pgre-ex992

EX-99.2 3 pgre-ex992_7.htm EX-99.2 pgre-ex992_7.htm

Exhibit 99.2

SUPPLEMENTAL OPERATING AND FINANCIAL DATA

FOR THE QUARTER ENDED SEPTEMBER 30, 2020


		FORWARD-LOOKING STATEMENTS

This supplemental information contains forward-looking statements within the meaning of the federal securities laws. You can identify these statements by our use of the words “assumes,” “believes,” “estimates,” “expects,” “guidance,” “intends,” “plans,” “projects” and similar expressions that do not relate to historical matters. You should exercise caution in interpreting and relying on forward-looking statements because they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and could materially affect actual results, performance or achievements. These factors include, without limitation, the negative impact of the coronavirus 2019 (COVID-19) global pandemic on the U.S., regional and global economies and our tenants' financial condition and results of operations, the ability to enter into new leases or renew leases on favorable terms, dependence on tenants’ financial condition, the uncertainties of real estate development, acquisition and disposition activity, the ability to effectively integrate acquisitions, the costs and availability of financing, the ability of our joint venture partners to satisfy their obligations, the effects of local, national and international economic and market conditions, the effects of acquisitions, dispositions and possible impairment charges on our operating results, regulatory changes, including changes to tax laws and regulations, and other risks and uncertainties detailed from time to time in our filings with the U.S. Securities and Exchange Commission. We do not undertake a duty to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

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		TABLE OF CONTENTS

		Page
Company Profile		4

Research Coverage		5

Selected Financial Information
	Financial Highlights	6
	Consolidated Balance Sheets	7
	Consolidated Statements of Income	8
	Select Income Statement Data	9
	Funds From Operations ("FFO")	10
	Funds Available for Distribution ("FAD")	11
	Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate ("EBITDAre")	12
	Net Operating Income ("NOI")	13 - 15
	Same Store Results	16 - 19
	Consolidated Joint Ventures and Fund	20 - 25
	Unconsolidated Joint Ventures	26 - 31
	Capital Structure	32
	Debt Analysis	33
	Debt Maturities	34

Selected Property Data
	Portfolio Summary	35
	Same Store Leased Occupancy	36 - 37
	Top Tenants and Industry Diversification	38
	Leasing Activity	39 - 40
	Lease Expirations	41 - 44
	Cash Basis Capital Expenditures	45 - 46


Definitions		47 - 48

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		COMPANY PROFILE

Paramount Group, Inc. ("Paramount") or (the "Company") is a fully-integrated real estate investment trust that owns, operates, manages, acquires and redevelops high-quality, Class A office properties located in select central business district submarkets of New York and San Francisco. Paramount is focused on maximizing the value of its portfolio by leveraging the sought-after locations of its assets and its proven property management capabilities to attract and retain high-quality tenants.

EXECUTIVE MANAGEMENT

Albert Behler		Chairman, Chief Executive Officer and President
Wilbur Paes		Executive Vice President, Chief Financial Officer and Treasurer
Peter Brindley		Executive Vice President, Leasing
David Zobel		Executive Vice President, Head of Acquisitions
Gage Johnson		Senior Vice President, General Counsel and Secretary

BOARD OF DIRECTORS

Albert Behler		Director, Chairman of the Board
Thomas Armbrust		Director
Martin Bussmann		Director
Colin Dyer		Director
Karin Klein		Director, Chair of Compensation Committee
Peter Linneman		Director, Chair of Audit Committee
Katharina Otto-Bernstein		Director
Mark Patterson		Director, Lead Independent Director, Chair of Nominating and Corporate Governance Committee
Greg Wright		Director

COMPANY INFORMATION

Corporate Headquarters	Investor Relations	Stock Exchange Listing	Trading Symbol
1633 Broadway, Suite 1801	IR@paramount-group.com	New York Stock Exchange	PGRE
New York, NY 10019	(212) 492-2298
(212) 237-3100

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		RESEARCH COVERAGE ⁽¹⁾

James Feldman	Thomas Catherwood	Derek Johnston	Steve Sakwa
Bank of America Merrill Lynch	BTIG	Deutsche Bank	Evercore ISI
(646) 855-5808	(212) 738-6140	(904) 520-4973	(212) 446-9462
james.feldman@baml.com	tcatherwood@btig.com	derek.johnston@db.com	steve.sakwa@evercoreisi.com

Richard Skidmore	Daniel Ismail	Omotayo Okusanya	Vikram Malhotra
Goldman Sachs	Green Street Advisors	Mizuho Securities USA Inc.	Morgan Stanley
(801) 741-5459	(949) 640-8780	(646) 949-9672	(212) 761-7064
richard.skidmore@gs.com	dismail@greenst.com	omotayo.okusanya@mizuhogroup.com	vikram.malhotra@morganstanley.com

Blaine Heck
Wells Fargo
(443) 263-6529
blaine.heck@wellsfargo.com

⁽¹⁾

With the exception of Green Street Advisors, an independent research firm, the equity analysts listed above are those analysts that, according to First Call Corporation, have published research material on the Company and are listed as covering the Company. Please note that any opinions, estimates or forecasts regarding the Company’s performance made by such analysts do not represent the opinions, estimates or forecasts of the Company or its management. The Company does not by its reference above, imply its endorsement of or concurrence with any information, conclusions or recommendations made by any such analysts.

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		FINANCIAL HIGHLIGHTS

(unaudited and in thousands, except per share amounts)

			Three Months Ended									Nine Months Ended
SELECTED FINANCIAL DATA			September 30, 2020			September 30, 2019			June 30, 2020			September 30, 2020			September 30, 2019

	Net (loss) income attributable to common stockholders:
		Continuing operations	$	(8,921	)	$	4,336		$	(8,234	)	$	(15,187	)	$	6,740
		Discontinued operations		1,963			2,746			1,964			5,307			6,506
	Net (loss) income attributable to common stockholders		$	(6,958	)	$	7,082		$	(6,270	)	$	(9,880	)	$	13,246

	Net (loss) income per share - basic and diluted:
		Per share from continuing operations	$	(0.04	)	$	0.02		$	(0.04	)	$	(0.07	)	$	0.03
		Per share from discontinued operations		0.01			0.01			0.01			0.03			0.03
	Net (loss) income per share - basic and diluted		$	(0.03	)	$	0.03		$	(0.03	)	$	(0.04	)	$	0.06

	Core FFO attributable to common stockholders⁽¹⁾		$	49,560		$	58,540		$	50,118		$	161,187		$	168,892
		Per share - diluted	$	0.22		$	0.25		$	0.23		$	0.72		$	0.72	`

	PGRE's share of Cash NOI ⁽¹⁾		$	92,160		$	93,551		$	89,216		$	279,905		$	278,432
	PGRE's share of NOI ⁽¹⁾		$	94,621		$	105,718		$	98,823		$	304,001		$	313,799

	Same Store Cash NOI ⁽¹⁾					% Change			Same Store NOI ⁽¹⁾								% Change
	Three Months Ended September 30, 2020 vs. September 30, 2019						(1.8	%)	Three Months Ended September 30, 2020 vs. September 30, 2019									1.1	%
	Nine Months Ended September 30, 2020 vs. September 30, 2019						(0.5	%)	Nine Months Ended September 30, 2020 vs. September 30, 2019									1.1	%

PORTFOLIO STATISTICS (at PGRE Share)

	As of
	September 30, 2020			June 30, 2020			March 31, 2020			December 31, 2019			September 30, 2019
Leased % ⁽¹⁾		95.5	%		95.6	%		95.9	%		95.9	%		96.5	%

Same Store Leased % ⁽¹⁾				% Change			Same Store Leased % ⁽¹⁾									% Change
September 30, 2020 vs. June 30, 2020					(0.1	%)	September 30, 2020 vs. September 30, 2019										(0.8	%)
September 30, 2020 vs. December 31, 2019					(0.3	%)

COMMON SHARE DATA

		Three Months Ended
Share Price:		September 30, 2020			June 30, 2020			March 31, 2020			December 31, 2019			September 30, 2019
	High	$	7.99		$	10.38		$	15.00		$	13.99		$	14.42
	Low	$	6.69		$	6.95		$	6.42		$	12.65		$	12.77
	Closing (end of period)	$	7.08		$	7.71		$	8.80		$	13.92		$	13.35

Dividends per common share		$	0.10		$	0.10		$	0.10		$	0.10		$	0.10
Annualized dividends per common share		$	0.40		$	0.40		$	0.40		$	0.40		$	0.40
Dividend yield (on closing share price)			5.6	%		5.2	%		4.5	%		2.9	%		3.0	%

⁽¹⁾	See page 47 for our definition of this measure.

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		CONSOLIDATED BALANCE SHEETS

(unaudited and in thousands)

			September 30, 2020			December 31, 2019
Assets:
	Real estate, at cost:
		Land	$	1,966,237		$	1,966,237
		Buildings and improvements		5,969,297			5,923,648
				7,935,534			7,889,885
		Accumulated depreciation and amortization		(920,078	)		(790,216	)
	Real estate, net			7,015,456			7,099,669
	Cash and cash equivalents			515,942			306,215
	Restricted cash			30,965			25,272
	Investments in unconsolidated joint ventures			417,592			449,180
	Investments in unconsolidated real estate funds			12,867			10,317
	Accounts and other receivables			15,289			19,231
	Due from affiliates			-			36,918
	Deferred rent receivable			326,050			301,588
	Deferred charges, net			120,211			126,367
	Intangible assets, net			167,675			203,169
	Assets related to discontinued operations			103,787			104,836
	Other assets			80,660			51,373
Total assets			$	8,806,494		$	8,734,135

Liabilities:
	Notes and mortgages payable, net		$	3,798,944		$	3,783,851
	Revolving credit facility			200,000			36,918
	Accounts payable and accrued expenses			109,228			117,356
	Dividends and distributions payable			24,173			25,255
	Intangible liabilities, net			61,485			73,789
	Other liabilities			59,531			66,004
Total liabilities				4,253,361			4,103,173

Equity:
	Paramount Group, Inc. equity			3,690,246			3,785,730
	Noncontrolling interests in:
		Consolidated joint ventures		436,576			360,778
		Consolidated real estate fund		79,168			72,396
		Operating Partnership		347,143			412,058
Total equity				4,553,133			4,630,962

Total liabilities and equity			$	8,806,494		$	8,734,135

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CONSOLIDATED STATEMENTS OF INCOME

(unaudited and in thousands, except per share amounts)

		Three Months Ended									Nine Months Ended
		September 30, 2020			September 30, 2019			June 30, 2020			September 30, 2020			September 30, 2019
Revenues:
	Rental revenue ⁽¹⁾	$	165,420		$	181,115		$	163,989		$	504,834		$	530,500
	Fee and other income ⁽¹⁾		11,355			10,138			7,129			27,045			26,485
Total revenues			176,775			191,253			171,118			531,879			556,985

Expenses:
	Operating		67,865			68,846			64,313			199,192			199,043
	Depreciation and amortization		58,889			60,696			58,716			176,032			181,685
	General and administrative ⁽¹⁾		16,805			16,319			17,901			46,955			51,457
	Transaction related costs		81			786			258			542			1,704
Total expenses			143,640			146,647			141,188			422,721			433,889

Other income (expense):
	Loss from unconsolidated joint ventures		(4,268	)		(1,332	)		(5,955	)		(14,444	)		(2,815	)
	(Loss) income from unconsolidated real estate funds		(56	)		206			89			85			271
	Interest and other income, net ⁽¹⁾		1,104			1,222			2,252			2,360			7,705
	Interest and debt expense ⁽¹⁾		(35,792	)		(37,325	)		(36,009	)		(108,420	)		(111,462	)
(Loss) income from continuing operations, before income taxes			(5,877	)		7,377			(9,693	)		(11,261	)		16,795
	Income tax (expense) benefit		(393	)		583			(138	)		(1,135	)		(823	)
(Loss) income from continuing operations, net			(6,270	)		7,960			(9,831	)		(12,396	)		15,972
Income from discontinued operations, net			2,147			3,040			2,147			5,815			7,202
Net (loss) income			(4,123	)		11,000			(7,684	)		(6,581	)		23,174
Less net (income) loss attributable to noncontrolling interests in:
	Consolidated joint ventures		(3,566	)		(3,051	)		(405	)		(5,485	)		(8,253	)
	Consolidated real estate fund		79			(109	)		1,235			1,291			(256	)
	Operating Partnership		652			(758	)		584			895			(1,419	)
Net (loss) income attributable to common stockholders		$	(6,958	)	$	7,082		$	(6,270	)	$	(9,880	)	$	13,246

Net (loss) income per diluted share:
	(Loss) income from continuing operations, net	$	(0.04	)	$	0.02		$	(0.04	)	$	(0.07	)	$	0.03
	Income from discontinued operations, net		0.01			0.01			0.01			0.03			0.03
Net (loss) income per diluted share		$	(0.03	)	$	0.03		$	(0.03	)	$	(0.04	)	$	0.06

⁽¹⁾	See page 9 for details.

