SEC Filing | Easterly Government Properties

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8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 or 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported):

November 5, 2024

Easterly Government Properties, Inc.

(Exact name of Registrant as Specified in Its Charter)


Maryland	001-36834	47-2047728
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

2001 K Street NW, Suite 775 North, Washington, D.C.		20006
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s Telephone Number, Including Area Code: (202) 595-9500

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):


☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


Securities registered pursuant to Section 12(b) of the Act:
Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock	DEA	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

On November 5, 2024, we issued a press release announcing our results of operations for the third quarter ended September 30, 2024. A copy of this press release as well as a copy of our supplemental information package are available on our website and are attached hereto as Exhibits 99.1 and 99.2 and incorporated herein by reference. The information in this Item 2.02 as well as the attached Exhibits 99.1 and 99.2 are being furnished and shall not be deemed “filed” for any purpose, including for the purposes of Section 18 of the Securities and Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act regardless of any general incorporation language in such filing.

We will host a webcast and conference call at 11:00 a.m. Eastern Time on November 5, 2024, to review our third quarter ended 2024 performance, discuss recent events and conduct a question-and-answer session. A live webcast will be available in the Investor Relations section of our website. Please note that the full text of the press release and supplemental information package are available through our website at ir.easterlyreit.com. The information contained on our website is not incorporated by reference herein.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits:


Exhibit Number	Description
99.1	Press Release dated November 5, 2024.
99.2	Easterly Government Properties, Inc. Supplemental Information Package for the quarter ended September 30, 2024.
104	Cover Page Interactive Data File (embedded within the inline XBRL document.)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


EASTERLY GOVERNMENT PROPERTIES, INC.

By:		/s/ Allison E. Marino
Name:		Allison E. Marino
Title:		Executive Vice President, Chief Financial Officer and Chief Accounting Officer

Date: November 5, 2024

EX-99.1

Exhibit 99.1

EASTERLY GOVERNMENT PROPERTIES

REPORTS THIRD QUARTER 2024 RESULTS

WASHINGTON, D.C. – November 5, 2024 – Easterly Government Properties, Inc. (NYSE: DEA) (the “Company” or “Easterly”), a fully integrated real estate investment trust (“REIT”) focused primarily on the acquisition, development and management of Class A commercial properties leased to the U.S. Government, today announced its results of operations for the quarter ended September 30, 2024.

Highlights for the Quarter Ended September 30, 2024:

•

Net income of $5.1 million, or $0.05 per share on a fully diluted basis

•

Core FFO of $32.2 million, or $0.30 per share on a fully diluted basis

•

Entered into a construction loan agreement to lend up to $52.1 million to a developer in connection with the re-development of an approximately 68,669 square foot Drug Enforcement Administration (DEA) facility located in Bedford, Massachusetts (“DEA - Bedford”)

•

Acquired, through the Company's previously announced joint venture (the “JV”), a 193,100 leased square foot Department of Veterans Affairs (the “VA”) outpatient clinic located in Jacksonville, Florida (“VA - Jacksonville”). VA - Jacksonville is the final property to be acquired in the previously announced portfolio of 10 properties 100% leased to the VA under predominately 20-year firm term leases

•

Acquired a 99,246 square foot facility 100% leased to Northrop Grumman Systems Corporation (NYSE: NOC, S&P: BBB+), a multinational aerospace and defense company and located in Beavercreek, Ohio, a suburb of Dayton (“Northrop Grumman - Dayton”)

•

Issued an aggregate of 2,631,727 shares of the Company's common stock in settlement of previously entered into forward sales transactions through the Company's $300.0 million ATM Program launched in December 2019 (the “December 2019 ATM Program”) at a weighted average price per share of $13.33, raising net proceeds to the Company of approximately $35.1 million

“Easterly's accelerated acquisition activity this quarter underscores our pipeline of long-term growth opportunities,” said Darrell Crate, President and CEO of Easterly Government Properties. “We achieved important milestones to expand our total addressable market in the government-adjacent space and continue to deliver value for our shareholders through specialized, mission critical real estate.”

Financial Results for the Nine Months Ended September 30, 2024:

Net income of $14.8 million, or $0.14 per share on a fully diluted basis

Core FFO of $94.3 million, or $0.87 per share on a fully diluted basis

Portfolio Operations

As of September 30, 2024, the Company or its JV owned 95 operating properties in the United States encompassing approximately 9.3 million leased square feet, including 92 operating properties that were leased primarily to U.S. Government tenant agencies, two operating properties that were entirely leased to private tenants, and one operating property leased primarily to tenant agencies of a high-credit U.S. state government.

In addition, the Company wholly owned two properties in development that the Company expects will encompass approximately 0.2 million rentable square feet upon completion. The first re-development project, located in Atlanta, Georgia, is currently under construction and, once complete, a 20-year lease with the U.S. General Services Administration (GSA) is expected to commence for the beneficial use of the U.S. Food and Drug Administration (FDA). The second project, located in Flagstaff, Arizona, is currently in design and, once complete, a 20-year lease with the GSA is expected to commence for the beneficial use of the United States Judiciary. As of September 30, 2024, the portfolio had a weighted average age of 14.8 years, based upon the date properties were built or renovated-to-suit, and had a weighted average remaining lease term of 10.2 years.

Balance Sheet and Capital Markets Activity

As of September 30, 2024, the Company had total indebtedness of approximately $1.5 billion comprised of $149.6 million outstanding on its senior unsecured revolving credit facility, $100.0 million outstanding on its 2016 term loan facility, $174.5 million outstanding on its 2018 term loan facility, $900.0 million of senior unsecured notes, and $157.4 million of mortgage debt (excluding unamortized premiums and discounts and deferred financing fees). The Company's outstanding debt had a weighted average maturity of 4.9 years and a weighted average interest rate of 4.6%. Further, the Company's Net Debt to total enterprise value was 49.0% and its Adjusted Net Debt to annualized quarterly pro forma EBITDA ratio was 7.0x.

Acquisitions and Development Lending Activity

On August 6, 2024, the Company entered into a construction loan agreement to lend up to $52.1 million to a developer (the “Borrower”) in connection with the re-development of an approximately 68,669 square foot Drug Enforcement Administration (DEA) facility located in Bedford, Massachusetts (“DEA - Bedford”). The construction loan will accrue interest monthly at a fixed market rate of 9.00% per annum and will be re-paid through draws made on the construction loan. The construction loan shall be repaid in full on or before August 31, 2027, the maturity date. Upon completion of the development, at the Company’s election, the Company has the option through a Membership Interest Purchase Agreement to purchase all of the issued and outstanding membership interest from the Borrower through a special purpose entity (“SPE”) which solely holds the developed property.

On August 29, 2024, the Company acquired the previously announced 193,100 leased square foot outpatient facility leased to the VA located in Jacksonville, Florida. VA - Jacksonville is the final property to be acquired in the previously announced portfolio of 10 properties 100% leased to the VA under predominately 20-year firm term leases. VA - Jacksonville supports veterans within the surrounding region through primary and specialty healthcare services including prosthetics, physical therapy, occupational therapy, traumatic brain injury treatment, and rehabilitation medicine. The facility also features a domiciliary which provides housing to veterans who are otherwise homeless, require substance abuse treatment, or need additional full-time care. Over 1.4 million veterans reside in the State of Florida, representing the third largest veteran population in the nation.

On September 4, 2024, the Company acquired Northrop Grumman - Dayton, a build-to-suit facility that has been occupied by Northrop Grumman Systems Corporation since 2012 and incorporates robust security enhancements, including secure design standards, access control systems, and security cameras, all of which aid in the confidentiality and integrity of the tenant’s operations. The property sits adjacent to Gate 22B at the Wright-Patterson Air Force Base, the main access point for the Air Force Research Laboratory’s (AFRL) headquarters and the Air Force Institute of Technology. Dating back to its founding in 1917, the AFRL is the primary scientific research and development center for the Department of the Air Force and plays an integral role in leading the discovery, development, and integration of warfighting technologies for the country’s air, space, and cyberspace force. With a workforce of more than 12,500 employees across nine technology areas and 40 other operations across the globe, AFRL provides a diverse portfolio of science and technology ranging from fundamental to advanced research and technology development.

Dividend

On October 31, 2024, the Board of Directors of Easterly approved a cash dividend for the third quarter of 2024 in the amount of $0.265 per common share. The dividend will be payable November 27, 2024 to shareholders of record on November 15, 2024.

Subsequent Events

On October 10, 2024, the Company acquired a 104,136 square foot facility 100% leased to Northrop Grumman Systems Corporation (NYSE: NOC, S&P: BBB+), a multinational aerospace and defense company, located in Aurora, Colorado (“Northrop Grumman - Aurora”). The facility, developed in 2002, was built-to-suit for TRW Inc., an aerospace and automotive corporation acquired by Northrop Grumman in that same year. Approximately 70% of the three-floor buildout is constructed under secure design standards as required by the U.S. Government related to the tenant’s contracts with Buckley Space Force Base (“Buckley SFB”). This secure space is certified and accredited as meeting Director of National Intelligence security standards for the processing, storage, and discussion of sensitive compartmented information. The property is located immediately west of Buckley SFB, which contributes an estimated $2.5 billion annually to the local economy and provides strategic and theater missile warning to the United States and its International Partners. The base supports 3,500 active-duty members from every service, 4,000 National Guard personnel and Reservists, four commonwealth international partners, 2,400 civilians, 2,500 contractors, 94,000 retirees and approximately 40,000 veterans and dependents.

Subsequent to the quarter ending September 30, 2024, the Company entered into forward sales transactions through the December 2019 ATM Program for the sale of 500,000 shares of the Company's common stock at a net weighted average initial forward sales price of $13.32 per share that have not yet been settled, for which, as of the date of this release, the Company expects to receive aggregate net proceeds of approximately $6.7 million, assuming these forward sales transactions are physically settled at such price.

