Clipper Realty (CLPR) investor relations material

Executive summary

• Residential properties achieved near-full occupancy and record-high rents, with new leases in Q4 exceeding prior rents by nearly 13%.

• Residential leasing remained strong, driving a 9.5% year-over-year increase in residential revenue for Q4 2025.

• Commercial revenue declined due to the NYC lease termination at 250 Livingston Street and lender settlement costs at 141 Livingston Street.

• Net loss widened to $11.3 million in Q4 2025 from $1.1 million in Q4 2024, reflecting higher expenses and one-time items.

• Dividend of $0.095 per share declared for Q4, unchanged from prior quarter.

Financial highlights

• Q4 2025 revenues were $37.1 million, down from $38.0 million in Q4 2024, mainly due to the NYC lease termination and property sale.

• Residential revenue: $30.9 million (up $2.7 million, or 9.5% year-over-year); commercial revenue: $6.2 million (down $3.6 million year-over-year).

• Net operating income (NOI): $20.7 million, down from $22.6 million year-over-year.

• Adjusted funds from operations (AFFO): $1.7 million ($0.04/share), down $6.4 million year-over-year.

• Net loss: $11.3 million ($0.30/share) vs. $1.1 million ($0.05/share) in Q4 2024.

Outlook and guidance

• Strong residential demand and constrained NYC housing supply expected to support continued rent growth.

• Prospect House expected to improve results as leasing stabilizes in 2026.

• Management anticipates full lease-up of Prospect Park and resolution of 250 Livingston Street issues.

• Ongoing negotiations with lenders for office properties.