分组1 - Veris Residential reported quarterly funds from operations (FFO) of $0.11 per share, missing the Zacks Consensus Estimate of $0.12 per share, and down from $0.12 per share a year ago, representing an FFO surprise of -8.33% [1] - The company posted revenues of $68.08 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 1.29%, and down from $72.92 million year-over-year [2] - Veris shares have underperformed the market, losing about 5.8% since the beginning of the year compared to the S&P 500's gain of 2.2% [3] 分组2 - The current consensus FFO estimate for the coming quarter is $0.14 on revenues of $69.35 million, and for the current fiscal year, it is $0.61 on revenues of $281.49 million [7] - The Zacks Industry Rank for REIT and Equity Trust - Residential is currently in the bottom 30% of over 250 Zacks industries, indicating potential challenges for the sector [8] - The estimate revisions trend for Veris is mixed, resulting in a Zacks Rank 3 (Hold) for the stock, suggesting it is expected to perform in line with the market in the near future [6]

Portfolio and Acquisitions - As of December 31, 2024, the Company owned or had interests in 22 multifamily rental properties, including 19 wholly-owned properties and six properties owned by unconsolidated joint ventures[23]. - The Company aims to enhance its portfolio primarily through acquisitions, value-add redevelopments, and developments, with a focus on converting low-yielding assets into cash-flowing, high-quality assets[27]. - The Company sold over $230 million of non-strategic assets since the beginning of 2024, including its last office property for $85 million, releasing approximately $82 million of net proceeds[48]. - The Company has a robust and disciplined underwriting process for acquisitions, focusing on improving geographic diversity and asset quality[28]. - The company intends to acquire new properties in the multifamily rental sector, but these acquisitions may not perform as expected and could involve unknown liabilities[63]. Financial Performance - Revenue from leases increased by $10.6 million, or 4.5%, in 2024 compared to 2023, primarily due to an increase in market rental rates[150]. - Other income rose by $0.8 million, or 13.3%, in 2024 compared to 2023, mainly driven by lease termination fees[150]. - Real estate taxes increased by $2.7 million, or 7.9%, in 2024 compared to 2023, due to prior period tax appeal refunds and increased PILOT taxes[151]. - Property management expenses increased by $3.1 million, or 21.6%, in 2024 compared to 2023, primarily due to satisfaction of stay-on award conditions[154]. - General and administrative expenses decreased by $5.4 million, or 12.1%, in 2024 compared to 2023, due to higher stock compensation expenses in 2023[155]. - Interest expense decreased by $1.4 million, or 1.5%, in 2024 compared to 2023, primarily due to the payoff of various mortgage loans[158]. - Equity in earnings of unconsolidated joint ventures increased by $0.8 million, or 26.8%, in 2024 compared to 2023, due to improved operating performance[160]. - The company recognized a gain of $11.5 million on the sale of developable land in 2024, compared to a gain of $7.1 million in 2023[161]. - Income from discontinued operations was $0.9 million in 2024, a significant recovery from a loss of $32.7 million in 2023[165]. - Net income loss for 2024 was $26.7 million, a reduction of $85.7 million or 76.3% compared to a loss of $112.4 million in 2023[168]. - Funds from operations (FFO) available to common stock and unit holders for the year ended December 31, 2024, was $59.025 million, compared to $20.829 million in 2023[191]. Debt and Financing - As of December 31, 2024, the company had total outstanding indebtedness of $1.7 billion, including $200 million under the Term Loan, $152 million under the Revolving Credit Facility, and approximately $1.3 billion in mortgages and other obligations[79]. - Approximately $241.5 million of the company's mortgage indebtedness bears interest at variable rates, which could increase debt service requirements if market interest rates rise[82]. - The company is obligated to distribute at least 90 percent of its net taxable income to qualify as a real estate investment trust, necessitating reliance on external capital sources for future growth[84]. - The company may face challenges in refinancing its indebtedness on acceptable terms, which could limit its ability to pursue acquisition and development opportunities[80]. - Total debt as of December 31, 2024, was $1.685966 billion, with a weighted average interest rate of 5.05% and a maturity of 2.76 years[6]. - Approximately $1.1 billion of the Company's long-term debt bears fixed interest rates with a weighted average coupon of 4.62%[196]. - If market interest rates change by 100 basis points, the fair value of the Company's fixed-rate debt could change by approximately $29.8 million[196]. - The effective interest rates on the Company's $591.5 million variable rate debt ranged from SOFR plus 141 to 275 basis points as of December 31, 2024[197]. Sustainability and ESG - The Company achieved a 5-Star rating from GRESB for the third consecutive year, recognizing its distinguished ESG leadership and performance[47]. - 79% of the Company's managed multifamily communities are green certified (LEED®, ENERGY STAR® or equivalent), reflecting its