Page 1 of 24 Table of Contents Conference Call 800-836-8184 | ID – EastGroup February 7, 2025 11:00 a.m. Eastern Time webcast available at EastGroup.net M CO L og is tic s Ce nt er , O rla nd o, F lo rid a SUPPLEMENTAL INFORMATION December 31, 2024 400 West Parkway Place, Suite 100 Ridgeland, MS 39157 (601) 354-3555
Page 2 of 24 Table of Contents Financial Information: Consolidated Balance Sheets ................................................................................ 3 Consolidated Statements of Income and Comprehensive Income ......................... 4 Reconciliations of GAAP to Non-GAAP Measures ................................................. 5 Consolidated Statements of Cash Flows ................................................................ 7 Same Property Portfolio Analysis ........................................................................... 8 Additional Financial Information ............................................................................. 9 Financial Statistics ................................................................................................. 10 Capital Deployment: Development and Value-Add Properties Summary ................................................ 11 Development and Value-Add Properties Transferred to Real Estate Properties ..... 12 Acquisitions and Dispositions ................................................................................. 13 Real Estate Improvements and Leasing Costs ....................................................... 14 Property Information: Leasing Statistics and Occupancy Summary ......................................................... 15 Core Market Operating Statistics ........................................................................... 16 Lease Expiration Summary .................................................................................... 17 Top 10 Customers by Annualized Base Rent ......................................................... 18 Capitalization: Debt and Equity Market Capitalization ................................................................... 19 Continuous Common Equity Program .................................................................... 20 Debt-to-EBITDAre Ratios ....................................................................................... 21 Other Information: Outlook for 2025 .................................................................................................... 22 Glossary of REIT Terms ........................................................................................ 23 FORWARD-LOOKING STATEMENTS The statements and certain other information contained herein, which can be identified by the use of forward-looking terminology such as “may,” “will,” “seek,” “expects,” “anticipates,” “believes,” “targets,” “intends,” “should,” “estimates,” “could,” “continue,” “assume,” “projects,” “goals” “plans” or variations of such words and similar expressions or the negative of such words, constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbors created thereby. These forward-looking statements reflect the current views of EastGroup Properties, Inc. (the “Company” or “EastGroup”) about its plans, intentions, expectations, strategies, and prospects, which are based on the information currently available to the Company and on assumptions it has made. For instance, the amount, timing and frequency of future dividends is subject to authorization by the Company’s Board of Directors and will be based upon a variety of factors. Although the Company believes that its plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, the Company can give no assurance that such plans, intentions, expectations, or strategies will be attained or achieved. Furthermore, these forward-looking statements should be considered as subject to the many risks and uncertainties that exist in the Company’s operations and business environment. Such risks and uncertainties could cause actual results to differ materially from those projected. These uncertainties include, but are not limited to: international, national, regional and local economic conditions; the competitive environment in which the Company operates; fluctuations of occupancy or rental rates; potential defaults (including bankruptcies or insolvency) on or non-renewal of leases by tenants, or our ability to lease space at current or anticipated rents, particularly in light of ongoing interest rate uncertainty; disruption in supply and delivery chains; increased construction and development costs, including as a result of the recent inflationary environment; acquisition and development risks, including failure of such acquisitions and development projects to perform in accordance with our projections or to materialize at all; potential changes in the law or governmental regulations and interpretations of those laws and regulations, including changes in real estate laws, Real Estate Investment Trust (“REIT”) or corporate income tax laws, potential changes in zoning laws, or increases in real property tax rates, and any related increased cost of compliance; our ability to maintain our qualification as a REIT; natural disasters such as fires, floods, tornadoes, hurricanes, earthquakes, or other extreme weather events, which may or may not be caused by longer-term shifts in climate patterns, could destroy buildings and damage regional economies; the availability of financing and capital, increases in or long-term elevated interest rates, and our ability to raise equity capital on attractive terms; financing risks, including the risks that our cash flows from operations may be insufficient to meet required payments of principal and interest, and we may be unable to refinance our existing debt upon maturity or obtain new financing on attractive terms or at all; our ability to retain our credit agency ratings; our ability to comply with applicable financial covenants; credit risk in the event of non-performance by the counterparties to our interest rate swaps; how and when pending forward equity sales may settle; lack of or insufficient amounts of insurance; litigation, including costs associated with prosecuting or defending claims and any adverse outcomes; our ability to attract and retain key personnel or lack of adequate succession planning; risks related to the failure, inadequacy or interruption of our data security systems and processes, including security breaches through cyber attacks; pandemics, epidemics or other public health emergencies, such as the coronavirus pandemic; potentially catastrophic events such as acts of war, civil unrest and terrorism; and environmental liabilities, including costs, fines or penalties that may be incurred due to necessary remediation of contamination of properties presently owned or previously owned by us. All forward-looking statements should be read in light of the risks identified in Part I, Item 1A. Risk Factors within the Company’s most recent Annual Report on Form 10-K, as such factors may be updated from time to time in the Company’s periodic filings and current reports filed with the SEC. The Company assumes no obligation to update publicly any forward-looking statements, including its Outlook for 2025, whether as a result of new information, future events or otherwise.
