Non-Core Malls</u>** |  |  |  |  |  |  |  |  |  |  |
| Exton Square Mall | -0.2% | $348 | 53.2% | 52.5% | 283 | 50.2% | 46.1% | 23.0% | 3.0% | 6.4% |
| **All Non-Core Malls** | **-0.2%** | $**348** | **53.2%** | **52.5%** | $**283** | **50.2%** | **46.1%** | **23.0%** | **3.0%** | 6.4% |
| **Sold Malls** |  |  |  |  |  |  |  |  |  |  |
| Cumberland Mall | 2.5% | n/a | n/a | n/a | $460 | 90.8% | 84.9% | n/a | n/a | n/a |
| **Sold Malls** |  |  | **n/a** | **n/a** | $**460** | **90.8%** | **84.9%** |  |  |  |
| **All Malls** | **100.0%** | $**594** | **92.2%** | **90.3%** | $**596** | **90.6%** | **87.7%** | **-0.3%** | **1.6%** | 2.6% |

---

(1) Beginning in the third quarter of 2021, Fashion District Philadelphia is classified as a Core Mall, compared to prior quarters when it was classified as a Non-Core Mall.

(2) NOI is a non-GAAP measure. See definition of NOI on page 34.

------

**Pennsylvania Real Estate Investment Trust**

**Top Twenty Tenants**

**December 31, 2022**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Tenant** | **Brands** | **Locations at<br>Consolidated<br>Properties** | **Locations at<br>Unconsolidated<br>Properties** | **Total<br>Number of Locations** | **Percentage of<br>Annualized<br>Gross Rent(1)** |
| Foot Locker, Inc. | Champs, Foot Locker, Footaction, House of Hoops by Foot Locker, Kids Foot Locker | 29 | 6 | 35 | 4.0% |
| Signet Jewelers Limited | Kay Jewelers, Piercing Pagoda, Piercing Pagoda Plus, Zales Jewelers, Banter by Piercing Pagoda | 43 | 8 | 51 | 3.2% |
| American Eagle Outfitters, Inc. | Aerie, American Eagle Outfitters, Offline | 15 | 4 | 19 | 2.8% |
| Victoria's Secret & Co. | Victoria's Secret, Pink | 13 | 3 | 16 | 2.7% |
| Dick's Sporting Goods, Inc. | Dick's Sporting Goods, Field & Stream | 9 | 1 | 10 | 2.7% |
| Dave & Buster's, Inc. | Dave & Buster's | 3 | 1 | 4 | 1.9% |
| Sycamore Partners | Hot Topic, Talbots, Torrid, AnnTaylor, Loft, Belk | 34 | 7 | 41 | 1.8% |
| Macy's | Bloomingdale's, Macy's | 12 | 2 | 14 | 1.8% |
| Express, Inc | Express, Express Factory Outlet, Express Men | 10 | 3 | 13 | 1.8% |
| JD Sports Fashion PLC | DTLR, Finish Line, JD Sports, Villa | 12 | 2 | 14 | 1.7% |
| Genesco Inc. | Johnston & Murphy, Journeys, Journeys Kidz, Underground by Journeys | 21 | 5 | 26 | 1.7% |
| Gap, Inc. | Banana Republic, Gap/Gap Kids, Old Navy | 9 | 5 | 14 | 1.6% |
| Hennes & Mauritz L.P. | H & M | 12 | 1 | 13 | 1.5% |
| Cineworld Group | Regal Cinemas | 3 | - | 3 | 1.4% |
| Bath & Body Works, Inc. | Bath & Body Works | 16 | 3 | 19 | 1.4% |
| Authentic Brands Group LLC | Aeropostale, Forever 21, Lucky Brand Jeans | 18 | 5 | 23 | 1.3% |
| Darden Concepts, Inc. | Bahama Breeze, Capital Grille, Olive Garden, Seasons 52, Yard House | 7 | - | 7 | 1.3% |
| AMC Entertainment Holdings, Inc. | AMC | 3 | 1 | 4 | 1.1% |
| Luxottica Group S.p.A. | Lenscrafters, Pearle Vision, Sunglass Hut | 19 | 6 | 25 | 1.1% |
| Shoe Show, Inc. | Shoe Department, Shoe Dept. Encore | 13 | 2 | 15 | 1.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Top 20 Tenants** |  | **301** | **65** | **366** | **38.2%** |
| &nbsp;&nbsp;&nbsp;&nbsp;**Total Leases** |  | **1306** | **297** | **1603** | **100.0%** |

---

(1)Includes our share of tenant gross rent from partnership properties based on PREIT's ownership percentage in the respective equity method investments as of December 31, 2022.

------

**Pennsylvania Real Estate Investment Trust**

**Lease Expirations as of December 31, 2022**

**(dollars in thousands except per square foot ("psf") amounts)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Non-Anchors** | **Non-Anchors** | **Non-Anchors** | **Non-Anchors** | **Non-Anchors** | **Non-Anchors** | **Non-Anchors** | **Non-Anchors** |
|  |  | **Gross Leasable Area ("GLA")** | **Gross Leasable Area ("GLA")** | **Annualized Gross Rent** | **Annualized Gross Rent** | **Annualized Gross Rent** |  |
| **Lease<br>Expiration Year** | **Number of<br>Leases Expiring** | **Expiring GLA (1)** | **Percent of Total** | **Gross Rent in<br>Expiring Year** | **PREIT's Share of<br>Gross Rent in<br>Expiring Year (2)** | **Percent of<br>PREIT's Total** | **Average Expiring<br>Gross Rent psf** |
| 2022 and Prior | 99 | 200939 | 2.6% | 15267 | 13056 | 4.8% | 75.98 |
| 2023 | 242 | 1016567 | 12.9% | 41409 | 34251 | 12.7% | 40.73 |
| 2024 | 297 | 994165 | 12.7% | 44849 | 39656 | 14.7% | 45.11 |
| 2025 | 236 | 1013285 | 12.9% | 43213 | 39831 | 14.7% | 42.65 |
| 2026 | 133 | 759029 | 9.6% | 29392 | 26418 | 9.8% | 38.72 |
| 2027 | 146 | 915888 | 11.6% | 31804 | 29498 | 10.9% | 34.73 |
| 2028 | 95 | 704282 | 9.0% | 26615 | 24617 | 9.1% | 37.79 |
| 2029 | 72 | 515063 | 6.5% | 21304 | 17369 | 6.4% | 41.36 |
| 2030 | 62 | 465632 | 5.9% | 19537 | 16738 | 6.2% | 41.96 |
| 2031 | 39 | 404188 | 5.1% | 12167 | 10295 | 3.8% | 30.10 |
| Thereafter | 70 | 878940 | 11.2% | 23759 | 18732 | 6.9% | 27.03 |
| **Total/Average** | **1491** | **7867978** | **100.0%** | $**309316** | $**270461** | **100.0%** | $**39.31** |