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		SELECT INCOME STATEMENT DATA

(unaudited and in thousands)

		Three Months Ended						Nine Months Ended
Rental Revenue:		September 30, 2020		September 30, 2019		June 30, 2020		September 30, 2020		September 30, 2019
	Property rentals	$	146,721	$	149,953	$	143,422	$	439,281	$	444,710
	Tenant reimbursements		12,222		15,689		10,099		36,370		41,074
	Straight-line rent adjustments		4,567		11,369		9,233		24,495		33,650
	Amortization of above and below-market leases, net		1,910		2,571		1,235		4,688		8,614
	Lease termination income		-		1,533		-		-		2,452
Total rental revenue		$	165,420	$	181,115	$	163,989	$	504,834	$	530,500

			Three Months Ended						Nine Months Ended
Fee and Other Income:			September 30, 2020		September 30, 2019		June 30, 2020		September 30, 2020		September 30, 2019
	Property management		$	2,270	$	1,692	$	2,239	$	6,959	$	4,933
	Asset management			3,636		2,665		3,571		10,728		7,273
	Acquisition, disposition and leasing			2,586		2,104		-		2,586		3,435
	Other			661		698		399		1,419		1,730
	Total fee income			9,153		7,159		6,209		21,692		17,371
	Other (primarily parking income and tenant requested services, including
		overtime heating and cooling)		2,202		2,979		920		5,353		9,114
Total fee and other income			$	11,355	$	10,138	$	7,129	$	27,045	$	26,485

			Three Months Ended						Nine Months Ended
General and Administrative:			September 30, 2020		September 30, 2019		June 30, 2020		September 30, 2020		September 30, 2019
	General and administrative expenses		$	16,065	$	16,169	$	16,077	$	46,375	$	48,396
	Mark-to-market of deferred compensation plan liabilities (offset by an
		increase (decrease) in the mark-to-market of plan assets, which is
		included in "interest and other income, net")		740		150		1,824		580		3,061
Total general and administrative			$	16,805	$	16,319	$	17,901	$	46,955	$	51,457

			Three Months Ended						Nine Months Ended
Interest and Other Income, net:			September 30, 2020		September 30, 2019		June 30, 2020		September 30, 2020		September 30, 2019
	Interest income, net		$	364	$	1,072	$	428	$	1,780	$	4,190
	Mark-to-market of deferred compensation plan assets (offset by an
		increase (decrease) in the mark-to-market of plan assets, which is
		included in "general and administrative" expenses)		740		150		1,824		580		3,061
	Preferred equity investment income ⁽¹⁾			-		-		-		-		454
Total interest and other income, net			$	1,104	$	1,222	$	2,252	$	2,360	$	7,705

⁽¹⁾	Represents 100% of the investment income from a preferred equity investment that was redeemed on March 1, 2019.

		Three Months Ended						Nine Months Ended
Interest and Debt Expense:		September 30, 2020		September 30, 2019		June 30, 2020		September 30, 2020		September 30, 2019
	Interest expense	$	33,472	$	34,501	$	33,690	$	101,463	$	103,012
	Amortization of deferred financing costs		2,320		2,824		2,319		6,957		8,450
Total interest and debt expense		$	35,792	$	37,325	$	36,009	$	108,420	$	111,462

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		FFO

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

			Three Months Ended									Nine Months Ended
			September 30, 2020			September 30, 2019			June 30, 2020			September 30, 2020			September 30, 2019
Reconciliation of net (loss) income to FFO and Core FFO:
	Net (loss) income		$	(4,123	)	$	11,000		$	(7,684	)	$	(6,581	)	$	23,174
	Real estate depreciation and amortization (including our share
		of unconsolidated joint ventures)		71,131			65,099			70,546			212,617			192,508
	Adjustments related to discontinued operations			-			1,222			-			690			5,947
	FFO ⁽¹⁾			67,008			77,321			62,862			206,726			221,629
	Less FFO attributable to noncontrolling interests in:
		Consolidated joint ventures		(12,695	)		(12,142	)		(8,711	)		(30,375	)		(35,167	)
		Consolidated real estate fund		79			(109	)		1,235			1,291			(256	)
	FFO attributable to Paramount Group Operating Partnership			54,392			65,070			55,386			177,642			186,206
	Less FFO attributable to noncontrolling interests in Operating Partnership			(4,659	)		(6,294	)		(4,723	)		(15,660	)		(17,997	)
	FFO attributable to common stockholders⁽¹⁾		$	49,733		$	58,776		$	50,663		$	161,982		$	168,209
	Per diluted share		$	0.22		$	0.25		$	0.23		$	0.72		$	0.72

	FFO		$	67,008		$	77,321		$	62,862		$	206,726		$	221,629
	Non-core items:
		Our share of distributions from 712 Fifth Avenue in excess of earnings		(498	)		(976	)		(920	)		(1,806	)		(1,037	)
		Other, net		308			715			324			935			1,798
	Core FFO ⁽¹⁾			66,818			77,060			62,266			205,855			222,390
	Less Core FFO attributable to noncontrolling interests in:
		Consolidated joint ventures		(12,695	)		(12,142	)		(8,711	)		(30,375	)		(35,167	)
		Consolidated real estate fund		79			(109	)		1,235			1,291			(256	)
	Core FFO attributable to Paramount Group Operating Partnership			54,202			64,809			54,790			176,771			186,967
	Less Core FFO attributable to noncontrolling interests in Operating Partnership			(4,642	)		(6,269	)		(4,672	)		(15,584	)		(18,075	)
	Core FFO attributable to common stockholders ⁽¹⁾		$	49,560		$	58,540		$	50,118		$	161,187		$	168,892
	Per diluted share		$	0.22		$	0.25		$	0.23		$	0.72		$	0.72

Reconciliation of weighted average shares outstanding:
	Weighted average shares outstanding			221,461,146			231,197,838			221,573,199			223,593,376			232,974,210
	Effect of dilutive securities			6,025			32,101			4,225			14,740			30,707
	Denominator for FFO and Core FFO per diluted share			221,467,171			231,229,939			221,577,424			223,608,116			233,004,917

⁽¹⁾

See page 47 for our definition of this measure.

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		FAD

(unaudited and in thousands)

				Three Months Ended									Nine Months Ended
				September 30, 2020			September 30, 2019			June 30, 2020			September 30, 2020			September 30, 2019
Reconciliation of Core FFO to FAD:
	Core FFO			$	66,818		$	77,060		$	62,266		$	205,855		$	222,390
	Add (subtract) adjustments to arrive at FAD:
		Straight-line rent adjustments (including our share
			of unconsolidated joint ventures)		(5,523	)		(11,556	)		(10,037	)		(27,364	)		(34,362	)
		Amortization of above and below-market leases, net (including
			our share of unconsolidated joint ventures)		(2,986	)		(2,787	)		(1,701	)		(7,519	)		(8,772	)
		Amortization of deferred financing costs (including our share
			of unconsolidated joint ventures)		2,624			2,980			2,651			7,905			8,883
		Amortization of stock-based compensation expense			4,503			5,174			4,241			14,141			17,859
		Expenditures to maintain assets			(5,139	)		(4,141	)		(3,861	)		(13,709	)		(14,366	)
		Second generation tenant improvements and leasing commissions			(6,590	)		(10,481	)		(10,762	)		(41,285	)		(39,675	)
		Adjustments related to discontinued operations			128			(1,002	)		114			361			(1,748	)
	FAD ⁽¹⁾				53,835			55,247			42,911			138,385			150,209
	Less FAD attributable to noncontrolling interests in:
		Consolidated joint ventures			(5,689	)		(5,291	)		(3,066	)		(11,453	)		(16,589	)
		Consolidated real estate fund			79			(109	)		1,235			1,291			(256	)
	FAD attributable to Paramount Group Operating Partnership				48,225			49,847			41,080			128,223			133,364
	Less FAD attributable to noncontrolling interests in Operating Partnership				(4,131	)		(4,821	)		(3,503	)		(11,234	)		(12,895	)
	FAD attributable to common stockholders ^{(1) (2)}			$	44,094		$	45,026		$	37,577		$	116,989		$	120,469

	Dividends declared on common stock			$	22,060		$	22,795		$	22,176		$	66,482		$	69,682

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	FAD attributable to common stockholders is not necessarily indicative of future FAD amounts due to fluctuations in the timing of payments for tenant improvements and leasing commissions versus rents received from leases for which such costs are incurred.

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		EBITDAre

(unaudited and in thousands)

				Three Months Ended									Nine Months Ended
				September 30, 2020			September 30, 2019			June 30, 2020			September 30, 2020			September 30, 2019
Reconciliation of net (loss) income to EBITDAre and Adjusted EBITDAre:
	Net (loss) income			$	(4,123	)	$	11,000		$	(7,684	)	$	(6,581	)	$	23,174
	Add (subtract) adjustments to arrive at EBITDAre and Adjusted EBITDAre:
		Depreciation and amortization (including our share
			of unconsolidated joint ventures)		71,131			65,099			70,546			212,617			192,508
		Interest and debt expense (including our share
			of unconsolidated joint ventures)		41,224			40,270			41,412			124,757			119,263
		Income tax expense (benefit) (including our share of
			unconsolidated joint ventures)		394			(584	)		140			1,152			825
		Adjustments related to discontinued operations			10			1,222			-			700			5,947
	EBITDAre⁽¹⁾				108,636			117,007			104,414			332,645			341,717
	Less EBITDAre attributable to noncontrolling interests in:
		Consolidated joint ventures			(20,452	)		(18,829	)		(15,750	)		(51,995	)		(55,077	)
		Consolidated real estate fund			78			(109	)		1,211			1,158			(261	)
	PGRE's share of EBITDAre ⁽¹⁾			$	88,262		$	98,069		$	89,875		$	281,808		$	286,379



	EBITDAre			$	108,636		$	117,007		$	104,414		$	332,645		$	341,717
	Add (subtract) adjustments to arrive at Adjusted EBITDAre:
		Our share of distributions from 712 Fifth Avenue in excess of earnings			(498	)		(976	)		(920	)		(1,806	)		(1,037	)
		Other, net			251			513			1,611			1,891			1,303
	Adjusted EBITDAre ⁽¹⁾				108,389			116,544			105,105			332,730			341,983
	Less Adjusted EBITDAre attributable to noncontrolling interests in:
		Consolidated joint ventures			(20,452	)		(18,829	)		(15,750	)		(51,995	)		(55,077	)
	PGRE's share of Adjusted EBITDAre ⁽¹⁾			$	87,937		$	97,715		$	89,355		$	280,735		$	286,906

⁽¹⁾	See page 47 for our definition of this measure.

- 12 -


		NOI

(unaudited and in thousands)

				Three Months Ended									Nine Months Ended
				September 30, 2020			September 30, 2019			June 30, 2020			September 30, 2020			September 30, 2019
Reconciliation of net (loss) income to NOI and Cash NOI:
	Net (loss) income			$	(4,123	)	$	11,000		$	(7,684	)	$	(6,581	)	$	23,174
	Add (subtract) adjustments to arrive at NOI and Cash NOI:
		Depreciation and amortization			58,889			60,696			58,716			176,032			181,685
		General and administrative			16,805			16,319			17,901			46,955			51,457
		Interest and debt expense			35,792			37,325			36,009			108,420			111,462
		Income tax expense (benefit)			393			(583	)		138			1,135			823
		NOI from unconsolidated joint ventures			12,935			4,973			10,376			36,703			14,569
		Loss from unconsolidated joint ventures			4,268			1,332			5,955			14,444			2,815
		Fee income			(9,153	)		(7,159	)		(6,209	)		(21,692	)		(17,371	)
		Interest and other income, net			(1,104	)		(1,222	)		(2,252	)		(2,360	)		(7,705	)
		Adjustments related to discontinued operations			10			1,222			-			700			5,947
		Other, net			137			580			169			457			1,433
	NOI ⁽¹⁾				114,849			124,483			113,119			354,213			368,289
	Less NOI attributable to noncontrolling interests in:
		Consolidated joint ventures			(20,433	)		(18,765	)		(15,733	)		(51,857	)		(54,513	)
		Consolidated real estate fund			205			-			1,437			1,645			23
	PGRE's share of NOI⁽¹⁾			$	94,621		$	105,718		$	98,823		$	304,001		$	313,799

	NOI			$	114,849		$	124,483		$	113,119		$	354,213		$	368,289
	Less:
		Straight-line rent adjustments (including our share of
			unconsolidated joint ventures)		(5,523	)		(11,556	)		(10,037	)		(27,364	)		(34,362	)
		Amortization of above and below-market leases, net (including
			our share of unconsolidated joint ventures)		(2,986	)		(2,787	)		(1,701	)		(7,519	)		(8,772	)
		Adjustments related to discontinued operations			128			91			114			361			302
	Cash NOI⁽¹⁾				106,468			110,231			101,495			319,691			325,457
	Less Cash NOI attributable to noncontrolling interests in:
		Consolidated joint ventures			(14,513	)		(16,680	)		(13,716	)		(41,431	)		(47,048	)
		Consolidated real estate fund			205			-			1,437			1,645			23
	PGRE's share of Cash NOI ⁽¹⁾			$	92,160		$	93,551		$	89,216		$	279,905		$	278,432

⁽¹⁾	See page 47 for our definition of this measure.

