#Sustainability #United States #Jersey City #Veris Residential #Class A REIT

Veris Residential, Inc. Reports Strong Third Quarter 2025 Results

Veris Residential, Inc. (NYSE: VRE), a multifamily real estate investment trust (REIT) focused on the Northeast, has just released its financial results for the third quarter of 2025. The results indicate significant progress in various areas, including net income growth, rental revenue performance, and strategic asset management.

Financial Highlights

In the third quarter of 2025, Veris Residential recorded a net income of $81.3 million, translating to a diluted earnings per share of $0.80, a remarkable increase from a loss of $10.9 million in the previous year. This represents substantial recovery and growth in operational efficiency, marking an impressive year-over-year improvement.

The core Funds from Operations (FFO) also demonstrated solid performance, with core FFO per diluted share increasing to $0.20 compared to $0.17 in Q3 2024. Notably, the company has raised its core FFO per share guidance for 2025 for the second consecutive quarter to a range of $0.67 to $0.68, reflecting a year-over-year growth of 12.5%.

Strategic Asset Management

The management team highlighted that Veris has effectively accelerated its deleveraging process, completing or having under contract approximately $542 million in non-strategic asset sales year-to-date. Notably, $75 million of this involved the Harborside 8/9 land parcel, underscoring Veris's commitment to optimizing its asset portfolio. The proceeds from these sales allowed the company to reduce its debt by $394 million during the quarter, resulting in a reduced Net Debt-to-EBITDA (Normalized) ratio of 10.0x, significantly ahead of schedule. With plans to sell the Harborside 8/9 parcel by the first quarter of next year, Veris aims to achieve a further reduction to approximately 9.0x.

Additionally, the company raised its total non-strategic asset disposition guidance to $650 million, aiming for a Net Debt-to-EBITDA ratio potentially below 8.0x by the end of 2026.

Operational Performance

On the operational front, Veris Residential reported a same-store blended rental growth rate of 3.9% for the quarter, with same-store net operating income (NOI) growth of 1.6% year to date. The occupancy rate stood at 95.8%, excluding Liberty Towers, which is currently under renovation, indicating strong demand for the company's properties.

Recognition and Awards

In recognition of its sustainability efforts, Veris Residential has been named the 2025 Regional Listed Sector Leader and Top Performer by GRESB (Global Real Estate Sustainability Benchmark). This award underscores the company’s commitment to sustainability in the residential sector, showcasing its effective operating practices that align with social responsibility and community impact.

CEO Mahbod Nia commented: “The third quarter marked another period of significant progress advancing Veris Residential's corporate plan, as we strive to continue enhancing our balance sheet while delivering exceptional earnings growth. We are well positioned to drive continued outperformance for shareholders in 2025 and beyond.”

Future Guidance and Conference Call

Looking ahead, the company is maintaining its operational guidance for 2025, focusing on revenue growth and efficient managing of operational expenses. The upcoming conference call scheduled for October 23, 2025, will provide investors with further insights into Veris Residential's strategic direction and financial health.

Veris Residential, Inc. continues to exemplify a forward-thinking approach in the multifamily REIT sector with its mix of financial prudence, operational success, and commitment to sustainability, promising value for its shareholders and stakeholders in the coming years.