Company: VRE
Filing Date: 2025-10-22
Form Type: 10-Q
Source: 0001628280-25-045884
Chunk: 122

Company: Veris Residential, Inc.
Filing Date: 2025-10-22
Form: 10-Q
Item: Part I, Item 8
Chunk 122
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 service, real estate taxes, property insurance, capital improvements, tenant improvements and leasing costs established pursuant to certain mortgage financing arrangements, and is comprised of the following (dollars in thousands):September 30,2025December 31,2024Security deposits$9,599$9,410Escrow and other reserve funds7,4437,649Total restricted cash$17,042$17,059

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7.    DISCONTINUED OPERATIONS

The Company's sale of its former New Jersey office and hotel portfolio (collectively, the “Office Portfolio”) represented a strategic shift in the Company’s operations. As such, the results of these sold properties are classified as discontinued operations for all periods presented.The following table summarizes income from discontinued operations and the related realized gain (loss) on disposition of rental property, net, for the three and nine months ended September 30, 2025 and 2024 (dollars in thousands):Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2025202420252024Total Revenues$(659)$(11)$(518)$2,711Operating and other expenses, net (a)4,441 217 4,409 (428)Depreciation and amortization— — — (668)Equity in earnings of unconsolidated joint ventures— — — 262 Income (loss) from discontinued operations3,7822063,8911,877Realized gain (loss), net— — — 1,548Total discontinued operations, net$3,782$206$3,891$3,425

(a)Operating and other expenses, net reflects the successful resolution of real estate tax appeals related to formerly owned office properties during the three and nine months ended September 30, 2025.

8.    REVOLVING CREDIT FACILITY AND TERM LOANS

The Company's revolving credit facilities and term loan consist of a $300 million senior secured revolving credit facility (the "2024 Revolving Credit Facility") and a $200 million senior secured term loan facility (the “2024 Term Loan” and, together with the 2024 Revolving Credit Facility, the “2024 Credit Agreement”) with a group of eight lenders (the "Lenders").  In July 2025, the Company amended the 2024 Credit Agreement, which introduced a leverage-based interest rate grid, and fully repaid the 2024 Term Loan.