What changed in this filing

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Item 2. Management’s Discussion and Analysis

2026-07-30 compared with 2026-04-29 · 237 added, 108 removed, 390 unchanged (47% of the section changed)

8 unchanged sentences

• economic, business, banking, real estate and other market conditions, particularly in connection with low or negative growth in the U.S.

economy as well as economic uncertainty (including from an economic slowdown or recession, federal government shutdown, disruptions related to tariffs and other trade or sanction issues, geopolitical instability in the Middle East, rising interest rates, inflation, unemployment, or limited growth in consumer income or spending);

• financing risks, including the availability of, and costs associated with, sources of liquidity;

economy as well as economic uncertainty (including from an economic slowdown or recession, federal government shutdown, disruptions related to tariffs and other trade or sanction issues, geopolitical instability, rising interest rates, inflation, unemployment, or limited growth in consumer income or spending);

• financing risks, including the availability of, and costs associated with, sources of liquidity, and our ability to use offering proceeds for the anticipated purposes;

• our ability to refinance, or extend the maturity dates of, our indebtedness;

17 unchanged sentences

• insurance costs and coverage, especially in Florida and Texas coastal areas and North Carolina;

• risks associated with cyber attacks and the loss of confidential information and other business disruptions;

• risks associated with cyberattacks and the loss of confidential information and other business disruptions;

• risks associated with the use of artificial intelligence and related tools;

7 unchanged sentences

retail sector, particularly in light of increased tariffs that were enacted in 2025, interest rate volatility, job growth, the real estate market, and overall economic conditions.

As of March 31, 2026, we own interests in a portfolio of 167 operating retail/mixed-use properties, including 159 wholly owned shopping centers and eight properties owned through four unconsolidated joint ventures, totaling approximately 26.9 million square feet, excluding (i) one operating retail property classified as held for sale as of March 31, 2026, (ii) Eastgate Crossing, a 152,682 square foot multi-tenant retail property in the Durham-Chapel Hill MSA that was reclassified from our operating portfolio in September 2025 due to significant disruption caused by severe flooding as a result of Tropical Storm Chantal, and (iii) two standalone office properties with 0.4 million square feet.

As of June 30, 2026, we own interests in a portfolio of 163 operating retail/mixed-use properties, including 155 wholly owned shopping centers and eight properties owned through four unconsolidated joint ventures, totaling approximately 26.0 million square feet, excluding (i) Eastgate Crossing, a 152,682 square foot multi-tenant retail property in the Durham-Chapel Hill MSA that was reclassified from our operating portfolio in September 2025 due to significant disruption caused by severe flooding as a result of Tropical Storm Chantal, and (ii) two standalone office properties with 0.4 million square feet.

Of the 163 operating retail/mixed-use properties, 11 contain an office component.

We also own interests in one development project under construction as of March 31, 2026 and an additional two properties with future redevelopment opportunities.

We also own interests in one development project under construction as of June 30, 2026 and an additional two properties with future redevelopment opportunities.

Inflation and Tariffs

1 unchanged sentence

Although inflation has moderated significantly from peak levels experienced during 2022, inflation may increase in the future as a result of multiple factors, including the tariffs implemented by the U.S.

government in 2025 on imported goods from specific countries and inflationary pressures arising from geopolitical instability in the Middle East.

government in 2025 on imported goods from specific countries and inflationary pressures arising from geopolitical instability.

These tariffs may lead to higher prices for many of the products that our tenants sell, potentially reducing consumer demand and spending and negatively impacting our tenants’ sales volume and overall health.

1 unchanged sentence

Additionally, uncertainty regarding the scope and duration of the current and potential tariffs can lead to significant business uncertainty, affecting our tenants’ strategic planning and store expansion plans.

Many of our leases contain

provisions designed to mitigate the adverse impact of inflation, including stated rent increases and requirements for tenants to pay a share of operating expenses, including common area maintenance, real estate taxes, insurance, or other operating expenses related to the maintenance of our properties, with escalation clauses in most leases.

Many of our leases contain provisions designed to mitigate the adverse impact of inflation, including stated rent increases and requirements for tenants to pay a share of

operating expenses, including common area maintenance, real estate taxes, insurance, or other operating expenses related to the maintenance of our properties, with escalation clauses in most leases.

Over the past few years, we have made significant progress in executing leases that include higher fixed-rent increases while also including consumer price index-based, anti-gouging protection for tenants.

4 unchanged sentences

Operating Activity

During the first quarter of 2026, we executed new and renewal leases on 151 individual spaces totaling 707,000 square feet (13.5% cash leasing spread on 113 comparable leases).

During the second quarter of 2026, we executed new and renewal leases on 128 individual spaces totaling approximately 1.0 million square feet (15.9% cash leasing spread on 103 comparable leases).

New leases were signed on 44 individual spaces for 329,750 square feet of gross leasable area (“GLA”) (28.4% cash leasing spread on 29 comparable leases), while non-option renewal leases were signed on 47 individual spaces for 188,717 square feet of GLA (17.7% cash leasing spread on 37 comparable leases) and option renewals were signed on 37 individual spaces for 476,194 square feet of GLA (6.6% cash leasing spread).

1 unchanged sentence

Comparable new and renewal leases are defined as those for which the space was occupied by a tenant within the last 12 months.

As of June 30, 2026, the Company’s operating retail portfolio annualized base rent per square foot was $23.41.

New Tax Legislation

3 unchanged sentences

Results of Operations

Our development, redevelopment, and operating property acquisition and disposition activities during 2025 and 2026 affect the comparability of our results of operations for the three months ended March 31, 2026 and 2025.

Therefore, we believe it is most useful to review the comparisons of our results of operations for these periods (as set forth below under “Comparison of Operating Results for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025”) in conjunction with the discussion of our transaction activities during those periods, which is set forth below.

The following operating properties were acquired during the period from January 1, 2025 through March 31, 2026:

Therefore, we believe it is most useful to review the comparisons of our results of operations for these periods (as set forth below under “Comparison of Operating Results for the Three Months Ended June 30, 2026 to the Three Months Ended June 30, 2025” and “Comparison of Operating Results for the Six Months Ended June 30, 2026 to the Six Months Ended June 30, 2025”) in conjunction with the discussion of our transaction activities during those periods, which is set forth below.

