GlobeNewswire Inc | Nov 4, 2020 08:00AM EST

November 04, 2020

EL SEGUNDO, Calif., Nov. 04, 2020 (GLOBE NEWSWIRE) -- Landmark Infrastructure Partners LP (Landmark, the Partnership, we, us or our) (Nasdaq: LMRK) today announced its third quarter financial results.

Highlights

-- Reported rental revenue of $14.2 million, a 10% increase year-over-year; -- Net income attributable to common unitholders of $0.10, FFO of $0.29 and AFFO of $0.31 per diluted unit for the quarter ended September 30, 2020; -- Net income attributable to common unitholders of $0.53, FFO of $0.49 and AFFO of $0.98 per diluted unit for the nine months ended September 30, 2020; -- Year-to-date through September 30th, acquired 14 assets for total consideration of approximately $133 million; -- As of October 31st, deployed 88 digital kiosks within the Dallas Area Rapid Transit (DART) network; and -- Announced a quarterly distribution of $0.20 per common unit.

Third Quarter 2020 ResultsRental revenue for the quarter ended September 30, 2020 was $14.2 million, an increase of 10% compared to the third quarter of 2019. Net income attributable to common unitholders per diluted unit in the third quarter of 2020 was $0.10, compared to $0.03 in the third quarter of 2019. FFO for the third quarter of 2020 was $0.29 per diluted unit, compared to $0.20 in the third quarter of 2019. FFO included a $0.2 million unrealized gain on interest rate hedges in the third quarter of 2020, and a $2.2 million unrealized loss on interest rate hedges in the third quarter of 2019. AFFO per diluted unit, which excludes certain items including unrealized gains and losses on our interest rate hedges and foreign currency transaction gains, was $0.31 in the third quarter of 2020 compared to $0.32 in the third quarter of 2019.

For the nine months ended September 30, 2020, the Partnership reported rental revenue of $41.9 million compared to $39.8 million during the nine months ended September 30, 2019. For the nine months ended September 30, 2020, we generated net income of $22.9 million compared to $20.5 million during the nine months ended September 30, 2019. Net income attributable to common unitholders for the nine months ended September 30, 2020 was $0.53 per diluted unit compared to $0.41 per diluted unit for the nine months ended September 30, 2019. For the nine months ended September 30, 2020, we generated FFO of $0.49 per diluted unit and AFFO of $0.98 per diluted unit, compared to FFO of $0.40 per diluted unit and AFFO of $0.97 per diluted unit during the nine months ended September 30, 2019.

We delivered strong financial and operating results in the third quarter, with year-to-date AFFO per diluted unit increasing over the same period in 2019 despite the challenges associated with the pandemic and the disposition of our European outdoor advertising portfolio, said Tim Brazy, Chief Executive Officer of the Partnerships general partner. These strong results highlight the consistent cash flows generated by our portfolio. During the quarter we redeployed capital resulting from the sale of our European outdoor advertising portfolio and we made further progress on our development projects which we believe will drive additional AFFO growth beginning in the fourth quarter of 2020 and into 2021.

Quarterly DistributionsOn October 23, 2020, the Board of Directors of the Partnerships general partner declared a distribution of$0.20 per common unit, or$0.80per common unit on an annualized basis, for the quarter ended September 30, 2020. The distribution is payable on November 13, 2020 to common unitholders of record as of November 3, 2020.

On October 22, 2020, the Board of Directors of the Partnerships general partner declared a quarterly cash distribution of $0.4375 per Series C preferred unit, which is payable on November 16, 2020 to Series C preferred unitholders of record as of November 2, 2020.

On October 22, 2020, the Board of Directors of the Partnerships general partner declared a quarterly cash distribution of $0.49375 per Series B preferred unit, which is payable on November 16, 2020 to Series B preferred unitholders of record as of November 2, 2020.

OnSeptember 18, 2020, the Board of Directors of the Partnerships general partner declared a quarterly cash distribution of $0.5000 per Series A preferred unit, which was paid on October 15, 2020 to Series A preferred unitholders of record as of October 1, 2020.

Capital and LiquidityAs of September 30, 2020, the Partnership had $193 million of outstanding borrowings under its revolving credit facility (the Facility), and approximately $257 million of undrawn borrowing capacity under the Facility, subject to compliance with certain covenants.

