Veris Residential, Inc. Reports Fourth Quarter and Full Year 2025 Results

JERSEY CITY, N.J., Feb. 23, 2026 /PRNewswire/ -- Veris Residential, Inc. (NYSE: VRE) (the "Company"), a forward-thinking, Northeast-focused, Class A multifamily REIT, today reported results for the fourth quarter and full year 2025.

Three Months Ended December 31,

Twelve Months Ended December 31,

2025

2024

2025

2024

Net Income (loss) per Diluted Share

$0.00

$(0.13)

$0.80

$(0.25)

Core FFO per Diluted Share

$0.19

$0.11

$0.72

$0.60

Core AFFO per Diluted Share

$0.19

$0.13

$0.74

$0.71

Dividend per Diluted Share

$0.08

$0.32

$0.26

FOURTH QUARTER AND FULL YEAR 2025 HIGHLIGHTS

SAME STORE PORTFOLIO PERFORMANCE

December 31,

2025

September 30,

2025

Change

Same Store Units

6,581

— %

Same Store Occupancy

94.4 %

94.7 %

(0.3) %

Same Store Blended Rental Growth Rate (Quarter)

2.5 %

3.9 %

(1.4) %

Average Revenue per Home

$4,252

$4,255

(0.1) %

($ in 000s)

Three Months Ended December 31,

Twelve Months Ended December 31,

2025

2024

2025

2024

Total Property Revenue

$69,823

$67,638

3.2 %

$273,275

$266,726

2.5 %

Controllable Expenses

10,843

11,843

(8.4) %

45,062

45,429

(0.8) %

Non-Controllable Expenses

10,740

10,257

4.7 %

43,168

41,117

5.0 %

Total Property Expenses

21,583

22,100

(2.3) %

88,230

86,546

1.9 %

Same Store NOI

$48,240

$45,538

5.9 %

$185,045

$180,180

2.7 %

2025 TRANSACTION ACTIVITY

In 2025, the Company completed $542 million of non-strategic asset sales. During the fourth quarter, the Company sold its last two land parcels in Jersey City, New Jersey, for $75 million, reducing its land bank value to approximately $35 million.

Name ($ in 000s)

Date

Location

Gross Proceeds

65 Livingston

1/24/2025

Roseland, NJ

$7,300

Wall Land

4/3/2025

Wall Township, NJ

31,000

PI - North Building (two parcels) and Metropolitan at 40 Park

4/21/2025

West New York, NJ, and

Morristown, NJ

7,100

1 Water

4/29/2025

White Plains, NY

15,500

Signature Place

7/9/2025

Morris Plains, NJ

85,000

145 Front Street

7/22/2025

Worcester, MA

122,200

The James

8/14/2025

Park Ridge, NJ

117,000

PI South - Building 2

8/28/2025

Weehawken, NJ

19,000

Quarry Place at Tuckahoe

9/25/2025

Eastchester, NY

63,000

Harborside 8 and 9

12/8/2025

Jersey City, NJ

75,000

Total Assets Sold in 2025

$542,100

In the second quarter of 2025, the Company purchased its partner's interest in its largest unconsolidated joint venture, the Jersey City Urby, for $38.5 million, assuming management of the property, which was rebranded to Sable. The consolidation resulted in approximately $1 million of annualized synergies.

FINANCE AND LIQUIDITY

As of December 31, 2025, the Company had liquidity of $280 million, a weighted average effective interest rate of 4.88% and a weighted average maturity of 2.2 years. All of the Company's debt was either hedged or fixed at year-end 2025.

Balance Sheet Metric ($ in 000s)

December 31, 2025

September 30, 2025

Weighted Average Interest Rate

4.88 %

4.76 %

Weighted Average Years to Maturity

2.2

2.6

TTM Interest Coverage Ratio

1.9x

1.7x

Net Debt

$1,332,798

$1,407,717

TTM Adjusted EBITDA (Normalized)

$148,103

$141,151

Net Debt-to-EBITDA (Normalized)

9.0x

10.0x

During the fourth quarter of 2025, the Company exercised a one-year extension option relating to the unconsolidated joint venture's mortgage on The Capstone property, which will now mature in the fourth quarter of 2026. In addition, the Company utilized proceeds from non-strategic asset sales to repay the $69 million mortgage secured by The Emery property.

The Company's current total leverage ratio as defined by the Revolving Credit Facility is between 40% and 45%, resulting in a borrowing rate on the Revolver of SOFR + 1.30%. The 20-basis-point quarter-over-quarter decrease reflects the Company's disciplined approach to deleveraging and the resulting savings under the leverage-based pricing grid of the Revolving Credit Facility.

DIVIDEND

The Company paid a dividend of $0.08 per share on January 9, 2026, to shareholders of record as of December 31, 2025.

ABOUT THE COMPANY

Veris Residential, Inc. is a forward-thinking real estate investment trust (REIT) that primarily owns, operates, acquires and develops premier Class A multifamily properties in the Northeast. Our technology-enabled, vertically integrated operating platform delivers a contemporary living experience aligned with residents' preferences while positively impacting the communities we serve. We are guided by an experienced management team and Board of Directors, underpinned by leading corporate governance principles; a best-in-class approach to operations; and an inclusive culture based on meritocratic empowerment.

For additional information on Veris Residential, Inc. and our properties available for lease, please visit http://www.verisresidential.com/.

We consider portions of this information, including the documents incorporated by reference, to be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 21E of such act. Such forward-looking statements relate to, without limitation, our future economic performance, plans and objectives for future operations, and projections of revenue and other financial items. Forward-looking statements can be identified by the use of words such as "may," "will," "assume," "believe," "contemplate," "could," "intend," "predict," "would," "plan," "potential," "projected," "should," "expect," "anticipate," "estimate," "target," "continue" or comparable terminology, although not all forward-looking statements contain these identifying words.

Forward-looking statements are inherently subject to certain risks, trends, changes in circumstances and uncertainties, many of which we cannot predict with accuracy and some of which we may not anticipate. Although we believe that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, we can give no assurance that such expectations will be achieved as anticipated or that our results, estimates or assumptions will be correct. Future events and actual results, financial and otherwise, may differ materially from the results discussed in the forward-looking statements, many of which are beyond the Company's control. Readers are cautioned not to place undue reliance on these forward-looking statements and are advised to consider the factors listed above together with the additional factors under the heading "Disclosure Regarding Forward-Looking Statements" and "Risk Factors" in the Company's Annual Report on Form 10-K, as may be supplemented or amended by the Company's Quarterly Reports on Form 10-Q, which are incorporated herein by reference. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events, new information or otherwise, except as required under applicable law.

