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Franklin Street Properties Corp. Supplemental Operating & Financial Data 401 Edgewater Place ~Wakefield, MA 01880 781.557.1300.~ www.fspreit.com
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First Quarter 2025 Table of Contents March 31, 2025| Page 2 Page Page Company Information 3 Tenant Analysis and Leasing Activity Tenants b y Industry 16 Key Financial Data 20 Largest Tenants with Annualized Rent and Remaining Term 17-18 Financial Highlights 4 Leasin g Activity 19 Income Statements 5 Lease Expirations by Square Feet 20 Balance Sheets 6 Lease Ex pirations with Annualized Rent per Square Foot 21 Cash Flow Statements 7 Capital Expenditures 22 Property Net Operating Income (NOI) 8 Reconciliation Disposition Activity 23 FFO & AFFO 9 EBITDA 10 Loan Portfolio of Secured Real Estate 24 Property NOI 11 Net Asset Value Components 25 Debt Summary 12 Appendix: Non-GAAP Financial Measures Definitions Capital Analysis 13 FFO 26 EBITDA and NOI 27 Owned and Consolidated Portfolio Overview 14-15 AFFO 28 All financial information contained in this supplemental information package is unaudited. In addition, certain statements contained in this supplemental information package may be deemed to be forward-looking statements within the meaning of the federal securities laws. Although FSP believes that the ex pectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. Factors that could cause actual results to differ materially from FSP’s current expectations include adverse change s in general economic o r local market conditions, including as a result of geopolitical events, the long-term effects of the COVID-19 pandemic and wars, terrorist attacks or other acts of violence, which may negatively affect the markets in which we and our tenants operate, the effects of changes in tariffs and trade policies, inflation rates, interest rates, disruptions in the debt markets , economic conditions in the markets in which we own properties, risks of a lessening of demand for the types of real estate owned by us, adverse changes in energy prices, which if sustained, could negatively impact occupancy and rental rates in the markets in which we own properties, including energy-influenced markets such as Dallas, Denver and Houston, changes in government regulations and regulatory uncertainty, uncer tainty about governmental fiscal and trade policy an d expenditures that cannot be anticipated such as utility rate and usage increases, delays in construction schedules, unanticipated increases in construction costs, unanticipated repairs, additional staffing, insurance increases and real estate tax valuation reassessments. FSP assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events. Addison Circle One, Addison, TX
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Company Information March 31, 2025| Page 3 Overview Snapshot (as of March 31, 2025) Franklin Street Properties Corp., based in Wakefield, Massachusetts, is focused on infill and central business district (CBD) office properties in the U.S. Sunbelt and Mountain West, as well as select opportunistic markets. FSP is focused on long-term growth a nd appreciation, as well as current inco me. FSP is a Maryland corporation that operates in a manner intended to qualify as a real est ate investment trust (REIT) for federal income tax purposes. FSP’s real estate operations include property acquisitions and dispositions, short-term financing, leasing, development and asset management. Cor porate Headquarters Wakefield, MA Fiscal Yea r-End 31-Dec Owned & Consolidated Properties 15 Total S quare Feet 5.0 Million Tradin g Symbol FSP Exchange NYSE American Common Shares Outstandin g 103,566,715 Our Business Total Market Ca pitalization $0.4 Billion (1) As of March 31, 2025, the Company owned a portfolio of real estate consisting of 14 owned properties and one consolidated Sponsored REIT. The Company may also pur sue, on a selective basis, the sale of its properties in order to take advantage of the value creation and demand for its properties, for geographic, property specific reasons or for other general corporate purposes. Insider Holdin gs 10.01% Management Team George J. Carter Jeffre y B. Carter Chief Executive Officer and President and Chief Investment Chairman of the Board Office r John G. Demeritt Scott H. Carte r Executive Vice President, Chief Executive Vice President, General Financial Officer and Treasurer Counsel and Secretary John F. Donahue Eriel Anchondo Executive Vice President Executive Vice President and Chief Operating Officer Eldridge Green, Houston, TX Inquiries Inquiries should be directed to: Georgia Touma 877.686.9496 or InvestorRelations@fspreit.com (1) Total Market Capitalization is the closing share price multiplied by the number of shares outstanding plus total debt outstanding.
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Summary of Financial Highlights March 31, 2025| Page 4 (in thousands except per share amounts, SF & number of properties) 31-Mar-25 31-Dec-24 30-Sep-24 30-Jun-24 31-Mar-24 Income Items: Rental revenue $ 27,107 $ 28,375 $ 29,662 $ 30,818 $ 31,225 Total revenue 27,107 28,375 29,682 30,830 31,225 Net loss (21,435) (8,526) (15,622) (21,023) (7,552) Adjusted EBITDA* 8,418 8,989 9,657 10,783 11,113 FFO* 2,727 2,707 2,665 3,721 4,193 AFFO* (693) (5,157) (1,829) 518 (659) Per Share Data: Loss per share $ (0.21) $ (0.08) $ (0.15) $ (0.20) $ (0.07) FFO* $ 0.03 $ 0.03 $ 0.03 $ 0.04 $ 0.04 AFFO* $ (0.01) $ (0.05) $ (0.02) $ 0.01 $ (0.01) Weighted Average Shares (diluted) 103,567 103,567 103,567 103,477 103,430 Closing share price $ 1.78 $ 1.83 $ 1.77 $ 1.53 $ 2.27 Dividend declared $ 0.01 $ 0.01 $ 0.01 $ 0.01 $ 0.01 Balance Sheet Items: Real estate, net $ 810,327 $ 834,908 $ 837,349 $ 840,756 $ 884,733 Other assets, net 106,039 112,023 144,164 171,771 154,230 Total assets, net 916,366 946,931 981,513 1,012,527 1,038,963 Total liabilities, net 282,980 291,074 316,094 330,450 335,099 Stockholders' equity 633,386 655,857 665,419 682,077 703,864 Market Capitalization and Debt: Total Market Capitalization (a) $ 434,528 $ 439,859 $ 461,000 $ 461,457 $ 537,787 Total debt outstanding (excluding unamortized financing costs) $ 250,179 $ 250,332 $ 277,687 $ 303,000 $ 303,000 Debt to Total Market Capitalization 57.6% 56.9% 60.2% 65.7% 56.3% Net Debt to Adjusted EBITDA ratio* 6.5 5.8 6.1 6.3 6.0 Owned Properties Leasing Statistics: Owned properties assets 14 14 15 16 16 Owned properties total SF 4,806,456 4,806,253 4,966,398 5,264,416 5,264,416 Owned properties % leased 69.2% 70.3% 70.4% 72.3% 73.3% (a) Total Market Capitalization is the closing share price multiplied by the number of shares outstanding plus total debt outstanding on that date. (b) Excludes one property known as Monument Circle that was consolidated in our financial statements effective January 1, 2023. Please see the note: Consolidation of Sponsored REIT on page 24 for more information. * See pages 9 & 10 for reconciliations of Net income or loss to FFO, AFFO and Adjusted EBITDA, respectively, and the Appendix for Non-GAAP Financial Measures Definitions beginning on page 26.
