dea-ex992

We make statements in this Supplemental Information Package that are considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and are including this statement in this Supplemental Information Package for purposes of complying with those safe harbor provisions. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation: risks associated with our dependence on the U.S. Government and its agencies for substantially all of our revenues; risks associated with ownership and development of real estate; the risk of decreased rental rates or increased vacancy rates; loss of key personnel; general volatility of the capital and credit markets and the market price of our common stock; the risk we may lose one or more major tenants; difficulties in completing and successfully integrating acquisitions; failure of acquisitions or development projects to occur at anticipated levels or to yield anticipated results; risks associated with actual or threatened terrorist attacks; intense competition in the real estate market that may limit our ability to attract or retain tenants or re-lease space; insufficient amounts of insurance or exposure to events that are either uninsured or underinsured; uncertainties and risks related to adverse weather conditions, natural disasters and climate change; exposure to liability relating to environmental and health and safety matters; limited ability to dispose of assets because of the relative illiquidity of real estate investments and the nature of our assets; exposure to litigation or other claims; risks associated with breaches of our data security; risks associated with our indebtedness; and other risks and uncertainties detailed in the “Risk Factors” section of our Form 10-K for the year ended December 31, 2018, filed with the Securities and Exchange Commission, or the SEC, on February 28, 2019 and the factors included under the heading “Risk Factors” in our other public filings. In addition, our qualification as a real estate investment trust involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, or the Code, and depends on our ability to meet the various requirements imposed by the Code through actual operating results, distribution levels and diversity of stock ownership. We assume no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

Ratings are not recommendations to buy, sell or hold the Company’s securities.

The following discussion related to the consolidated financial statements of the Company should be read in conjunction with the financial statements for the quarter ended September 30, 2019 that will be released on Form 10-Q to be filed on or about November 6, 2019.

This section contains definitions of certain non-GAAP financial measures and other terms that the Company uses in this Supplemental Information Package and, where applicable, the reasons why management believes these non-GAAP financial measures provide useful information to investors about the Company’s financial condition and results of operations and the other purposes for which management uses the measures. These measures should not be considered in isolation or as a substitute for measures of performance in accordance with GAAP. Additional detail can be found in the Company’s most recent quarterly report on Form 10-Q and the Company’s most recent annual report on Form 10-K, as well as other documents filed with or furnished to the SEC from time to time.

Annualized lease income is defined as the annualized contractual base rent for the last month in a specified period, plus the annualized straight-line rent adjustments for the last month in such period and the annualized net expense reimbursements earned by us for the last month in such period.

Cash Available for Distribution (CAD) is a non-GAAP financial measure that is not intended to represent cash flow for the period and is not indicative of cash flow provided by operating activities as determined under GAAP. CAD is calculated in accordance with the current Nareit definition as FFO minus normalized recurring real estate-related expenditures and other non-cash items and nonrecurring expenditures. CAD is presented solely as a supplemental disclosure because the Company believes it provides useful information regarding the Company’s ability to fund its dividends. Because all companies do not calculate CAD the same way, the presentation of CAD may not be comparable to similarly titled measures of other companies.

Cash fixed charge coverage ratio is calculated as EBITDA divided by the sum of principal amortization and interest expense, excluding amortization of premiums / discounts and deferred financing fees, for the most recent quarter.

Cash interest coverage ratio is calculated as EBITDA divided by interest expense, excluding amortization of premiums / discounts and deferred financing fees, for the most recent quarter.

EBITDA is calculated as the sum of net income (loss) before interest expense, taxes, depreciation and amortization. EBITDA is not intended to represent cash flow for the period, is not presented as an alternative to operating income as an indicator of operating performance, should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP, is not indicative of operating income or cash provided by operating activities as determined under GAAP and may be presented on a pro forma basis. EBITDA is presented solely as a supplemental disclosure with respect to liquidity because the Company believes it provides useful information regarding the Company's ability to service or incur debt. Because all companies do not calculate EBITDA the same way, the presentation of EBITDA may not be comparable to similarly titled measures of other companies.

Fully diluted basis assumes the exchange of all outstanding common units representing limited partnership interests in the Company’s operating partnership, or common units, the full vesting of all shares of restricted stock, and the exchange of all earned and vested LTIP units in the Company’s operating partnership for shares of common stock on a one-for-one basis, which is not the same as the meaning of “fully diluted” under GAAP.

Funds From Operations (FFO) is defined, in accordance with the Nareit FFO White Paper - 2018 Restatement, as net income (loss), calculated in accordance with GAAP, excluding depreciation and amortization related to real estate, gains and losses from the sale of certain real estate assets, gains and losses from change in control and impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. FFO is a widely recognized measure of REIT performance. Although FFO is a non-GAAP financial measure, the Company believes that information regarding FFO is helpful to shareholders and potential investors.

