It trades under the ticker RDI. I'm happy to welcome Andrzej Matyczynski, the Executive Vice President for Global Operations. We have about 30 minutes today, including the Q&A. If you have any questions, please submit them at the Q&A function at the bottom of your screen. Thank you. With that, Andrzej, I'll let you take over.
Thank you, Ashi. Good morning to everyone. As Ashi says, I'm Andrzej Matyczynski, and I'm the Executive Vice President of Global Ops here for Reading International. While you have a look through the disclaimers that we usually make as a public company, as Ashi said, we are quoted on the Nasdaq CM. We have two ticker symbols, RDI, RDIV, for the non-voting and voting stock. We have been a public company since the mid-1980s in one format or another. The perhaps more interesting part of our story is that we are the successor to the Reading Railroad. If you ever play the original Monopoly, then we are the Reading Railroad off of that Monopoly board. Our financial reconciliations will be using EBITDA and adjusted EBITDA in this presentation. You will be able to understand how we use those.
We'll also be using some common industry acronyms like ATP, Average Ticket Price, Food and Beverage F&B, and Food and Beverage SBP, which is Food and Beverage F&B SBP, Food and Beverage Sales Per Patron. With that, let's get into the presentation. We are basically in two businesses and in three countries. This is an important overall chart. Our business model has been pretty much the same since the mid-1980s in the real estate and in the cinema business. Prior to COVID, the cinema business has been funding the real estate acquisitions and the expansion of the real estate business and creating shareholder value through the real estate as a result of the cash flow coming from the cinema business. You can see that we are in the three countries. The U.S., we have numerous real estate assets in New York City, including two live theaters, off-Broadway live theaters.
We have numerous potential opportunities in our Philadelphia properties, which are part of the old railroad assets that we inherited as part of our Reading International name. We are the 13th largest exhibitor on the cinema side with 19 locations. The brands are extremely important: Angelika Film Center, Reading Cinemas, and Consolidated. Angelika Film Center is our art product. Reading Cinemas is our mainstream film. In Hawaii, we trade under the Consolidated Theaters name. We will get back to this in a little bit more detail later on. In Australia, we are the fourth largest exhibitor, again under the Reading Cinemas brand and recently under the Angelika Cinemas brand as well. We have two mixed-use centers. We call them entertainment theme centers, which form the backbone of our real estate assets in Queensland and in Perth.
We also have some improved standalone cinemas, and we do own our office building in Melbourne. In New Zealand, we're the third largest exhibitor. We recently just closed our Courtenay Central property, or should I say we recently sold our closed Courtenay Central, which had been closed due to seismic issues for some time. We retained the rights to put a cinema back in it once it is redeveloped. In New Zealand, we trade under the Reading Cinemas brand. There we only now have some three parcels of improved Reading Cinemas available. Our two businesses, cinema and real estate, have gone through numerous headwinds, especially since the COVID pandemic hit us. Prior to COVID, as I said, the cinemas basically supported the real estate and drove shareholder value as a result of that. We had many industry challenges since COVID.
Recovering from COVID, the disruption of the supply chain with the Screen Actors Guild and strikes, which have disrupted our ability to put in all the movies that we hoped. We now have trouble with the tariffs and the ability going forward for China to accept US films and what that will do to us going forward. We are clearly in an elevated interest rate scenario, economic scenario now, and we're hoping that that will ease off going forward. We have seen a commercial downturn in the commercial office real estate market in many of the CBDs that we deal with. We already briefly mentioned the Hollywood strikes and how that has happened. Specifically for us, we have had to deal with concurrent debt maturities, which are still out there through 2025 and 2026.
The high interest rates on key New York's cinema development properties have caused us net operating income that is not as high as it could have been. The biggest issue for us has been the lack of U.S. pandemic funding. Because we are a microcap public company, we received no help from the U.S. government, either in the form of grants or in the form of loans. Unlike our Australian subsidiaries that did actually include and make use of grants from the Australian and New Zealand government to keep the payroll ticking over for some part of the downturn while we were in the COVID shutdowns in the U.S. We avoided a majority of shutdowns because of the grants that we were getting in Australia and New Zealand.
Notwithstanding all of that, increased labor costs are something that we're going to have to deal with going forward with minimum wage rates going up consistently. We, however, have been committed to sustaining long-term stockholder value. These four functions have been there right from the start. We have the dual business strategy, which pre-COVID has been the cinema cash flow supporting real estate. Through and post-COVID, COVID is now 180 degrees. The real estate portfolio has supported our movie business in the form of having to sell some of the non-income producing assets to make sure that we had enough of our capital to keep on going through the COVID period because we had no help available from grants and/or lower interest rate loans. We are internationally diversified. We are in Australia. We are in New Zealand. We are in the US, three stable in countries.