commitment to sustainability[30]. - The Company reduced its like-for-like Scope 1 and 2 greenhouse gas emissions by 54% in 2022, with a further reduction of 12% in 2023 compared to 2019[33]. - The company is subject to evolving Environmental, Social, and Governance (ESG) regulations, which may require costly initiatives to comply with new standards[70]. - The company’s reputation and financial results could be adversely impacted if it fails to meet ESG initiatives or goals, affecting investor perceptions[72]. Risks and Challenges - The company faces risks related to the general economic climate, which may negatively impact its business fundamentals and financial condition[52]. - Inflation may increase operating expenses, including property-related services and taxes, potentially affecting the company's financial condition and cash flows[60][62]. - Compliance with the Americans with Disabilities Act (ADA) may incur significant costs, impacting the company's ability to make distributions to investors[65][66]. - Environmental liabilities related to hazardous substances could impose substantial costs on the company, affecting its financial stability[67]. - The company may experience increased risks and costs associated with volatility in commodity and labor prices, which could adversely affect construction project statuses[75]. - The company relies on third-party suppliers and contractors for construction materials and skilled labor, which may be impacted by economic or political changes[76]. - The company may face difficulties in obtaining financing for development projects on favorable terms due to market conditions[78]. - The average lease term for multifamily properties is 14 months, exposing the company to quicker revenue impacts from declining market rents[55]. - Operating costs do not necessarily decline in proportion to revenue, which could lead to financial strain if revenues decrease significantly[56]. - The company’s ability to lease properties may be affected by competition from other multifamily operators and alternative housing options[54]. - The company’s insurance coverage may be inadequate in the event of a catastrophe, potentially leading to significant financial losses[57]. Corporate Governance - The General Partner owned approximately 91.5% of the Operating Partnership's outstanding common partnership units as of February 18, 2025, requiring consent from at least 85% of partnership unit holders for significant actions[91]. - The General Partner's charter limits any single stockholder from owning more than 9.8% of its outstanding capital stock to maintain its status as a real estate investment trust[98]. - The General Partner has operated as a real estate investment trust since the taxable year ended December 31, 1994, but cannot guarantee continued qualification due to complex IRS requirements[104]. - Failure to qualify as a real estate investment trust would eliminate the requirement to pay dividends and could adversely affect the Company's financial condition[105]. - The General Partner's bylaws require advance written notice for stockholders to nominate directors or propose business, limiting stockholder participation[95]. - The Maryland Business Combination Act restricts certain business combinations for five years after an interested stockholder becomes such, affecting potential mergers and acquisitions[100]. Employee and Management - As of December 31, 2024, approximately 188 employees were employed by the Company, with 26% having been with the Company for at least 10 years[34]. - The company is dependent on key personnel for strategic direction, and loss of these individuals could adversely affect operations[90]. - Competitive pressures may increase labor costs, impacting the Company's ability to attract and retain qualified personnel[89]. Cybersecurity - The company has implemented a multi-year cybersecurity plan focusing on detection, protection, incident response, and risk management[118]. - In 2023, the company appointed a Chief Information Security Officer (CISO) to enhance its cybersecurity strategy, bringing over 30 years of experience[115]. - The company utilizes the NIST Cyber Security Framework to assess and report on its cybersecurity maturity and controls[116]. - The Audit Committee oversees the cybersecurity strategy and receives quarterly updates from the CISO regarding the company's cybersecurity status[120]. - The company has not experienced any material cybersecurity incidents that have affected its business strategy or financial condition[119]. - The company has policies in place to manage risks associated with third-party vendors, including cybersecurity assessments and contractual requirements[117]. Market and Stock Performance - The market price of the Company's common stock is influenced by various market conditions, including the general reputation of REITs and the attractiveness of its equity securities compared to others[88]. - The Company declared dividends for 2024, starting with $0.0525 per share in April, increasing to $0.0800 per share by January 2025[173]. - The Company issued 11,123 shares of common stock during the three months ended December 31, 2024, as part of a redemption of common units[140]. - The Company has an effective shelf registration statement for $2.0 billion in securities, with $100 million allocated for its ATM Program[182].