- 13 -


		NOI

(unaudited and in thousands)

				Three Months Ended September 30, 2020
				Total			New York			San Francisco			Other
Reconciliation of net (loss) income to NOI and Cash NOI:
	Net (loss) income			$	(4,123	)	$	(4,076	)	$	9,765		$	(9,812	)
	Add (subtract) adjustments to arrive at NOI and Cash NOI:
		Depreciation and amortization			58,889			39,942			17,787			1,160
		General and administrative			16,805			-			-			16,805
		Interest and debt expense			35,792			21,585			12,492			1,715
		Income tax expense			393			3			7			383
		NOI from unconsolidated joint ventures			12,935			3,116			10,019			(200	)
		Loss (income) from unconsolidated joint ventures			4,268			(239	)		4,251			256
		Fee income			(9,153	)		-			-			(9,153	)
		Interest and other income, net			(1,104	)		-			(41	)		(1,063	)
		Adjustments related to discontinued operations			10			-			-			10
		Other, net			137			-			-			137
	NOI ⁽¹⁾				114,849			60,331			54,280			238
	Less NOI attributable to noncontrolling interests in:
		Consolidated joint ventures			(20,433	)		(1,443	)		(18,979	)		(11	)
		Consolidated real estate fund			205			-			-			205
	PGRE's share of NOI for the three months ended September 30, 2020			$	94,621		$	58,888		$	35,301		$	432
	PGRE's share of NOI for the three months ended September 30, 2019			$	105,718		$	75,316		$	27,272		$	3,130


	NOI			$	114,849		$	60,331		$	54,280		$	238
	Add (subtract) adjustments to arrive at Cash NOI:
		Straight-line rent adjustments (including our share
			of unconsolidated joint ventures)		(5,523	)		4,134			(9,628	)		(29	)
		Amortization of above and below-market leases, net (including
			our share of unconsolidated joint ventures)		(2,986	)		79			(3,065	)		-
		Adjustments related to discontinued operations			128			-			-			128
	Cash NOI⁽¹⁾				106,468			64,544			41,587			337
	Less Cash NOI attributable to noncontrolling interests in:
		Consolidated joint ventures			(14,513	)		(1,768	)		(12,734	)		(11	)
		Consolidated real estate fund			205			-			-			205
	PGRE's share of Cash NOI for the three months ended September 30, 2020			$	92,160		$	62,776		$	28,853		$	531
	PGRE's share of Cash NOI for the three months ended September 30, 2019			$	93,551		$	67,159		$	23,193		$	3,199

⁽¹⁾	See page 47 for our definition of this measure.

- 14 -

NOI

(unaudited and in thousands)

				Nine Months Ended September 30, 2020
				Total			New York			San Francisco			Other
Reconciliation of net (loss) income to NOI and Cash NOI:
	Net (loss) income			$	(6,581	)	$	7,594		$	19,839		$	(34,014	)
	Add (subtract) adjustments to arrive at NOI and Cash NOI:
		Depreciation and amortization			176,032			119,888			52,794			3,350
		General and administrative			46,955			-			-			46,955
		Interest and debt expense			108,420			66,121			37,377			4,922
		Income tax expense			1,135			3			-			1,132
		NOI from unconsolidated joint ventures			36,703			8,740			29,566			(1,603	)
		Loss (income) from unconsolidated joint ventures			14,444			(377	)		13,050			1,771
		Fee income			(21,692	)		-			-			(21,692	)
		Interest and other income, net			(2,360	)		-			(278	)		(2,082	)
		Adjustments related to discontinued operations			700			-			-			700
		Other, net			457			-			-			457
	NOI ⁽¹⁾				354,213			201,969			152,348			(104	)
	Less NOI attributable to noncontrolling interests in:
		Consolidated joint ventures			(51,857	)		(1,873	)		(49,973	)		(11	)
		Consolidated real estate fund			1,645			-			-			1,645
	PGRE's share of NOI for the nine months ended September 30, 2020			$	304,001		$	200,096		$	102,375		$	1,530
	PGRE's share of NOI for the nine months ended September 30, 2019			$	313,799		$	228,089		$	75,227		$	10,483

	NOI			$	354,213		$	201,969		$	152,348		$	(104	)
	Add (subtract) adjustments to arrive at Cash NOI:
		Straight-line rent adjustments (including our share
			of unconsolidated joint ventures)		(27,364	)		(8,044	)		(19,344	)		24
		Amortization of above and below-market leases, net (including
			our share of unconsolidated joint ventures)		(7,519	)		855			(8,374	)		-
		Adjustments related to discontinued operations			361			-			-			361
	Cash NOI⁽¹⁾				319,691			194,780			124,630			281
	Less Cash NOI attributable to noncontrolling interests in:
		Consolidated joint ventures			(41,431	)		(2,272	)		(39,148	)		(11	)
		Consolidated real estate fund			1,645			-			-			1,645
	PGRE's share of Cash NOI for the nine months ended September 30, 2020			$	279,905		$	192,508		$	85,482		$	1,915
	PGRE's share of Cash NOI for the nine months ended September 30, 2019			$	278,432		$	202,338		$	65,286		$	10,808

⁽¹⁾	See page 47 for our definition of this measure.

- 15 -


		SAME STORE RESULTS

(unaudited and in thousands)

SAME STORE CASH NOI ⁽¹⁾			Three Months Ended September 30, 2020
			Total			New York			San Francisco			Other
	PGRE's share of Cash NOI for the three months ended September 30, 2020		$	92,160		$	62,776		$	28,853		$	531
		Acquisitions ⁽²⁾		(5,899	)		-			(5,899	)		-
		Dispositions / Discontinued Operations		(2,285	)		-			-			(2,285	)	⁽³⁾
		Lease termination income and other, net		1,801			(101	)		148			1,754
	PGRE's share of Same Store Cash NOI for the three months ended September 30, 2020		$	85,777		$	62,675		$	23,102		$	-

		Three Months Ended September 30, 2019
		Total			New York				San Francisco			Other
PGRE's share of Cash NOI for the three months ended September 30, 2019		$	93,551		$	67,159			$	23,193		$	3,199
	Acquisitions		-			-				-			-
	Dispositions / Discontinued Operations		(6,760	)		(2,407	)	⁽⁴⁾		-			(4,353	)	⁽³⁾
	Reserves for uncollectible accounts receivable ⁽⁵⁾		172			174				(2	)		-
	Lease termination income and other, net		403			-				(751	)		1,154
PGRE's share of Same Store Cash NOI for the three months ended September 30, 2019		$	87,366		$	64,926			$	22,440		$	-

	(Decrease) increase in PGRE's share of Same Store Cash NOI	$	(1,589	)		$	(2,251	)		$	662			$	-
	% (Decrease) increase		(1.8	%)			(3.5	%)			3.0	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Represents our share of Same Store Cash NOI attributable to acquired properties (Market Center and 55 Second Street in San Francisco) for the months in which they were not owned by us in both reporting periods.

⁽³⁾	Represents Cash NOI from discontinued operations (1899 Pennsylvania Avenue in 2020 and 1899 Pennsylvania Avenue and Liberty Place in 2019).

⁽⁴⁾	Represents Cash NOI attributable to 10.0% sale of 1633 Broadway for the months in which it was not owned by us in both reporting periods.

⁽⁵⁾

Represents impairments of receivables arising from operating leases that have been consistently excluded from our same store results in prior periods as noted in our definition of these terms. In prior periods, adjustments for these items have been relatively small and as such, were included within “other”.

- 16 -


		SAME STORE RESULTS

(unaudited and in thousands)

SAME STORE NOI ⁽¹⁾			Three Months Ended September 30, 2020
			Total			New York			San Francisco			Other
	PGRE's share of NOI for the three months ended September 30, 2020		$	94,621		$	58,888		$	35,301		$	432
		Acquisitions ⁽²⁾		(7,160	)		-			(7,160	)		-
		Dispositions / Discontinued Operations		(2,157	)		-			-			(2,157	)	⁽³⁾
		Non-cash write-offs of straight-line rent receivables ⁽⁴⁾		13,109			12,396			713			-
		Lease termination income and other, net		1,772			(101	)		148			1,725
	PGRE's share of Same Store NOI for the three months ended September 30, 2020		$	100,185		$	71,183		$	29,002		$	-

		Three Months Ended September 30, 2019
		Total			New York				San Francisco			Other
PGRE's share of NOI for the three months ended September 30, 2019		$	105,718		$	75,316			$	27,272		$	3,130
	Acquisitions		-			-				-			-
	Dispositions / Discontinued Operations		(7,133	)		(2,871	)	⁽⁵⁾		-			(4,262	)	⁽³⁾
	Reserves for uncollectible accounts receivable ⁽⁴⁾		172			174				(2	)		-
	Lease termination income and other, net		381			-				(751	)		1,132
PGRE's share of Same Store NOI for the three months ended September 30, 2019		$	99,138		$	72,619			$	26,519		$	-

	Increase (decrease) in PGRE's share of Same Store NOI	$	1,047			$	(1,436	)		$	2,483			$	-
	% Increase (decrease)		1.1	%			(2.0	%)			9.4	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Represents our share of Same Store NOI attributable to acquired properties (Market Center and 55 Second Street in San Francisco) for the months in which they were not owned by us in both reporting periods.

⁽³⁾	Represents NOI from discontinued operations (1899 Pennsylvania Avenue in 2020 and 1899 Pennsylvania Avenue and Liberty Place in 2019).

⁽⁴⁾

⁽⁵⁾	Represents NOI attributable to 10.0% sale of 1633 Broadway for the months in which it was not owned by us in both reporting periods.

- 17 -

SAME STORE RESULTS

(unaudited and in thousands)

SAME STORE CASH NOI ⁽¹⁾			Nine Months Ended September 30, 2020
			Total			New York			San Francisco			Other
	PGRE's share of Cash NOI for the nine months ended September 30, 2020		$	279,905		$	192,508		$	85,482		$	1,915
		Acquisitions ⁽²⁾		(19,459	)		-			(19,459	)		-
		Dispositions / Discontinued Operations		(6,876	)		-			-			(6,876	)	⁽³⁾
		Reserves for uncollectible accounts receivable ⁽⁴⁾		1,940			1,152			788			-
		Lease termination income and other, net		4,848			(254	)		141			4,961
	PGRE's share of Same Store Cash NOI for the nine months ended September 30, 2020		$	260,358		$	193,406		$	66,952		$	-

		Nine Months Ended September 30, 2019
		Total			New York				San Francisco			Other
PGRE's share of Cash NOI for the nine months ended September 30, 2019		$	278,432		$	202,338			$	65,286		$	10,808
	Acquisitions		-			-				-			-
	Dispositions / Discontinued Operations		(16,664	)		(3,213	)	⁽⁵⁾		-			(13,451	)	⁽³⁾
	Reserves for uncollectible accounts receivable ⁽⁴⁾		448			473				(25	)		-
	Lease termination income and other, net		(454	)		(2,346	)			(751	)		2,643
PGRE's share of Same Store Cash NOI for the nine months ended September 30, 2019		$	261,762		$	197,252			$	64,510		$	-

	(Decrease) increase in PGRE's share of Same Store Cash NOI	$	(1,404	)		$	(3,846	)		$	2,442			$	-
	% (Decrease) increase		(0.5	%)			(1.9	%)			3.8	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Represents our share of Same Store Cash NOI attributable to acquired properties (Market Center, 55 Second Street and 111 Sutter Street in San Francisco) for the months in which they were not owned by us in both reporting periods.

⁽³⁾	Represents Cash NOI from discontinued operations (1899 Pennsylvania Avenue in 2020 and 1899 Pennsylvania Avenue and Liberty Place in 2019).

⁽⁴⁾

⁽⁵⁾	Represents Cash NOI attributable to 10.0% sale of 1633 Broadway for the months in which it was not owned by us in both reporting periods.

- 18 -

SAME STORE RESULTS

(unaudited and in thousands)

SAME STORE NOI ⁽¹⁾			Nine Months Ended September 30, 2020
			Total			New York			San Francisco			Other
	PGRE's share of NOI for the nine months ended September 30, 2020		$	304,001		$	200,096		$	102,375		$	1,530
		Acquisitions ⁽²⁾		(24,877	)		-			(24,877	)		-
		Dispositions / Discontinued Operations		(6,515	)		-			-			(6,515	)	⁽³⁾
		Non-cash write-offs (primarily straight-line rent receivables) ⁽⁴⁾		20,794			17,389			3,405			-
		Reserves for uncollectible accounts receivable ⁽⁴⁾		1,940			1,152			788			-
		Lease termination income and other, net		4,872			(254	)		141			4,985
	PGRE's share of Same Store NOI for the nine months ended September 30, 2020		$	300,215		$	218,383		$	81,832		$	-

		Nine Months Ended September 30, 2019
		Total			New York				San Francisco			Other
PGRE's share of NOI for the nine months ended September 30, 2019		$	313,799		$	228,089			$	75,227		$	10,483
	Acquisitions		-			-				-			-
	Dispositions / Discontinued Operations		(16,955	)		(3,806	)	⁽⁵⁾		-			(13,149	)	⁽³⁾
	Reserves for uncollectible accounts receivable ⁽⁴⁾		448			473				(25	)		-
	Lease termination income and other, net		(431	)		(2,346	)			(751	)		2,666
PGRE's share of Same Store NOI for the nine months ended September 30, 2019		$	296,861		$	222,410			$	74,451		$	-

	Increase (decrease) in PGRE's share of Same Store NOI	$	3,354			$	(4,027	)		$	7,381			$	-
	% Increase (decrease)		1.1	%			(1.8	%)			9.9	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Represents our share of Same Store NOI attributable to acquired properties (Market Center, 55 Second Street and 111 Sutter Street in San Francisco) for the months in which they were not owned by us in both reporting periods.

⁽³⁾	Represents NOI from discontinued operations (1899 Pennsylvania Avenue in 2020 and 1899 Pennsylvania Avenue and Liberty Place in 2019).

⁽⁴⁾

⁽⁵⁾	Represents NOI attributable to 10.0% sale of 1633 Broadway for the months in which it was not owned by us in both reporting periods.