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Condensed Consolidated Income Statements ($ in thousands, except per share amounts) March 31, 2025| Page 5 F o r t h e For the Three Months Ended For th e Three Months Ended Year Ended 31-Ma r-25 31-Ma r-24 30-Jun-24 30-Sep-24 31-Dec-24 31-Dec-24 Revenue: Rental $ 27,107 $ 31,225 $ 30,818 $ 29,662 $ 28,375 $ 120,080 Other — — 12 20 — 32 Total revenue 27,107 31,225 30,830 29,682 28,375 120,112 Expenses: Real estate operating expenses 10,095 11,019 11,027 11,574 11,423 45,043 Real estate taxes and insurance 5,369 5,936 5,727 5,512 5,541 22,716 Depreciation and amortization 10,824 11,625 11,482 10,911 10,756 44,774 General and administrative 3,484 4,159 3,635 3,275 2,815 13,884 Interest 5,691 6,846 7,082 6,585 5,911 26,424 Total expenses 35,463 39,585 38,953 37,857 36,446 152,841 Loss on extinguishment of debt (2) (137) — (477) (428) (1,042) Loss on sale of properties and impairment of assets held for sale, net (13,284) (5) (13,200) (7,254) (367) (20,826) Interest income 259 1,008 348 340 394 2,090 Loss before taxes (21,383) (7,494) (20,975) (15,566) (8,472) (52,507) Tax expense 52 58 48 56 54 216 Net loss $ (21,435) $ (7,552) $ (21,023) $ (15,622) $ (8,526) $ (52,723) Weighted average number of shares outstanding, basic and diluted 103,567 103,430 103,477 103,567 103,567 103,510 Net loss per share, basic and diluted $ (0.21) $ (0.07) $ (0.20) $ (0.15) $ (0.08) $ (0.51)
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Condensed Consolidated Balance Sheets (in thousands) March 31, 2025| Page 6 March 31, March 31, June 30, September 30, December 31, 2025 2024 2024 2024 2024 Assets: Real estate assets: Land $ 98,882 $ 110,298 $ 105,298 $ 105,298 $ 105,298 Buildings and improvements 1,083,971 1,137,496 1,086,300 1,090,551 1,096,265 Fixtures and equipment 11,289 13,002 10,436 10,776 11,053 1,194,142 1,260,796 1,202,034 1,206,625 1,212,616 Less accumulated depreciation 383,815 376,063 361,278 369,276 377,708 Real estate assets, net 810,327 884,733 840,756 837,349 834,908 Acquired real estate leases, net 3,737 5,971 5,306 4,695 4,205 Assets held for sale 5,685 38,947 67,823 32,926 — Cash, cash equivalents and restricted cash 31,559 37,779 31,495 42,375 42,683 Tenant rent receivables, net 1,462 2,200 2,349 1,349 1,283 Straight-line rent receivable, net 37,724 40,357 38,901 38,432 37,727 Prepaid expenses and other assets 3,429 4,140 4,064 3,243 3,114 Office computers and furniture, net of accumulated depreciation 62 106 92 80 70 Deferred leasing commissions, net 22,381 24,730 21,741 21,064 22,941 Total assets $ 916,366 $ 1,038,963 $ 1,012,527 $ 981,513 $ 946,931 Liabilities and Stockholders’ Equity: Liabilities: Term loan payable, net of unamortized financing costs $ 124,861 $ 149,169 $ 149,604 $ 137,601 $ 124,491 Series A & Series B Senior Notes 122,595 147,340 147,611 135,545 122,430 Accounts payable and accrued expenses 27,510 30,099 23,765 32,821 34,067 Accrued compensation 1,205 1,196 2,300 3,193 3,097 Tenant security deposits 6,156 6,268 6,248 6,120 6,237 Lease liability 612 953 859 763 707 Acquired unfavorable real estate leases, net 41 74 63 51 45 Total liabilities 282,980 335,099 330,450 316,094 291,074 Commitments and contingencies Stockholders’ Equity: Preferred stock — — — — — Common stock 10 10 10 10 10 Additional paid-in capital 1,335,361 1,335,091 1,335,361 1,335,361 1,335,361 Accumulated other comprehensive income — — — — — Accumulated distributions in excess of accumulated earnings (701,985) (631,237) (653,294) (669,952) (679,514) Total stockholders’ equity 633,386 703,864 682,077 665,419 655,857 Total liabilities and stockholders’ equity $ 916,366 $ 1,038,963 $ 1,012,527 $ 981,513 $ 946,931
