Cousins Properties Incorporated · NYSE:CUZ
Cousins Properties — Investor Presentation (May 2024)
41 slides from Cousins Properties's investor presentation, May 8, 2024
Slide 1: Investor Presentation May 2024
Slide 2: Why Cousins?
WHY COUSINS? PREMIER SUN BELT LIFESTYLE OFFICE PORTFOLIO BENEFITING FROM POWERFUL OFFICE TRENDS POSITIONED FOR ORGANIC GROWTH STRATEGIC CAPITAL ALLOCATION CREATES GROWTH OPPORTUNITIES BALANCE SHEET PRIMED FOR OPPORTUNITIES TRACK RECORD OF SUCCESS ©? Cousins 100% Sun Belt / 100% Class A / 2004 averag
Slide 3: Cousins at a Glance
COUSINS AT A GLANCE The Preeminent Sun Belt Office REIT NOI By Market! Charlotte Nashville? 8% Dallas ® cousins 3
Slide 4: Lifestyle Office vs Commodity Office Assets
COMMODITY OFFICE ASSETS ✓ New or recently redeveloped properties that command premium rents and enjoy higher occupancy ✓ Located in the best markets and submarkets with close proximity to thriving and dynamic neighborhoods ✓ Highly-amenitized including on-site retail & food, activated outdoor space,
Slide 5: Pere SUG eer re eee 7s
Pere SUG eer re eee 7s @ Cousins 5
Slide 6: Premier Sun Belt Lifestyle Office Portfolio
PREMIER SUN BELT LIFESTYLE OFFICE PORTFOLIO Outdoor Spaces to Collaborate and Enhance the Work Experience | iH fr eg be 1, ® cousins 6
Slide 7: Premier Sun Belt Lifestyle Office Portfolio: Fitness and Wellness
PREMIER SUN BELT LIFESTYLE OFFICE PORTFOLIO State-of-the-Art Fitness and Wellness Centers ® cousins 7
Slide 8: Premier Sun Belt Lifestyle Office Portfolio: Retail and Food
PREMIER SUN BELT LIFESTYLE OFFICE PORTFOLIO On-Site Retail and Food Amenities that Promote Live-Work-Play eo Sea | pets pet NIE F ® cousins 8
Slide 9: Recently Completed and In-Process Redevelopments
RECENTLY COMPLETED REDEVELOPMENTS IN-PROCESS REDEVELOPMENT
Slide 10: Class A Asking Rent ($/SF)
CLASS A ASKING RENT ($/SF)1,2
Slide 11: Benefiting from Powerful Office Trends
BENEFITING FROM POWERFUL OFFICE TRENDS Cousins is Well Positioned to Navigate the Current Office Sector Environment Theme Flight to quality Population migration Observation @ Flight to quality is driving demand for newer, highly-amenitized assets @ More than 60% of U.S. office vacancy is concentrate
Slide 12: Flight to Quality
BENEFITING FROM POWERFUL OFFICE TRENDS FLIGHT TO QUALITY 2010-Present Net Absorption Since COVID Onset! . a 62% CUZ NOI o = 3 6 5 2 1960s oa || “150 100 -50 O° 50 100 150 Square Feet (MM'S) ® cousins 12
Slide 13: Majority of Vacancy Concentrated within a Small Subset of Office Assets
BENEFITING FROM POWERFUL OFFICE TRENDS Majority of Vacancy Concentrated within a Small Subset of Office Assets FLIGHT TO QUALITY? 18% as oo = 28 se Se 2 & 8 oo ° G 8 x“ ao ie cs 38 8 a8 More than of wy “7 gE & - 4 pe 23 $ 3S office vacancy is 6 = 5 8 ; . as oo 6 Bo concentrated in 14% 8 8 a3 = 5 2 b
