Veris Residential, Inc. · NYSE:VRE
Veris Residential — Investor Presentation (June 2024)
40 slides from Veris Residential's investor presentation, Jun 4, 2024
Slide 1: Corporate Presentation May 31, 2024
Corporate Presentation MAY 31, 2024
Slide 2: Forward-Looking Statements
This Operating and Financial Data should be read in connection with our Quarterly Report on Form 10-Q for the quarter ended March 31, 2024. Statements made in this presentation may be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Suc
Slide 3: Company Overview
CORPORATE PRESENTATION, MAY 31, 2024 | 3 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG OVERVIEW 145 Front at City Square, Worcester, MA Company Overview COMPANY OVERVIEW
Slide 4: At-A-Glance: Key Company Highlights
CORPORATE PRESENTATION, MAY 31, 2024 | 4 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG At-A-Glance KEY COMPANY HIGHLIGHTS Veris Residential, Inc. is a forward-thinking, environmentally and socially conscious real estate investment trust (REIT)
Slide 5: Rapid Transformation to a Pure-Play Multifamily REIT
CORPORATE PRESENTATION, MAY 31, 2024 | 5 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Rapid Transformation to a Pure-Play Multifamily REIT Named new CEO and COO Announced strategic shift to pure-play multifamily Repaid $575m of corporate bond
Slide 6: What's Next: A Multi-Faceted Approach to Value Creation
CORPORATE PRESENTATION, MAY 31, 2024 | 6 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG What's Next: A Multi-Faceted Approach to Value Creation OPTIMIZATION INITIATIVES TO ENHANCE ENTITY VALUE With the transformation behind us, our focus turns
Slide 7: Veris' Value Proposition
CORPORATE PRESENTATION, MAY 31, 2024 | 7 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Veris' Value Proposition W E L L-P O S I T I O N E D W I T H S T R O N G U N D E R LY I N G F U N D A M E N TA L S 1 2 3 4 Sector-leading, vertically integr
Slide 8: Northeast Coastal Focused
CORPORATE PRESENTATION, MAY 31, 2024 | 8 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Northeast Coastal Focused MORRIS COUNTY • Signature Place • The Metropolitan at 40 Park BERGEN COUNTY • The James HARRISON • RiverPark at Harrison SHORT HIL
Slide 9: Superior Portfolio Quality
CORPORATE PRESENTATION, MAY 31, 2024 | 9 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Superior Portfolio Quality Portfolio differentiators: • Highly-amenitized, Class A assets • Youngest multifamily portfolio • Located in top-performing subma
Slide 10: Our Leadership Team
CORPORATE PRESENTATION, MAY 31, 2024 | 10 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Our Leadership Team PROVEN TRACK RECORD OF VALUE CREATION Executive Team Mahbod Nia Taryn Fielder Amanda Lombard Anna Malhari Jeff Turkanis Chief Executive
Slide 11: Market Overview
CORPORATE PRESENTATION, MAY 31, 2024 | 11 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Market Overview Haus 25, Jersey City, NJ MARKET OVERVIEW
Slide 12: Our Core Markets
0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 0% 1% 2% 3% 4% 5% 6% 7% 8% Annual Effective Rent Change: 2024 (Annual Average) UPPER MIDWEST LOWER MIDWEST/PLAINS MID-ATLANTIC DESERT/MOUNTAINS CAROLINAS WEST COAST SOUTHEAST TEXAS FLORIDA Annual Net Inventory Change: 2024 (% of Existing Stock Scheduled to Deliver)
Slide 13: Market statistics: Tri-State, Jersey City Waterfront, Boston
As of May 2024. Source: Oxford Economics; CoStar for Jersey City Waterfront. 1. Stats do not include Connecticut. 2. Includes all of Jersey City, NJ. CORPORATE PRESENTATION, MAY 31, 2024 | 13 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Tri-S
Slide 14: Key Drivers in Our Core Markets