- 19 -


		CONSOLIDATED JOINT VENTURES AND FUND - BALANCE SHEETS

(unaudited and in thousands)

		As of September 30, 2020
		Consolidated Joint Ventures										Consolidated Fund
		Total Consolidated										Residential
		Joint Ventures		1633 Broadway ⁽¹⁾		One Market Plaza		300 Mission Street		Other ⁽²⁾		Development Fund
PGRE Ownership				90.0%		49.0%		31.1%		24.4%		7.4%
Assets:
	Real estate, net	$	3,474,281	$	1,803,248	$	1,189,736	$	481,297	$	-	$	-
	Cash and cash equivalents		117,055		41,722		51,276		23,154		903		2,445
	Restricted cash		1,383		78		1,305		-		-		-
	Investments in unconsolidated joint ventures		-		-		-		-		-		67,769
	Accounts and other receivables		3,728		1,517		1,009		1,202		-		124
	Deferred rent receivable		183,890		111,603		55,755		16,532		-		-
	Deferred charges, net		56,647		29,677		16,750		10,220		-		-
	Intangible assets, net		81,066		58,629		16,533		5,904		-		-
	Other assets		18,264		11,956		5,759		549		-		15,690
Total Assets		$	3,936,314	$	2,058,430	$	1,338,123	$	538,858	$	903	$	86,028

Liabilities:
	Notes and mortgages payable, net	$	2,456,764	$	1,240,872	$	971,458	$	244,434	$	-	$	-
	Accounts payable and accrued expenses		51,316		11,241		27,590		12,429		56		67
	Intangible liabilities, net		33,733		19,081		13,504		1,148		-		-
	Other liabilities		4,398		67		4,328		3		-		-
Total Liabilities			2,546,211		1,271,261		1,016,880		258,014		56		67

Equity:
	Paramount Group, Inc. equity		953,527		708,780		157,477		86,545		725		6,793
	Noncontrolling interests		436,576		78,389		163,766		194,299		122		79,168
Total Equity			1,390,103		787,169		321,243		280,844		847		85,961

Total Liabilities and Equity		$	3,936,314	$	2,058,430	$	1,338,123	$	538,858	$	903	$	86,028

⁽¹⁾	On May 27, 2020, we sold a 10.0% interest in 1633 Broadway.

⁽²⁾	Represents PGRESS Equity Holdings, LP.

- 20 -

CONSOLIDATED JOINT VENTURES AND FUND - BALANCE SHEETS

(unaudited and in thousands)

		As of December 31, 2019
		Consolidated Joint Ventures								Consolidated Fund
		Total Consolidated								Residential
		Joint Ventures		One Market Plaza		300 Mission Street		Other ⁽¹⁾		Development Fund
PGRE Ownership				49.0%		31.1%		24.4%		7.4%
Assets:
	Real estate, net	$	1,685,391	$	1,203,232	$	482,159	$	-	$	-
	Cash and cash equivalents		64,172		46,601		16,668		903		2,258
	Restricted cash		3,398		3,398		-		-		-
	Investments in unconsolidated joint ventures		-		-		-		-		69,535
	Accounts and other receivables		2,015		1,085		930		-		125
	Deferred rent receivable		57,338		46,901		10,437		-		-
	Deferred charges, net		24,030		13,330		10,700		-		-
	Intangible assets, net		29,872		21,943		7,929		-		-
	Other assets		5,386		4,937		449		-		15,746
Total Assets		$	1,871,602	$	1,341,427	$	529,272	$	903	$	87,664

Liabilities:
	Notes and mortgages payable, net	$	1,205,324	$	970,681	$	234,643	$	-	$	-
	Accounts payable and accrued expenses		35,191		26,165		8,971		55		61
	Intangible liabilities, net		19,841		18,405		1,436		-		-
	Other liabilities		4,273		4,270		3		-		8,774
Total Liabilities			1,264,629		1,019,521		245,053		55		8,835

Equity:
	Paramount Group, Inc. equity		246,195		157,801		87,669		725		6,433
	Noncontrolling interests		360,778		164,105		196,550		123		72,396
Total Equity			606,973		321,906		284,219		848		78,829

Total Liabilities and Equity		$	1,871,602	$	1,341,427	$	529,272	$	903	$	87,664

⁽¹⁾	Represents PGRESS Equity Holdings, LP.

- 21 -


		CONSOLIDATED JOINT VENTURES AND FUND – OPERATING RESULTS

(unaudited and in thousands)

		Three Months Ended September 30, 2020
		Consolidated Joint Ventures															Consolidated Fund
		Total Consolidated																Residential
		Joint Ventures			1633 Broadway			One Market Plaza			300 Mission Street			Other ⁽¹⁾				Development Fund
Total revenues		$	84,431		$	35,898		$	36,581		$	11,938		$	14			$	-
Total operating expenses			30,352			17,238			9,619			3,495			-				-
Net operating income ⁽²⁾			54,079			18,660			26,962			8,443			14				-
Depreciation and amortization			(28,084	)		(14,143	)		(10,560	)		(3,381	)		-				-
Interest and other income (loss), net			37			-			40			1			(4	)			108
Interest and debt expense			(22,394	)		(9,902	)		(10,303	)		(2,189	)		-				-
Loss from unconsolidated joint ventures			-			-			-			-			-				(223	)
Net income (loss) before income taxes			3,638			(5,385	)		6,139			2,874			10				(115	)
Income tax expense			(7	)		(3	)		(1	)		(3	)		-				-
Net income (loss)		$	3,631		$	(5,388	)	$	6,138		$	2,871		$	10			$	(115	)

PGRE's share
Ownership		Total			90.0%			49.0%			31.1%			24.4%				7.4%
	Net (loss) income	$	(972	)	$	(4,849	)	$	3,008		$	867		$	2			$	(36	)
	Add: Management fee income		1,037			423			187			427			-				-
	PGRE's share of net income (loss)		65			(4,426	)		3,195			1,294			2				(36	)
	Add: Real estate depreciation and amortization		18,955			12,729			5,174			1,052			-				-
	FFO/Core FFO ⁽²⁾	$	19,020		$	8,303		$	8,369		$	2,346		$	2			$	(36	)

Noncontrolling interests' share
Ownership		Total			10.0%			51.0%			68.9%			75.6%				92.6%
	Net income (loss)	$	4,603		$	(539	)	$	3,130		$	2,004		$	8			$	(79	)
	Less: Management fee expense		(1,037	)		(423	)		(187	)		(427	)		-				-
	Net income (loss) attributable to noncontrolling interests		3,566			(962	)		2,943			1,577			8				(79	)
	Add: Real estate depreciation and amortization		9,129			1,414			5,386			2,329			-				-
	FFO/Core FFO ⁽²⁾	$	12,695		$	452		$	8,329		$	3,906		$	8			$	(79	)

(1)	Represents PGRESS Equity Holdings, LP.

(2)	See page 47 for our definition of these measures.

- 22 -

CONSOLIDATED JOINT VENTURES AND FUND – OPERATING RESULTS

(unaudited and in thousands)

		Three Months Ended September 30, 2019
		Consolidated Joint Ventures												Consolidated Fund
		Total Consolidated												Residential
		Joint Ventures			One Market Plaza			300 Mission Street			Other ⁽¹⁾			Development Fund
Total revenues		$	49,115		$	36,367		$	12,748		$	-		$	-
Total operating expenses			14,067			9,927			4,140			-			-
Net operating income ⁽²⁾			35,048			26,440			8,608			-			-
Depreciation and amortization			(15,947	)		(10,604	)		(5,343	)		-			-
Interest and other income (loss), net			151			191			45			(85	)		66
Interest and debt expense			(12,383	)		(10,303	)		(2,080	)		-			-
Income from unconsolidated joint ventures			-			-			-			-			1
Net income (loss)		$	6,869		$	5,724		$	1,230		$	(85	)	$	67

PGRE's share
Ownership		Total			49.0%			31.1%			24.4%			7.4%
	Net income (loss)	$	3,140		$	2,803		$	358		$	(21	)	$	(42	)
	Add: Management fee income		678			196			482			-			-
	PGRE's share of net income (loss)		3,818			2,999			840			(21	)		(42	)
	Add: Real estate depreciation and amortization		6,856			5,196			1,660			-			-
	FFO/Core FFO ⁽²⁾	$	10,674		$	8,195		$	2,500		$	(21	)	$	(42	)

Noncontrolling interests' share
Ownership		Total			51.0%			68.9%			75.6%			92.6%
	Net income (loss)	$	3,729		$	2,921		$	872		$	(64	)	$	109
	Less: Management fee expense		(678	)		(196	)		(482	)		-			-
	Net income (loss) attributable to noncontrolling interests		3,051			2,725			390			(64	)		109
	Add: Real estate depreciation and amortization		9,091			5,408			3,683			-			-
	FFO/Core FFO ⁽²⁾	$	12,142		$	8,133		$	4,073		$	(64	)	$	109

(1)	Represents PGRESS Equity Holdings, LP.

(2)	See page 47 for our definition of these measures.

- 23 -

CONSOLIDATED JOINT VENTURES AND FUND – OPERATING RESULTS

(unaudited and in thousands)

			Nine Months Ended September 30, 2020
			Consolidated Joint Ventures															Consolidated Fund
			Total Consolidated															Residential
			Joint Ventures			1633 Broadway ⁽¹⁾			One Market Plaza			300 Mission Street			Other ⁽²⁾			Development Fund
Total revenues		$		183,036		$	49,006		$	109,326		$	24,690		$	14		$	-
Total operating expenses				62,611			24,617			28,588			9,406			-			5
Net operating income (loss) ⁽³⁾				120,425			24,389			80,738			15,284			14			(5	)
Depreciation and amortization				(61,027	)		(19,633	)		(31,244	)		(10,150	)		-			-
Interest and other income (loss), net				264			-			244			34			(14	)		343
Interest and debt expense				(51,009	)		(13,632	)		(30,690	)		(6,687	)		-			(141	)
Loss from unconsolidated joint ventures				-			-			-			-			-			(1,773	)
Net income (loss) before income taxes				8,653			(8,876	)		19,048			(1,519	)		-			(1,576	)
Income tax benefit (expense)				3			(3	)		(2	)		8			-			(2	)
Net income (loss)		$		8,656		$	(8,879	)	$	19,046		$	(1,511	)	$	-		$	(1,578	)

PGRE's share
Ownership		Total				90.0% ⁽¹⁾			49.0%			31.1%			24.4%			7.4%
	Net income (loss)	$		792		$	(7,991	)	$	9,329		$	(546	)	$	-		$	(287	)
	Add: Management fee income			2,379			566			535			1,278			-			-
	PGRE's share of net income (loss)			3,171			(7,425	)		9,864			732			-			(287	)
	Add: Real estate depreciation and amortization			36,137			17,670			15,309			3,158			-			-
	FFO/Core FFO ⁽³⁾	$		39,308		$	10,245		$	25,173		$	3,890		$	-		$	(287	)

Noncontrolling interests' share
Ownership		Total				10.0% ⁽¹⁾			51.0%			68.9%			75.6%			92.6%
	Net income (loss)	$		7,864		$	(888	)	$	9,717		$	(965	)	$	-		$	(1,291	)
	Less: Management fee expense			(2,379	)		(566	)		(535	)		(1,278	)		-			-
	Net income (loss) attributable to noncontrolling interests			5,485			(1,454	)		9,182			(2,243	)		-			(1,291	)
	Add: Real estate depreciation and amortization			24,890			1,963			15,935			6,992			-			-
	FFO/Core FFO ⁽³⁾	$		30,375		$	509		$	25,117		$	4,749		$	-		$	(1,291	)

(1)	Represents the results of operations from the date of disposition through September 30, 2020.

(2)	Represents PGRESS Equity Holdings, LP.

(3)	See page 47 for our definition of these measures.

- 24 -

CONSOLIDATED JOINT VENTURES AND FUND – OPERATING RESULTS

(unaudited and in thousands)

		Nine Months Ended September 30, 2019
		Consolidated Joint Ventures											Consolidated Fund
		Total Consolidated											Residential
		Joint Ventures			One Market Plaza			300 Mission Street			Other ⁽¹⁾		Development Fund
Total revenues		$	140,985		$	104,400		$	36,585		$	-	$	-
Total operating expenses			39,694			28,444			11,250			-		18
Net operating income (loss) ⁽²⁾			101,291			75,956			25,335			-		(18	)
Depreciation and amortization			(47,266	)		(31,594	)		(15,672	)		-		-
Interest and other income, net			907			459			136			312		154
Interest and debt expense			(36,822	)		(30,581	)		(6,241	)		-		-
Loss from unconsolidated joint ventures			-			-			-			-		(6	)
Net income before income taxes			18,110			14,240			3,558			312		130
Income tax expense			(19	)		(3	)		(16	)		-		(5	)
Net income		$	18,091		$	14,237		$	3,542		$	312	$	125

PGRE's share
Ownership		Total			49.0%			31.1%			24.4%		7.4%
	Net income (loss)	$	8,087		$	6,972		$	1,039		$	76	$	(131	)
	Add: Management fee income		1,751			537			1,214			-		-
	PGRE's share of net income (loss)		9,838			7,509			2,253			76		(131	)
	Add: Real estate depreciation and amortization		20,352			15,481			4,871			-		-
	FFO/Core FFO ⁽²⁾	$	30,190		$	22,990		$	7,124		$	76	$	(131	)

Noncontrolling interests' share
Ownership		Total			51.0%			68.9%			75.6%		92.6%
	Net income	$	10,004		$	7,265		$	2,503		$	236	$	256
	Less: Management fee expense		(1,751	)		(537	)		(1,214	)		-		-
	Net income attributable to noncontrolling interests		8,253			6,728			1,289			236		256
	Add: Real estate depreciation and amortization		26,914			16,113			10,801			-		-
	FFO/Core FFO ⁽²⁾	$	35,167		$	22,841		$	12,090		$	236	$	256

(1)	Represents PGRESS Equity Holdings, LP.

(2)	See page 47 for our definition of these measures.

