Company: IIPR
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001677576-25-000005
Chunk: 190

Company: INNOVATIVE INDUSTRIAL PROPERTIES INC
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 8
Chunk 190
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 performance thresholds for vesting of the PSUs were met as measured as of September 30, 2024. The PSUs expired on December 31, 2024.

Our computation of FFO, Normalized FFO, and AFFO may differ from the methodology for calculating FFO, Normalized FFO and AFFO utilized by other equity REITs and, accordingly, may not be comparable to such REITs. Further, FFO and AFFO do not represent cash flow available for management’s discretionary use. FFO, Normalized FFO and AFFO should not be considered as an alternative to net income (computed in accordance with GAAP) as an indicator of our financial performance or to cash flow from operating activities (computed in accordance with GAAP) as an indicator of our liquidity, nor is it indicative of funds available to fund our cash needs, including our ability to pay dividends or make 

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distributions. FFO, Normalized FFO and AFFO should be considered only as supplements to net income computed in accordance with GAAP as measures of operations. 

The table below is a reconciliation of net income attributable to common stockholders to FFO, Normalized FFO and AFFO for the three and nine months ended September 30, 2025 and 2024 (in thousands, except share and per share amounts):

For the Three Months EndedSeptember 30,For the Nine Months EndedSeptember 30,2025202420252024Net income attributable to common stockholders$28,288 $39,651 $83,730 $120,396 Real estate depreciation and amortization18,639 17,944 55,530 52,567 Impairment loss on real estate— — 3,527 — Disposition-contingent lease termination fee, net of loss on sale of real estate(1)— — — (451)FFO attributable to common stockholders (basic)46,927 57,595 142,787 172,512 Cash and non-cash interest expense on Exchangeable Senior Notes— — — 28 FFO attributable to common stockholders (diluted)46,927 57,595 142,787 172,540 Litigation-related expense604 210 1,423 520 Loss (gain) on partial repayment of Notes due 2026— — (32)— Income on seller-financed notes(2)(2