Company: VRE
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0000924901-25-000051
Chunk: 139

Company: Veris Residential, Inc.
Filing Date: 2025-07-23
Form: 10-Q
Item: Part I, Item 8
Chunk 139
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. A portion of the RSUs are subject to time-based vesting conditions and will vest over a three-year period ("TRSUs"). As of June 30, 2025, there are 752,911 TRSUs outstanding and unvested.Additionally, in April 2022, the General Partner granted 59,707 TRSUs subject to time-vesting conditions, vesting over three years, to three executive officers as “inducement awards” intended to comply with New York Stock Exchange Rule 303A.08. As of June 30, 2025, all TRSUs classified as inducement awards have vested.Another portion of the annual LTIP Awards have market-based vesting conditions ("PRSUs"), and recipients will only earn the full amount of the PRSUs if, over the three-year performance period, the General Partner achieves an absolute Total Shareholder Return ("TSR") target and if the General Partner’s relative TSR as compared to a group of peer REITs ("Peer Group") exceeds certain thresholds. Depending on the results achieved during the three-year performance periods, the actual number of shares that a grant recipient receives at the end of the period may range from 0% to 160% of the shares granted. The market-based award targets are determined annually by the compensation committee of the Board of Directors. As of June 30, 2025, there are 818,742 PRSUs outstanding and unvested.In addition, the Company has granted RSUs with a three-year cliff vest subject to the achievement of adjusted funds from operations targets ("OPRSUs"). As of June 30, 2025, there are 797,057 OPRSUs outstanding and unvested.The fair value of the RSU LTIP Awards is based on the fair value of the underlying shares on the date of grant. The fairvalue of the PRSUs that relate to a TSR performance objective was determined using a Monte Carlo simulation analysis.The expected volatility of the common stock is estimated based on the historical volatility rate for the preceding three-yearperformance period. The dividend yield assumption was based on anticipated dividend payouts.The Company recognized stock compensation expense related to LTIP awards of $2.4 million and $2.9 million for the three months ended June 30, 2025 and 2024, respectively and $5.3 million and $6.5 million for the six months ended June 30, 2025 and 2024, respectively.  As of June