- 25 -


		UNCONSOLIDATED JOINT VENTURES - BALANCE SHEETS

(unaudited and in thousands)

		As of September 30, 2020
				712 Fifth			Market		55 Second		111 Sutter
		Total		Avenue			Center		Street		Street		Other ⁽¹⁾

PGRE Ownership				50.0%			67.0%		44.1%		49.0%		Various
Assets:
	Real estate, net	$	2,638,584	$	208,581		$	660,377	$	380,947	$	215,393	$	1,173,286
	Cash and cash equivalents		87,057		24,959			26,373		8,867		3,206		23,652
	Restricted cash		25,335		2,145			-		-		2,863		20,327
	Accounts and other receivables		3,313		241			1,880		479		560		153
	Deferred rent receivable		23,186		15,116			3,208		1,924		2,160		778
	Deferred charges, net		11,372		8,609			828		487		1,448		-
	Intangible assets, net		124,754		-			44,779		25,521		7,133		47,321
	Other assets		8,945		3,594			431		197		237		4,486
Total Assets		$	2,922,546	$	263,245		$	737,876	$	418,422	$	233,000	$	1,270,003

Liabilities:
	Notes and mortgages payable, net	$	1,753,699	$	297,261		$	400,031	$	186,552	$	146,029	$	723,826
	Accounts payable and accrued expenses		68,523		8,619			13,760		4,749		4,562		36,833
	Intangible liabilities, net		29,106		-			9,230		16,446		3,430		-
	Other liabilities		24,995		272			23,059		4		305		1,355
Total Liabilities			1,876,323		306,152			446,080		207,751		154,326		762,014


Total Equity			1,046,223		(42,907	)		291,796		210,671		78,674		507,989

Total Liabilities and Equity		$	2,922,546	$	263,245		$	737,876	$	418,422	$	233,000	$	1,270,003

⁽¹⁾	Represents 60 Wall, Oder-Center, Germany and One Steuart Lane.

- 26 -

UNCONSOLIDATED JOINT VENTURES - BALANCE SHEETS

(unaudited and in thousands)

		As of December 31, 2019
				712 Fifth			Market		55 Second		111 Sutter
		Total		Avenue			Center		Street		Street		Other ⁽¹⁾

PGRE Ownership				50.0%			67.0%		44.1%		49.0%		Various
Assets:
	Real estate, net	$	2,581,738	$	206,913		$	671,276	$	385,614	$	216,936	$	1,100,999
	Cash and cash equivalents		69,286		31,216			9,934		7,254		1,866		19,016
	Restricted cash		5,785		2,224			-		-		3,531		30
	Accounts and other receivables		3,036		1,611			684		280		461		-
	Deferred rent receivable		18,296		14,711			416		917		1,127		1,125
	Deferred charges, net		10,074		7,703			250		561		1,560		-
	Intangible assets, net		172,041		-			61,061		30,996		11,090		68,894
	Other assets		4,812		158			1,632		189		81		2,752
Total Assets		$	2,865,068	$	264,536		$	745,253	$	425,811	$	236,652	$	1,192,816

Liabilities:
	Notes and mortgages payable, net	$	1,648,403	$	296,953		$	397,398	$	186,433	$	142,783	$	624,836
	Accounts payable and accrued expenses		64,254		6,607			5,875		4,778		4,482		42,512
	Intangible liabilities, net		38,377		-			14,228		19,668		4,481		-
	Other liabilities		1,505		271			-		4		174		1,056
Total Liabilities			1,752,539		303,831			417,501		210,883		151,920		668,404


Total Equity			1,112,529		(39,295	)		327,752		214,928		84,732		524,412

Total Liabilities and Equity		$	2,865,068	$	264,536		$	745,253	$	425,811	$	236,652	$	1,192,816

⁽¹⁾	Represents 60 Wall, Oder-Center, Germany and One Steuart Lane.

- 27 -


		UNCONSOLIDATED JOINT VENTURES - OPERATING RESULTS

(unaudited and in thousands)

		Three Months Ended September 30, 2020
					712 Fifth			Market			55 Second			111 Sutter
		Total			Avenue			Center			Street			Street			Other ⁽¹⁾
Total revenues		$	61,965		$	10,646		$	16,504		$	8,320		$	4,542		$	21,953
Total operating expenses			26,381			5,794			6,682			3,286			2,061			8,558
Net operating income ⁽²⁾			35,584			4,852			9,822			5,034			2,481			13,395
Depreciation and amortization			(29,700	)		(2,682	)		(10,360	)		(4,798	)		(2,742	)		(9,118	)
Interest and other loss, net			(45	)		(6	)		(21	)		(8	)		(10	)		-
Interest and debt expense			(14,030	)		(2,702	)		(3,397	)		(1,857	)		(1,533	)		(4,541	)
Net loss before income taxes			(8,191	)		(538	)		(3,956	)		(1,629	)		(1,804	)		(264	)
Income tax expense			(1	)		-			(1	)		-			-			-
Net loss		$	(8,192	)	$	(538	)	$	(3,957	)	$	(1,629	)	$	(1,804	)	$	(264	)

PGRE's share
Ownership		Total			50.0%			67.0%			44.1%			49.0%			Various
	Net loss	$	(4,726	)		(269	)		(2,654	)		(711	)		(884	)	$	(208	)
	Less: Step-up basis adjustment		(40	)		-			-			(2	)		-			(38	)
	Add: Distributions received from 712 Fifth Avenue in excess of earnings		498			498			-			-			-			-
	PGRE's share of net (loss) income		(4,268	)		229			(2,654	)		(713	)		(884	)		(246	)
	Add: Real estate depreciation and amortization		12,242			1,341			6,941			2,117			1,344			499
	FFO ⁽²⁾		7,974			1,570			4,287			1,404			460			253
	Less: Distributions received from 712 Fifth Avenue in excess of earnings		(498	)		(498	)		-			-			-			-
	Core FFO⁽²⁾	$	7,476		$	1,072		$	4,287		$	1,404		$	460		$	253

Joint Venture Partners' share
Ownership		Total			50.0%			33.0%			55.9%			51.0%			Various
	Net loss	$	(3,466	)	$	(269	)	$	(1,303	)	$	(918	)	$	(920	)	$	(56	)
	Add: Real estate depreciation and amortization		17,498			1,341			3,419			2,683			1,398			8,657
	FFO/Core FFO ⁽²⁾	$	14,032		$	1,072		$	2,116		$	1,765		$	478		$	8,601

⁽¹⁾	Represents 60 Wall, Oder-Center, Germany and One Steuart Lane.

⁽²⁾	See page 47 for our definition of these measures.

- 28 -

UNCONSOLIDATED JOINT VENTURES - OPERATING RESULTS

(unaudited and in thousands)

		Three Months Ended September 30, 2019
					712 Fifth			55 Second			111 Sutter
		Total			Avenue			Street ⁽¹⁾			Street			Other ⁽²⁾
Total revenues		$	41,188		$	11,044		$	3,559		$	4,238		$	22,347
Total operating expenses			17,670			6,878			1,386			1,892			7,514
Net operating income ⁽³⁾			23,518			4,166			2,173			2,346			14,833
Depreciation and amortization			(17,252	)		(2,781	)		(2,116	)		(3,225	)		(9,130	)
Interest and other income (loss), net			179			111			15			(1	)		54
Interest and debt expense			(12,902	)		(2,701	)		(832	)		(1,703	)		(7,666	)
Net loss before income taxes			(6,457	)		(1,205	)		(760	)		(2,583	)		(1,909	)
Income tax benefit			2			-			-			2			-
Net loss		$	(6,455	)	$	(1,205	)	$	(760	)	$	(2,581	)	$	(1,909	)

PGRE's share
Ownership		Total			50.0%			44.1%			49.0%			Various
	Net loss	$	(2,271	)	$	(603	)	$	(336	)	$	(1,266	)	$	(66	)
	Less: Step-up basis adjustment		(37	)		-			-			-			(37	)
	Add: Distributions received from 712 Fifth Avenue in excess of earnings		976			976			-			-			-
	PGRE's share of net (loss) income		(1,332	)		373			(336	)		(1,266	)		(103	)
	Add: Real estate depreciation and amortization		4,403			1,390			933			1,581			499
	FFO ⁽³⁾		3,071			1,763			597			315			396
	Less: Distributions received from 712 Fifth Avenue in excess of earnings		(976	)		(976	)		-			-			-
	Core FFO⁽³⁾	$	2,095		$	787		$	597		$	315		$	396

Joint Venture Partners' share
Ownership		Total			50.0%			55.9%			51.0%			Various
	Net loss	$	(4,184	)	$	(602	)	$	(424	)	$	(1,315	)	$	(1,843	)
	Add: Real estate depreciation and amortization		12,886			1,391			1,183			1,644			8,668
	FFO/Core FFO ⁽³⁾	$	8,702		$	789		$	759		$	329		$	6,825

⁽¹⁾	Represents the results of operations from the date of acquisition (August 21, 2019) through September 30, 2019.

⁽²⁾	Represents 60 Wall, Oder-Center, Germany and One Steuart Lane.

⁽³⁾	See page 47 for our definition of these measures.

- 29 -

UNCONSOLIDATED JOINT VENTURES - OPERATING RESULTS

(unaudited and in thousands)

		Nine Months Ended September 30, 2020
					712 Fifth			Market			55 Second			111 Sutter
		Total			Avenue			Center ⁽¹⁾			Street			Street			Other ⁽²⁾
Total revenues		$	185,072		$	32,014		$	47,712		$	25,133		$	13,997		$	66,216
Total operating expenses			81,963			18,688			19,702			9,768			5,742			28,063
Net operating income ⁽³⁾			103,109			13,326			28,010			15,365			8,255			38,153
Depreciation and amortization			(88,981	)		(8,038	)		(30,646	)		(14,382	)		(8,545	)		(27,370	)
Interest and other income (loss), net			3			65			(45	)		(17	)		(20	)		20
Interest and debt expense			(44,244	)		(8,049	)		(10,107	)		(5,570	)		(4,609	)		(15,909	)
Net loss before income taxes			(30,113	)		(2,696	)		(12,788	)		(4,604	)		(4,919	)		(5,106	)
Income tax expense			(45	)		-			(5	)		(20	)		(6	)		(14	)
Net loss		$	(30,158	)	$	(2,696	)	$	(12,793	)	$	(4,624	)	$	(4,925	)	$	(5,120	)

PGRE's share
Ownership		Total			50.0%			67.0%			44.1%			49.0%			Various
	Net loss	$	(16,129	)	$	(1,348	)	$	(8,578	)	$	(2,052	)	$	(2,413	)	$	(1,738	)
	Less: Step-up basis adjustment		(121	)		-			-			(7	)		-			(114	)
	Add: Distributions received from 712 Fifth Avenue in excess of earnings		1,806			1,806			-			-			-			-
	PGRE's share of net (loss) income		(14,444	)		458			(8,578	)		(2,059	)		(2,413	)		(1,852	)
	Add: Real estate depreciation and amortization		36,585			4,019			20,533			6,348			4,187			1,498
	FFO ⁽³⁾		22,141			4,477			11,955			4,289			1,774			(354	)
	Less: Distributions received from 712 Fifth Avenue in excess of earnings		(1,806	)		(1,806	)		-			-			-			-
	Core FFO⁽³⁾	$	20,335		$	2,671		$	11,955		$	4,289		$	1,774		$	(354	)

Joint Venture Partners' share
Ownership		Total			50.0%			33.0%			55.9%			51.0%			Various
	Net loss	$	(14,029	)	$	(1,348	)	$	(4,215	)	$	(2,572	)	$	(2,512	)	$	(3,382	)
	Add: Real estate depreciation and amortization		52,517			4,019			10,113			8,041			4,358			25,986
	FFO/Core FFO ⁽³⁾	$	38,488		$	2,671		$	5,898		$	5,469		$	1,846		$	22,604

⁽¹⁾	Acquired on December 11, 2019.

⁽²⁾	Represents 60 Wall, Oder-Center, Germany and One Steuart Lane.

⁽³⁾	See page 47 for our definition of these measures.

- 30 -

UNCONSOLIDATED JOINT VENTURES - OPERATING RESULTS

(unaudited and in thousands)

		Nine Months Ended September 30, 2019
					712 Fifth			55 Second			111 Sutter
		Total			Avenue			Street ⁽¹⁾			Street ⁽²⁾			Other ⁽³⁾
Total revenues		$	116,358		$	36,124		$	3,559		$	10,854		$	65,821
Total operating expenses			47,347			19,659			1,386			4,605			21,697
Net operating income ⁽⁴⁾			69,011			16,465			2,173			6,249			44,124
Depreciation and amortization			(46,459	)		(8,318	)		(2,116	)		(8,632	)		(27,393	)
Interest and other income, net			478			379			15			8			76
Interest and debt expense			(36,752	)		(8,020	)		(832	)		(4,537	)		(23,363	)
Net (loss) income before income taxes			(13,722	)		506			(760	)		(6,912	)		(6,556	)
Income tax (expense) benefit			(6	)		-			-			2			(8	)
Net (loss) income		$	(13,728	)	$	506		$	(760	)	$	(6,910	)	$	(6,564	)

PGRE's share
Ownership		Total			50.0%			44.1%			49.0%			Various
	Net (loss) income	$	(3,737	)	$	253		$	(336	)	$	(3,387	)	$	(267	)
	Less: Step-up basis adjustment		(115	)		-			-			-			(115	)
	Add: Distributions received from 712 Fifth Avenue in excess of earnings		1,037			1,037			-			-			-
	PGRE's share of net (loss) income		(2,815	)		1,290			(336	)		(3,387	)		(382	)
	Add: Real estate depreciation and amortization		10,823			4,159			933			4,230			1,501
	FFO ⁽⁴⁾		8,008			5,449			597			843			1,119
	Less: Distributions received from 712 Fifth Avenue in excess of earnings		(1,037	)		(1,037	)		-			-			-
	Core FFO⁽⁴⁾	$	6,971		$	4,412		$	597		$	843		$	1,119

Joint Venture Partners' share
Ownership		Total			50.0%			55.9%			51.0%			Various
	Net (loss) income	$	(9,991	)	$	253		$	(424	)	$	(3,523	)	$	(6,297	)
	Add: Real estate depreciation and amortization		35,751			4,159			1,183			4,402			26,007
	FFO/Core FFO ⁽⁴⁾	$	25,760		$	4,412		$	759		$	879		$	19,710

⁽¹⁾	Represents the results of operations from the date of acquisition (August 21, 2019) through September 30, 2019.