The following operating properties were acquired during the period from January 1, 2025 through June 30, 2026:

Property Name MSA Acquisition Date Retail GLA

2 unchanged sentences

Worth April 28, 2025 342,011

Chastain Market (2)

Atlanta May 11, 2026 79,517

Founders Square Naples, FL May 21, 2026 66,360

(1) We acquired a 52% noncontrolling interest in Legacy West in a joint venture for a gross purchase price of $785.0 million, including the assumption of $304.0 million of debt with an interest rate of 3.80%.

1 unchanged sentence

Legacy West also contains 443,553 square feet of office space and 782 multifamily units.

The following operating properties were sold during the period from January 1, 2025 through March 31, 2026:

(2) Chastain Market also contains 27,699 square feet of office space.

The following operating properties were sold during the period from January 1, 2025 through June 30, 2026:

Property Name MSA Disposition Date GLA

21 unchanged sentences

Coram Plaza New York March 5, 2026 138,385

Estero Town Commons – Lowe’s (2)

Fort Myers, FL June 5, 2026 —

Commons at Temecula Riverside, CA June 10, 2026 292,078

Gateway Station College Station, TX June 10, 2026 125,406

Grapevine Crossing Dallas/Ft.

Worth June 10, 2026 125,488

La Plaza Del Norte San Antonio June 10, 2026 320,102

Perimeter Woods Charlotte June 10, 2026 127,067

Winchester Commons Memphis June 10, 2026 93,077

City Center New York June 25, 2026 362,278

(1) We contributed this previously wholly owned property into a joint venture (the “Seed Asset Joint Venture”) in June 2025 and have retained a 52% noncontrolling interest in the property.

(2) We sold the ground lease interest in one tenant at this existing multi-tenant operating retail property.

The total number of properties in our portfolio was not affected by this transaction.

Subsequent to June 30, 2026, we sold Tysons Corner, a 36,942 square foot retail property in the Washington, D.C.

Development and Redevelopment Projects

The following properties were under active development or redevelopment at various times during the period from January 1, 2025 through March 31, 2026 and removed from our operating portfolio:

The following properties were under active development or redevelopment at various times during the period from January 1, 2025 through June 30, 2026 and removed from our operating portfolio:

Project Name MSA Transition to

6 unchanged sentences

September 2024 Pending 119,000

One Loudoun Phase 2 Apartments (3)

Washington, D.C.

June 2026 Pending —

Future Opportunities

7 unchanged sentences

(1) Transition date represents the date the property was transferred from our operating portfolio into redevelopment status.

(2) The property is comprised of the development project (which has been excluded from the Company’s same property pool due to the ongoing development) and the remaining retail operating portion of the property (which is included in the Company’s same property pool as of March 31, 2026).

(3) The property is comprised of the development project (which has been excluded from the Company’s same property pool due to the ongoing development) and is expected to consist of a second multifamily rental building consisting of 429 apartment units and ground-floor retail space.

(4) This property has been identified as a redevelopment property and is not included in the operating portfolio or the same property pool.

5 unchanged sentences

(6) This property is included in the operating portfolio and is not included in the same property pool because it was reclassified from active development into our operating portfolio in March 2025.

In addition, in January 2026, the Company disposed of the second phase of a land parcel and the rights to develop 14 residential units at the One Loudoun Expansion in the Washington, D.C.

The Company is under contract to sell the remaining land and the rights to develop an additional 40 residential units, which are expected to close in phases through 2026.

Comparison of Operating Results for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

The following table reflects changes in the components of our consolidated statements of operations for the three months ended March 31, 2026 and 2025 (in thousands) :

Three Months Ended March 31,

In addition, in January 2026 and April 2026, the Company disposed of the second and third phases of a land parcel and the rights to develop 14 residential units in each phase at the One Loudoun Expansion in the Washington, D.C.

Subsequent to June 30, 2026, the Company sold the remaining land and the rights to develop an additional 22 residential units at the One Loudoun Expansion.

Comparison of Operating Results for the Three Months Ended June 30, 2026 to the Three Months Ended June 30, 2025

The following table reflects changes in the components of our consolidated statements of operations for the three months ended June 30, 2026 and 2025 (in thousands) :

Three Months Ended June 30,

2026 2025 Change

14 unchanged sentences

Net gains from outlot sales 1,364 — 1,364

Gain on deconsolidation of joint venture 60,625 — 60,625

Equity in loss of unconsolidated joint ventures (1,344) (3,238) 1,894

6 unchanged sentences

Three Months Ended

March 31, 2025 to 2026

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (22,908)

2 unchanged sentences

Total $ (17,868)

The net increase of $7.8 million in rental income for properties that were fully operational during 2025 and 2026 is primarily due to a $3.4 million increase in tenant reimbursements from higher recoverable common area maintenance expenses and real estate taxes, $2.8 million in lease termination income, a $0.6 million decrease in bad debt expense, and $0.5 million increases in both base minimum rent from contractual rent changes and overage rent.

The occupancy of the fully operational properties decreased from 92.2% for the three months ended March 31, 2025 to 91.1% for the three months ended March 31, 2026.

The net increase of $3.5 million in rental income for properties that were fully operational during 2025 and 2026 is primarily due to increases in base minimum rent of $4.3 million from contractual rent changes and an increase in leasing spreads and tenant reimbursements of $1.4 million from higher recoverable common area maintenance expenses and real estate taxes.

These variances were partially offset by a decrease in lease termination income of $2.2 million.

The occupancy of the fully operational properties decreased from 91.0% for the three months ended June 30, 2025 to 90.9% for the three months ended June 30, 2026.

Other property-related revenue primarily consists of parking revenues and other miscellaneous activity.

This revenue decreased by $0.1 million primarily due to a decrease in miscellaneous income.

We recorded fee income of $1.3 million and $0.4 million during the three months ended March 31, 2026 and 2025, respectively, from property management and development services provided to third parties and unconsolidated joint ventures.

The increase in fee income is primarily due to management fees earned during the three months ended March 31, 2026 related to the Legacy West Joint Venture and the Seed Asset Joint Venture.

Property operating expenses increased $1.3 million, or 4.3%, due to the following (in thousands) :

This revenue increased by $0.2 million primarily due to an increase in parking revenue.

We recorded fee income of $1.4 million and $0.9 million during the three months ended June 30, 2026 and 2025, respectively, from property management and development services provided to third parties and unconsolidated joint ventures.

The increase in fee income is primarily due to management fees earned during the three months ended June 30, 2026 related to the Legacy West Joint Venture and the Seed Asset Joint Venture.