---

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Anchors** | **Anchors** | **Anchors** | **Anchors** | **Anchors** | **Anchors** | **Anchors** | **Anchors** |
|  |  | **Gross Leasable Area ("GLA")** | **Gross Leasable Area ("GLA")** | **Annualized Gross Rent** | **Annualized Gross Rent** | **Annualized Gross Rent** |  |
| **Lease<br>Expiration Year** | **Number of<br>Leases Expiring** | **Expiring GLA (1)** | **Percent of Total** | **Gross Rent in<br>Expiring Year** | **PREIT's Share of<br>Gross Rent in<br>Expiring Year (2)** | **Percent of<br>PREIT's Total** | **Average Expiring<br>Gross Rent psf** |
| 2022 and prior | 2 | 376694 | 8.3% | 710 | 355 | 1.5% | 1.88 |
| 2023 | 1 | 121200 | 2.7% | 336 | 336 | 1.4% | 2.77 |
| 2024 | 2 | 218332 | 4.8% | 983 | 983 | 4.0% | 4.50 |
| 2025 | 8 | 929729 | 20.6% | 2045 | 2045 | 8.4% | 2.20 |
| 2026 | 6 | 470638 | 10.4% | 3910 | 2646 | 10.9% | 8.31 |
| 2027 | 2 | 275250 | 6.1% | 1743 | 1743 | 7.2% | 6.33 |
| 2028 | 10 | 1178191 | 26.2% | 6940 | 6940 | 28.5% | 5.89 |
| 2029 | 2 | 200341 | 4.4% | 3278 | 3278 | 13.5% | 16.36 |
| 2030 | 2 | 85718 | 1.9% | 1522 | 1522 | 6.3% | 17.75 |
| 2031 | 2 | 166523 | 3.7% | 932 | 932 | 3.8% | 5.60 |
| Thereafter | 4 | 493572 | 10.9% | 3513 | 3513 | 14.5% | 7.12 |
| **Total/Average** | **41** | **4516188** | **100.0%** | $**25912** | $**24293** | **100.0%** | $**5.74** |

---

(1) Does not include tenants occupying space under license agreements with initial terms of less than one year.

(2) Includes our share of tenant rent from partnership properties based on PREIT's ownership percentage in the respective equity method investments.

------

**Pennsylvania Real Estate Investment Trust**

**Property Information as of December 31, 2022**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Landlord Owned Anchors/<br>Large Format Non Anchor** | **Landlord Owned Anchors/<br>Large Format Non Anchor** | **Landlord Owned Anchors/<br>Large Format Non Anchor** | **Anchor Stores Not Owned** | **Anchor Stores Not Owned** | **Non-anchor<br>occupied GLA** | **Non-anchor<br>occupied GLA** |  |  |
| **Properties** | **Location** | **Tenant** | **Expiration<br>Year** | **GLA** | **Tenant** | **GLA** | **Large<br>Format** | **Small<br>Shop** | **Vacant** | **Total<br>GLA** |
| **<u>Core Malls</u>** |  |  |  |  |  |  |  |  |  |  |
| **Capital City Mall** | Camp Hill, PA | JCPenney | 2025 | 102825 | Macy's | 120000 | 104806 | 179779 | 4940 | **624329** |
|  |  | Dick's Sporting Goods | 2028 | 61677 |  |  |  |  |  |  |
|  |  | Sportsman's Warehouse | 2031 |  |  |  | 50302 |  |  |  |
| **Cherry Hill Mall** | Cherry Hill, NJ | Nordstrom | 2025 | 138000 | JCPenney | 174285 | 243628 | 416242 | 34197 | **1310952** |
|  |  |  |  |  | Macy's | 304600 |  |  |  |  |
| **Dartmouth Mall** | Dartmouth, MA | JCPenney | 2025 | 100020 | Macy's | 140000 | 106859 | 149780 | 400 | **632513** |
|  |  | Burlington | 2030 | 43835 |  |  |  |  |  |  |
|  |  | AMC Theaters | 2026 |  |  |  | 44988 |  |  |  |
|  |  | Aldi | 2031 |  |  |  | 24063 |  |  |  |
|  |  | WOW Dartmouth | 2033 |  |  |  | 22568 |  |  |  |
| **Fashion District Philadelphia** | Philadelphia, PA | Burlington | 2032 | 85162 |  |  | 179365 | 122753 | 157853 | **850851** |
|  |  | AMC | 2034 |  |  |  | 36535 |  |  |  |
|  |  | Round 1 | 2029 |  |  |  | 58080 |  |  |  |
|  |  | City Winery | 2038 |  |  |  | 29762 |  |  |  |
|  |  | H&M | 2030 |  |  |  | 38694 |  |  |  |
|  |  | Shopper's World | 2026 | 95159 |  |  |  |  |  |  |
|  |  | Primark | 2032 |  |  |  | 47488 |  |  |  |
| **Francis Scott Key Mall** | Frederick, MD | JCPenney | 2025 | 101293 | Macy's | 139333 | 139863 | 183070 | 14054 | **748646** |
|  |  | Sears (3) | 2028 | 120883 |  |  |  |  |  |  |
|  |  | Dick's Sporting Goods | 2025 |  |  |  | 50150 |  |  |  |
| **Jacksonville Mall** | Jacksonville, NC | Belk | 2026 | 72510 |  |  | 123079 | 124120 | 3604 | **492918** |
|  |  | JCPenney | 2025 | 51812 |  |  |  |  |  |  |
|  |  | Sears (3) | 2026 | 117793 |  |  |  |  |  |  |
| **Lehigh Valley Mall** | Allentown, PA | Boscov's | 2023 | 164694 | JCPenney | 207292 | 185631 | 300574 | 125461 | **1195652** |
|  |  | Macy's | 2023 | 212000 |  |  |  |  |  |  |
| **Magnolia Mall** | Florence, SC | Belk | 2028 | 115793 |  |  | 96175 | 133587 | 8355 | **580760** |
|  |  | Best Buy | 2028 | 32054 |  |  |  |  |  |  |
|  |  | Tilt Studio | 2031 | 104107 |  |  |  |  |  |  |
|  |  | Dick's Sporting Goods | 2026 |  |  |  | 45000 |  |  |  |
|  |  | Burlington | 2028 |  |  |  | 45689 |  |  |  |
| **Moorestown Mall** | Moorestown, NJ | Boscov's | 2028 | 202765 | Cooper Hospital (2) | 182153 | 110814 | 206326 | 17146 | **926733** |
|  |  | Regal Cinemas | 2030 |  |  |  | 57843 |  |  |  |
|  |  | HomeSense | 2028 | 28486 |  |  |  |  |  |  |
|  |  | Turn 7 Liquidations | 2023 | 121200 |  |  |  |  |  |  |