Financial Performance - Net loss per share for 2024 was $(0.25), an improvement of approximately $0.97 compared to a loss of $(1.22) in 2023[5] - Core FFO per share increased by 13% year-over-year, reaching $0.60 for 2024, surpassing original guidance[10] - Net income available to common shareholders for Q4 2024 was $(12,447,000), compared to $(5,051,000) in Q4 2023, indicating a decline of 146.5%[32] - Funds from Operations (FFO) for Q4 2024 was $10,129,000, down from $47,720,000 in Q4 2023, a decrease of 78.8%[34] - Core FFO for Q4 2024 was $11,253,000, slightly down from $11,626,000 in Q4 2023, a decrease of 3.2%[34] - Adjusted EBITDA for Q4 2024 was $32,510,000, compared to $32,498,000 in Q4 2023, a slight increase of 0.04%[38] - The company reported a net loss from continuing operations of $(14,907,000) for Q4 2024, compared to $(16,340,000) in Q4 2023, an improvement of 8.7%[32] Revenue and Occupancy - Total Property Revenue for the fourth quarter of 2024 was $76.375 million, reflecting a 4.1% increase year-over-year[12] - Total revenues for Q4 2024 increased to $68,083,000, up from $67,020,000 in Q4 2023, representing a growth of 1.6%[32] - Same Store occupancy decreased to 93.9% from 95.1% in the previous quarter, primarily due to renovations at Liberty Towers[11] - The average occupancy rate across all segments decreased from 95.1% in Q3 2024 to 93.9% in Q4 2024[53] - The occupancy rate for the total portfolio decreased to 93.9% in Q4 2024 from 94.4% in Q4 2023[57] - Apartment rental income for Q4 2024 increased by 3.8% to $69,149,000 compared to $66,603,000 in Q4 2023[57] Assets and Liabilities - Total assets decreased to $2,982,727,000 as of December 31, 2024, from $3,241,046,000 as of December 31, 2023, a decline of 8.0%[30] - Total liabilities decreased to $1,740,364,000 as of December 31, 2024, from $1,936,494,000 as of December 31, 2023, a decline of 10.1%[30] - The total debt balance, including consolidated and unconsolidated debt, was $1,554,646,000[43] - Total debt as of December 31, 2024, was $1,672,313,000, down from $1,853,897,000 in the previous year[62] - The company's total pro rata debt portfolio has a weighted average interest rate of 4.95% and a weighted average maturity of 3.1 years[61] Dividends and Shareholder Returns - The dividend was raised by approximately 60% on an annualized basis, reaching $0.08 per share[10] - The company declared dividends of $0.08 per common share in Q4 2024, compared to $0.0525 in Q4 2023, an increase of 52.4%[34] Future Plans and Guidance - The Company plans to pursue $300 to $500 million in asset sales over the next 12-24 months, with proceeds allocated for a $100 million share repurchase program and debt repayment[9] - 2025 guidance includes Same Store Revenue Growth projected between 2.1% and 2.7%[22] Operational Metrics - Total Net Operating Income (NOI) for the fourth quarter of 2024 was $231,168,000, with a share of $198,205,000[41] - Total Same Store GAAP NOI for Q4 2024 was $50,819,000, representing a 7.3% increase from $47,343,000 in Q4 2023[57] - The total multifamily NOI for the company was $227,820,000, reflecting a decrease in occupancy from 95.3% in Q3 2024 to 93.9% in Q4 2024[53] Property and Development - The company has identified a pipeline of $300 to $500 million in assets for sale, including approximately $45 million under binding contract[21] - The company has 4,139 developable land parcel units, with 3,248 remaining after accounting for sales and rezoning[49] - The New Jersey Waterfront properties have an average ownership of 85.0% and include 5,067 apartments with a total rentable area of 4,391,122 SF[80] - The Massachusetts properties total 1,167 apartments with a total rentable area of 963,549 SF, all fully owned[80] Joint Ventures and Noncontrolling Interests - The company’s share from unconsolidated joint ventures for Q4 2024 was $8,766 thousand, with total debt of $293,450 thousand[75] - Noncontrolling interests reported net losses of $495 million for the three months ended December 31, 2024, compared to $504 million in the same period of 2023[82] - Funds from operations (FFO) for noncontrolling interests in consolidated joint ventures reached $249 million for the three months ended December 31, 2024, up from $208 million in 2023[82]

