Company: VRE
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0000924901-25-000051
Chunk: 120

Company: Veris Residential, Inc.
Filing Date: 2025-07-23
Form: 10-Q
Item: Part I, Item 8
Chunk 120
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 joint venture sold the Lofts at 40 Park multifamily rental property. In April 2025, the Company sold its interest in The Metropolitan at 40 Park multifamily rental property in Morristown, New Jersey and PI North developable land parcels in West New York, New Jersey. See Note 3: Investments in Rental Properties - Dispositions of Unconsolidated Joint Ventures.(b)Amounts are net of amortization of basis differences of $0.1 million and $0.2 million for the three months ended June 30, 2025 and 2024, respectively, and $0.3 million for the six months ended June 30, 2025 and 2024.

5.    DEFERRED CHARGES AND OTHER ASSETS, NET

(dollars in thousands)June 30,2025December 31,2024Deferred leasing costs$5,188$4,765Deferred financing costs (a)6,3076,296Deferred charges11,49511,061Accumulated amortization(5,799)(4,558)Deferred charges, net5,6966,503In-place lease values, related intangibles and other assets, net9,9899,519Right of use assets (b)4,6185,145Prepaid expenses and other assets, net 22,75627,309Total deferred charges and other assets, net$43,059$48,476(a)This amount relates to the deferred financing costs associated with the revolving credit facility.  Deferred financing costs related to all other debt liabilities are netted against those debt liabilities for all periods presented.(b)This amount has a corresponding liability of $6.1 million and $6.5 million as of June 30, 2025 and December 31, 2024, respectively, which is included in Accounts payable, accrued expense and other liabilities. See Note 12: Commitments and Contingencies – Office and Ground Lease agreements for further details.DERIVATIVE FINANCIAL INSTRUMENTSCash Flow Hedges of Interest Rate RiskThe Company’s objectives in using interest rate derivatives are to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate caps as part of its interest rate risk management strategy.  Interest rate caps designated as cash flow hedges involve the receipt of variable amounts from a counterparty if interest rates rise above the strike rate on the contract in exchange for an up-front premium.

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