⁽²⁾	Represents the results of operations from the date of acquisition (February 7, 2019) through September 30, 2019.

⁽³⁾	Represents 60 Wall, Oder-Center, Germany and One Steuart Lane.

⁽⁴⁾	See page 47 for our definition of these measures.

- 31 -


		CAPITAL STRUCTURE

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

			As of September 30, 2020
Debt:
	Consolidated debt:
		Notes and mortgages payable ⁽¹⁾	$	3,819,434
		$1.0 billion Revolving Credit Facility		200,000
				4,019,434
	Less:
		Noncontrolling interests' share of consolidated debt ⁽²⁾		(790,653	)
	Add:
		PGRE's share of unconsolidated joint venture debt ⁽³⁾		606,158
	PGRE's Share of Total Debt ⁽⁴⁾			3,834,939

		Shares / Units		Share Price as of
Equity:		Outstanding		September 30, 2020
	Common stock		220,545,325	$	7.08		1,561,461
	Operating Partnership units		20,756,618		7.08		146,956
	Total equity		241,301,943		7.08		1,708,417


Total Market Capitalization						$	5,543,356

⁽¹⁾	Represents contractual amount due pursuant to the respective debt agreements.

⁽²⁾	Represents noncontrolling interests’ share of 1633 Broadway, One Market Plaza and 300 Mission Street.

⁽³⁾	Represents our share of 712 Fifth Avenue, Market Center, 55 Second Street, 111 Sutter Street, 60 Wall Street and Oder-Center, Germany.

⁽⁴⁾	See page 47 for our definition of this measure.

- 32 -



		DEBT ANALYSIS

(unaudited and in thousands)

		Total Debt						Fixed Rate Debt						Variable Rate Debt
Consolidated Debt:		Amount			Rate			Amount			Rate			Amount			Rate
	1633 Broadway	$	1,250,000			2.99	%	$	1,250,000			2.99	%	$	-			-
	1301 Avenue of the Americas		850,000			2.61	%		500,000			3.05	%		350,000			1.99	%
	31 West 52nd Street		500,000			3.80	%		500,000			3.80	%		-			-
	One Market Plaza		975,000			4.03	%		975,000			4.03	%		-			-
	300 Mission Street		244,434			3.65	%		244,434			3.65	%		-			-
	Revolving Credit Facility		200,000			1.30	%		-			-			200,000			1.30	%
Total consolidated debt			4,019,434			3.22	%		3,469,434			3.45	%		550,000			1.74	%
Noncontrolling interests' share			(790,653	)		3.79	%		(790,653	)		3.79	%		-			-
PGRE's share of consolidated debt		$	3,228,781			3.08	%	$	2,678,781			3.36	%	$	550,000			1.74	%

Unconsolidated Joint Venture Debt:
	712 Fifth Avenue	$	300,000			3.39	%	$	300,000			3.39	%	$	-			-
	Market Center		403,973			3.06	%		402,000			3.07	%		1,973			1.65	%
	55 Second Street		187,500			3.88	%		187,500			3.88	%		-			-
	111 Sutter Street		147,550			3.65	%		-			-			147,550			3.65	%
	60 Wall Street		575,000			2.60	%		-			-			575,000			2.60	%
	Oder-Center, Germany		18,101			4.62	%		18,101			4.62	%		-			-
Total unconsolidated debt			1,632,124			3.12	%		907,601			3.37	%		724,523			2.81	%
Joint venture partners' share			(1,025,966	)		3.02	%		(403,872	)		3.46	%		(622,094	)		2.73	%
PGRE's share of unconsolidated debt		$	606,158			3.31	%	$	503,729			3.30	%	$	102,429			3.33	%

PGRE's share of Total Debt ⁽¹⁾		$	3,834,939			3.12	%	$	3,182,510			3.35	%	$	652,429			1.99	%

Revolving Credit Facility Covenants: ⁽²⁾		Required	Actual			Debt Composition (at PGRE's share):		Amount		%
	Total Debt / Total Assets	Less than 60%		42.9	%	Fixed rate debt:
	Secured Debt / Total Assets	Less than 50%		43.4	%		Consolidated fixed rate debt	$	2,678,781
	Fixed Charge Coverage	Greater than 1.5x	3.36x				Unconsolidated fixed rate debt		503,729
	Unsecured Debt / Unencumbered Assets	Less than 60%		0.0	%		PGRE's share of fixed rate debt		3,182,510		83.0	%
	Unencumbered Interest Coverage	Greater than 1.75x	15.34x			Variable rate debt:
							Consolidated variable rate debt		550,000
							Unconsolidated variable rate debt		102,429
							PGRE's share of variable rate debt		652,429		17.0	%

							PGRE's share of Total Debt ⁽¹⁾	$	3,834,939		100.0	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾

This section presents ratios as of September 30, 2020 in accordance with the terms of our revolving credit facility, which has been filed with the SEC. We are not presenting these ratios and the related calculations for any other purpose or for any other period, and are not intending for these measures to otherwise provide information to investors about our financial condition or results of operations. Investors should not rely on these measures other than for purposes of considering our compliance with the revolving credit facility.

- 33 -


		DEBT MATURITIES

(unaudited and in thousands)

Consolidated Debt:		2020			2021			2022			2023			2024			Thereafter			Total
	1301 Avenue of the Americas	$	-		$	850,000		$	-		$	-		$	-		$	-		$	850,000
	300 Mission Street		-			-			-			244,434			-			-			244,434
	One Market Plaza		-			-			-			-			975,000			-			975,000
	1633 Broadway		-			-			-			-			-			1,250,000			1,250,000
	31 West 52nd Street		-			-			-			-			-			500,000			500,000
	Revolving Credit Facility		-			-			200,000			-			-			-			200,000
Total consolidated debt			-			850,000			200,000			244,434			975,000			1,750,000			4,019,434
Noncontrolling interests' share			-			-			-			(168,415	)		(497,250	)		(124,988	)		(790,653	)
PGRE's share of consolidated debt		$	-		$	850,000		$	200,000		$	76,019		$	477,750		$	1,625,012		$	3,228,781


Unconsolidated Joint Venture Debt:
	60 Wall Street	$	-		$	-		$	575,000		$	-		$	-		$	-		$	575,000
	Oder-Center, Germany		-			-			18,101			-			-			-			18,101
	111 Sutter Street		-			-			-			147,550			-			-			147,550
	Market Center		-			-			-			-			-			403,973			403,973
	712 Fifth Avenue		-			-			-			-			-			300,000			300,000
	55 Second Street		-			-			-			-			-			187,500			187,500
Total unconsolidated debt			-			-			593,101			147,550			-			891,473			1,632,124
Joint venture partners' share			-			-			(562,573	)		(75,251	)		-			(388,142	)		(1,025,966	)
PGRE's share of unconsolidated debt		$	-		$	-		$	30,528		$	72,299		$	-		$	503,331		$	606,158



PGRE's Share of Total Debt ⁽¹⁾		$	-		$	850,000		$	230,528		$	148,318		$	477,750		$	2,128,343		$	3,834,939

Weighted average rate			-	%		2.61	%		1.49	%		3.65	%		4.03	%		3.25	%		3.12	%

% of debt maturing			-	%		22.2	%		6.0	%		3.9	%		12.5	%		55.4	%		100.0	%

⁽¹⁾	See page 47 for our definition of this measure.

- 34 -


		PORTFOLIO SUMMARY

(unaudited and in thousands, except square feet and per square foot amounts)

		Paramount			Number of		Square		%			%			Annualized Rent ⁽¹⁾
Property	Submarket	Ownership			Buildings		Feet		Leased ⁽¹⁾			Occupied ⁽¹⁾			Amount		Per Square Foot ⁽²⁾

As of September 30, 2020
New York:
1633 Broadway ⁽³⁾	West Side		90.0	%		1		2,499,105		98.4	%		98.4	%	$	181,533	$	76.40
1301 Avenue of the Americas	Sixth Avenue / Rock Center		100.0	%		1		1,765,688		99.0	%		98.1	%		138,773		80.42
1325 Avenue of the Americas	Sixth Avenue / Rock Center		100.0	%		1		810,993		91.7	%		91.7	%		49,745		68.29
31 West 52nd Street	Sixth Avenue / Rock Center		100.0	%		1		763,140		98.2	%		98.2	%		71,327		92.62
900 Third Avenue	East Side		100.0	%		1		591,533		80.6	%		80.6	%		34,962		73.42
712 Fifth Avenue	Madison / Fifth Avenue		50.0	%		1		543,411		74.4	%		70.0	%		44,147		115.92
60 Wall Street	Downtown		5.0	%		1		1,625,483		100.0	%		100.0	%		73,600		45.28	⁽⁴⁾
Subtotal / Weighted average						7		8,599,353		95.4	%		95.0	%		594,087		73.45
PGRE's share						7		6,533,716		95.1	%		94.7	%		483,949		79.30

San Francisco:
One Market Plaza	South Financial District		49.0	%		2		1,591,919		98.2	%		98.2	%		141,993		90.16
Market Center	South Financial District		67.0	%		2		746,013		93.7	%		93.7	%		59,637		85.35
300 Mission Street	South Financial District		31.1	%		1		660,702		99.1	%		99.1	%		53,014		81.12
One Front Street	North Financial District		100.0	%		1		644,700		100.0	%		98.8	%		51,925		81.62
55 Second Street	South Financial District		44.1	%		1		379,621		95.7	%		95.7	%		27,834		76.83
111 Sutter Street	North Financial District		49.0	%		1		277,403		83.0	%		83.0	%		18,415		80.73
Subtotal / Weighted average						8		4,300,358		96.6	%		96.4	%		352,818		84.92
PGRE's share						8		2,433,388		96.8	%		96.5	%		199,244		84.74

Subtotal / Weighted average						15		12,899,711		95.8	%		95.5	%		946,905	$	77.38
PGRE's share						15		8,967,104		95.6	%		95.2	%		683,193	$	80.84

Discontinued Operations
1899 Pennsylvania Avenue ⁽⁵⁾	CBD		100.0	%		1		190,955		90.4	%		90.4	%		15,376		88.51

Total / Weighted average						16		13,090,666		95.8	%		95.4	%		962,281	$	77.54
PGRE's share						16		9,158,059		95.5	%		95.1	%		698,569	$	80.99

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Represents office and retail space only.

⁽³⁾	On May 27, 2020, we sold a 10.0% interest in 1633 Broadway.

⁽⁴⁾	Represents “triple-net” rent.

⁽⁵⁾	On March 6, 2020, we entered into an agreement to sell 1899 Pennsylvania Avenue, a 191,000 square foot office building located in Washington, D.C. The transaction, which is subject to customary closing conditions, is expected to close in the fourth quarter of 2020.

- 35 -


		SAME STORE LEASED OCCUPANCY

(unaudited)

				As of September 30, 2020						As of June 30, 2020						Change in
	Paramount						Same Store						Same Store			Same Store
Property	Ownership			Leased % ⁽¹⁾			Leased % ⁽¹⁾			Leased % ⁽¹⁾			Leased % ⁽¹⁾			Leased %


New York:
1633 Broadway		90.0	%		98.4	%		98.4	%		98.4	%		98.4	%		-	%
1301 Avenue of the Americas		100.0	%		99.0	%		99.0	%		99.0	%		99.0	%		-	%
1325 Avenue of the Americas		100.0	%		91.7	%		91.7	%		91.8	%		91.8	%		(0.1	%)
31 West 52nd Street		100.0	%		98.2	%		98.2	%		98.3	%		98.3	%		(0.1	%)
900 Third Avenue		100.0	%		80.6	%		80.6	%		81.8	%		81.8	%		(1.2	%)
712 Fifth Avenue		50.0	%		74.4	%		74.4	%		75.2	%		75.2	%		(0.8	%)
60 Wall Street		5.0	%		100.0	%		100.0	%		100.0	%		100.0	%		-	%
Weighted average					95.4	%		95.4	%		95.6	%		95.6	%		(0.2	%)
PGRE's share					95.1	%		95.1	%		95.3	%		95.3	%		(0.2	%)

San Francisco:
One Market Plaza		49.0	%		98.2	%		98.2	%		98.2	%		98.2	%		-	%
Market Center		67.0	%		93.7	%		93.7	%		94.3	%		94.3	%		(0.6	%)
300 Mission Street		31.1	%		99.1	%		99.1	%		99.1	%		99.1	%		-	%
One Front Street		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		-	%
55 Second Street		44.1	%		95.7	%		95.7	%		95.7	%		95.7	%		-	%
111 Sutter Street		49.0	%		83.0	%		83.0	%		83.3	%		83.3	%		(0.3	%)
Weighted average					96.6	%		96.6	%		96.7	%		96.7	%		(0.1	%)
PGRE's share					96.8	%		96.8	%		96.9	%		96.9	%		(0.1	%)

Weighted average					95.8	%		95.8	%		96.0	%		96.0	%		(0.2	%)
PGRE's share					95.6	%		95.6	%		95.7	%		95.7	%		(0.1	%)

Discontinued Operations:
1899 Pennsylvania Avenue		100.0	%		90.4	%		90.4	%		90.4	%		90.4	%		-	%

Weighted average					95.8	%		95.8	%		95.9	%		95.9	%		(0.1	%)
PGRE's share					95.5	%		95.5	%		95.6	%		95.6	%		(0.1	%)

⁽¹⁾	See page 47 for our definition of this measure.