---

------

**Pennsylvania Real Estate Investment Trust**

**Property Information as of December 31, 2022**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Landlord Owned Anchors/<br>Large Format Non Anchor** | **Landlord Owned Anchors/<br>Large Format Non Anchor** | **Landlord Owned Anchors/<br>Large Format Non Anchor** | **Anchor Stores Not Owned** | **Anchor Stores Not Owned** | **Non-anchor<br>occupied GLA** | **Non-anchor<br>occupied GLA** |  |  |
| **Properties** | **Location** | **Tenant** | **Expiration<br>Year** | **GLA** | **Tenant** | **GLA** | **Large<br>Format** | **Small<br>Shop** | **Vacant** | **Total<br>GLA** |
| **Patrick Henry Mall** | Newport News, VA | Dick's Sporting Goods | 2027 | 50250 | Dillard's | 144157 | 60095 | 225621 | 12586 | **717921** |
|  |  | JCPenney | 2025 | 85212 | Macy's | 140000 |  |  |  |  |
| **Plymouth Meeting Mall** | Plymouth Meeting, PA | Boscov's | 2028 | 188429 |  |  | 171330 | 210753 | 101485 | **917844** |
|  |  | Whole Foods | 2029 | 65155 |  |  |  |  |  |  |
|  |  | Burlington | 2030 | 41883 |  |  |  |  |  |  |
|  |  | Dick's Sporting Goods | 2031 |  |  |  | 57588 |  |  |  |
|  |  | AMC Theaters | 2027 |  |  |  | 48000 |  |  |  |
|  |  | LEGOLAND Discovery Center | 2032 |  |  |  | 33221 |  |  |  |
| **Springfield Mall** | Springfield, PA |  |  |  | Macy's | 192000 | 20577 | 190912 | 11263 | **610651** |
|  |  |  |  |  | Target | 195899 |  |  |  |  |
| **Springfield Town Center** | Springfield, VA | Macy's | 2035 | 252245 | JCPenney | 209144 | 181785 | 325472 | 87914 | **1374187** |
|  |  |  |  |  | Target | 180841 |  |  |  |  |
|  |  | Dick's Sporting Goods | 2025 |  |  |  | 53891 |  |  |  |
|  |  | Nordstrom Rack | 2025 |  |  |  | 33107 |  |  |  |
|  |  | Regal Cinemas | 2031 |  |  |  | 49788 |  |  |  |
| **The Mall at Prince George's** | Hyattsville, MD | Macy's | 2028 | 195655 |  |  | 268818 | 238051 | 8498 | **846208** |
|  |  | Target | 2029 | 135186 |  |  |  |  |  |  |
| **Valley Mall** | Hagerstown, MD | JCPenney | 2025 | 157455 |  |  | 95023 | 214835 | 5260 | **828983** |
|  |  | Belk | 2028 | 123094 |  |  |  |  |  |  |
|  |  | Regal Cinemas | 2033 |  |  |  | 53059 |  |  |  |
|  |  | Dick's Sporting Goods | 2031 | 62416 |  |  |  |  |  |  |
|  |  | Onelife Fitness | 2033 | 70000 |  |  |  |  |  |  |
|  |  | Tilt Studio | 2028 | 47841 |  |  |  |  |  |  |
| **Viewmont Mall** | Scranton, PA | JCPenney | 2025 | 193112 | Macy's | 139801 | 76053 | 166126 | 1608 | **689277** |
|  |  | Dick's Sporting Goods/Field & Stream | 2028 | 90000 |  |  |  |  |  |  |
|  |  | HomeGoods | 2027 |  |  |  | 22577 |  |  |  |
| **Willow Grove Park** | Willow Grove, PA | Macy's | 2027 | 225000 | Bloomingdale's | 237537 | 78219 | 259064 | 20063 | **1035799** |
|  |  | Nordstrom Rack | 2024 | 40332 | Sears(1)(3) | 175584 |  |  |  |  |
| **Woodland Mall** | Grand Rapids, MI | Von Maur | 2119 | 86165 | JCPenney | 254905 | 115714 | 308689 | 12541 | **982252** |
|  |  |  |  |  | Macy's | 157316 |  |  |  |  |
|  |  | Phoenix Theatres | 2037 |  |  |  | 46922 |  |  |  |
| **Total Core Malls** |  |  |  | **4181498** |  | **3294847** | **3307149** | **3955754** | **627228** | **15366476** |