Funds From Operations, as Adjusted (FFO, as Adjusted) adjusts FFO to present an alternative measure of our operating performance, which, when applicable, excludes the impact of acquisition costs, straight-line rent, amortization of above-/below-market leases, amortization of deferred revenue (which results from landlord assets funded by tenants), non-cash interest expense, non-cash compensation and other non-cash items. By excluding these income and expense items from FFO, as Adjusted, the Company believes it provides useful information as these items have no cash impact. In addition, by excluding acquisition

related costs the Company believes FFO, as Adjusted provides useful information that is comparable across periods and more accurately reflects the operating performance of the Company’s properties. Certain prior year amounts have been updated to conform to the current year FFO, as Adjusted definition.

Net Operating Income (NOI) and Cash NOI. NOI is calculated as net income plus depreciation and amortization, acquisition costs, corporate general and administrative costs, interest expense and gains or losses from sales of property. Cash NOI excludes from NOI straight-line rent, amortization of above-/below-market leases, and amortization of deferred revenue (which results from landlord assets funded by tenants). NOI and Cash NOI presented by the Company may not be comparable to NOI and Cash NOI reported by other REITs that define NOI and Cash NOI differently. The Company believes that NOI and Cash NOI provide investors with useful measures of the operating performance of our properties. NOI and Cash NOI should not be considered an alternative to net income as an indication of our performance or to cash flows as a measure of the Company's liquidity or its ability to make distributions. Certain prior year amounts have been updated to conform to the current year Cash NOI definition.

Net Debt and Adjusted Net Debt. Net Debt represents consolidated debt (reported in accordance with GAAP) adjusted to exclude unamortized premiums and discounts and deferred financing fees, less cash and cash equivalents. By excluding these items, the result provides an estimate of the contractual amount of borrowed capital to be repaid, net of cash available to repay it. The Company believes this calculation constitutes a beneficial supplemental non-GAAP financial disclosure to investors in understanding its financial condition. Adjusted Net Debt is Net Debt reduced by 1) the lesser of i) anticipated lump-sum reimbursement amounts and ii) the cost to date for each project under construction and 2) 40% times the amount by which the cost to date exceeds anticipated lump-sum reimbursement amounts for each project under construction. These adjustments are made to 1) remove the estimated portion of each project under construction that has been financed with debt which may be repaid with anticipated cost reimbursement payments from the US Government and 2) remove the estimated portion of each project under construction, in excess of anticipated lump-sum reimbursements, that has been financed with debt but has not yet produced earnings. See page 19 for further information. The Company’s method of calculating Net Debt and Adjusted Net Debt may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITS.

Any opinions, estimates, forecasts or predictions regarding Easterly Government Properties, Inc.’s performance made by these analysts are theirs alone and do not represent opinions, estimates, forecasts or predictions of Easterly Government Properties, Inc. or its management. Easterly Government Properties, Inc. does not by its reference above or distribution imply its endorsement of or concurrence with such opinions, estimates, forecasts or predictions.


Price of Common Shares	Three months ended September 30, 2019			Earnings	Three months ended September 30, 2019		Three months ended September 30, 2018
High closing price during period	$	21.30		Net income available to Easterly Government Properties, Inc.	$	549	$	2,155
Low closing price during period	$	18.09		Net income available to Easterly Government Properties, Inc.
End of period closing price	$	21.30		per share:
				Basic	$	0.01	$	0.03
Outstanding Classes of Stock and				Diluted	$	0.01	$	0.03
Partnership Units - Fully Diluted Basis	At September 30, 2019
Common shares		73,247,479		Net income	$	603	$	2,482
Unvested restricted shares		92,197		Net income, per share - fully diluted basis	$	0.01	$	0.04
Common partnership and vested LTIP units		9,620,569
Total - fully diluted basis		82,960,245		Funds From Operations (FFO)	$	23,902	$	18,591
				FFO, per share - fully diluted basis	$	0.29	$	0.27

Market Capitalization	At September 30, 2019			Funds From Operations, as Adjusted	$	23,662	$	16,461
Total equity market capitalization - fully diluted basis	$	1,767,053		FFO, as Adjusted, per share - fully diluted basis	$	0.29	$	0.24
Net Debt		843,209
Total enterprise value	$	2,610,262		Cash Available for Distribution (CAD)	$	20,724	$	13,801

Ratios	At September 30, 2019			Liquidity			At September 30, 2019
Net debt to total enterprise value		32.3	%	Cash and cash equivalents			$	65,407
Net debt to annualized quarterly EBITDA		6.5	x
Adjusted Net Debt to annualized quarterly pro forma EBITDA		6.0	x	Available under $450 million unsecured revolving credit facility⁽¹⁾			$	450,000
Cash interest coverage ratio		4.0	x
Cash fixed charge coverage ratio		3.6	x

⁽¹⁾Revolving credit facility has an accordion feature that provides additional capacity, subject to the satisfaction of customary terms and conditions, of up to $250 million, for a total revolving credit facility size of not more than $700 million.