Page 3 of 24 Consolidated Balance Sheets (In thousands, except share and per share data) (Unaudited) December 31, 2024 December 31, 2023 ASSETS Real estate properties 5,503,444$ 4,853,548 Development and value-add properties 674,472 639,647 6,177,916 5,493,195 Less accumulated depreciation (1,415,576) (1,273,723) 4,762,340 4,219,472 Unconsolidated investment 7,448 7,539 Cash and cash equivalents 17,529 40,263 Other assets 290,159 251,939 TOTAL ASSETS 5,077,476$ 4,519,213 LIABILITIES AND EQUITY LIABILITIES Unsecured bank credit facilities, net of debt issuance costs (3,595)$ (1,520) Unsecured debt, net of debt issuance costs 1,507,157 1,676,347 Accounts payable and accrued expenses 147,342 146,337 Other liabilities 134,028 89,415 Total Liabilities 1,784,932 1,910,579 EQUITY Stockholders' Equity: Common shares; $0.0001 par value; 70,000,000 shares authorized; 51,825,798 shares issued and outstanding at December 31, 2024 and 47,700,432 at December 31, 2023 5 5 Excess shares; $0.0001 par value; 30,000,000 shares authorized; no shares issued - - Additional paid-in capital 3,673,393 2,949,907 Distributions in excess of earnings (403,172) (366,473) Accumulated other comprehensive income 21,953 24,888 Total Stockholders' Equity 3,292,179 2,608,327 Noncontrolling interest in joint ventures 365 307 Total Equity 3,292,544 2,608,634 TOTAL LIABILITIES AND EQUITY 5,077,476$ 4,519,213
Page 4 of 24 Consolidated Statements of Income and Comprehensive Income (In thousands, except per share data) (Unaudited) 2024 2023 2024 2023 REVENUES Income from real estate operations 163,767$ 149,026 638,035 566,179 Other revenue 277 123 2,199 4,412 164,044 149,149 640,234 570,591 EXPENSES Expenses from real estate operations 43,195 39,368 174,212 154,030 Depreciation and amortization 49,662 45,248 189,411 171,078 General and administrative 4,043 3,740 20,619 16,757 Indirect leasing costs 229 146 785 582 97,129 88,502 385,027 342,447 OTHER INCOME (EXPENSE) Interest expense (9,192) (11,108) (38,956) (47,996) Gain on sales of real estate investments - 13,156 8,751 17,965 Other 931 774 2,805 2,435 NET INCOME 58,654 63,469 227,807 200,548 Net income attributable to noncontrolling interest in joint ventures (14) (14) (56) (57) NET INCOME ATTRIBUTABLE TO EASTGROUP PROPERTIES, INC. COMMON STOCKHOLDERS 58,640 63,455 227,751 200,491 Other comprehensive income (loss) - interest rate swaps 8,013 (17,200) (2,935) (11,483) TOTAL COMPREHENSIVE INCOME 66,653$ 46,255 224,816 189,008 BASIC PER COMMON SHARE DATA FOR NET INCOME ATTRIBUTABLE TO EASTGROUP PROPERTIES, INC. COMMON STOCKHOLDERS Net income attributable to common stockholders 1.17$ 1.35 4.67 4.43 Weighted average shares outstanding - Basic 50,241 46,831 48,803 45,224 DILUTED PER COMMON SHARE DATA FOR NET INCOME ATTRIBUTABLE TO EASTGROUP PROPERTIES, INC. COMMON STOCKHOLDERS Net income attributable to common stockholders 1.16$ 1.35 4.66 4.42 Weighted average shares outstanding - Diluted 50,339 46,980 48,911 45,331 Twelve Months Ended December 31,December 31, Three Months Ended
Page 5 of 24 Reconciliations of GAAP to Non-GAAP Measures (In thousands, except per share data) (Unaudited) 2024 2023 2024 2023 NET INCOME ATTRIBUTABLE TO EASTGROUP PROPERTIES, INC. COMMON STOCKHOLDERS 58,640$ 63,455 227,751 200,491 Depreciation and amortization 49,662 45,248 189,411 171,078 Company's share of depreciation from unconsolidated investment 31 31 125 124 Depreciation and amortization attributable to noncontrolling interest (1) (1) (5) (5) Gain on sales of real estate investments - (13,156) (8,751) (17,965) Gain on sales of non-operating real estate (140) - (362) (446) FUNDS FROM OPERATIONS ("FFO") ATTRIBUTABLE TO COMMON STOCKHOLDERS* 108,192 95,577 408,169 353,277 Gain on involuntary conversion and business interruption claims - - (1,708) (4,187) FFO ATTRIBUTABLE TO COMMON STOCKHOLDERS - EXCLUDING GAIN ON INVOLUNTARY CONVERSION AND BUSINESS INTERRUPTION CLAIMS* 108,192$ 95,577 406,461 349,090 NET INCOME 58,654$ 63,469 227,807 200,548 Interest expense (1) 9,192 11,108 38,956 47,996 Depreciation and amortization 49,662 45,248 189,411 171,078 Company's share of depreciation from unconsolidated investment 31 31 125 124 EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND AMORTIZATION ("EBITDA") 117,539 119,856 456,299 419,746 Gain on sales of real estate investments - (13,156) (8,751) (17,965) Gain on sales of non-operating real estate (140) - (362) (446) EBITDA FOR REAL ESTATE ("EBITDAre")* 117,399$ 106,700 447,186 401,335 DILUTED PER COMMON SHARE DATA FOR EASTGROUP PROPERTIES, INC. COMMON STOCKHOLDERS Net income attributable to common stockholders 1.16$ 1.35 4.66 4.42 FFO attributable to common stockholders* 2.15$ 2.03 8.35 7.79 FFO attributable to common stockholders - excluding gain on involuntary conversion and business interruption claims* 2.15$ 2.03 8.31 7.70 Weighted average shares outstanding for EPS and FFO purposes - Diluted 50,339 46,980 48,911 45,331 December 31, * This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. Three Months Ended December 31, Twelve Months Ended (1) Net of capitalized interest of $5,026 and $4,371 for the three months ended December 31, 2024 and 2023, respectively; and $19,823 and $16,235 for the twelve months ended December 31, 2024 and 2023, respectively.
Page 6 of 24 Reconciliations of GAAP to Non-GAAP Measures (Continued) (In thousands) (Unaudited) 2024 2023 2024 2023 NET INCOME 58,654$ 63,469 227,807 200,548 Gain on sales of real estate investments - (13,156) (8,751) (17,965) Gain on sales of non-operating real estate (140) - (362) (446) Interest income (512) (496) (1,334) (879) Other revenue (277) (123) (2,199) (4,412) Indirect leasing costs 229 146 785 582 Depreciation and amortization 49,662 45,248 189,411 171,078 Company's share of depreciation from unconsolidated investment 31 31 125 124 Interest expense (1) 9,192 11,108 38,956 47,996 General and administrative expense (2) 4,043 3,740 20,619 16,757 Noncontrolling interest in PNOI of consolidated joint ventures (15) (15) (62) (62) PROPERTY NET OPERATING INCOME ("PNOI")* 120,867 109,952 464,995 413,321 PNOI from 2023 and 2024 acquisitions (6,888) (2,072) (19,249) (3,334) PNOI from 2023 and 2024 development and value-add properties (9,361) (5,806) (31,544) (13,190) PNOI from 2023 and 2024 operating property dispositions - (686) (177) (2,819) Other PNOI 85 (81) 208 166 SAME PNOI (Straight-Line Basis)* 104,703 101,307 414,233 394,144 Lease termination fee income from same properties (235) (488) (2,192) (1,020) SAME PNOI EXCLUDING INCOME FROM LEASE TERMINATIONS (Straight-Line Basis)* 104,468 100,819 412,041 393,124 Straight-line rent adjustments for same properties (1,521) (1,152) (4,560) (6,429) Acquired leases — market rent adjustment amortization for same properties (324) (441) (1,400) (2,045) SAME PNOI EXCLUDING INCOME FROM LEASE TERMINATIONS (Cash Basis)* 102,623$ 99,226 406,081 384,650 * This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. Twelve Months Ended December 31, December 31, (1) Net of capitalized interest of $5,026 and $4,371 for the three months ended December 31, 2024 and 2023, respectively; and $19,823 and $16,235 for the twelve months ended December 31, 2024 and 2023, respectively. (2) Net of capitalized development costs of $2,023 and $2,489 for the three months ended December 31, 2024 and 2023, respectively; and $8,181 and $10,472 for the twelve months ended December 31, 2024 and 2023, respectively. Three Months Ended
Page 7 of 24 Consolidated Statements of Cash Flows (In thousands) (Unaudited) 2024 2023 OPERATING ACTIVITIES Net income 227,807$ 200,548 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 189,411 171,078 Stock-based compensation expense 10,476 8,965 Gain on sales of real estate investments (8,751) (17,965) Gain on sales of non-operating real estate (362) (446) Gain on involuntary conversion and business interruption claims (1,708) (4,187) Changes in operating assets and liabilities: Accrued income and other assets (13,410) (15,415) Accounts payable, accrued expenses and prepaid rent 11,130 (5,922) Other 1,994 1,546 NET CASH PROVIDED BY OPERATING ACTIVITIES 416,587 338,202 INVESTING ACTIVITIES Development and value-add properties (245,033) (388,213) Purchases of real estate (390,011) (165,116) Real estate improvements (59,288) (51,116) Net proceeds from sales of real estate investments and non-operating real estate 17,659 41,539 Leasing commissions (32,154) (32,004) Proceeds from involuntary conversion on real estate assets 2,450 5,029 Changes in accrued development costs (17,170) 12,163 Changes in other assets and other liabilities (795) 7,660 NET CASH USED IN INVESTING ACTIVITIES (724,342) (570,058) FINANCING ACTIVITIES Proceeds from unsecured bank credit facilities 64,968 471,624 Repayments on unsecured bank credit facilities (64,968) (641,624) Proceeds from unsecured debt - 100,000 Repayments on unsecured debt (170,000) (115,000) Repayments on secured debt - (1,970) Debt issuance costs (3,178) (1,818) Distributions paid to stockholders (not including dividends accrued) (252,794) (225,625) Proceeds from common stock offerings 717,659 692,312 Common stock offering related costs (507) (834) Other (6,159) (5,002) NET CASH PROVIDED BY FINANCING ACTIVITIES 285,021 272,063 INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (22,734) 40,207 CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 40,263 56 CASH AND CASH EQUIVALENTS AT END OF YEAR 17,529$ 40,263 SUPPLEMENTAL CASH FLOW INFORMATION Cash paid for interest, net of amounts capitalized of $19,823 and $16,235 for 2024 and 2023, respectively 37,185$ 47,228 Cash paid for operating lease liabilities 2,406 2,042 NON-CASH OPERATING ACTIVITY Operating lease liabilities arising from obtaining right of use assets 21,836$ 2,379 Twelve Months Ended December 31,
Page 8 of 24 Same Property Portfolio Analysis (In thousands) (Unaudited) 2024 2023 % Change 2024 2023 % Change Same Property Portfolio (1) Square feet as of period end 51,668 51,668 51,668 51,668 Average occupancy 95.6% 98.3% -2.7% 96.7% 98.2% -1.5% Occupancy as of period end 95.9% 98.5% -2.6% 95.9% 98.5% -2.6% Same Property Portfolio Analysis (Straight-Line Basis) (1) * Income from real estate operations 143,316$ 138,165 3.7% 573,588$ 540,804 6.1% Less cash received for lease terminations (235) (488) (2,192) (1,020) Income excluding lease termination income 143,081 137,677 3.9% 571,396 539,784 5.9% Expenses from real estate operations (38,613) (36,858) 4.8% (159,355) (146,660) 8.7% PNOI excluding income from lease terminations 104,468$ 100,819 3.6% 412,041$ 393,124 4.8% Same Property Portfolio Analysis (Cash Basis) (1) * Income from real estate operations 141,471$ 136,572 3.6% 567,628$ 532,330 6.6% Less cash received for lease terminations (235) (488) (2,192) (1,020) Income excluding lease termination income 141,236 136,084 3.8% 565,436 531,310 6.4% Expenses from real estate operations (38,613) (36,858) 4.8% (159,355) (146,660) 8.7% PNOI excluding income from lease terminations 102,623$ 99,226 3.4% 406,081$ 384,650 5.6% (1) Includes properties which were included in the operating portfolio for the entire period of 1/1/23 through 12/31/24. * This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. December 31, December 31, Three Months Ended Twelve Months Ended
Page 9 of 24 Additional Financial Information (In thousands) (Unaudited) 2024 2023 2024 2023 Lease income - operating leases 124,512$ 112,534 477,647 424,063 Variable lease income (1) 39,255 36,492 160,388 142,116 Income from real estate operations 163,767 149,026 638,035 566,179 Straight-line rent income adjustment 3,114 3,144 11,450 11,289 Stock-based compensation expense (2,199) (2,130) (10,476) (8,965) Debt issuance costs amortization (472) (479) (1,914) (1,943) Gain on involuntary conversion and business interruption claims (2) - - 1,708 4,187 Acquired leases - market rent adjustment amortization 1,151 628 2,916 2,483 2024 2023 2024 2023 WEIGHTED AVERAGE COMMON SHARES Weighted average common shares - Basic 50,241 46,831 48,803 45,224 BASIC SHARES FOR EARNINGS PER SHARE ("EPS") 50,241 46,831 48,803 45,224 Potential common shares: Effect of dilutive securities 98 149 108 107 DILUTED SHARES FOR EPS AND FFO 50,339 46,980 48,911 45,331 (1) Primarily includes tenant reimbursements for real estate taxes, insurance and common area maintenance. (2) Included in Other revenue on the Consolidated Statements of Income and Comprehensive Income; included in FFO. December 31, Three Months Ended Three Months Ended December 31, Twelve Months Ended December 31, Twelve Months Ended December 31, SELECTED INCOME STATEMENT INFORMATION (Items below represent increases or (decreases) in FFO)