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Condensed Consolidated Statements of Cash Flows (in thousands) March 31, 2025| Page 7 Three Months Ended March 31, 2025 2024 Cash flows from operating activities: Net loss $ (21,435)$ (7,552) Adjustments to reconcile net loss to net cash provided by operating activities: Depreciation and amortization expense 11,509 12,305 Amortization of above and below market leases — (6) Amortization of other comprehensive income into interest expense — (355) Loss on extinguishment of debt 2 137 Loss on sale of properties and impairment of assets held for sale, net 13,284 5 Changes in operating assets and liabilities: Tenant rent receivables (179) (9) Straight-line rents 70 206 Lease acquisition costs (74) (122) Prepaid expenses and other assets (225) (400) Accounts payable and accrued expenses (5,914) (6,677) Accrued compensation (1,892) (2,448) Tenant security deposits (81) 64 Payment of deferred leasing commissions (546) (2,236) Net cash used for operating activities (5,481) (7,088) Cash flows from investing activities: Property improvements, fixtures and equipment (4,454) (8,759) Proceeds received from sales of properties — 34,329 Net cash provided by (used for) investing activities (4,454) 25,570 Cash flows from financing activities: Distributions to stockholders (1,036) (1,034) Repayments of Bank note payable — (22,667) Repayments of Term loans payable (77) (28,963) Repayments of Series A&B Senior Notes (76) (50,370) Deferred financing costs — (5,549) Net cash used for financing activities (1,189) (108,583) Net decrease in cash, cash equivalents and restricted cash (11,124) (90,101) Cash, cash equivalents and restricted cash, beginning of period 42,683 127,880 Cash, cash equivalents and restricted cash, end of period $ 31,559 $ 37,779
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Property Net Operating Income (NOI)* with Same Store Comparison (in thousands) March 31, 2025| Page 8 Rentable S quare Feet Three Months Ended Three Months Ended Year Ended % (in thousands) or RSF 31-Mar-25 31-Mar-24 30-Jun-24 30-Sep- 24 31-Dec-24 31-Dec-24 Inc (Dec) Change Region MidWest 971 1,139 1,422 1,502 1,044 992 4,960 (283) (19.9)% South 1,909 4,331 4,621 4,579 4,390 4,549 18,139 (290) (6.3)% West 2,140 5,849 6,204 6,224 6,037 5,670 24,135 (355) (5.7)% Property NOI* from Owned Properties 5,020 11,319 12,247 12,305 11,471 11,211 47,234 (928) (7.6)% Disposition and Acquisition Properties (a) - 24 1,661 1,443 912 (88) 3,928 (1,637) (10.8)% Property NOI* 5,020 $ 11,343 $ 13,908 $ 13,748 $ 12,383 $ 11,123 $ 51,162 $ (2,565) (18.4)% Same Store $ 11,319 $ 12,247 $ 12,305 $ 11,471 $ 11,211 $ 47,234 $ (928) (7.6)% Less Nonrecurring Items in NOI* (b) 55 246 255 78 185 764 (191) 1.5 % Comparative Same Store $ 11,264 $ 12,001 $ 12,050 $ 11,393 $ 11,026 $ 46,470 $ (737) (6.1)% (a) We define Disposition and Acquisition Properties as properties that were sold or acquired or consolidated and do not have operating activity for all periods presented. (b) Nonrecurring items in NOI include proceeds from bankruptcies, lease termination fees or other significant nonrecurring income or expenses, which may affect comparability. * See Appendix for Non-GAAP Financial M easures Definitions beginning on page 26.
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FFO* & AFFO* Reconciliation (in thousands, except per share amounts) March 31, 2025| Page 9 Year Three Months Ended Three Months Ended Ended 31-Ma r-25 31-Ma r-24 30-Jun-24 30-Sep-24 31-Dec-24 31-Dec-24 Net loss $ (21,435) $ (7,552) $ (21,023) $ (15,622) $ (8,526) $ (52,723) Loss on sale of properties and impairment of assets held for sale, net 13,284 5 13,200 7,254 367 20,826 Depreciation & amortization 10,824 11,619 11,476 10,907 10,755 44,757 NAREIT FFO* 2,673 4,072 3,653 2,539 2,596 12,860 Lease Acquisition costs 54 121 68 126 111 426 Funds From Operations (FFO)* $ 2,727 $ 4,193 $ 3,721 $ 2,665 $ 2,707 $ 13,286 Adjusted Funds From Operations (AFFO)* Funds From Operations (FFO)* $ 2,727 $ 4,193 $ 3,721 $ 2,665 $ 2,707 $ 13,286 Loss on extinguishment of debt 2 137 — 477 428 1,042 Amortization of deferred financing costs 685 680 818 767 703 2,968 Shares issued as compensation — — 270 — — 270 Straight-line rent 70 206 258 785 720 1,969 Tenant improvements (2,374) (2,619) (2,558) (4,444) (4,173) (13,794) Leasing commissions (545) (2,237) (511) (421) (2,974) (6,143) Non-investment capex (1,258) (1,019) (1,480) (1,658) (2,568) (6,725) Adjusted Funds From Operations (AFFO)* $ (693) $ (659) $ 518 $ (1,829) $ (5,157) $ (7,127) Per Share Data: Loss per share $ (0.21) $ (0.07) $ (0.20) $ (0.15) $ (0.08) $ (0.51) FFO* 0.03 0.04 0.04 0.03 0.03 0.13 AFFO* (0.01) (0.01) 0.01 (0.02) (0.05) (0.07) Weighted Average Shares (basic and diluted) 103,567 103,430 103,477 103,567 103,567 103,510 * See Appendix for Non-GAAP Financial Measu res Definitions beginning on page 26.