Historically, we've been 50/50 through our revenues between Australia, New Zealand, and the US. We believe coming out of the COVID, we have a solid balance sheet. We have a commercial property portfolio, mixed-use centers. Going forward, we have what has currently been the hidden gem on our balance sheet, the historic Reading Viaduct and the Philadelphia properties, which are basically almost valued zero on our balance sheet. We will be looking at those in much more detail going forward to see what value we can get out of those over the next few years. We have an experienced management team that has been with the company for a number of years and has learned throughout all of this experience how to manage the business differently post-COVID rather than pre-COVID.
Looking at it, just taking a snapshot of the first quarter as an example, just to show you the diversification, the first quarter 2025 was not as strong as expected in the revenue perspective. Nevertheless, you can see that the mix of the businesses between property and a movie and the geographic mix is basically the 50/50 when you add it all up. I'm sorry for going back. I have to use my mouse to go forward and backwards. For some odd reason, it wants to go backwards every time I want to go forward. Our mission in cinema and real estate, we want to strategically drive the development operation of our international diversified cinema and real estate assets to create long-term stockholder value. That mission statement has not really changed in the last 20 years. We're still striving to do that.
Our 2025 priorities basically are to pay down debt and improve liquidity through asset sales and refinancing, continue building back our global cinema business, and conservatively progress certain key real estate projects. We will deal with all of these in a little bit more detail going forward. One of the things that we are proud about and the fact that management has done this in the period of COVID, if you look at this bar chart starting in June 2020, which is effectively a couple of months after our US business closed down for a number of months and our Australia business was sporadic with lack of product. Throughout that period through to May 2021, which is yesterday, when we closed the sale of our Canon Park ETC in Australia, we effectively have brought down our debt from $276 million to $173 million.
Now, there is some currency in there, but nevertheless, an impressive reduction in the absolute debt that we had in a period of time when we were struggling not only to make ends meet, but to make sure that we could invest at least some portion of our money into the future of the business. If you look at our metrics, we'll look at adjusted EBITDA and NOI just to see what's been going on. You can see from a trend perspective, if you look at 2024, you look at the first quarter, the second quarter, the third quarter, the fourth quarter, and then the first quarter of 2025, all going in the right direction despite all the impacts of the Hollywood strikes and everything else.
Likewise, from an NOI perspective, obviously not as positive because in the NOI, we take into account depreciation and amortization and the interest charges. Nevertheless, the trend has been the same. $7.5 million in a loss NOI in the first quarter 2024. Second quarter, getting smaller. Third quarter and the fourth quarter under here, leading back to the first quarter of 2025. A soft quarter and did not really continue the trend, but we are hoping it will continue going forward into 2025 based on the product and everything that we have done to manage our business. You can still see it is by far the best NOI since probably 2019.
Moving into the detail of what we have, let's look at our global real estate business, which since COVID has taken the leadership role of keeping our business going and has sustained the company through the five-year headwinds that we have experienced in COVID. Our strategy has been and is to complete the targeted asset sale to raise liquidity. We have one more property, a 24-acre Newberry Yard site in Pennsylvania that is currently listed as held for sale. We are looking forward to finally selling that asset and completing this phase of our asset monetization. We then want to complete the leasing of our Union Square, which is our key New York City real estate development project. It used to be a one-screen live theater. It was razed effectively to the ground and rebuilt as a real estate development project.
It has three of the floors leased through the Petco, and we're looking to actively complete the remaining floors of leasing. We continue to strategically evaluate our real estate portfolio to boost liquidity. Even though we may have finished with our current round of liquidity monetization of assets, we reserve the right to come back and look at it if our business mandates that we have to. We continue to execute operational marketing, leasing, all the capital investment strategies to engage our communities. Below, you see some of our major assets that we have and their own trading names on the internet. We'll deal with those in a little bit more going forward. One of the properties that we unfortunately had to get rid of and liquidate is our Wellington in the Courtenay Central building in Wellington.
We were hoping for a redevelopment, but things did not work out with the city council. As a result, we decided that we would liquidate and monetize the project, and that we did in early 2024. Sorry, early 2025. The project that I mentioned that just closed on May 21 is our Canon Park. Sold that for AUD 32 million. Prompt to use that to actually deliver some of our National Australia Bank loan in Australia and also pay down some of our Bank of America loan in the U.S. The Newberry Yard is the one remaining company asset currently held for sale, and we just dealt with that. We had to deal with some issues of our adjoining neighbor having some rights to use some of our railroad properties. We had no clear title. We've settled that with our neighbor.
We now have currently 23.9 acres that are available for sale, and that is what we're working on actively at this point in time. If you look at our RDI global real estate revenue, the chart here shows clearly that we have grown and are maintaining our global real estate revenue. The metrics that we show up above or the notes that we show up above are just points of reference. The sale prices of these assets are not included in this. These are straight revenue from third-party or intercompany rents that we have done.