Page 10 of 24 Financial Statistics ($ in thousands, except per share data) (Unaudited) 2024 2023 2022 2021 2020 ASSETS/MARKET CAPITALIZATION Assets 5,077,476$ 4,519,213 4,035,837 3,215,336 2,720,803 Equity Market Capitalization 8,317,522 8,754,937 6,451,794 9,403,107 5,477,783 Total Market Capitalization (Debt and Equity) (1) 9,827,522 10,434,937 8,318,835 10,859,473 6,791,879 Shares Outstanding - Common 51,825,798 47,700,432 43,575,539 41,268,846 39,676,828 Price per share 160.49$ 183.54 148.06 227.85 138.06 FFO CHANGE* FFO per diluted share 8.35$ 7.79 7.00 6.09 5.38 Change compared to same period prior year 7.2% 11.3% 14.9% 13.2% 8.0% COMMON DIVIDEND PAYOUT RATIO* Dividend distribution 5.34$ 5.04 4.70 3.58 3.08 FFO per diluted share 8.35 7.79 7.00 6.09 5.38 Dividend payout ratio 64% 65% 67% 59% 57% COMMON DIVIDEND YIELD Dividend distribution 5.34$ 5.04 4.70 3.58 3.08 Price per share 160.49 183.54 148.06 227.85 138.06 Dividend yield 3.33% 2.75% 3.17% 1.57% 2.23% FFO MULTIPLE* FFO per diluted share 8.35$ 7.79 7.00 6.09 5.38 Price per share 160.49 183.54 148.06 227.85 138.06 Multiple 19.22 23.56 21.15 37.41 25.66 INTEREST & FIXED CHARGE COVERAGE RATIO* EBITDAre 447,186$ 401,335 337,536 278,959 245,669 Interest expense 38,956 47,996 38,499 32,945 33,927 Interest and fixed charge coverage ratio 11.48 8.36 8.77 8.47 7.24 DEBT-TO-EBITDAre RATIO* Debt 1,503,562$ 1,674,827 1,861,744 1,451,778 1,310,895 EBITDAre 447,186 401,335 337,536 278,959 245,669 Debt-To-EBITDAre ratio 3.36 4.17 5.52 5.20 5.34 Adjusted debt-to-pro forma EBITDAre ratio 2.29 3.23 4.48 3.83 4.43 DEBT-TO-TOTAL MARKET CAPITALIZATION (1) 15.4% 16.1% 22.4% 13.4% 19.3% ISSUER RATINGS (2) Issuer Rating Outlook Moody's Investors Service Baa2 Stable (1) Before deducting unamortized debt issuance costs. (2) A security rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time by the assigning rating agency. * This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. Years Ended
Page 11 of 24 Development and Value-Add Properties Summary ($ in thousands) (Unaudited) Cumulative Anticipated Costs at Projected Conversion % Leased Square Feet (SF) 12/31/24 Total Costs Date (1) 2/5/25 Lease-Up SunCoast 9 Fort Myers, FL 111,000 15,630$ 17,100 02/25 0% Horizon West 6 Orlando, FL 87,000 11,739 12,700 04/25 52% Basswood 3-5 Fort Worth, TX 351,000 47,422 50,000 05/25 67% Eisenhauer Point 10-12 San Antonio, TX 223,000 28,314 30,000 05/25 33% Braselton 3 Atlanta, GA 115,000 13,759 14,300 07/25 0% Gateway South Dade 1 & 2 Miami, FL 169,000 33,213 34,900 07/25 0% Riverside 1 & 2 Atlanta, GA 284,000 31,526 33,700 07/25 44% Cass White 1 & 2 Atlanta, GA 296,000 32,604 33,900 09/25 0% Horizon West 5 Orlando, FL 85,000 9,682 12,800 12/25 0% Total Lease-up 1,721,000 223,889 239,400 28% Wgt Avg % Under Construction Northeast Trade Center 1 San Antonio, TX 264,000 25,002 32,100 04/25 100% Crossroads 1 Tampa, FL 124,000 16,634 20,000 06/25 100% Skyway 1 & 2 Charlotte, NC 318,000 31,693 37,200 01/26 0% Denton 35 Exchange 1 & 2 Dallas, TX 244,000 28,063 34,600 02/26 14% Arista 36 1-3 Denver, CO 360,000 44,796 80,300 05/26 0% Texas Avenue 1 & 2 Austin, TX 129,000 14,126 22,500 05/26 0% World Houston 46 Houston, TX 181,000 9,949 17,900 06/26 0% Crossroads 2 Tampa, FL 203,000 11,744 32,300 07/26 0% Grand West Crossing 2 Houston, TX 97,000 2,863 12,900 08/26 0% Hillside 2 Greenville, SC 141,000 2,934 15,300 10/26 0% Gateway Interchange A & B Phoenix, AZ 137,000 4,742 26,200 01/27 0% Gateway Interchange F & G Phoenix, AZ 224,000 7,633 38,000 01/27 0% Total Under Construction 2,422,000 200,179 369,300 17% Wgt Avg % Total Lease-Up and Under Construction 4,143,000 424,068$ 608,700 22% Wgt Avg % Projected Stabilized Yields (2) Yield Lease-Up 6.6% Under Construction 7.5% Lease-Up and Under Construction 7.1% Prospective Development Acres Projected SF Phoenix, AZ 33 419,000 10,935$ Sacramento, CA 4 78,000 2,664 Fort Myers, FL 20 210,000 4,270 Miami, FL 24 313,000 26,271 Orlando, FL 33 357,000 13,293 Tampa, FL 70 617,000 16,451 Atlanta, GA 138 1,406,000 17,243 Charlotte, NC 113 828,000 13,141 Greenville, SC 65 523,000 6,772 Nashville, TN 27 370,000 10,584 Austin, TX 132 1,583,000 52,672 Dallas, TX 12 160,000 4,729 Fort Worth, TX 121 1,312,000 33,518 Houston, TX 78 1,131,000 26,690 San Antonio, TX 46 612,000 11,171 Total Prospective Development 916 9,919,000 250,404 Total Development and Value-Add Properties 916 14,062,000 674,472$ (1) Development properties will transfer to the operating portfolio at the earlier of 90% occupancy or one year after shell completion. (2) Weighted average yield based on projected stabilized annual property net operating income on a straight-line basis at 100% occupancy divided by projected total costs.
Page 12 of 24 Development and Value-Add Properties Transferred to Real Estate Properties ($ in thousands) (Unaudited) Cumulative Costs at Conversion % Leased Square Feet (SF) 12/31/24 Date 2/5/25 1st Quarter Gateway 2 Miami, FL 133,000 22,426$ 02/24 100% 133,000 22,426 2nd Quarter Hillside 1 Greenville, SC 122,000 13,184 04/24 100% McKinney 1 & 2 Dallas, TX 172,000 27,522 06/24 100% 294,000 40,706 3rd Quarter MCO Logistics Center Orlando, FL 167,000 24,712 07/24 100% Stonefield 35 1-3 Austin, TX 276,000 36,997 08/24 56% Springwood 1 & 2 Houston, TX 292,000 34,837 09/24 93% 735,000 96,546 4th Quarter Horizon West 10 Orlando, FL 357,000 42,370 10/24 100% 357,000 42,370 Total Transferred to Real Estate Properties 1,519,000 202,048$ 91% Wgt Avg % Projected Stabilized Yield (1) 7.8% (1) Weighted average yield based on projected stabilized annual property net operating income on a straight-line basis at 100% occupancy divided by projected total costs.
Page 13 of 24 Acquisitions and Dispositions Through December 31, 2024 ($ in thousands) (Unaudited) Date Property Name Location Size Purchase Price (1) 1st Quarter 01/18/24 Brightstar Land Atlanta, GA 34.3 Acres 3,302$ 01/23/24 Spanish Ridge Industrial Park Las Vegas, NV 231,000 SF 54,859 2nd Quarter 05/03/24 147 Exchange Raleigh, NC 274,000 SF 52,945 3rd Quarter 08/19/24 Hays Commerce Center 3 & 4 Austin, TX 179,000 SF 35,781 4th Quarter Various (2) Station 24 Commerce Center Land Nashville, TN 26.8 Acres 10,460 11/12/24 Riverpoint Industrial Park Atlanta, GA 779,000 SF 87,576 11/21/24 DFW Global Logistics Centre 5-8 Dallas, TX 492,000 SF 75,852 12/26/24 Akimel Gateway Phoenix, AZ 519,000 SF 82,998 2,474,000 SF Total Acquisitions 61.1 Acres 403,773$ Date Property Name Location Size Gross Sales Price 1st Quarter 03/01/24 Hercules Land San Francisco, CA 3.9 Acres 4,000$ 222 (3) 03/05/24 Interchange Business Park and Metro Jackson, MS 159,000 SF 14,050 8,751 (4) Airport Commerce Center 2nd Quarter None 3rd Quarter None 4th Quarter 10/18/24 Skyway Logistics Park Land Charlotte, NC 1.5 Acres 261 140 (3) 159,000 SF Total Dispositions 5.4 Acres 18,311$ 9,113 (2) The Station 24 Land was acquired in two separate transactions during the fourth quarter of 2024. (4) Included in Gain on sales of real estate investments on the Consolidated Statements of Income and Comprehensive Income; not included in FFO. DISPOSITIONS ACQUISITIONS (1) Represents acquisition price plus closing costs. Realized Gain (3) Included in Other on the Consolidated Statements of Income and Comprehensive Income; not included in FFO.
Page 14 of 24 Real Estate Improvements and Leasing Costs (In thousands) (Unaudited) REAL ESTATE IMPROVEMENTS 2024 2023 2024 2023 Upgrade on acquisitions 19$ 1,181 1,435 1,892 Tenant improvements: New tenants 4,388 2,483 18,540 16,352 Renewal tenants 553 992 2,964 3,503 Other: Building improvements 2,342 1,358 13,006 8,085 Roofs 1,359 1,929 12,940 17,386 Parking lots 1,451 2,016 4,763 4,824 Other 833 537 4,480 1,508 TOTAL REAL ESTATE IMPROVEMENTS (1) 10,945$ 10,496 58,128 53,550 CAPITALIZED LEASING COSTS (Principally Commissions) Development and value-add 425$ 2,192 7,117 9,597 New tenants 5,826 1,684 16,478 9,379 Renewal tenants 2,934 3,957 11,318 12,696 TOTAL CAPITALIZED LEASING COSTS (2)(3) 9,185$ 7,833 34,913 31,672 (1) Reconciliation of Total Real Estate Improvements to Real Estate Improvements on the Consolidated Statements of Cash Flows: 2024 2023 Total Real Estate Improvements 58,128$ 53,550 Change in real estate property payables (719) (527) Change in construction in progress 1,879 (1,907) 59,288$ 51,116 (2) Included in Other Assets on the Consolidated Balance Sheets. (3) Reconciliation of Total Capitalized Leasing Costs to Leasing Commissions on the Consolidated Statements of Cash Flows: 2024 2023 Total Capitalized Leasing Costs 34,913$ 31,672 Change in leasing commissions payables (2,759) 332 32,154$ 32,004 Twelve Months Ended December 31, Leasing Commissions on the Consolidated Statements of Cash Flows December 31, Real Estate Improvements on the Consolidated Statements of Cash Flows Twelve Months Ended December 31, Twelve Months EndedThree Months Ended December 31,
Page 15 of 24 Leasing Statistics and Occupancy Summary (Unaudited) Three Months Ended Number of Square Feet Weighted Rental Change Rental Change PSF Tenant PSF Leasing PSF Total December 31, 2024 Leases Signed Signed Average Term Straight-Line Basis (1) Cash Basis (1) Improvement (2) Commission (2) Leasing Cost (2) (In Thousands) (In Years) New Leases (3) 36 1,161 6.8 50.8% 32.5% 5.78$ 5.03$ 10.81$ Renewal Leases 54 1,606 4.3 43.0% 26.3% 1.16 1.94 3.10 Total/Weighted Average 90 2,767 5.4 46.6% 29.2% 3.10$ 3.23$ 6.33$ Per Year 0.57$ 0.60$ 1.17$ Weighted Average Retention (4) 77.5% Twelve Months Ended Number of Square Feet Weighted Rental Change Rental Change PSF Tenant PSF Leasing PSF Total December 31, 2024 Leases Signed Signed Average Term Straight-Line Basis (1) Cash Basis (1) Improvement (2) Commission (2) Leasing Cost (2) (In Thousands) (In Years) New Leases (3) 136 3,621 5.8 60.3% 42.9% 4.80$ 4.43$ 9.23$ Renewal Leases 205 5,763 4.4 48.1% 30.7% 0.94 1.95 2.89 Total/Weighted Average 341 9,384 4.9 53.0% 35.6% 2.43$ 2.91$ 5.34$ Per Year 0.49$ 0.59$ 1.08$ Weighted Average Retention (4) 67.2% 12/31/24 09/30/24 06/30/24 03/31/24 12/31/23 Percentage Leased 97.1% 96.9% 97.4% 98.0% 98.7% Percentage Occupied 96.1% 96.5% 97.1% 97.7% 98.2% (1) Rental Change is reported for leases signed during the periods presented. (2) Per square foot (PSF) amounts represent total amounts for the life of the lease, except as noted for the Per Year amounts. (3) Does not include leases with terms less than 12 months and leases for first generation space. (4) Calculated as SF of renewal leases signed during the quarter / SF of leases expiring during the quarter plus early renewals signed (not including early terminations or bankruptcies).
Page 16 of 24 Core Market Operating Statistics December 31, 2024 (Unaudited) Total % of Total Square Feet Annualized % Straight-Line Cash Straight-Line Cash Straight-Line Cash Straight-Line Cash of Properties Base Rent (1) Leased 2025 (2) 2026 Basis Basis (4) Basis Basis (4) Basis Basis (4) Basis Basis (4) Texas Dallas 6,108,000 10.8% 98.7% 389,000 612,000 13.7% 13.4% 10.2% 9.7% 70.2% 51.4% 70.0% 50.2% Houston 7,108,000 10.0% 97.3% 595,000 1,520,000 5.6% 4.0% 4.8% 5.5% 28.0% 14.0% 31.7% 15.2% San Antonio 4,411,000 6.6% 94.0% 396,000 923,000 -1.5% -0.6% 1.6% 3.0% 23.5% 12.6% 28.6% 15.1% Austin 1,756,000 3.6% 89.7% 200,000 193,000 4.7% 6.4% 6.9% 10.5% 2.4% -2.4% 54.1% 34.8% Fort Worth 1,108,000 1.6% 90.9% 28,000 227,000 8.1% 10.7% 8.7% 12.4% N/A N/A 59.3% 45.8% El Paso 1,126,000 1.5% 98.5% 77,000 84,000 10.0% 9.0% 8.6% 8.7% N/A N/A 75.6% 54.8% 21,617,000 34.1% 96.2% 1,685,000 3,559,000 6.3% 6.1% 6.0% 6.9% 40.4% 26.4% 47.9% 30.5% Florida Orlando 4,812,000 8.4% 98.4% 494,000 482,000 0.6% -0.1% 1.4% 2.7% 47.3% 24.0% 51.6% 30.6% Tampa 4,533,000 7.4% 99.0% 733,000 1,474,000 6.4% 7.8% 9.9% 9.0% 64.6% 43.7% 75.9% 55.8% Miami/Fort Lauderdale 1,865,000 4.1% 99.2% 199,000 441,000 4.5% 4.9% 9.5% 12.0% 93.2% 62.1% 84.2% 60.2% Jacksonville 2,273,000 3.1% 97.6% 636,000 393,000 5.4% 2.6% 4.8% 4.7% 38.6% 26.0% 45.2% 32.2% Fort Myers 885,000 1.6% 93.9% 9,000 122,000 6.0% 4.3% 1.8% 2.7% N/A N/A 56.5% 34.1% 14,368,000 24.6% 98.3% 2,071,000 2,912,000 4.0% 3.8% 5.7% 6.4% 54.5% 32.2% 60.5% 40.9% California San Francisco 2,475,000 5.5% 96.2% 140,000 710,000 -2.4% -3.1% -3.8% -2.4% 38.7% 17.3% 26.1% 13.6% Los Angeles (5) 2,408,000 5.5% 100.0% 127,000 731,000 -11.8% -11.6% -3.9% -2.5% 30.9% 23.3% 61.7% 50.3% San Diego (5) 1,933,000 4.8% 96.5% 178,000 301,000 -4.9% -1.7% -1.5% 2.9% 51.8% 32.1% 63.3% 38.2% Sacramento 329,000 0.5% 100.0% 94,000 - 2.6% 5.9% -1.1% 1.8% N/A N/A 16.0% 14.4% Fresno 398,000 0.4% 93.4% 124,000 105,000 5.3% 7.5% 12.8% 11.5% 29.9% 18.0% 37.0% 25.2% 7,543,000 16.7% 97.5% 663,000 1,847,000 -5.9% -5.0% -2.6% -0.4% 39.1% 22.1% 41.4% 27.3% Arizona Phoenix 3,518,000 6.5% 98.6% 391,000 478,000 10.9% 9.8% 10.8% 12.2% 64.5% 54.5% 78.6% 60.1% Tucson 848,000 1.2% 100.0% 26,000 5,000 3.9% 4.5% 2.9% 3.8% N/A N/A 45.1% 24.6% 4,366,000 7.7% 98.9% 417,000 483,000 9.5% 8.8% 9.2% 10.5% 64.5% 54.5% 75.1% 56.3% Other Core Charlotte 3,883,000 5.3% 92.0% 229,000 352,000 3.9% 3.8% 11.3% 9.4% 68.5% 49.8% 67.4% 46.5% Las Vegas 1,396,000 3.4% 100.0% 62,000 232,000 20.7% 15.4% 14.6% 9.6% N/A N/A 49.6% 35.1% Atlanta 2,246,000 3.0% 98.1% 187,000 300,000 8.9% 3.1% 9.6% 5.5% 68.1% 52.0% 79.8% 52.4% Denver 886,000 1.6% 100.0% 106,000 180,000 2.8% 4.9% 3.5% 4.8% 21.4% 9.1% 24.5% 10.9% Greenville 1,102,000 1.4% 100.0% - 220,000 7.4% -1.3% 0.0% -2.0% N/A N/A 78.3% 60.2% 9,513,000 14.7% 96.3% 584,000 1,284,000 7.2% 5.3% 9.6% 7.4% 49.2% 33.3% 61.0% 41.2% Total Core Markets 57,407,000 97.8% 97.1% 5,420,000 10,085,000 3.7% 3.5% 4.9% 5.7% 47.5% 29.9% 53.8% 36.1% Total Other Markets 1,580,000 2.2% 98.1% 106,000 93,000 1.5% 0.2% 0.1% -0.2% 11.7% 2.3% 23.1% 17.4% Total Operating Properties 58,987,000 100.0% 97.1% 5,526,000 10,178,000 3.6% 3.4% 4.8% 5.6% 46.6% 29.2% 53.0% 35.6% (1) Based on the Annualized Base Rent as of the reporting period for occupied square feet (without S/L Rent). (2) Includes month-to-month leases. (3) Rental Change is reported for leases signed during the periods presented and does not include leases with terms less than 12 months and leases for first generation space. (4) Excludes straight-line rent adjustments. (5) Includes the Company's share of its less-than-wholly-owned real estate investments. * This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. in Square Feet Same PNOI Change* (excluding income from lease terminations) Rental Change New and Renewal Leases (3) Lease Expirations QTR YTD QTR YTD
Page 17 of 24 Lease Expiration Summary - Total Square Feet of Operating Properties Based on Leases Signed Through December 31, 2024 ($ in thousands) (Unaudited) Annualized Current % of Total Base Rent of Base Rent of Square Footage of Leases Expiring Leases Expiring LEASE EXPIRATION Leases Expiring (without S/L Rent) (without S/L Rent) Vacancy 1,698,000 -$ 0.0% 2025 (1) 5,526,000 50,843 10.1% 2026 10,178,000 85,709 17.0% 2027 10,392,000 91,190 18.0% 2028 8,031,000 72,141 14.3% 2029 7,915,000 71,009 14.1% 2030 5,735,000 47,574 9.4% 2031 2,670,000 25,944 5.1% 2032 2,227,000 17,342 3.4% 2033 2,290,000 21,216 4.2% 2034 and beyond 2,325,000 22,447 4.4% TOTAL 58,987,000 505,415$ 100.0% (1) Includes month-to-month leases.
Page 18 of 24 Top 10 Customers by Annualized Base Rent As of December 31, 2024 (Unaudited) % of Total # of % of Total Annualized Customer Leases Location Portfolio SF Base Rent (1) 1 Amazon 2 San Diego, CA 710,000 1 San Antonio, TX 57,000 1 Tucson, AZ 10,000 1.3% 1.6% 2 Mattress Firm 1 Houston, TX 202,000 1 Tampa, FL 109,000 1 San Diego, CA 66,000 1 Jacksonville, FL 49,000 1 Fort Myers, FL 25,000 0.8% 0.7% 3 REPET, Inc. 1 Los Angeles, CA 300,000 0.5% 0.7% 4 Consolidated Electrical Distributors 2 San Antonio, TX 145,000 1 Orlando, FL 104,000 1 San Francisco, CA 84,000 1 Charlotte, NC 42,000 0.6% 0.7% 5 DSV Air & Sea Inc. 3 Houston, TX 385,000 1 San Diego, CA 20,000 0.7% 0.7% 6 Trane U.S. Inc. 1 Fort Worth, TX 147,000 1 Jacksonville, FL 81,000 1 Dallas, TX 58,000 1 Greenville, SC 55,000 1 Denver, CO 18,000 1 New Orleans, LA 11,000 1 Orlando, FL 7,000 0.6% 0.6% 7 FedEx Corp. 1 Dallas, TX 157,000 1 Fort Myers, FL 63,000 1 San Diego, CA 51,000 1 Fort Lauderdale, FL 50,000 0.6% 0.6% 8 The Chamberlain Group 2 Tucson, AZ 350,000 1 Charlotte, NC 11,000 0.6% 0.6% 9 Infinite Electronics Inc. 4 Dallas, TX 320,000 0.5% 0.5% 10 Performance Food Group, Inc. 1 Orlando, FL 292,000 0.5% 0.5% 38 3,979,000 6.7% 7.2% (1) Calculation: Customer Annualized Base Rent as of 12/31/24 (without S/L Rent) / Total Annualized Base Rent (without S/L Rent). Leased Total SF
Page 19 of 24 Debt and Equity Market Capitalization December 31, 2024 ($ in thousands, except per share data) (Unaudited) Unsecured debt (fixed rate) (1) Maturity Dates Weighted Average Interest Rate Principal Payments Maturing Average Years to Maturity March 18, 2025 1.58% 50,000$ August 28, 2025 3.80% 20,000 October 1, 2025 3.97% 25,000 October 7, 2025 3.99% 50,000 Year 2026 2.56% 140,000 Year 2027 2.74% 175,000 Year 2028 3.10% 160,000 Year 2029 3.88% 155,000 Year 2030 and beyond 3.61% 735,000 Total unsecured debt (fixed rate) (1) 3.34% 1,510,000 4.8 Unsecured bank credit facilities (variable rate) $50MM Line - 5.335% - matures 7/31/2028 - $625MM Line - 5.222% - matures 7/31/2028 - Total carrying amount of debt 1,510,000 Total unamortized debt issuance costs (6,438) Total debt, net of unamortized debt issuance costs 1,503,562$ Equity market capitalization Shares outstanding - common 51,825,798 Price per share at quarter end 160.49$ Total equity market capitalization 8,317,522$ Total market capitalization (debt and equity) (2) 9,827,522$ Total debt / total market capitalization (2) 15.4% (1) These loans have a fixed interest rate or an effectively fixed interest rate due to interest rate swaps. (2) Debt refers to total carrying amount of debt.
