Postal Realty Trust, Inc. · NYSE:PSTL
Postal Realty Trust — Q2 2025 Earnings Presentation
22 slides from Postal Realty Trust's earnings presentation, Aug 5, 2025
Slide 1: Investing in America's Logistics Network
INVESTING IN AMERICA’S LOGISTICS NETWORK August 2025
Slide 2: USPS statutory mandate quote (39 U.S.C. §101(a))
“The United States Postal Service shall be operated as a basic and fundamental service provided to the people by the Government of the United States, authorized by the Constitution, created by an Act of Congress, and supported by the people.” 39 U.S.C. §101(a). 3
Slide 3: Reasons to Invest
REASONS TO INVEST Attractive returns driven by annual NOI growth and strategic acquisitions Consistent dividend with annual increases and declining AFFO payout ratio demonstrating financial stability and strong cash flow Singularly positioned to consolidate and institutionalize large fragmented mark
Slide 4: Attractive Return Profile – Based on Proven Results
ATTRACTIVE RETURN PROFILE – BASED ON PROVEN RESULTS Margin Expansion Internal Accretive Dividend Yield & Potential; Growing Growth Acquisitions Dividend Growth Liquidity o Same-store cash NOI o Uniquely positioned o Attractive dividend o Post acquisition, PSTL growth of 5.5% for to consolidate and y
Slide 5: Internal Growth – Earnings Impact from Contractual Escalations
INTERNAL GROWTH – EARNINGS IMPACT FROM CONTRACTUAL ESCALATIONS Cumulative Contractual Rent Escalations ✓ Upon expiration, PSTL has converted leases with flat rents to new leases with annual rent escalations. $2.1MM $1.5MM $0.7MM ✓ Currently 34% of the portfolio has annual rent $8.4MM escalations.1 $
Slide 6: Internal Growth – Lease Expirations Create Opportunity
INTERNAL GROWTH – LEASE EXPIRATIONS CREATE OPPORTUNITY Lease Expiration Schedule1 ✓ 40% of current leases expire from 2025 - 2027. 21.0% 18.8% 7.4% 16.9% 15.8% 2.6% 5.8% ✓ Near-term opportunities to mark rents to 4.0% 12.3% 11.8% 4.0% market and incorporate annual rent escalations 13.6% 14.3% 7.3% 1
Slide 7: Meaningful Growth Since IPO
MEANINGFUL GROWTH SINCE IPO Annual Acquisitions ($ in millions)1 Same-Store Cash NOI Growth 2 $130 $118 $123 9.0% $47 $30 $91 $90+ 7.0% $87 $78 5.5% 4.4% $67 $56 $67 $65 $48 2.2% $36 $18 $21 $22 $24 $12 FY'20 FY'21 FY'22 FY'23 FY'24 FY'25 Last-Mile Flex Industrial Guidance 2022 2023 2024 2025 Guidan
Slide 8: Highly Fragmented Market, Ripe for Consolidation
HIGHLY FRAGMENTED MARKET, RIPE FOR CONSOLIDATION PRIVATELY OWNED o ~23,000 leased USPS facilities 92MM SQUARE FEET o PSTL’s portfolio represents ~7% of the leased market1 o Nearly 17,000 different lessors of properties leased to the USPS OWNED BY PSTL 6.8MM SQUARE FEET o Next top 20 largest portfoli
Slide 9: Opportunity to Gain Considerable Market Share
OPPORTUNITY TO GAIN CONSIDERABLE MARKET SHARE Relationships — Long-standing within the industry Reputation — active buyers for 30 years, well-known as the largest owner and a trusted resource1 Experienced in-house acquisitions team generating off-market transactions LAST-MILE2 FLEX3 INDUSTRIAL 25% <
Slide 10: Stable Credit Tenant with Consistently High Retention
STABLE CREDIT TENANT WITH CONSISTENTLY HIGH RETENTION 99% 100% 100% 100% 100% 100% 100% 99% 99% 99% 98% Historical Weighted Average Lease Retention Rate1 96% Federal government-supported credit USPS operating lease payments represented only 1.5% of the USPS’s total operating expenses in fiscal year
Slide 11: USPS's Irreplaceable Logistics Network