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EBITDA* & Adjusted EBITDA* Reconciliation (in thousands, except ratio amounts) March 31, 2025| Page 10 Year Three Months Ended Three Months Ended Ended 31-Ma r-25 31-Mar-24 30-Jun-24 30-Sep-24 31-Dec-24 31-Dec-24 Net loss $ (21,435) $ (7,552) $ (21,023) $ (15,622) $ (8,526) $ (52,723) Interest expense 5,691 6,846 7,082 6,585 5,911 26,424 Depreciation and amortization 10,824 11,619 11,476 10,907 10,755 44,757 Income taxes 52 58 48 56 54 216 EBITDA* $ (4,868) $ 10,971 $ (2,417) $ 1,926 $ 8,194 $ 18,674 Loss on extinguishment of debt 2 137 — 477 428 1,042 Loss on sale of properties and impairment of assets held for sale, net 13,284 5 13,200 7,254 367 20,826 Adjusted EBITDA* $ 8,418 $ 11,113 $ 10,783 $ 9,657 $ 8,989 $ 40,542 Interest expense $ 5,691 $ 6,846 $ 7,082 $ 6,585 $ 5,911 $ 26,424 Scheduled principal payments — — — — — — Interest and scheduled principal payments $ 5,691 $ 6,846 $ 7,082 $ 6,585 $ 5,911 $ 26,424 Interest coverage ratio 1.48 1.62 1.52 1.47 1.52 1.53 Debt service coverage ratio 1.48 1.62 1.52 1.47 1.52 1.53 Debt excluding unamortized financing costs $ 250,179 $ 303,000 $ 303,000 $ 277,687 $ 250,332 Cash, cash equivalents and restricted cash 31,559 37,779 31,495 42,375 42,683 Net Debt (Debt less Cash, cash equivalents and restricted cash) $ 218,620 $ 265,221 $ 271,505 $ 235,312 $ 207,649 Adjusted EBITDA* $ 8,418 $ 11,113 $ 10,783 $ 9,657 $ 8,989 Annualized $ 33,672 $ 44,452 $ 43,132 $ 38,628 $ 35,956 Net Debt-to-Adjusted EBITDA ratio* 6.5 6.0 6.3 6.1 5.8 * See Appendix for Non-GAAP Financial Measures Definitions beginning on page 26.
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Reconciliation of Net Income (Loss) to Property NOI* (in thousands) March 31, 2025| Page 11 Y e a r Three Months Ende d Three Months Ende d Ende d 31-Ma r-25 31-Ma r-24 30-Jun-24 30-Sep-24 31-Dec-24 31-Dec-24 Net loss $ (21,435) $ (7,552) $ (21,023) $ (15,622) $ (8,526) $ (52,723) Add (deduct): Loss on extinguishment of debt 2 137 — 477 428 1,042 Loss on sale of properties and impairment of assets held for sale, net 13,284 5 13,200 7,254 367 20,826 Management fee income (380) (462) (443) (422) (386) (1,713) Depreciation and amortization 10,824 11,625 11,482 10,911 10,757 44,775 Amortization of above/below market leases — (6) (6) (5) (1) (18) General and administrative 3,484 4,159 3,635 3,275 2,815 13,884 Interest expense 5,691 6,846 7,082 6,585 5,912 26,425 Interest income (259) (1,008) (348) (340) (395) (2,091) Non-property specific items, net 132 164 169 270 152 755 Property NOI* $ 11,343 $ 13,908 $ 13,748 $ 12,383 $ 11,123 $ 51,162 * See Appendix for Non-GAAP Financial M easures Definitions beginning on page 26.
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Debt Summary (in thousands) March 31, 2025| Page 12 Outstanding Interest Interest Maturity Balance at: Rate (a) Rate at Date 31-Ma r-25 Components 31-Ma r-25 BofA Term Loan 1-Apr-26 $ 55,595 SOFR + 3.00% 8.00% BMO Term Loan Tranche B 1-Ap r-26 71,039 SOFR + 3.00% 8.00% Series A Senior Notes 1-Apr-26 71,656 8.00% Series B Senior Notes 1-Ap r-26 51,889 8.00% $ 250,179 8.00% The table above is a summary of our debt as of March 31, 2025. Additional information on our debt can be found in our Annual R eport on Form 10-K for the year ended December 31, 2024, which may be updated in our future Quarterly Reports on Form 10-Q, on file with the U.S. Securities and Exchange Commission. On February 21, 2024, we entered into an amendment to the credit agreement evidencing our BMO Term Loan Tranche B. On February 21, 2024, as part of the amendment to the credit agreement, we repaid a $29.0 million portion of the BM O Term Loan, so that $86.0 million of the principal amount rem ains outstanding. The amendment, among other items, extended the maturity date from October 1, 2024 to April 1, 2026. On February 21, 2024, we entered into an amendment to the credit agreement evidencing our BofA Revolver. On February 21, 2024, as part of the amendment to the revolving line of credit agreement, we repaid a $22. 7 million portion of the $90 million then outs tanding, so that $67.3 million of the p rincipal amount remained outstanding. The amendment, among other items, extended the maturity date from October 1, 2024 to April 1, 2026 and converted the revolving loan to a term loan. On February 21, 2024, we entered into an amendment to the note purchase agreement evidencing our $200 million of Senior Notes. On February 21, 2024, as part of the amendment to the note purchase agreement, we repaid a $29.2 million portion of the Seri es A Notes, so that $86.8 million of the principal amount remained outstanding. On February 21, 2024, as part of the amendment to the note purchase agreement, we repaid a $21.2 million portion of the Series B N otes, so that $62.8 million of the principal amount remained outstanding. The amendment, among other items, changed the maturity date applicable to the Series A Notes from December 20, 2024 to April 1, 2026, and changed the maturity date applicable to the Series B Notes from December 20, 2027 to April 1, 2026. On July 8, 2024, we sold a property located in Glen Allen, Vi rginia for a gross sales price of $31 million, and on July 10, 202 4, we used approximately $25.5 million of net proceeds to repay our outstanding debt pari passu based on principal amounts then outstanding, resulting in the debt that remains outstanding included in the table above. On October 23, 2024, we sold a property located in Atlanta, Georgia for a gross selling price of $34 million, and on October 25, 2024, we used approximately $27.4 million of net proceeds to repay our outstanding debt pari passu based on principal amounts then outstanding. We incurred financing costs, some of which are deferred and amortized into interest expense during the terms of the loans we execute. We estimate the future annualized amount of the amortization included in interest expense will be approximately $3.0 million. (a) Interest rates exclude amortization of deferred financing costs.