Page 20 of 24 Continuous Common Equity Program Through December 31, 2024 ($ in thousands, except per share data) (Unaudited) Common Stock Weighted Average Price Gross Proceeds (1) (In shares) (Per share) (In thousands) 1st Quarter 2024: Total shares issued and proceeds received during the three months ended 3/31/2024 - -$ -$ 2nd Quarter 2024: Total shares issued and proceeds received during the three months ended 6/30/2024 218,929 168.62$ 36,916$ (3) 3rd Quarter 2024: Total shares issued and proceeds received during the three months ended 9/30/2024 239,750 179.74$ 43,093$ (3) 4th Quarter 2024: Total shares issued and proceeds received during the three months ended 12/31/2024 914,780 174.23$ 159,381$ (3) Total direct common stock issuance for the twelve months ended 12/31/2024 1,373,459 174.30$ 239,390$ Common Stock Weighted Average Price Gross Proceeds (1) (In shares) (Per share) (In thousands) Forward Shares Agreements Outstanding at 12/31/2023 406,041 183.92$ 74,679$ 1st Quarter 2024: Forward shares issued and proceeds received (272,342) 183.59 (50,000) (3) New forward sale agreements 286,671 181.95 52,160 Forward Shares Agreements Outstanding at 3/31/2024 420,370 182.79$ 76,839$ 2nd Quarter 2024: Forward shares issued and proceeds received (420,370) 182.79 (76,839) (3) New forward sale agreements 600,053 166.65 100,000 Forward Shares Agreements Outstanding at 6/30/2024 600,053 166.65$ 100,000$ 3rd Quarter 2024: Forward shares issued and proceeds received (300,502) 166.39 (50,000) (3) New forward sale agreements 1,099,612 185.80 204,306 Forward Shares Agreements Outstanding at 9/30/2024 1,399,163 181.76$ 254,306$ 4th Quarter 2024: Forward shares issued and proceeds received (1,704,863) 180.55 (307,814) (3) New forward sale agreements 690,953 175.05 120,954 Forward Shares Agreements Outstanding at 12/31/2024 385,253 175.07$ 67,446$ Forward shares issued and proceeds received (214,138) 174.87 (37,446) (4) Forward Shares Agreements Outstanding at 2/5/2025 (2) 171,115 175.32$ 30,000$ Gross Sales Price (In thousands) Total Gross Sales Price Authorized for Issuance on 10/25/2024 1,000,000$ Amount settled from 10/25/2024 through 2/5/2025 (250,335) Amount of outstanding forward equity sale agreements as of 2/5/2025 (30,000) (2) Remaining Capacity for Issuance as of 2/5/2025 719,665$ (1) During the three and twelve months ended December 31, 2024, the Company recognized offering-related costs for direct issuances and forward agreements of $5,037,000 and $7,747,000 respectively, which are not deducted from proceeds above. SALES AGENCY FINANCING AGREEMENTS (4) Gross proceeds received under the Company's continuous equity offering from 1/1/2025 through 2/5/2025 were $37,446,000. (3) Gross proceeds received under the Company's continuous equity offering from 1/1/2024 through 12/31/2024 were $724,043,000. DIRECT COMMON STOCK ISSUANCE ACTIVITY (2) Available through forward equity sale agreements before the applicable settlement periods expire in November 2025. FORWARD EQUITY SALE AGREEMENTS ACTIVITY
Page 21 of 24 Debt-to-EBITDAre Ratios ($ in thousands) (Unaudited) Quarter Ended December 31, 2024 (1) 2024 2023 2022 2021 2020 Debt 1,503,562$ 1,503,562$ 1,674,827 1,861,744 1,451,778 1,310,895 EBITDAre* 117,399 447,186 401,335 337,536 278,959 245,669 DEBT-TO-EBITDAre RATIO* 3.20 3.36 4.17 5.52 5.20 5.34 Debt 1,503,562$ 1,503,562$ 1,674,827 1,861,744 1,451,778 1,310,895 Subtract development and value-add properties in lease-up or under construction (424,068) (424,068) (374,924) (324,831) (376,611) (225,964) Adjusted Debt* 1,079,494$ 1,079,494$ 1,299,903 1,536,913 1,075,167 1,084,931 EBITDAre* 117,399$ 447,186$ 401,335 337,536 278,959 245,669 Adjust for acquisitions as if owned for entire period 4,632 26,514 5,490 6,900 4,213 1,906 Adjust for development and value-add properties in lease-up or under construction (827) (1,558) (1,909) (857) (700) (1,327) Adjust for properties sold during the period - (177) (2,001) (235) (1,517) (1,081) Pro Forma EBITDAre* 121,204$ 471,965$ 402,915 343,344 280,955 245,167 ADJUSTED DEBT-TO-PRO FORMA EBITDAre RATIO* 2.23 2.29 3.23 4.48 3.83 4.43 (1) Quarterly calculations annualize EBITDAre for the quarter. (2) Yearly calculations use EBITDAre for the 12-month period. * This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. Years Ended December 31, (2)
Page 22 of 24 Outlook for 2025 (Unaudited) Q1 2025 Y/E 2025 Q1 2025 Y/E 2025 Net income attributable to common stockholders 55,378$ 248,094 59,544 258,632 Depreciation and amortization 51,353 215,768 51,353 215,768 Funds from operations attributable to common stockholders* 106,731$ 463,862 110,897 474,400 Weighted average shares outstanding - Diluted 52,070 52,686 52,070 52,686 Per share data (diluted): Net income attributable to common stockholders 1.06$ 4.71 1.14 4.91 Funds from operations attributable to common stockholders 2.05 8.80 2.13 9.00 The following assumptions were used for the mid-point: Metrics FFO per share $8.80 - $9.00 $8.35 FFO per share increase over prior year 6.6% 7.2% FFO per share increase over prior year excluding gain on involuntary conversion and business interruption claims 7.1% 7.9% Same PNOI growth: cash basis (1) 5.4% - 6.4% (2) 5.6% Average month-end occupancy - operating portfolio 95.5% - 96.5% 96.8% Development starts: Square feet 2.5 million 1.6 million Projected total investment $300 million $230 million Operating property acquisitions $150 million $390 million Operating property dispositions (Potential gains on dispositions are not included in the projections) $15 million $14 million Capital proceeds $450 million $724 million General and administrative expense (3) $21.1 million $20.6 million *This is a non-GAAP financial measure. Please refer to Glossary of REIT Terms. Initial Guidance for Year 2025 Actual for Year 2024 (2) Includes properties which have been in the operating portfolio since 1/1/24 and are projected to be in the operating portfolio through 12/31/25; includes 54,633,000 square feet. (3) Approximately 37% of the estimated annual general and administrative expense is expected to be incurred in the first quarter of 2025, primarily due to accelerated expense for employees who are retirement-eligible under our equity incentive plans. (1) Excludes straight-line rent adjustments, amortization of market rent intangibles for acquired leases, and income from lease terminations. Low Range (In thousands, except per share data) High Range
Page 23 of 24 Glossary of REIT Terms Listed below are definitions of commonly used real estate investment trust (“REIT”) industry terms. For additional information on REITs, please see the National Association of Real Estate Investment Trusts (“Nareit”) web site at www.reit.com. Adjusted Debt-to-Pro Forma EBITDAre Ratio: A ratio calculated by dividing a company’s adjusted debt by its pro forma EBITDAre. Debt is adjusted by subtracting the cost of development and value-add properties in lease-up or under construction. EBITDAre is further adjusted by adding an estimate of NOI for significant acquisitions as if the acquired properties were owned for the entire period, and by subtracting NOI from development and value-add properties in lease-up or under construction and from properties sold during the period. The Adjusted Debt-to-Pro Forma EBITDAre Ratio is a non-GAAP financial measure used to analyze the Company’s financial condition and operating performance relative to its leverage, on an adjusted basis, so as to normalize and annualize property changes during the period. Cash Basis: The Company adjusts its GAAP reporting to exclude straight-line rent adjustments and amortization of market rent intangibles for acquired leases. The cash basis is an indicator of the rents charged to customers by the Company during the periods presented and is useful in analyzing the embedded rent growth in the Company’s portfolio. Debt-to-EBITDAre Ratio: A ratio calculated by dividing a company’s debt by its EBITDAre; this non-GAAP measure is used to analyze the Company’s financial condition and operating performance relative to its leverage. Debt-to-Total Market Capitalization Ratio: A ratio calculated by dividing a company’s debt by the total amount of a company’s equity (at market value) and debt. Earnings Before Interest Taxes Depreciation and Amortization for Real Estate (“EBITDAre”): In accordance with standards established by Nareit, EBITDAre is computed as Earnings, defined as Net Income, excluding gains or losses from sales of real estate investments and non-operating real estate, plus interest, taxes, depreciation and amortization. EBITDAre is a non-GAAP financial measure used to measure the Company’s operating performance and its ability to meet interest payment obligations and pay quarterly stock dividends on an unleveraged basis. Funds From Operations (“FFO”): FFO is the most commonly accepted reporting measure of a REIT’s operating performance, and the Company computes FFO in accordance with standards established by Nareit in the Nareit Funds from Operations White Paper — 2018 Restatement. It is equal to a REIT’s net income (loss) attributable to common stockholders computed in accordance with generally accepted accounting principles (“GAAP”), excluding gains and losses from sales of real estate property (including other assets incidental to the Company’s business) and impairment losses, adjusted for real estate related depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. FFO is a non-GAAP financial measure used to evaluate the performance of the Company’s investments in real estate assets and its operating results. FFO Excluding Gain on Involuntary Conversion and Business Interruption Claims: A reporting measure calculated as FFO (as defined above), adjusted to exclude gain on involuntary conversion and business interruption claims. The Company believes that this exclusion presents a more meaningful comparison of operating performance. Interest and Fixed Charge Coverage Ratio: A non-GAAP financial measure calculated by dividing the Company’s EBITDAre by its interest expense. We believe this ratio is useful to investors because it provides a basis for analysis of the Company’s leverage, operating performance and its ability to service the interest payments due on its debt. Industrial Properties: Generally consisting of one or more buildings comprised of four concrete walls tilted up on a slab of concrete. An internal office component is then added. Business uses include warehousing, distribution, light manufacturing and assembly, research and development, showroom, office, or a combination of some or all of the aforementioned. Leases Expiring and Renewal Leases Signed of Expiring Square Feet: Includes renewals during the period with terms commencing during the period and after the end of the period. Operating Land: Land with no buildings or improvements that generates income from leases with tenants; included in Real estate properties on the Consolidated Balance Sheets. Operating Properties: Stabilized real estate properties (land including buildings and improvements) in the Company’s operating portfolio; included in Real estate properties on the Consolidated Balance Sheets. Percentage Leased: The percentage of total leasable square footage for which there is a signed lease, including month-to-month leases, as of the close of the reporting period. Space is considered leased upon execution of the lease.
Page 24 of 24 Glossary of REIT Terms (continued) Percentage Occupied: The percentage of total leasable square footage for which the lease term has commenced as of the close of the reporting period. Property Net Operating Income (“PNOI”): Income from real estate operations less Expenses from real estate operations (including market-based internal management fee expense) plus the Company’s share of income and property operating expenses from its less-than-wholly-owned real estate investments. PNOI is a non-GAAP, property-level supplemental measure of performance used to evaluate the performance of the Company’s investments in real estate assets and its operating results. Real Estate Investment Trust (“REIT”): A company that owns and, in most cases, operates income-producing real estate such as apartments, shopping centers, offices, hotels and warehouses. Some REITs also engage in financing real estate. The shares of most REITs are freely traded, usually on a major stock exchange. To qualify as a REIT, a company must distribute at least 90 percent of its taxable income to its stockholders annually. A company that qualifies as a REIT is permitted to deduct dividends paid to its stockholders from its corporate taxable income. As a result, most REITs remit at least 100 percent of their taxable income to their stockholders and therefore owe no corporate federal income tax. Taxes are paid by stockholders on the dividends received. Most states honor this federal treatment and also do not require REITs to pay state income tax. Rental changes on new and renewal leases: Rental changes are calculated as the difference, weighted by square feet, of the annualized base rent due the first month of the new lease’s term and the annualized base rent of the rent due the last month of the former lease’s term, for leases signed during the reporting period. If free rent is given, then the first positive full rent value is used. Rental amounts exclude base stop amounts, holdover rent, and premium or discounted rent amounts. This calculation excludes leases with terms less than 12 months and leases for first generation space on properties acquired or developed by EastGroup. Same Properties: Operating properties owned during the entire current and prior year reporting periods. Properties developed or acquired are excluded until held in the operating portfolio for both the current and prior year reporting periods. Properties sold during the current or prior year reporting periods are excluded. The Same Property Pool includes properties which were included in the operating portfolio for the entire period from January 1, 2023 through December 31, 2024. Same Property Net Operating Income (“Same PNOI”): Income from real estate operations less Expenses from real estate operations (including market-based internal management fee expense), plus the Company’s share of income and property operating expenses from its less-than-wholly-owned real estate investments, for the same properties owned by the Company during the entire current and prior year reporting periods. Same PNOI is a non-GAAP, property-level supplemental measure of performance used to evaluate the performance of the Company’s investments in real estate assets and its operating results on a same property basis. Same PNOI Excluding Income from Lease Terminations: Same PNOI (as defined above), adjusted to exclude income from lease terminations. The Company believes it is useful to evaluate Same PNOI Excluding Income from Lease Terminations on both a straight-line and cash basis. The straight-line basis is calculated by averaging the customers’ rent payments over the lives of the leases; GAAP requires the recognition of rental income on the straight-line basis. The cash basis excludes adjustments for straight-line rent and amortization of market rent intangibles for acquired leases; the cash basis is an indicator of the rents charged to customers by the Company during the periods presented and is useful in analyzing the embedded rent growth in the Company’s portfolio. Straight-Lining: The process of averaging the customer’s rent payments over the life of the lease. GAAP requires real estate companies to “straight-line” rents. Total Return: A stock’s dividend income plus capital appreciation/depreciation over a specified period as a percentage of the stock price at the beginning of the period. Value-Add Properties: Properties that are either acquired but not stabilized or can be converted to a higher and better use. Properties meeting either of the following two conditions are considered value-add properties: (1) Less than 75% leased as of the acquisition date (or will be less than 75% occupied within one year of acquisition date based on near term lease roll), or (2) 20% or greater of the gross carrying amount will be spent to redevelop the property.