Property operating expenses decreased $0.4 million, or 1.3%, due to the following (in thousands) :

Three Months Ended

March 31, 2025 to 2026

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (2,935)

2 unchanged sentences

Total $ (386)

The net increase of $3.0 million in property operating expenses for properties that were fully operational during 2025 and 2026 is primarily due to (i) a $0.7 million increase in both snow removal expenses and repairs and maintenance expenses, (ii) a $0.6 million increase in insurance expenses, and (iii) a $0.4 million increase in both landscaping and parking lot expenses and nonrecoverable expenses.

The net increase of $2.3 million in property operating expenses for properties that were fully operational during 2025 and 2026 is primarily due to increases in the following:

(i) $0.8 million in insurance expenses;

(ii) $0.6 million in repairs and maintenance expenses;

(iii) $0.4 million increase in landscaping and parking lot expenses;

and (iv) $0.4 million in nonrecoverable expenses.

As a percentage of revenue, property operating expenses increased from 13.5% to 14.5% due to an increase in expenses in 2026.

1 unchanged sentence

Three Months Ended

March 31, 2025 to 2026

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (3,360)

2 unchanged sentences

Total $ (2,173)

The net increase of $0.3 million in real estate taxes for properties that were fully operational during 2025 and 2026 is primarily due to higher real estate tax assessments at certain properties in the portfolio in 2026, partially offset by an increase in real estate tax refunds received during the three months ended March 31, 2026.

The net increase of $0.9 million in real estate taxes for properties that were fully operational during 2025 and 2026 is primarily due to higher real estate tax assessments at certain properties in the portfolio in 2026 and lower real estate tax refunds received during the three months ended June 30, 2026.

The majority of real estate tax expenses are recoverable from tenants, and such recovery is reflected within “Rental income” in the accompanying consolidated statements of operations and comprehensive income.

General, administrative and other expenses increased $1.7 million, or 13.8%, primarily due to an increase in payroll expenses, share-based compensation, and state and local income taxes in 2026.

General, administrative and other expenses increased $1.2 million, or 8.6%, primarily due to an increase in payroll expenses and share-based compensation in 2026.

Depreciation and amortization expense decreased $16.3 million, or 16.6%, due to the following (in thousands) :

Three Months Ended

March 31, 2025 to 2026

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (10,950)

3 unchanged sentences

The net decrease of $6.2 million in depreciation and amortization at properties that were fully operational during 2025 and 2026 is primarily due to the timing of placing assets in service and writing off tenant-related assets as a result of tenant move-outs.

Based on the results of our evaluations for impairment (see Note 4 to the accompanying consolidated financial statements), we recorded a $5.9 million impairment charge on City Center during the three months ended March 31, 2026.

No impairment charges were recorded during the three months ended March 31, 2025.

During the three months ended June 30, 2026, we recorded a $1.0 million impairment charge related to the write-off of capitalized costs associated with an abandoned project.

No impairment charges were recorded during the three months ended June 30, 2025.

Interest expense decreased $2.3 million, or 6.8%, primarily due to the payoffs of the $150.0 million unsecured term loan in June 2025 and the $80.0 million principal balance of the 4.47% senior unsecured notes that matured in September 2025, as well as a decrease in borrowings on the unsecured revolving line of credit, partially offset by interest incurred on the $300.0 million aggregate principal amount of the 5.20% senior unsecured notes issued in June 2025.

We recorded a net gain on sales of operating properties of $87.7 million for the three months ended June 30, 2026 on the sales of seven operating retail properties and the ground lease interest in Lowe’s at Estero Town Commons compared to a net gain on sales of operating properties of $103.0 million on the sales of Stoney Creek Commons and Fullerton Metrocenter and the contribution of three previously wholly owned properties to the Seed Asset Joint Venture for the three months ended June 30, 2025.

We recorded a net gain from outlot sales of $1.4 million for the three months ended June 30, 2026 on the sale of a land parcel and the rights to develop 14 residential units at the One Loudoun Expansion in the Washington, D.C.

We did not sell any land parcels during the three months ended June 30, 2025.

During the three months ended June 30, 2026, we recognized a $60.6 million gain on the deconsolidation of our multifamily joint venture at One Loudoun Downtown (the “One Loudoun Residential Joint Venture”) related to adjusting our retained interest to fair value.

No such gain was recognized during the three months ended June 30, 2025.

Equity in loss of unconsolidated joint ventures decreased $1.9 million, or 58.5%, primarily due to improved operating performance at certain joint venture properties during the three months ended June 30, 2026 compared to the prior year.

Other income, net increased $2.7 million, or 553.4%, primarily due to the receipt of insurance proceeds in excess of replacement cost during the three months ended June 30, 2026 related to the July 2025 severe flooding at Eastgate Crossing in the Durham-Chapel Hill MSA and an increase in interest income earned from Code Section 1031 tax-deferred exchanges compared to the prior year.

Comparison of Operating Results for the Six Months Ended June 30, 2026 to the Six Months Ended June 30, 2025

The following table reflects changes in the components of our consolidated statements of operations for the six months ended June 30, 2026 and 2025 (in thousands) :

Six Months Ended June 30,

2026 2025 Change

Rental income $ 391,356 $ 430,354 $ (38,998)

Other property-related revenue 2,925 2,835 90

Fee income 2,674 1,278 1,396

Total revenue 396,955 434,467 (37,512)

Property operating 59,611 58,707 904

Real estate taxes 49,302 54,412 (5,110)

General, administrative and other 28,493 25,648 2,845

Depreciation and amortization 164,095 196,118 (32,023)

Impairment charges 6,868 — 6,868

Total expenses 308,369 334,885 (26,516)

Other (expense) income:

Interest expense (63,439) (67,006) 3,567

Income tax expense of taxable REIT subsidiaries (821) (209) (612)

Gain on sales of operating properties, net 87,727 103,113 (15,386)

Net gains from outlot sales 2,403 — 2,403

Gain on deconsolidation of joint venture 60,625 — 60,625

Equity in loss of unconsolidated joint ventures (3,560) (3,845) 285

Other income, net 5,741 5,228 513

Net income 177,262 136,863 40,399

Net income attributable to noncontrolling interests (4,564) (2,815) (1,749)

Net income attributable to common shareholders $ 172,698 $ 134,048 $ 38,650

Property operating expense to total revenue ratio 15.0 % 13.5 %

Rental income (including tenant reimbursements) decreased $39.0 million, or 9.1%, due to the following (in thousands) :

Six Months Ended

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (50,876)

Properties under redevelopment or acquired during 2025 and/or 2026 727

Properties fully operational during 2025 and 2026 and other 11,151

Total $ (38,998)

The net increase of $11.2 million in rental income for properties that were fully operational during 2025 and 2026 is primarily due to increases in the following:

(i) base minimum rent of $4.8 million from contractual rent changes and an increase in leasing spreads;

(ii) tenant reimbursements of $4.7 million from higher recoverable common area maintenance expenses and real estate taxes;

and (iii) lease termination income of $0.5 million, lower bad debt expense of $0.5 million, and increases of $0.3 million in overage rent and ancillary income.