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Capital Analysis (in thousands, except per share amounts) March 31, 2025| Page 13 31-Ma r-25 31-Ma r-24 30-Jun-24 30-Sep-24 31-Dec-24 Market Data: Shares Outstanding 103,567 103,430 103,567 103,567 103,567 Closing market price per share $ 1.78 $ 2.27 $ 1.53 $ 1.77 $ 1.83 Market capitalization $ 184,349 $ 23 4,787 $ 158,457 $ 183,313 $ 189,527 Total debt outstanding excluding unamortized financing costs 250,179 303,000 303,000 277,687 250,332 Total Market Capitalization $ 434,528 $ 537,787 $ 461,457 $ 461,000 $ 439,859 Dividend Data: Total dividends declared for the quarter $ 1,036 $ 1,034 $ 1,034 $ 1,036 $ 1,036 Common dividend declared per share $ 0.01 $ 0.01 $ 0.01 $ 0.01 $ 0.01 Declared dividend as a % of Net income (loss) per share (5)% (14)% (5)% (7)% (12)% Declared dividend as a % of AFFO* per share (149)% (157)% 200% (57)% (20)% * See page 9 for a reconciliation of Net Income (Loss) to AFFO and the Appendix for Non-GAAP Financial Measures Definitions beginning on page 26.
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Owned & Consolidated Portfolio Overview March 31, 2025| Page 14 As of the Quarter Ended 31-Mar-25 31-Dec-24 30-Sep-24 30-Jun-24 31-Mar-24 Total Owned Properties: Number of properties (a) 14 14 15 16 16 Square feet 4,806,456 4,806,253 4,966,398 5,264,416 5,264,416 Leased percentage 69.2% 70.3% 70.4% 72.3% 73.3% Consolidated Property - Single Asset REIT (SAR): Number of properties 1 1 1 1 1 Square feet 213,760 213,760 213,760 213,760 213,760 Leased percentage 4.1% 4. 1% 4.1% 4.1% 4.1% Total Owned and Consolidated Properties: Number of properties 15 15 16 17 17 Square feet 5,020,216 5,020,013 5,180,158 5,478,176 5,478,176 Leased percentage 66.4% 67.5% 67.7% 69.7% 70.6% (a) Includes properties that were classified as assets held for sale.
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Owned & Consolidated Portfolio Overview March 31, 2025| Page 15 Percent Wtd Occupied GAAP Percent Wtd Occupied GAAP MSA / Property Name City State Square Feet Leased Percentage (a) Rent (b) MSA / Property Name City State Square Feet Leased Percentage (a) Rent (b) South Region Midwest Region Dallas-Fort Worth Minneapolis Legacy Tennyson Center Plano TX 209,562 51.0% 51.0% $ 30.20 121 South 8th Stree t Minneapolis MN 297,744 78.5% 73.3% $ 23.08 Addison Circle Addison TX 289,333 69.2% 69.2% 35.50 801 Marquette Ave Minneapolis MN 129,691 91.8% 91.8% 26.64 Liberty Plaza Addison TX 217,841 78.4% 75.0% 27.64 Plaza Seven Minneapolis MN 330,096 52.8% 51.6% 30.10 Houston Indianapolis, IN Park Ten Houston TX 157,609 83.5% 83.7% 27.96 Monument Circle (c) Indianapolis IN 213,760 4.1% 4.1% 34.80 Eldridge Green Houston TX 248,399 100.0% 100.0% 28.14 Midwest Region Total 971,291 55.2% 53.2% $ 26.42 Park Ten Phase II Houston TX 156,746 75.5% 66.9% 29.08 Westchase I & II Houston TX 629,025 65.1% 61.6% 28.00 West Region Denver 1999 Broadway Denver CO 682,639 51.2% 49.6% $ 35.15 Greenwood Plaza Englewoo d CO 196,236 65.0% 65.0% 30.50 1001 17th Street Denver CO 649,400 75.4% 74.3% 36.13 South Region Total 1,908,515 72.6% 70.4% $ 29.36 600 17th Street Denve r CO 612,135 72.5% 73.2% 34.23 West Region Total 2,140,410 65.9% 65.2% $ 34.77 Total Owned & Consolidated Properties 5,020,216 66.4% 64.9% $ 31.21 (a) Weighted Occupied Percentage for the three months ended March 31, 2025. (b) Weighted Average GAAP Rent per Occupied Square Foot. (c) Consolidated as of January 1, 2023, held by Single Asset REIT (SAR); property was classified as an asset held for sale on March 31, 2025.
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Tenants by Industry (Owned and Consolidated Properties by Square Feet) March 31, 2025| Page 16
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20 Largest Tenants with Annualized Rent and Remaining Term (Owned and Consolidated Properties) March 31, 2025| Page 17 Remaining Aggregate % of Aggregate Tenant Number o f Lease Term Leased % of Total Annualized Leased Name Leases in Months Square Feet Square Feet Rent (a) Annualized Rent 1 CITGO Petroleum Corporation 1 96 248,399 4.9% $ 7,707,822 7.4% 2 EOG Resources, Inc. 1 21 169,167 3.4% 6,460,488 6.2% 3 US Government (b) 2 10, 70 168,573 3.4% 6,518,833 6.2% 4 Kaiser Foundation Health Plan, Inc. 1 50 120,979 2.4% 4,074,907 3.9% 5 Deluxe Corporation 1 148 98,922 2.0% 3,003,982 2.9% 6 Ping Identity Corp. 1 15 89,856 1.8% 3,743,401 3.6% 7 Olin Corporation (c) 1 123 81,480 1.6% 1,777,212 1.7% 8 Permian Resources Operating, LLC 1 79 67,856 1.3% 2,968,252 2.8% 9 Hall and Evans LLC 1 53 65,878 1.3% 2,797,062 2.7% 10 Cyxtera Management, Inc. 1 58 61,826 1.2% 2,466,239 2.3% 11 Precision Drilling (US) Corporation 1 38 59,569 1.2% 2,125,422 2.0% 12 PwC US Group 1 46 54,334 1.1% 1,841,379 1.8% 13 Coresite, LLC (d) 1 128 49,518 1.0% — 0.0% 14 Schwegman, Lundberg & Woessner, P.A. 1 34 46,269 0.9% 1,402,045 1.3% 15 Invenergy, LLC. (e) 2 0,129 42,505 0.9% 299,647 0.3% 16 Ark-La-Tex Financial Services, LLC. 1 24 41,011 0.8% 1,545,544 1.5% 17 Chevron U.S.A., Inc. 1 29 35,088 0.7% 1,509,135 1.4% 18 QB Energy Operating, LLC. 1 95 34,063 0.7% 1,465,390 1.4% 19 CarOffer, LLC. 1 58 30,913 0.6% 1,149,036 1.1% 20 WDT Acquisition Corporation 1 133 30,913 0.6% 1,165,729 1.1% Total 1,597,119 31.8% $ 54,021,525 51.6% Footnotes on next page
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20 Largest Tenants with Annualized Rent and Remaining Term (Owned and Consolidated Properties) March 31, 2025| Page 18 Footnotes: (a) Annualized rent represents the monthly rent charged, including tenant reimbursements, for each lease in effect at March 31, 2025 multiplied by 12. Tenant reimbursements generally include payment of real estate taxes, operating expenses and common area maintenance and utility charges. (b) Includes 43,573 square feet expiring in 2026. The remaining 125,000 square feet expire in 2031. (c) Includes 27,400 square feet that commenced on January 1, 2025 and rent commences on July 1, 2025. (d) Rent abated through November 30, 2025. (e) Includes 7,417 square feet expiring in 2025; 28,013 square feet that commenced on December 20, 2024 with rent commencing on April 20, 2026; 3,146 square feet commencing on January 1, 2027; and 3,929 square feet commencing on January 1, 2028.