Investors

Media

Mackenzie Rice

Amanda Shpiner/Grace Cartwright

Director, Investor Relations

Gasthalter & Co.

[email protected]

212-257-4170

Additional details on Company Information.

Consolidated Balance Sheet

(in thousands) (unaudited)

December 31, 2025

December 31, 2024

ASSETS

Rental property

Land and leasehold interests

$ 376,710

$ 458,946

Buildings and improvements

2,584,333

2,634,321

Tenant improvements

16,745

14,784

Furniture, fixtures and equipment

118,797

112,201

3,096,585

3,220,252

Less – accumulated depreciation and amortization

(516,404)

(432,531)

2,580,181

2,787,721

Real estate held for sale, net

—

7,291

Net investment in rental property

2,580,181

2,795,012

Cash and cash equivalents

14,128

7,251

Restricted cash

15,232

17,059

Investments in unconsolidated joint ventures

52,188

111,301

Unbilled rents receivable, net

3,643

2,253

Deferred charges and other assets, net

40,588

48,476

Accounts receivable

911

1,375

Total assets

$ 2,706,871

$ 2,982,727

LIABILITIES AND EQUITY

Revolving credit facility and term loans

30,000

348,839

Mortgages, loans payable and other obligations, net

1,332,158

1,323,474

Dividends and distributions payable

8,697

8,533

Accounts payable, accrued expenses and other liabilities

44,610

42,744

Rents received in advance and security deposits

11,419

11,512

Accrued interest payable

5,031

5,262

Total liabilities

1,431,915

1,740,364

Redeemable noncontrolling interests

9,294

Total Stockholders' Equity

1,151,621

1,099,391

Noncontrolling interests in subsidiaries:

Operating Partnership

105,849

102,588

Consolidated joint ventures

8,192

31,090

Total noncontrolling interests in subsidiaries

$ 114,041

$ 133,678

Total equity

$ 1,265,662

$ 1,233,069

Total liabilities and equity

$ 2,706,871

$ 2,982,727

Consolidated Statement of Operations

(In thousands, except per share amounts) (unaudited)

Three Months Ended December 31,

Twelve Months Ended December 31,

REVENUES

2025

2024

2025

2024

Revenue from leases

$ 65,521

$ 61,904

$ 264,459

$ 245,690

Management fees

554

751

2,561

3,338

Parking income

3,816

3,893

15,834

15,463

Other income

1,419

1,535

5,580

6,583

Total revenues

71,310

68,083

288,434

271,074

EXPENSES

Real estate taxes

8,915

10,173

38,361

37,424

Utilities

1,998

1,955

9,290

8,151

Operating services

11,274

12,885

47,962

48,239

Property management

3,939

3,877

16,673

17,247

General and administrative

8,563

10,040

36,753

39,059

Transaction-related costs

322

159

3,750

1,565

Depreciation and amortization

21,466

21,182

86,263

82,774

Land and other impairments, net

2,317

—

17,984

2,619

Total expenses

58,794

60,271

257,036

237,078

OTHER (EXPENSE) INCOME

Interest expense

(18,775)

(23,293)

(88,579)

(87,976)

Interest and other investment income

102

111

370

2,366

Equity in earnings (losses) of unconsolidated joint ventures

549

1,015

5,257

3,934

Realized gains (losses) and unrealized gains (losses) on disposition of rental property, net 1

6,671

—

90,831

—

Gain (loss) on disposition of developable land

(1,252)

—

34,040

11,515

Gain (loss) on sale of unconsolidated joint venture interests

—

(154)

5,122

6,946

Gain (loss) from extinguishment of debt, net

(318)

—

(3,530)

(777)

Other income (expense), net

(154)

(396)

148

(701)

Total other income (expense), net

(13,177)

(22,717)

43,659

(64,693)

Income (loss) from continuing operations before income tax expense

(661)

(14,905)

75,057

(30,697)

Provision for income taxes

(61)

(2)

(231)

(276)

Income (loss) from continuing operations after income tax expense

(722)

(14,907)

74,826

(30,973)

Discontinued operations:

Income (loss) from discontinued operations

224

(1,015)

4,115

862

Realized gains (losses) and unrealized gains (losses) on disposition of rental property and impairments, net

—

1,899

—

3,447

Total discontinued operations, net

224

884

4,115

4,309

Net income (loss)

(498)

(14,023)

78,941

(26,664)

Noncontrolling interests in consolidated joint ventures

357

495

3,538

1,924

Noncontrolling interests in Operating Partnership of loss (income) from continuing operations

1,238

(6,569)

2,531

Noncontrolling interests in Operating Partnership in discontinued operations

(19)

(76)

(347)

(371)

Redeemable noncontrolling interests

(81)

(324)

(540)

Net income (loss) available to common shareholders

$ (203)

$ (12,447)

$ 75,239

$ (23,120)

Basic earnings per common share:

Net income (loss) available to common shareholders

$0.00

$(0.13)

$0.81

$(0.25)

Diluted earnings per common share:

Net income (loss) available to common shareholders

$0.00

$(0.13)

$0.80

$(0.25)

Basic weighted average shares outstanding

93,488

92,934

93,355

92,695

Diluted weighted average shares outstanding 2

102,077

101,611

102,363

101,381

See Consolidated Statements of Operations and Non-GAAP Financial Footnotes.

See Consolidated Statements of Operations.

FFO, Core FFO and Core AFFO

(in thousands, except per share/unit amounts)

Three Months Ended December 31

Twelve months ended December 31,

2025

2024

2025

2024

Net income (loss) available to common shareholders

$ (203)

$ (12,447)

$ 75,239

$ (23,120)

Add/(Deduct):

Noncontrolling interests in Operating Partnership

(38)

(1,238)

6,569

(2,531)

Noncontrolling interests in discontinued operations

347

371

Real estate-related depreciation and amortization on continuing operations 3

21,735

23,617

89,806

92,164

Real estate-related depreciation and amortization on discontinued operations

—

(33)

—

635

Continuing operations: (Gain) loss on sale from unconsolidated joint ventures

—

154

(5,122)

(6,946)

Continuing operations: Realized (gains) losses and unrealized (gains) losses on disposition of rental property, net

(6,671)

—

(90,831)

—

Discontinued operations: Realized (gains) losses and unrealized (gains) losses on disposition of rental property, net

—

(1,548)

FFO 4

$ 14,842

$ 10,129

$ 76,008

$ 59,025

Add/(Deduct):

(Gain) loss from extinguishment of debt, net

318

—

3,530

777

Land and other impairments 5

2,317

—

16,384

2,619

(Gain) loss on disposition of developable land 6

1,252

(1,899)

(34,600)

(13,414)