Other property-related revenue primarily consists of parking revenues and other miscellaneous activity.

This revenue increased by $0.1 million primarily due to an increase in parking revenue.

We recorded fee income of $2.7 million and $1.3 million during the six months ended June 30, 2026 and 2025, respectively, from property management and development services provided to third parties and unconsolidated joint ventures.

The increase in fee income is primarily due to management fees earned during the six months ended June 30, 2026 related to the Legacy West Joint Venture and the Seed Asset Joint Venture.

Property operating expenses increased $0.9 million, or 1.5%, due to the following (in thousands) :

Six Months Ended

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (4,777)

Properties under redevelopment or acquired during 2025 and/or 2026 491

Properties fully operational during 2025 and 2026 and other 5,190

The net increase of $5.2 million in property operating expenses for properties that were fully operational during 2025 and 2026 is primarily due to increases in the following:

(i) insurance expenses of $1.3 million;

(ii) repairs and maintenance expenses of $1.3 million;

(iii) non-recoverable operating expenses of $0.8 million;

(iv) snow removal expenses of $0.7 million;

(v) landscaping and parking lot expenses of $0.7 million;

and (vi) security expenses of $0.2 million.

As a percentage of revenue, property operating expenses increased from 13.5% to 15.0% due to an increase in expenses in 2026.

Real estate taxes decreased $5.1 million, or 9.4%, due to the following (in thousands) :

Six Months Ended

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (6,585)

Properties under redevelopment or acquired during 2025 and/or 2026 327

Properties fully operational during 2025 and 2026 and other 1,148

Total $ (5,110)

The net increase of $1.1 million in real estate taxes for properties that were fully operational during 2025 and 2026 is primarily due to higher real estate tax assessments at certain properties in the portfolio in 2026, partially offset by an increase in real estate tax refunds received during the six months ended June 30, 2026 and capitalized real estate taxes at certain properties in the portfolio.

General, administrative and other expenses increased $2.8 million, or 11.1%, primarily due to an increase in payroll expenses and share-based compensation in 2026.

Depreciation and amortization expense decreased $32.0 million, or 16.3%, due to the following (in thousands) :

Six Months Ended

June 30, 2025 to 2026

Properties or components of properties sold or held for sale during 2025 and/or 2026 $ (23,190)

Properties under redevelopment or acquired during 2025 and/or 2026 524

Properties fully operational during 2025 and 2026 and other (9,357)

Total $ (32,023)

The net decrease of $9.4 million in depreciation and amortization at properties that were fully operational during 2025 and 2026 is primarily due to the timing of placing assets in service and writing off tenant-related assets as a result of tenant move-outs.

In addition, we recorded a $1.0 million impairment charge related to the write-off of capitalized costs associated with an abandoned project.

No impairment charges were recorded during the six months ended June 30, 2025.

Interest expense decreased $3.6 million, or 5.3%, primarily due to the payoffs of the following in 2025:

(i) $350.0 million in aggregate principal balance of the 4.00% senior unsecured notes that matured in March 2025, (ii) $150.0 million unsecured term loan in June 2025, and (iii) $80.0 million principal balance of the 4.47% senior unsecured notes that matured in September 2025, partially offset by interest incurred on the $300.0 million in aggregate principal amount of the 5.20% senior unsecured notes issued in June 2025.

We recorded a net gain from outlot sales of $1.0 million for the three months ended March 31, 2026 primarily on the sale of a land parcel and the rights to develop 14 residential units at the One Loudoun Expansion in the Washington, D.C.

We did not sell any land parcels during the three months ended March 31, 2025.

Equity in loss of unconsolidated joint ventures increased $1.6 million primarily due to the April 2025 acquisition of 52% of Legacy West in a joint venture along with the contribution of three previously wholly owned properties to the Seed Asset Joint Venture in June 2025, of which we own 52%.

Other income, net decreased $2.2 million, or 45.8%, primarily due to a decrease in interest income earned during the three months ended March 31, 2026 compared to the prior year.

(i) $350.0 million aggregate principal balance of the 4.00% senior unsecured notes that matured in March 2025, (ii) $150.0 million unsecured term loan in June 2025, and (iii) $80.0 million principal balance of the 4.47% senior unsecured notes that matured in September 2025, partially offset by interest incurred on the $300.0 million aggregate principal amount of the 5.20% senior unsecured notes issued in June 2025.

We recorded a net gain on sales of operating properties of $87.7 million for the six months ended June 30, 2026 on the sales of eight operating retail properties and the ground lease interest in Lowe’s at Estero Town Commons compared to a net gain on sales of operating properties of $103.1 million on the sales of Stoney Creek Commons and Fullerton Metrocenter and the contribution of three previously wholly owned properties to the Seed Asset Joint Venture for the six months ended June 30, 2025.

We recorded a net gain from outlot sales of $2.4 million for the six months ended June 30, 2026 primarily on the sale of a land parcel and the rights to develop 28 residential units at the One Loudoun Expansion in the Washington, D.C.

We did not sell any land parcels during the six months ended June 30, 2025.

During the six months ended June 30, 2026, we recognized a $60.6 million gain on the deconsolidation of the One Loudoun Residential Joint Venture related to adjusting our retained interest to fair value.

No such gain was recognized during the three months ended June 30, 2025.

Equity in loss of unconsolidated joint ventures decreased $0.3 million, or 7.4%, primarily due to improved operating performance at certain joint venture properties during the six months ended June 30, 2026 compared to the prior year.

Other income, net increased $0.5 million, or 9.8%, primarily due to the receipt of insurance proceeds in excess of replacement cost during the six months ended June 30, 2026 related to the July 2025 severe flooding at Eastgate Crossing in the Durham-Chapel Hill MSA and an increase in interest income earned from 1031 Exchanges, partially offset by a decrease in interest income earned on bank accounts compared to the prior year.