- 36 -

SAME STORE LEASED OCCUPANCY

(unaudited)

				As of September 30, 2020						As of December 31, 2019						Change in
	Paramount						Same Store						Same Store			Same Store
Property	Ownership			Leased % ⁽¹⁾			Leased % ⁽¹⁾			Leased % ⁽¹⁾			Leased % ⁽¹⁾			Leased %


New York:
1633 Broadway		90.0	%		98.4	%		98.4	%		98.4	%		98.4	%		-	%
1301 Avenue of the Americas		100.0	%		99.0	%		99.0	%		99.4	%		99.4	%		(0.4	%)
1325 Avenue of the Americas		100.0	%		91.7	%		91.7	%		91.1	%		91.1	%		0.6	%
31 West 52nd Street		100.0	%		98.2	%		98.2	%		97.5	%		97.5	%		0.7	%
900 Third Avenue		100.0	%		80.6	%		80.6	%		83.4	%		83.4	%		(2.8	%)
712 Fifth Avenue		50.0	%		74.4	%		74.4	%		74.2	%		74.2	%		0.2	%
60 Wall Street		5.0	%		100.0	%		100.0	%		100.0	%		100.0	%		-	%
Weighted average					95.4	%		95.4	%		95.6	%		95.6	%		(0.2	%)
PGRE's share					95.1	%		95.1	%		95.5	%		95.3	%		(0.2	%)

San Francisco:
One Market Plaza		49.0	%		98.2	%		98.2	%		98.4	%		98.4	%		(0.2	%)
Market Center		67.0	%		93.7	%		93.7	%		95.6	%		95.6	%		(1.9	%)
300 Mission Street		31.1	%		99.1	%		99.1	%		100.0	%		100.0	%		(0.9	%)
One Front Street		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		-	%
55 Second Street		44.1	%		95.7	%		95.7	%		95.7	%		95.7	%		-	%
111 Sutter Street		49.0	%		83.0	%		83.0	%		86.3	%		86.3	%		(3.3	%)
Weighted average					96.6	%		96.6	%		97.4	%		97.4	%		(0.8	%)
PGRE's share					96.8	%		96.8	%		97.5	%		97.5	%		(0.7	%)

Weighted average					95.8	%		95.8	%		96.2	%		96.2	%		(0.4	%)
PGRE's share					95.6	%		95.6	%		96.0	%		95.9	%		(0.3	%)

Discontinued Operations:
1899 Pennsylvania Avenue		100.0	%		90.4	%		90.4	%		90.4	%		90.4	%		-	%

Weighted average					95.8	%		95.8	%		96.1	%		96.1	%		(0.3	%)
PGRE's share					95.5	%		95.5	%		95.9	%		95.8	%		(0.3	%)

⁽¹⁾	See page 47 for our definition of this measure.

- 37 -



		TOP TENANTS AND INDUSTRY DIVERSIFICATION

(unaudited and in thousands, except square feet and per square foot amounts)

									PGRE's Share of
						Total			Total						Annualized Rent ⁽¹⁾				% of
				Lease		Square Feet			Square Feet			% of Total					Per Square		Annualized
Top 10 Tenants:			Property	Expiration		Occupied			Occupied			Square Feet			Amount		Foot		Rent
As of September 30, 2020
	Barclays Capital, Inc.		1301 Avenue of the Americas	Dec-2020			497,418			497,418			5.4	%	$	33,475	$	67.30		4.8	%
	Clifford Chance LLP		31 West 52nd Street	Jun-2024			328,992			328,992			3.6	%		28,993		88.13		4.2	%
	First Republic Bank		One Front Street	Jun-2025	⁽²⁾		350,340	⁽²⁾		350,340	⁽²⁾		3.8	%		28,399		81.06		4.1	%
	Credit Agricole Corporate &
		Investment Bank	1301 Avenue of the Americas	Feb-2023			312,679			312,679			3.4	%		27,471		87.86		3.9	%
	Norton Rose Fulbright		1301 Avenue of the Americas	Sep-2034	⁽³⁾		320,325	⁽³⁾		320,325	⁽³⁾		3.5	%		27,171		84.82		3.9	%
	Allianz Global Investors, LP		1633 Broadway	Jan-2031			320,911			288,823			3.2	%		26,310		91.09		3.8	%
	Morgan Stanley & Company		1633 Broadway	Mar-2032			260,829			234,749			2.6	%		17,919		76.33		2.6	%
	WMG Acquisition Corp.
		(Warner Music Group)	1633 Broadway	Jul-2029			296,344			266,713			2.9	%		17,478		65.53		2.5	%
	Showtime Networks, Inc.		1633 Broadway	Jan-2026			261,196			235,079			2.6	%		15,018		63.88		2.1	%
	Google, Inc.		One Market Plaza	Apr-2025			342,211			167,683			1.8	%		14,323		85.42		2.1	%

		PGRE's Share of
		Square Feet		% of Occupied			Annualized		% of
Industry Diversification:		Occupied		Square Feet			Rent ⁽¹⁾		Annualized Rent
As of September 30, 2020
	Legal Services		1,886,733		21.7	%	$	156,963		22.5	%
	Financial Services - Commercial and Investment Banking		1,866,318		21.4	%		143,317		20.5	%
	Technology and Media		1,760,225		20.2	%		133,965		19.2	%
	Financial Services, all others		1,278,611		14.7	%		115,208		16.5	%
	Insurance		448,762		5.1	%		39,678		5.7	%
	Retail		140,947		1.6	%		14,802		2.1	%
	Travel & Leisure		192,856		2.2	%		13,532		1.9	%
	Real Estate		162,320		1.9	%		13,305		1.9	%
	Other Professional Services		145,817		1.7	%		11,911		1.7	%
	Other		824,344		9.5	%		55,888		8.0	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	76,999 and 22,690 of the square feet leased expire on December 31, 2029 and December 31, 2030, respectively.

⁽³⁾	116,462 of the square feet leased expires on March 31, 2032.

- 38 -


		LEASING ACTIVITY ⁽¹⁾

(unaudited)

	Total			New York			San Francisco

Three Months Ended September 30, 2020

Total square feet leased		104,522			52,072			52,450

PGRE's share of total square feet leased:⁽²⁾		54,721			29,419			25,302
Initial rent ⁽³⁾	$	73.48		$	72.16		$	75.02
Weighted average lease term (in years)		3.2			1.5			5.2
Tenant improvements and leasing commissions:
Per square foot	$	1.52		$	0.44		$	2.77
Per square foot per annum	$	0.47		$	0.30		$	0.53
Percentage of initial rent		0.6	%		0.4	%		0.7	%
Rent concessions:
Average free rent period (in months)		1.3			0.3			2.4
Average free rent period per annum (in months)		0.4			0.2			0.5

Second generation space: ⁽³⁾
Square feet		54,721			29,419			25,302
Cash basis:
Initial rent ⁽³⁾	$	73.48		$	72.16		$	75.02
Prior escalated rent ⁽³⁾	$	70.95		$	73.91		$	67.51
Percentage increase (decrease)		3.6	%		(2.4	%)		11.1	%
GAAP basis:
Straight-line rent ⁽³⁾	$	73.77		$	70.93		$	77.08
Prior straight-line rent ⁽³⁾	$	67.39		$	73.16		$	60.69
Percentage increase (decrease)		9.5	%		(3.0	%)		27.0	%

⁽¹⁾	The leasing statistics, except for square feet leased, represent office space only.

⁽²⁾

PGRE’s share of total square feet leased and the related statistics exclude the impact of 17,925 square feet of retail space at 712 Fifth Avenue, that was leased to Harry Winston for a 16-year term. The lease has a weighted average initial rent of $437.43 per square foot and tenant improvement and leasing commissions were $65.13 per square foot per annum, or 14.9% of initial rent.

⁽³⁾	See page 47 for our definition of this measure.

- 39 -

LEASING ACTIVITY ⁽¹⁾

(unaudited)

	Total			New York			San Francisco

Nine Months Ended September 30, 2020

Total square feet leased		611,876			152,834			459,042

PGRE's share of total square feet leased:⁽²⁾		350,687			125,913			224,774
Initial rent ⁽³⁾	$	89.68		$	76.60		$	97.00
Weighted average lease term (in years)		4.3			3.9			4.5
Tenant improvements and leasing commissions:
Per square foot	$	30.59		$	21.82		$	35.50
Per square foot per annum	$	7.16		$	5.54		$	7.96
Percentage of initial rent		8.0	%		7.2	%		8.2	%
Rent concessions:
Average free rent period (in months)		2.2			1.7			2.5
Average free rent period per annum (in months)		0.5			0.4			0.6

Second generation space: ⁽³⁾
Square feet		318,577			117,631			200,946
Cash basis:
Initial rent ⁽³⁾	$	88.58		$	74.34		$	96.92
Prior escalated rent ⁽³⁾	$	72.06		$	73.93		$	70.97
Percentage increase		22.9	%		0.6	%		36.6	%
GAAP basis:
Straight-line rent ⁽³⁾	$	88.60		$	72.31		$	98.14
Prior straight-line rent ⁽³⁾	$	71.83		$	70.33		$	72.70
Percentage increase		23.4	%		2.8	%		35.0	%

⁽¹⁾	The leasing statistics, except for square feet leased, represent office space only.

⁽²⁾

⁽³⁾	See page 47 for our definition of this measure.

- 40 -



		LEASE EXPIRATIONS – TOTAL PORTFOLIO

(unaudited and in thousands, except square feet and per square foot amounts)

		Total		PGRE's Share of
Year of		Square Feet		Square Feet		Annualized Rent ⁽¹⁾				% of
Lease Expiration ⁽²⁾		of Expiring Leases		of Expiring Leases		Amount		Per Square Foot ⁽³⁾		Annualized Rent

	Month to Month		15,275		10,915	$	788	$	56.31		0.1	%

	4Q 2020		81,702		46,448		4,111		89.30		0.6	%

	1Q 2021		723,643		638,709		45,393		71.44		6.4	%
	2Q 2021		195,783		190,261		15,524		81.50		2.2	%
	3Q 2021		37,003		35,937		2,739		76.87		0.4	%
	4Q 2021		82,125		66,470		3,497		75.17		0.5	%
	Total 2021		1,038,554		931,377		67,153		73.95		9.5	%
	2022		2,262,732		464,854		31,048		80.09		4.4	%
	2023		1,047,364		889,302		73,576		85.28		10.4	%
	2024		802,940		714,755		59,633		83.48		8.4	%
	2025		1,411,167		881,262		72,672		82.46		10.3	%
	2026		1,432,221		1,008,529		80,189		77.58		11.3	%
	2027		207,449		141,918		12,383		87.20		1.7	%
	2028		255,681		209,154		16,994		81.74		2.4	%
	2029		550,277		501,287		38,357		76.93		5.4	%
	Thereafter		3,429,238		2,943,301		250,988		83.74		35.5	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Leases that expire on the last day of the quarter are treated as occupied and are reflected as expiring space in the following quarter.

⁽³⁾	Represents office and retail space only.

- 41 -


		LEASE EXPIRATIONS – NEW YORK

(unaudited and in thousands, except square feet and per square foot amounts)

		Total		PGRE's Share of
Year of		Square Feet		Square Feet		Annualized Rent ⁽¹⁾				% of
Lease Expiration ⁽²⁾		of Expiring Leases		of Expiring Leases		Amount		Per Square Foot ⁽³⁾		Annualized Rent

	Month to Month		4,739		4,231	$	486	$	67.68		0.1	%

	4Q 2020		32,672		17,702		1,427		81.67		0.3	%

	1Q 2021		553,146		544,689		37,379		69.11		7.6	%
	2Q 2021		180,286		180,286		14,671		81.36		3.0	%
	3Q 2021		13,238		13,238		792		58.58		0.2	%
	4Q 2021		68,404		57,277		2,770		73.77		0.6	%
	Total 2021		815,074		795,490		55,612		72.00		11.4	%
	2022		1,831,675		258,953		13,162		71.42		2.7	%
	2023		552,946		524,561		41,122		82.55		8.4	%
	2024		601,726		584,882		48,249		82.60		9.8	%
	2025		299,107		241,876		21,584		89.20		4.4	%
	2026		704,695		646,145		50,981		75.76		10.4	%
	2027		85,378		79,854		6,873		86.07		1.4	%
	2028		147,554		127,134		10,399		82.38		2.1	%
	2029		517,456		484,516		37,065		76.93		7.6	%
	Thereafter		2,614,236		2,449,795		202,660		80.86		41.4	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Leases that expire on the last day of the quarter are treated as occupied and are reflected as expiring space in the following quarter.

⁽³⁾	Represents office and retail space only.

- 42 -


		LEASE EXPIRATIONS – SAN FRANCISCO

(unaudited and in thousands, except square feet and per square foot amounts)

		Total		PGRE's Share of
Year of		Square Feet		Square Feet		Annualized Rent ⁽¹⁾				% of
Lease Expiration ⁽²⁾		of Expiring Leases		of Expiring Leases		Amount		Per Square Foot ⁽³⁾		Annualized Rent

	Month to Month		9,461		5,609	$	302	$	40.13		0.2	%

	4Q 2020		49,030		28,746		2,684		93.79		1.3	%

	1Q 2021		166,180		89,703		7,639		84.78		3.8	%
	2Q 2021		15,497		9,975		853		84.10		0.4	%
	3Q 2021		23,765		22,699		1,947		87.94		1.0	%
	4Q 2021		13,721		9,193		727		79.08		0.3	%
	Total 2021		219,163		131,570		11,166		84.86		5.5	%
	2022		427,326		202,170		17,672		87.39		8.7	%
	2023		359,640		229,963		19,947		86.95		9.8	%
	2024		201,214		129,873		11,384		87.46		5.6	%
	2025		1,112,060		639,386		51,088		79.90		25.2	%
	2026		699,280		334,138		26,949		80.85		13.3	%
	2027		122,071		62,064		5,510		88.66		2.7	%
	2028		108,127		82,020		6,595		80.74		3.3	%
	2029		32,821		16,771		1,292		77.03		0.6	%
	Thereafter		814,479		492,983		48,308		97.99		23.8	%

⁽¹⁾	See page 47 for our definition of this measure.