As you can see, throughout that period of time from the pandemic onwards, we have built our revenue and are maintaining it even through the first quarter of 2025 and are looking forward to growing that with the New York City Union Square LOI that is out there for the four floors remaining of the Union Square. That has turned itself into an operating income or loss. You can see the trend has been positive. The notes are there just to benchmark what happened in those periods, but does in this case include those asset sales. Australia and New Zealand real estate portfolio, we have five multi-tenanted properties. We have 58 third-party tenants and four land parcels that are improved with Reading Cinemas.
The multi-tenanted properties include the New Market site and indeed also the Belmont site, but does not include the Canon Park, which we, as I say, sold just yesterday. I'm sorry, I'm going around here and not managing this mouse as accurately as I should be. We're moving on to what turned out to be a record first quarter 2025 in a number of areas. You can see from segment revenue and segment operating income, most of our businesses and most of our geographies had one record or another. I won't read out what is obviously here, but it shows that even throughout all of the issues that we faced in COVID, we are recovering, we are managing the business, and we are making records out of them. This is what we have in our portfolio in Australia and New Zealand.
We have, I'm sorry, this is very annoying, but the buttons will not work. Australia and New Zealand, we have 98% third-party tenant occupancy rate and only two vacancies on the third party. This has been a trend that we've kept for some time. We've upgraded, our tenants have upgraded properties both in New Market Village and Belmont. You can see the breadth of tenancies that we have. Anytime Fitness, we have an ALH hotel, which is basically a pub with some poker machines in it. We have a new restaurant, a Japanese offering here. Most of our tenants have taken on some of their responsibility for upgrading their properties. In summary, in New Market, we have 48 third parties. You can see the Walt is six over six years, and we don't include our own cinema in there because, of course, we're there permanently.
Our tenant mix, you can see the tenant mix in New Market is with ourselves as the anchor tenant and the grocery Coles store as our second biggest tenant and ALH mix, but a varied mix of tenancies there. In Belmont, a smaller center, six third parties, but it follows the same type of mix. We have ourselves in there, and the tenancies are eclectic from that perspective. In addition, in Australia and New Zealand, we have in Warnambool a ground lease, which has some tenants and our own cinema in there. We do own 8,000 sq ft of our office building in Melbourne. Turning to the U.S. portfolio, as we already mentioned, we have the Union Square, which is just over 70,000 sq ft of net leasable space, of which three floors are already let.
We're looking at the remaining four floors from that perspective with an LOI out there over the next few quarters. We will see how that progresses. We also have the Cinemas 1, 2, and 3, which is 21,000 sq ft of cinema building with some additional potential going up to 80,000 and plus 16,000 of air rights. We own 75% interest in the SP that actually holds this particular asset. We are looking at talking with our partner to see how we can acquire the remaining 25%. We also have two remaining off-Broadway theaters, live theaters, the Manhattan Lane and the Orpheum, 9,000 sq ft and 5,000 sq ft, an integral part of our real estate business. As you can see, these four assets make up the majority and are all in New York City and in Manhattan. Key valuation for our properties there.
We have the Philadelphia assets, the Reading Viaduct, which is at this point unexploited, but we will be looking at that as well as the 24 taxable parcels in Philadelphia as a potential development going forward. Going back to our theaters, we have been lucky enough to have these off-Broadway theaters, Manhattan Lane and the Orpheum. Manhattan is leased out currently to Amazon Audible, and they have licensed that through to April 2026 with a one-year option where they tape and host their theater productions. In the Orpheum, we had been lucky enough to hold Stomp there for 30 odd years. Stomp decided to go walkabout or on across the country. We have now been looking and are finding ways of replacing Stomp as the product in Orpheum. In Manhattan Lane, you can see a little bit extra here.
We've got Hugh Jackman in there looking for Antonia Friedman, and they have been with Manhattan Lane and Audible for some time now. In Orpheum, as I said, the Stomp has moved on, but we have plenty of opportunity with the John F. Larson project and some other ones that you see mentioned here that will have already filled the prospect there and will continue to do so once we find more products going forward. Union Square, Petco has clearly opened their flagship in mid-2023, leasing the remaining 43,000 sq ft. I've mentioned that a couple of times. We've got key leasing metrics for Midtown Submarket. The Midtown South Manhattan office submarket indicates an improvement, and we're hoping that the LOI that we have out there will hopefully come to fruition going forward. Cinemas 1, 2, and 3 already discussed. It's a three-screen cinema, but has high potential from a redevelopment perspective.