Guidance

This guidance is forward-looking and reflects management’s view of current and future market conditions. The Company’s actual results may differ materially from this guidance.

Outlook for the 12 Months Ending December 31, 2024

The Company is maintaining its guidance for full-year 2024 Core FFO per share on a fully diluted basis at a range of $1.15 - $1.17.


	Low		High
Net income (loss) per share – fully diluted basis	$	0.22		0.24
Plus: Company’s share of real estate depreciation and amortization	$	0.92		0.92
FFO per share – fully diluted basis	$	1.14		1.16
Plus: Company’s share of depreciation of non-real estate assets	$	0.01		0.01
Core FFO per share – fully diluted basis	$	1.15		1.17

This guidance assumes (i) approximately $90 million in additional wholly owned acquisitions for the remainder of 2024, and (iii) $100 - $110 million of gross development-related investment during 2024.

Outlook for the 12 Months Ending December 31, 2025

The Company is introducing its guidance for full-year 2025 Core FFO per share on a fully diluted basis at a range of $1.17 - $1.21.


	Low		High
Net income (loss) per share – fully diluted basis	$	0.24		0.28
Plus: Company’s share of real estate depreciation and amortization	$	0.92		0.92
FFO per share – fully diluted basis	$	1.16		1.20
Plus: Company’s share of depreciation of non-real estate assets	$	0.01		0.01
Core FFO per share – fully diluted basis	$	1.17		1.21

This guidance assumes $25 - $35 million of gross development-related investment during 2025.

Non-GAAP Supplemental Financial Measures

This section contains definitions of certain non-GAAP financial measures and other terms that the Company uses in this press release and, where applicable, the reasons why management believes these non-GAAP financial measures provide useful information to investors about the Company’s financial condition and results of operations and the other purposes for which management uses the measures. These measures should not be considered in isolation or as a substitute for measures of performance in accordance with GAAP. A reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure are included in this press release following the consolidated financial statements. Additional detail can be found in the Company’s most recent annual report on Form 10-K and quarterly report on Form 10-Q, as well as other documents filed with or furnished to the Securities and Exchange Commission from time to time. We present certain financial information and metrics “at Easterly’s Share,” which is calculated on an entity-by-entity basis. “At Easterly’s Share” information, which we also refer to as being “at share,” “pro rata,” or “our share” is not, and is not intended to be, a presentation in accordance with GAAP.

Cash Available for Distribution (CAD) is a non-GAAP financial measure that is not intended to represent cash flow for the period and is not indicative of cash flow provided by operating activities as determined under GAAP. CAD is calculated in accordance with the current Nareit definition as FFO minus normalized recurring real estate-related expenditures and other non-cash items, nonrecurring expenditures and the unconsolidated real estate venture’s allocated share of these adjustments. CAD is presented solely as a supplemental disclosure because the Company believes it provides useful information regarding the Company’s ability to fund its dividends. Because all companies do not calculate CAD the same way, the presentation of CAD may not be comparable to similarly titled measures of other companies.

Core Funds from Operations (Core FFO) adjusts FFO to present an alternative measure of the Company's operating performance, which, when applicable, excludes items which it believes are not representative of ongoing operating results, such as liability management related costs (including losses on extinguishment of debt and modification costs), catastrophic event charges, depreciation of non-real estate assets, provision for credit losses, and the unconsolidated real estate venture's allocated share of these adjustments. In future periods, the Company may also exclude other items from Core FFO that it believes may help investors compare its results. The Company believes Core FFO more accurately reflects the ongoing operational and financial performance of the Company's core business.

considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP, is not indicative of operating income or cash provided by operating activities as determined under GAAP and may be presented on a pro forma basis. EBITDA is presented solely as a supplemental disclosure with respect to liquidity because the Company believes it provides useful information regarding the Company's ability to service or incur debt. Because all companies do not calculate EBITDA the same way, the presentation of EBITDA may not be comparable to similarly titled measures of other companies.

Funds From Operations (FFO) is defined, in accordance with the Nareit FFO White Paper - 2018 Restatement, as net income (loss), calculated in accordance with GAAP, excluding depreciation and amortization related to real estate, gains and losses from the sale of certain real estate assets, gains and losses from change in control and impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. FFO includes the Company’s share of FFO generated by unconsolidated affiliates. FFO is a widely recognized measure of REIT performance. Although FFO is a non-GAAP financial measure, the Company believes that information regarding FFO is helpful to shareholders and potential investors.

Net Debt and Adjusted Net Debt Net Debt represents the Company's consolidated debt and its share of unconsolidated debt adjusted to exclude its share of unamortized premiums and discounts and deferred financing fees, less its share of cash and cash equivalents and property acquisition closing escrow, net of deposit. By excluding these items, the result provides an estimate of the contractual amount of borrowed capital to be repaid, net of cash available to repay it. The Company believes this calculation constitutes a beneficial supplemental non-GAAP financial disclosure to investors in understanding its financial condition. Adjusted Net Debt is Net Debt reduced by 1) for each project under construction or in design, the lesser of i) outstanding lump-sum reimbursement amounts and ii) the cost to date, 2) 40% times the amount by which the cost to date exceeds total lump-sum reimbursement amounts for each project under construction or in design and 3) outstanding lump-sum reimbursement amounts for projects previously completed. These adjustments are made to 1) remove the estimated portion of each project under construction, in design or previously completed that has been financed with debt which may be repaid with outstanding cost reimbursement payments from the US Government and 2) remove the estimated portion of each project under construction or in design, in excess of total lump-sum reimbursements, that has been financed with debt but has not yet produced earnings. See page 25 of the Company’s Q3 2024 Supplemental Information Package for further information. The Company’s method of calculating Net Debt and Adjusted Net Debt may be different from methods used by other REITs and may be presented on a pro forma basis. Accordingly, the Company's method may not be comparable to such other REITs.

Other Definitions

Fully diluted basis assumes the exchange of all outstanding common units representing limited partnership interests in the Company’s operating partnership, or common units, the full vesting of all shares of restricted stock, and the exchange of all earned and vested LTIP units in the Company’s operating partnership for shares of common stock on a one-for-one basis, which is not the same as the meaning of “fully diluted” under GAAP.

Conference Call Information

The Company will host a webcast and conference call at 11:00 am Eastern time on November 5, 2024 to review the third quarter 2024 performance, discuss recent events and conduct a question-and-answer session. A live webcast will be available in the Investor Relations section of the Company’s website. Shortly after the webcast, a replay of the webcast will be available on the Investor Relations section of the Company's website for up to twelve months. Please note that the full text of the press release and supplemental information package are also available through the Company’s website at ir.easterlyreit.com.

About Easterly Government Properties, Inc.

Easterly Government Properties, Inc. (NYSE: DEA) is based in Washington, D.C., and focuses primarily on the acquisition, development and management of Class A commercial properties that are leased to the U.S. Government. Easterly’s experienced management team brings specialized insight into the strategy and needs of mission-critical U.S. Government agencies for properties leased to such agencies either directly or through the U.S. General Services Administration (GSA). For further information on the company and its properties, please visit www.easterlyreit.com.

Contact:

Easterly Government Properties, Inc.

Lindsay S. Winterhalter

Senior Vice President, Investor Relations & Operations

202-596-3947

ir@easterlyreit.com

Forward Looking Statements

We make statements in this press release that are considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions and include our guidance with respect to Net income (loss) and Core FFO per share on a fully diluted basis. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and are including this statement in this press release for purposes of complying with those safe harbor provisions. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation: risks associated with our dependence on the U.S. Government and its agencies for substantially all of our revenues, including credit risk and risk that the U.S. Government reduces its spending on real estate or that it changes its preference away from leased properties; risks associated with ownership and development of real estate; the risk of decreased rental rates or increased vacancy rates; the loss of key personnel; general volatility of the capital and credit markets and the market price of our common stock; the risk we may lose one or more major tenants; difficulties in completing and successfully integrating acquisitions; failure of acquisitions or development projects to occur at anticipated levels or yield anticipated results; risks associated with our joint venture activities; risks associated with actual or threatened terrorist attacks; intense competition in the real estate market that may limit our ability to attract or retain tenants or re-lease space; insufficient amounts of insurance or exposure to events that are either uninsured or underinsured; uncertainties and risks related to adverse weather conditions, natural disasters and climate change; exposure to liability relating to environmental and health and safety matters; limited ability to dispose of assets because of the relative illiquidity of real estate investments and the nature of our assets; exposure to litigation or other claims; risks associated with breaches of our data security; risks associated with our indebtedness; risks associated with derivatives or hedging activity; risks associated with mortgage debt or unsecured financing or the unavailability thereof, which could make it difficult to finance or refinance properties

and could subject us to foreclosure; adverse impacts from any future pandemic, epidemic or outbreak of any highly infectious disease on the U.S., regional and global economies and our financial condition and results of operations; and other risks and uncertainties detailed in the “Risk Factors” section of our Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission (SEC) on February 27, 2024, and under the heading “Risk Factors” in our other public filings. In addition, our anticipated qualification as a real estate investment trust involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, or the Code, and depends on our ability to meet the various requirements imposed by the Code through actual operating results, distribution levels and diversity of stock ownership. We assume no obligation to update publicly any forward looking statements, whether as a result of new information, future events or otherwise.