Severance/Compensation related costs (G&A) 7

108

2,175

2,111

Severance/Compensation related costs (Property Management) 8

375

766

2,431

3,156

Amortization of derivative premium 9

374

1,461

2,759

4,554

Derivative mark to market adjustment & losses on de-designation/early terminations

186

1,117

202

Transaction-related costs

323

578

3,751

1,984

Core FFO

$ 19,940

$ 11,253

$ 73,555

$ 61,014

Add/(Deduct):

Straight-line rent adjustments 10

(463)

(107)

(1,707)

(790)

Amortization of market lease intangibles, net

(11)

(5)

(17)

(30)

Amortization of lease inducements

—

Amortization of debt discounts (premiums)

—

Amortization of stock compensation

2,797

3,013

11,843

12,992

Non-real estate depreciation and amortization

197

169

631

763

Amortization of deferred financing costs

1,484

1,639

6,641

6,125

Add/(Deduct):

Non-incremental revenue generating capital expenditures:

Building improvements

(3,997)

(2,784)

(14,697)

(7,674)

Tenant improvements and leasing commissions 11

(205)

(94)

(326)

(236)

Core AFFO 3

$ 19,753

$ 13,084

$ 75,953

$ 72,171

Funds from Operations per share/unit-diluted

$0.14

$0.10

$0.74

$0.58

Core Funds from Operations per share/unit-diluted

$0.19

$0.11

$0.72

$0.60

Core Adjusted Funds from Operations per share/unit-diluted

$0.19

$0.13

$0.74

$0.71

Dividends declared per common share

$0.08

$0.32

$0.2625

See Consolidated Statements of Operations and Non-GAAP Financial Footnotes.

See Consolidated Statements of Operations.

Adjusted EBITDA

($ in thousands) (unaudited)

Three Months Ended December 31,

Twelve Months Ended December 31,

2025

2024

2025

2024

Net income (loss) available to common shareholders

$ (203)

$ (12,447)

$ 75,239

$ (23,120)

Add/(Deduct):

Noncontrolling interests in Operating Partnership

(38)

(1,238)

6,569

(2,531)

Noncontrolling interests in discontinued operations

347

371

Real estate-related depreciation and amortization on continuing operations

21,735

23,617

89,806

92,164

Real estate-related depreciation and amortization on discontinued operations

—

(33)

—

635

Continuing operations: Loss (Gain) on sale from unconsolidated joint ventures

—

154

(5,122)

(6,946)

Continuing operations: Realized and unrealized (gains) losses on disposition of rental property, net

(6,671)

—

(90,831)

—

Discontinued operations: Realized and unrealized (gains) losses on disposition of rental property, net

—

(1,548)

(Gain)/Loss from extinguishment of debt, net

318

—

3,530

777

Land and other impairments

2,317

—

16,384

2,619

(Gain) loss on disposition of developable land

1,252

(1,899)

(34,600)

(13,414)

Severance/Compensation related costs (G&A)

108

2,175

2,111

Severance/Compensation related costs (Property Management)

375

766

2,431

3,156

Transaction-related costs

323

578

3,751

1,984

Equity in (earnings) loss of unconsolidated joint ventures, net

(549)

(1,015)

(5,257)

(4,196)

Equity in earnings share of depreciation and amortization

(466)

(2,605)

(4,175)

(10,154)

Interest expense

18,775

23,294

88,579

87,977

Recurring JV distributions

1,035

3,641

10,264

11,893

Income (loss) in noncontrolling interest in consolidated joint ventures, net

(357)

(495)

(1,379)

(1,924)

Redeemable noncontrolling interest

324

540

Income tax expense

232

300

Adjusted EBITDA

$ 38,115

$ 32,510

$ 158,267

$ 140,694

4Q 2025

TTM Adjusted EBITDA

$ 158,267

Net Debt

1,332,798

Net Debt-to-EBITDA

8.4x

After

TTM Adjusted EBITDA

$ 158,267

Deduct:

TTM Multifamily Sales Adjustments

(11,856)

TTM Carry Costs from Sold Land

(154)

Add:

TTM Unconsolidated JV Sales Adjustments

1,845

TTM Adjusted EBITDA (Normalized)

$ 148,103

Net Debt

1,332,798

Net Debt-to-EBITDA (Normalized)

9.0x

See Consolidated Statements of Operations and Non-GAAP Financial Footnotes.

See Non-GAAP Financial Definitions.

Components of Net Asset Value

($ in thousands)

Real Estate Portfolio

Other Assets

Operating Multifamily NOI 1

Total

At Share

Cash and Cash Equivalents

$14,128

New Jersey Waterfront

$179,540

$157,498

Restricted Cash

15,232

Massachusetts

20,944

Other Assets

45,142

Other

16,348

11,084

Subtotal Other Assets

$74,502

Total Multifamily NOI

$216,832

$189,526

Commercial NOI 2

5,016

4,165

Liabilities and Other Considerations

Total NOI

$221,848

$193,691

Operating - Consolidated Debt at Share

$1,267,504

Non-Strategic Assets

Operating - Unconsolidated Debt at Share

128,506

Other Liabilities

69,757

Estimated Value of Remaining Land

$35,360

Revolving Credit Facility

30,000

Total Non-Strategic Assets 3

$35,360

Preferred Units

9,294

Subtotal Liabilities and Other Considerations

$1,505,061

Outstanding Shares 4

Diluted Weighted Average Shares Outstanding for 4Q 2025 (in 000s)

102,622

__________________________________________

1 See Multifamily Operating Portfolio for more details. The Real Estate Portfolio table is reflective of the quarterly NOI annualized, including management fees.

2 See Commercial Assets and Developable Land for more details.

3 The land values are VRE's share of value. For more details see Commercial Assets and Developable Land.

4 Outstanding shares for the quarter ended December 31, 2025 is comprised of the following (in 000s): 93,488 weighted average common shares outstanding, 8,589 weighted average Operating Partnership common and vested LTIP units outstanding, and 545 shares representing the dilutive effect of stock-based compensation awards.

See Non-GAAP Financial Definitions.