---

------

**Pennsylvania Real Estate Investment Trust**

**Property Information as of December 31, 2022**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  | **Landlord Owned Anchors/<br>Large Format Non Anchor** |  |  | **Anchor Stores Not Owned** |  | **Non-anchor<br>occupied GLA** |  |  |  |
| **Properties** | **Location** | **Tenant** | **Expiration<br>Year** | **GLA** | **Tenant** | **GLA** | **Large<br>Format** | **Small<br>Shop** | **Vacant** | **Total<br>GLA** |
| **Other Malls and Retail Properties** |  |  |  |  |  |  |  |  |  |  |
| **Exton Square Mall** | Exton, PA | Boscov's | 2024 | 178000 | Macy's | 181200 | 58269 | 135366 | 378939 | **990145** |
|  |  | Round 1 | 2026 | 58371 |  |  |  |  |  |  |
| **Metroplex Shopping Center** | Plymouth Meeting, PA | Giant Food Store | 2026 | 67185 | Lowe's | 163215 | 328809 | 49012 | 7280 | **777695** |
|  |  |  |  |  | Target | 137514 |  |  |  |  |
|  |  | Saks OFF 5th | 2026 |  |  |  | 24680 |  |  |  |
| **The Court at Oxford Valley** | Fairless Hills, PA | Best Buy | 2026 | 59620 | BJ's Wholesale Club | 116872 | 293144 | 54141 | - | **703909** |
|  |  |  |  |  | The Home Depot | 130751 |  |  |  |  |
|  |  | Dick's Sporting Goods | 2026 |  |  |  | 49381 |  |  |  |
| **Red Rose Commons** | Lancaster, PA |  |  |  | The Home Depot | 134558 | 248086 | 15207 | - | **462883** |
|  |  |  |  |  | Weis Market | 65032 |  |  |  |  |
| **Total Other Malls and Retail Properties** |  |  |  | **363176** |  | **929142** | **1002369** | **253726** | **386219** | **2934632** |
| **Total Portfolio** |  |  |  | **4544674** |  | **4223989** | **4309518** | **4209480** | **1013447** | **18301108** |

---

(1) Approximately 78,000 square feet of this space has been subleased to Primark.(2) Former Sears was acquired by Cooper Hospital. The site is under development and currently not operating.(3) Store not operating, but tenant still financially obligated to landlord.

------

**Pennsylvania Real Estate Investment Trust**

**Investment in Real Estate - Consolidated Properties**

**(in thousands)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** |
|  | **Operating<br>Properties and<br>Land Held for<br>Development** | **Construction in<br>Progress** | **Accumulated<br>Depreciation** | **Net Real Estate** | **Debt(1)** |
| **<u>Core Malls</u>** |  |  |  |  |  |
| Capital City Mall | $138423 | $- | $65874 | $72549 | $- |
| Cherry Hill Mall | 472612 | - | 290914 | 181698 | 243674 |
| Dartmouth Mall | 90650 | 110 | 52397 | 38363 | 53727 |
| Francis Scott Key Mall | 96607 | - | 50821 | 45786 | 52458 |
| Jacksonville Mall | 93141 | - | 47379 | 45762 | - |
| Magnolia Mall | 105885 | - | 57972 | 47913 | - |
| Moorestown Mall | 175743 | - | 87323 | 88420 | - |
| Patrick Henry Mall | 158077 | - | 85384 | 72693 | 83079 |
| Plymouth Meeting Mall | 146112 | - | 94518 | 51594 | - |
| The Mall at Prince George's | 137028 | 218 | 79096 | 58150 | - |
| Springfield Town Center | 495648 | 3349 | 106380 | 392617 | - |
| Valley Mall | 148538 | 1229 | 62667 | 87100 | - |
| Viewmont Mall | 122112 | - | 63261 | 58851 | 67185 |
| Willow Grove Park | 232675 | 37639 | 126094 | 144220 | 145237 |
| Woodland Mall | 281693 | 114 | 99985 | 181822 | 106100 |
| **Total Core Malls** | **2894944** | **42659** | **1370065** | **1567538** | **751460** |
| **Total Malls** | $**2894944** | $**42659** | $**1370065** | $**1567538** | $**751460** |
| **<u>Other Properties</u>** |  |  |  |  |  |
| Land held for development | 2058 | - | - | 2058 | - |
| **Total Investment in Real Estate** | $**2897002** | $**42659** | $**1370065** | $**1569596** | $**751460** |
| **<u>Assets Held For Sale</u>** |  |  |  |  |  |
| Exton Square Mall | 25838 | - | - | 25838 | - |
| The Mall at Prince George's | 4861 | - | - | 4861 | - |
| Moorestown Mall | 447 | - | - | 447 | - |
| Woodland Mall | 1054 | - | - | 1054 | - |
| Plymouth Meeting Whole Foods | 26362 | - | - | 26362 | - |
| **Total held for sale** | $**58562** | $**-** | $**-** | $**58562** | $**-** |

---

(1)Refer to page 29-32 for further debt information regarding consolidated properties.