Recent AcquisitionsYear-to-date through September 30, 2020, the Partnership acquired a total of 14 assets for total consideration of approximately $133 million. The acquisitions completed during the third quarter were outstanding on average for a period of 16 days. The acquisitions were immediately accretive to AFFO and funded primarily with borrowings under the Partnerships existing credit facility.

At-The-Market (ATM) Equity ProgramsYear-to-date through September 30, 2020, the Partnership issued 109,724 common units, 64,734 Series A preferred units and 84,139 Series B preferred units through its At-The-Market (ATM) issuance programs for gross proceeds of approximately $5.6 million.

Conference Call InformationThe Partnership will hold a conference call on Wednesday, November 4, 2020, at 12:00 p.m. Eastern Time (9:00 a.m. Pacific Time) to discuss its third quarter 2020 financial and operating results. The call can be accessed via a live webcast at https://edge.media-server.com/mmc/p/th9vvakd, or by dialing 877-930-8063 in the U.S. and Canada. Investors outside of the U.S. and Canada should dial 253-336-7764. The passcode for both numbers is 1379351.

A webcast replay will be available approximately two hours after the completion of the conference call through November 4, 2021 at https://edge.media-server.com/mmc/p/th9vvakd. The replay is also available through November 13, 2020 by dialing 855-859-2056 or 404-537-3406 and entering the access code 1379351.

About Landmark Infrastructure Partners LPThe Partnership owns and manages a portfolio of real property interests and infrastructure assets that the Partnership leases to companies in the wireless communication, outdoor advertising and renewable power generation industries.

Non-GAAP Financial MeasuresFFO, is a non-GAAP financial measure of operating performance of an equity REIT in order to recognize that income-producing real estate historically has not depreciated on the basis determined under GAAP. We calculate FFO in accordance with the standards established by the National Association of Real Estate Investment Trust (NAREIT). FFO represents net income (loss) excluding real estate related depreciation and amortization expense, real estate related impairment charges, gains (or losses) on real estate transactions, adjustments for unconsolidated joint venture, and distributions to preferred unitholders and noncontrolling interests.

FFO is generally considered by industry analysts to be the most appropriate measure of performance of real estate companies. FFO does not necessarily represent cash provided by operating activities in accordance with GAAP and should not be considered an alternative to net earnings as an indication of the Partnership's performance or to cash flow as a measure of liquidity or ability to make distributions. Management considers FFO an appropriate measure of performance of an equity REIT because it primarily excludes the assumption that the value of the real estate assets diminishes predictably over time, and because industry analysts have accepted it as a performance measure. The Partnership's computation of FFO may differ from the methodology for calculating FFO used by other equity REITs, and therefore, may not be comparable to such other REITs.

Adjusted Funds from Operations ("AFFO") is a non-GAAP financial measure of operating performance used by many companies in the REIT industry. AFFO adjusts FFO for certain non-cash items that reduce or increase net income in accordance with GAAP. AFFO should not be considered an alternative to net earnings, as an indication of the Partnership's performance or to cash flow as a measure of liquidity or ability to make distributions. Management considers AFFO a useful supplemental measure of the Partnership's performance. The Partnership's computation of AFFO may differ from the methodology for calculating AFFO used by other equity REITs, and therefore, may not be comparable to such other REITs. We calculate AFFO by starting with FFO and adjusting for general and administrative expense reimbursement, acquisition-related expenses, unrealized gain (loss) on derivatives, straight line rent adjustments, unit-based compensation, amortization of deferred loan costs and discount on secured notes, deferred income tax expense, amortization of above and below market rents, loss on early extinguishment of debt, repayments of receivables, adjustments for investment in unconsolidated joint venture, adjustments for drop-down assets and foreign currency transaction gain (loss). The GAAP measures most directly comparable to FFO and AFFO is net income.

We define EBITDA as net income before interest expense, income taxes, depreciation and amortization, and we define Adjusted EBITDA as EBITDA before unrealized and realized gain or loss on derivatives, loss on early extinguishment of debt, gain or loss on sale of real property interests, straight line rent adjustments, amortization of above and below market rents, impairments, acquisition-related expenses, unit-based compensation, repayments of investments in receivables, foreign currency transaction gain (loss), adjustments for investment in unconsolidated joint venture and the capital contribution to fund our general and administrative expense reimbursement. We believe that to understand our performance further, EBITDA and Adjusted EBITDA should be compared with our reported net income (loss) and net cash provided by operating activities in accordance with GAAP, as presented in our consolidated financial statements.

