$CSR

CENTERSPACE

CIK:0000798359|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (unaudited) - USD ($) shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
REVENUE	$ 65,782,000	$ 68,549,000	$ 130,851,000	$ 135,642,000
EXPENSES
Property operating expenses, excluding real estate taxes	17,625,000	18,853,000	35,867,000	37,921,000
Real estate taxes	7,022,000	7,678,000	14,354,000	15,341,000
Property management expense	2,094,000	2,393,000	4,473,000	4,826,000
Casualty loss, net of recoveries	(206,000)	399,000	(227,000)	931,000
Depreciation and amortization	25,075,000	27,097,000	51,573,000	54,751,000
Impairment of real estate investments	0	14,543,000	9,700,000	14,543,000
General and administrative expenses	5,659,000	4,382,000	11,991,000	9,379,000
TOTAL EXPENSES	57,269,000	75,345,000	127,731,000	137,692,000
Gain on sale of real estate and other investments	271,000	0	271,000	0
Operating income (loss)	8,784,000	(6,796,000)	3,391,000	(2,050,000)
Interest expense	(10,623,000)	(10,724,000)	(21,093,000)	(20,359,000)
Interest and other income	709,000	735,000	1,599,000	1,443,000
NET LOSS	(1,130,000)	(16,785,000)	(16,103,000)	(20,966,000)
Distributions to Series D preferred unitholders	(58,000)	(160,000)	(115,000)	(320,000)
Net loss attributable to noncontrolling interests – Operating Partnership and Series E preferred units	168,000	2,483,000	2,309,000	3,126,000
Net income attributable to noncontrolling interests – consolidated real estate entities	0	(53,000)	0	(89,000)
NET LOSS AVAILABLE TO COMMON SHAREHOLDERS	(1,020,000)	(14,515,000)	(13,909,000)	(18,249,000)
NET LOSS	(1,130,000)	(16,785,000)	(16,103,000)	(20,966,000)
Other comprehensive loss
Loss on derivative instrument reclassified into earnings	0	174,000	0	349,000
TOTAL COMPREHENSIVE LOSS	(1,130,000)	(16,611,000)	(16,103,000)	(20,617,000)
Net comprehensive loss attributable to noncontrolling interests – Operating Partnership and Series E preferred units	168,000	2,508,000	2,309,000	3,177,000
Net income attributable to noncontrolling interests – consolidated real estate entities	0	(53,000)	0	(89,000)
COMPREHENSIVE LOSS ATTRIBUTABLE TO CONTROLLING INTERESTS	$ (962,000)	$ (14,156,000)	$ (13,794,000)	$ (17,529,000)
NET LOSS PER COMMON SHARE – BASIC (in dollars per share)	$ (0.07)	$ (0.87)	$ (0.83)	$ (1.09)
NET LOSS PER COMMON SHARE – DILUTED (in dollars per share)	$ (0.07)	$ (0.87)	$ (0.83)	$ (1.09)
Weighted average shares - basic (in shares)	16,810	16,741	16,792	16,734
Weighted average shares - diluted (in shares)	16,810	16,741	16,792	16,734