------

**Pennsylvania Real Estate Investment Trust**

**Investment in Real Estate – Equity Method Investments at Ownership Share**

**(in thousands)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** |
|  | **Operating<br>Properties and<br>Land Held for<br>Development** | **Construction in<br>Progress** | **Accumulated<br>Depreciation** | **Net Real Estate** | **Debt(1)** |
| **<u>Unconsolidated Malls</u>** |  |  |  |  |  |
| Fashion District Philadelphia | $166633 | $810 | $(9498) | $157945 | $159218 |
| Lehigh Valley Mall | 57331 | 688 | (33314) | 24705 | 90664 |
| Springfield Mall | 58749 | 60 | (28580) | 30229 | 28303 |
| **Total Unconsolidated Malls** | $**282713** | $**1558** | $**(71392)** | $**212879** | $**278185** |
| **<u>Unconsolidated Other Retail Properties</u>** |  |  |  |  |  |
| Metroplex Shopping Center | 46518 | 2772 | (28908) | 20382 | 34342 |
| The Court at Oxford Valley | 28411 | - | (14323) | 14088 | 27500 |
| Red Rose Commons | 14598 | - | (6175) | 8423 | 16529 |
| **Total Unconsolidated Other Retail Properties** | $**89527** | $**2772** | $**(49406)** | $**42893** | $**78371** |
| Unconsolidated Property Under Development |  |  |  |  |  |
| Pavilion at Market East | 6345 | 765 | (2425) | 4685 | $3010 |
| **Total Investment in Real Estate** | $**378585** | $**5095** | $**(123223)** | $**260457** | $**359566** |

---

(1)Refer to pages 29-31 for further debt information regarding equity method investments at ownership share.

------

**Pennsylvania Real Estate Investment Trust**

**Capital Expenditures**

**Three Months and Year Ended December 31, 2022**

**(in thousands)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Three Months Ended December 31, 2022** | **Three Months Ended December 31, 2022** | **Three Months Ended December 31, 2022** | **Year Ended December 31, 2022** | **Year Ended December 31, 2022** | **Year Ended December 31, 2022** |
|  | **Consolidated** | **PREIT's Share<br>of Equity<br>Method<br>Investments** | **Total** | **Consolidated** | **PREIT's Share<br>of Equity<br>Method<br>Investments** | **Total** |
| Redevelopment projects with incremental GLA and/or anchor replacement (1) | $1441 | $233 | $1674 | $4517 | $1425 | $5942 |
| Tenant allowances | 2105 | 502 | 2607 | 7017 | 912 | 7929 |
| Recurring capital expenditures: |  |  |  |  |  |  |
| &nbsp;&nbsp;CAM expenditures | 2856 | 70 | 2926 | 5720 | 419 | 6139 |
| &nbsp;&nbsp;Non-CAM expenditures | 674 | 25 | 699 | 1359 | 28 | 1387 |
| Total recurring capital expenditures | 3530 | 95 | 3625 | 7079 | 447 | 7526 |
| **Total** | $**7076** | $**830** | $**7906** | $**18613** | $**2784** | $**21397** |

---

(1) Net of any tenant reimbursements, parcel sales, tax credits or other incentives.

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**Pennsylvania Real Estate Investment Trust**

**Debt Analysis as of December 31, 2022**

**(in thousands)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Outstanding Debt** | **Outstanding Debt** | **Outstanding Debt** | **Outstanding Debt** | **Outstanding Debt** | **Outstanding Debt** |
|  | **Fixed Rate (1)** | **% of Total<br>Indebtedness** | **Variable Rate** | **% of Total<br>Indebtedness** | **Total** | **% of Total<br>Indebtedness** |
| Consolidated mortgage loans payable (2) | $625717 | 29.6% | $125743 | 6.0% | $751460 | 35.6% |
| Unconsolidated mortgage loans payable (3) | 200348 | 9.5% | - | 0.0% | 200348 | 9.4% |
| Consolidated Term Loans (4) | 300000 | 14.2% | 679186 | 32.1% | 979186 | 46.3% |
| Unconsolidated Term Loans (5) | 107004 | 5.0% | 52214 | 2.5% | 159218 | 7.5% |
| 2020 Revolving Facility | - | 0.0% | 22481 | 1.2% | 22481 | 1.2% |
| **Total Outstanding Debt** | $**1233069** | **58.4%** | $**879624** | **41.8%** | $**2112693** | **100.0%** |
| Average Stated Interest Rate | 6.12% |  | 11.18% |  | 8.28% |  |

---

(1) Includes variable rate debt swapped to fixed rate debt.

(2) Excludes deferred financing costs of $2,065.

(3) Reflects our share of mortgage debt of equity method investees. Excludes our share of deferred financing costs of $999.

(4) Excludes deferred financing costs of $2,283.

(5) Reflects our share of Term Loan debt of equity method investee.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  | **Average Debt Balance** | **Average Debt Balance** | **Average Debt Balance** | **Average Debt Balance** |
|  |  | **Mortgage Debt** | **Revolving Facility** | **Term Loans** | **Total** |
| Beginning Balance | **9/30/2022** | $**1001741** | $**26078** | $**1132289** | $**2160108** |
| Mortgage loan amortization, including our share of debt of equity method investees |  | (8264) | - | - | **(8264)** |
| Mortgage loan paydowns, payoffs and sales |  | (41669) | - | - | **(41669)** |
| First Lien Revolver Paydown |  | - | (3597) | - | **(3597)** |
| First Lien Term Loan Paydown |  | - | - | (13090) | **(13090)** |
| 2018 FDP Term Loan Paydown |  | - | - | (45088) | **(45088)** |
| 2020 and 2022 FDP Partnership Loan Borrowing |  | - | - | 45404 | **45404** |
| Second Lien Term Loan PIK Interest |  | - | - | 18889 | **18889** |
| Ending Balance | **12/31/2022** | $**951808** | $**22481** | $**1138404** | $**2112693** |
| **Weighted Average Balance** |  | $**973786** | $**24168** | $**1129771** | $**2127724** |

---

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**Pennsylvania Real Estate Investment Trust**