EBITDA and Adjusted EBITDA are non-GAAP supplemental financial measures that management and external users of our financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess:

-- our operating performance as compared to other publicly traded limited partnerships, without regard to historical cost basis or, in the case of Adjusted EBITDA, financing methods; -- the ability of our business to generate sufficient cash to support our decision to make distributions to our unitholders; -- our ability to incur and service debt and fund capital expenditures; and -- the viability of acquisitions and the returns on investment of various investment opportunities.

We believe that the presentation of EBITDA and Adjusted EBITDA provides information useful to investors in assessing our financial condition and results of operations. The GAAP measures most directly comparable to EBITDA and Adjusted EBITDA are net income (loss) and net cash provided by operating activities. EBITDA and Adjusted EBITDA should not be considered as an alternative to GAAP net income (loss), net cash provided by operating activities or any other measure of financial performance or liquidity presented in accordance with GAAP. Each of EBITDA and Adjusted EBITDA has important limitations as analytical tools because they exclude some, but not all, items that affect net income (loss) and net cash provided by operating activities, and these measures may vary from those of other companies. You should not consider EBITDA and Adjusted EBITDA in isolation or as a substitute for analysis of our results as reported under GAAP. As a result, because EBITDA and Adjusted EBITDA may be defined differently by other companies in our industry, EBITDA and Adjusted EBITDA as presented below may not be comparable to similarly titled measures of other companies, thereby diminishing their utility. For a reconciliation of EBITDA and Adjusted EBITDA to the most comparable financial measures calculated and presented in accordance with GAAP, please see the Reconciliation of EBITDA and Adjusted EBITDA table below.

Forward-Looking StatementsThis release contains forward-looking statements within the meaning of federal securities laws. These statements discuss future expectations, contain projections of results of operations or of financial condition or state other forward-looking information. You can identify forward-looking statements by words such as anticipate, believe, estimate, expect, forecast, project, could, may, should, would, will or other similar expressions that convey the uncertainty of future events or outcomes. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the Partnerships control and are difficult to predict. These statements are often based upon various assumptions, many of which are based, in turn, upon further assumptions, including examination of historical operating trends made by the management of the Partnership. Although the Partnership believes that these assumptions were reasonable when made, because assumptions are inherently subject to significant uncertainties and contingencies, which are difficult or impossible to predict and are beyond its control, the Partnership cannot give assurance that it will achieve or accomplish these expectations, beliefs or intentions. Examples of forward-looking statements in this press release include expected acquisition opportunities from our sponsor. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements contained in the Partnerships filings with the U.S. Securities and Exchange Commission (the Commission), including the Partnerships annual report on Form 10-K for the year endedDecember 31, 2019 and Current Report on Form 8-K filed with the Commission on February 27, 2020. These risks could cause the Partnerships actual results to differ materially from those contained in any forward-looking statement.

Marcelo ChoiCONTACT: Vice President, Investor Relations (213) 788-4528 ir@landmarkmlp.com

Landmark Infrastructure PartnersLPConsolidated Statements of OperationsIn thousands, except per unit data(Unaudited)