Multifamily Operating Portfolio

(in thousands, except Revenue per home)

Operating Highlights

Percentage

Occupied 1

Average Revenue

per Home

NOI 2

Debt

Balance

Ownership

Apartments

Q4 2025

Q3 2025

Q4 2025

Q3 2025

Q4 2025

Q3 2025

NJ Waterfront

Haus25

100.0 %

750

95.7 %

96.5 %

$5,158

$5,118

$8,911

$8,275

$343,061

Liberty Towers*

100.0 %

648

87.1 %

84.9 %

4,534

4,630

5,023

4,596

—

BLVD 401

74.3 %

311

95.4 %

95.9 %

4,357

4,376

2,669

2,416

113,462

BLVD 425

74.3 %

412

95.3 %

95.8 %

4,184

4,236

3,398

3,320

131,000

BLVD 475

100.0 %

523

95.3 %

97.5 %

4,335

4,349

4,634

4,247

161,201

Soho Lofts*

100.0 %

377

96.0 %

94.8 %

4,870

4,878

3,362

2,875

—

Sable

100.0 %

762

95.0 %

96.6 %

4,191

4,245

5,536

5,638

181,544

RiverHouse 9 at Port Imperial

100.0 %

313

95.8 %

94.9 %

4,594

4,590

2,848

2,717

110,000

RiverHouse 11 at Port Imperial

100.0 %

295

95.9 %

97.3 %

4,481

4,394

2,593

2,470

100,000

RiverTrace

22.5 %

316

94.9 %

95.1 %

3,850

3,869

2,313

2,225

82,000

Capstone

40.0 %

360

95.0 %

94.7 %

4,698

4,651

3,598

3,428

135,000

NJ Waterfront Subtotal

87.2 %

5,067

94.3 %

94.6 %

$4,510

$4,524

$44,885

$42,207

$1,357,268

Massachusetts

Portside at East Pier*

100.0 %

180

95.3 %

95.5 %

$3,393

$3,377

$1,275

$1,186

$—

Portside 2 at East Pier

100.0 %

296

95.2 %

96.3 %

3,592

3,563

2,189

2,158

93,782

The Emery at Overlook Ridge 3

100.0 %

326

94.0 %

95.2 %

2,970

2,928

1,772

1,722

—

Massachusetts Subtotal

100.0 %

802

94.7 %

95.7 %

$3,295

$3,263

$5,236

$5,066

$93,782

Other

The Upton

100.0 %

193

93.5 %

94.5 %

$4,751

$4,660

$1,519

$1,467

$75,000

Riverpark at Harrison

45.0 %

141

93.6 %

95.7 %

3,169

2,940

638

579

29,948

Station House

50.0 %

378

94.7 %

93.9 %

2,984

3,029

1,930

1,785

85,158

Other Subtotal

62.6 %

712

94.2 %

94.4 %

$3,500

$3,453

$4,087

$3,831

$190,106

Operating Portfolio 4 5

86.1 %

6,581

94.4 %

94.7 %

$4,252

$4,255

$54,208

$51,104

$1,641,156

_______________________________________

1 Average of the last month of each quarter.

2 The sum of property level revenue, straight line and ASC 805 adjustments; less: operating expenses, real estate taxes and utilities. These are shown at 100% and include management fees.

3 The loan on The Emery at Overlook Ridge was paid off in December 2025.

4 Rental revenue associated with retail leases is included in the NOI disclosure above.

5 See Unconsolidated Joint Ventures and Annex 6: Multifamily Operating Portfolio for more details.

*Properties that are currently in the collateral pool for the Revolving Credit Facility. Following the July 9, 2025 amendment of the facility, the required number of collateral assets was reduced from five to two. In October, a negative pledge and assignment of proceeds of Portside at East Pier were added as incremental collateral.

See Non-GAAP Financial Definitions.

Commercial Assets and Developable Land

($ in thousands)

Commercial

Location

Ownership

Rentable

SF 1

Percentage

Leased

4Q 2025

Percentage

Leased

3Q 2025

NOI

4Q 2025

NOI

3Q 2025

Debt

Balance

Port Imperial South - Garage

Weehawken, NJ

70.0 %

Fn 1

N/A

$578

$619

$30,524

Port Imperial South - Retail

Weehawken, NJ

70.0 %

18,064

84.0 %

77.0 %

131

126

—

Port Imperial North - Garage

Weehawken, NJ

100.0 %

Fn 1

N/A

(13)

—

Port Imperial North - Retail

Weehawken, NJ

100.0 %

8,400

100.0 %

106

119

—

Riverwalk at Port Imperial

West New York, NJ

100.0 %

29,923

88.0 %

402

209

—

Commercial Total

90.4 %

56,387

88.5 %

86.3 %

$1,254

$1,060

$30,524

Developable Land Parcel Units 2

Total Units 3

NJ Waterfront 4

—

Massachusetts

736

Other

115

Developable Land Parcel Units Total

851

____________________________

1 Port Imperial South - Garage and Port Imperial North - Garage include approximately 850 and 686 parking spaces, respectively.

2 The Company has an additional 34,375 SF of developable retail space within land developments that is not represented in this table. The Company owns 100% of the developable land parcel units.

3 The Company is in the process of rezoning the parcel in Short Hills, NJ from 160 hotel keys to 115 multifamily units.

4 Harborside 8 and 9 land parcels were sold in December 2025, representing 1,277 total units.

Same Store Market Information

Sequential Quarter Comparison 1

(NOI in thousands)

NOI at Share

Occupancy

Blended Lease Tradeouts 2

Apartments

4Q 2025

3Q 2025

Change

4Q 2025

3Q 2025

Change

4Q 2025

3Q 2025

Change

New Jersey Waterfront

5,067

$39,916

$37,442

6.6 %

94.3 %

94.6 %

(0.3) %

2.8 %

3.9 %

(1.1) %

Massachusetts

802

5,434

5,261

3.3 %

94.7 %

95.7 %

(1.0) %

(1.2) %

2.5 %

(3.7) %

Other 3

712

2,890

2,739

5.5 %

94.2 %

94.4 %

(0.2) %

5.9 %

9.8 %

(3.9) %

Total

6,581

$48,240

$45,442

6.2 %

94.4 %

94.7 %

(0.3) %

2.5 %

3.9 %

(1.4) %

Year-over-Year Fourth Quarter Comparison 1

(NOI in thousands)

NOI at Share

Occupancy

Blended Lease Tradeouts 2

Apartments

2025

2024

Change

4Q 2025

4Q 2024

Change

4Q 2025

4Q 2024

Change

New Jersey Waterfront

5,067

$39,916

$37,733

5.8 %

94.3 %

93.8 %

0.5 %

2.8 %

0.8 %

2.0 %

Massachusetts

802

5,434

5,171

5.1 %

94.7 %

93.8 %

0.9 %

(1.2) %

0.1 %

(1.3) %

Other 3

712

2,890

2,634

9.7 %

94.2 %

92.5 %

1.7 %

5.9 %

(13.2) %

19.1 %

Total

6,581

$48,240

$45,538

5.9 %

94.4 %

93.7 %

0.7 %

2.5 %

(0.8) %

3.3 %

Average Revenue per Home

Apartments

4Q 2025

3Q 2025

2Q 2025

1Q 2025

4Q 2024

New Jersey Waterfront

5,067

$4,510

$4,524

$4,499

$4,430

$4,441

Massachusetts

802

3,295

3,263

3,244

3,186

3,161

Other 3

712

3,500

3,453

3,392

3,291

3,376

Total

6,581

$4,252

$4,255

$4,226

$4,155

$4,170

___________________________________________

1 All statistics are based off the current 6,581 Same Store pool. These values reflect the Company`s pro-rata ownership. Sable is shown at 85% for all comparative periods, reflecting VRE ownership level prior to the consolidation in April 2025.