**Debt Analysis as of December 31, 2022 (continued)**

**(in thousands)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Debt Maturities(1)** | **Debt Maturities(1)** | **Debt Maturities(1)** | **Debt Maturities(1)** | **Debt Maturities(1)** | **Debt Maturities(1)** | **Debt Maturities(1)** | **Debt Maturities(1)** |
| **Year** | **Scheduled<br>Amortization** | **Deferred<br>Financing Cost<br>Amortization -<br>Mortgages** | **Mortgage<br>Balance<br>at Initial<br>Maturity Date** | **2020 Revolving<br>Facility** | **Term Loans** | **Deferred<br>Financing Cost<br>Amortization -<br>Term Loans** | **Total Debt** |
| 2023 | $12504 | $(1868) | $434626 | $22481 | $979186 | $(2283) | $**1444646** |
| 2024 | 10242 | (453) | 119643 | - | 52214 | - | **181646** |
| 2025 | 9031 | (224) | 240654 | - | - | - | **249461** |
| 2026 | 4162 | (125) | - | - | - | - | **4037** |
| 2027 | 3859 | (118) | 79789 | - | 100000 | - | **183530** |
| Thereafter | 5773 | (276) | 31525 | - | 7004 | - | **44026** |
|  | $**45571** | $**(3064)** | $**906237** | $**22481** | $**1138404** | $**(2283)** | $**2107346** |

---

(1) The weighted average period to total debt maturity is 1.57 years, excluding extension options. Includes 100% of revolver, term loan and mortgage loan debt from consolidated properties and our share of term loan and mortgage loan debt of equity method investees.

---

| | | |
|:---|:---|:---|
| **Weighted Average Mortgage Interest Rates** | **Weighted Average Mortgage Interest Rates** | **Weighted Average Mortgage Interest Rates** |
| **Year** | **Balance (1)** | **Interest Rate** |
| 2023 | $437843 | 4.99% |
| 2024 | 119643 | 7.30% |
| 2025 | 259629 | 4.11% |
| 2026 | - | 0.00% |
| 2027 | 90664 | 4.06% |
| Thereafter | 44029 | 3.23% |
| **Total** | $**951808** | **4.87%** |

---

(1) Includes our share of debt of equity method investees.

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**Pennsylvania Real Estate Investment Trust**

**Debt Schedule as of December 31, 2022**

**(in thousands)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Debt** | **Interest Rate** | **Annual<br>Debt Service** | **Balance at<br>Maturity** | **Initial<br>Maturity Date** | **Fully Extended<br>Maturity Date** |
| **<u>Fixed Rate Mortgage Loans</u>** |  |  |  |  |  |  |
| Cherry Hill Mall | $243674 | 3.90% | $16980 | $243674 | February 2023 | May 2023 |
| Dartmouth Mall | 53727 | 3.97% | 3825 | 53299 | April 2023 | April 2023 |
| Metroplex Shopping Center (1) | 34342 | 5.00% | 2818 | 33502 | October 2023 | October 2023 |
| Francis Scott Key Mall | 40000 | 7.19% | 2876 | 40000 | June 2024 | June 2025 |
| Viewmont Mall | 60000 | 7.19% | 4314 | 60000 | June 2024 | June 2025 |
| Patrick Henry Mall | 83079 | 4.35% | 5748 | 77591 | July 2025 | July 2025 |
| Pavilion East Associates (1) | 3010 | 5.50% | 267 | 3010 | October 2025 | October 2027 |
| Springfield Mall (1) | 28303 | 4.45% | 1964 | 26299 | October 2025 | October 2025 |
| Willow Grove Park | 145237 | 3.88% | 9599 | 133754 | October 2025 | October 2025 |
| Lehigh Valley Mall (1) | 90664 | 4.06% | 5768 | 79789 | November 2027 | November 2027 |
| Red Rose Commons (1) | 16529 | 3.28% | 978 | 13183 | July 2031 | July 2031 |
| The Court at Oxford Valley (1) | 27500 | 3.20% | 2058 | 18343 | July 2031 | July 2031 |
| **Total Fixed Rate Mortgage Loans** | $**826065** | **4.39%** | $**57195** | $**782444** |  |  |
| **<u>Variable Rate Mortgage Loans</u>** |  |  |  |  |  |  |
| Woodland Mall | $106100 | 8.00% | $12688 | $106100 | June 2023 | October 2023 |
| Francis Scott Key Mall | 12458 | 7.84% | 976 | 12458 | June 2024 | June 2025 |
| Viewmont Mall | 7185 | 7.84% | 563 | 7185 | June 2024 | June 2025 |
| **Total Variable Rate Mortgage Loans** | $**125743** | **7.92%** | $**14227** | $**125743** |  |  |
| **Total Mortgage Loans** | $**951808** | **4.87%** | $**71422** | $**908187** |  |  |
| **Consolidated Mortgage Loans** | $**751460** | **5.07%** | $**57569** | $**734062** |  |  |
| **Consolidated Deferred Financing Fees** | **(2065)** | **N/A** | **N/A** | **N/A** |  |  |
| **Unconsolidated Mortgage Loans** | **200348** | **4.11%** | **13853** | **174125** |  |  |
| **Unconsolidated Deferred Financing Fees** | **(999)** | **N/A** | **N/A** | **N/A** |  |  |
| **First Lien Term Loan (2)** | **332051** | **8.57%** | **28471** | **332051** | December 2023 | December 2023 |
| **Second Lien Term Loan** | **647135** | **12.27%** | **79431** | **647135** | December 2023 | December 2023 |
| **2018 FDP Term Loan** | **52214** | **7.62%** | **3979** | **52214** | January 2023 | January 2024 |
| **Term Loan Deferred Financing Fees** | **(2283)** | **N/A** | **N/A** | **N/A** |  |  |
| **First Lien Revolver** | **22481** | **7.62%** | **1713** | **22481** | December 2023 | December 2023 |
| **2020 FDP Partnership Loan** | **100000** | **15.00%** | **15000** | **100000** | December 2027 | December 2027 |
| **2022 FDP Partnership Loan** | **7004** | **15.00%** | **1051** | **7004** | August 2029 | August 2029 |
| **Total** | $**2107346** | **8.28%** | $**201067** | $**2069072** |  |  |
| **Amortization of Deferred Financing Fees** | **—** | **0.02%** | **—** | **—** |  |  |
| **Effective Interest Rate** | $**2107346** | **8.30%** | $**201067** | $**2069072** |  |  |

---

(1) Includes our share of debt of equity method investees, based on our ownership percentage.