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Leasing Activity (Owned and Consolidated Properties) March 31, 2025| Page 19 Yea r Yea r Three Months Ended Ended Ended Leasing Activity 31-Ma r-25 31-Ma r-24 31-Dec-24 31-Dec-23 (in Square Feet - SF) New leasing - 61,000 171,000 228,000 Renewals and expansions 60,000 136,000 445,000 478,000 60,000 197,000 616,000 706,000 Other information per SF (Activity on a year-to-date basis) GAAP Rents on leasing $ 29.64 26.96 $ 30.06 29.71 Weighted average lease term 5.2 Years 6.8 Years 6.3 Years 6.8 Years Increase over average GAAP rents in prior year (a) 3.4% 13.8% 8.2% 7.4% Average free rent 3 Months 5 Months 4 Months 6 Months Tenant Improvements $ 3.77 29.23 $ 26.06 22.42 Leasing Costs $ 6.65 9.00 $ 9.72 10.56 (a) The increase or decrease percentage is calculated by comparing average GAAP rents at properties that had leasing activity in the current year to average GAAP rents at the same properties in the prior year.
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Lease Expirations by Square Feet (Owned and Consolidated Properties) March 31, 2025| Page 20
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Lease Expirations with Annualized Rent per Square Foot (SF) (Owned and Consolidated Properties) March 31, 2025| Page 21 Rentable Annualized Percentage Numbe r of Square Ren t of Total Year of Leases Footage Annualized Pe r Square Annualized Lease Expiring Subjec t to Ren t Under Foo t Under Ren t Under Expiration Within the Expiring Expiring Expiring Expiring Cumulative December 31, Yea r (a) Leases (e) Leases (b) Leases Leases Total 2025 31 (c) 246,305 $ 8,098,433 $ 32.88 7.7% 7.7% 2026 41 582,524 21,370,797 36.69 20.4% 28.1% 2027 31 322,539 11,124,600 34.49 10.6% 38.7% 2028 25 257,393 8,186,138 31.80 7.8% 46.5% 2029 31 481,560 15,240,435 31.65 14.6% 61.1% 2030 20 259,535 7,398,527 28.51 7.1% 68.2% 2031 10 266,586 10,384,241 38.95 9.9% 78.1% 2032 6 58,607 411,028 7.01 0.4% 78.5% 2033 8 379,513 12,016,006 31.66 11.5% 90.0% 2034 6 70,904 1,632,787 23.03 1.6% 91.6% 2035 and thereafter 24 407,538 (d) 8,855,560 21.73 8.4% 100.0% Leased total 233 3,333,004 $ 104,718,552 $ 31.42 100.0% Owned property vacant SF 1,482,167 Monument Circle vacant SF (e) 205,045 Total Portfolio Square Footage 5,020,216 (a) The number of leases approximates the number of tenants. Tenants with lease maturities in different years are included in annual totals for each lease. Tenants may have multiple leases in the same year. (b) Annualized rent represents the monthly rent charged, including tenant reimbursements, for each lease in effect at March 31, 2025 multiplied by 12. Tenant reimbursements generally include payment of real estate taxes, operating expenses and common area maintenance and utility charges. (c) Includes 2 leases that are month-to-month. (d) Includes 51,088 square feet that are non-revenue producing building amenities. (e) Includes one property known as Monument Circle that was consolidated in our financial statements effective January 1, 2023. Please see the note: Consolidation of Sponsored REIT on page 24 for more information.
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Capital Expenditures (Owned and Consolidated Properties) March 31, 2025| Page 22 (in thousands) For the Three Months Ended 31-Ma r-25 Tenant improvements $ 2,374 Deferred leasing costs 545 Non-investment capex 1,258 Total Capital Expenditures $ 4,177 For the Three Months Ended Year Ended 31-Ma r-24 30-Jun-24 30-Sep-24 31-Dec-24 31-Dec-24 Tenant improvements $ 2,619 $ 2,558 $ 4,444 $ 4,173 $ 13,794 Deferred leasing costs 2,237 511 421 2,974 6,143 Non-investment capex 1,019 1,480 1,658 2,568 6,725 Total Capital Expenditures $ 5,875 $ 4,549 $ 6,523 $ 9,715 $ 26,662 First generation leasing and investment capital expenditures was $0 for the three months ended March 31, 2025 and $0 for the year ended December 31, 2024.
