Business Wire | Jul 29, 2020 04:15PM EDT

Paramount Announces Second Quarter 2020 Results

Jul. 29, 2020

NEW YORK--(BUSINESS WIRE)--Jul. 29, 2020--Paramount Group, Inc. (NYSE: PGRE) ("Paramount" or the "Company") filed its Quarterly Report on Form 10-Q for the quarter ended June 30, 2020 today and reported results for the second quarter ended June 30, 2020.

Second Quarter Highlights:

Results of Operations:

* Reported net loss attributable to common stockholders of $6.3 million, or $0.03 per diluted share, for the quarter ended June 30, 2020, compared to net income attributable to common stockholders of $2.5 million, or $0.01 per diluted share, for the quarter ended June 30, 2019. * Reported Core Funds from Operations ("Core FFO") attributable to common stockholders of $50.1 million, or $0.23 per diluted share, for the quarter ended June 30, 2020, compared to $53.2 million, or $0.23 per diluted share, for the quarter ended June 30, 2019. * Net loss attributable to common stockholders and Core FFO attributable to common stockholders for the quarter ended June 30, 2020, include (i) $7.0 million of non-cash write-offs, primarily for straight-line rent receivables, and (ii) $1.8 million of reserves for uncollectible accounts receivable. These amounts reduced net income attributable to common stockholders and Core FFO attributable to common stockholders for the quarter ended June 30, 2020 by an aggregate of $8.8 million, or $0.04 per diluted share. * Reported a 4.1% decrease in Same Store Cash Net Operating Income ("NOI") and a 0.9% increase in Same Store NOI in the quarter ended June 30, 2020, compared to the same period in the prior year. * Leased 300,570 square feet, of which the Company's share was 169,898 square feet that was leased at a weighted average initial rent of $93.47 per square foot. Of the square footage leased, 159,548 square feet represented second generation space, for which the Company achieved a positive mark-to-market of 24.2% on a cash basis and 19.2% on a GAAP basis. * Reported portfolio-wide rent collections of 96.4% in the second quarter, including 97.8% from office tenants and 57.6% from all other tenants, including retail.

Transactions and Capital Markets Activity:

* Realized net proceeds of $112.0 million from the completion of the previously announced sale of a 10.0% interest in 1633 Broadway, a 2.5 million square foot trophy office building located in New York City (based on a property valuation of $2.4 billion, or $960 per square foot). * Ended the quarter with over $1.35 billion in liquidity, comprised of over $550.0 million of cash and restricted cash and $800.0 million of borrowing capacity under its revolving credit facility. * Declared a second quarter cash dividend of $0.10 per common share on June 15, 2020, which was paid on July 15, 2020.

Financial Results

Quarter Ended June 30, 2020

Net loss attributable to common stockholders was $6.3 million, or $0.03 per diluted share, for the quarter ended June 30, 2020, compared to net income attributable to common stockholders of $2.5 million, or $0.01 per diluted share, for the quarter ended June 30, 2019. Net loss attributable to common stockholders for the quarter ended June 30, 2020 includes (i) $7.0 million, or $0.03 per diluted share, of non-cash write-offs, primarily for straight-line rent receivables, and (ii) $1.8 million, or $0.01 per diluted share, of reserves for uncollectible accounts receivable.

Funds from Operations ("FFO") attributable to common stockholders was $50.7 million, or $0.23 per diluted share, for the quarter ended June 30, 2020, compared to $54.2 million, or $0.23 per diluted share, for the quarter ended June 30, 2019. FFO attributable to common stockholders for the quarter ended June 30, 2020 includes (i) $7.0 million, or $0.03 per diluted share, of non-cash write-offs, primarily for straight-line rent receivables, and (ii) $1.8 million, or $0.01 per diluted share, of reserves for uncollectible accounts receivable. In addition, FFO attributable to common stockholders for the quarters ended June 30, 2020 and 2019 includes the impact of non-core items, which are listed in the table on page 9. The aggregate of the non-core items, net of amounts attributable to noncontrolling interests, increased FFO attributable to common stockholders for the quarters ended June 30, 2020 and 2019 by $0.6 million and $1.0 million, respectively, or $0.00 per diluted share.

Core FFO attributable to common stockholders, which excludes the impact of the non-core items listed on page 9, was $50.1 million, or $0.23 per diluted share, for the quarter ended June 30, 2020, compared to $53.2 million, or $0.23 per diluted share, for the quarter ended June 30, 2019.