Net Operating Income and Same Property Net Operating Income

13 unchanged sentences

Same Property NOI includes the results of properties that have been owned for the entire current and prior year reporting periods.

Same Property NOI for all periods presented includes 52% of the NOI from three previously wholly owned properties that were contributed to the Seed Asset Joint Venture in June 2025 and excludes the results of the Company’s insurance captive.

Same Property NOI for all periods presented includes (i) 52% of the NOI from three previously wholly owned properties that were contributed to the Seed Asset Joint Venture in June 2025 and (ii) 55% of the NOI from the One Loudoun Phase 1 Apartments (which 55% represents the Company’s expected final ownership percentage) and excludes the results of the Company’s insurance captive.

NOI and Same Property NOI should not, however, be considered as an alternative to net income (calculated in accordance with GAAP) as an indicator of our financial performance.

4 unchanged sentences

A redevelopment property is first excluded from the Same Property Pool when the execution of a redevelopment plan is likely, and we (a) begin recapturing space from tenants or (b) the contemplated plan significantly impacts the operations of the property.

For the three months ended March 31, 2026, the Same Property Pool excludes the following:

• Village Commons and Legacy West, which were acquired in 2025;

For the three and six months ended June 30, 2026, the Same Property Pool excludes the following:

• Chastain Market and Founders Square, which were acquired in May 2026, and Village Commons and Legacy West, which were acquired in January and April 2025, respectively;

• The Corner – IN, which was reclassified from active development into our operating portfolio in March 2025;

• Eastgate Crossing, which was reclassified from our operating portfolio in September 2025 due to significant disruption caused by severe flooding as a result of Tropical Storm Chantal;

• our active development project at One Loudoun Expansion;

• our active development projects at One Loudoun;

• Hamilton Crossing Centre and Edwards Multiplex – Ontario, which were reclassified from our operating portfolio into redevelopment in June 2014 and March 2023, respectively;

1 unchanged sentence

• standalone office properties, including the Carillon medical office building.

The following table presents Same Property NOI and a reconciliation to net income attributable to common shareholders for the three months ended March 31, 2026 and 2025 (dollars in thousands) :

Three Months Ended March 31,

2026 2025 Change

The following table presents Same Property NOI and a reconciliation to net income attributable to common shareholders for the three and six months ended June 30, 2026 and 2025 (dollars in thousands) :

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 Change 2026 2025 Change

Number of properties in Same Property Pool for the period (1)

158 158 158 158

Leased percentage at period end 94.7 % 93.8 % 94.7 % 93.8 %

9 unchanged sentences

Net operating income – non-same activity (4)

KRG share of unconsolidated joint ventures included in

Same Property NOI above

5,294 7,078 13,234 12,641

KRG share of unconsolidated joint ventures included

in Same Property NOI above

(2,610) (430) (5,238) (734)

Net gains from outlot sales 1,364 — 2,403 —

Total property NOI 143,271 157,005 (8.7 %) 287,771 320,070 (10.1 %)

Other income, net 1,257 4,551

Other income (expense), net 2,777 (2,099) 4,034 2,452

General, administrative and other (14,543) (13,390) (28,493) (25,648)

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Gain on sales of operating properties, net 87,727 103,022 87,727 103,113

Gain on deconsolidation of joint venture 60,625 — 60,625 —

Net income attributable to noncontrolling interests

(4,226) (2,281) (4,564) (2,815)

Net income attributable to common shareholders

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(1) Same Property NOI excludes the following:

(i) Village Commons and Legacy West, which were acquired in 2025;

(i) Chastain Market and Founders Square, which were acquired in May 2026, and Village Commons and Legacy West, which were acquired in January and April 2025, respectively;

(ii) The Corner – IN, which was reclassified from active development into our operating portfolio in March 2025;

(iii) Eastgate Crossing, which was reclassified from our operating portfolio in September 2025 due to significant disruption caused by severe flooding as a result of Tropical Storm Chantal;

(iv) our active development project at One Loudoun Expansion;

(iv) our active development projects at One Loudoun;

(v) Hamilton Crossing Centre and Edwards Multiplex – Ontario, which were reclassified from our operating portfolio into redevelopment in June 2014 and March 2023, respectively;

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calculated as a weighted average based on the timing of cash rent commencement and expiration during the period.

(3) Same Property NOI for all periods presented includes 52% of the NOI from three previously wholly owned properties that were contributed to the Seed Asset Joint Venture in June 2025 and excludes the results of the Company’s insurance captive.

(3) Same Property NOI for all periods presented includes (i) 52% of the NOI from three previously wholly owned properties that were contributed to the Seed Asset Joint Venture in June 2025 and (ii) 55% of the NOI from the One Loudoun Phase 1 Apartments (which 55% represents the Company’s expected final ownership percentage) and excludes the results of the Company’s insurance captive.

(4) Includes non-cash activity as well as NOI from properties not included in the Same Property Pool.

Our Same Property NOI increased 3.6% for the three months ended March 31, 2026 compared to the same period of the prior year primarily due to contractual rent growth.

Our Same Property NOI increased 3.7% for the three months ended June 30, 2026 compared to the same period of the prior year primarily due to contractual rent growth and higher base rent driven by positive new and renewal leasing spreads.

NAREIT Funds From Operations

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We calculate FFO, a non-GAAP financial measure, in accordance with the best practices described in the April 2002 National Policy Bulletin of the National Association of Real Estate Investment Trusts (“NAREIT”), as restated in 2018.

The NAREIT white paper defines FFO as net income (calculated in accordance with GAAP), excluding (i) depreciation and amortization related to real estate, (ii) gains and losses from the sale of certain real estate assets, (iii) gains and losses from change in control, and (iv) 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.

assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity.

Considering the nature of our business as a real estate owner and operator, we believe that FFO is helpful to investors in measuring our operational performance because it excludes various items included in net income that do not relate to or are not indicative of our operating performance, such as gains or losses from sales of depreciated property and depreciation and amortization, which can make periodic and peer analyses of operating performance more difficult.

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Our computation of Core FFO may differ from the methodology for calculating Core FFO used by other REITs and, therefore, may not be comparable to such other REITs.