Slide 14: Sun Belt Migration Leading to Outsized Population and Job Growth
BENEFITING FROM POWERFUL OFFICE TRENDS Sun Belt Migration is Leading to Outsized Population and Job Growth SUN BELT MIGRATION Dp) nestic Net Mi Dallas Winston-Salem _ Raleigh | Jacksonville Baltimore Boston Austin Triad Atlanta Houston Richmond Nashville Philadelphia Florida *194k . Charlotte Texas
Slide 15: Cousins' Footprint Well-Positioned for Demographic Shift
BENEFITING FROM POWERFUL OFFICE TRENDS Cousins’ Footprint is Well-Positioned to Meet Demand from the Demographic Shift. SUN BELT MIGRATION! Cumulative Population Growth @ National average ®@ CUZ markets 7.3% 2019 2020 2021 2022 2023 Cumulative Employment Growth ™ National average 14.1% ™ CUZ markets
Slide 16: Quarterly U.S. Leasing Activity
QUARTERLY U.S. LEASING ACTIVITY1 (MM SF)
Slide 17: Quarterly U.S. Office Groundbreaking Volume
QUARTERLY U.S. OFFICE GROUNDBREAKING VOLUME1 (MM SF)
Slide 18: Positioned for Organic Growth: Lease Expirations
POSITIONED FOR ORGANIC GROWTH Modest Lease Expirations Well Below Office Sector Average LEASE EXPIRATIONS BY YEAR* 50% 40% 30% 20% 10% 0% - = CDP DEI HPP FSP’ PGRE HIW OPI 2024 2025 ™ 2026 @ cousins 18
Slide 19: Short-Term Lease Expirations (Next Three Years)
SHORT-TERM LEASE EXPIRATIONS (NEXT THREE YEARS)1
Slide 20: Cousins Portfolio Occupancy vs Leased
COUSINS PORTFOLIO OCCUPANCY vs LEASED1
Slide 21: Increase in 2nd Generation Cash Net Rent
COUSINS INCREASE IN 2ND GENERATION CASH NET RENT1
Slide 22: Strategic Capital Allocation: Asset Recycling
STRATEGIC CAPITAL ALLOCATION CREATES GROWTH OPPORTUNITES Recycled Over $1 Billion of Older Assets during COVID Pandemic ASSET RECYCLING? MM's— $1,000 $800 Total Dev. Starts $567MM Avg Initial Rev. $60 Recognition 3Q23 $400 $200 $o -$200 -$400 -$600 -$800 2020 2021 @ cousins 22
Slide 23: Current Development Pipeline: Austin and Nashville
CURRENT DEVELOPMENT PIPELINE AUSTIN NASHVILLE
Slide 24: Land Bank Supports 5.1MM SF of Additional Development
STRATEGIC CAPITAL ALLOCATION CREATES GROWTH OPPORTUNITES Lar ank Supports 51MM SF" of Additional New Developrr ATLANTA - AUSTIN 887 WEST 3354 DO PEACHTREE § PEACHTREE MIDTOWN BUCKHEAD MIDTOWN : DOMAIN DOMAIN 700K SF 740K SF 200K SF 900K SF 600K SF DALLAS TAMPA LEGACY UNION TWO / THREE LEGACY 600K SF
Slide 25: Balance Sheet Primed: Low Leverage with Substantial Liquidity
BALANCE SHEET PRIMED FOR OPPORTUNITIES Low Leverage with Substantial Liquidity NET DEBT/EBITDA? 16.0x 14.0x 12.0x 10.0x 8.0x 6.0x 4.0x 2.0x 0.0x SLG HPP PGRE OPI VNO BDN BXP DEA PDM CIO KRC CDP HIW- FSP ESRT CUZ ® Cousins
Slide 26: Minimal Near-Term Debt Maturities
BALANCE SHEET PRIMED FOR OPPORTUNITIES Minimal Near-Term Debt Maturities DEBT MATURITY SCHEDULE? 30% 20% 15% 1.8% 10% 5% 0% SLG OPI CIO DEA BXP BDN VNO KRC_ PDM ™2024 ©2025 DE! PGRE ESRT CDP EQC FSP HIW. @® cousins 26
Slide 27: Cousins' In-Place Gross Rent per SF