Six Months Ended June 30, 2020

Net loss attributable to common stockholders was $2.9 million, or $0.01 per diluted share, for the six months ended June 30, 2020, compared to net income attributable to common stockholders of $6.2 million, or $0.03 per diluted share, for the six months ended June 30, 2019. Net loss attributable to common stockholders for the six months ended June 30, 2020 includes (i) $7.0 million, or $0.03 per diluted share, of non-cash write-offs, primarily for straight-line rent receivables, and (ii) $1.8 million, or $0.01 per diluted share, of reserves for uncollectible accounts receivable.

FFO attributable to common stockholders was $112.2 million, or $0.50 per diluted share, for the six months ended June 30, 2020, compared to $109.4 million, or $0.47 per diluted share, for the six months ended June 30, 2019. FFO attributable to common stockholders for the six months ended June 30, 2020 includes (i) $7.0 million, or $0.03 per diluted share, of non-cash write-offs, primarily for straight-line rent receivables, and (ii) $1.8 million, or $0.01 per diluted share, of reserves for uncollectible accounts receivable. In addition, FFO attributable to common stockholders for the six months ended June 30, 2020 and 2019 includes the impact of non-core items, which are listed in the table on page 9. The aggregate of the non-core items, net of amounts attributable to noncontrolling interests, increased FFO attributable to common stockholders for the six months ended June 30, 2020 by $0.6 million, or $0.00 per diluted share, and decreased FFO attributable to common stockholders for the six months ended June 30, 2019 by $1.0 million, or $0.00 per diluted share.

Core FFO attributable to common stockholders, which excludes the impact of the non-core items listed on page 9, was $111.6 million, or $0.50 per diluted share, for the six months ended June 30, 2020, compared to $110.4 million, or $0.47 per diluted share, for the six months ended June 30, 2019.

Portfolio Operations

Quarter Ended June 30, 2020

Same Store Cash NOI decreased by $3.5 million, or 4.1%, to $83.8 million for the quarter ended June 30, 2020 from $87.3 million for the quarter ended June 30, 2019. Same Store NOI increased by $0.9 million, or 0.9%, to $99.5 million for the quarter ended June 30, 2020 from $98.6 million for the quarter ended June 30, 2019.

During the quarter ended June 30, 2020, the Company leased 300,570 square feet, of which the Company's share was 169,898 square feet that was leased at a weighted average initial rent of $93.47 per square foot. This leasing activity, offset by lease expirations in the quarter decreased same store leased occupancy (properties owned by us during both reporting periods in a similar manner and not classified as discontinued operations) by 20 basis points to 95.7% at June 30, 2020 from 95.9% at March 31, 2020. Of the 300,570 square feet leased in the second quarter, 159,548 square feet represented second generation space (space that had been vacant for less than twelve months) for which the Company achieved a positive mark-to-market of 24.2% on a cash basis and 19.2% on a GAAP basis. The weighted average lease term for leases signed during the second quarter was 4.2 years and weighted average tenant improvements and leasing commissions on these leases were $8.93 per square foot per annum, or 9.6% of initial rent.

Six Months Ended June 30, 2020

Same Store Cash NOI increased by $0.2 million, or 0.1%, to $174.6 million for the six months ended June 30, 2020 from $174.4 million for the six months ended June 30, 2019. Same Store NOI increased by $2.3 million, or 1.2%, to $200.0 million for the six months ended June 30, 2020 from $197.7 million for the six months ended June 30, 2019.

During the six months ended June 30, 2020, the Company leased 507,354 square feet, of which the Company's share was 295,966 square feet that was leased at a weighted average initial rent of $92.67 per square foot. This leasing activity, offset by lease expirations in the six months decreased same store leased occupancy (properties owned by us during both reporting periods in a similar manner and not classified as discontinued operations), by 20 basis points to 95.7% at June 30, 2020 from 95.9% at December 31, 2019. Of the 507,354 square feet leased in the six months, 263,856 square feet represented second generation space (space that had been vacant for less than twelve months) for which the Company achieved a positive mark-to-market of 26.9% on a cash basis and 26.0% on a GAAP basis. The weighted average lease term for leases signed during the six months was 4.5 years and weighted average tenant improvements and leasing commissions on these leases were $8.04 per square foot per annum, or 8.7% of initial rent.