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (16,103,000)	$ (20,966,000)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization, including amortization of capitalized loan costs	52,277,000	55,425,000
(Gain) loss on sale of real estate and other investments	(271,000)	0
Share-based compensation expense	2,166,000	1,691,000
Impairment of real estate investments	9,700,000	14,543,000
Provision for bad debt	637,000	620,000
Non-cash casualty loss	939,000	511,000
Amortization of debt premiums and discounts	836,000	817,000
Other, net	(162,000)	340,000
Changes in other assets and liabilities:
Other assets	864,000	854,000
Accounts payable and accrued expenses	(6,755,000)	(3,141,000)
Net cash provided by operating activities	44,128,000	50,694,000
CASH FLOWS FROM INVESTING ACTIVITIES
Net proceeds from sale of real estate and other investments	29,526,000	0
Payments for acquisitions of real estate investments	0	(150,076,000)
Payments for improvements of real estate investments	(12,951,000)	(14,771,000)
Other investing activities	359,000	379,000
Net cash provided by (used by) investing activities	16,934,000	(164,468,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on mortgages payable	(53,837,000)	(14,002,000)
Proceeds from revolving lines of credit	107,546,000	237,907,000
Principal payments on revolving lines of credit	(86,471,000)	(69,236,000)
Repurchase of common shares	(2,516,000)	0
Distributions paid to common shareholders	(25,830,000)	(25,322,000)
Distributions paid to Series D preferred unitholders	(115,000)	(320,000)
Distributions paid to noncontrolling interests – Operating Partnership and Series E preferred units	(4,443,000)	(4,553,000)
Payments related to tax withholding for share-based compensation	(423,000)	0
Other financing activities	(181,000)	(386,000)
Net cash provided by (used by) financing activities	(66,270,000)	118,838,000
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH	(5,208,000)	5,064,000
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT BEGINNING OF PERIOD	15,651,000	13,129,000
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT END OF PERIOD	10,443,000	18,193,000
SUPPLEMENTARY SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Accrued capital expenditures	1,897,000	3,148,000
Distributions declared but not paid to common shareholders	13,618,000	13,642,000
Retirement of shares withheld for taxes	0	296,000
Involuntary conversion of assets	(1,420,000)	(628,000)
Non-cash interest income	931,000	842,000
Unrealized gain on investment	(209,000)	(48,000)
Contribution to noncontrolling interests - consolidated real estate entities through issuance of note receivable	0	1,428,000
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for interest	19,348,000	16,429,000
Balance Sheet Description
Cash and cash equivalents	8,560,000	12,378,000
Restricted cash	1,883,000	5,815,000
Total cash, cash equivalents, and restricted cash	10,443,000	18,193,000
Series D Preferred Units
CASH FLOWS FROM FINANCING ACTIVITIES
Redemption of Series D preferred units	0	(5,250,000)
Operating Partnership Units
SUPPLEMENTARY SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Operating partnership/ Series E preferred units converted to common shares	1,601,000	535,000
Series E Preferred Units
SUPPLEMENTARY SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Operating partnership/ Series E preferred units converted to common shares	$ 608,000	$ 338,000

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Real estate investments
Property owned	$ 2,261,220	$ 2,524,020
Less accumulated depreciation	(605,402)	(660,124)
Total real estate investments	1,655,818	1,863,896
Cash and cash equivalents	8,560	12,833
Restricted cash	1,883	2,818
Other assets	38,993	46,620
Assets held for sale, net	135,111	0
TOTAL ASSETS	1,840,365	1,926,167
LIABILITIES
Accounts payable and accrued expenses	51,370	59,247
Revolving lines of credit	176,000	154,925
Notes payable, net	299,608	299,579
Mortgages payable, net	513,975	566,660
Liabilities held for sale, net	1,460	0
TOTAL LIABILITIES	1,042,413	1,080,411
COMMITMENTS AND CONTINGENCIES (NOTE 10)
SERIES D PREFERRED UNITS (Cumulative convertible preferred units, $100 par value, 59 units issued and outstanding at June 30, 2026 and December 31, 2025, aggregate liquidation preference of $5,940 at June 30, 2026)	5,940	5,940
EQUITY
Common Shares of Beneficial Interest (Unlimited authorization, no par value, 16,792 shares issued and outstanding at June 30, 2026 and 16,761 shares issued and outstanding at December 31, 2025)	1,369,753	1,368,834
Accumulated distributions in excess of net income	(689,530)	(649,678)
Total shareholders’ equity	680,223	719,156
Noncontrolling interests – Operating Partnership and Series E preferred units	111,789	120,660
TOTAL EQUITY	792,012	839,816
TOTAL LIABILITIES, MEZZANINE EQUITY, AND EQUITY	$ 1,840,365	$ 1,926,167