Three Months Ended Nine Months Ended September30, September30, 2020^(1) 2019^(1) 2020^(1) 2019^(1) Revenue Rental revenue $ 14,228 $ 12,931 $ 41,893 $ 39,833 Expenses Property operating 360 261 1,223 1,117 General and 768 1,249 3,479 4,173 administrativeAcquisition-related ? 72 91 276 Depreciation and 3,808 3,218 11,711 9,833 amortizationImpairments 16 442 200 646 Total expenses 4,952 5,242 16,704 16,045 Other income and expenses Interest and other income 46 142 317 588 Interest expense (4,068 ) (3,917 ) (12,759 ) (13,059 )Loss on early ? ? (2,231 ) ? extinguishment of debtUnrealized gain (loss) on 154 (1,299 ) (6,530 ) (7,027 )derivativesEquity income fromunconsolidated joint 248 154 1,085 263 ventureGain on sale of real ? 473 ? 18,008 property interestsTotal other income and (3,620 ) (4,447 ) (20,118 ) (1,227 )expensesIncome from continuingoperations before income 5,656 3,242 5,071 22,561 tax expense (benefit)Income tax expense (173 ) 38 (508 ) 3,160 (benefit)Income from continuing 5,829 3,204 5,579 19,401 operationsIncome (loss) fromdiscontinued operations, (171 ) 782 17,340 1,060 net of taxNet income 5,658 3,986 22,919 20,461 Less: Net incomeattributable to 8 7 24 23 noncontrolling interestsNet income attributable 5,650 3,979 22,895 20,438 to limited partnersLess: Distributions to (3,055 ) (2,985 ) (9,152 ) (8,900 )preferred unitholdersLess: General Partner'sincentive distribution ? (197 ) ? (591 )rightsLess: Accretion of Series (96 ) (96 ) (289 ) (546 )C preferred unitsNet income attributable $ 2,499 $ 701 $ 13,454 $ 10,401 to common unitholdersIncome from continuingoperations per common unitCommon units ? basic $ 0.10 $ ? $ (0.15 ) $ 0.37 Common units ? diluted $ 0.10 $ ? $ (0.15 ) $ 0.37 Net income per common unitCommon units ? basic $ 0.10 $ 0.03 $ 0.53 $ 0.41 Common units ? diluted $ 0.10 $ 0.03 $ 0.53 $ 0.41 Weighted average common units outstandingCommon units ? basic 25,478 25,341 25,472 25,339 Common units ? diluted 25,478 25,341 25,472 25,339 Other Data Total leased tenant sites 1,841 1,914 1,841 1,914 (end of period)Total available tenant 1,952 2,011 1,952 2,011 sites (end of period)

_______________(1)Prior period amounts have been revised to reflect classification of the European outdoor advertising portfolio as discontinued operations. As a result, operating results of the European outdoor advertising portfolio are presented as income from discontinued operations on the consolidated statements of operations for all periods presented.

Landmark Infrastructure PartnersLPConsolidated Balance SheetsIn thousands, except per unit data(Unaudited)

September30, December31, 2020 2019^(1)Assets Land $ 114,996 $ 107,558 Real property interests 652,142 509,181 Construction in progress 41,573 49,116 Total land and real property interests 808,711 665,855 Accumulated depreciation and amortization of (59,170 ) (48,995 )real property interestsLand and net real property interests 749,541 616,860 Investments in receivables, net 5,230 5,653 Investment in unconsolidated joint venture 61,585 62,059 Cash and cash equivalents 9,204 5,885 Restricted cash 3,244 5,619 Rent receivables 3,700 3,673 Due from Landmark and affiliates 2,232 1,132 Deferred loan costs, net 3,798 4,557 Deferred rent receivable 1,518 1,548 Other intangible assets, net 20,030 21,936 Assets held for sale (AHFS) ? 114,400 Right of use asset, net 6,492 6,615 Other assets 5,734 5,668 Total assets $ 872,308 $ 855,605 Liabilities and equity Revolving credit facility $ 193,200 $ 179,500 Secured notes, net 280,769 217,098 Accounts payable and accrued liabilities 5,066 3,842 Other intangible liabilities, net 6,451 7,583 Liabilities associated with AHFS ? 64,627 Operating lease liability 6,752 6,766 Prepaid rent 5,996 5,391 Derivative liabilities 3,754 1,474 Total liabilities 501,988 486,281 Commitments and contingencies Mezzanine equity Series C cumulative redeemable convertiblepreferred units, 1,982,700 and 1,988,700 47,805 47,666 unitsissued and outstanding at September30, 2020 and December 31, 2019, respectivelyEquity Series A cumulative redeemable preferredunits, 1,786,775 and 1,722,041 units 41,800 40,210 issuedand outstanding at September 30, 2020and December 31, 2019, respectivelySeries B cumulative redeemable preferredunits, 2,628,932 and 2,544,793 unitsissued 63,014 60,926 and outstanding at September 30, 2020 andDecember 31, 2019, respectivelyCommon units, 25,478,042 and 25,353,140units issued and outstanding atSeptember 378,263 382,581 30, 2020 and December 31, 2019, respectivelyGeneral Partner (159,898 ) (162,277 )Accumulated other comprehensive income (865 ) 17 (loss)Total limited partners' equity 322,314 321,457 Noncontrolling interests 201 201 Total equity 322,515 321,658 Total liabilities, mezzanine equity and $ 872,308 $ 855,605 equity

_______________(1)Prior period amounts have been revised to reflect classification of the European outdoor advertising portfolio as discontinued operations. As a result, assets and liabilities of the European outdoor advertising portfolio were reclassified to assets and liabilities held for sale on the consolidated balance sheets.