CORPORATE PRESENTATION, MAY 31, 2024 | 14 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Weighted average of Veris Residential markets as of December 2023. Markets include New Jersey, New York, Massachusetts and Washington, D.C. Source: US Cens
Slide 15: Our Residents' Income Profile
Rent/Income % (Mean) CORPORATE PRESENTATION, MAY 31, 2024 | 15 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Our Residents' Income Profile R E S I D E N T I N C O M E S S T E A D I LY G R O W I N G I N PA R A L L E L W I T H R E N T S 12% AV E
Slide 16: Portfolio Optimization
CORPORATE PRESENTATION, MAY 31, 2024 | 16 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG PORTFOLIO Portfolio Optimization PORTFOLIO OPTIMIZATION 145 Front at City Square, Worcester, MA
Slide 17: Ongoing Portfolio Optimization Strategies
CORPORATE PRESENTATION, MAY 31, 2024 | 17 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Ongoing Portfolio Optimization Strategies FOCUS ON MAXIMIZING NOI GROWTH AND MARGIN PORTFOLIO OPTIMIZATION Revenue Maximization Expense Mitigation Capital
Slide 18: Class A Portfolio with Peer-Leading Revenue & NOI Growth
CORPORATE PRESENTATION, MAY 31, 2024 | 18 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Class A Portfolio with Peer-Leading Revenue & NOI Growth 11 CONSECUTIVE QUARTERS OF SECTOR-LEADING PERFORMANCE Veris 14.2% vs. Peers 2.3% Q1 S A M E S TO R
Slide 19: Revenue Management Driving Outperformance
CORPORATE PRESENTATION, MAY 31, 2024 | 19 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Revenue Management Driving Outperformance OPTIMIZING RENTAL REVENUE Market Intelligence • Realtime demand/ supply analytics • Demographic trends • Target r
Slide 20: Driving Operating Margin Improvements
30% 40% 50% 60% 70% 80% 90% 100% SUSTAINED INCREASE IN NOI MARGIN SINCE Q1 2021 OF REVENUE 22% NOI MARGIN 57% N O I MARGIN 67% O F REVENUE 17% CORPORATE PRESENTATION, MAY 31, 2024 | 20 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Driving Oper
Slide 21: Renovating and Repositioning Liberty Towers
CORPORATE PRESENTATION, MAY 31, 2024 | 21 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG RENOVATING AND REPOSITIONING LIBERTY TOWERS We have begun an extensive renovation of Liberty Towers, a 648-unit apartment building in Jersey City, which wi
Slide 22: Technology—myVeris App
CORPORATE PRESENTATION, MAY 31, 2024 | 22 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Technology—myVeris App ALL-ENCOMPASSING RESIDENT ENGAGEMENT APP Our comprehensive resident mobile application, myVeris, streamlines business operations whi
Slide 23: Technology—Quinn, Our AI Property Assistant
CORPORATE PRESENTATION, MAY 31, 2024 | 23 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Technology—Quinn, Our AI Property Assistant COMMUNICATING WITH PROSPECTS AND RESIDENTS Quinn, powered by Elise AI, is a virtual leasing agent that replies
Slide 24: Technology—Virtual and Self-Guided Tours
CORPORATE PRESENTATION, MAY 31, 2024 | 24 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Technology—Virtual and Self-Guided Tours STREAMLINING OPERATIONS AND REDUCING COSTS Using Peek, we create virtual tours for all vacant apartments in our po
Slide 25: Customer Service—The Veris Promise
CORPORATE PRESENTATION, MAY 31, 2024 | 25 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Customer Service—The Veris Promise EXCEPTIONAL RESIDENT EXPERIENCES Our Pledge. Our Promise. The Veris Promise is our commitment to providing best-in-class
Slide 26: Average Property Google Review
CORPORATE PRESENTATION, MAY 31, 2024 | 26 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Average Property Google Review Ever, the maintenance technician was very helpful! I put a request in for my ice maker to be fixed on a Monday night, and Ev