Guidance

The Company had previously provided its 2020 guidance on February 12, 2020, prior to the COVID-19 pandemic, which has materially impacted the U.S. and global economy. The Company withdrew its previously issued 2020 guidance on April 29, 2020 and is not providing an updated outlook at this time given the continued economic uncertainty and rapidly-evolving circumstances related to the COVID-19 pandemic. The Company will discuss the second quarter results and provide commentary on its business performance during its second quarter conference call.

Forward-Looking Statements

This press release 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 the Company's control and could materially affect actual results, performance or achievements. These factors include, without limitation, the negative impact of the 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 the Company's filings with the U.S. Securities and Exchange Commission. The Company does not undertake a duty to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Non-GAAP Financial Measures

FFO is a supplemental measure of our performance. We present FFO 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. In addition, we present Core FFO as 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.

FFO and Core FFO are presented as supplemental financial measures and do not fully represent our operating performance. Other REITs may use different methodologies for calculating FFO and Core FFO or use other definitions of FFO and Core FFO and, accordingly, our presentation of these measures may not be comparable to other real estate companies. Neither FFO nor Core FFO is intended to be a measure of cash flow or liquidity. Please refer to our financial statements, prepared in accordance with GAAP, for purposes of evaluating our financial condition, results of operations and cash flows.

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.

A reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure can be found in this press release and in our Supplemental Information for the quarter ended June 30, 2020, which is available on our website.

Investor Conference Call and Webcast

The Company will host a conference call and audio webcast on Thursday, July 30, 2020 at 10:00 a.m. Eastern Time (ET), during which management will discuss the second quarter results and provide commentary on business performance. A question and answer session with analysts and investors will follow the prepared remarks.

The conference call can be accessed by dialing 877-407-0789 (domestic) or 201-689-8562 (international). An audio replay of the conference call will be available from 1:00 p.m. ET on July 30, 2020 through August 6, 2020 and can be accessed by dialing 844-512-2921 (domestic) or 412-317-6671 (international) and entering the passcode 13706621.

A live audio webcast of the conference call will be available through the "Investors" section of the Company's website, www.paramount-group.com. A replay of the webcast will be archived on the Company's website.

About Paramount Group, Inc.

Headquartered in New York City, Paramount Group, Inc. 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 City 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.

Paramount Group, Inc.Consolidated Balance Sheets(Unaudited and in thousands)

Assets: June 30, December 31, 2020 2019

Real estate, at cost

Land $ 1,966,237 $ 1,966,237

Buildings and improvements 5,957,831 5,923,648

7,924,068 7,889,885

Accumulated depreciation and amortization (873,732 ) (790,216 )

Real estate, net 7,050,336 7,099,669

Cash and cash equivalents 522,502 306,215

Restricted cash 33,957 25,272

Investments in unconsolidated joint 421,183 449,180 ventures

Investments in unconsolidated real estate 13,041 10,317 funds

Accounts and other receivables 18,738 19,231

Due from affiliates - 36,918

Deferred rent receivable 321,480 301,588

Deferred charges, net 123,446 126,367

Intangible assets, net 179,244 203,169

Assets related to discontinued operations 103,915 104,836

Other assets 45,340 51,373

Total assets $ 8,833,182 $ 8,734,135



Liabilities:

Notes and mortgages payable, net $ 3,790,430 $ 3,783,851

Revolving credit facility 200,000 36,918

Accounts payable and accrued expenses 105,924 117,356

Dividends and distributions payable 24,292 25,255

Intangible liabilities, net 65,769 73,789

Other liabilities 59,091 66,004

Total liabilities 4,245,506 4,103,173

Equity:

Paramount Group, Inc. equity 3,723,510 3,785,730

Noncontrolling interests in:

Consolidated joint ventures 436,183 360,778

Consolidated real estate fund 79,243 72,396

Operating Partnership 348,740 412,058

Total equity 4,587,676 4,630,962

Total liabilities and equity $ 8,833,182 $ 8,734,135

Paramount Group, Inc.Consolidated Statements of Income(Unaudited and in thousands, except share and per share amounts)

For the Three Months Ended For the Six Months Ended June 30, June 30,

2020 2019 2020 2019

Revenues:

Rental revenue $ 163,989 $ 174,044 $ 339,414 $ 349,385

Fee and other 7,129 7,299 15,690 16,347 income

Total revenues 171,118 181,343 355,104 365,732

Expenses:

Operating 64,313 64,736 131,327 130,197

Depreciationand 58,716 60,277 117,143 120,989 amortization

General and 17,901 17,695 30,150 35,138 administrative

Transaction 258 182 461 918 related costs

Total expenses 141,188 142,890 279,081 287,242

Other income (expense):