2 Blended lease tradeouts exclude properties not managed by Veris for all periods shown. The Upton is the only property included in the blended lease tradeouts in the "Other" submarket.

3 "Other" includes properties in Suburban NJ and Washington, DC. See Multifamily Operating Portfolio for breakout.

See Non-GAAP Financial Definitions.

Same Store Performance

($ in thousands)

Multifamily Same Store 1

Three Months Ended December 31,

Twelve Months Ended December 31,

Sequential

2025

2024

Change

2025

2024

Change

4Q 25

3Q 25

Change

Apartment Rental Income

$62,793

$61,157

$1,636

2.7 %

$246,349

$240,980

$5,369

2.2 %

$62,793

$61,976

$817

1.3 %

Parking/Other Income

7,030

6,481

549

8.5 %

26,926

25,746

1,180

4.6 %

7,030

6,894

136

2.0 %

Total Property Revenues 2

$69,823

$67,638

$2,185

3.2 %

$273,275

$266,726

$6,549

2.5 %

$69,823

$68,870

$953

1.4 %

Marketing & Administration

1,775

2,198

(423)

(19.2) %

7,367

8,016

(649)

(8.1) %

1,775

1,993

(218)

(10.9) %

Utilities

2,051

1,998

2.7 %

9,211

8,336

875

10.5 %

2,051

2,357

(306)

(13.0) %

Payroll

3,704

3,854

(150)

(3.9) %

14,899

14,968

(69)

(0.5) %

3,704

3,878

(174)

(4.5) %

Repairs & Maintenance

3,313

3,793

(480)

(12.7) %

13,585

14,109

(524)

(3.7) %

3,313

3,806

(493)

(13.0) %

Controllable Expenses

$10,843

$11,843

$(1,000)

(8.4) %

$45,062

$45,429

$(367)

(0.8) %

$10,843

$12,034

$(1,191)

(9.9) %

Other Fixed Fees

783

711

10.1 %

3,112

2,851

261

9.2 %

783

781

0.3 %

Insurance

1,331

1,230

101

8.2 %

5,381

5,046

335

6.6 %

1,331

1,355

(24)

(1.8) %

Real Estate Taxes

8,626

8,316

310

3.7 %

34,675

33,220

1,455

4.4 %

8,626

9,258

(632)

(6.8) %

Non-Controllable Expenses

$10,740

$10,257

$483

4.7 %

$43,168

$41,117

$2,051

5.0 %

$10,740

$11,394

$(654)

(5.7) %

Total Property Expenses

$21,583

$22,100

$(517)

(2.3) %

$88,230

$86,546

$1,684

1.9 %

$21,583

$23,428

$(1,845)

(7.9) %

Same Store GAAP NOI

$48,240

$45,538

$2,702

5.9 %

$185,045

$180,180

$4,865

2.7 %

$48,240

$45,442

$2,798

6.2 %

Same Store NOI Margin

69.1 %

67.3 %

1.8 %

67.7 %

67.6 %

0.1 %

69.1 %

66.0 %

3.1 %

Total Units

6,581

% Ownership 1

86.1 %

% Occupied

94.4 %

93.7 %

0.7 %

94.4 %

93.7 %

0.7 %

94.4 %

94.7 %

(0.3) %

______________________________

1 These values represent the Company's pro-rata ownership. Sable is shown as 85% for all comparative periods, reflecting VRE ownership level prior to the consolidation in April 2025. These are shown at share and exclude management fees.

2 Revenues reported based on Generally Accepted Accounting Principles or "GAAP".

Debt Profile

($ in thousands)

Lender

Effective

Interest Rate 1

December 31, 2025

December 31, 2024

Date of

Maturity

Secured Permanent Loans

Portside 2 at East Pier

New York Life Insurance Co.

4.56 %

$93,782

$95,427

03/10/26

BLVD 425

New York Life Insurance Co.

4.17 %

131,000

08/10/26

BLVD 401

New York Life Insurance Co.

4.29 %

113,462

115,515

08/10/26

Portside at East Pier 2

KKR

SOFR + 2.75%

—

56,500

09/07/26

The Upton 3

Bank of New York Mellon

SOFR + 1.58%

75,000

10/27/26

RiverHouse 9 at Port Imperial 4

JP Morgan

SOFR + 1.41%

110,000

06/21/27

Quarry Place at Tuckahoe 5

Natixis Real Estate Capital, LLC

4.48 %

—

41,000

08/05/27

BLVD 475

The Northwestern Mutual Life Insurance Co.

2.91 %

161,201

164,712

11/10/27

Haus25

Freddie Mac

6.04 %

343,061

09/01/28

RiverHouse 11 at Port Imperial

The Northwestern Mutual Life Insurance Co.

4.52 %

100,000

01/10/29

Sable 6

Pacific Life

5.59 %

181,544

—

08/01/29

Port Imperial Garage South

American General Life & A/G PC

4.85 %

30,524

31,098

12/01/29

The Emery 7

Flagstar Bank

3.21 %

—

70,653

01/01/31

Secured Permanent Loans Outstanding

$1,339,574

$1,333,966

Unamortized Deferred Financing Costs

(7,416)

(10,492)

Secured Permanent Loans

$1,332,158

$1,323,474

Secured RCF & Term Loans:

Revolving Credit Facility 8

Various Lenders

SOFR + 2.22%

$30,000

$152,000

04/22/27

Term Loan 8

Various Lenders

SOFR + 2.22%

—

200,000

04/22/27

RCF & Term Loan Balances

$30,000

$352,000

Unamortized Deferred Financing Costs

—

(3,161)

Total RCF & Term Loan Debt

$30,000

$348,839

Total Debt

$1,362,158

$1,672,313

See Debt Profile Footnotes.

Debt Summary and Maturity Schedule

As of December 31, all of the Company's total debt portfolio (consolidated and unconsolidated) is hedged or fixed with a

weighted average interest rate of 4.88% and a weighted average maturity of 2.2 years.