Landmark Infrastructure PartnersLPReal Property InterestTable

AvailableTenant LeasedTenant Sites Sites^(1) Average Average Average Monthly Quarterly Percentage Number of Remaining Remaining Tenant Effective Rental ofReal Property Infrastructure Number Property Number Lease Site Rent Revenue ^ Quarterly Interest Locations^ (1) Interest Term Occupancy Per (6) Rental (Years) (Years)^ Rate^ (3) Tenant (In Revenue ^ (2) Site ^(4) thousands) (6) (5)Tenant LeaseAssignmentwith UnderlyingEasementWireless 701 907 75.9 ^ 845 26.4 $ 5,222 37 %Communication (7)Outdoor 522 701 85.7 ^ 677 16.5 3,233 23 %Advertising (7)Renewable ^Power 15 47 29.7 (7) 47 30.0 314 2 %GenerationDigital 1 1 99.0 1 ? 150 1 %InfrastructureSubtotal 1,239 1,656 75.0 ^ 1,570 22.4 $ 8,919 63 % (7)Tenant LeaseAssignment only^ (8)Wireless 117 169 46.7 149 15.4 $ 1,061 7 %CommunicationOutdoor 33 36 61.7 34 12.5 220 1 %AdvertisingRenewablePower 6 6 47.1 6 26.3 57 1 %GenerationSubtotal 156 211 49.2 189 15.2 $ 1,338 9 %Tenant Lease on Fee SimpleWireless 18 28 ? ^ 25 16.1 $ 182 1 %Communication (7)Outdoor 28 28 99.0 ^ 28 6.0 226 2 %Advertising (7)Renewable ^Power 14 17 99.0 (7) 17 29.1 1,618 11 %GenerationDigital 12 12 99.0 ^ 12 25.3 1,945 14 %Infrastructure (7)Subtotal 72 85 99.0 ^ 82 16.8 $ 3,971 28 % (7)Total 1,467 1,952 70.2 ^ 1,841 21.3 $ 14,228 100 % (9)Aggregate PortfolioWireless 836 1,104 66.7 1,019 24.5 92 % $ 2,022 $ 6,465 45 %CommunicationOutdoor 583 765 76.2 739 15.9 97 % 1,789 3,679 26 %AdvertisingRenewablePower 35 70 35.7 70 29.0 100 % 9,474 1,989 14 %GenerationDigital 13 13 99.0 13 23.3 100 % 73,030 2,095 15 %InfrastructureTotal 1,467 1,952 70.2 ^ 1,841 21.3 94 % $ 2,602 $ 14,228 100 % (9)

_______________(1)Available Tenant Sites means the number of individual sites that could be leased. For example, if we have an easement on a single rooftop, on which three different tenants can lease space from us, this would be counted as three tenant sites, and all three tenant sites would be at a single infrastructure location with the same address.(2)Assumes the exercise of all remaining renewal options of tenant leases. Assuming no exercise of renewal options, the average remaining lease terms for our wireless communication, outdoor advertising, renewable power generation, digital infrastructure, and aggregate portfolios as of September 30, 2020 were 3.2, 7.7,16.7, 3.3 and 5.2 years, respectively.(3)Represents the number of leased tenant sites divided by the number of available tenant sites.(4)Occupancy and average monthly effective rent per tenant site are shown only on an aggregate portfolio basis by industry.(5)Represents total monthly revenue excluding the impact of amortization of above and below market lease intangibles divided by the number of leased tenant sites.(6)Represents GAAP rental revenue recognized under existing tenant leases for the three months ended September 30, 2020.Excludes interest income on receivables.(7)Fee simple ownership and perpetual easements are shown as having a term of 99years for purposes of calculating the average remaining term.(8)Reflects springing lease agreements whereby the cancellation or nonrenewal of a tenant lease entitles us to enter into a new ground lease with the property owner (up to the full property interest term) and a replacement tenant lease. The remaining lease assignment term is, therefore, equal to or longer than the remaining lease term. Also represents properties for which the springing lease feature has been exercised and has been replaced by a lease for the remaining lease term.(9)Excluding perpetual ownership rights, the average remaining property interest term on our tenant sites is approximately 62years.