We have a 75% interest in the SPE, and we're looking at acquiring our minority partner's interest. The go-forward is Reading Viaduct and the ancillary properties associated with that. Newberry is the last one that we have that we're for sale at this current point, and we'll be looking to sell that over the next few quarters. Turning to our cinema business, it's been somewhat resilient despite our closures over COVID. We have 56 movie theaters, 454 screens. You can see the split between Australia, New Zealand, and the U.S. The issue for us here is that Angelika in the U.S. is a niche arts cinema brand and is the leader in that market. We have Hawaii. We are the largest Hawaii exhibitor there with Regal coming up second. We trade there under the Consolidated Theaters name, and that has traded there in over 100 years.
In New Zealand, we now have eight locations. Our operations began in early 2000, and we're looking to reopen the Courtenay Central Cinema once the project has been redeveloped by the new owner. In Australia, we're the fourth largest. We just opened our first Angelika, true Angelika in there. As of today, we have one new cinema in the pipeline that we are looking to open up probably in late 2026, early 2027. Again, we moved into Australia in the mid-1990s. You can see the comments here from Michael O'Leary, CEO of Cinema United, a positive outlook on the industry. Bob Iger similarly has mentioned the same, both from a Disney perspective and a Marvel perspective. All of these are reflected in the potential products that will be coming out going forward.
Tom Rothman of Sony Pictures, again, has thrown his weight behind the cinema exhibition as the right way to go from that perspective. We are rebounding, and despite being materially impacted by the Hollywood strikes, you can see April 2025 year-to-date over the last 2019 and comparing it to 2024 and 2025. We have not recovered fully in North America or in any of our products, sorry, our geographies, but we are doing better on a year-to-date basis than 2024. Certainly, April and May and the project products going forward lend itself, as you can see here. Minecraft was the one in April. You can see the yellow highlighted ones. All of these bode well for the industry through 2025 and into 2026.
We also have Mike Hopkins, head of MGM Amazon, that is also going to be a great source of product for us here with the accountant coming out. All of these projects will add to what Sony and the other distributors are lining up for 2025, 2026. Our cinema portfolio, we're international. We have the competitive advantage because we are international, and we have specialty and commercial programming through the Angelika specialty name. All of these lend to our strengths, and the Angelika Film Center will continue specialty films and will continue to support the box office of the Angelika brand. Domestically in Australia and New Zealand, local product has kept things alive as well, especially during the COVID side of the last few years, and will continue to enhance the product available from the other worldwide distributors.
You can see the U.S. cinema industry grows box office and its progressive growth throughout all of these periods throughout 2020 and 2024. A slight dip, but nevertheless very positive. Australia follows a similar route as does New Zealand. We are very hopeful that we can fully recover, and our short-term future priorities are clearly to make sure that content and audience expands through the Angelika and the repertory cinema. Key content on our food and beverage expansion to provide full liquor service in as many locations as possible and give a collected food service. Ancillary revenue going through online ticketing and food and beverage menus, and also going into a very important premium screen, putting as many premium screens and amenity focus there because that is what our customers require.
We want to continue to delight our customers throughout all of these products, and we are going to expand that through our membership criteria, either through our free memberships or our pay rewards. You can see some of the numbers that we have already achieved. Our food and beverage, clearly, this is a graph that anybody would like to see. In all of the geographies, we have reached spectacular results on the spend per head, and we will only try and enhance that going forward. That strong metric will be supported by movie-themed menus. We are growing demand for movie merchandising, so we will tailor that merchandising to the particular product. We go back to what we are going to be focusing on to elevate the guest experience. Luxury recliner seating, which we have in a large number of our screens already.
Premium large format screens, again, which we have in a large number, and elevated food and beverage service so that all three of those will grow our cinema business. On top of that, we have two locations in Australia and New Zealand where we will spend our scarce CapEx to upgrade. We have one new cinema, as we mentioned, in Noosa in Queensland that will open in early 2027. In the U.S. as well, two theaters that we will convert to recliner and add Titan Screen going forward. In summary, why should you invest in RDI? We're extremely well positioned to take advantage of the anticipated box office rebound. Without a doubt, we're there. We've got the management team. We've got all of the cinemas in place. We have culled the cinemas that were not making the right financial return. We're ready.
We're the dominant brand in the U.S. specialty art market through the Angelika Film Center. We have that niche, and we have the Consolidated brand in Hawaii. We have a strong real estate portfolio carried on our books at the lower of cost and the historic cost and fair market value. There is opportunity there on our balance sheet. We've monetized select real estate assets, and we've paid down and done an excellent job with that $100 million reduction on debt. We're still diversified over three stable economies with about 50% of our total revenues generated by Australia and New Zealand. With that, and hopefully not overtaking time too much, thank you all for listening to this presentation, and we'll see you all at the movies as long as it's a Reading, Angelika, or Consolidated movie.
It is certainly an exciting market and an exciting time for your company. Thank you so much, Andrzej. With that, we are at time. I would like to thank you very much for sharing your story with us. I would also like to thank everybody here listening and spending time with us today. Thank you.
Thanks, Ashi.