Slide 27: Focus on Operational Excellence
CORPORATE PRESENTATION, MAY 31, 2024 | 27 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Focus on Operational Excellence PEER-LEADING PERFORMANCE PORTFOLIO OPTIMIZATION Number of Properties 22 299 171 254 299 292 187 28 Number of Units 7,621 90
Slide 28: Capital Allocation
CORPORATE PRESENTATION, MAY 31, 2024 | 28 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG The Emery at Overlook Ridge, Malden, MA PORTFOLIO Capital Allocation CAPITAL ALLOCATION
Slide 29: Capital Allocation
CORPORATE PRESENTATION, MAY 31, 2024 | 29 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Capital Allocation A D I S C I P L I N E D, VA LU E-O R I E N T E D A P P R OA C H TA R G E T I N G T H E M O S T- C O M P E L L I N G R I S K- A D J U S T
Slide 30: Development Track Record
CORPORATE PRESENTATION, MAY 31, 2024 | 30 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Development Track Record E S TA B L I S H E D T R A C K R E C O R D D E V E LO P I N G P R O P E RT I E S OF THE HIGHEST QUALITY Over the past three years,
Slide 31: Our Current Land Bank
CORPORATE PRESENTATION, MAY 31, 2024 | 31 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Our Current Land Bank S U B S TA N T I A L P OT E N T I A L F O R F U T U R E D E V E LO P M E N T OR CAPITAL RECYCLING Jersey City, NJ Weehawken, NJ Short
Slide 32: Transaction Track Record
CORPORATE PRESENTATION, MAY 31, 2024 | 32 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Transaction Track Record H I G H LY A CT I V E O V E R T H E PA S T F O U R Y E A R S D E S P I T E CHALLENGING TRANSACTION MARKETS Transactions completed
Slide 33: Balance Sheet Optimization
CORPORATE PRESENTATION, MAY 31, 2024 | 33 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG The Capstone at Port Imperial, West New York, NJ Balance Sheet Optimization BALANCE SHEET
Slide 34: Continued Balance Sheet Optimization Over Time
CORPORATE PRESENTATION, MAY 31, 2024 | 34 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Continued Balance Sheet Optimization Over Time DE-LEVERING, DE-RISKING AND MAXIMIZING FLEXIBILITY Current Debt Portfolio & Recent Payments: • Current debt
Slide 35: ESG
CORPORATE PRESENTATION, MAY 31, 2024 | 35 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Training session at the corporate office ESG ESG
Slide 36: ESG as an Amenity
CORPORATE PRESENTATION, MAY 31, 2024 | 36 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Environmental Social Governance ESG as an Amenity ESG Leader + + + = • 54% reduction in Scope 1 & 2 emissions • 24% reduction of energy consumption • 78% o
Slide 37: Memberships & Awards
CORPORATE PRESENTATION, MAY 31, 2024 | 37 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Memberships & Awards Bloomberg Gender-Equality Index Climate Disclosure Project (CDP) GRESB S&P Corporate Sustainability Assessment Science Based Targets i
Slide 38: Reconciliation of Net Income to NOI
COR PORATE P RESE N TATIO N, MAY 31, 2024 | 38 Q1 2024 Total Q4 2023 Total Net Income (loss) $(4,469) $(5,746) Deduct: Income from discontinued operations (252) 33,489 Realized gains and unrealized gains on disposition of rental property and impairments, net (1,548) (43,970) Real estate services inc
Slide 39: Definitions
COR PORATE P RESE N TATIO N, MAY 31, 2024 | 39 Company Overview | Market Overview | Portfolio Optimization | Capital Allocation | Balance Sheet | ESG Definitions Net Blended Rental Growth Rate combines new lease and renewal lease growth rates. New lease growth rate refers to the difference in rent a
Slide 40: Thank You
THIS PRESENTATION HAS BEEN FORMATTED FOR SCREENS. PLEASE CONSIDER THE ENVIRONMENT BEFORE PRINTING. Thank You
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