($ in thousands)

As of 12/31

Balance

of Total

Weighted Average

Interest Rate

Weighted Average

Maturity in Years

Fixed Rate & Hedged Debt

Fixed Rate & Hedged Secured Debt

$1,369,574

100.0 %

4.90 %

1.99

Variable Rate Debt

—

— %

—

Totals / Weighted Average

$1,369,574

100.0 %

4.90 %

1.99

Unamortized Deferred Financing Costs

(7,416)

Total Consolidated Debt, net

$1,362,158

Partners' Share

(72,070)

VRE Share of Total Consolidated Debt, net 1

$1,290,088

Unconsolidated Secured Debt

VRE Share

$128,506

38.7 %

4.32 %

4.02

Partners' Share

203,600

61.3 %

4.32 %

4.02

Total Unconsolidated Secured Debt

$332,106

100.0 %

4.32 %

4.02

Pro Rata

Fixed Rate & Hedged Secured Debt

$1,426,010

100.0 %

4.88 %

2.22

Variable Rate Secured Debt

—

— %

—

Total Pro Rata Debt Portfolio

$1,426,010

100.0 %

4.88 %

2.22

Debt Maturity Schedule as of December 31, 2025 2 3

2026

2027

2028

2029

2030

Secured Debt

$350

$271

$343

$303

Revolver

$30

Unused Revolver Capacity

$270

______________________________________

1 Minority interest share of consolidated debt is comprised of $33.7 million at BLVD 425, $29.2 million at BLVD 401 and $9.2 million at Port Imperial South Garage.

2 The Revolver and Unused Revolver Capacity are shown with the one-year extension option utilized on the facilities.

3 The graphic reflects VRE share of consolidated debt balances only. Dollars are shown in millions.

Annex 1: Transaction Activity

$ in thousands

Location

Transaction

Date

Number of

Buildings

Units

Gross Proceeds

2025 dispositions-to-date

Land

65 Livingston

Roseland, NJ

1/24/2025

N/A

$7,300

Wall Land

Wall Township, NJ

4/3/2025

N/A

31,000

PI North - Building 6 and Riverbend I 1

West New York, NJ

4/21/2025

N/A

6,500

1 Water

White Plains, NY

4/29/2025

N/A

15,500

PI South - Building 2 1

Weehawken, NJ

8/28/2025

N/A

19,000

Harborside 8 and 9

Jersey City, NJ

12/8/2025

N/A

75,000

Land dispositions-to-date

N/A

$154,300

Multifamily

Metropolitan at 40 Park 1

Morristown, NJ

4/21/2025

130

$600

Signature Place

Morris Plains, NJ

7/9/2025

197

85,000

145 Front Street

Worcester, MA

7/22/2025

365

122,200

The James

Park Ridge, NJ

8/14/2025

240

117,000

Quarry Place

Eastchester, NY

9/25/2025

108

63,000 2

Multifamily dispositions-to-date

1,040

$387,800

Total dispositions-to-date

$542,100

2025 acquisitions-to-date

Multifamily

Sable

Jersey City, NJ

4/21/2025

762

$38,500 3

Multifamily acquisitions-to-date

762

$38,500

___________________________

1 Represents gross value associated with Veris' share of the sale.

2 Gross proceeds include the buyer's assumption of the $41.0 million mortgage loan encumbering the property.

3 Represents gross value associated with the purchase of our partner's 15% equity interest in the Jersey City property now known as Sable.

Annex 2: Reconciliation of Net Income (loss) to NOI (three months ended)

4Q 2025

3Q 2025

Total

Net Income (loss)

$ (498)

$ 81,326

Deduct:

Management fees

(554)

(523)

Loss (income) from discontinued operations

(224)

(3,782)

Interest and other investment income

(102)

(173)

Equity in (earnings) loss of unconsolidated joint ventures

(549)

(340)

(Gain) loss on disposition of developable land

1,252

1,118

(Gain) loss from extinguishment of debt, net

318

3,212

Realized gains (losses) and unrealized gains (losses) on disposition of rental property, net

(6,671)

(91,037)

Other (income) expense, net

154

121

Add:

Property management

3,939

4,261

General and administrative

8,563

8,517

Transaction-related costs

322

1,550

Depreciation and amortization

21,466

21,073

Interest expense

18,775

22,240

Provision for income taxes

Land and other impairments, net

2,317

—

Net operating income (NOI)

$ 48,569

$ 47,598

Summary of Consolidated Multifamily NOI by Type (unaudited):

4Q 2025

3Q 2025

Total Consolidated Multifamily - Operating Portfolio

$ 45,728

$ 44,851

Total Consolidated Commercial

1,254

1,060

Total NOI from Consolidated Properties (excl. unconsolidated JVs/subordinated interests)

$ 46,982

$ 45,911

NOI (loss) from services, land/development/repurposing & other assets

1,524

1,778

Total Consolidated Multifamily NOI

$ 48,506

$ 47,689

See Consolidated Statement of Operations.

See Non-GAAP Financial Definitions.

Annex 3: Consolidated Statement of Operations and Non-GAAP Financial Footnotes

Includes $5.1 million relating to assets sold in the third quarter of 2025 and $1.6 million related to years prior to 2022. Refer to Note 3 in the 10-K for additional information.

Calculated based on weighted average common shares outstanding, assuming redemption of Operating Partnership common units into common shares 8,589 and 8,677 shares for the three months ended December 31, 2025 and 2024, respectively, and 8,612 and 8,686 shares for the twelve months ended December 31, 2025 and 2024, respectively, plus dilutive Common Stock Equivalents (i.e. stock options).

Includes the Company's share from unconsolidated joint ventures, and adjustments for noncontrolling interest of $0.5 million and $2.6 million for the three months ended December 31, 2025 and 2024, respectively, and $4.2 million and $10.2 million for the twelve months ended December 31, 2025 and 2024 respectively. Excludes non-real estate-related depreciation and amortization of $0.2 million for each of the three months ended December 31, 2025 and 2024, respectively, and $0.6 million and $0.8 million for the twelve months ended December 31, 2025 and 2024, respectively.

Funds from operations is calculated in accordance with the definition of FFO of the National Association of Real Estate Investment Trusts (Nareit). See Non-GAAP Financial Definitions for information About FFO, Core FFO, AFFO, NOI & Adjusted EBITDA.

Represents the Company's controlling interest portion of the $18.0 million land and other impairment charge during the twelve months ended December 31, 2025.

Represents the Company's controlling interest portion of the $34.0 million gain on disposition of developable land during the twelve months ended December 31, 2025.

Accounting for the impact of Severance/Compensation related costs, General and Administrative expense was $8.5 million and $10.0 million for the three months ended December 31, 2025 and 2024, respectively, and $34.6 million and $36.9 million for the twelve months ended December 31, 2025 and 2024, respectively.