Our calculations of FFO and reconciliation to net income and Core FFO for the three months ended March 31, 2026 and 2025 (unaudited) are as follows (dollars in thousands) :

Three Months Ended March 31,

Our calculations of FFO and reconciliation to net income and Core FFO for the three and six months ended June 30, 2026 and 2025 (unaudited) are as follows (dollars in thousands) :

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Net income $ 165,530 $ 112,599 $ 177,262 $ 136,863

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gain on sales of operating properties, net (87,727) (103,022) (87,727) (103,113)

gain on deconsolidation of joint venture (60,625) — (60,625) —

impairment charges 980 — 6,868 —

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Three Months Ended

March 31, 2026

June 30, 2026

Net income $ 165,530

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Impairment charges 980

Gain on sales of operating properties, net (87,727)

Gain on deconsolidation of joint venture (60,625)

Other income and expense, net (1,825)

Noncontrolling interests (197)

Adjustments for acquisitions and dispositions (1)

Adjusted EBITDA $ 137,043

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Net Debt to Adjusted EBITDA 5.1x

(1) Represents Adjusted EBITDA for the three months ended March 31, 2026 (as shown in the table above) multiplied by four.

(1) Relates to current quarter GAAP operating income for the acquisitions of Chastain Market and Founders Square and the sale of seven properties during the three months ended June 30, 2026 during the period of ownership.

(2) Represents Adjusted EBITDA for the three months ended June 30, 2026 (as shown in the table above) multiplied by four.

(3) Partner share of consolidated joint venture debt is calculated based upon the partner’s pro rata ownership of the joint venture, multiplied by the related secured debt balance.

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We continuously monitor the capital markets and may consider raising additional capital through the issuance of our common or preferred shares, unsecured debt securities, or other securities.

As of March 31, 2026, we had approximately $32.5 million in cash and cash equivalents on hand, $190.6 million in restricted cash and escrow deposits, and $1.0 billion of remaining availability under the $1.1 billion unsecured revolving credit facility (the “Revolving Facility”) compared to $410.6 million of debt maturing over the next 12 months.

As of June 30, 2026, we had approximately $144.6 million in cash and cash equivalents on hand, $176.8 million in restricted cash and escrow deposits, and $1.1 billion of remaining availability under the $1.1 billion unsecured revolving credit facility (the “Revolving Facility”) compared to $606.6 million of total debt maturing over the next 12 months.

Subsequent to

June 30, 2026, we issued $345.0 million aggregate principal amount of 3.25% exchangeable senior notes due 2032 (the “2026 Exchangeable Notes”), and a portion of such proceeds, together with the proceeds from our recent asset dispositions, were used or will be used to (i) repurchase approximately $30.0 million of the Company’s common shares concurrently with the pricing of the 2026 Exchangeable Notes in privately negotiated transactions through one of the initial purchasers of the 2026 Exchangeable Notes or its affiliates, as the Operating Partnership’s agent, and (ii) repay or redeem the $300.0 million aggregate principal balance of the 4.00% senior unsecured notes due October 2026 at or prior to maturity.

We believe we will have adequate liquidity over the next 12 months and beyond to operate our business and meet our cash requirements.

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Therefore, our ability to generate cash from operations is dependent upon the rents that we are able to charge and collect from our tenants.

While we believe that the nature of the properties in which we typically invest—primarily

neighborhood and community shopping centers—provides a relatively stable revenue flow, an economic downturn, tenant bankruptcies, inflation, tariffs, labor shortages, supply chain constraints, severe weather events, and/or increasing energy prices and interest rates, among other events, could adversely affect the ability of some of our tenants to meet their lease obligations.

While we believe that the nature of the properties in which we typically invest—primarily neighborhood and community shopping centers—provides a relatively stable revenue flow, an economic downturn, tenant bankruptcies, inflation, tariffs, labor shortages, supply chain constraints, severe weather events, and/or increasing energy prices and interest rates, among other events, could adversely affect the ability of some of our tenants to meet their lease obligations.

Our Principal Capital Resources

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We continue to focus on a balanced approach to growth and staggering debt maturities to retain our financial flexibility.

As of March 31, 2026, we had approximately $1.0 billion available under the Revolving Facility for future borrowings.

We also had $32.5 million in cash and cash equivalents as of March 31, 2026.

We were in compliance with all applicable financial covenants under the Revolving Facility, unsecured term loans, and senior unsecured notes as of March 31, 2026.

As of June 30, 2026, we had approximately $1.1 billion available under the Revolving Facility for future borrowings.

We also had $144.6 million in cash and cash equivalents as of June 30, 2026.

We were in compliance with all applicable financial covenants under the Revolving Facility, unsecured term loans, and senior unsecured notes as of June 30, 2026.

On June 7, 2024, the Company filed a shelf registration statement with the SEC on Form S-3, which is effective for a term of three years, relating to the offer and sale, from time to time, of an indeterminate amount of equity and debt securities.

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Near-Term Debt Maturities .

As of March 31, 2026, we have $10.6 million of secured debt, excluding scheduled monthly principal payments, and $400.0 million of unsecured debt scheduled to mature over the next 12 months.

We believe we have sufficient liquidity to repay these obligations through a combination of cash flows generated from operations, capital markets transactions, and borrowings on the Revolving Facility.

As of June 30, 2026, we have $30.5 million of secured debt, excluding scheduled monthly principal payments, and $575.0 million of unsecured debt scheduled to mature over the next 12 months.

We believe we have sufficient liquidity to repay these obligations through a combination of proceeds from the 2026 Exchangeable Notes, asset sales, cash flows generated from operations, capital markets transactions, and borrowings on the Revolving Facility.

Other Short-Term Liquidity Needs.

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Our short-term liquidity needs consist primarily of funds necessary to pay operating expenses associated with our operating properties, scheduled interest and principal payments on our debt of approximately $62.5 million and $1.9 million, respectively, for the remainder of 2026, expected dividend payments to our common shareholders and common unit holders, and recurring capital expenditures.

In February 2026, our Board of Trustees declared a cash distribution of $0.29 per common share and Common Unit for the first quarter of 2026.

This distribution was paid on April 16, 2026 to common shareholders and common unit holders of record as of April 9, 2026.

In April 2026, our Board of Trustees declared a cash distribution of $0.29 per common share and Common Unit for the second quarter of 2026.

This distribution was paid on July 16, 2026 to common shareholders and common unit holders of record as of July 9, 2026.

Future distributions, if any, are at the discretion of the Board of Trustees, who will continue to evaluate our sources and uses of capital, liquidity position, operating fundamentals, maintenance of our REIT qualification, and other factors they may deem relevant.

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Other short-term liquidity needs include expenditures for tenant improvements, external leasing commissions, and recurring capital expenditures.