	September 30, 2019			December 31, 2018
Assets
Real estate properties, net	$	1,923,371		$	1,626,617
Cash and cash equivalents		65,407			6,854
Restricted cash		4,200			4,251
Deposits on acquisitions		750			7,070
Rents receivable		25,662			21,140
Accounts receivable		15,794			11,690
Deferred financing, net		1,926			2,459
Intangible assets, net		172,076			165,668
Interest rate swaps		-			4,563
Prepaid expenses and other assets		14,514			11,238
Total assets	$	2,223,700		$	1,861,550

Liabilities
Revolving credit facility		-			134,750
Term loan facilities, net		248,511			248,238
Notes payable, net		446,868			173,778
Mortgage notes payable, net		207,144			209,589
Intangible liabilities, net		26,455			30,835
Deferred revenue		55,381			3,066
Interest rate swaps		7,232			1,797
Accounts payable and accrued liabilities		48,372			34,244
Total liabilities		1,039,963			836,297

Equity
Common stock, par value $0.01, 200,000,000 shares authorized,
73,339,676 and 60,849,206 shares issued and outstanding at September 30, 2019 and December 31, 2018, respectively.		733			608
Additional paid-in capital		1,225,029			1,017,415
Retained earnings		18,572			12,831
Cumulative dividends		(191,477	)		(139,103	)
Accumulated other comprehensive income (loss)		(6,393	)		2,412
Total stockholders' equity		1,046,464			894,163
Non-controlling interest in Operating Partnership		137,273			131,090
Total equity		1,183,737			1,025,253
Total liabilities and equity	$	2,223,700		$	1,861,550

	Three Months Ended						Nine Months Ended
	September 30, 2019			September 30, 2018			September 30, 2019			September 30, 2018
Revenues
Rental income	$	53,382		$	38,136		$	152,383		$	108,255
Tenant reimbursements		3,369			1,169			6,608			3,370
Other income		838			132			1,954			758
Total revenues		57,589			39,437			160,945			112,383

Expenses
Property operating		13,408			7,780			34,305			21,563
Real estate taxes		6,008			4,228			17,228			11,773
Depreciation and amortization		23,299			16,109			68,717			45,331
Acquisition costs		519			300			1,441			1,023
Corporate general and administrative		5,298			3,614			14,282			10,696
Total expenses		48,532			32,031			135,973			90,386

Other income (expenses)
Interest expense, net		(8,454	)		(4,924	)		(24,604	)		(15,981	)
Gain on sale of operating property		-			-			6,245			-
Net income		603			2,482			6,613			6,016

Non-controlling interest in Operating Partnership		(54	)		(327	)		(838	)		(902	)
Net income available to Easterly Government
Properties, Inc.	$	549		$	2,155		$	5,775		$	5,114

Net income available to Easterly Government
Properties, Inc. per share:
Basic	$	0.01		$	0.03		$	0.08		$	0.08
Diluted	$	0.01		$	0.03		$	0.08		$	0.08

Weighted-average common shares outstanding:
Basic		71,444,448			60,446,199			67,010,162			51,051,388
Diluted		71,828,991			61,978,998			67,332,670			52,600,858

Net income, per share - fully diluted basis	$	0.01		$	0.04		$	0.09		$	0.10

Weighted average common shares outstanding -
fully diluted basis		81,337,275			69,498,135			76,837,357			60,088,521


	Three Months Ended						Nine Months Ended
	September 30, 2019			September 30, 2018			September 30, 2019			September 30, 2018

Net income	$	603		$	2,482		$	6,613		$	6,016
Depreciation and amortization		23,299			16,109			68,717			45,331
Acquisition costs		519			300			1,441			1,023
Corporate general and administrative		5,298			3,614			14,282			10,696
Interest expense		8,454			4,924			24,604			15,981
Gain on sale of operating property		-			-			(6,245	)		-
Net Operating Income		38,173			27,429			109,412			79,047
Adjustments to Net Operating Income:
Straight-line rent		(99	)		(1,174	)		(1,649	)		(4,238	)
Amortization of above-/below-market leases		(1,517	)		(2,219	)		(4,761	)		(6,737	)
Amortization of deferred revenue		(176	)		(46	)		(310	)		(124	)
Cash Net Operating Income	$	36,381		$	23,990		$	102,692		$	67,948

	Three Months Ended						Nine Months Ended
	September 30, 2019			September 30, 2018			September 30, 2019			September 30, 2018
Net income	$	603		$	2,482		$	6,613		$	6,016
Depreciation and amortization		23,299			16,109			68,717			45,331
Interest expense		8,454			4,924			24,604			15,981
Tax expense		173			58			426			265
Gain on sale of operating property		-			-			(6,245	)		-
EBITDA	$	32,529		$	23,573		$	94,115		$	67,593

Pro forma adjustments⁽¹⁾		1,426
Pro forma EBITDA	$	33,955

Net income	$	603		$	2,482		$	6,613		$	6,016
Depreciation and amortization		23,299			16,109			68,717			45,331
Gain on sale of operating property		-			-			(6,245	)		-
Funds From Operations (FFO)	$	23,902		$	18,591		$	69,085		$	51,347
Adjustments to FFO:
Acquisition costs		519			300			1,441			1,023
Straight-line rent and other non-cash adjustments		(110	)		(1,209	)		(1,676	)		(4,256	)
Amortization of above-/below-market leases		(1,517	)		(2,219	)		(4,761	)		(6,737	)
Amortization of deferred revenue		(176	)		(46	)		(310	)		(124	)
Non-cash interest expense		330			313			975			876
Non-cash compensation		714			731			2,145			2,307
Funds From Operations, as Adjusted	$	23,662		$	16,461		$	66,899		$	44,436


FFO, per share - fully diluted basis	$	0.29		$	0.27		$	0.90		$	0.85
FFO, as Adjusted, per share - fully diluted basis	$	0.29		$	0.24		$	0.87		$	0.74

Funds From Operations, as Adjusted	$	23,662		$	16,461		$	66,899		$	44,436
Acquisition costs		(519	)		(300	)		(1,441	)		(1,023	)
Principal amortization		(852	)		(803	)		(2,530	)		(2,363	)
Maintenance capital expenditures		(814	)		(877	)		(3,054	)		(2,352	)
Contractual tenant improvements		(753	)		(680	)		(941	)		(1,231	)
Cash Available for Distribution (CAD)	$	20,724		$	13,801		$	58,933		$	37,467

Weighted average common shares outstanding -
fully diluted basis		81,337,275			69,498,135			76,837,357			60,088,521

⁽¹⁾Pro forma assuming a full quarter of operations from the two properties acquired or placed in service in the third quarter of 2019.

Debt Instrument	Maturity Date			September 30, 2019 Interest Rate	September 30, 2019 Balance⁽¹⁾		September 30, 2019 Percent of Total Indebtedness
Unsecured debt
Revolving credit facility	18-Jun-22⁽²⁾			LIBOR + 140bps	$	-	0.0%
2018 term loan facility	19-Jun-23			4.06%⁽³⁾		150,000	16.5%
2016 term loan facility	29-Mar-24			2.77%⁽⁴⁾		100,000	11.0%
Series A 4.05% notes due 2027	25-May-27			4.05%		95,000	10.5%
Series B 4.15% notes due 2029	25-May-29			4.15%		50,000	5.5%
Series C 4.30% notes due 2032	25-May-32			4.30%		30,000	3.3%
Series A 3.73% notes due 2029	12-Sep-29			3.73%		85,000	9.4%
Series B 3.83% notes due 2031	12-Sep-31			3.83%		100,000	11.0%
Series C 3.98% notes due 2034	12-Sep-34			3.98%		90,000	9.9%
	8.6 years			3.81%	$	700,000	77.1%
Total unsecured debt	(wtd-avg maturity)			(wtd-avg rate)

Secured mortgage debt
VA - Loma Linda	6-Jul-27			3.59%	$	127,500	14.0%
ICE - Charleston	15-Jan-27			4.21%		17,729	2.0%
USFS II - Albuquerque	14-Jul-26			4.46%		16,338	1.8%
DEA - Pleasanton	18-Oct-23			LIBOR + 150bps		15,700	1.7%
CBP - Savannah	10-Jul-33			3.40%		12,942	1.4%
MEPCOM - Jacksonville	14-Oct-25			4.41%		9,186	1.0%
VA - Golden	1-Apr-24			5.00%		9,221	1.0%
	7.5 years			3.80%	$	208,616	22.9%
Total secured mortgage debt	(wtd-avg maturity)			(wtd-avg rate)


Debt Statistics	September 30, 2019						September 30, 2019
Variable rate debt - unhedged	$	15,700		% Variable rate debt - unhedged				1.7	%
Fixed rate debt		892,916		% Fixed rate debt				98.3	%
Total Debt⁽¹⁾	$	908,616
Less: cash and cash equivalents		(65,407	)	Weighted average maturity			8.3 years
Net Debt	$	843,209		Weighted average interest rate				3.8	%
Less: adjustment for projects under construction⁽⁵⁾		(25,495	)
Adjusted Net Debt	$	817,714

⁽²⁾Revolving credit facility has two six-month as-of-right extension options, subject to certain conditions and the payment of an extension fee.

⁽³⁾Calculated based on four interest rate swaps with an aggregate notional value of $150.0 million, which effectively fix the interest rate at 4.06% annually based on the Company’s current leverage ratio.

⁽⁴⁾Calculated based on two interest rate swaps with an aggregate notional value of $100.0 million, which effectively fix the interest rate at 2.77% annually based on the Company’s current leverage ratio.

	Secured Debt				Unsecured Debt
Year	Scheduled Amortization		Scheduled Maturities		Scheduled Maturities		Total		Percentage of Debt Maturing			Weighted Average Interest Rate of Scheduled Maturities
2019	$	862	-		-		$	862		0.1	%	-
2020		3,564	-		-			3,564		0.4	%	-
2021		4,233	-		-			4,233		0.5	%	-
2022		5,297	-			-		5,297		0.6	%	-
2023		5,585		15,700		150,000		171,285		18.9	%		4.02	%
2024		5,730		8,395		100,000		114,125		12.6	%		2.96	%
2025		5,633		1,917	-			7,550		0.8	%		4.41	%
2026		3,686		6,368	-			10,054		1.1	%		4.46	%
2027		1,093		134,640		95,000		230,733		25.3	%		3.82	%
2028		983	-		-			983		0.1	%	-
2029		1,016	-			135,000		136,016		15.0	%		3.89	%
2030		1,049	-		-			1,049		0.1	%	-
2031		1,081	-			100,000		101,081		11.1	%		3.83	%
2032		1,116	-			30,000		31,116		3.4	%		4.30	%
2033		668	-		-			668		0.1	%	-
2034		-	-			90,000		90,000		9.9	%		3.98	%
Total	$	41,596	$	167,020	$	700,000	$	908,616		100.0	%

Property Name	Location	Property Type	Tenant Lease Expiration Year	Year Built / Renovated	Rentable Square Feet		Annualized Lease Income		Percentage of Total Annualized Lease Income			Annualized Lease Income per Leased Square Foot

U.S. Government Leased Properties
VA - Loma Linda	Loma Linda, CA	Outpatient Clinic	2036	2016		327,614	$	16,111,542		7.5	%	$	49.18
Various GSA - Buffalo	Buffalo, NY	Office	2019 - 2025	2004		267,766		8,414,455		4.0	%		31.42
JSC - Suffolk	Suffolk, VA	Office	2028	1993 / 2004		403,737		8,106,829		3.8	%		20.08
Various GSA - Portland	Portland, OR	Office	2020 - 2025	2002		223,261		6,868,163		3.3	%		31.07
FBI - Salt Lake	Salt Lake City, UT	Office	2032	2012		169,542		6,801,432		3.2	%		40.12
IRS - Fresno	Fresno, CA	Office	2033	2003		180,481		6,770,052		3.2	%		37.51
PTO - Arlington	Arlington, VA	Office	2035	2009		190,546		6,521,081		3.1	%		34.22
Various GSA - Chicago	Des Plaines, IL	Office	2020 / 2022	1971 / 1999		232,759		6,434,294		3.0	%		28.70
VA - San Jose	San Jose, CA	Outpatient Clinic	2038	2018		90,085		5,767,065		2.7	%		64.02
EPA - Lenexa	Lenexa, KS	Office	2027	2007 / 2012		169,585		5,498,307		2.6	%		32.42
FBI - San Antonio	San Antonio, TX	Office	2021	2007		148,584		5,159,501		2.4	%		34.72
FEMA - Tracy	Tracy, CA	Warehouse	2038	2018		210,373		4,607,609		2.2	%		21.90
FBI - Omaha	Omaha, NE	Office	2024	2009		112,196		4,467,047		2.1	%		39.81
TREAS - Parkersburg	Parkersburg, WV	Office	2021	2004 / 2006		182,500		4,416,549		2.1	%		24.20
FDA - Alameda	Alameda, CA	Laboratory	2039	2019		69,624		4,286,185		2.0	%		61.56
EPA - Kansas City	Kansas City, KS	Laboratory	2023	2003		71,979		4,213,094		2.0	%		58.53
VA - South Bend	Mishakawa, IN	Outpatient Clinic	2032	2017		86,363		3,975,368		1.9	%		46.03
ICE - Charleston	North Charleston, SC	Office	2021 / 2027	1994 / 2012		86,733		3,814,323		1.8	%		43.98
FBI - Pittsburgh	Pittsburgh, PA	Office	2027	2001		100,054		3,618,787		1.7	%		36.17
DOT - Lakewood	Lakewood, CO	Office	2024	2004		122,225		3,493,720		1.7	%		28.58
FBI - New Orleans	New Orleans, LA	Office	2029	1999 / 2006		137,679		3,472,512		1.6	%		25.22
USCIS - Lincoln	Lincoln, NE	Office	2020	2005		137,671		3,358,313		1.6	%		24.39
FBI - Birmingham	Birmingham, AL	Office	2020	2005		96,278		3,358,246		1.6	%		34.88
JUD - El Centro	El Centro, CA	Courthouse/Office	2034	2004		43,345		3,036,785		1.4	%		70.06
USFS II - Albuquerque	Albuquerque, NM	Office	2026	2011		98,720		3,009,129		1.4	%		30.48
OSHA - Sandy	Sandy, UT	Laboratory	2024	2003		75,000		3,004,875		1.4	%		40.07
FDA - College Park	College Park, MD	Laboratory	2029	2004		80,677		2,980,334		1.4	%		36.94
USFS I - Albuquerque	Albuquerque, NM	Office	2021	2006		92,455		2,877,379		1.4	%		31.12
DEA - Vista	Vista, CA	Laboratory	2020	2002		54,119		2,798,970		1.3	%		51.72
SSA - Charleston	Charleston, WV	Office	2024	1959 / 2000		110,000		2,784,822		1.3	%		25.32
ICE - Albuquerque	Albuquerque, NM	Office	2027	2011		71,100		2,757,942		1.3	%		38.79
FBI - Richmond	Richmond, VA	Office	2041	2001		96,607		2,755,886		1.3	%		28.53
JUD - Del Rio	Del Rio, TX	Courthouse/Office	2024	1992 / 2004		89,880		2,707,330		1.3	%		30.12
DEA - Pleasanton	Pleasanton, CA	Laboratory	2035	2015		42,480		2,679,599		1.3	%		63.08
DEA - Dallas Lab	Dallas, TX	Laboratory	2021	2001		49,723		2,433,565		1.2	%		48.94
TREAS - Birmingham	Birmingham, AL	Office	2029	2014		83,676		2,429,274		1.1	%		29.03
DEA - Sterling	Sterling, VA	Laboratory	2020	2001		49,692		2,403,449		1.1	%		48.37
DEA - Upper Marlboro	Upper Marlboro, MD	Laboratory	2022	2002		50,978		2,289,287		1.1	%		44.91
FBI - Little Rock	Little Rock, AR	Office	2021	2001		101,977		2,246,497		1.1	%		22.03

Property Name	Location	Property Type	Tenant Lease Expiration Year	Year Built / Renovated	Rentable Square Feet		Annualized Lease Income		Percentage of Total Annualized Lease Income			Annualized Lease Income per Leased Square Foot

U.S. Government Leased Properties (Cont.)
MEPCOM - Jacksonville	Jacksonville, FL	Office	2025	2010		30,000		2,189,904		1.0	%		73.00
CBP - Savannah	Savannah, GA	Laboratory	2033	2013		35,000		2,153,784		1.0	%		61.54
FBI - Albany	Albany, NY	Office	2019	1998		98,184		2,113,623		1.0	%		21.53
DOE - Lakewood	Lakewood, CO	Office	2029	1999		115,650		2,064,224		1.0	%		17.85
DEA - Santa Ana	Santa Ana, CA	Office	2024	2004		39,905		1,899,598		0.9	%		47.60
JUD - Charleston	Charleston, SC	Courthouse/Office	2019	1999		50,888		1,818,135		0.9	%		35.73
NPS - Omaha	Omaha, NE	Office	2024	2004		62,772		1,778,658		0.8	%		28.34
ICE - Otay	San Diego, CA	Office	2022 / 2026	2001		52,881		1,753,547		0.8	%		35.46
VA - Golden	Golden, CO	Office/Warehouse	2026	1996 / 2011		56,753		1,730,118		0.8	%		30.49
DEA - Dallas	Dallas, TX	Office	2021	2001		71,827		1,681,167		0.8	%		23.41
DEA - Otay	San Diego, CA	Office	2020	1997		32,560		1,627,003		0.8	%		49.97
CBP - Sunburst	Sunburst, MT	Office	2028	2008		33,000		1,599,828		0.8	%		48.48
USCG - Martinsburg	Martinsburg, WV	Office	2027	2007		59,547		1,599,477		0.8	%		26.86
DEA - Birmingham	Birmingham, AL	Office	2020	2005		35,616		1,531,347		0.7	%		43.00
JUD - Aberdeen	Aberdeen, MS	Courthouse/Office	2025	2005		46,979		1,490,415		0.7	%		31.73
DEA - North Highlands	Sacramento, CA	Office	2033	2002		37,975		1,441,221		0.7	%		37.95
GSA - Clarksburg	Clarksburg, WV	Office	2024	1999		63,750		1,432,449		0.7	%		22.47
DEA - Albany	Albany, NY	Office	2025	2004		31,976		1,350,107		0.6	%		42.22
DEA - Riverside	Riverside, CA	Office	2032	1997		34,354		1,241,200		0.6	%		36.13
SSA - Dallas	Dallas, TX	Office	2020	2005		27,200		1,076,946		0.5	%		39.59
ICE - Pittsburgh	Pittsburgh, PA	Office	2022 / 2023	2004		33,425		792,601		0.4	%		31.40
VA - Baton Rouge	Baton Rouge, LA	Outpatient Clinic	2024	2004		30,000		772,128		0.4	%		25.74
JUD - South Bend	South Bend, IN	Courthouse/Office	2027	1996 / 2011		30,119		760,077		0.4	%		25.24
DEA - San Diego	San Diego, CA	Warehouse	2032	1999		16,100		535,158		0.3	%		33.24
SSA - Mission Viejo	Mission Viejo, CA	Office	2020	2005		11,590		477,348		0.2	%		41.19
DEA - Bakersfield	Bakersfield, CA	Office	2021	2000		9,800		357,559		0.2	%		36.49
SSA - San Diego	San Diego, CA	Office	2032	2003		10,856		334,747		0.2	%		33.28
Subtotal						6,166,771	$	210,331,966		99.5	%	$	34.24

Privately Leased Properties
5998 Osceola Court - United Technologies	Midland, GA	Warehouse/Manufacturing	2023	2014		105,641		541,849		0.3	%		5.13
501 East Hunter Street - Lummus Corporation	Lubbock, TX	Warehouse/Distribution	2028	2013		70,078		408,702		0.2	%		5.83
Subtotal						175,719	$	950,551		0.5	%	$	5.41

Total / Weighted Average						6,342,490	$	211,282,517		100.0	%	$	33.43

Tenant	Weighted Average Remaining Lease Term⁽¹⁾		Leased Square Feet		Percentage of Leased Square Feet			Annualized Lease Income		Percentage of Total Annualized Lease Income

U.S. Government
Federal Bureau of Investigation ("FBI")		7.0		1,085,860		17.3	%	$	34,667,055		16.4	%
Department of Veteran Affairs ("VA")		12.8		695,998		11.0	%		31,680,106		15.0	%
Drug Enforcement Administration ("DEA")		5.0		557,313		8.8	%		24,144,011		11.4	%
Judiciary of the U.S. ("JUD")		5.9		261,211		4.1	%		9,812,742		4.6	%
Environmental Protection Agency ("EPA")		6.7		241,564		3.8	%		9,711,401		4.6	%
Internal Revenue Service ("IRS")		10.9		241,815		3.8	%		8,767,706		4.1	%
U.S. Joint Staff Command ("JSC")		8.7		403,737		6.4	%		8,106,829		3.8	%
Immigration and Customs Enforcement ("ICE")		5.7		193,661		3.1	%		7,936,810		3.8	%
Food and Drug Administration ("FDA")		14.6		150,301		2.4	%		7,266,519		3.4	%
Bureau of the Fiscal Service ("BFS")		4.2		266,176		4.2	%		6,845,823		3.2	%
Patent and Trademark Office ("PTO")		15.3		190,546		3.0	%		6,521,081		3.1	%
Federal Aviation Administration ("FAA")		1.1		209,970		3.3	%		6,053,368		2.9	%
U.S. Forest Service ("USFS")		4.3		191,175		3.0	%		5,886,508		2.8	%
Social Security Administration ("SSA")		4.6		200,866		3.2	%		5,617,980		2.7	%
Federal Emergency Management Agency ("FEMA")		19.0		210,373		3.3	%		4,607,609		2.2	%
Customs and Border Protection ("CBP")		11.5		68,000		1.1	%		3,753,612		1.8	%
Department of Transportation ("DOT")		4.6		129,659		2.1	%		3,742,091		1.8	%
U.S. Citizenship and Immigration Services ("USCIS")		0.9		137,671		2.2	%		3,358,313		1.6	%
Occupational Safety and Health Administration ("OSHA")		4.3		75,000		1.2	%		3,004,875		1.4	%
Military Entrance Processing Command ("MEPCOM")		6.0		30,000		0.5	%		2,189,904		1.0	%
Department of Energy ("DOE")		9.8		120,496		1.9	%		2,184,044		1.0	%
U.S. Department of Agriculture ("USDA")		3.1		73,031		1.2	%		2,124,744		1.0	%
National Park Service ("NPS")		4.7		62,772		1.0	%		1,778,658		0.8	%
U.S. Coast Guard ("USCG")		8.2		59,547		0.9	%		1,599,477		0.8	%
U.S. Army Corps of Engineers ("ACOE")		5.4		39,320		0.6	%		1,468,380		0.7	%
Small Business Administration ("SBA")		2.5		37,253		0.6	%		1,155,029		0.5	%
National Labor Relations Board ("NLRB")		6.0		36,640		0.6	%		1,071,739		0.5	%
National Oceanic and Atmospheric Administration ("NOAA")		1.3		25,612		0.4	%		830,118		0.4	%
Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”)		2.5		21,342		0.3	%		762,420		0.4	%

Tenant	Weighted Average Remaining Lease Term(1)		Leased Square Feet		Percentage of Leased Square Feet			Annualized Lease Income		Percentage of Total Annualized Lease Income

U.S. Government (Cont.)
General Services Administration - Other		4.1		17,235		0.3	%		560,305		0.3	%
Bureau of Indian Affairs ("BIA")		3.9		6,477		0.1	%		217,628		0.1	%
U.S. Attorney Office ("USAO")		4.3		6,408		0.1	%		143,976		0.1	%
U.S. Marshals Service ("USMS")		7.3		1,054		0.0	%		47,533		0.0	%
Department of Labor ("DOL")		4.3		1,004		0.0	%		22,556		0.0	%
U.S. Probation Office ("USPO")		4.3		452		0.0	%		10,163		0.0	%
Subtotal		7.7		6,049,539		95.8	%	$	207,651,113		98.2	%

Private Tenants
Other Private Tenants		2.5		50,794		0.8	%	$	1,419,629		0.7	%
Providence Health & Services		0.9		21,643		0.3	%		639,775		0.3	%
We Are Sharing Hope SC		2.0		21,609		0.3	%		621,449		0.3	%
United Technologies (Pratt & Whitney)		4.3		105,641		1.7	%		541,849		0.3	%
Lummus Corporation		8.8		70,078		1.1	%		408,702		0.2	%
Subtotal		4.7		269,765		4.2	%	$	3,631,404		1.8	%

Total / Weighted Average		7.6		6,319,304		100.0	%	$	211,282,517		100.0	%

Year of Lease Expiration	Number of Leases Expiring	Square Footage Expiring		Percentage of Total Square Footage Expiring			Annualized Lease Income Expiring		Percentage of Total Annualized Lease Income Expiring			Annualized Lease Income per Leased Square Foot Expiring
2019	3		161,125		2.5	%	$	4,222,987		2.0	%	$	26.21
2020	18		762,983		12.1	%		26,082,364		12.3	%		34.18
2021	12		843,491		13.3	%		25,088,212		11.9	%		29.74
2022	7		124,523		2.0	%		4,763,739		2.3	%		38.26
2023	10		291,498		4.6	%		8,105,126		3.8	%		27.81
2024	10		727,374		11.5	%		22,944,196		10.9	%		31.54
2025	7		190,725		3.0	%		7,772,120		3.7	%		40.75
2026	3		157,011		2.5	%		4,795,892		2.3	%		30.54
2027	6		495,529		7.8	%		17,427,464		8.2	%		35.17
2028	3		506,815		8.0	%		10,115,359		4.8	%		19.96
Thereafter	20		2,058,230		32.7	%		79,965,058		37.8	%		38.85
Total / Weighted Average	99		6,319,304		100.0	%	$	211,282,517		100.0	%	$	33.43

Projects Under Construction⁽¹⁾

Property Name

Location

Property Type

Total Rentable Square Feet

Percentage Leased

Lease Term

Anticipated Total Cost

Cost to Date

Anticipated Lump-Sum Reimbursement⁽²⁾

Anticipated Completion Date

Anticipated Lease Commencement

FDA - Lenexa

Lenexa, KS

Laboratory

59,690

100%

20-Year

68,553

25,495

41,257

4Q 2020

Total

59,690

68,553

25,495

41,257

Projects in Design⁽³⁾

Property Name

Location

Property Type

Total Estimated Rentable Square Feet

Percentage Leased

Lease Term

Anticipated Completion Date

Anticipated Lease Commencement

FDA - Atlanta

Atlanta, GA

Laboratory

162,000

100%

20-Year

4Q 2022

Total

162,000

⁽²⁾Includes reimbursement of lump-sum tenant improvement costs and development fees.

⁽³⁾Includes projects in the design phase for which project scope is not fully determined.

Corporate Information

Corporate Headquarters	Stock Exchange Listing	Information Requests	Investor Relations
2101 L Street NW	New York Stock Exchange	Please contact ir@easterlyreit.com	Lindsay Winterhalter,
Suite 650		or 202-596-3947 to request an	VP, Investor Relations
Washington, DC 20037	Ticker	Investor Relations package	& Operations
202-595-9500	DEA

Executive Team		Board of Directors
William Trimble III, CEO	Darrell Crate, Chairman	William Binnie, Lead Independent Director	Michael Ibe
Michael Ibe, Vice-Chairman and EVP	Meghan Baivier, CFO & COO	Darrell Crate	James Mead
Alison Bernard, CAO	Ronald Kendall, EVP	Cynthia Fisher	William Trimble III
Andrew Pulliam, EVP		Emil Henry Jr.

Equity Research Coverage

Citigroup	Raymond James & Associates	RBC Capital Markets
Michael Bilerman / Emmanuel Korchman	Bill Crow / Paul Puryear	Michael Carroll
212-816-1383 / 212-816-1382	727-567-2594 / 727-567-2253	440-715-2649

Jefferies	SunTrust Robinson Humphrey	Compass Point Research & Trading, LLC
Jonathan Petersen	Michael R. Lewis	Merrill Ross
212-284-1705	212-319-5659	202-534-1392

Overview

Corporate Information and Analyst Coverage		6

Executive Summary		7

Corporate Financials

Balance Sheets		8

Income Statements		9

Net Operating Income		10

EBITDA, FFO and CAD		11

Debt

Debt Schedules		12

Debt Maturities		13

Properties

Operating Property Overview		14

Tenants		16

Lease Expirations		18

Summary of Re/Development Projects		19


Disclaimers


Supplemental Definitions


Supplemental Definitions


Table of Contents