Balance Sheet

(Unaudited, in thousands, except share amounts)


	September 30, 2024			December 31, 2023
Assets
Real estate properties, net	$	2,457,256		$	2,319,143
Cash and cash equivalents		31,202			9,381
Restricted cash		8,005			12,558
Tenant accounts receivable		70,280			66,274
Investment in unconsolidated real estate venture		315,886			284,544
Real estate loan receivable, net		30,689			-
Intangible assets, net		146,204			148,453
Interest rate swaps		514			1,994
Prepaid expenses and other assets		41,073			37,405
Assets held for sale		2,002			-
Total assets	$	3,103,111		$	2,879,752

Liabilities
Revolving credit facility		149,550			79,000
Term loan facilities, net		273,851			299,108
Notes payable, net		894,523			696,532
Mortgage notes payable, net		156,653			220,195
Intangible liabilities, net		11,367			12,480
Deferred revenue		121,767			82,712
Accounts payable, accrued expenses and other liabilities		113,766			80,209
Total liabilities		1,721,477			1,470,236

Equity
Common stock, par value $0.01, 200,000,000 shares authorized, 105,666,329 and 100,973,247 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively		1,056			1,010
Additional paid-in capital		1,845,271			1,783,338
Retained earnings		126,401			112,301
Cumulative dividends		(658,042	)		(576,319	)
Accumulated other comprehensive income		489			1,871
Total stockholders' equity		1,315,175			1,322,201
Non-controlling interest in Operating Partnership		66,459			87,315
Total equity		1,381,634			1,409,516
Total liabilities and equity	$	3,103,111		$	2,879,752

Income Statement

(Unaudited, in thousands, except share and per share amounts)


	Three Months Ended						Nine Months Ended
	September 30, 2024			September 30, 2023			September 30, 2024			September 30, 2023
Revenues
Rental income	$	72,536		$	68,205		$	215,465		$	204,111
Tenant reimbursements		663			2,704			4,494			7,279
Asset management income		579			526			1,680			1,560
Other income		1,003			579			2,163			1,657
Total revenues		74,781			72,014			223,802			214,607

Expenses
Property operating		16,710			18,746			51,420			54,263
Real estate taxes		8,000			7,814			24,072			22,901
Depreciation and amortization		23,795			22,245			71,681			67,945
Acquisition costs		600			321			1,427			1,226
Corporate general and administrative		4,667			6,107			18,032			20,426
Provision for credit losses (1)		1,260			-			1,478			-
Total expenses		55,032			55,233			168,110			166,761

Other income (expense)
Income from unconsolidated real estate venture		1,575			1,346			4,367			4,166
Interest expense, net		(16,209	)		(12,046	)		(45,210	)		(35,739	)
Net income		5,115			6,081			14,849			16,273

Non-controlling interest in Operating Partnership		(252	)		(707	)		(749	)		(1,905	)
Net income available to Easterly Government
Properties, Inc.	$	4,863		$	5,374		$	14,100		$	14,368

Net income available to Easterly Government
Properties, Inc. per share:
Basic	$	0.05		$	0.06		$	0.13		$	0.15
Diluted	$	0.05		$	0.06		$	0.13		$	0.15

Weighted-average common shares outstanding:
Basic		103,515,246			93,537,121			102,671,381			92,674,039
Diluted		103,904,581			93,849,444			102,980,995			92,938,221

Net income, per share - fully diluted basis	$	0.05		$	0.06		$	0.14		$	0.15

Weighted average common shares outstanding -
fully diluted basis		108,488,604			105,888,188			108,162,965			105,014,057

(1) Provision for credit loss amounts previously classified within Corporate general and administrative have been reclassified to Provision for credit losses on our Consolidated Statements of Operations to conform with the current period presentation.

EBITDA

(Unaudited, in thousands)


	Three Months Ended					Nine Months Ended
	September 30, 2024			September 30, 2023		September 30, 2024			September 30, 2023
Net income	$	5,115		$	6,081	$	14,849		$	16,273
Depreciation and amortization		23,795			22,245		71,681			67,945
Interest expense		16,209			12,046		45,210			35,739
Tax expense		(431	)		283		(458	)		803
Unconsolidated real estate venture allocated share of above adjustments		1,999			1,960		6,154			5,842
EBITDA	$	46,687		$	42,615	$	137,436		$	126,602

Pro forma adjustments(1)		853
Pro forma EBITDA	$	47,540

(1) Pro forma assuming a full quarter of operations from the two operating properties acquired in the third quarter of 2024.

FFO and CAD

(Unaudited, in thousands, except share and per share amounts)


	Three Months Ended						Nine Months Ended
	September 30, 2024			September 30, 2023			September 30, 2024			September 30, 2023

Net income	$	5,115		$	6,081		$	14,849		$	16,273
Depreciation of real estate assets		23,543			21,995			70,926			67,194
Unconsolidated real estate venture allocated share of above adjustments		1,976			1,887			5,984			5,637
FFO	$	30,634		$	29,963		$	91,759		$	89,104
Adjustments to FFO:
Loss on extinguishment of debt	$	2		$	-		$	260		$	14
Provision for credit losses		1,260			-			1,478			-
Natural disaster event expense, net of recovery		7			8			(1	)		86
Depreciation of non-real estate assets		252			250			755			751
Unconsolidated real estate venture allocated share of above adjustments		17			17			50			50
Core FFO	$	32,172		$	30,238		$	94,301		$	90,005

FFO, per share - fully diluted basis	$	0.28		$	0.28		$	0.85		$	0.85
Core FFO, per share - fully diluted basis	$	0.30		$	0.29		$	0.87		$	0.86

Core FFO	$	32,172		$	30,238		$	94,301		$	90,005
Straight-line rent and other non-cash adjustments		(1,349	)		(1,296	)		(3,123	)		(2,661	)
Amortization of above-/below-market leases		(390	)		(676	)		(1,464	)		(2,052	)
Amortization of deferred revenue		(1,762	)		(1,572	)		(5,125	)		(4,678	)
Non-cash interest expense		662			264			1,358			752
Non-cash compensation		(180	)		1,658			2,209			4,625
Natural Disaster event expense, net of recovery		(7	)		(8	)		1			(86	)
Principal amortization		(1,093	)		(1,100	)		(3,288	)		(3,226	)
Maintenance capital expenditures		(2,672	)		(3,207	)		(8,209	)		(8,276	)
Contractual tenant improvements		(287	)		(355	)		(860	)		(1,368	)
Unconsolidated real estate venture allocated share of above adjustments		8			12			(7	)		(62	)
Cash Available for Distribution (CAD)	$	25,102		$	23,958		$	75,793		$	72,973

Weighted average common shares outstanding - fully diluted basis		108,488,604			105,888,188			108,162,965			105,014,057

Net Debt and Adjusted Net Debt

(Unaudited, in thousands)


	September 30, 2024
Total Debt(1)	$	1,481,463
Less: Cash and cash equivalents		(33,239	)
Net Debt	$	1,448,224
Less: Adjustment for development projects(2)		(121,270	)
Adjusted Net Debt	$	1,326,954

1 Excludes unamortized premiums / discounts and deferred financing fees.

2 See definition of Adjusted Net Debt on Page 5 of this release.

EX-99.2

Exhibit 99.2


Disclaimers

Forward-looking Statement

We make statements in this Supplemental Information Package that are considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and are including this statement in this Supplemental Information Package for purposes of complying with those safe harbor provisions. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation: risks associated with our dependence on the U.S. Government and its agencies for substantially all of our revenues, including credit risk and risk that the U.S. Government reduces its spending on real estate or that it changes its preference away from leased properties; risks associated with ownership and development of real estate; the risk of decreased rental rates or increased vacancy rates; the loss of key personnel; general volatility of the capital and credit markets and the market price of our common stock; the risk we may lose one or more major tenants; difficulties in completing and successfully integrating acquisitions; failure of acquisitions or development projects to occur at anticipated levels or yield anticipated results; risks associated with our joint venture activities; risks associated with actual or threatened terrorist attacks; intense competition in the real estate market that may limit our ability to attract or retain tenants or re-lease space; insufficient amounts of insurance or exposure to events that are either uninsured or underinsured; uncertainties and risks related to adverse weather conditions, natural disasters and climate change; exposure to liability relating to environmental and health and safety matters; limited ability to dispose of assets because of the relative illiquidity of real estate investments and the nature of our assets; exposure to litigation or other claims; risks associated with breaches of our data security; risks associated with our indebtedness; risks associated with derivatives or hedging activity; risks associated with mortgage debt or unsecured financing or the unavailability thereof, which could make it difficult to finance or refinance properties and could subject us to foreclosure; adverse impacts from any future pandemic, epidemic or outbreak of any highly infectious disease on the U.S., regional and global economies and the financial condition and results of operations of the Company; and other risks and uncertainties detailed in the “Risk Factors” section of our Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission, or the SEC, on February 27, 2024 and included under the heading “Risk Factors” in our other public filings. In addition, our qualification as a real estate investment trust involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, or the Code, and depends on our ability to meet the various requirements imposed by the Code through actual operating results, distribution levels and diversity of stock ownership. We assume no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

Ratings

Ratings are not recommendations to buy, sell or hold the Company’s securities.

The following discussion related to the consolidated financial statements of the Company should be read in conjunction with the financial statements for the quarter ended September 30, 2024 that will be released in our Form 10-Q to be filed with the SEC on or about November 5, 2024.


Supplemental Definitions

This section contains definitions of certain non-GAAP financial measures and other terms that the Company uses in this Supplemental Information Package and, where applicable, the reasons why management believes these non-GAAP financial measures provide useful information to investors about the Company’s financial condition and results of operations and the other purposes for which management uses the measures. These measures should not be considered in isolation or as a substitute for measures of performance in accordance with GAAP. Additional detail can be found in the Company’s most recent quarterly report on Form 10-Q and the Company’s most recent annual report on Form 10-K, as well as other documents filed with or furnished to the SEC from time to time. We present certain financial information and metrics “at Easterly’s Share,” which is calculated on an entity-by-entity basis. “At Easterly’s Share” information, which we also refer to as being “at share,” “pro rata,” “our pro rata share” or “our share” is not, and is not intended to be, a presentation in accordance with GAAP.

Annualized lease income is defined as the annualized contractual base rent for the last month in a specified period, plus the annualized straight-line rent adjustments for the last month in such period and the annualized net expense reimbursements earned by us for the last month in such period.