Landmark Infrastructure PartnersLPReconciliation of Funds from Operations (FFO) and Adjusted Funds from Operations (AFFO)In thousands, except per unit data(Unaudited)

Three Months Ended Nine Months Ended September30, September30, 2020 2019 2020 2019 Net income $ 5,658 $ 3,986 $ 22,919 $ 20,461 Adjustments: Depreciation and 3,808 3,395 12,247 10,368 amortization expenseImpairments 16 442 200 646 (Gain) loss on sale ofreal property interests, 215 (500 ) (15,508 ) (14,982 )net of income taxesAdjustments forinvestment in 742 792 1,825 2,568 unconsolidated jointventureDistributions to (3,055 ) (2,985 ) (9,152 ) (8,900 )preferred unitholdersDistributions to (8 ) (7 ) (24 ) (23 )noncontrolling interestsFFO attributable to $ 7,376 $ 5,123 $ 12,507 $ 10,138 common unitholdersAdjustments: General andadministrative expense 425 930 2,455 3,058 reimbursement^ (1)Acquisition-related ? 119 432 614 expensesUnrealized (gain) loss on (154 ) 2,188 8,329 8,963 derivativesStraight line rent 7 145 384 414 adjustmentsUnit-based compensation ? ? 120 130 Amortization of deferredloan costs and discount 640 780 1,845 2,308 on secured notesAmortization of above-and below-market rents, (245 ) (216 ) (726 ) (654 )netDeferred income tax (152 ) 56 (460 ) 109 expense (benefit)Loss on early ? ? 2,231 ? extinguishment of debtRepayments of receivables 152 156 395 430 Adjustments forinvestment in 26 38 103 63 unconsolidated jointventureForeign currency (86 ) (1,113 ) (2,721 ) (1,045 )transaction gainAFFO attributable to $ 7,989 $ 8,206 $ 24,894 $ 24,528 common unitholders FFO per common unit - $ 0.29 $ 0.20 $ 0.49 $ 0.40 dilutedAFFO per common unit - $ 0.31 $ 0.32 $ 0.98 $ 0.97 dilutedWeighted average commonunits outstanding - 25,478 25,341 25,472 25,339 diluted

_______________(1)Under the omnibus agreement with Landmark, we agreed to reimburse Landmark for expenses related to certain general and administrative services that Landmark will provide to us in support of our business, subject to a quarterly cap equal to 3% of our revenue during the current calendar quarter. This cap on expenses will last until the earlier to occur of: (i)the date on which our revenue for the immediately preceding four consecutive fiscal quarters exceeded $120million and (ii)November 19, 2021. The full amount of general and administrative expenses incurred will be reflected in our income statements, and to the extent such general and administrative expenses exceed the cap amount, the amount of such excess will be reimbursed by Landmark and reflected in our financial statements as a capital contribution from Landmark rather than as a reduction of our general and administrative expenses, except for expenses that would otherwise be allocated to us, which are not included in our general and administrative expenses.

Landmark Infrastructure PartnersLPReconciliation of EBITDA and Adjusted EBITDAIn thousands(Unaudited)

