Company: EPR-PE
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001045450-25-000051
Chunk: 45

Company: EPR PROPERTIES
Filing Date: 2025-02-27
Form: 10-K
Item: Item 1A
Chunk 45
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 real estate may not decline when the related rents decline.

The factors that affect the value of our real estate include, among other things:

•international, national, regional and local economic conditions;

•consequences of any armed conflict involving, or terrorist attack against, the United States or Canada;

•the threat of domestic terrorism or pandemic or other illness outbreaks (such as COVID-19 or variants thereof), which could cause consumers to avoid congregate settings;

•our ability or the ability of our tenants or managers to secure adequate insurance;

•natural disasters, such as earthquakes, hurricanes, wildfires and floods, which could exceed the aggregate limits of insurance coverage;

•impacts of climate change;

•local conditions such as an oversupply of space or lodging properties or a reduction in demand for real estate in the area;

•competition from other available space or, in the case of our experiential lodging properties, competition from other lodging properties or alternative lodging options in our markets;

•whether tenants and users such as customers of our tenants consider a property attractive;

•the financial condition of our tenants, borrowers and managers, including the extent of bankruptcies or defaults;

•higher levels of inflation;

•whether we are able to pass some or all of any increased operating costs through to tenants or other customers;

•how well we manage our properties or how well the managers of properties manage those properties;

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•in the case of our experiential lodging properties, dependence on demand from business and leisure travelers, which may fluctuate and be seasonal;

•fluctuations in interest rates;

•changes in real estate taxes and other expenses;

•changes in market rental rates;

•the timing and costs associated with property improvements and rentals;

•changes in taxation or zoning laws;

•government regulation;

•availability of financing on acceptable terms or at all and the costs of such financing;

•potential liability under environmental or other laws or regulations; and

•general competitive factors.

The rents, interest and other payments we receive and the occupancy levels at our properties may decline as a result of adverse changes in any of these factors. If our revenues decline, we generally would expect to have less cash available to pay our indebtedness and distribute to our shareholders. In addition, some of our unreimbursed costs of owning real estate may not decline when the related rents decline.

There are risks associated with owning and leasing real estate.

Although our lease terms in most cases, obligate the tenants to bear substantially all of the costs of operating the properties and our managers to manage such costs,