Cash fixed charge coverage ratio is calculated as EBITDA divided by the sum of principal amortization and interest expense, excluding amortization of premiums / discounts and deferred financing fees, for the most recent quarter.

Cash interest coverage ratio is calculated as EBITDA divided by interest expense, excluding amortization of premiums / discounts and deferred financing fees, for the most recent quarter.

EBITDA is calculated as the sum of net income (loss) before interest expense, taxes, depreciation and amortization, (gain) loss on the sale of operating properties, impairment loss, and the unconsolidated real estate venture’s allocated share of these adjustments. EBITDA is not intended to represent cash flow for the period, is not presented as an alternative to operating income as an indicator of operating performance, should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP, is not indicative of operating income or cash provided by operating activities as determined under GAAP and may be presented on a pro forma basis. EBITDA is presented solely as a supplemental disclosure with respect to liquidity because the Company believes it provides useful information regarding the Company's ability to service or incur debt. Because all companies do not calculate EBITDA the same way, the presentation of EBITDA may not be comparable to similarly titled measures of other companies.


Supplemental Definitions

Net Debt and Adjusted Net Debt Net Debt represents the Company's consolidated debt and its share of unconsolidated debt adjusted to exclude its share of unamortized premiums and discounts and deferred financing fees, less its share of cash and cash equivalents and property acquisition closing escrow, net of deposit. By excluding these items, the result provides an estimate of the contractual amount of borrowed capital to be repaid, net of cash available to repay it. The Company believes this calculation constitutes a beneficial supplemental non-GAAP financial disclosure to investors in understanding its financial condition. Adjusted Net Debt is Net Debt reduced by 1) for each project under construction or in design, the lesser of i) outstanding lump-sum reimbursement amounts and ii) the cost to date, 2) 40% times the amount by which the cost to date exceeds total lump-sum reimbursement amounts for each project under construction or in design and 3) outstanding lump-sum reimbursement amounts for projects previously completed. These adjustments are made to 1) remove the estimated portion of each project under construction, in design or previously completed that has been financed with debt which may be repaid with outstanding cost reimbursement payments from the US Government and 2) remove the estimated portion of each project under construction or in design, in excess of total lump-sum reimbursements, that has been financed with debt but has not yet produced earnings. See page 25 for further information. The Company’s method of calculating Net Debt and Adjusted Net Debt may be different from methods used by other REITs and may be presented on a pro forma basis. Accordingly, the Company's method may not be comparable to such other REITs.

Net Operating Income (NOI) and Cash NOI NOI is calculated as net income adjusted to exclude depreciation and amortization, acquisition costs, corporate general and administrative costs, provision for credit losses, interest expense, gains or losses from sales of property, impairment loss, and the unconsolidated real estate venture’s allocated share of these adjustments. Cash NOI excludes from NOI straight-line rent, amortization of above-/below-market leases, amortization of deferred revenue (which results from landlord assets funded by tenants), and the unconsolidated real estate venture’s allocated share of these adjustments. NOI and Cash NOI presented by the Company may not be comparable to NOI and Cash NOI reported by other REITs that define NOI and Cash NOI differently. The Company believes that NOI and Cash NOI provide investors with useful measures of the operating performance of its properties. NOI and Cash NOI should not be considered an alternative to net income as an indication of the Company's performance or to cash flows as a measure of the Company's liquidity or its ability to make distributions.


Table of Contents


Overview

Corporate Information and Analyst Coverage		6

Executive Summary		7

Corporate Financials

Balance Sheets		8

Income Statements		9

Net Operating Income		10

EBITDA		11

FFO and CAD		12

Unconsolidated Real Estate Venture		13

Debt

Debt Schedules		15

Debt Maturities		17

Properties

Leased Operating Property Overview		18

Tenants		22

Lease Expirations		24

Summary of Re/Development Projects		25


Corporate Information and Analyst Coverage


Corporate Information

Corporate Headquarters	Stock Exchange Listing	Information Requests	Investor Relations
2001 K Street NW	New York Stock Exchange	Please contact ir@easterlyreit.com	Lindsay Winterhalter
Suite 775 North		or 202-596-3947 to request an	Senior VP, Investor Relations & Operations
Washington, DC 20006	Ticker	Investor Relations package
202-595-9500	DEA


Executive Team		Board of Directors
Darrell Crate, President & CEO	Mark Bauer, EVP Development	William Binnie, Chairman	Emil Henry Jr.
Michael Ibe, Vice-Chairman & EVP	Franklin Logan, GC	Darrell Crate	Michael Ibe
Allison Marino, CFO & CAO	Andrew Pulliam, EVP Acquisitions	Cynthia Fisher	Tara Innes
Stuart Burns, EVP Government Relations		Scott Freeman
Nick Nimerala, SVP Chief Asset Officer


Equity Research Coverage

Citigroup	Raymond James & Associates	RBC Capital Markets
Michael A. Griffin	Jonathan Hughes	Michael Carroll
212-816-5871	727-567-2438	440-715-2649

Jefferies	Truist Securities	Compass Point Research & Trading, LLC
Peter Abramowitz	Michael R. Lewis	Merrill Ross
212-336-7241	212-319-5659	202-534-1392

BMO Capital Markets
John P. Kim
212-885-4115

Any opinions, estimates, forecasts or predictions regarding Easterly Government Properties, Inc.’s performance made by these analysts are theirs alone and do not represent opinions, estimates, forecasts or predictions of Easterly Government Properties, Inc. or its management. Easterly Government Properties, Inc. does not by its reference above or distribution imply its endorsement of or concurrence with such opinions, estimates, forecasts or predictions.

     Executive Summary
(In thousands, except share and per share amounts)


Outstanding Classes of Stock and Partnership Units - Fully Diluted Basis	At September 30, 2024			Earnings	Three months ended September 30, 2024		Three months ended September 30, 2023
Common shares		105,619,594		Net income available to Easterly Government Properties, Inc.	$	4,863	$	5,374
Unvested restricted shares		46,735		Net income available to Easterly Government Properties, Inc.
Common partnership and vested LTIP units		5,339,579		per share:
Total - fully diluted basis		111,005,908		Basic	$	0.05	$	0.06
				Diluted	$	0.05	$	0.06

Market Capitalization	At September 30, 2024			Net income	$	5,115	$	6,081
Price of Common Shares	$	13.58		Net income, per share - fully diluted basis	$	0.05	$	0.06
Total equity market capitalization - fully diluted basis	$	1,507,460		Funds From Operations (FFO)	$	30,634	$	29,963
Net Debt		1,448,224		FFO, per share - fully diluted basis	$	0.28	$	0.28
Total enterprise value	$	2,955,685
				Core FFO	$	32,172	$	30,238
				Core FFO, per share - fully diluted basis	$	0.30	$	0.29
Ratios	At September 30, 2024
Net debt to total enterprise value		49.0	%	Cash Available for Distribution (CAD)	$	25,102	$	23,958
Net debt to annualized quarterly EBITDA		7.8	x
Adjusted Net Debt to annualized quarterly pro forma EBITDA		7.0	x	Liquidity	At September 30, 2024
Cash interest coverage ratio		3.0	x	Cash and cash equivalents			$	33,239
Cash fixed charge coverage ratio		2.8	x	Available under $400 million senior unsecured 2024 revolving credit facility(1)			$	250,325

(1) 2024 revolving credit facility has an accordion feature that provides additional capacity, subject to syndication of the increase and the satisfaction of customary terms and conditions, of up to $300 million, for a total revolving credit facility size of not more than $700 million.

     Balance Sheets
(Unaudited, in thousands, except share amounts)


	September 30, 2024			December 31, 2023
Assets
Real estate properties, net	$	2,457,256		$	2,319,143
Cash and cash equivalents		31,202			9,381
Restricted cash		8,005			12,558
Tenant accounts receivable		70,280			66,274
Investment in unconsolidated real estate venture		315,886			284,544
Real estate loan receivable, net		30,689			-
Intangible assets, net		146,204			148,453
Interest rate swaps		514			1,994
Prepaid expenses and other assets		41,073			37,405
Assets held for sale		2,002			-
Total assets	$	3,103,111		$	2,879,752

Liabilities
Revolving credit facility		149,550			79,000
Term loan facilities, net		273,851			299,108
Notes payable, net		894,523			696,532
Mortgage notes payable, net		156,653			220,195
Intangible liabilities, net		11,367			12,480
Deferred revenue		121,767			82,712
Accounts payable, accrued expenses and other liabilities		113,766			80,209
Total liabilities		1,721,477			1,470,236

Equity
Common stock, par value $0.01, 200,000,000 shares authorized, 105,666,329 and 100,973,247 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively		1,056			1,010
Additional paid-in capital		1,845,271			1,783,338
Retained earnings		126,401			112,301
Cumulative dividends		(658,042	)		(576,319	)
Accumulated other comprehensive income		489			1,871
Total stockholders' equity		1,315,175			1,322,201
Non-controlling interest in Operating Partnership		66,459			87,315
Total equity		1,381,634			1,409,516
Total liabilities and equity	$	3,103,111		$	2,879,752

      Income Statements
 (Unaudited, in thousands, except share and per share amounts)


	Three Months Ended						Nine Months Ended
	September 30, 2024			September 30, 2023			September 30, 2024			September 30, 2023
Revenues
Rental income	$	72,536		$	68,205		$	215,465		$	204,111
Tenant reimbursements		663			2,704			4,494			7,279
Asset management income		579			526			1,680			1,560
Other income		1,003			579			2,163			1,657
Total revenues		74,781			72,014			223,802			214,607

Expenses
Property operating		16,710			18,746			51,420			54,263
Real estate taxes		8,000			7,814			24,072			22,901
Depreciation and amortization		23,795			22,245			71,681			67,945
Acquisition costs		600			321			1,427			1,226
Corporate general and administrative		4,667			6,107			18,032			20,426
Provision for credit losses (1)		1,260			-			1,478			-
Total expenses		55,032			55,233			168,110			166,761

Other income (expense)
Income from unconsolidated real estate venture		1,575			1,346			4,367			4,166
Interest expense, net		(16,209	)		(12,046	)		(45,210	)		(35,739	)
Net income		5,115			6,081			14,849			16,273

Non-controlling interest in Operating Partnership		(252	)		(707	)		(749	)		(1,905	)
Net income available to Easterly Government
Properties, Inc.	$	4,863		$	5,374		$	14,100		$	14,368

Net income available to Easterly Government
Properties, Inc. per share:
Basic	$	0.05		$	0.06		$	0.13		$	0.15
Diluted	$	0.05		$	0.06		$	0.13		$	0.15

Weighted-average common shares outstanding:
Basic		103,515,246			93,537,121			102,671,381			92,674,039
Diluted		103,904,581			93,849,444			102,980,995			92,938,221

Net income, per share - fully diluted basis	$	0.05		$	0.06		$	0.14		$	0.15

Weighted average common shares outstanding -
fully diluted basis		108,488,604			105,888,188			108,162,965			105,014,057

      Net Operating Income
 (Unaudited, in thousands)


	Three Months Ended						Nine Months Ended
	September 30, 2024			September 30, 2023			September 30, 2024			September 30, 2023

Net income	$	5,115		$	6,081		$	14,849		$	16,273
Depreciation and amortization		23,795			22,245			71,681			67,945
Acquisition costs		600			321			1,427			1,226
Corporate general and administrative		4,667			6,107			18,032			20,426
Provision for credit losses		1,260			-			1,478			-
Interest expense		16,209			12,046			45,210			35,739
Unconsolidated real estate venture allocated share of above adjustments		2,038			1,947			6,194			5,872
Net Operating Income		53,684			48,747			158,871			147,481
Adjustments to Net Operating Income:
Straight-line rent and other non-cash adjustments		(1,336	)		(1,300	)		(3,087	)		(2,782	)
Amortization of above-/below-market leases		(390	)		(676	)		(1,464	)		(2,052	)
Amortization of deferred revenue		(1,762	)		(1,572	)		(5,125	)		(4,678	)
Unconsolidated real estate venture allocated share of above adjustments		(4	)		(6	)		44			(118	)
Cash Net Operating Income	$	50,192		$	45,193		$	149,239		$	137,851

      EBITDA
(Unaudited, in thousands)


	Three Months Ended					Nine Months Ended
	September 30, 2024			September 30, 2023		September 30, 2024			September 30, 2023
Net income	$	5,115		$	6,081	$	14,849		$	16,273
Depreciation and amortization		23,795			22,245		71,681			67,945
Interest expense		16,209			12,046		45,210			35,739
Tax expense		(431	)		283		(458	)		803
Unconsolidated real estate venture allocated share of above adjustments		1,999			1,960		6,154			5,842
EBITDA	$	46,687		$	42,615	$	137,436		$	126,602

Pro forma adjustments(1)		853
Pro forma EBITDA	$	47,540

(1) Pro forma assuming a full quarter of operations from the two operating properties acquired in the third quarter of 2024.

     FFO and CAD
(Unaudited, in thousands, except share and per share amounts)


	Three Months Ended						Nine Months Ended
	September 30, 2024			September 30, 2023			September 30, 2024			September 30, 2023

Net income	$	5,115		$	6,081		$	14,849		$	16,273
Depreciation of real estate assets		23,543			21,995			70,926			67,194
Unconsolidated real estate venture allocated share of above adjustments		1,976			1,887			5,984			5,637
FFO	$	30,634		$	29,963		$	91,759		$	89,104
Adjustments to FFO:
Loss on extinguishment of debt	$	2		$	-		$	260		$	14
Provision for credit losses		1,260			-			1,478			-
Natural disaster event expense, net of recovery		7			8			(1	)		86
Depreciation of non-real estate assets		252			250			755			751
Unconsolidated real estate venture allocated share of above adjustments		17			17			50			50
Core FFO	$	32,172		$	30,238		$	94,301		$	90,005

FFO, per share - fully diluted basis	$	0.28		$	0.28		$	0.85		$	0.85
Core FFO, per share - fully diluted basis	$	0.30		$	0.29		$	0.87		$	0.86

Core FFO	$	32,172		$	30,238		$	94,301		$	90,005
Straight-line rent and other non-cash adjustments		(1,349	)		(1,296	)		(3,123	)		(2,661	)
Amortization of above-/below-market leases		(390	)		(676	)		(1,464	)		(2,052	)
Amortization of deferred revenue		(1,762	)		(1,572	)		(5,125	)		(4,678	)
Non-cash interest expense		662			264			1,358			752
Non-cash compensation		(180	)		1,658			2,209			4,625
Natural Disaster event expense, net of recovery		(7	)		(8	)		1			(86	)
Principal amortization		(1,093	)		(1,100	)		(3,288	)		(3,226	)
Maintenance capital expenditures		(2,672	)		(3,207	)		(8,209	)		(8,276	)
Contractual tenant improvements		(287	)		(355	)		(860	)		(1,368	)
Unconsolidated real estate venture allocated share of above adjustments		8			12			(7	)		(62	)
Cash Available for Distribution (CAD)	$	25,102		$	23,958		$	75,793		$	72,973

Weighted average common shares outstanding - fully diluted basis		108,488,604			105,888,188			108,162,965			105,014,057

Unconsolidated Real Estate Venture

(Unaudited, in thousands)


Balance Sheet Information	Balance Sheet		Easterly's Share(2)
	September 30, 2024		September 30, 2024
Real estate properties - net	$	504,812	$	267,550
Total assets		607,590		322,021
Total liabilities		12,159		6,443
Total preferred stockholders' equity		126		66
Total common stockholders' equity		595,305		315,512
Basis difference(1)		-		374
Total equity	$	595,431	$	315,886

(1) This amount represents the aggregate difference between the Company’s historical cost basis and basis reflected at the joint venture level.

(2) The Company owns 53.0% of the properties through the unconsolidated joint venture.

      Unconsolidated Real Estate Venture (Cont.)
(Unaudited, in thousands)


Income Statement Information	Three Months Ended			Easterly's Share(1)			Nine Months Ended			Easterly's Share(1)
	September 30, 2024			September 30, 2024			September 30, 2024			September 30, 2024
Revenues
Rental income	$	11,362		$	6,022		$	32,722		$	17,343
Other income		48			25			140			74
Total Revenues		11,410			6,047			32,862			17,417
Operating expenses
Property operating		2,385			1,264			6,785			3,595
Real estate taxes		1,620			859			4,465			2,366
Depreciation and amortization		3,758			1,992			11,383			6,033
Asset management fees		579			307			1,679			891
Corporate general and administrative		46			24			179			95
Total expenses		8,388			4,446			24,491			12,980
Other expenses
Interest expense		(41	)		(22	)		(123	)		(66	)
Distributions to preferred stockholders		(8	)		(4	)		(8	)		(4	)
Net income	$	2,981		$	1,575		$	8,248		$	4,367

Depreciation and amortization		3,758			1,992			11,383			6,033
Interest expense		41			22			123			66
Tax expense		(29	)		(15	)		102			55
EBITDA	$	6,751		$	3,574		$	19,856		$	10,521

Pro forma adjustments(2)		843			447
Pro forma EBITDA	$	7,594		$	4,021

Net income	$	2,981		$	1,575		$	8,248		$	4,367
Depreciation of real estate assets		3,727			1,976			11,291			5,984
FFO	$	6,708		$	3,551		$	19,539		$	10,351
Adjustments to FFO:
Depreciation of non-real estate assets		31			17			93			50
Core FFO	$	6,739		$	3,568		$	19,632		$	10,401
Adjustments to Core FFO:
Straight-line rent and other non-cash adjustments		(8	)		(4	)		82			44
Non-cash interest expense		41			22			123			65
Maintenance capital expenditures		(24	)		(12	)		(195	)		(103	)
Contractual tenant improvements		-			-			(29	)		(15	)
Cash Available for Distribution (CAD)	$	6,748		$	3,574		$	19,613		$	10,391

(1) The Company owns 53.0% of the properties through the unconsolidated joint venture.

(2) Pro forma assuming a full quarter of operations from the one unconsolidated joint venture property acquired in the third quarter of 2024.

     Debt Schedules
(Unaudited, in thousands)


Debt Instrument	Maturity Date	September 30, 2024 Interest Rate	September 30, 2024 Balance(1)		September 30, 2024 Percent of Total Indebtedness
Unsecured debt
2024 Revolving Credit facility	3-Jun-28(2)	S + 145 bps(3)		149,550	10.1%
2016 Term Loan facility	30-Jan-25	5.63%(4)		100,000	6.8%
2018 Term Loan facility	23-Jul-26	5.23%(5)		174,500	11.8%
2017 Series A Senior Notes	25-May-27	4.05%		95,000	6.4%
2017 Series B Senior Notes	25-May-29	4.15%		50,000	3.4%
2017 Series C Senior Notes	25-May-32	4.30%		30,000	2.0%
2019 Series A Senior Notes	12-Sep-29	3.73%		85,000	5.7%
2019 Series B Senior Notes	12-Sep-31	3.83%		100,000	6.8%
2019 Series C Senior Notes	12-Sep-34	3.98%		90,000	6.1%
2021 Series A Senior Notes	14-Oct-28	2.62%		50,000	3.4%
2021 Series B Senior Notes	14-Oct-30	2.89%		200,000	13.5%
2024 Series A Senior Notes	28-May-33	6.56%		150,000	10.1%
2024 Series B Senior Notes	13-Aug-33	6.56%		50,000	3.4%
Total unsecured debt	5.1 years	4.68%	$	1,324,050	89.5%
	(wtd-avg maturity)	(wtd-avg rate)

Secured mortgage debt
USFS II - Albuquerque	14-Jul-26	4.46%		10,137	0.7%
ICE - Charleston	15-Jan-27	4.21%		10,874	0.7%
VA - Loma Linda	6-Jul-27	3.59%		127,500	8.6%
CBP - Savannah	10-Jul-33	3.40%		8,902	0.5%
Total secured mortgage debt	3 years	3.68%	$	157,413	10.5%
	(wtd-avg maturity)	(wtd-avg rate)

(1) Excludes unamortized premiums / discounts and deferred financing fees.

(2) 2024 revolving credit facility has two six-month as-of-right extension options, subject to certain conditions and the payment of an extension fee.

(3) Our 2024 revolving credit facility is subject to one interest rate swap with an effective date of June 23, 2023 and a notional value of $100.0 million, of which $25.5 million is associated with our 2024 revolving credit facility, to effectively fix the interest rate at 5.46% annually. The spread over the secured overnight financing rate ("SOFR") is based on our consolidated leverage ratio, as defined in our 2024 revolving credit facility agreement. Additionally, at September 30, 2024, $124.1 million of amounts outstanding under our 2024 revolving credit facility had a floating rate of 4.83% under USD SOFR with a five day lookback.

(4) Calculated based on one interest rate swap with a notional value of $100.0 million, which effectively fixes the interest rate at 5.63% annually based on the Company’s current consolidated leverage ratio. The interest rate swap matures on December 23, 2024, which is not coterminous with the maturity date of the 2016 term loan facility.

(5) Calculated based on two interest rate swaps with an aggregate notional value of $200.0 million, of which $174.5 million is associated with our 2018 term loan facility, which effectively fix the interest rate at 5.23% annually based on the Company’s current consolidated leverage ratio. The two interest rate swaps mature on June 29, 2025 and March 23, 2025, neither of which is coterminous with the maturity date of the 2018 term loan facility.

     Debt Schedules (Cont.)
(Unaudited, in thousands)


Debt Statistics	September 30, 2024				September 30, 2024
Variable rate debt - unhedged	$	124,050		% Variable rate debt - unhedged		8.4	%
Fixed rate debt		1,357,413		% Fixed rate debt(3)		91.6	%
Total Debt(1)	$	1,481,463
Less: cash and cash equivalents		(33,239	)	Weighted average maturity	4.9 years
Net Debt	$	1,448,224		Weighted average interest rate		4.6	%
Less: Adjustment for development(2)		(121,270	)
Adjusted Net Debt	$	1,326,954

(1) Excludes unamortized premiums / discounts and deferred financing fees.

(2) See definition of Adjusted Net Debt on Page 4.

(3) Includes the Company's 2016 and 2018 term loan facilities and $25.5 million associated with our 2024 revolving credit facility which are effectively swapped to fixed interest rates. Note the associated swaps are not coterminous with maturity dates of the respective term loan facilities. See Page 15 for further detail.

     Debt Maturities
(Unaudited, in thousands)


	Secured Debt				Unsecured Debt
Year	Scheduled Amortization		Scheduled Maturities		Scheduled Maturities		Total		Percentage of Debt Maturing			Weighted Average Interest Rate of Scheduled Maturities
2024		1,116		-		-		1,116		0.1	%		0.00	%
2025		4,598		-		100,000		104,598		7.1	%		5.63	%
2026		3,686		6,368		174,500		184,554		12.5	%		5.19	%
2027		1,093		134,640		95,000		230,733		15.6	%		3.81	%
2028		983		-		199,550		200,533		13.5	%		5.26	%
2029		1,016		-		135,000		136,016		9.2	%		3.89	%
2030		1,049		-		200,000		201,049		13.6	%		2.89	%
2031		1,081		-		100,000		101,081		6.8	%		3.83	%
2032		1,116		-		30,000		31,116		2.1	%		4.30	%
2033		667		-		200,000		200,667		13.5	%		6.43	%
2034		-		-		90,000		90,000		6.0	%		3.98	%
Total	$	16,405	$	141,008	$	1,324,050	$	1,481,463		100.0	%

     Leased Operating Property Overview
(As of September 30, 2024, unaudited)


Property Name	Location	Property Type	Tenant Lease Expiration Year	Year Built / Renovated	Leased Square Feet		Annualized Lease Income		Percentage of Total Annualized Lease Income			Annualized Lease Income per Leased Square Foot

Wholly Owned U.S. Government Leased Properties
VA - Loma Linda	Loma Linda, CA	Outpatient Clinic	2036	2016		327,614	$	16,812,723		4.9	%	$	51.32
USCIS - Kansas City	Lee's Summit, MO	Office	2024 - 2042(1)	1969 / 1999		403,178		10,170,319		2.9	%		25.23
JSC - Suffolk	Suffolk, VA	Specialized Facility	2028(2)	1993 / 2004		403,737		8,503,831		2.5	%		21.06
Various GSA - Chicago	Des Plaines, IL	Office	2026	1971 / 1999		188,768		7,789,136		2.3	%		41.26
IRS - Fresno	Fresno, CA	Office	2033	2003		180,481		6,916,710		2.1	%		38.32
Various GSA - Portland	Portland, OR	Office	2025 - 2039(3)	2002		205,478		6,910,724		2.1	%		33.63
FBI - Salt Lake	Salt Lake City, UT	Specialized Facility	2032	2012		169,542		6,897,319		2.1	%		40.68
Various GSA - Buffalo	Buffalo, NY	Office	2025 - 2039	2004		273,678		6,887,944		2.1	%		25.17
VA - San Jose	San Jose, CA	Outpatient Clinic	2038	2018		90,085		5,819,576		1.7	%		64.60
EPA - Lenexa	Lenexa, KS	Office	2027(2)	2007 / 2012		169,585		5,741,220		1.7	%		33.85
FBI - Tampa	Tampa, FL	Specialized Facility	2040	2005		138,000		5,313,546		1.6	%		38.50
FBI - San Antonio	San Antonio, TX	Specialized Facility	2025	2007		148,584		5,229,718		1.6	%		35.20
FDA - Alameda	Alameda, CA	Laboratory	2039	2019		69,624		4,966,673		1.5	%		71.34
PTO - Arlington	Arlington, VA	Specialized Facility	2035	2009		190,546		4,683,980		1.4	%		24.58
FBI / DEA - El Paso	El Paso, TX	Specialized Facility	2028	1998 - 2005		203,683		4,669,165		1.4	%		22.92
FEMA - Tracy	Tracy, CA	Warehouse	2038	2018		210,373		4,658,468		1.4	%		22.14
TREAS - Parkersburg	Parkersburg, WV	Office	2041	2004 / 2006		182,500		4,399,697		1.3	%		24.11
FDA - Lenexa	Lenexa, KS	Laboratory	2040	2020		59,690		4,253,539		1.3	%		71.26
VA - South Bend	Mishakawa, IN	Outpatient Clinic	2032	2017		86,363		4,128,602		1.2	%		47.81
FBI - Pittsburgh	Pittsburgh, PA	Specialized Facility	2027	2001		100,054		4,079,780		1.2	%		40.78
ICE - Dallas	Irvine, TX	Specialized Facility	2032 / 2040(4)	2000 / 2020		129,046		4,063,824		1.2	%		31.49
VA - Mobile	Mobile, AL	Outpatient Clinic	2033	2018		79,212		4,023,649		1.2	%		50.80
USCIS - Lincoln	Lincoln, NE	Office	2025	2005		137,671		3,968,833		1.2	%		28.83
FBI - New Orleans	New Orleans, LA	Specialized Facility	2029(5)	1999 / 2006		137,679		3,964,861		1.2	%		28.80
FBI - Omaha	Omaha, NE	Specialized Facility	2044	2009		112,196		3,959,898		1.2	%		35.29
FBI - Knoxville	Knoxville, TN	Specialized Facility	2025	2010		99,130		3,629,035		1.1	%		36.61
FBI - Albany	Albany, NY	Specialized Facility	2036	1998		69,476		3,591,446		1.1	%		51.69
FBI - Birmingham	Birmingham, AL	Specialized Facility	2042	2005		96,278		3,564,008		1.1	%		37.02
EPA - Kansas City	Kansas City, KS	Laboratory	2043	2003		55,833		3,556,597		1.1	%		63.70
USFS II - Albuquerque	Albuquerque, NM	Office	2026(2)	2011		98,720		3,419,082		1.0	%		34.63
DOT - Lakewood	Lakewood, CO	Office	2039	2004		116,046		3,383,707		1.0	%		29.16
ICE - Charleston	North Charleston, SC	Specialized Facility	2027	1994 / 2012		65,124		3,362,481		1.0	%		51.63
VA - Chico	Chico, CA	Outpatient Clinic	2034	2019		51,647		3,341,876		1.0	%		64.71
FBI - Richmond	Richmond, VA	Specialized Facility	2041	2001		96,607		3,334,875		1.0	%		34.52
JUD - Del Rio	Del Rio, TX	Federal Courthouse	2041	1992 / 2004		89,880		3,312,024		1.0	%		36.85
USFS I - Albuquerque	Albuquerque, NM	Office	2024	2006		92,455		3,270,004		1.0	%		35.37
FBI - Little Rock	Little Rock, AR	Specialized Facility	2041	2001		102,377		3,237,404		1.0	%		31.62

     Leased Operating Property Overview (Cont.)
(As of September 30, 2024, unaudited)


Property Name	Location	Property Type	Tenant Lease Expiration Year	Year Built / Renovated	Leased Square Feet		Annualized Lease Income		Percentage of Total Annualized Lease Income			Annualized Lease Income per Leased Square Foot