Three Months Ended Nine Months Ended September30, September30, 2020 2019 2020 2019 Reconciliation of EBITDAand Adjusted EBITDA to Net IncomeNet income $ 5,658 $ 3,986 $ 22,919 $ 20,461 Interest expense 4,068 4,259 13,400 13,439 Depreciation and 3,808 3,395 12,247 10,368 amortization expenseIncome tax expense (131 ) 228 (28 ) 3,635 (benefit)EBITDA $ 13,403 $ 11,868 $ 48,538 $ 47,903 Impairments 16 442 200 646 Acquisition-related ? 119 432 614 Unrealized (gain) loss on (154 ) 2,188 8,329 8,963 derivativesLoss on early ? ? 2,231 ? extinguishment of debt(Gain) loss on sale of 215 (473 ) (15,508 ) (18,008 )real property interestsUnit-based compensation ? ? 120 130 Straight line rent 7 145 384 414 adjustmentsAmortization of above-and below-market rents, (245 ) (216 ) (726 ) (654 )netRepayments of investments 152 156 395 430 in receivablesAdjustments forinvestment in 1,430 1,526 3,920 4,670 unconsolidated jointventureForeign currency (86 ) (1,113 ) (2,721 ) (1,045 )transaction gainDeemed capitalcontribution to fundgeneral and 425 930 2,455 3,058 administrative expensereimbursement^(1)Adjusted EBITDA $ 15,163 $ 15,572 $ 48,049 $ 47,121 Reconciliation of EBITDAand Adjusted EBITDA to Net Cash Provided byOperating ActivitiesNet cash provided by $ 11,886 $ 5,071 $ 31,982 $ 21,954 operating activitiesUnit-based compensation ? ? (120 ) (130 )Unrealized gain (loss) on 154 (2,188 ) (8,329 ) (8,963 )derivativesLoss on early ? ? (2,231 ) ? extinguishment of debtDepreciation and (3,808 ) (3,395 ) (12,247 ) (10,368 )amortization expenseAmortization of above-and below-market rents, 245 216 726 654 netAmortization of deferredloan costs and discount (640 ) (780 ) (1,845 ) (2,308 )on secured notesReceivables interest ? 3 ? 9 accretionImpairments (16 ) (442 ) (200 ) (646 )Gain (loss) on sale of (215 ) 473 15,508 18,008 real property interestsAdjustment for (45 ) (102 ) (195 ) (107 )uncollectible accountsEquity income fromunconsolidated joint 248 154 1,085 263 ventureDistributions of earningsfrom unconsolidated joint (726 ) (300 ) (1,651 ) (2,883 )ventureForeign currency 86 1,113 2,721 1,045 transaction gainWorking capital changes (1,511 ) 4,163 (2,285 ) 3,933 Net income $ 5,658 $ 3,986 $ 22,919 $ 20,461 Interest expense 4,068 4,259 13,400 13,439 Depreciation and 3,808 3,395 12,247 10,368 amortization expenseIncome tax expense (131 ) 228 (28 ) 3,635 (benefit)EBITDA $ 13,403 $ 11,868 $ 48,538 $ 47,903 Less: Gain on sale of real ? (473 ) (15,508 ) (18,008 )property interestsUnrealized gain on (154 ) ? ? ? derivativesAmortization of above-and below-market rents, (245 ) (216 ) (726 ) (654 )netForeign currency (86 ) (1,113 ) (2,721 ) (1,045 )transaction gainAdd: Impairments 16 442 200 646 Acquisition-related ? 119 432 614 Unrealized loss on ? 2,188 8,329 8,963 derivativesLoss on sale of real 215 ? ? ? property interestsLoss on early ? ? 2,231 ? extinguishment of debtUnit-based compensation ? ? 120 130 Straight line rent 7 145 384 414 adjustmentRepayments of investments 152 156 395 430 in receivablesAdjustments forinvestment in 1,430 1,526 3,920 4,670 unconsolidated jointventureDeemed capitalcontribution to fundgeneral and 425 930 2,455 3,058 administrative expensereimbursement^ (1)Adjusted EBITDA $ 15,163 $ 15,572 $ 48,049 $ 47,121

_______________(1)Under the omnibus agreement with Landmark, we agreed to reimburse Landmark for expenses related to certain general and administrative services that Landmark will provide to us in support of our business, subject to a quarterly cap equal to 3% of our revenue during the current calendar quarter. This cap on expenses will last until the earlier to occur of: (i)the date on which our revenue for the immediately preceding four consecutive fiscal quarters exceeded $120million and (ii)November 19, 2021. The full amount of general and administrative expenses incurred will be reflected in our income statements, and to the extent such general and administrative expenses exceed the cap amount, the amount of such excess will be reimbursed by Landmark and reflected in our financial statements as a capital contribution from Landmark rather than as a reduction of our general and administrative expenses, except for expenses that would otherwise be allocated to us, which are not included in our general and administrative expenses.