Accounting for the impact of Severance/Compensation related costs, Property Management expense was $3.6 million and $3.1 million for the three months ended December 31, 2025 and 2024, respectively, and $14.2 million and $14.1 million for the twelve months ended December 31, 2025 and 2024, respectively.

Includes the Company's share from unconsolidated joint ventures of $0 and $(20) thousand for the three months ended December 31, 2025 and 2024, respectively, and $(14) thousand and $(92) thousand for the twelve months ended December 31, 2025 and 2024, respectively.

10.

Includes the Company's share from unconsolidated joint ventures of $122 thousand and $59 thousand for the three months ended December 31, 2025 and 2024, respectively and $96 thousand and $94 thousand for the twelve months ended December 31, 2025 and 2024, respectively.

11.

Excludes expenditures for tenant spaces in properties that have not been owned by the Company for at least a year.

Back to Consolidated Statement of Operations.

Back to FFO, Core FFO and Core AFFO.

Back to Adjusted EBITDA.

Annex 4: Unconsolidated Joint Ventures

($ in thousands)

Property

Units

Percentage

Occupied

VRE's Nominal

Ownership

4Q 2025

NOI 1

Total

Debt

VRE Share

of 4Q NOI

VRE Share

of Debt

Multifamily

RiverTrace

316

94.9 %

22.5 %

$2,313

$82,000

$520

$18,450

Capstone

360

95.0 %

40.0 %

3,598

135,000

1,439

54,000

Riverpark at Harrison

141

93.6 %

45.0 %

638

29,948

287

13,477

Station House

378

94.7 %

50.0 %

1,930

85,158

965

42,579

Total UJV

1,195

94.7 %

39.1 %

$8,479

$332,106

$3,212

$128,506

___________________________

1 The sum of property level revenue, straight line and ASC 805 adjustments; less: operating expenses, real estate taxes and utilities. These are shown at 100% and include management fees.

Annex 5: Debt Profile Footnotes

Effective rate of debt, including deferred financing costs, comprised of debt initiation costs, and other transaction costs, as applicable.

The loan on Portside at East Pier was fully repaid in August 2025, the three-year cap was also terminated.

The loan on Upton is hedged with an interest rate cap at a strike rate of 3.5%, expiring in November 2026.

The loan on RiverHouse 9 at Port Imperial is hedged with an interest rate cap at a strike rate of 3.5%, expiring in July 2026.

In September 2025, the Company sold the property (Quarry Place), simultaneously assigning the $41 million mortgage to the purchaser.

The loan on Sable was consolidated in April 2025 upon the acquisition of the remaining 15% controlling interest in the joint venture previously referred to as "Urby at Harborside".

The Company elected to prepay the loan on December 31, 2025. Effective rate reflects the fixed rate period, which ended on January 1, 2026.

The Company's facilities consist of a $300 million Revolver and $200 million delayed-draw Term Loan and are supported by a group of eight lenders. The eight lenders consists of JP Morgan Chase and Bank of New York Mellon as Joint Bookrunners; Bank of America Securities, Capital One, Goldman Sachs Bank USA, and RBC Capital Markets as Joint Lead Arrangers; and Associated Bank and Eastern Bank as participants. In July 2025, the Company amended its existing facility and fully repaid the Term Loan. In August 2025, the Company terminated $55 million of the $200 million of interest rate cap at strike rate of 3.5%, expiring in July 2026. The amendment also reduced the number of participating Lenders from eight to seven. The facilities have a three-year term ending April 22, 2027, with a one-year extension option. The Revolver remains fully hedged through interest rate caps at a 3.5% strike rate, also expiring in July 2026.

Balance as of

December 31,

2025

Initial

Spread

Deferred

Financing

Costs

5 bps

reduction

KPI

Updated

Spread

SOFR or

SOFR Cap

All In

Rate

Secured Revolving Credit Facility

$30,000

1.35 %

0.92 %

(0.05) %

2.22 %

3.50 %

5.72 %

Back to Debt Profile.

Annex 6: Multifamily Property Information

Location

Ownership

Apartments

Rentable SF 1

Average Size

Year Complete

NJ Waterfront

Haus25

Jersey City, NJ

100.0 %

750

617,787

824

2022

Liberty Towers

Jersey City, NJ

100.0 %

648

602,210

929

2003

BLVD 401

Jersey City, NJ

74.3 %

311

273,132

878

2016

BLVD 425

Jersey City, NJ

74.3 %

412

369,515

897

2003

BLVD 475

Jersey City, NJ

100.0 %

523

475,459

909

2011

Soho Lofts

Jersey City, NJ

100.0 %

377

449,067

1,191

2017

Sable

Jersey City, NJ

100.0 %

762

474,476

623

2017

RiverHouse 9 at Port Imperial

Weehawken, NJ

100.0 %

313

245,127

783

2021

RiverHouse 11 at Port Imperial

Weehawken, NJ

100.0 %

295

250,591

849

2018

RiverTrace

West New York, NJ

22.5 %

316

295,767

936

2014

Capstone

West New York, NJ

40.0 %

360

337,991

939

2021

NJ Waterfront Subtotal

87.2 %

5,067

4,391,122

888

Massachusetts

Portside at East Pier

East Boston, MA

100.0 %

180

154,859

862

2015

Portside 2 at East Pier

East Boston, MA

100.0 %

296

230,614

779

2018

The Emery

Revere, MA

100.0 %

326

273,140

838

2020

Massachusetts Subtotal

100.0 %

802

658,613

823

Other

The Upton

Short Hills, NJ

100.0 %

193

217,030

1,125

2021

Riverpark at Harrison

Harrison, NJ

45.0 %

141

124,774

885

2014

Station House

Washington, DC

50.0 %

378

290,348

768

2015

Other Subtotal

62.6 %

712

632,152

914

Operating Portfolio

86.1 %

6,581

5,681,887

884

Back to Multifamily Operating Portfolio.

_______________________________________

1 Total sf outlined above excludes approximately 151,898 SF of ground floor retail, of which 129,489 SF was leased as of December 31, 2025.

Annex 7: Noncontrolling Interests in Consolidated JVs

Three Months Ended December 31,

Twelve Months Ended December 31,

2025

2024

2025

2024

BLVD 425

$ 140

$ 97

$ 543

$ 424

BLVD 401

(518)

(571)

(2,211)

(2,258)

Port Imperial Garage South

(2)

(5)

Port Imperial Retail South

Other consolidated joint ventures

(2)

(37)

(1,919)

(137)

Net losses in noncontrolling interests

$ (357)

$ (495)

$ (3,538)

$ (1,924)

Depreciation in noncontrolling interests

750

744

2,969

2,923

Funds from operations - noncontrolling interest in consolidated joint ventures

$ 393

$ 249

$ (569)

$ 999

Interest expense in noncontrolling interest in consolidated joint ventures

780

787

3,140

3,146

Net operating income before debt service in consolidated joint ventures

$ 1,173

$ 1,036

$ 2,571

$ 4,145

Back to Adjusted EBITDA.