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Disposition Activity (in thousands except for Square Feet) March 31, 2025| Page 23 Recent Dispositions: Gross Sale Gain (loss) City State Square Feet Date Sold Proceeds on Sale 2024 Collins Crossing Richardson TX 300,887 1/26/24 $ 35,000 $ (2,145) Innsbrook Glenn Allen VA 298,183 7/8/2024 31,000 (13,247) Pershing Park Atlanta GA 160,145 10/23/24 34,000 (27,523) 2023 Northwest Point Elk Grove IL 177,095 3/10/23 $ 29,125 $ 8,391 Forest Park Charlotte NC 64,198 8/9/23 9,200 (844) Liberty Plaza (a) Addison TX n/a 8/23/23 157 53 One Legacy Circle Plano TX 214,110 10/26/23 48,000 10,558 Blue Lagoon Drive Miami FL 213,182 12/6/23 68,000 (18,872) 2022 380 Interlocken Broomfiel d CO 240,359 8/31/22 $ 42,000 $ 5,665 390 Interlocken Broomfield CO 241,512 8/31/22 60,500 18,412 909 Davis Evanston IL 195,098 12/28/22 27,750 3,359 2021 One Ravinia Atlanta GA 386,602 5/27/21 $ 74,879 $ 29,075 Two Ravinia Atlanta GA 411,047 5/27/21 71,771 29 One Overton Park Atlanta GA 387,267 5/27/21 72,850 (6,336) Loudoun Tech Center Dulles VA 136,658 6/29/21 17,250 (2,148) River Crossing Indianapolis IN 205,729 8/31/21 35,050 (1,734) Timberlake Chesterfiel d MO 234,496 9/23/21 44,667 6,184 Timberlake East Chesterfield MO 117,036 9/23/21 22,333 4,111 999 Peachtree Atlanta GA 62 1,946 10/22/21 223,900 86,766 Meadow Point Chantilly VA 138,537 11/16/21 25,500 1,878 Stonecroft Chantill y VA 111,469 11/16/21 14,500 (4,768) 2020 Emperor Boulevard Durham NC 259,531 12/23/20 $ 89,700 $ 41,928 (a) Conveyance of approximately 7,826 square feet of land as part of a road revitalization project.
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Loan Portfolio of Secured Real Estate (in thousands) March 31, 2025| Page 24 (dollars in thousands, except footnotes) Maximum Amoun t Interest Maturity Amoun t Outstanding Rate at Sponsored REIT Location Date of Loan 31-Ma r-25 31-Mar-25 Mortgage loan secured by property FSP Monument Circle LLC (1) Indianapolis, IN 30-Sep-25 $ 24,000 $ 24,000 7.51% $ 24,000 $ 24,000 (1) Includes an origination fee of $164,000 and an exit fee of $38,000 when repaid by the borrower. On September 27, 2024, the maturity date of this mortgage loan was extended to September 30, 2025. The mortgage loan is secured by the property and has been eliminated in consolidation, which is explained below. Consolidation of Sponsored REIT As of January 1, 2023, we consolidated Monument Circle into our financial statements. On October 29, 2021, we agreed to amend and restate our existing loan to Monument Circle that is secured by a mortgage on real estate owned by Monument Circle, which we refer to as the Sponsored REIT Loan. The amended and restated Sponsored REIT Loan extended the maturity date from December 6, 2022 to June 30, 2023 (and was further extended to September 30, 2023 on June 26, 2023), increased the aggregate principa l amount of the loan from $21 million to $24 million, and included certain other mod ifications. On September 26, 2023, the maturity date of this mortgage loan was extended to September 30, 2024 and on September 27, 2024, further extended to September 30, 2025. In consideration of our agreement to amend and restate the Sponsored REIT Loan, we obtained from the stockholders of Monument Circle the right to vote their shares in favor of any sale of the property owned by Monument Circle any time on or after January 1, 2023. As a result of our obtaining this right to vote shares, GAAP variable interest entity (VIE) rules required us to consolidate Monument Circle as of January 1, 2023. A gain on consolid ation of approximately $0.4 million was recognized in the three months ended March 31, 2023. Additional information about the consolidation of Monument Circle can be found in Note 1, “Organization, Properties, Basis of P resentation, Financial Instruments and Recent Accounting Standards”, Note 8, “Disposition of Properties and Assets Held for Sale” and Note 10, “Subsequent Events”, in the Notes to Consolidated Financial Statements included in our Quarterly Report on Form 10-Q for the three months ended March 31, 2025.