⁽²⁾	Leases that expire on the last day of the quarter are treated as occupied and are reflected as expiring space in the following quarter.

⁽³⁾	Represents office and retail space only.

- 43 -

LEASE EXPIRATIONS – OTHER ⁽¹⁾

(unaudited and in thousands, except square feet and per square foot amounts)

		Total		PGRE's Share of
Year of		Square Feet		Square Feet		Annualized Rent ⁽²⁾				% of
Lease Expiration ⁽³⁾		of Expiring Leases		of Expiring Leases		Amount		Per Square Foot ⁽⁴⁾		Annualized Rent

	Month to Month		1,075		1,075	$	-	$	-		-	%

	4Q 2020		-		-		-		-		-	%

	1Q 2021		4,317		4,317		375		86.95		2.4	%
	2Q 2021		-		-		-		-		-	%
	3Q 2021		-		-		-		-		-	%
	4Q 2021		-		-		-		-		-	%
	Total 2021		4,317		4,317		375		86.95		2.4	%
	2022		3,731		3,731		214		57.32		1.4	%
	2023		134,778		134,778		12,507		91.44		81.4	%
	2024		-		-		-		-		-	%
	2025		-		-		-		-		-	%
	2026		28,246		28,246		2,259		79.99		14.7	%
	2027		-		-		-		-		-	%
	2028		-		-		-		-		-	%
	2029		-		-		-		-		-	%
	Thereafter		523		523		20		30.00		0.1	%

⁽¹⁾	Represents lease expirations of 1899 Pennsylvania Avenue, which is classified as discontinued operations.

⁽²⁾	See page 47 for our definition of this measure.

⁽³⁾	Leases that expire on the last day of the quarter are treated as occupied and are reflected as expiring space in the following quarter.

⁽⁴⁾	Represents office and retail space only.

- 44 -

CASH BASIS CAPITAL EXPENDITURES

(unaudited and in thousands)

	Three Months Ended September 30, 2020
	Total		New York		San Francisco		Other
Capital Expenditures: ⁽¹⁾
Expenditures to maintain assets	$	5,139	$	3,347	$	1,768	$	24
Second generation tenant improvements		5,265		603		4,662		-
Second generation leasing commissions		1,325		815		510		-
First generation leasing costs and capital expenditures		-		-		-		-
Total Capital Expenditures	$	11,729	$	4,765	$	6,940	$	24

Redevelopment Expenditures: ⁽¹⁾
One Market Plaza	$	1,229	$	-	$	1,229	$	-
Other		1,415		1,151		264		-
Total Redevelopment Expenditures	$	2,644	$	1,151	$	1,493	$	-

	Three Months Ended September 30, 2019
	Total		New York		San Francisco		Other
Capital Expenditures: ⁽¹⁾
Expenditures to maintain assets	$	4,680	$	2,721	$	1,369	$	590
Second generation tenant improvements		3,119		2,694		116		309
Second generation leasing commissions		7,916		1,342		6,329		245
First generation leasing costs and capital expenditures		2,664		-		2,664		-
Total Capital Expenditures	$	18,379	$	6,757	$	10,478	$	1,144

Redevelopment Expenditures: ⁽¹⁾
1325 Avenue of the Americas (Lobby Renovation and Elevator Modernization)	$	3,166	$	3,166	$	-	$	-
300 Mission Street (Lobby Renovation)		2,508		-		2,508		-
31 West 52nd Street (Lobby Renovation)		435		435		-		-
Other		2,368		2,007		361		-
Total Redevelopment Expenditures	$	8,477	$	5,608	$	2,869	$	-

⁽¹⁾	See page 47 for our definition of this measure.

- 45 -

CASH BASIS CAPITAL EXPENDITURES

(unaudited and in thousands)

	Nine Months Ended September 30, 2020
	Total		New York		San Francisco		Other
Capital Expenditures: ⁽¹⁾
Expenditures to maintain assets	$	13,709	$	9,143	$	4,316	$	250
Second generation tenant improvements		32,272		20,678		11,594		-
Second generation leasing commissions		9,013		3,009		6,004		-
First generation leasing costs and capital expenditures		-		-		-		-
Total Capital Expenditures	$	54,994	$	32,830	$	21,914	$	250

Redevelopment Expenditures: ⁽¹⁾
One Market Plaza	$	4,576	$	-	$	4,576	$	-
Other		7,609		4,846		2,763		-
Total Redevelopment Expenditures	$	12,185	$	4,846	$	7,339	$	-

	Nine Months Ended September 30, 2019
	Total		New York		San Francisco		Other
Capital Expenditures: ⁽¹⁾
Expenditures to maintain assets	$	15,170	$	8,706	$	5,532	$	932
Second generation tenant improvements		26,031		20,214		5,128		689
Second generation leasing commissions		14,890		5,543		8,790		557
First generation leasing costs and capital expenditures		4,317		-		4,317		-
Total Capital Expenditures	$	60,408	$	34,463	$	23,767	$	2,178

Redevelopment Expenditures: ⁽¹⁾
1325 Avenue of the Americas (Lobby Renovation and Elevator Modernization)	$	8,250	$	8,250	$	-	$	-
300 Mission Street (Lobby Renovation)		6,720		-		6,720		-
31 West 52nd Street (Lobby Renovation)		3,921		3,921		-		-
Other		4,444		3,645		799		-
Total Redevelopment Expenditures	$	23,335	$	15,816	$	7,519	$	-

⁽¹⁾	See page 47 for our definition of this measure.

- 46 -



		DEFINITIONS

We use and present various non-GAAP measures in this Supplemental Operating and Financial Data report. The following section contains definitions of these measures, describes our use of them and provides information regarding why we believe they are meaningful. Other real estate companies may use different methodologies for calculating these measures, and accordingly, our presentation of these measures may not be comparable to other real estate companies. These non-GAAP measures should not be considered a substitute for, and should only be considered together with and as a supplement to, financial information presented in accordance with GAAP.

Funds from Operations (“FFO”) is a supplemental measure of our performance. FFO is presented in accordance with the definition adopted by the National Association of Real Estate Investment Trusts (“Nareit”). Nareit defines FFO as net income or loss, calculated in accordance with GAAP, adjusted to exclude depreciation and amortization from real estate assets, impairment losses on certain real estate assets and gains or losses from the sale of certain real estate assets or from change in control of certain real estate assets, including our share of such adjustments of unconsolidated joint ventures. FFO is commonly used in the real estate industry to assist investors and analysts in comparing results of real estate companies because it excludes the effect of real estate depreciation and amortization and net gains on sales, which are based on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions. FFO is not intended to be a measure of cash flow or liquidity. FFO attributable to common stockholders represents the Company’s share of FFO that is attributable to common stockholders and is calculated by reducing from FFO, the noncontrolling interests’ share of FFO in consolidated joint ventures, real estate funds and Operating Partnership.

Core Funds from Operations (“Core FFO”) is an alternative measure of our operating performance, which adjusts FFO for certain other items that we believe enhance the comparability of our FFO across periods. Core FFO, when applicable, excludes the impact of certain items, including, transaction related costs, realized and unrealized gains or losses on real estate fund investments, unrealized gains or losses on interest rate swaps, severance costs and gains or losses on early extinguishment of debt, in order to reflect the Core FFO of our real estate portfolio and operations. In future periods, we may also exclude other items from Core FFO that we believe may help investors compare our results. Core FFO is not intended to be a measure of cash flow or liquidity. Core FFO attributable to common stockholders represents the Company’s share of Core FFO that is attributable to common stockholders and is calculated by reducing from Core FFO, the noncontrolling interests’ share of Core FFO in consolidated joint ventures, real estate funds and Operating Partnership.

Funds Available for Distribution (“FAD”) is a supplemental measure of our operating performance and is calculated as Core FFO adjusted for (i) capital expenditures to maintain assets, (ii) tenant improvements and leasing commissions incurred for second generation leases, (iii) straight-line rent adjustments, (iv) amortization of above and below-market leases, (v) amortization of stock-based compensation expense and (vi) amortization of deferred financing costs. FAD is commonly used in the real estate industry along with cash flow from operating activities as a measure of the ability to generate cash from operations and the ability to fund cash needs and make distributions to our stockholders. FAD provides information regarding our operating performance that would not otherwise be available and is useful to investors and analysts in assessing our operating performance. Additionally, although FAD is not intended to be a liquidity measure, as it does not make adjustments for the changes in working capital, we believe that FAD may provide investors and analysts with useful supplemental information regarding our ability to generate cash from operations and our ability to make distributions to our stockholders. Furthermore, we believe that FAD is frequently used by investors and analysts in evaluating our performance as a REIT. FAD attributable to common stockholders represents the Company’s share of FAD that is attributable to common stockholders and is calculated by reducing from FAD, the noncontrolling interests’ share of FAD in consolidated joint ventures, real estate funds and Operating Partnership.

Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (“EBITDAre”) is a supplemental measure of our operating performance. EBITDAre is presented in accordance with the definition adopted by Nareit. Nareit defines EBITDAre as GAAP net income (loss) adjusted to exclude interest expense, income taxes, depreciation and amortization expenses, net gains from sales of depreciated real estate assets and impairment losses on depreciable real estate, including our share of such adjustments of unconsolidated joint ventures. EBITDAre provides information regarding our operating performance that would not otherwise be available and may be useful to an investor in assessing our ability to incur and service debt. EBITDAre should not be considered as an indication of our financial performance or a measure of our cash flow or liquidity. We also present PGRE’s share of EBITDAre which represents our share of EBITDAre generated by our consolidated and unconsolidated joint ventures, based on our percentage ownership in the underlying assets.

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		DEFINITIONS - CONTINUED

Adjusted EBITDAre is a supplemental measure that is calculated by adjusting EBITDAre to eliminate the impact of the performance of our real estate funds, unrealized gains or losses on interest rate swaps, transaction related costs, gains or losses on early extinguishment of debt and certain other items that may vary from period to period. Adjusted EBITDAre enhances the comparability of EBITDAre across periods. In future periods, we may also exclude other items from Adjusted EBITDAre that we believe may help investors compare our results. We also present PGRE’s share of Adjusted EBITDAre, which represents our share of Adjusted EBITDAre generated by our consolidated and unconsolidated joint ventures based on our percentage ownership in the underlying assets.

Net Operating Income (“NOI”) is used to measure the operating performance of our properties. NOI consists of rental revenue (which includes property rentals, tenant reimbursements and lease termination income) and certain other property-related revenue less operating expenses (which includes property-related expenses such as cleaning, security, repairs and maintenance, utilities, property administration and real estate taxes). We also present Cash NOI which deducts from NOI, straight-line rent adjustments and the amortization of above and below-market leases, including our share of such adjustments of unconsolidated joint ventures. In addition, we present PGRE’s share of NOI and Cash NOI which represents our share of NOI and Cash NOI of consolidated and unconsolidated joint ventures, based on our percentage ownership in the underlying assets. We use NOI and Cash NOI internally as performance measures and believe they provide useful information to investors regarding our financial condition and results of operations because they reflect only those income and expense items that are incurred at property level.

Same Store NOI is used to measure the operating performance of properties in our New York and San Francisco portfolios that were owned by us in a similar manner during both the current period and prior reporting periods, and represents Same Store NOI from consolidated and unconsolidated joint ventures based on our percentage ownership in the underlying assets. Same Store NOI also excludes lease termination income, impairment of receivables arising from operating leases and certain other items that may vary from period to period. We also present Same Store Cash NOI, which excludes the effect of non-cash items such as the straight-line rent adjustments and the amortization of above and below-market leases.

PGRE’s Share of Total Debt represents our share of debt of consolidated and unconsolidated joint ventures, based on our percentage ownership in the underlying assets. We believe that PGRE’s share of total debt provides useful information to investors regarding our financial condition because it includes our share of debt from unconsolidated joint ventures and excludes the noncontrolling interests’ share of debt from consolidated joint ventures that is attributable to our partners.

Annualized Rent represents the end of period monthly base rent plus escalations in accordance with the lease terms, multiplied by 12.

Leased % represents percentage of square feet that is leased, including signed leases not yet commenced.

Same Store Leased % represents percentage of square feet that is leased, including signed leases not yet commenced, for properties that were owned by us in a similar manner during both the current period and prior reporting periods and not classified as discontinued operations.

Occupied % represents the percentage of space for which we have commenced rental revenue in accordance with GAAP.

Initial Rent represents the weighted average cash basis starting rent per square foot and does not include free rent or periodic step-ups in rent.

Prior Escalated Rent represents the weighted average cash basis rent (including reimbursements) per square foot at expiration.

Second Generation Space represents space leased that has been vacant for less than twelve months.

Capital Expenditures consist of expenditures to maintain assets, tenant improvement allowances and leasing commissions. Expenditures to Maintain Assets include capital expenditures to maintain current revenues. Second Generation Tenant Improvements and Leasing Commissions represent tenant improvements and leasing commissions incurred in leasing second generation space. First Generation Leasing Costs and Other Capital Expenditures include capital expenditures completed in the year of acquisition and the following two years that were planned at the time of acquisition, as well as tenant improvements and leasing commissions on space leased that has been vacant for more than twelve months. Development Expenditures consist of hard and soft costs related to the development of a property in getting it ready for its intended use.

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