NYC REIT Comments on Institutional Shareholder Services Report

New York City REIT, Inc. (NYSE: NYC) (“NYC” or the “Company”) today issued the following statement in response to the report issued by Institutional Shareholder Services (“ISS”) relating to the director election at the Company’s Annual Meeting on May 31, 2022.

Michael Weil, Chairman and CEO of NYC, said, “There is no question that Elizabeth Tuppeny is the superior candidate and the right choice for NYC shareholders in the upcoming director election. She has been an outstanding NYC director for several years and has extensive commercial real estate experience, significant REIT board service, and a strong track record of delivering exceptional returns to our shareholders. It is very disappointing that ISS failed to recognize these many outstanding qualities and instead has chosen to back an inexperienced director candidate for election to the Board who was handpicked by an activist hedge fund.”

As the NYC Annual Meeting approaches, it is critical that NYC shareholders consider the following in making their decision:

• Ms. Tuppeny’s Outstanding Real Estate Track Record: Ms. Tuppeny has been a driving force in helping NYC generate strong returns for shareholders by utilizing her nearly three decades of experience as an outstanding board director in the real estate industry. She currently serves as the Lead Independent Director of Franklin BSP Realty Trust, Inc. and as an independent director of Healthcare Trust, Inc. (each of which she joined over nine years ago), and has previously served as an independent director of American Realty Capital Trust IV, Inc. She also serves as a member of the Board of Directors and Executive Committee of the Philadelphia Industrial Development Council. At each stop, she has performed at the highest level, and helped maximize return on investment and generate highly attractive returns for investors.

• Comrit’s Nominee’s Lack of Experience: Comrit’s director nominee has minimal experience working in the U.S. commercial real estate market, as her real estate experience is largely limited to helping to manage a small portfolio of student housing properties in Montreal owned by her family. Additionally, she has just one year of experience as a board director and has not chaired any committees. Electing her to replace a director with the track record and qualifications of Ms. Tuppeny would disrupt NYC’s significant momentum.

• NYC’s Strong Value Creation: NYC – with Ms. Tuppeny serving as Lead Independent Director of the Board – has been one of the top-performing REITs, generating a total return of 70%¹ from January 1, 2021 through April 13, 2022, outperforming the S&P 500 by 47% and the Company’s direct competitor set, which comprises other New York City-focused REITs², by 48%. Furthermore, ISS noted our strong performance.

• NYC’s Consistently High Dividend Payouts: NYC has paid an attractive annual dividend of $0.40 per share (ten cents per share on a quarterly basis), even during the harsh times of the Covid-19 pandemic. As NYC’s lead independent director, Ms. Tuppeny has been instrumental in maintaining the dividend, which has been an important element of the value that NYC has created. The dividend could be at risk if Sharon Stern is elected to the Board.

NYC continues to urge shareholders to not be fooled by Comrit and only vote to re-elect Elizabeth Tuppeny to the Company’s Board of Directors by voting ‘FOR’ on the GOLD card to re-elect Elizabeth Tuppeny so we can continue to build on our considerable momentum. A vote for Sharon Stern, who does not have the experience to serve on NYC’s Board, could jeopardize the momentum of the Company and put the value of your investment at risk.