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Net Asset Value Components March 31, 2025| Page 25 (in thousands except per share data) As of 31-Mar-25 Assets: Other information: Total Market Capitalization Values Straight-line rent receivable $ 37,724 Leased SF to be FFO producing Shares outstanding 103,566.7 Assets held for sale 5,685 during 2025-2028 (in 000's) 59 Closing price $ 1.78 Cash, cash equivalents and restricted cash 31,559 Market capitalization $ 184,349 Tenant rent receivables 1,462 Straigh t-line rental revenue current quarter $ (70) Debt 250,179 Prepaid expenses 2,844 Total Market Capitalization $ 434,528 Offi ce computers and furniture 62 Other assets: Deferred financing costs, net 2,723 3 Months Other assets - Right-to-Use Asset 585 Ended $ 82,644 NOI Components 31-Mar-25 Same Store NOI (1) $ 11,319 Acquisitions (1) (2) — Liabilities: Property NOI (1) 11,319 Debt (excluding contra for unamortized financing costs) $ 250,179 Footnotes to the components Full quarter adjustment (3) — Accounts payable & accrued expenses 28,715 (1) See pages 11 & 30 for definitions and reconciliations. Stabilized portfolio $ 11,319 Tenant security deposits 6,156 Other liabilities: lease liability 612 (2) Includes NOI from acquisitions not in Same Store. $ 285,662 Financial Statement Reconciliation: (3) Adjustment to reflect property NOI for a full quarter in the quarter acquired, if necessary. Rental Revenue $ 27,107 Rental operating expenses (10,095) (4) HB3 Tax in Texas is classified as an income tax, though we treat it as a real estate tax in Property NOI. Real estate taxes and insurance (5,369) NOI from dispositions & acquisition properties (24) (5) Management & other fees are eliminated in consolidation but included in Property NOI. Taxes (4) (52) Management & other fees (5) (248) Property NOI (1) $ 11,319
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Appendix: Non-GAAP Financial Measure Definitions March 31, 2025| Page 26 Definition of Funds From Operations (“FFO”) The Company evaluates performance based on Fu nds From Operations, which we refer to as FFO, as management believes that FFO rep resents the most accurate measure of activity and is the basis for distributions paid to equity holders. The Company defines FFO as net income or loss ( computed in accordance with GAAP), excluding gains (or losses) from sales of property, hedge ineffec tiveness, acquisition costs of newly acquired properties that are not capitalized and lease acquisition costs that are not capitalized plus depreciation and amortization, including amortization of acquired above and below market le ase intangibles and impairment charges on mortgage loans, properties or investments in non-consolidated RE ITs, and after adjustments to exclude equity in income or lo sses from, and, to include the proportionate share of FFO from, non-consolidated REITs. FFO should not be considered as an alternative to net income or loss (determined in accordance with GAAP), nor as an indicator of the Company’s financial performance, nor as an alternative to cash flows from operating activities (determined in accordance with GAAP), nor as a measure of the Com pany’s liquidity, nor is it necessarily indicative of sufficient cash flow to fund all of the Company’s needs. Other real estate companies and the National Association of Real Es tate Investment Trusts, or NAREIT, may define this term in a different manner. We have included the NAREIT FFO definition as of May 17, 2016 in the table on page 9 and note that other REITs may not define FFO in accordance with the current NAREIT definition or may interpret the current NAREIT definition differently than we do. We believe that in order to facilitate a clear understanding of the results of the Company, FFO should be examined in connection with net income or loss and cash flows from operating, investing and financing activities in the consolidated financial statements.
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Appendix: Non-GAAP Financial Measure Definitions March 31, 2025| Page 27 Definition of Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA) and Adjusted EBITDA EBITDA is defined as net income or loss plus interest expense, income tax expense and depreciation and amortization expense. Adjusted EBITDA is defined as EBITDA excluding hedge ineffectiveness, gains or losses on extinguishment of debt, gains and losses on sales of properties or shares of equity investments or provisions for losses on assets held for sale or equity investments. EBITDA and Adjusted EBITDA are not intended to represent cash flow for the period, are not presented as an alternative to operating income as an indicator of operating performance, should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP and are not indicative of operating income or cash provided by operating activities as determined under GAAP. EBITDA and Adjusted EBITDA are presented solely as a supplemental disclosure with respect to liquidity because the Company believes it provides useful information regarding the Company's ability to service or incur debt. Because all companies do not calculate EBITDA or Adjusted EBITDA the same way, this presentation may not be comparable to similarly titled measures of other companies. The Company be lieves that net income or loss is the fi nancial measure calculated and presented in accordance with GAAP that is most directly comparable to EBITDA and Adjusted EBITDA. Definition of Property Net Operating Income (Property NOI) The Company provides property performance based on Net Operating Income, which we refer to as NOI. Management believes that inv estors are interested in this information. NOI is a non-GAAP financial measure that the Company defines as net income or loss (the most directly comparable GAAP financial measure) plus general and administrative expenses, depreciation a nd amortization, including amortization of acquired above and below market lease int angibles and impairment charges, interest expense, less equity in earnings of nonconsolidated REIT s, interest income, management fee income, hedge ineffectiveness, gains or losses on extinguishment of debt, gains or losses on the sale of assets and excludes non-pr operty specific income and expenses. The information present ed includes footnotes and the data is shown by region with properties owned in the periods presented, wh ich we call Same Store. The comparative Same Store results in clude properties held for all periods presented. We also exclude properties that have been acquired, consolidated or placed in service, but that do not have operati ng activity for all periods presented, dispositions and significant nonrecurring income such as bankr uptcy settlements and lease termination fees. NOI, as defined by the Company, may not be comparable to NOI reported by other REITs that define NOI differently. NOI should not be considered an alternative to net income or loss as an indication of our performance or to cash flows as a measure of the Company's liquidity or its ability to make distributions.
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Appendix: Non-GAAP Financial Measure Definitions March 31, 2025| Page 28 Definition of Adjusted Funds From Operations (AFFO) The Company also evaluates performance based on Adjusted Funds From Operations, which we refer to as AFFO. The Company defines AFFO as (1) FFO, (2) excluding loss on extinguishment of debt that is non-cash, (3) excluding our proportionate share of FFO and including distributions recei ved, from non-consolidated REITs, (4) excluding the effect of straight-line rent, (5) plus the amortization of deferred financing costs, (6) plus the value of shares issued as compensation and (7) less recurring capital expenditures that are generally for maintenance of prope rties, which we call non-investment capex or are second generat ion capital expenditures. Second generation costs include re-tenanting space after a tenant vacates, which include tenant improvements and leasing commissions. We exclude development/redevelopment activities, capital expenditures planned at acquisition and costs to reposition a property. We also exclude first generation leasing costs, which are generally to fill vacant space in properties we acquire or were planned for at acquisition. AFFO should not be considered as an alternative to net income or loss (determined in accordance with GAAP), nor as an indicator of the Company’s financial performance, nor as an alternative to cash flows from operating activities (determined in accordance with GAAP), nor as a measure of the Company’s liquidity, nor is it necessarily indicative of sufficient cash flow to fund all of the Company’s needs. Other real estate companies may define this term in a different manner. We believe that in order to facilitate a clear understanding of the results of the Company, AFFO should be examined in connection with net income or loss and cash flows from operating, investing and financing activities in the consolidated financial statements.
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March 31, 2025| Page 29 Investor Relations Contact Georgia Touma ~ 877.686.9496 InvestorRelations@fspreit.com Franklin Street Properties Corp. Supplemental Operating & Financial Data 401 Edgewater Place ~Wakefield, MA 01880 781.557.1300 ~ www.fspreit.com