COUSINS’ IN-PLACE GROSS RENT PER SF1
Slide 28: Office REIT Dividend Growth and FAD Payout Ratio
OFFICE REIT COMMON DIVIDEND GROWTH (2019 vs CURRENT)1 COUSINS’ FAD PAYOUT RATIO2
Slide 29: Net Asset Value Appreciation per Green Street
NET ASSET VALUE APPRECIATION PER GREEN STREET1
Slide 30: Meet Our Executive Team
MEET OUR EXECUTIVE TEAM Stable, Experienced Leadership D. Adzema | John S. McColl Vice President lopment @ Cousins 30
Slide 31: Appendix
Slide 32: Atlanta
ATLANTA A ener ae Market Snapshot AVALON —® ‘ Submarket Concentration? °— NorTHPARK s £\weribian MARK 3350 PEACHTREE , aad 3348 PEACHTREE ~~ o BUCKHEAD PLAZA a @>__>—~ 3544 PEACHTREE [25] TERMINUS SPRING & STH 0” PROMENADE CENTRAL Yeo pRoMENADE @&® i ™s TOWER o o 120 WEST TRINITY bi ~ 725 PONCE MEDI
Slide 33: Austin
AUSTIN Market Snapshot 8 RESEARCH PARK PLAZA V » a So DOMAIN 10 <9, @ -DOMAIN POINT DOMAIN 11 —@g®DOMAIN 12, 2% DOMAIN 2 g% “DOMAIN 8 DOMAIN 3 © DOMAIN7 DOMAIN 4 6 eo 8 j, a 4 »® ‘ou d 8 3500 COLORADO —® @-g = COLORADO TOWER fo) ONE ELEVEN CONGRESS Cone © SAN JACINTO CENTER” THE TERRACE ® cousins Su
Slide 34: Tampa
TAMPA Market Snapshot i) © » The Pomre 7) rd ® cousins eis UO o Submarket Concentration” Industry Concentration4 34
Slide 35: Phoenix
PHOENIX Mar t Snapshot Submarket Concentration” HAYDEN FERRY ae ote 1 WEST RIO ———® 100 MILL Rio Salado Phy SiR TEMPE GATEWAY Ward St ony ay ny ht N Esthst Industry Concentration4 @ cousins 35
Slide 36: Charlotte
CHARLOTTE Marke hot \77] o >» “eS * 4 ee 4, es He 6 & k ie Now, @ THE RAILYARD. ® cousins &a a @—— 550 SOUTH Submarket Concentration? Industry Concentration* 36
Slide 37: Dallas
DALLAS Market Snapshot *S LEGACY UNION Submarket Concentration? Dallas North Tollway di S 5950 SHERRY LANE [sss] Industry Concentration4 © a @ a ® cousins 37
Slide 38: Endnotes
ENDNOTES Page 2- Why Cousins? 1. Asof 3iMar-2024, 2. Based on 124 NOI, Includes ten assets that have undergone redevelopment in past six years. 3. Based on CoStar average asking rents for same pool of Cousins assets from 4Qi9 to 12a. 4, Source: CoStar. Represents weighted average gross rental rates
Slide 39: Cautionary Statement Regarding Forward-Looking Information
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION Certain matters contained in this report are “forward-looking statements” within the meaning of the federal securities laws and are subject to uncertainties and risks, as itemized in Item 1A included in the Annual Report on Form 10-K for the
Slide 40: 3344 Peachtree Road NE Suite 1800 Atlanta, GA 30326 Executive Vice President and Chief
3344 Peachtree Road NE Suite 1800 Atlanta, GA 30326 Executive Vice President and Chief Financial Officer gadzema@cousins.com 404.407.1116 Vice President, Finance and Investor Relations rimbeaux@cousins.com 404.407.1104
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