Wholly Owned U.S. Government Leased Properties (Cont.)
DEA - Sterling	Sterling, VA	Laboratory	2038	2001		57,692		3,222,788		1.0	%		55.86
USCIS - Tustin	Tustin, CA	Office	2034	1979 / 2019		66,818		3,142,255		0.9	%		47.03
DEA - Vista	Vista, CA	Laboratory	2035	2002		52,293		3,141,911		0.9	%		60.08
VA - Indianapolis	Brownsburg, IN	Outpatient Clinic	2041	2021		80,000		2,981,475		0.9	%		37.27
VA - Orange	Orange, CT	Outpatient Clinic	2034	2019		56,330		2,980,679		0.9	%		52.91
ICE - Albuquerque	Albuquerque, NM	Specialized Facility	2027	2011		71,100		2,841,468		0.8	%		39.96
FBI - Mobile	Mobile, AL	Specialized Facility	2029(2)	2001		76,112		2,823,646		0.8	%		37.10
SSA - Charleston	Charleston, WV	Office	2029	1959 / 2000		110,000		2,806,152		0.8	%		25.51
DEA - Dallas Lab	Dallas, TX	Laboratory	2038	2001		49,723		2,786,394		0.8	%		56.04
JUD - El Centro	El Centro, CA	Federal Courthouse	2034	2004		43,345		2,785,903		0.8	%		64.27
DEA - Pleasanton	Pleasanton, CA	Laboratory	2035	2015		42,480		2,775,202		0.8	%		65.33
DEA - Upper Marlboro	Upper Marlboro, MD	Laboratory	2037	2002		50,978		2,761,611		0.8	%		54.17
NARA - Broomfield	Broomfield, CO	Warehouse	2032	2012		161,730		2,690,321		0.8	%		16.63
TREAS - Birmingham	Birmingham, AL	Office	2029	2014		83,676		2,616,096		0.8	%		31.26
DHS - Atlanta	Atlanta, GA	Specialized Facility	2031 - 2038(6)	2008 / 2023		91,185		2,574,358		0.8	%		28.23
USAO - Louisville	Louisville, KY	Specialized Facility	2031	2011		60,000		2,550,159		0.8	%		42.50
JUD - Charleston	Charleston, SC	Federal Courthouse	2040	1999		52,339		2,522,970		0.8	%		48.20
JUD - Jackson	Jackson, TN	Federal Courthouse	2043	1998		75,043		2,403,192		0.7	%		32.02
CBP - Savannah	Savannah, GA	Laboratory	2033	2013		35,000		2,289,519		0.7	%		65.41
DEA - Dallas	Dallas, TX	Specialized Facility	2041	2001		71,827		2,269,404		0.7	%		31.60
Various GSA - Cleveland	Brooklyn Heights, OH	Office	2028 - 2040(7)	1981 / 2021		61,384		2,244,582		0.7	%		36.57
NWS - Kansas City	Kansas City, MO	Specialized Facility	2033(2)	1998 / 2020		94,378		2,151,911		0.6	%		22.80
DEA - Santa Ana	Santa Ana, CA	Specialized Facility	2029	2004		39,905		2,025,762		0.6	%		50.76
GSA - Clarksburg	Clarksburg, WV	Office	2039(2)	1999		70,495		1,920,539		0.6	%		27.24
NPS - Omaha	Omaha, NE	Specialized Facility	2029	2004		62,772		1,891,182		0.6	%		30.13
DEA - North Highlands	Sacramento, CA	Specialized Facility	2033	2002		37,975		1,885,075		0.6	%		49.64
VA - Golden	Golden, CO	Warehouse	2026	1996 / 2011		56,753		1,773,841		0.5	%		31.26
JUD - Newport News	Newport News, VA	Federal Courthouse	2033	2008		35,005		1,672,759		0.5	%		47.79
ICE - Orlando	Orlando, FL	Specialized Facility	2040	1996 / 2010		49,420		1,660,402		0.5	%		33.60
USCG - Martinsburg	Martinsburg, WV	Specialized Facility	2027	2007		59,547		1,618,049		0.5	%		27.17
JUD - Aberdeen	Aberdeen, MS	Federal Courthouse	2025	2005		46,979		1,569,076		0.5	%		33.40
VA - Charleston	North Charleston, SC	Warehouse	2024 / 2040	2020		97,718		1,493,988		0.4	%		15.29
DEA - Albany	Albany, NY	Specialized Facility	2042	2004		31,976		1,407,704		0.4	%		44.02
USAO - Springfield	Springfield, IL	Specialized Facility	2038	2002		43,600		1,391,454		0.4	%		31.91
JUD - Council Bluffs	Council Bluffs, IA	Federal Courthouse	2041(7)	2021		28,900		1,364,225		0.4	%		47.21
DEA - Riverside	Riverside, CA	Specialized Facility	2032	1997		34,354		1,320,529		0.4	%		38.44
DEA - Birmingham	Birmingham, AL	Specialized Facility	2038	2005		35,616		1,251,695		0.4	%		35.14

     Leased Operating Property Overview (Cont.)
(As of September 30, 2024, unaudited)


Property Name	Location	Property Type	Tenant Lease Expiration Year	Year Built / Renovated	Leased Square Feet		Annualized Lease Income		Percentage of Total Annualized Lease Income			Annualized Lease Income per Leased Square Foot

Wholly Owned U.S. Government Leased Properties (Cont.)
SSA - Dallas	Dallas, TX	Specialized Facility	2035	2005		27,200		1,069,445		0.3	%		39.32
HSI - Orlando	Orlando, FL	Specialized Facility	2036	2006		27,840		1,065,323		0.3	%		38.27
JUD - South Bend	South Bend, IN	Federal Courthouse	2027	1996 / 2011		30,119		794,845		0.2	%		26.39
ICE - Louisville	Louisville, KY	Specialized Facility	2036	2011		17,420		661,535		0.2	%		37.98
DEA - San Diego	San Diego, CA	Warehouse	2032	1999		16,100		562,837		0.2	%		34.96
DEA - Bakersfield	Bakersfield, CA	Specialized Facility	2038	2000		9,800		492,965		0.1	%		50.30
SSA - San Diego	San Diego, CA	Specialized Facility	2032	2003		10,059		451,544		0.1	%		44.89
ICE - Otay	San Diego, CA	Office	2027	2001		7,434		261,222		0.1	%		35.14

Subtotal						7,851,360	$	278,784,266		83.1	%	$	35.51

Wholly Owned State and Local Government Leased Property
CA - Anaheim	Anaheim, CA	Office	2033 / 2034	1991 / 2020		95,273		3,364,379		1.0	%		35.31

Subtotal						95,273	$	3,364,379		1.0	%	$	35.31

Wholly Owned Privately Leased Property
Northrop Grumman - Dayton	Beavercreek, OH	Specialized Facility	2029(7)	2012		99,246		2,321,179		0.7	%		23.39
501 East Hunter Street - Lummus Corporation	Lubbock, TX	Warehouse	2028(7)	2013		70,078		412,024		0.1	%		5.88
Subtotal						169,324	$	2,733,203		0.8	%	$	16.14

Wholly Owned Properties Total / Weighted Average						8,115,957	$	284,881,848		84.9	%	$	35.10

     Leased Operating Property Overview (Cont.)
(As of September 30, 2024, unaudited)


Property Name	Location	Property Type	Tenant Lease Expiration Year	Year Built / Renovated	Leased Square Feet		Annualized Lease Income		Percentage of Total Annualized Lease Income			Annualized Lease Income per Leased Square Foot
U.S Government Leased to Unconsolidated Real Estate Venture
VA - Phoenix(8)	Phoenix, AZ	Outpatient Clinic	2042	2022		257,294		10,736,674		3.2	%		41.73
VA - San Antonio(8)	San Antonio, TX	Outpatient Clinic	2041	2021		226,148		9,254,429		2.8	%		40.92
VA - Jacksonville(8)	Jacksonville, FL	Outpatient Clinic	2043	2023		193,100		7,330,590		2.2	%		37.96
VA - Chattanooga(8)	Chattanooga, TN	Outpatient Clinic	2035	2020		94,566		4,369,452		1.3	%		46.21
VA - Lubbock(8)(9)	Lubbock, TX	Outpatient Clinic	2040	2020		120,916		4,248,831		1.3	%		35.14
VA - Marietta(8)	Marietta, GA	Outpatient Clinic	2041	2021		76,882		3,941,850		1.2	%		51.27
VA - Birmingham(8)	Irondale, AL	Outpatient Clinic	2041	2021		77,128		3,175,571		0.9	%		41.17
VA - Corpus Christi(8)	Corpus Christi, TX	Outpatient Clinic	2042	2022		69,276		2,938,590		0.9	%		42.42
VA - Columbus(8)	Columbus, GA	Outpatient Clinic	2042	2022		67,793		2,917,896		0.9	%		43.04
VA - Lenexa(8)	Lenexa, KS	Outpatient Clinic	2041	2021		31,062		1,328,375		0.4	%		42.77

Subtotal						1,214,165	$	50,242,258		15.1	%	$	41.38

Total / Weighted Average						9,330,122	$	335,124,106		100.0	%	$	35.92

Total / Weighted Average at Easterly's Share						8,759,464	$	311,510,245				$	35.56

(1) 316,318 square feet leased to U.S. Citizenship and Immigration Services ("USCIS") will expire on February 19, 2042 and contains two five-year renewal options. 88,672 square feet leased to four private tenants will expire between 2024-2028 and each contains renewal options.

(2) Lease contains one five-year renewal option.

(3) 37,811 square feet leased to the U.S. Army Corps of Engineers ("ACOE") will expire on February 19, 2025 and contains two five-year renewal options. 21,646 square feet leased to the Federal Bureau of Investigation ("FBI") will expire on December 31, 2029 and contains one five-year renewal options. 11,061 square feet leased to five private tenants will expire between 2025-2030 and each contains renewal options. 4,846 square feet leased to the Department of Energy ("DOE") will expire on April 14, 2033 and contains one ten-year renewal option.