(2) All or a portion of the loan has been effectively swapped to the fixed interest rate presented.

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**Pennsylvania Real Estate Investment Trust**

**Selected Debt Ratios**

---

| | |
|:---|:---|
|  | **December 31, 2022** |
| **Debt Yield Ratio (1)** |  |
| Maintain a minimum Debt Yield Ratio (Senior) of 11.35% from and after June 30, 2021 | 20.67% |
| Maintain a minimum Debt Yield Ratio (Corporate) of (a) 6.50% from June 30, 2021 through and including September 30, 2021 and (b) 7.25% from and after October 1, 2021 | 8.42% |
| **Liquidity (1)** |  |
| Maintain minimum liquidity of at least $25.0 million, to be comprised of unrestricted cash held in certain deposit accounts subject to control agreements | $119.9 |

---

(1)The First Lien Credit Agreement and Second Lien Credit Agreement (collectively, the "Credit Agreements"), contain identical affirmative and negative covenants customarily found in such agreements, including requirements that the Company, on a consolidated basis, maintain certain financial ratios and liquidity. All capitalized terms used on this page have the meanings ascribed to such terms in the Credit Agreements. In addition to the ratios set forth herein, there are several other requirements set forth in the covenants under the Credit Agreements with which the Company must comply. As of December 31, 2022, we were in compliance with terms under the Credit Agreements, however, a material decline in future operating results could affect our ability to comply with the financial covenants, including additional covenants that came into effect starting on December 31, 2021.

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**Pennsylvania Real Estate Investment Trust**

**Forward Looking Statements**

**FORWARD LOOKING STATEMENTS**

This Quarterly Supplemental and Operating Information for the quarter ended December 31, 2022 contains certain forward-looking statements that can be identified by the use of words such as "anticipate," "believe," "estimate," "expect," "project," "intend," "may" or similar expressions. Forward-looking statements relate to expectations, beliefs, projections, future plans, strategies, anticipated events, trends and other matters, including our expectations regarding the impact of COVID-19 on our business, that are not historical facts. These forward-looking statements reflect our current views about future events, achievements, results, cost reductions, dividend payments and the impact of COVID-19 and are subject to risks, uncertainties and changes in circumstances that might cause future events, achievements or results to differ materially from those expressed or implied by the forward-looking statements. In particular, our business might be materially and adversely affected by the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the effectiveness of our financial restructuring and any additional strategies that we may employ to address our liquidity and capital resources in the future;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to achieve forecasted revenue and pro forma leverage ratio and generate free cash flow to further reduce indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our substantial debt and our ability to satisfy our obligations or extend the maturity of or refinance our outstanding debt at or prior to maturity, particularly in light of increasing interest rates, and our ability to remain in compliance with our financial covenants under our debt facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the COVID-19 global pandemic and the public health and governmental response, which have created periods of significant economic disruption and also have and may continue to exacerbate many of the risks listed herein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•changes in the retail and real estate industries, including bankruptcies, consolidation and store closings, particularly among anchor tenants;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•changes in economic conditions, including unemployment rates and its effects on consumer confidence and spending, supply chain challenges, the current inflationary environment, the potential for recession and the corresponding effects on tenant business performance, prospects, solvency and leasing decisions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our inability to collect rent due to the bankruptcy or insolvency of tenants or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to sell properties that we seek to dispose of, which may be delayed by, among other things, the failure to obtain zoning, occupancy and other governmental approvals and permits or, to the extent required, approvals of other third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•potential losses on impairment of certain long-lived assets, such as real estate, including losses that we might be required to record in connection with any disposition of assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to raise capital, including through sales of properties or interests in properties, subject to the terms of our Credit Agreements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•our ability to maintain and increase property occupancy, sales and rental rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•increases in operating costs that cannot be passed on to tenants, which may be exacerbated in the current inflationary environment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•the effects of online shopping and other uses of technology on our retail tenants;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•risks related to our development and redevelopment activities, including delays, cost overruns and our inability to reach projected occupancy or rental rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•social unrest and acts of vandalism or violence at malls, including our properties, or at other similar spaces, and the potential effect on traffic and sales; and,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•potential dilution from any capital raising transactions or other equity issuances.

Additional factors that might cause future events, achievements or results to differ materially from those expressed or implied by our forward-looking statements include those discussed herein and in the section entitled "Item 1A. Risk Factors" of each of our Annual Report on Form 10-K for the year ended December 31, 2021 and our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2022 and any subsequent reports we file with the SEC. We do not intend to update or revise any forward-looking statements to reflect new information, future events or otherwise.

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**Pennsylvania Real Estate Investment Trust**

**Definitions**

**<u>Funds From Operations (FFO)</u>**

The National Association of Real Estate Investment Trusts ("NAREIT") defines Funds From Operations ("FFO"), which is a non-GAAP measure commonly used by REITs, as net income (computed in accordance with GAAP) excluding (i) depreciation and amortization of real estate, (ii) gains and losses on sales of certain real estate assets, (iii) gains and losses from change in control and (iv) impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. We compute FFO in accordance with standards established by NAREIT, which may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current NAREIT definition, or that interpret the current NAREIT definition differently than we do. NAREIT's established guidance provides that excluding impairment write downs of depreciable real estate is consistent with the NAREIT definition.

FFO is a commonly used measure of operating performance and profitability among REITs. We use FFO and FFO per diluted share and unit of limited partnership interest in our operating partnership ("OP Unit") in measuring our performance against our peers and have used it as one of the performance measures for determining incentive compensation amounts earned under certain of our performance-based executive compensation programs.