Core Insights - Veris Residential, Inc. reported a net loss per diluted share of $(0.13) for Q4 2024, compared to $(0.06) in Q4 2023, and $(0.25) for the full year 2024, an improvement from $(1.22) in 2023 [3][11] - Core FFO per diluted share was $0.11 for Q4 2024, slightly down from $0.12 in Q4 2023, while for the full year, it increased to $0.60 from $0.53 [3][11] - The company plans to pursue $300 to $500 million in asset sales over the next 12-24 months to close the valuation gap between its share price and intrinsic value [5][6] Financial Performance - Total property revenue for Q4 2024 was $76.375 million, a 4.1% increase from $73.371 million in Q4 2023, and for the full year, it rose 5.4% to $300.679 million from $285.247 million [8] - Same Store NOI for Q4 2024 was $50.819 million, up 7.3% from $47.343 million in Q4 2023, and for the full year, it increased 6.9% to $200.741 million from $187.794 million [8][11] - The company raised its dividend by approximately 60% on an annualized basis, paying $0.08 per share in January 2025 [13][11] Strategic Outlook - The CEO emphasized the transformation of Veris Residential into a top-performing multifamily REIT, focusing on Class A properties and evaluating capital flows to maximize shareholder value [4][5] - The company aims to de-leverage to below 9x Net Debt-to-EBITDA through asset sales and share repurchase programs, with a target of up to $100 million for share repurchases [6][11] - 2025 revenue guidance reflects continued strength in rental growth, with Same Store revenue growth expected between 2.1% and 2.7% [16][18] Operational Metrics - Same Store occupancy decreased to 93.9% in Q4 2024 from 95.1% in Q3 2024, attributed to renovations at Liberty Towers [7] - Average rent per home increased by 1.3% to $4,033 in Q4 2024 compared to $3,980 in Q3 2024 [7] - The company’s total debt portfolio has a weighted average effective interest rate of 4.95% and a weighted average maturity of 3.1 years [9][10] Asset Management - The company completed $230 million in non-strategic asset sales during 2024, releasing approximately $175 million in net proceeds [11][12] - A pipeline of $300 to $500 million in assets has been identified for sale, primarily consisting of land and select multifamily properties [17][11] - The company has liquidity of $158 million as of February 21, 2025, in addition to $45 million of land sales under binding contract [10][11]

Group 1 - Veris Residential, Inc. announced the tax treatment of its 2024 distributions, totaling $0.235 per share of common stock [1] - The distributions are classified as follows: $0.053 on 12/29/2023, $0.053 on 4/3/2024, $0.060 on 7/3/2024, and $0.070 on 6/30/2024, all categorized as return of capital [1] - Shareholders are advised to consult tax advisors regarding the specific tax treatment of the distributions [1] Group 2 - Veris Residential, Inc. is a real estate investment trust (REIT) focused on owning, operating, acquiring, and developing Class A multifamily properties in the Northeast [2] - The company utilizes a technology-enabled, vertically integrated operating platform to enhance the living experience for residents and positively impact communities [2] - Veris Residential is guided by an experienced management team and Board of Directors, emphasizing corporate governance and an inclusive culture [2]

JERSEY CITY, N.J., Jan. 22, 2025 /PRNewswire/ -- Veris Residential, Inc. ("Veris Residential" or the "Company") (NYSE: VRE), a forward-thinking multifamily REIT, today announces that it will host its fourth quarter and full year 2024 financial results webcast and conference call on Tuesday, February 25, 2025, at 8:30 a.m. eastern. The Company will release its results after the close of market on Monday, February 24, 2025.The webcast can be listened to via the Internet by accessing the Company's website at h ...

Veris Residential (VRE) has been beaten down lately with too much selling pressure. While the stock has lost 9.6% over the past four weeks, there is light at the end of the tunnel as it is now in oversold territory and Wall Street analysts expect the company to report better earnings than they predicted earlier.Here is How to Spot Oversold StocksWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is a momentum oscillator th ...

Veris Residential (VRE) has been on a downward spiral lately with significant selling pressure. After declining 10.9% over the past four weeks, the stock looks well positioned for a trend reversal as it is now in oversold territory and there is strong agreement among Wall Street analysts that the company will report better earnings than they predicted earlier.How to Determine if a Stock is OversoldWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether ...

In the world of real estate, innovation is generally limited. Industry professionals sometimes use the term “sticks and bricks” to refer to an actual building, typically regarding construction quality and layout. The phrase always stuck in my mind because it pierces through theAnalyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my ...

BofA Securities analyst Joshua Dennerlein revised ratings on residential REITs, Veris Residential, Inc. VRE and Sun Communities, Inc. SUI.VRE: The analyst upgraded the company to Buy from Neutral and raised the price target to $23 from $20.The analyst notes that the market is undervaluing VRE’s internal growth potential and its ability to successfully execute optimization initiatives.The analyst says that VRE is excelling in its key initiatives: capital allocation, portfolio optimization, and balance sheet ...