(4) 80,523 square feet leased to the U.S. Immigration and Customs Enforcement ("ICE") will expire on September 14, 2040. 29,074 square feet leased to a private tenant will expire on September 30, 2032 and contains one five-year renewal option. 19,449 square feet leased to a private tenant will expire on January 31, 2032 and contains one five-year renewal option.

(5) Lease contains one ten-year renewal option.

(6) 29,737 square feet leased to the U.S. Customs and Border Protection ("CBP") will expire on April 30, 2038. 17,373 square feet leased to a private tenant will expire on December 31, 2031 and contains two five-year renewal options. 44,075 square feet leased to the Transportation Security Administration ("TSA") will expire on December 14, 2038 and contains one five-year renewal option.

(7) Lease contains two five-year renewal options.

(8) The Company owns 53.0% of the property through an unconsolidated joint venture.

(9) Asset is subject to a ground lease where the unconsolidated joint venture is the lessee.

     Tenants
(As of September 30, 2024, unaudited)


Tenant	Weighted Average Remaining Lease Term(1)		Leased Square Feet		Percentage of Leased Square Feet			Annualized Lease Income		Percentage of Total Annualized Lease Income

U.S. Government
Department of Veteran Affairs ("VA")		14.4		2,251,131		24.0	%	$	96,115,532		28.7	%
Federal Bureau of Investigation ("FBI")		9.2		1,498,607		16.1	%		53,272,188		15.9	%
Drug Enforcement Administration ("DEA")		11.0		607,290		6.5	%		27,900,724		8.3	%
Judiciary of the U.S. ("JUD")		12.6		401,610		4.3	%		16,424,994		4.9	%
U.S. Citizenship and Immigration Services ("USCIS")		12.1		520,807		5.6	%		15,048,954		4.5	%
Immigration and Customs Enforcement ("ICE")		9.1		313,837		3.4	%		12,154,452		3.6	%
Environmental Protection Agency ("EPA")		6.9		225,418		2.4	%		9,297,817		2.8	%
Food and Drug Administration ("FDA")		15.4		129,314		1.4	%		9,220,212		2.8	%
U.S. Joint Staff Command ("JSC")		3.7		403,737		4.3	%		8,503,831		2.5	%
Internal Revenue Service ("IRS")		8.9		233,334		2.5	%		8,218,306		2.5	%
Federal Aviation Administration ("FAA")		2.1		188,768		2.0	%		7,789,136		2.3	%
Bureau of the Fiscal Service ("BFS")		12.9		266,176		2.9	%		7,015,793		2.1	%
U.S. Forest Service ("USFS")		1.0		191,175		2.0	%		6,689,086		2.0	%
Social Security Administration ("SSA")		8.3		192,185		2.1	%		5,551,053		1.7	%
Patent and Trademark Office ("PTO")		10.3		190,546		2.0	%		4,683,980		1.4	%
Federal Emergency Management Agency ("FEMA")		14.0		210,373		2.3	%		4,658,468		1.4	%
U.S. Attorney Office ("USAO")		10.2		110,776		1.2	%		4,137,116		1.2	%
Department of Transportation ("DOT")		14.0		123,480		1.3	%		3,644,929		1.1	%
Customs and Border Protection ("CBP")		10.9		64,737		0.7	%		3,226,944		1.0	%
National Archives and Records Administration ("NARA")		7.6		161,730		1.7	%		2,690,321		0.8	%
National Weather Service ("NWS")		9.2		94,378		1.0	%		2,151,911		0.6	%
U.S. Department of Agriculture ("USDA")		3.3		60,257		0.6	%		1,909,389		0.6	%
National Park Service ("NPS")		4.7		62,772		0.7	%		1,891,182		0.6	%
General Services Administration - Other		1.0		55,807		0.6	%		1,707,761		0.5	%
U.S. Coast Guard ("USCG")		3.2		59,547		0.6	%		1,618,049		0.5	%
National Oceanic and Atmospheric Administration ("NOAA")		6.9		33,403		0.4	%		1,425,132		0.4	%
Transportation Security Administration ("TSA")		9.2		44,075		0.5	%		1,155,260		0.3	%
U.S. Army Corps of Engineers ("ACOE")		0.4		39,320		0.4	%		1,147,120		0.3	%
Small Business Administration ("SBA")		14.8		44,969		0.5	%		1,118,844		0.3	%

     Tenants (Cont.)
(As of September 30, 2024, unaudited)


Tenant	Weighted Average Remaining Lease Term(1)		Leased Square Feet		Percentage of Leased Square Feet			Annualized Lease Income		Percentage of Total Annualized Lease Income

U.S. Government (Cont.)
Homeland Security Investigations ("HSI")		11.5		27,840		0.3	%		1,065,323		0.3	%
Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF")		8.4		23,775		0.3	%		732,833		0.2	%
Federal Energy Regulatory Commission ("FERC")		14.9		6,214		0.1	%		248,307		0.1	%
Department of Energy ("DOE")		8.5		4,846		0.1	%		187,782		0.1	%
U.S. Probation Office ("USPO")		14.3		6,621		0.1	%		180,393		0.1	%
U.S. Marshals Service ("USMS")		2.3		1,054		0.0	%		50,405		0.0	%
Department of Labor ("DOL")		14.3		574		0.0	%		15,645		0.0	%

Subtotal		10.5		8,850,483		94.9	%	$	322,849,172		96.4	%

State and Local Government
State of California Employee Development Department		9.4		65,133		0.7	%		2,296,631		0.7	%
State of California Department of Industrial Relations		9.1		30,140		0.3	%		1,067,748		0.3	%
New York State Court of Claims		2.0		14,274		0.2	%		391,875		0.1	%

Subtotal		8.3		109,547		1.2	%	$	3,756,254		1.1	%

Private Tenants
Northrup Grumman Systems Corporation		4.9		99,246		1.1	%		2,321,179		0.7	%
Other Private Tenants		4.4		58,869		0.6	%		1,685,009		0.5	%
St. Luke's Health System		2.3		32,043		0.3	%		999,037		0.3	%
CVS Health		0.7		39,690		0.4	%		880,526		0.3	%
HUB International Midwest Limited		8.0		29,074		0.3	%		836,920		0.2	%
Providence Health & Services		0.9		21,643		0.2	%		747,258		0.2	%
Pate Rehabilitation Endevours, LLC		7.3		19,449		0.2	%		636,727		0.2	%
Lummus Corporation		3.8		70,078		0.8	%		412,024		0.1	%

Subtotal		4.1		370,092		3.9	%	$	8,518,680		2.5	%

Total / Weighted Average		10.2		9,330,122		100.0	%	$	335,124,106		100.0	%

(1) Weighted based on leased square feet.

     Lease Expirations
(As of September 30, 2024, unaudited)


Year of Lease Expiration (1)	Number of Leases Expiring	Leased Square Footage Expiring		Percentage of Total Leased Square Footage Expiring			Annualized Lease Income Expiring		Percentage of Total Annualized Lease Income Expiring			Annualized Lease Income per Leased Square Foot Expiring
2024	1		92,455		1.0	%		3,270,004		1.0	%		35.37
2025	12		592,906		6.4	%		19,045,322		5.7	%		32.12
2026	6		394,832		4.2	%		14,532,251		4.3	%		36.81
2027	9		506,510		5.4	%		18,829,913		5.6	%		37.18
2028	11		802,397		8.6	%		17,605,584		5.3	%		21.94
2029	8		631,036		6.8	%		19,132,304		5.7	%		30.32
2030	1		1,536		0.0	%		59,478		0.0	%		38.72
2031	3		117,875		1.3	%		4,560,497		1.4	%		38.69
2032	9		579,524		6.2	%		18,826,395		5.6	%		32.49
2033	10		566,197		6.1	%		22,233,253		6.6	%		39.27
Thereafter	60		5,044,854		54.0	%		197,029,105		58.8	%		39.06
Total / Weighted Average	130		9,330,122		100.0	%	$	335,124,106		100.0	%	$	35.92

(1) The year of lease expiration is pursuant to current contract terms. Some tenants have the right to vacate their space during a specified period, or "soft term," before the stated terms of their leases expire. As of September 30, 2024, 8 tenants occupying approximately 5.5% of our leased square feet and contributing approximately 5.4% of our annualized lease income are currently operating under lease provisions that allow them to exercise their right to terminate their lease before the stated term of their respective lease expires.

     Summary of Re/Development Projects
(As of September 30, 2024, unaudited, in thousands, except square feet)

    Projects Under Construction(1)

   

    Property Name

    Location

    Property Type

    Total Leased Square Feet

    Lease Term

    Anticipated Total Cost

    Cost to Date

    Anticipated Lump-Sum Reimbursement(2)

    Anticipated Completion Date

    Anticipated Lease Commencement

FDA - Atlanta

Atlanta, GA

Laboratory

162,000

20-Year

237,105

158,555

150,680

4Q 2025

4Q 2025

Total

162,000

237,105

158,555

150,680

    Projects in Design(3)

    Property Name

    Location

    Property Type

    Total Estimated Leased Square Feet

    Lease Term

    Anticipated Completion Date

    Anticipated Lease Commencement

JUD - Flagstaff

 Flagstaff, AZ

 Courthouse

50,777

20-Year

2Q 2026

2Q 2026

Total

50,777

    Projects Previously Completed with Outstanding Lump-Sum Reimbursements(2)

    Property Name

    Location

    Property Type

    Total Leased Square Feet

    Lease Term

    Outstanding Lump-Sum Reimbursement(2)

    Completion Date

    Lease Commencement

N/A

-

-

-

-

-

-

-

(1) Includes properties under construction for which design is complete.

(2) Includes reimbursement of lump-sum tenant improvement costs and development fees.

(3) Includes projects in the design phase for which project scope is not fully determined.