USPS’S IRREPLACEABLE LOGISTICS NETWORK CRITICAL INFRASTRUCTURE SUPPORTS E-COMMERCE AND LAST-MILE DELIVERY AS E-COMMERCE HAS o Amazon, UPS, FedEx, and DHL all tap into the USPS’s logistics network daily GROWN, THE USPS’ o 31,000+ USPS facilities represent the largest retail distribution SHIPPING AND
Slide 12: Well Capitalized Balance Sheet
WELL CAPITALIZED BALANCE SHEET $52.0MM DEBT MATURITY SCHEDULE $175.0MM $250.0MM TOTAL CAPITALIZATION $798.6MM $75.0MM $462.4MM $52.0MM $34.2MM $34.2MM 2025 2026 2027 2028 Thereafter Unsecured Term Loans Other Debt Unsecured Revolving Credit Facility Unsecured Term Loans Other Debt Market Value of Eq
Slide 13: Decades of Experience and Institutional Knowledge
DECADES OF EXPERIENCE AND INSTITUTIONAL KNOWLEDGE Andrew Spodek Chief Executive Officer o Founder and CEO o More than 20 years of experience focused on investing in and managing USPS properties o Serves on the board of directors of the Association of United States Postal Lessors Jeremy Garber Presid
Slide 14: Committed to Corporate Responsibility and Sustainable Business Practices
COMMITTED TO CORPORATE RESPONSIBILITY AND SUSTAINABLE BUSINESS PRACTICES ENVIRONMENTAL SOCIAL GOVERNANCE o Multi-disciplinary ESG committee, o Focused on ensuring PSTL employee o Independent Board of Directors led including several senior executives, welfare, health and development in by former Post
Slide 15: Appendix
APPENDIX 16
Slide 16: Diversified Real Estate Portfolio
DIVERSIFIED REAL ESTATE PORTFOLIO $16.0MM ABR 21% of total 15% 27% $11.7MM ABR $20.8MM ABR 27% of total 15% of total ANNUALIZED GROSS RENT1 $27.9MM ABR 37% 37% of total 21% MIDWEST NORTHEAST SOUTH WEST 1,829 6.8MM 49 Properties Owned Interior Sq. Ft. States2 99.8% 40MM+ ~4 YEARS Occupancy Site Sq. F
Slide 17: Portfolio by Asset Class
PORTFOLIO BY ASSET CLASS LAST-MILE1 PROPERTIES UNDER 2,500 INTERIOR SQUARE FEET Property Count Interior Sq. Ft. Annualized Base Rent Annualized Base Rent PSF 1,146 1.5MM $19.5MM $12.44 FLEX2 PROPERTIES 2,500 - 50,000 INTERIOR SQUARE FEET Property Count Interior Sq. Ft. Annualized Base Rent Annualize
Slide 18: Lease Expirations Provide Opportunity to Drive NOI Growth
LEASE EXPIRATIONS PROVIDE OPPORTUNITY TO DRIVE NOI GROWTH Total Annualized Rent1 Mark to Leases with % of Total Number Total Year Square Feet Market Renewal Annualized of Leases Portfolio Leases Options Rent1 2025 86(2) 218,677 $2,565,060 $— $2,565,060 3.4% 2026 344 1,211,622 9,017,848 3,029,504 12,
Slide 19: Last-Mile
LAST-MILE BROXTON, GA BICKNELL, IN o Portfolio transaction purchased from a long- o Purchased from a large portfolio owner we had time ownership group multiple transactions with, long-standing relationship o Good postal utilization with 5 routes and 10 employees, overseeing another post office o Wel
Slide 20: Flex
FLEX POCATELLO, ID TIJERAS, NM o Sourced through a relationship of REAC. Seller o Purchased in an OP unit portfolio transaction from a chose to transact with PSTL over other long-time portfolio owner competing bids due to PSTL’s certainty of o Located just outside of Alburquerque, this is a busy exe
Slide 21: Industrial
INDUSTRIAL WARRENDALE, PA MILWAUKEE, WI o Over 300,000 sq. ft. processing & distribution o ~575,000 sq. ft. USPS logistics hub with center strategic location in Downtown Milwaukee o Modern logistic facility located approximately along mixed-use corridor 14 miles from the Pittsburgh International o S
Slide 22: Disclaimer and Definitions
DISCLAIMER AND DEFINITIONS This presentation regarding the Company contains “forward-looking statements.” Forward-looking statements include statements identified by words such as “could,” “may,” “might,” “will,” “likely,” “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects