Centerspace : Investor Presentation, February 28, 2025

Published: 2025-03-02 14:34:19 ET CSR

INVESTOR PRESENTATION

February 28, 2025

The Venue on Knox - Minneapolis, MN

MISSION & VISION

71 France - Edina, MN

OUR MISSION

OUR VISION

To provide a great home- for our residents,

our team members, and our investors.

To be the premier provider of apartment homes in vibrant communities by focusing on integrity and serving others.

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COMPANY OVERVIEW

Differentiated

Multifamily Market

Exposure

13,012(1)

Apartments owned

and operated

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Key Indices

S&P SmallCap 600

MSCI US REIT

Russell 2000

NYSE: CSR

$2.3 Billion(2)

Total capitalization

RESULTS

I NNOVATION

S ERVICE

E NGAGEMENT

RISE is Centerspace's commitment to Results, Innovation, Service, and Engagement. It is how we monitor and measure our performance in our quest to provide a great home - for our residents, our team, and our investors.

CASH FLOW GROWTH FOCUS

CENTERSPACE

is guided by the north star of increasing distributable cash flow

TO EXECUTE OUR VISION, WE FOCUS ON:

Exceptional customer experience

Diverse talent to enable a culture of engagement

Enhancing efficiencies by scaling the business

Managing the balance sheet to maximize financial flexibility

Investing in high-quality and efficient rental communities

Leveraging technology and systems

Environmental, Social, Governance (ESG)

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RESULTS - 2025 FINANCIAL OUTLOOK

2024

-------------------

2025 Guidance Range

--------------------

Actual

Low

Mid-Point

High

Same-Store Growth

Revenues

3.3%

1.50%

2.50%

3.50%

Expenses

2.7%

2.00%

3.00%

4.00%

NOI

3.7%

1.25%

2.25%

3.25%

Per Share

Net Income (Loss)

($1.27)

($0.71)

($0.58)

($0.45)

FFO

$4.49

$4.73

$4.85

$4.97

Core FFO

$4.88

$4.86

$4.98

$5.10

Other Key Assumptions

Cascade Shores Townhomes + Flats - Rochester, MN

Note: Reconciliations of the above can be found in the appendix of this presentation

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RESULTS - FAVORABLE GROWTH PROFILE

Core FFO/sh Growth, Guidance Midpoint

SS NOI Growth, Guidance Midpoint

2.5%

2.3% at Midpoint

2.0%

2.0% at Midpoint

2.0%

1.5%

1.0%

0.5%

1.0%

0.0%

0.5%

-0.5%

0.0%

-1.0%

CSR

SMID Cap Apt

Non-coastal/Sunbelt

All Multifamily

CSR

SMID Cap Apt

Non-coastal/Sunbelt

All Multifamily

SS Revenue Growth, Guidance Midpoint

SS Expense Growth, Guidance Midpoint

3.0%

4.0%

2.5%

2.5% at Midpoint

3.5%

2.0%

1.5%

3.0% at Midpoint

3.0%

1.0%

2.5%

0.5%

0.0%

2.0%

CSR

SMID Cap Apt

Non-coastal/Sunbelt

All Multifamily

CSR

SMID Cap Apt

Non-coastal/Sunbelt

All Multifamily

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Note: Data is based on midpoint of 2025 guidance ranges provided by noted peers with Q4 2024 earnings. SMID Cap Apt group includes ELME, IRT, and NXRT. Non-coastal/Sunbelt

group includes CPT, ELME, IRT, MAA, and NXRT. All multifamily group includes AVB, CPT, ELME, EQR, ESS, IRT, MAA, NXRT, and UDR. Source data: Company Filings

RESULTS - RENEWALS HOLDING STRONG; LEASING SPREADS RETURNING TO NORMAL SEASONAL PATTERNS

3.3%

1.4%

SAME STORE LEASING UPDATE

New Renewal Blended

3.4% 3.5% 3.5%

3.1%3.1%

1.5%

3.5%

0.3%

0.0%

Q1 2024

Q2 2024

-1.3%

-3.5%

Q3 2024

Q4 2024

-0.3%

-2.4%

Q1 2025 QTD

Oxbo - St. Paul, MN

Note: Data represents 2025 Same Store pool. QTD leasing spreads are through February 21, 2025

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RESULTS - LEASING SPREADS RETURNING TO NORMAL SEASONAL PATTERNS

Centerspace has grown average rents even in volatile economic times

SAME STORE LEASING

$1,580

$1,560

$1,540

$1,520

$1,500

$1,480

$1,460

$1,440

7.00%

6.00%

5.00%

4.00%

3.00%

2.00%

1.00%

0.00%

-1.00% -2.00% -3.00% -4.00%

Q1 2023

Q2 2023

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

Q4 2024

Q1 2025 QTD

Avg Rent Occupied

New % Change

Renewal % Change

Blended % Change

Q1 2024

Q2 2024

Q3 2024

Q4 2024

Q1 2025 QTD

Note: Data represents 2024 Same Store pool adjusted for

Occupancy

94.5%

95.2%

94.9%

95.3%

dispositions to allow for showing two years of data. Occupancy

Expirations

represents weighted average physical occupancy. Information is

17.7%

29.0%

34.4%

19.7%

7.2%

through February 21, 2025

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RESULTS - NOI COMPOSITION & RENTAL RATE GROWTH

Market

% of Total NOI

Minneapolis, MN

31.8%

Denver, CO

22.9%

North Dakota

11.3%

Rochester, MN

9.5%

Other Mountain West

9.0%

Omaha, NE

6.9%

St. Cloud, MN

5.4%

Fort Collins, CO

3.3%

Total

100.0%

2024 vs 2023 Rental Rate Growth

Blended

0.6%

1.1%

5.8%

4.0%

2.0%

1.2%

1.0%

1.9%

Rent

8.0%

6.0%

4.0%

New Lease Rents

2.0%

Renewal Rents

0.0%

-2.0%

Palisades Apartments - Roseville, MN

Note: NOI contribution is Q4 2024 multifamily only. Components may not total 100% due to rounding. Rental rate growth is Full Year 2024 compared to Full Year 2023

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Disclaimer

Centerspace published this content on February 28, 2025, and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on March 02, 2025 at 19:32:59.370.