Equity Commonwealth (EQC) Q4 2024 earnings summary

Executive summary

• Completed sale of all real estate assets, including 1225 17th Street Plaza in Denver for $132.5 million gross, $124.4 million net after credits, on February 25, 2025.

• Since 2014, disposed of 168 properties and three land parcels totaling 45.8 million sq ft for $7.2 billion, plus $704.8 million in Select Income REIT shares.

• Shareholders approved the plan of sale with 99% of votes cast and 85.5% of outstanding shares in favor; initial liquidating distribution of $19 per share paid in December.

• Retired $3.4 billion of debt and preferred shares, repurchased $652 million of common shares, and paid $3.8 billion in distributions.

• Updated estimated aggregate shareholder liquidating distribution range to $20.55–$20.70 per common share, up from prior $20.00–$21.00.

Financial highlights

• Net assets in liquidation as of December 31, 2024, are approximately $179 million, with $178.6 million attributable to common shareholders.

• Total assets: $293.6 million; total liabilities: $114.8 million as of December 31, 2024.

• Adopted liquidation basis of accounting as of November 1, 2024, reflecting estimated future revenues and expenses.

• Initial cash liquidating distribution of $19.00 per common share paid on December 6, 2024.

Outlook and guidance

• Final distribution anticipated in mid-April; no further distributions expected from the liquidating trust.

• Common shares to be delisted from NYSE before final distribution; shares to convert to beneficial interest units in a Maryland liquidating trust.

• Company expects to deregister with the SEC after transfer to the trust and to qualify as a REIT until then.

• Future distributions depend on final wind-down costs and realization of projected cash flows.