Loss fromunconsolidated (5,955 ) (456 ) (10,176 ) (1,483 )joint ventures

Income fromunconsolidated 89 19 141 65 real estatefunds

Interest andother income, 2,252 2,583 1,256 6,483 net

Interest and (36,009 ) (37,213 ) (72,628 ) (74,137 )debt expense

(Loss) incomefromcontinuing (9,693 ) 3,386 (5,384 ) 9,418 operations,before incometaxes

Income tax (138 ) (268 ) (742 ) (1,406 )expense

(Loss) incomefromcontinuing (9,831 ) 3,118 (6,126 ) 8,012 operations,net

Income fromdiscontinued 2,147 2,056 3,668 4,162 operations,net

Net (loss) (7,684 ) 5,174 (2,458 ) 12,174 income

Less net(income) lossattributable tononcontrollinginterests in:

Consolidated (405 ) (2,408 ) (1,919 ) (5,202 )joint ventures

Consolidatedreal estate 1,235 (53 ) 1,212 (147 )fund

Operating 584 (258 ) 243 (661 )Partnership

Net (loss)incomeattributable $ (6,270 ) $ 2,455 $ (2,922 ) $ 6,164 to commonstockholders



(Loss) incomeper Common Share - Basic:

(Loss) incomefromcontinuing $ (0.04 ) $ 0.00 $ (0.03 ) $ 0.01 operations,net

Income fromdiscontinued 0.01 0.01 0.02 0.02 operations,net

Net (loss)income per $ (0.03 ) $ 0.01 $ (0.01 ) $ 0.03 common share

Weightedaverage common 221,573,199 234,329,904 224,671,206 233,877,117 sharesoutstanding



(Loss) incomeper Common Share -Diluted:

(Loss) incomefromcontinuing $ (0.04 ) $ 0.00 $ (0.03 ) $ 0.01 operations,net

Income fromdiscontinued 0.01 0.01 0.02 0.02 operations,net

Net (loss)income per $ (0.03 ) $ 0.01 $ (0.01 ) $ 0.03 common share

Weightedaverage common 221,573,199 234,355,864 224,671,206 233,908,236 sharesoutstanding

Paramount Group, Inc.Reconciliation of Net (Loss) Income to FFO and Core FFO(Unaudited and in thousands, except share and per share amounts)

For the Three Months Ended For the Six Months Ended

June 30, June 30,

2020 2019 2020 2019

Reconciliationof Net (Loss) Income to FFOand Core FFO:

Net (loss) $ (7,684 ) $ 5,174 $ (2,458 ) $ 12,174 income

Real estatedepreciationandamortization(including our 70,546 63,721 141,486 127,409 share ofunconsolidatedjointventures)

Adjustmentsrelated to - 2,348 690 4,725 discontinuedoperations

FFO 62,862 71,243 139,718 144,308

Less FFOattributableto noncontrollinginterests in:

Consolidated (8,711 ) (11,277 ) (17,680 ) (23,025 )joint ventures

Consolidatedreal estate 1,235 (53 ) 1,212 (147 )fund

FFOattributableto Paramount 55,386 59,913 123,250 121,136 GroupOperatingPartnership

Less FFOattributabletononcontrolling (4,723 ) (5,705 ) (11,001 ) (11,703 )interests inOperatingPartnership

FFOattributable $ 50,663 $ 54,208 $ 112,249 $ 109,433 to commonstockholders

Per diluted $ 0.23 $ 0.23 $ 0.50 $ 0.47 share



FFO $ 62,862 $ 71,243 $ 139,718 $ 144,308

Non-core items:

Our share ofdistributionsfrom 712 Fifth (920 ) (1,331 ) (1,308 ) (61 )Avenue inexcess ofearnings

Other, net 324 260 627 1,083

Core FFO 62,266 70,172 139,037 145,330

Less Core FFOattributableto noncontrollinginterests in:

Consolidated (8,711 ) (11,277 ) (17,680 ) (23,025 )joint ventures

Consolidatedreal estate 1,235 (53 ) 1,212 (147 )fund

Core FFOattributableto Paramount 54,790 58,842 122,569 122,158 GroupOperatingPartnership

Less Core FFOattributabletononcontrolling (4,672 ) (5,603 ) (10,942 ) (11,806 )interests inOperatingPartnership

Core FFOattributable $ 50,118 $ 53,239 $ 111,627 $ 110,352 to commonstockholders

Per diluted $ 0.23 $ 0.23 $ 0.50 $ 0.47 share



Reconciliationof weighted average sharesoutstanding:

Weightedaverage shares 221,573,199 234,329,904 224,671,206 233,877,117 outstanding

Effect ofdilutive 4,225 25,960 20,164 31,119 securities

Denominatorfor FFO and 221,577,424 234,355,864 224,691,370 233,908,236Core FFO perdiluted share

Paramount Group, Inc.Reconciliation of Net (Loss) Income to Same Store NOI and Same Store Cash NOI(Unaudited and in thousands)



For the Three Months For the Six Months Ended June 30, Ended June 30,

2020 2019 2020 2019

Reconciliation of Net(Loss) Income to Same Store NOI and Same StoreCash NOI:

Net (loss) income $ (7,684 ) $ 5,174 $ (2,458 ) $ 12,174

Add (subtract)adjustments to arrive at NOI and Cash NOI:

Depreciation and 58,716 60,277 117,143 120,989 amortization

General and 17,901 17,695 30,150 35,138 administrative

Interest and debt 36,009 37,213 72,628 74,137 expense

Income tax expense 138 268 742 1,406

NOI from unconsolidated 10,376 4,185 23,768 9,596 joint ventures

Loss from unconsolidated 5,955 456 10,176 1,483 joint ventures

Fee income (6,209 ) (4,213 ) (12,539 ) (10,212 )

Interest and other (2,252 ) (2,583 ) (1,256 ) (6,483 )income, net

Adjustments related to - 2,348 690 4,725 discontinued operations

Other, net 169 163 320 853

NOI 113,119 120,983 239,364 243,806

Less NOI attributable tononcontrolling interests in:

Consolidated joint (15,733 ) (17,839 ) (31,424 ) (35,748 )ventures

Consolidated real estate 1,437 (6 ) 1,440 23 fund

PGRE's share of NOI 98,823 103,138 209,380 208,081

Acquisitions (8,425 ) - (17,717 ) -

Dispositions /Discontinued Operations^ (2,147 ) (5,339 ) (4,358 ) (9,822 )(1)

Non-cash write-offs(primarily straight-line 7,685 - 7,685 - rent receivables) ^(2)

Reserves foruncollectible accounts 1,940 91 1,940 276 receivable ^(2)

Lease termination income 1,598 715 3,100 (812 )and other, net

PGRE's share of Same $ 99,474 $ 98,605 $ 200,030 $ 197,723 Store NOI



NOI $ 113,119 $ 120,983 $ 239,364 $ 243,806

Less:

Straight-line rentadjustments (includingour share of (10,037 ) (10,937 ) (21,841 ) (22,806 )unconsolidated jointventures)

Amortization of aboveand below-market leases,net (including our share (1,701 ) (2,745 ) (4,533 ) (5,985 )of unconsolidated jointventures)

Adjustments related to 114 100 233 211 discontinued operations

Cash NOI 101,495 107,401 213,223 215,226

Less Cash NOIattributable to noncontrolling interestsin:

Consolidated joint (13,716 ) (15,583 ) (26,918 ) (30,368 )ventures

Consolidated real estate 1,437 (6 ) 1,440 23 fund

PGRE's share of Cash NOI 89,216 91,812 187,745 184,881

Acquisitions (6,754 ) - (13,560 ) -

Dispositions /Discontinued Operations^ (2,261 ) (5,310 ) (4,591 ) (9,904 )(1)

Reserves foruncollectible accounts 1,940 91 1,940 276 receivable ^(2)

Lease termination income 1,626 737 3,047 (857 )and other, net

PGRE's share of Same $ 83,767 $ 87,330 $ 174,581 $ 174,396 Store Cash NOI

Primarily represents NOI and Cash NOI from discontinued operations (1899(1) Pennsylvania Avenue in 2020 and 1899 Pennsylvania Avenue and Liberty Place in 2019).

Represents impairments of receivables arising from operating leases that have been consistently excluded from our same store results in prior(2) 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".

View source version on businesswire.com: https://www.businesswire.com/news/home/20200729005995/en/

CONTACT: Wilbur Paes Executive Vice President, Chief Financial Officer 212-237-3122 ir@paramount-group.com Robert Simone Director, Business Development & Investor Relations 212-237-3138 ir@paramount-group.com Media:

CONTACT: 212-492-2285 pr@paramount-group.com