During the three months ended March 31, 2026, we incurred $6.7 million for recurring capital expenditures on operating properties and $19.3 million for tenant improvements and external leasing commissions, which includes costs to re-lease anchor space at our operating properties related to tenants open and operating as of March 31, 2026

(excluding development and redevelopment properties).

During the six months ended June 30, 2026, we incurred $14.6 million for recurring capital expenditures on operating properties and $49.5 million for tenant improvements and external leasing commissions, which includes costs to re-lease anchor space at our operating properties related to tenants open and operating as of June 30, 2026 (excluding development and redevelopment properties).

We currently anticipate incurring approximately $175 million of additional major tenant improvement costs related to executed leases for tenants not yet open at a number of our operating properties over the next 12 to 24 months.

We believe we have the ability to fund these costs through cash flows generated from operations or borrowings on the Revolving Facility.

As of March 31, 2026, the retail and office portions of the One Loudoun Expansion in the Washington, D.C.

During the three months ended June 30, 2026, we began development activities on the One Loudoun Phase 2 Apartments in the Washington, D.C.

MSA, which we estimate will incur net project costs of approximately $93.5 million to $103.5 million.

Our share of the expected funding requirement is approximately $27.5 million to $37.5 million, and as of June 30, 2026, we have incurred $2.0 million of these costs.

In addition, as of June 30, 2026, the retail and office portions of the One Loudoun Expansion in the Washington, D.C.

MSA were under construction.

Our share of the total estimated costs for this project is approximately $87.0 million to $94.0 million, of which our share of the expected funding requirement is approximately $72.0 million to $79.0 million.

As of March 31, 2026, we have incurred $17.0 million of these costs.

We anticipate incurring the majority of the remaining costs for this project over the next 12 to 24 months and believe we can fund this project through cash flows generated from operations or borrowings on the Revolving Facility.

As of June 30, 2026, we have incurred $27.0 million of these costs.

We anticipate incurring the majority of the remaining costs for these projects over the next 12 to 24 months and believe we can fund these projects through cash flows generated from operations or borrowings on the Revolving Facility.

Share Repurchase Program

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In November 2025, the Company extended the Share Repurchase Program for an additional year to February 28, 2027, if not terminated or extended prior to that date.

During the three months ended March 31, 2026 , the Company repurchased approximately 6.0 million common shares at an average price per share of $25.19 for a total of $152.3 million.

As of March 31, 2026, $200.0 million remained available for repurchases of common shares under the Company’s Share Repurchase Program.

During the six months ended June 30, 2026 , the Company repurchased approximately 8.8 million common shares at an average price per share of $25.91 for a total of $228.0 million, excluding commissions.

The common shares repurchased during the six months ended June 30, 2026 include approximately 1.0 million common shares repurchased in conjunction with the pricing of the 2026 Exchangeable Notes on June 29, 2026, at a price of $28.90 per share, for a total of approximately $30.0 million.

As of June 30, 2026, $124.3 million remained available for repurchases of common shares under the Company’s Share Repurchase Program.

Long-Term Liquidity Needs

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We cannot be certain that we would have access to these sources of capital on satisfactory terms, if at all, to fund our long-term liquidity requirements.

We evaluate all future opportunities against pre-established criteria, including, but not limited to, location, demographics, expected return, tenant credit quality, tenant relationships, and the amount of existing retail space.

We evaluate all future opportunities against pre-established criteria, including, but not limited to, location, demographics, expected return, tenant

credit quality, tenant relationships, and the amount of existing retail space.

Our ability to access the capital markets will depend on a number of factors, including general capital market conditions.

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Commitments under Ground Leases.

We are obligated under 11 ground leases for approximately 98 acres of land as of March 31, 2026.

We are obligated under 11 ground leases for approximately 98 acres of land as of June 30, 2026.

Most of these ground leases require fixed annual rent payments, and the expiration dates of the remaining initial terms of these ground leases range from 2028 to 2092.

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Capital Expenditures on Consolidated Properties

The following table summarizes cash capital expenditures for our development and redevelopment projects and other capital expenditures for the three months ended March 31, 2026 (in thousands) :

Three Months Ended

March 31, 2026

The following table summarizes cash capital expenditures for our development and redevelopment projects and other capital expenditures for the six months ended June 30, 2026 (in thousands) :

Six Months Ended

June 30, 2026

Active development and redevelopment projects $ 14,493

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We capitalize certain indirect costs such as interest, payroll, and other general and administrative costs related to these development activities.

If we had experienced a 10% reduction in development and redevelopment activities without a corresponding decrease in indirect project costs, we would have recorded additional expense of $0.1 million for the three months ended March 31, 2026.

Debt Maturities

The following table summarizes the scheduled maturities and principal amortization of the Company’s consolidated indebtedness as of March 31, 2026, presented on a calendar year basis (in thousands) :

The following table summarizes the scheduled maturities and principal amortization of the Company’s consolidated indebtedness as of June 30, 2026, presented on a calendar year basis (in thousands) :

Principal Payments Term

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We have received investment-grade corporate credit ratings from three nationally recognized credit rating agencies.

These ratings did not change as of March 31, 2026.

These ratings did not change as of June 30, 2026.

In the future, these ratings could change based upon, among other things, the impact that prevailing economic conditions may have on our results of operations and financial condition.

Credit rating reductions by one or more rating agencies could also adversely affect our access to funding sources, the cost and other terms of obtaining funding, as well as our overall financial condition, operating results and cash flow.

As of March 31, 2026, we had cash, cash equivalents and restricted cash of $223.1 million.

As of June 30, 2026, we had cash, cash equivalents and restricted cash of $321.4 million.

We may be subject to concentrations of credit risk with regard to our cash and cash equivalents.

We place our cash and short-term investments with highly rated financial institutions.

While we attempt to limit our exposure at any point in time, occasionally such cash and

investments may temporarily exceed the Federal Deposit Insurance Corporation and the Securities Investor Protection Corporation insurance limits.

While we attempt to limit our exposure at any point in time, occasionally such cash and investments may temporarily exceed the Federal Deposit Insurance Corporation and the Securities Investor Protection Corporation insurance limits.

We also maintain certain compensating balances in several financial institutions in support of borrowings from those institutions.

Such compensating balances were not material to the accompanying consolidated balance sheets.

