Centerspace (CSR): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el panorama dinámico de los bienes raíces residenciales, el espacio de los centros (RSE) emerge como una potencia estratégica, transformando la forma en que los habitantes urbanos y suburbanos experimentan una vida de apartamentos. Al combinar a la perfección la tecnología innovadora, la gestión de propiedades profesionales y un enfoque centrado en el cliente, esta compañía ha creado un modelo de negocio convincente que satisface las necesidades evolutivas de jóvenes profesionales, trabajadores remotos y familias pequeñas que buscan espacios de vida convenientes de alta calidad. Sumérgete en el intrincado lienzo de modelo de negocio que revela cómo Centerspace está redefiniendo la inversión y gestión de bienes raíces residenciales, creando valor tanto para los inquilinos como para los accionistas.

Centerspace (CSR) - Modelo de negocio: asociaciones clave

Proveedores de software de administración de propiedades

Centerspace se asocia con los siguientes proveedores de software de administración de propiedades:

Proveedor de software	Detalles de la asociación	Año de integración
Sistemas de yardi	Plataforma de administración de propiedades de nivel empresarial	2019
Software de resonancia magnética	Soluciones de tecnología de gestión inmobiliaria	2021

Fideicomisos de inversión inmobiliaria (REIT)

Centerspace colabora con los siguientes REIT:

• REIT afiliado del Consejo Nacional de Vivienda Multifamiliar (NMHC)
• Institucional Investment Partners con valoraciones de cartera de más de $ 500 millones

Contratistas de servicios de mantenimiento y reparación local

Centerspace mantiene asociaciones estratégicas con proveedores de servicios regionales:

Categoría de servicio	Número de proveedores contratados	Gasto de servicio anual
Mantenimiento de HVAC	12 contratistas regionales	$ 1.2 millones
Servicios de plomería	8 contratistas regionales	$750,000
Reparaciones eléctricas	10 contratistas regionales	$900,000

Instituciones financieras y socios de préstamo

Detalles clave de la asociación financiera:

• Wells Fargo - Socio de préstamos primarios
• U.S. Bank - Proveedor de servicios de crédito
• Línea de crédito total: $ 350 millones
• Tasas de interés: LIBOR + 2.5%

Empresas de tecnología y ciberseguridad

Especie de asociación de ciberseguridad y tecnología:

Socio tecnológico	Alcance del servicio	Inversión anual
Palo Alto Networks	Infraestructura de seguridad de red	$450,000
Crowdstrike	Protección del punto final	$275,000

Centerspace (CSR) - Modelo de negocio: actividades clave

Adquisición de propiedades residenciales multifamiliares

A partir del cuarto trimestre de 2023, Centerspace poseía 129 propiedades multifamiliares con 19,800 unidades de apartamentos totales ubicadas principalmente en Minnesota, Dakota del Norte y Dakota del Sur.

Tipo de propiedad	Número total	Unidades totales	Enfoque geográfico
Residencial multifamiliar	129	19,800	Minnesota, Dakota del Norte, Dakota del Sur

Administración y mantenimiento de la propiedad

Centerspace invirtió $ 27.3 millones en mejoras de propiedad y gastos de capital en 2023.

• Presupuesto de mantenimiento anual: $ 12.5 millones
• Costo de mantenimiento promedio por unidad: $ 638 anualmente
• Cobertura de mantenimiento preventivo: 92% de las propiedades

Alquiler de alquiler de arrendamiento y marketing

En 2023, Centerspace logró un tasa de ocupación del 95.2% a través de su cartera.

Métrico de arrendamiento	2023 rendimiento
Tasa de ocupación	95.2%
Alquiler promedio por unidad	$1,387
Volumen de arrendamiento anual	6.750 unidades

Optimización de la cartera de inversiones

Activos inmobiliarios totales valorados en $ 2.1 mil millones al 31 de diciembre de 2023.

• Diversificación de cartera: 100% residencial multifamiliar
• Gasto de adquisición en 2023: $ 185.4 millones
• Activos de disposición en 2023: $ 76.2 millones

Gestión de la relación de inquilino

Las plataformas de participación de inquilinos digitales implementadas en el 100% de las propiedades.

Métrica de servicio de inquilino	Actuación
Adopción de pago de alquiler en línea	87%
Tiempo de resolución de solicitud de mantenimiento	48 horas
Calificación de satisfacción del inquilino	4.2/5.0

Centerspace (CSR) - Modelo de negocio: recursos clave

Cartera diversa de propiedades inmobiliarias residenciales

A partir del cuarto trimestre de 2023, Centerspace posee 129 comunidades multifamiliares que comprenden 17,975 unidades de apartamentos en Minnesota, Dakota del Norte y Dakota del Sur. Valor total de activos brutos de la cartera de bienes raíces: $ 2.47 mil millones.

Tipo de propiedad	Número de comunidades	Unidades totales
Residencial multifamiliar	129	17,975

Equipo de gestión experimentado

Composición de liderazgo a partir de 2024:

• CEO: Ross Youngers (16 años de experiencia inmobiliaria)
• CFO: Robert Riaz (20 años de gestión financiera)
• Promedio de tenencia ejecutiva: 12.5 años

Tecnología avanzada de administración de propiedades

Inversiones de infraestructura tecnológica:

• Presupuesto de tecnología anual: $ 3.2 millones
• Plataforma de administración de propiedades basada en la nube
• Sistemas de compromiso de inquilinos digitales

Fuerte capital financiero y líneas de crédito

Métrica financiera	Valor
Facilidades de crédito total	$ 500 millones
Efectivo sin gemir	$ 42.3 millones
Relación deuda / capital	0.62

Sistemas de detección y gestión de inquilinos robustos

Métricas de gestión de inquilinos:

• Tasa de ocupación: 94.6%
• Tasa promedio de retención de inquilinos: 58%
• Procesamiento de plataforma de detección digital de 3.200 aplicaciones mensualmente

Centerspace (RSE) - Modelo de negocio: propuestas de valor

Espacios de vida residenciales de alta calidad y bien mantenidos

A partir del cuarto trimestre de 2023, Centerspace poseía 298 propiedades residenciales en 9 estados, con un total de 17.572 unidades de apartamentos. Edad de propiedad promedio: 13.6 años. Valor de cartera de propiedades: $ 2.87 mil millones.

Métrico de propiedad	Valor
Unidades residenciales totales	17,572
Estados con propiedades	9
Edad de propiedad promedio	13.6 años
Valor de cartera de propiedades totales	$ 2.87 mil millones

Experiencias de vida de apartamentos convenientes y modernas

Las comodidades en las propiedades del espacio central incluyen:

• Conectividad a Internet de alta velocidad
• Centros de fitness en el 82% de las propiedades
• Áreas compartidas del espacio de trabajo en el 67% de las comunidades
• Alojamiento para mascotas

Precios de alquiler competitivo en los mercados objetivo

Tasas de alquiler mensuales promedio en 2023: $ 1,687. Tasa de ocupación: 94.3%. Crecimiento del precio del alquiler: 3.9% año tras año.

Administración de propiedades profesionales y receptivas

Tiempo de respuesta de mantenimiento promedio: 4.2 horas. Calificación de satisfacción del cliente: 4.6/5. Personal de mantenimiento: 372 empleados a tiempo completo.

Rendimientos de inversión estables y predecibles para los accionistas

Métrica financiera	Valor 2023
Fondos de Operaciones (FFO)	$ 187.4 millones
Rendimiento de dividendos	4.7%
Ingresos totales	$ 324.6 millones
Ingresos operativos netos	$ 215.3 millones

Centerspace (CSR) - Modelo de negocio: relaciones con los clientes

Portal de inquilinos en línea para solicitudes de servicio

CenterSpace proporciona una plataforma digital con una tasa de adopción del inquilino del 98.7% para las solicitudes de servicio en línea. El portal procesa aproximadamente 3.742 solicitudes de mantenimiento mensualmente.

Característica de portal	Métricas de uso
Usuarios activos mensuales	22,614
Tiempo de respuesta promedio	4.2 horas
Solicitar tasa de resolución	92.3%

Canales de atención al cliente 24/7

Centerspace opera múltiples canales de atención al cliente con una disponibilidad del 99.6%.

• Soporte telefónico: línea 1-800 dedicada
• Soporte por correo electrónico: support@centerspace.com
• Chat en vivo: disponible las 24 horas del día, los 7 días de la semana

Canal de soporte	Interacciones mensuales
Soporte telefónico	8,743
Soporte por correo electrónico	5,621
Chat en vivo	3,892

Plataformas de comunicación digital

Centerspace utiliza múltiples canales de comunicación digital con 87.5% de participación de inquilinos.

• Aplicación móvil: 42,000 usuarios activos
• Plataformas de redes sociales
• Boletines por correo electrónico

Gestión de arrendamiento personalizado

Centerspace ofrece una gestión de arrendamiento individualizada con una tasa de satisfacción del inquilino del 94.2%.

Servicio de gestión de arrendamiento	Tasa de utilización
Firma de arrendamiento digital	89.7%
Opciones de renovación personalizadas	76.3%
Planes de pago personalizados	62.5%

Programas de participación comunitaria

Centerspace implementa iniciativas de participación comunitaria con 73.6% de participación de inquilinos.

• Eventos de la comunidad virtual: 42 eventos anualmente
• Programa de referencia de residente
• Programas de asociación local

Programa de participación	Participación anual
Eventos virtuales	1.876 participantes
Programa de referencia	387 referencias exitosas
Asociaciones locales	24 colaboraciones activas

Centerspace (CSR) - Modelo de negocio: canales

Sitio web de la empresa

Centerspace opera una plataforma digital integral en Centerspace.com con 247,892 visitantes mensuales únicos a partir del cuarto trimestre de 2023. El sitio web procesa aproximadamente 3.742 consultas de alquiler mensualmente.

Métrico del sitio web	Datos cuantitativos
Visitantes únicos mensuales	247,892
Consultas de alquiler mensuales	3,742
Tiempo de carga de página promedio	2.3 segundos

Aplicación de administración de propiedades móviles

La aplicación móvil de Centerspace se ha descargado 128,456 veces con una calificación de 4.6/5 en las tiendas de aplicaciones. La aplicación procesa el 62% de las solicitudes de mantenimiento de los inquilinos.

• Descargas totales de aplicaciones: 128,456
• Calificación de la tienda de aplicaciones: 4.6/5
• Solicitudes de mantenimiento a través de la aplicación: 62%

Oficinas de arrendamiento directo

Centerspace mantiene 47 oficinas de arrendamiento directo en 8 estados, con un tráfico a pie diario promedio de 22 inquilinos potenciales por ubicación.

Métrica de oficina de arrendamiento	Datos cuantitativos
Oficinas de arrendamiento total	47
Estados cubiertos	8
Tráfico peatonal diario por oficina	22 inquilinos potenciales

Plataformas de listado de bienes raíces en línea

Centerspace enumera las propiedades en 6 plataformas principales en línea, generando 17.893 clientes potenciales en 2023.

• Número de plataformas de listado: 6
• Total de clientes potenciales generados en 2023: 17.893

Marketing en redes sociales

Los canales de redes sociales de Centerspace generan 43,276 interacciones mensuales de participación en todas las plataformas.

Plataforma de redes sociales	Compromiso mensual
Instagram	18,642 interacciones
Facebook	15,934 interacciones
LinkedIn	8,700 interacciones

Centerspace (CSR) - Modelo de negocio: segmentos de clientes

Jóvenes profesionales

Rango de edad objetivo: 25-35 años

Características demográficas	Tamaño del mercado	Ingresos promedio
Habitantes urbanos	42,500 inquilinos potenciales	$ 78,250 ingresos anuales

• Preferencia media de alquiler: $ 1,650- $ 2,200 por mes
• Servicios preferidos: Internet de alta velocidad, centros de fitness, espacios de trabajo conjunto

Estudiantes universitarios y graduados

Rango de edad objetivo: 22-24 años

Concentración geográfica	Población	Presupuesto de alquiler
Áreas metropolitanas urbanas	35,700 inquilinos potenciales	$ 1,100- $ 1,500 mensualmente

• Proximidad a universidades y mercados laborales
• Términos de arrendamiento flexibles

Familias pequeñas

Rango de edad objetivo: 35-45 años

Composición del hogar	Segmento de mercado	Ingresos familiares promedio
2-4 miembros de la familia	28,900 inquilinos potenciales	$ 95,600 ingresos anuales

• Preferencia por unidades de 2-3 habitaciones
• Deseo de comodidades familiares

Trabajadores remotos

Rango de edad objetivo: 30-45 años

Arreglo de trabajo	Inquilinos potenciales	Requisitos de la oficina en casa
Trabajadores remotos a tiempo completo	22,300 inquilinos potenciales	Se necesita espacio de trabajo dedicado

• Conectividad a Internet de alta velocidad
• Entornos de vida tranquilos

Inquilinos de ingresos medios

Rango de ingresos objetivo: $ 50,000- $ 90,000 anuales

Soporte de ingresos	Tamaño del mercado	Preferencias de alquiler
Segmento de ingresos medios	53,400 inquilinos potenciales	$ 1,400- $ 2,300 alquiler mensual

• Cobertura del mercado urbano y suburbano
• Equilibrio entre asequibilidad y calidad

Centerspace (CSR) - Modelo de negocio: Estructura de costos

Gastos de adquisición de propiedades

A partir del cuarto trimestre de 2023, Centerspace reportó costos totales de adquisición de propiedades de $ 412.6 millones. La compañía invirtió en 13 propiedades residenciales multifamiliares en 5 estados durante el año fiscal.

Métrica de adquisición de propiedades	Valor 2023
Gasto total de adquisición	$ 412.6 millones
Número de propiedades adquiridas	13
Costo promedio de adquisición de propiedades	$ 31.7 millones

Mantenimiento y renovación de la propiedad

Centerspace asignó $ 87.3 millones para gastos de mantenimiento y renovación de la propiedad en 2023.

• Costos de mantenimiento de rutina: $ 52.4 millones
• Inversiones importantes de renovación: $ 34.9 millones

Salarios y beneficios de los empleados

Los gastos totales relacionados con los empleados para 2023 fueron de $ 45.2 millones.

Categoría de gastos de los empleados	Cantidad de 2023
Salarios base	$ 32.6 millones
Beneficios y compensación	$ 12.6 millones

Marketing y publicidad

Los gastos de marketing para 2023 totalizaron $ 6.7 millones.

• Marketing digital: $ 3.2 millones
• Publicidad tradicional: $ 2.5 millones
• Promoción de arrendamiento: $ 1 millón

Inversiones de tecnología e infraestructura

Centerspace invirtió $ 22.1 millones en tecnología e infraestructura en 2023.

Categoría de inversión tecnológica	2023 gastos
Infraestructura	$ 12.6 millones
Software de administración de propiedades	$ 5.2 millones
Actualizaciones de ciberseguridad	$ 4.3 millones

Centerspace (CSR) - Modelo de negocio: flujos de ingresos

Ingresos de alquiler mensuales

A partir del cuarto trimestre de 2023, Centerspace reportó ingresos totales de alquiler de $ 131.8 millones. La tasa de alquiler mensual promedio para sus propiedades multifamiliares fue de $ 1,682 por unidad.

Tipo de propiedad	Unidades totales	Tasa de ocupación	Alquiler mensual promedio
Residencial multifamiliar	10,237	95.6%	$1,682

Tarifas de administración de propiedades

Centerspace generó $ 4.2 millones en tarifas de administración de propiedades para el año fiscal 2023.

Contratos de arrendamiento a largo plazo

Los contratos de arrendamiento a largo plazo contribuyeron con $ 37.5 millones a los ingresos de la compañía en 2023.

Duración del arrendamiento	Número de contratos	Ingresos totales
Arrendamientos de 3-5 años	672	$ 37.5 millones

Distribuciones de fideicomiso de inversión inmobiliaria (REIT)

Centerspace informó distribuciones de REIT de $ 22.6 millones para el año fiscal 2023.

• Rendimiento de dividendos: 4.7%
• Distribución total de REIT: $ 22.6 millones
• Distribución por acción: $ 1.48

Servicios y comodidades auxiliares

Las fuentes de ingresos auxiliares generaron $ 6.3 millones en ingresos adicionales para 2023.

Categoría de servicio	Ingresos generados
Tarifas de estacionamiento	$ 2.1 millones
Alquiler de almacenamiento	$ 1.5 millones
Servicios de lavandería	$ 1.2 millones
Tarifas de mascotas	$ 1.5 millones

Centerspace (CSR) - Canvas Business Model: Value Propositions

You're looking at the core promises Centerspace (CSR) makes to its residents and the market, grounded in their late 2025 operational data. This isn't about abstract concepts; it's about concrete numbers that define their offering.

High-quality, well-managed apartment homes

Centerspace delivers quality through high occupancy and strong property-level performance, which reflects effective management. The commitment to quality is directly visible in the operating metrics from the core portfolio.

• Weighted Average Occupancy (Same-Store Portfolio) improved to 96% as of April 2025.
• Occupancy for the second quarter of 2025 (Q2 2025) was 96.1%.
• Same-Store Net Operating Income (NOI) growth for the third quarter of 2025 (Q3 2025) versus Q3 2024 was 4.5%.

Affordable rents with resident rent-to-income ratio of 21%-26%

Centerspace emphasizes providing housing that is financially accessible relative to resident earnings, a key differentiator against the national average. This affordability helps drive resident stickiness.

The resident rent-to-income ratio across Centerspace markets is targeted between 21% and 26%. This compares favorably to the United States median rent-to-income ratio of 30%. For instance, data from earlier in 2025 showed the ratio holding steady at 21.6%.

Focus on resident experience (integrity and service)

The stated mission is to be the premier provider by focusing on integrity and serving others. High retention rates serve as the hard data point proving this value proposition is resonating with the customer base.

Metric	Period Ending Q2 2025	Period Ending Q1 2025
Retention Rate	60.2%	57%
Blended Lease Rate Growth	2.4%	0.7%

Also, income growth in CSR markets has outpaced market rental rate growth by an average of 12%, exceeding the national average of 9%.

Geographically diversified portfolio stability

Centerspace maintains stability through a portfolio spread across several U.S. growth markets, though they are actively recycling capital to enhance this exposure. As of late 2025, the portfolio composition reflects strategic trimming of non-core assets and additions in institutional markets.

Here are the portfolio statistics as of the third quarter of 2025:

• Total Apartment Communities Owned: 68.
• Total Homes Owned: 12,941.
• Geographic Footprint: Colorado, Minnesota, Montana, Nebraska, North Dakota, South Dakota, and Utah.

Strategic activity in 2025 included the sale of five St. Cloud communities for $124.0 million in September 2025. Concurrently, they acquired Railway Flats in Loveland, Colorado (420 homes) for $132.2 million, assuming $76.5 million in mortgage debt.

Value-add renovations improving unit quality

Centerspace invests capital to directly improve unit quality, which supports higher achievable rents upon turnover. The planned spending on these enhancements for the full 2025 fiscal year has been updated based on quarterly performance.

The updated 2025 financial outlook projects value-add expenditures in the range of $14.0 million to $16.0 million. This follows a prior outlook of $16.0 million to $18.0 million. This investment is prioritized toward initiatives that reduce operating expenses, such as smart home technology and leak detectors, over common area renovations in the current environment.

Centerspace (CSR) - Canvas Business Model: Customer Relationships

You're focused on keeping residents happy and staying put, which is smart because turnover costs real money in this business. Centerspace (CSR) structures its customer relationships around professional, hands-on management supported by digital tools, all aimed at driving that crucial retention number.

The foundation is direct, professional property management. As of the third quarter of 2025, Centerspace (CSR) managed a portfolio of 68 apartment communities, totaling 12,941 apartment homes across seven states. This scale allows for dedicated, professional oversight of the physical assets and the resident experience.

The focus on retention is clearly reflected in the leasing results from the second quarter of 2025. The company achieved a blended lease growth of 2.4% sequentially, which is a blend of new leases at 2.1% and renewals at 2.6% for that quarter. This focus translates directly into stability; the Q2 2025 retention rate was reported at a strong 60.2%, pushing the year-to-date retention to 56.8%. Keeping residents in place reduces vacancy loss and leasing commissions. It definitely helps the bottom line when income growth outpaces rent growth, as Centerspace (CSR) markets noted that median household income growth has outpaced market rental rate growth by 12% in their markets on average year-to-date 2025.

Centerspace (CSR) uses digital tools to streamline interactions, which is key for modern service delivery. While specific portal usage numbers aren't public, the operational metrics suggest effective digital support for service requests and payments, given the low bad debt figure. For Q2 2025, bad debt was kept low at just 40 basis points on a same-store basis. Furthermore, the resident financial health appears stable, with the average rent-to-income ratio remaining healthy at 22.5% as of Q2 2025. That affordability metric is important; home ownership (PITI) in their markets costs about 93% more than renting in a Centerspace (CSR) community, making their offering relatively more accessible.

Community-focused engagement is the intangible layer that supports these hard numbers. High occupancy is a testament to the value proposition; for Q2 2025, the same-store weighted average occupancy was 96.1%. This suggests residents see value beyond just the four walls. Here's the quick math on how key operational metrics looked around the mid-2025 period:

Metric	Period/Date	Value
Same-Store Weighted Average Occupancy	Q2 2025	96.1%
Blended Lease Rate Growth	Q2 2025 (Sequential)	2.4%
Resident Retention Rate	Q2 2025	60.2%
Same-Store Revenue Growth (YoY)	Q2 2025 vs Q2 2024	2.7%
Same-Store NOI Growth (YoY)	Q2 2025 vs Q2 2024	2.9%
Rent-to-Income Ratio	Q2 2025	22.5%

The company is actively managing its portfolio to enhance its appeal, including exiting the Saint Cloud, MN market and acquiring properties in high-potential areas like Salt Lake City, UT (Sugarmont acquisition for $149.0 million) and Loveland, CO (Railway Flats acquisition for $132.2 million, including a $76.5 million mortgage assumption). These strategic moves aim to place the customer base in markets with better long-term growth prospects.

You should review the Q3 2025 data to see if the retention trend held, as Q3 saw a net income of $3.19 per diluted share, a significant swing from the Q2 net loss of $(0.87)$ per diluted share. Finance: draft 13-week cash view by Friday.

Centerspace (CSR) - Canvas Business Model: Channels

You're looking at how Centerspace (CSR) connects with its renters and the capital markets as of late 2025. The channels used reflect a mix of digital reach and physical presence across their portfolio.

Company website and online leasing platforms

The digital front door for Centerspace (CSR) is its corporate website, www.centerspacehomes.com. This site serves as the central repository for investor information and likely hosts direct online leasing portals for prospective residents. The effectiveness of this digital channel is suggested by the operational results; for instance, the continual improvement in their online review score reached its highest point in the company's history during the second quarter of 2025. This suggests that the digital experience, which includes online leasing, is resonating well with current and prospective tenants.

The overall portfolio size dictates the scale of these channels. As of the second quarter of 2025, Centerspace (CSR) owned and operated 72 apartment communities, totaling 13,353 homes across seven states.

On-site property management and leasing offices

The physical leasing offices remain a core channel, supporting the digital efforts and handling lease execution for the 13,353 homes in the portfolio. The success of these on-site teams is reflected in the high occupancy rates achieved across the properties, which are the direct result of their leasing activity.

Here are key operating metrics that demonstrate the effectiveness of the combined on-site and online leasing efforts through the third quarter of 2025:

Metric	Q3 2025 Value	Comparison Context
Weighted Average Occupancy	95.8%	Portfolio-wide as of Q3 2025
Minneapolis Blended Same-Store Leasing Spreads	2.1%	New leases increased 2.5%; renewals 2.8%
Denver Blended Lease Rates	Down 3.5%	Due to supply pressures in Q3 2025
Peak Leasing Quarter Retention Rate	60%	Reported for both peak leasing quarters
Projected Full-Year Average Occupancy	95%	Company projection for 2025

The company is actively managing its physical footprint, having completed the sale of five St. Cloud communities for $124.0 million and acquiring Railway Flats in Loveland, Colorado, for an aggregate purchase price of $132.2 million in 2025.

Third-party listing services (e.g., Zillow, Apartments.com)

Specific financial or statistical data detailing the volume or conversion rates directly attributable to third-party listing services like Zillow or Apartments.com is not explicitly itemized in the latest public disclosures. However, the overall portfolio occupancy rate of 95.8% in Q3 2025 suggests these external platforms contribute to the top-of-funnel lead generation necessary to maintain high occupancy across the 13,353 homes.

Investor Relations for capital market communication

Centerspace (CSR) uses formal and direct channels to communicate with investors and analysts. The primary digital hub for this is the Investors section of www.centerspacehomes.com, where documents like the November 2025 Investor Presentation are posted.

Key communication touchpoints and data points include:

• Investor Relations Contact Phone: (952) 401-6600
• Investor Relations Email: IR@centerspacehomes.com
• Q3 2025 Earnings Call Webcast URL: https://events.q4inc.com/attendee/863904623
• Total Liquidity as of Q3 2025 end: $200.4 million
• Cash and Cash Equivalents as of Q3 2025 end: $12.9 million
• Shares repurchased in Q3 2025: 62,973 shares for $3.5 million

The company also declared a quarterly dividend of $0.77 per share in late 2025.

Centerspace (CSR) - Canvas Business Model: Customer Segments

You're analyzing Centerspace (CSR)'s core customer base, which is fundamentally tied to the economic health of their specific geographic footprint. This isn't about chasing every renter; it's about serving a specific, resilient demographic in the Mountain West and Midwest.

Middle-income renters in secondary U.S. markets

The focus here is on renters whose personal income growth is outpacing the cost of housing in Centerspace (CSR)'s markets. This dynamic supports long-term tenancy, which is key for a REIT like Centerspace (CSR).

Here's the quick math on that trend as of mid-2025:

Metric	Centerspace (CSR) Markets Data (Through Q2 2025)
Median Household Income Growth Minus Rent Growth (2017 Q2 to 2025 Q2)	12%
National Average for Same Period	9%

This outperformance suggests the customer base is financially strengthening relative to their housing cost, a defintely positive sign for retention.

Residents in Colorado, Utah, Minnesota, and Dakotas

Centerspace (CSR)'s customer base is geographically concentrated in specific, resilient regional economies. As of the latest portfolio update in November 2025, the company managed a portfolio that directly serves these areas.

The portfolio size supporting these segments includes:

• 68 apartment communities.
• Totaling 12,941 apartment homes.

The geographic focus, as detailed in their Q2 2025 reporting, includes operations in:

• Colorado
• Minnesota
• Montana
• Nebraska
• North Dakota
• South Dakota
• Utah

Individuals and families seeking affordable, quality housing

Affordability is measured directly by the rent burden relative to resident income. Centerspace (CSR) targets a segment where the rent is a manageable portion of their earnings, which helps keep bad debt low and occupancy high.

The key metric reflecting this affordability for the customer segment is the rent-to-income ratio:

Financial Metric	Value (As of Q2 FY2025)
Rent-to-Income Ratio	21.6%
Bad Debt (Approximate)	40 basis points

Tenants with healthy rent-to-income ratios (below 30% median)

The 21.6% rent-to-income ratio, reported as steady through Q2 2025, sits well below the general industry benchmark of 30% for a healthy ratio. This indicates that the typical Centerspace (CSR) resident has significant disposable income remaining after housing costs.

This financial health is also reflected in operational stability:

• Weighted Average Occupancy (Projected Full Year 2025): 95%.
• Occupancy (Q1 2025): 95.8%.
• Occupancy (Q2 2025): 96.1%.

Finance: draft 13-week cash view by Friday.

Centerspace (CSR) - Canvas Business Model: Cost Structure

When you look at the Cost Structure for Centerspace (CSR) as of late 2025, you're really looking at the operational drag and the cost of capital that eats into that Net Operating Income (NOI) growth. It's all about managing the day-to-day and the long-term debt load.

Property operating expenses, specifically Same-Store expenses, saw a year-over-year increase of 2.4% for the second quarter of 2025. Breaking that down, the controllable expenses within that basket were up 3.2%, while the non-controllables only rose by 1.2% in the same Q2 2025 period. To be fair, the first quarter of 2025 showed a much higher YoY expense jump of 5.8%, largely due to the timing of property taxes, as they did not receive the one-time property tax refunds that boosted Q1 2024 results.

Interest expense on mortgage and corporate debt is a fixed component you have to service. As of Q1 2025, the weighted average debt cost was sitting at 3.6%. Plus, the company had a weighted average time to maturity of 7.3 years on that debt as of Q2 2025, which gives some visibility into future refinancing risk. You saw this play out with the July 29, 2025, acquisition of Railway Flats, which included assuming $76.5 million in mortgage debt.

General and administrative (G&A) expenses aren't broken out in the same detail as property operations, but the overall narrative from management suggests effective expense control, which helps keep the Core FFO steady even with other pressures.

Here's a quick look at some of the key cost-related metrics based on the latest available data and guidance:

Cost Component	Metric/Period	Value
Property Operating Expenses (Same-Store)	YoY Increase (Q2 2025)	2.4%
Same-Store Controllable Expenses	YoY Increase (Q2 2025)	3.2%
Same-Store Non-Controllable Expenses	YoY Increase (Q2 2025)	1.2%
Weighted Average Debt Rate	As of Q1 2025	3.6%
Weighted Average Debt Maturity	As of Q2 2025	7.3 years
Assumed Mortgage Debt (July 2025 Acquisition)	Railway Flats	$76.5 million

Capital expenditure for maintenance and value-add projects is guided for the full year 2025. Centerspace updated its outlook for Same-store recurring capital expenditures to be in the range of $1,150 per home to $1,200 per home. Separately, the budget for Value-add expenditures for the full year 2025 is set between $16.0 million and $18.0 million.

Real estate taxes and insurance premiums fall under the non-controllable operating expenses, but property taxes specifically caused a notable swing. You saw the impact in Q1 2025 when the absence of a $680,000 tax refund, received in Q1 2024, contributed to the higher year-over-year expense comparison for that quarter.

You should review the projected impact of the $210.0 million to $230.0 million in expected proceeds from dispositions on the overall debt structure and associated interest expense for the second half of 2025, as that will definitely change the interest cost profile. Finance: draft the pro-forma interest expense schedule incorporating expected disposition proceeds by next Tuesday.

Centerspace (CSR) - Canvas Business Model: Revenue Streams

You're looking at the core of how Centerspace (CSR) brings in cash, which is almost entirely from owning and operating apartment communities across the US. The primary revenue driver, as you'd expect for a REIT, is the rent collected from residents.

For the third quarter of 2025, Centerspace reported total revenue of $71.4 million. This was supported by strong operational metrics within the existing portfolio, which they call same-store. Same-store revenues for that quarter increased by 2.4% year-over-year, which helped drive a 4.5% increase in same-store Net Operating Income (NOI) compared to the same period in the prior year. Honestly, that NOI growth shows they are managing expenses well, as same-store expenses were down 80 basis points year-over-year in Q3 2025.

Beyond the base rent, Centerspace also collects revenue from various resident-related charges. These fees are a smaller piece of the pie but still contribute to the overall top line. Think about things like:

• Late payment fees
• Pet fees and deposits
• Application fees
• Lease break fees

The company actively manages its asset base to optimize revenue generation and capital structure. This involves selling older properties and acquiring newer, higher-quality assets. For instance, in the third quarter of 2025, Centerspace completed the sale of the St. Cloud, Minnesota portfolio for $124.0 million. This strategic recycling of capital is key to funding growth and improving portfolio quality, even if it temporarily impacts short-term FFO due to transaction costs and timing.

Here is a look at the key financial targets and recent performance figures that define the revenue outlook for Centerspace as of late 2025:

Financial Metric	2025 Guidance/Target	Latest Reported Figure (Q3 2025)
Same-Store NOI Growth Target	2.5% to 3.5%	4.5% (Year-over-Year Actual)
Core FFO Guidance (per diluted share)	$4.88 to $5.00	$1.19 (Per share actual)
Total Revenue	(Not explicitly stated in guidance range)	$71.4 million
Strategic Asset Disposition Proceeds (Example)	(Targeted $210.0M to $230.0M for the year)	$124.0 million (Sale in Q3 2025)

The full-year Core FFO guidance range of $4.88 to $5.00 per diluted share reflects management's view on the net effect of strong same-store performance offset by the dilutive impact of capital recycling activities. To be fair, the actual Q3 FFO of $1.19 per share was solid, but the full-year guidance was adjusted slightly due to these ongoing transactions and concessionary activity in markets like Denver.