Peakstone Realty Trust Q3 FY2024 earnings call

• Successfully amended and extended credit facility, extending debt maturities and lowering borrowing costs. • Achieved positive leasing activity: Industrial segment extended a 10-year 121,000 sq ft lease in Auburn Hills, MI with 41% GAAP and 20% cash re-leasing spread. Other segment executed a two-year 27,000 sq ft new lease in Las Vegas, NV with 75% GAAP and 71% cash re-leasing spread. • Sold 4 properties totaling ~$40M, eliminated 2024 lease expirations in Office segment. • Nearly completed disposition of Other segment assets, with remaining properties held for sale aiming to close by year-end. • Fully exited Office joint venture, no gain or loss on transaction. • Cash balance ~$242M, total liquidity ~$399M, net debt ~$941M, net debt to normalized EBITDAre ratio 6.2 times.

Industrial segment: WALT of 6.3 years, 100% economic occupancy, 58% investment-grade tenancy, potential 24% mark-to-market opportunity. Office segment: WALT of 7.2 years, 99% economic occupancy, 60% investment-grade tenancy, minimal near-term rollover (4% of ABR expiring through 2026). Other segment: Accounts for approx 10% of portfolio ABR and 8% of portfolio NOI. Sold 4 properties totaling 338,000 square feet for ~$40M in Q3, including 3 from Other segment ($32.2M) and 1 from Office segment ($7.6M).

• Board of Trustees approved $0.225 per common share dividend for Q4, payable Jan 17 to record holders Dec 31. • Optimistic about industrial real estate market tailwinds persisting. • Positioned to capitalize on industrial expansion opportunities, with sustainable capital structure and ample liquidity.

• Forward-looking statements subject to numerous known and unknown risks, uncertainties, assumptions, and changes in circumstances that may cause actual results to differ significantly. • Risks include those in most recent annual report on Form 10-K and subsequent quarterly reports on Form 10-Q filed with the SEC.

Q: Could you characterize hurdles to industrial expansion and how re-leasing spreads are playing out?

A: We've reached deleveraging marker, created positive cash flow, office sales performance has been good. Cap rates moderated, cost of debt capital is fixed. Looking to lean into industrial despite minor supply headwinds. Re-leasing spreads in industrial were strong, with a 10-year lease extension in Auburn Hills, MI having significant rent escalations increase.

Q: Further question on re-leasing spreads and escalators?

A: Portfolio is strong in occupancy and low rollover, pleased with achieved spreads. The 10-year lease in Auburn Hills had escalators go from 1.75% to 3%, a dramatic increase.