Non-GAAP Financial Definitions

NON-GAAP FINANCIAL MEASURES

Included in this financial package are Funds from Operations, or FFO, Core Funds from Operations, or Core FFO, net operating income, or NOI and Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization, or Adjusted EBITDA, each a "non-GAAP financial measure," measuring Veris Residential, Inc.'s historical or future financial performance that is different from measures calculated and presented in accordance with generally accepted accounting principles ("U.S. GAAP"), within the meaning of the applicable Securities and Exchange Commission rules. Veris Residential, Inc. believes these metrics can be a useful measure of its performance, which is further defined below.

Adjusted Earnings Before Interest, Tax, Depreciation and Amortization (Adjusted "EBITDA")

The Company defines Adjusted EBITDA as Core FFO, plus interest expense, plus income tax expense, plus income (loss) in noncontrolling interest in consolidated joint ventures, and plus adjustments to reflect the entity's share of Adjusted EBITDA of unconsolidated joint ventures. The Company presents Adjusted EBITDA because the Company believes that Adjusted EBITDA, along with cash flow from operating activities, investing activities and financing activities, provides investors with an additional indicator of the Company's ability to incur and service debt. Adjusted EBITDA should not be considered as an alternative to net income (determined in accordance with GAAP), as an indication of the Company's financial performance, as an alternative to net cash flows from operating activities (determined in accordance with GAAP), or as a measure of the Company's liquidity.

Adjusted Earnings Before Interest, Tax, Depreciation and Amortization (Normalized) (Adjusted "EBITDA" (Normalized))

The Company defines Adjusted EBITDA (Normalized) as Adjusted EBITDA, adjusted to reflect the effects of non-recurring property transactions. In the case of acquisition properties, Adjusted EBITDA (Normalized) would be calculated based on Adjusted EBITDA plus the Company's income (loss) for its ownership period annualized and included on a trailing twelve month basis. In the case of disposition properties, Adjusted EBITDA (Normalized) would be calculated based on Adjusted EBITDA minus the disposition property's actual income (loss) on a trailing twelve month basis. In the case of joint venture transaction properties whereby the Company acquires a controlling interest and subsequently consolidates the acquired asset, Adjusted EBITDA (Normalized) would be calculated based on Adjusted EBITDA plus the actual income (loss) on a trailing twelve month basis in proportion to the Company's economic interests in the joint venture as of the reporting date minus recurring joint venture distributions (the Company's practice for EBITDA recognition for joint ventures). The Company presents Adjusted EBITDA (Normalized) because the Company believes that Adjusted EBITDA (Normalized) provides a more appropriate denominator for its calculation of the Net Debt-to-EBITDA ratio as it reflects the leverage profile of the Company as of the reporting date. Adjusted EBITDA (Normalized) should not be considered as an alternative to net income (determined in accordance with GAAP), as an indication of the Company's financial performance, as an alternative to net cash flows from operating activities (determined in accordance with GAAP), or as a measure of the Company's liquidity.

Blended Net Rental Growth Rate or Blended Lease Rate

Weighted average of the net effective change in rent (inclusive of concessions) for a lease with a new resident or for a renewed lease compared to the rent for the prior lease of the identical apartment unit.

Core FFO and Adjusted FFO ("AFFO")

Core FFO is defined as FFO, as adjusted for certain items to facilitate comparative measurement of the Company's performance over time. Adjusted FFO ("AFFO") is defined as Core FFO less (i) recurring tenant improvements, leasing commissions, and capital expenditures, (ii) straight-line rents and amortization of acquired above/below market leases, net, and (iii) other non-cash income, plus (iv) other non-cash charges. Core FFO and Adjusted AFFO are presented solely as supplemental disclosure that the Company's management believes provides useful information to investors and analysts of its results, after adjusting for certain items to facilitate comparability of its performance from period to period. Core FFO and Adjusted FFO are non-GAAP financial measures that are not intended to represent cash flow and are not indicative of cash flows provided by operating activities as determined in accordance with GAAP. As there is not a generally accepted definition established for Core FFO and Adjusted FFO, the Company's measures of Core FFO may not be comparable to the Core FFO and Adjusted FFO reported by other REITs. A reconciliation of net income per share to Core FFO and Adjusted FFO in dollars and per share are included in the financial tables accompanying this press release.

Funds From Operations ("FFO")

FFO is defined as net income (loss) before noncontrolling interests in Operating Partnership, computed in accordance with U.S. GAAP, excluding gains or losses from depreciable rental property transactions (including both acquisitions and dispositions), and impairments related to depreciable rental property, plus real estate-related depreciation and amortization. The Company believes that FFO per share is helpful to investors as one of several measures of the performance of an equity REIT. The Company further believes that as FFO per share excludes the effect of depreciation, gains (or losses) from property transactions and impairments related to depreciable rental property (all of which are based on historical costs which may be of limited relevance in evaluating current performance), FFO per share can facilitate comparison of operating performance between equity REITs.

FFO per share should not be considered as an alternative to net income available to common shareholders per share as an indication of the Company's performance or to cash flows as a measure of liquidity. FFO per share presented herein is not necessarily comparable to FFO per share presented by other real estate companies due to the fact that not all real estate companies use the same definition. However, the Company's FFO per share is comparable to the FFO per share of real estate companies that use the current definition of the National Association of Real Estate Investment Trusts ("Nareit"). A reconciliation of net income per share to FFO per share is included in the financial tables accompanying this press release.

NOI and Same Store NOI

NOI represents total revenues less total operating expenses, as reconciled to net income above. The Company considers NOI to be a meaningful non-GAAP financial measure for making decisions and assessing unlevered performance of its property types and markets, as it relates to total return on assets, as opposed to levered return on equity. As properties are considered for sale and acquisition based on NOI estimates and projections, the Company utilizes this measure to make investment decisions, as well as compare the performance of its assets to those of its peers. NOI should not be considered a substitute for net income, and the Company's use of NOI may not be comparable to similarly titled measures used by other companies. The Company calculates NOI before any allocations to noncontrolling interests, as those interests do not affect the overall performance of the individual assets being measured and assessed. Same Store NOI includes joint ventures at their pro rata share based on legal ownership.

Same Store NOI is presented for the Same Store portfolio, which comprises all properties that were owned by the Company throughout both of the reporting periods.