Comparison of the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

Comparison of the Six Months Ended June 30, 2026 to the Six Months Ended June 30, 2025

The following table summarizes our cash flow activities (in thousands) :

Three Months Ended March 31,

Six Months Ended June 30,

2026 2025 Change

Net cash provided by operating activities $ 176,543 $ 206,894 $ (30,351)

Net cash (used in) provided by investing activities (24,521) 227,837 (252,358)

Net cash provided by investing activities 107,236 178,030 (70,794)

Net cash used in financing activities (440,761) (330,641) (110,120)

Decrease in cash, cash equivalents and restricted cash (255,246) (78,420) (176,826)

(Decrease) increase in cash, cash equivalents and restricted cash (156,982) 54,283 (211,265)

Cash, cash equivalents and restricted cash, at beginning of period 478,391 133,552

Cash, cash equivalents and restricted cash, at end of period $ 321,409 $ 187,835

Cash provided by operating activities was $49.8 million for the three months ended March 31, 2026 and $74.1 million for the same period of 2025.

Cash provided by operating activities was $176.5 million for the six months ended June 30, 2026 and $206.9 million for the same period of 2025.

The cash flows were negatively impacted by a decrease in net operating income and changes to other working capital accounts.

Cash used in investing activities was $24.5 million for the three months ended March 31, 2026 compared to cash provided by investing activities of $227.8 million for the same period of 2025.

Cash provided by investing activities was $107.2 million for the six months ended June 30, 2026 and $178.0 million for the same period of 2025.

Highlights of significant cash sources and uses in investing activities are as follows:

• We acquired a vacant land parcel in the Indianapolis MSA and made acquisition deposits totaling $7.9 million during the three months ended March 31, 2026 compared to the acquisition of Village Commons and an acquisition deposit related to the purchase of Legacy West totaling $78.3 million during the three months ended March 31, 2025;

• We acquired Chastain Market, Founders Square, a vacant land parcel in the Indianapolis MSA, and made acquisition deposits totaling $143.2 million during the six months ended June 30, 2026 compared to the acquisition of Village Commons for $67.9 million during the six months ended June 30, 2025;

• Capital expenditures decreased by $13.0 million primarily related to the timing of capital projects;

• We received net proceeds of $15.5 million from the sale of Coram Plaza and a land parcel and the rights to develop 14 residential units at the One Loudoun Expansion during the three months ended March 31, 2026.

We did not sell any properties during the three months ended March 31, 2025;

• We received net proceeds of $322.7 million from the sale of eight operating retail properties, the ground lease interest in one tenant at an existing property, and a land parcel and the rights to develop 28 residential units at the One Loudoun Expansion during the six months ended June 30, 2026 compared to net proceeds of $232.5 million from the sale of Stoney Creek Commons and Fullerton Metrocenter and the contribution of three previously wholly owned properties to the Seed Asset Joint Venture during the six months ended June 30, 2025;

• We invested $253.9 million in the Legacy West Joint Venture during the six months ended June 30, 2025;

• We received $350.0 million in principal upon maturity of the short-term certificates of deposit in February 2025;

• We received a distribution of $0.4 million from an unconsolidated joint venture during the three months ended March 31, 2026;

• During the three months ended March 31, 2025, we contributed $2.0 million to an unconsolidated joint venture related to our share of a developer fee and debt service on the construction loan at The Corner – IN, of which we own a 50% interest.

Cash used in financing activities was $280.5 million for the three months ended March 31, 2026 and $380.3 million for the same period of 2025.

• We received a distribution of $0.4 million from an unconsolidated joint venture during the six months ended June 30, 2026 compared to the receipt of distributions totaling $2.8 million from unconsolidated joint ventures during the six months ended June 30, 2025;

• We contributed $0.3 million to an unconsolidated joint venture during the six months ended June 30, 2026 related to our share of debt service on the construction loan at The Corner – IN, of which we own a 50% interest, compared to contributions totaling $2.2 million to The Corner – IN Joint Venture during the six months ended June 30, 2025 related to our share of a developer fee and debt service on the construction loan.

Cash used in financing activities was $440.8 million for the six months ended June 30, 2026 and $330.6 million for the same period of 2025.

Highlights of significant cash sources and uses in financing activities are as follows:

• We borrowed $237.0 million on the Revolving Facility during the three months ended March 31, 2026 compared to borrowings of $103.0 million on the Revolving Facility during the three months ended March 31, 2025;

• We repaid the following during the three months ended March 31, 2026:

(i) $269.0 million of borrowings on the Revolving Facility and (ii) $1.3 million of mortgages payable compared to the following repayments during the three months ended March 31, 2025:

(i) $350.0 million principal balance of the 4.00% senior unsecured notes that matured on March 15, 2025, (ii) $69.0 million of borrowings on the Revolving Facility, and (iii) $1.3 million of mortgages payable;

• We paid $152.4 million, including commissions, to repurchase common shares through our Share Repurchase Program during the three months ended March 31, 2026.

We did not repurchase any shares during the three months ended March 31, 2025;

• We made distributions to common shareholders and holders of common partnership interests in the Operating Partnership of $93.1 million during the three months ended March 31, 2026 compared to distributions of $61.8 million during the three months ended March 31, 2025.

• We paid $198.1 million, including commissions, to repurchase common shares through our Share Repurchase Program during the six months ended June 30, 2026.

We did not repurchase any shares during the six months ended June 30, 2025;

• We borrowed $319.0 million on the Revolving Facility during the six months ended June 30, 2026 compared to borrowings of $398.0 million on the Revolving Facility and the receipt of $298.5 million of proceeds from the public offering of $300.0 million aggregate principal amount of 5.20% senior unsecured notes due 2032 during the six months ended June 30, 2025;

• We repaid the following during the six months ended June 30, 2026:

(i) $404.0 million of borrowings on the Revolving Facility and (ii) $2.7 million of mortgages payable compared to the following repayments during the six months ended June 30, 2025:

(i) $398.0 million of borrowings on the Revolving Facility, (ii) $350.0 million principal balance of the 4.00% senior unsecured notes that matured on March 15, 2025, (iii) $150.0 million unsecured term loan that was scheduled to mature on July 17, 2026, and (iv) $2.6 million of mortgages payable;

• We made distributions to common shareholders and holders of common partnership interests in the Operating Partnership of $153.2 million during the six months ended June 30, 2026 compared to distributions of $122.4 million during the six months ended June 30, 2025.

Critical Accounting Estimates

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The preparation of these financial statements requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses.

There were no changes made by management to the critical accounting policies in the three months ended March 31, 2026.

There were no changes made by management to the critical accounting policies in the three months ended June 30, 2026.

We discuss the most critical estimates in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 17, 2026.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis