Centerspace (CSR): Canvas du modèle commercial [Jan-2025 Mis à jour]

Dans le paysage dynamique de l'immobilier résidentiel, Centerspace (RSE) émerge comme une puissance stratégique, transformant la façon dont les habitants urbains et suburbains vivent une vie d'appartement. En mélangeant parfaitement une technologie innovante, une gestion immobilière professionnelle et une approche centrée sur le client, cette entreprise a conçu un modèle commercial convaincant qui répond aux besoins en évolution des jeunes professionnels, des travailleurs à distance et des petites familles à la recherche d'espaces de vie pratiques de haute qualité. Plongez dans la toile du modèle commercial complexe qui révèle comment Centerspace redéfinit l'investissement et la gestion de l'immobilier résidentiel, créant de la valeur pour les locataires et les actionnaires.

Centerspace (RSE) - Modèle d'entreprise: partenariats clés

Fournisseurs de logiciels de gestion immobilière

Centerspace s'associe aux fournisseurs de logiciels de gestion immobilière suivants:

Fournisseur de logiciels	Détails du partenariat	Année d'intégration
Systèmes Yardi	Plateforme de gestion immobilière au niveau de l'entreprise	2019
Logiciel IRM	Solutions de technologie de gestion immobilière	2021

Trusts de placement immobilier (FPI)

Centerspace collabore avec les FPI suivants:

• FPI affiliée du Conseil national du logement multifamily (NMHC)
• L'investissement institutionnel s'associe à 500 millions de dollars + évaluations du portefeuille

Entrepreneurs locaux d'entretien et de réparation

Centerspace maintient des partenariats stratégiques avec les prestataires de services régionaux:

Catégorie de service	Nombre de fournisseurs contractuels	Dépenses de service annuelles
Entretien du CVC	12 entrepreneurs régionaux	1,2 million de dollars
Services de plomberie	8 entrepreneurs régionaux	$750,000
Réparations électriques	10 entrepreneurs régionaux	$900,000

Institutions financières et partenaires de prêt

Détails clés du partenariat financier:

• Wells Fargo - partenaire de prêt principal
• Banque américaine - fournisseur de facilité de crédit
• Ligne de crédit totale: 350 millions de dollars
• Taux d'intérêt: LIBOR + 2,5%

Entreprises de technologie et de cybersécurité

Cybersecurity and Technology Partnership Spécifiques:

Partenaire technologique	Portée du service	Investissement annuel
Réseaux palo alto	Infrastructure de sécurité du réseau	$450,000
Cowsterrike	Protection des points de terminaison	$275,000

Centerspace (RSE) - Modèle d'entreprise: activités clés

Acquisition de propriétés résidentielles multifamiliales

Au quatrième trimestre 2023, Centerspace possédait 129 propriétés multifamiliales avec 19 800 unités d'appartements totales principalement situées au Minnesota, au Dakota du Nord et au Dakota du Sud.

Type de propriété	Nombre total	Total des unités	Focus géographique
Résidentiel multifamilial	129	19,800	Minnesota, Dakota du Nord, Dakota du Sud

Gestion et maintenance immobilières

Centerspace a investi 27,3 millions de dollars dans l'amélioration des biens et les dépenses en capital en 2023.

• Budget de maintenance annuel: 12,5 millions de dollars
• Coût de maintenance moyen par unité: 638 $ par an
• Couverture de maintenance préventive: 92% des propriétés

Location locative location et marketing

En 2023, Centerspace a réalisé un taux d'occupation de 95,2% à travers son portefeuille.

Métrique de location	Performance de 2023
Taux d'occupation	95.2%
Loyer moyen par unité	$1,387
Volume de location annuel	6 750 unités

Optimisation du portefeuille d'investissement

Les actifs immobiliers totaux évalués à 2,1 milliards de dollars au 31 décembre 2023.

• Diversification du portefeuille: 100% résidentiel multifamilial
• Dépenses d'acquisition en 2023: 185,4 millions de dollars
• La disposition se produit en 2023: 76,2 millions de dollars

Gestion des relations des locataires

Les plateformes d'engagement des locataires numériques ont été mises en œuvre sur 100% des propriétés.

Métrique du service des locataires	Performance
Adoption du paiement en ligne du loyer	87%
Temps de résolution de la demande de maintenance	48 heures
Cote de satisfaction des locataires	4.2/5.0

Centerspace (RSE) - Modèle d'entreprise: Ressources clés

Portefeuille diversifié de propriétés immobilières résidentielles

Au quatrième trimestre 2023, Centerspace possède 129 communautés multifamiliales comprenant 17 975 unités d'appartements à travers le Minnesota, le Dakota du Nord et le Dakota du Sud. Valeur totale de l'actif brut du portefeuille immobilier: 2,47 milliards de dollars.

Type de propriété	Nombre de communautés	Total des unités
Résidentiel multifamilial	129	17,975

Équipe de gestion expérimentée

Composition du leadership à partir de 2024:

• PDG: Ross Youngrs (16 ans d'expérience immobilière)
• CFO: Robert Riaz (20 ans de gestion financière)
• Pureur exécutif moyen: 12,5 ans

Technologie avancée de gestion immobilière

Investissements infrastructures technologiques:

• Budget technologique annuel: 3,2 millions de dollars
• Plateforme de gestion immobilière basée sur le cloud
• Systèmes d'engagement des locataires numériques

Fer solides lignes de capital financier et de crédit

Métrique financière	Valeur
Facilités de crédit total	500 millions de dollars
Argent sans encombre	42,3 millions de dollars
Ratio dette / fonds propres	0.62

Systèmes de dépistage et de gestion des locataires robustes

Métriques de gestion des locataires:

• Taux d'occupation: 94,6%
• Taux de rétention moyen des locataires: 58%
• Plateforme de dépistage numérique Traitement 3 200 applications mensuelles

Centerspace (RSE) - Modèle d'entreprise: propositions de valeur

Espaces de vie résidentiels de haute qualité et bien entretenus

Au quatrième trimestre 2023, Centerspace possédait 298 propriétés résidentielles dans 9 États, totalisant 17 572 appartements. Âge de la propriété moyenne: 13,6 ans. Valeur du portefeuille de propriétés: 2,87 milliards de dollars.

Métrique immobilière	Valeur
Unités résidentielles totales	17,572
États à propriété	9
Âge de la propriété moyenne	13,6 ans
Valeur totale du portefeuille de propriétés	2,87 milliards de dollars

Expériences de vie d'appartements pratiques et modernes

Les commodités des propriétés du centre de l'espace comprennent:

• Connectivité Internet à grande vitesse
• Centres de fitness dans 82% des propriétés
• Zones d'espace de travail partagé dans 67% des communautés
• Hébergement pour animaux de compagnie

Prix ​​de location compétitif sur les marchés cibles

Taux de location mensuels moyens en 2023: 1 687 $. Taux d'occupation: 94,3%. Croissance des prix de location: 3,9% en glissement annuel.

Gestion professionnelle professionnelle et réactive

Temps de réponse de maintenance moyen: 4,2 heures. Évaluation de satisfaction du client: 4.6 / 5. Personnel de maintenance: 372 employés à temps plein.

Rendements d'investissement stables et prévisibles pour les actionnaires

Métrique financière	Valeur 2023
Fonds des opérations (FFO)	187,4 millions de dollars
Rendement des dividendes	4.7%
Revenus totaux	324,6 millions de dollars
Bénéfice d'exploitation net	215,3 millions de dollars

Centerspace (RSE) - Modèle d'entreprise: relations avec les clients

Portail de locataire en ligne pour les demandes de service

Centerspace fournit une plate-forme numérique avec un taux d'adoption des locataires de 98,7% pour les demandes de service en ligne. Le portail traite environ 3 742 demandes de maintenance mensuellement.

Caractéristique du portail	Métriques d'utilisation
Utilisateurs actifs mensuels	22,614
Temps de réponse moyen	4,2 heures
Demande le taux de résolution	92.3%

Canaux de support client 24/7

Centerspace exploite plusieurs canaux de support client avec une disponibilité de 99,6%.

• Prise en charge du téléphone: 1-800 ligne dédiée
• Assistance par e-mail: support@centerspace.com
• Chat en direct: disponible 24/7

Canal de support	Interactions mensuelles
Support téléphonique	8,743
Assistance par e-mail	5,621
Chat en direct	3,892

Plateformes de communication numérique

Centerspace utilise plusieurs canaux de communication numériques avec un engagement de 87,5% des locataires.

• Application mobile: 42 000 utilisateurs actifs
• Plateformes de médias sociaux
• Envoyez des newsletters

Gestion des baux personnalisés

Centerspace propose une gestion des baux individualisées avec un taux de satisfaction des locataires de 94,2%.

Service de gestion des baux	Taux d'utilisation
Signature de bail numérique	89.7%
Options de renouvellement personnalisées	76.3%
Plans de paiement personnalisés	62.5%

Programmes d'engagement communautaire

Centerspace met en œuvre des initiatives d'engagement communautaire avec une participation de 73,6% des locataires.

• Événements communautaires virtuels: 42 événements par an
• Programme de référence résident
• Programmes de partenariat local

Programme d'engagement	Participation annuelle
Événements virtuels	1 876 participants
Programme de référence	387 références réussies
Partenariats locaux	24 collaborations actives

Centerspace (RSE) - Modèle d'entreprise: canaux

Site Web de l'entreprise

Centerspace exploite une plate-forme numérique complète sur Centerspace.com avec 247 892 visiteurs mensuels uniques au quatrième trimestre 2023. Le site Web traite environ 3 742 demandes de location mensuellement.

Métrique du site Web	Données quantitatives
Visiteurs uniques mensuels	247,892
Demandes de location mensuelles	3,742
Temps de chargement de page moyen	2,3 secondes

Application de gestion de la propriété mobile

L'application mobile de Centerspace a été téléchargée 128 456 fois avec une cote de 4,6 / 5 sur les magasins d'applications. L'application traite 62% des demandes de maintenance des locataires.

• Total des téléchargements d'applications: 128 456
• Évaluation de l'App Store: 4.6 / 5
• Demandes de maintenance via l'application: 62%

Bureaux de location directe

Centerspace maintient 47 bureaux de location directe dans 8 États, avec un trafic piétonnier quotidien moyen de 22 locataires potentiels par emplacement.

Métrique de bureau de location	Données quantitatives
Bureaux de location totale	47
États couverts	8
Trafficage à pied quotidien par bureau	22 locataires potentiels

Plateformes d'inscription immobilière en ligne

Centerspace répertorie les propriétés sur 6 principales plateformes en ligne, générant 17 893 prospects en 2023.

• Nombre de plates-formes d'inscription: 6
• Total des pistes générées en 2023: 17 893

Marketing des médias sociaux

Les réseaux sociaux de Centerspace génèrent 43 276 interactions mensuelles d'engagement sur toutes les plateformes.

Plateforme de médias sociaux	Engagement mensuel
Instagram	18 642 interactions
Facebook	15 934 interactions
Liendin	8 700 interactions

Centerspace (RSE) - Modèle d'entreprise: segments de clientèle

Jeunes professionnels

Tranche d'âge cible: 25 à 35 ans

Caractéristiques démographiques	Taille du marché	Revenu moyen
Habitants urbains	42 500 locataires potentiels	78 250 $ Revenu annuel

• Préférence de loyer médiane: 1 650 $ - 2 200 $ par mois
• Amérités préférées: Internet haut débit, centres de fitness, espaces de co-travail

Étudiants et diplômés du collège

Tranche d'âge cible: 22-24 ans

Concentration géographique	Population	Budget de location
Zones métropolitaines urbaines	35 700 locataires potentiels	1 100 $ - 1 500 $ par mois

• Proximité avec les universités et les marchés du travail
• Conditions de location flexibles

Petites familles

Tranche d'âge cible: 35 à 45 ans

Composition des ménages	Segment de marché	Revenu moyen des ménages
2-4 membres de la famille	28 900 locataires potentiels	Revenu annuel de 95 600 $

• Préférence pour 2-3 unités de chambre
• Désir de commodités familiales

Travailleurs à distance

Action d'âge cible: 30 à 45 ans

Disposition du travail	Locataires potentiels	Exigences du bureau à domicile
Travailleurs à distance à temps plein	22 300 locataires potentiels	Espace de travail dédié nécessaire

• Connectivité Internet à grande vitesse
• Environnements de vie tranquilles

Locataires à revenu moyen

Gamme de revenus cible: 50 000 $ à 90 000 $ par an

Tranche de revenu	Taille du marché	Préférences de location
Segment à revenu moyen	53 400 locataires potentiels	1 400 $ - 2 300 $

• Couverture du marché urbain et suburbain
• Équilibre entre l'accessibilité et la qualité

Centerspace (RSE) - Modèle d'entreprise: Structure des coûts

Frais d'acquisition de biens

Au quatrième trimestre 2023, Centerspace a déclaré que le total des coûts d'acquisition de propriétés de 412,6 millions de dollars. La société a investi dans 13 propriétés résidentielles multifamiliales dans 5 États au cours de l'exercice.

Métrique d'acquisition de biens	Valeur 2023
Dépenses d'acquisition totales	412,6 millions de dollars
Nombre de propriétés acquises	13
Coût moyen d'acquisition de propriétés	31,7 millions de dollars

Entretien et rénovation des biens

L'espace central a alloué 87,3 millions de dollars pour les frais de maintenance et de rénovation des biens en 2023.

• Coûts de maintenance de routine: 52,4 millions de dollars
• Investissements de rénovation majeure: 34,9 millions de dollars

Salaires et avantages sociaux des employés

Les dépenses totales liées aux employés pour 2023 étaient de 45,2 millions de dollars.

Catégorie de dépenses des employés	2023 Montant
Salaires de base	32,6 millions de dollars
Avantages et compensation	12,6 millions de dollars

Marketing et publicité

Les dépenses de marketing pour 2023 ont totalisé 6,7 millions de dollars.

• Marketing numérique: 3,2 millions de dollars
• Publicité traditionnelle: 2,5 millions de dollars
• Promotion de location: 1 million de dollars

Investissements technologiques et infrastructures

Centerspace a investi 22,1 millions de dollars dans la technologie et les infrastructures en 2023.

Catégorie d'investissement technologique	2023 dépenses
Infrastructure informatique	12,6 millions de dollars
Logiciel de gestion immobilière	5,2 millions de dollars
Mises à niveau de la cybersécurité	4,3 millions de dollars

Centerspace (RSE) - Modèle d'entreprise: Strots de revenus

Revenus de location mensuels

Au quatrième trimestre 2023, Centerspace a déclaré un chiffre d'affaires de location total de 131,8 millions de dollars. Le taux de location mensuel moyen pour leurs propriétés multifamiliales était de 1 682 $ par unité.

Type de propriété	Total des unités	Taux d'occupation	Loyer mensuel moyen
Résidentiel multifamilial	10,237	95.6%	$1,682

Frais de gestion immobilière

Centerspace a généré 4,2 millions de dollars de frais de gestion immobilière pour l'exercice 2023.

Accords de location à long terme

Les accords de location à long terme ont contribué 37,5 millions de dollars aux revenus de la société en 2023.

Durée de location	Nombre de contrats	Revenus totaux
Baux de 3 à 5 ans	672	37,5 millions de dollars

Distributions de la fiducie de placement immobilier (REIT)

Centerspace a déclaré des distributions de RPA de 22,6 millions de dollars pour l'exercice 2023.

• Rendement des dividendes: 4,7%
• Distribution totale du FPI: 22,6 millions de dollars
• Distribution par action: 1,48 $

Services auxiliaires et commodités

Les sources de revenus auxiliaires ont généré 6,3 millions de dollars de revenus supplémentaires pour 2023.

Catégorie de service	Revenus générés
Frais de stationnement	2,1 millions de dollars
Location de stockage	1,5 million de dollars
Services de blanchisserie	1,2 million de dollars
Frais d'animaux	1,5 million de dollars

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.