FFO does not include gains and losses on sales of operating real estate assets or impairment write downs of depreciable real estate (including development land parcels), which are included in the determination of net loss in accordance with GAAP. Accordingly, FFO is not a comprehensive measure of our operating cash flows. In addition, since FFO does not include depreciation on real estate assets, FFO may not be a useful performance measure when comparing our operating performance to that of other non-real estate commercial enterprises. We compensate for these limitations by using FFO in conjunction with other GAAP financial performance measures, such as net loss and net cash used in operating activities, and other non-GAAP financial performance measures, such as NOI. FFO does not represent cash generated from operating activities in accordance with GAAP and should not be considered to be an alternative to net loss (determined in accordance with GAAP) as an indication of our financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of our liquidity, nor is it indicative of funds available for our cash needs, including our ability to make cash distributions. We believe that net loss is the most directly comparable GAAP measurement to FFO.

When applicable, we also present FFO, as adjusted, and FFO per diluted share and OP Unit, as adjusted, which are non-GAAP measures, for the years ended December 31, 2022 and 2021, respectively, to show the effect of such items as gain or loss on debt extinguishment (including accelerated amortization of financing costs), impairment of assets, gains on sales of equity method investments, gains on sale of real estate by equity method investee, provision for employee separation expense, insurance recoveries or losses, net, gain/loss on hedge ineffectiveness, gain on sale of preferred equity interest and reorganization expenses which had an effect on our results of operations, but are not, in our opinion, indicative of our ongoing operating performance.

We believe that FFO is helpful to management and investors as a measure of operating performance because it excludes various items included in net loss that do not relate to or are not indicative of operating performance, such as gains on sales of operating real estate and depreciation and amortization of real estate, among others. We believe that Funds From Operations, as adjusted, is helpful to management and investors as a measure of operating performance because it adjusts FFO to exclude items that management does not believe are indicative of our operating performance, such as provision for employee separation expense, insurance recoveries, gain on debt extinguishment, gain on sale of preferred equity interest, gain on hedge ineffectiveness and reorganization expenses.

**<u>Net Operating Income (NOI)</u>**

NOI (a non-GAAP measure) is derived from real estate revenue (determined in accordance with GAAP, including lease termination revenue), minus property operating expenses (determined in accordance with GAAP), plus our pro rata share of revenue and property operating expenses of our unconsolidated partnership investments. NOI does not represent cash generated from operating activities in accordance with GAAP and should not be considered to be an alternative to net loss (determined in accordance with GAAP) as an indication of our financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of our liquidity. It is not indicative of funds available for our cash needs, including our ability to make cash distributions.

We believe NOI is helpful to management and investors as a measure of operating performance because it is an indicator of the return on property investment, and provides a method of comparing property performance over time. We believe that net loss is the most directly comparable GAAP measure to NOI. NOI excludes other income, depreciation and amortization, general and administrative expenses, other expenses (which includes provision for employee separation expense and project costs), interest expense, reorganization expenses, impairment of assets, equity in loss/income of partnerships, gain on extinguishment of debt, gain/loss on sales of real estate, gain on sale of equity method investee, gain on sale of real estate by equity method investee, gain on sales of non-operating real estate and gain/loss on sale of preferred equity interest.

------

**<u>Same Store NOI</u>**

Same Store NOI is calculated using retail properties owned for the full periods presented and excludes properties acquired or disposed of, under redevelopment, or designated as non-core during the periods presented. Non Same Store NOI is calculated using the retail properties excluded from the calculation of Same Store NOI.

**<u>Funds Available for Distribution (FAD)</u>**

FAD is a measure of a real estate company's cash flows generated by operations and capacity to pay dividends. The Company calculates FAD by starting with FFO as adjusted and subtracting (1) straight-line rent, (2) normalized recurring capital expenditures that are capitalized but necessary to maintain our properties, (3) operational tenant allowances, (4) capitalized leasing costs, (5) non-cash compensation charges, and (6) amortization of above- and below-market lease intangibles.

We believe that net income is the most directly comparable GAAP measurement to FAD. We believe FAD provides a meaningful indicator of our ability to fund cash needs and to make cash distributions to equity owners. In addition, we believe that to further understand our liquidity, FAD should be compared with our cash flow from operating activities determined in accordance with GAAP, as presented in our consolidated financial statements. The computation of FAD may not be comparable to FAD reported by other REITs or real estate companies and FAD does not represent cash generated from operating activities determined in accordance with GAAP, and should not be considered as an alternative to net income (determined in accordance with GAAP) as an indication of our performance, or as an alternative to net cash flow from operating activities (determined in accordance with GAAP), as a measure of our liquidity.

**<u>Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (EBITDAre)</u>**

NAREIT defines Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate ("EBITDAre"), which is a non-GAAP measure, as net income (computed in accordance with GAAP) plus interest expense, income tax expense, depreciation and amortization; plus or minus losses and gains on the disposition of depreciated property, including losses/ gains on change in control; plus impairment write downs of depreciated property and of investments in unconsolidated affiliates caused by a decrease in value of depreciated property in the affiliate; plus or minus adjustments to reflect the entity's share of EBITDAre of unconsolidated affiliates. We compute EBITDAre in accordance with the standards established by NAREIT, which may not be comparable to EBITDAre reported by other REITs that do not define the term in accordance with the current NAREIT definition, or that interpret the current NAREIT definition differently than we do.

EBITDAre does not include interest expense, income tax expense, gains or losses on sales of operating real estate or impairment writedowns of depreciable real estate, which are included in the determination of net income in accordance with GAAP. Accordingly, EBITDAre is not a comprehensive measure of our operating cash flows. EBITDAre does not represent cash generated from operating activities in accordance with GAAP and should not be considered to be an alternative to net income (determined in accordance with GAAP) as an indication of our financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of our liquidity, nor is it indicative of funds available for our cash needs, including our ability to make cash distributions. We believe that net income is the most directly comparable GAAP measurement to EBITDAre.

We believe that EBITDAre is helpful to management and investors as a measure of operating performance because it provides an additional performance measure to management and investors to facilitate the evaluation and comparison of the Company to other REITs and to other non-real estate commercial enterprises.

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