Exhibit 99.1

Earnings Release

INVESTORS REAL ESTATE TRUST

ANNOUNCES

FINANCIAL AND OPERATING RESULTS

FOR THE QUARTER AND YEAR-TO-DATE ENDED JANUARY 31, 2015

Minot, ND – March 12, 2015 – Investors Real Estate Trust (NYSE: IRET) reported financial and operating results today for the quarter and year-to-date ended January 31, 2015.

For the three month period ended January 31, 2015, as compared to the same period of the prior fiscal year:

·	Revenues increased to $72.9 million from $68.4 million, an increase of 6.6%.

·	Total expenses decreased by approximately $1.0 million, or (1.9)%, in the three months ended October 31, 2014 compared to the three months ended October 31, 2013, from $51.8 million to $50.8 million.

·	FFO increased to $23.4 million on 135 million weighted average shares and units outstanding, from $22.7 million on 128 million weighted average shares and units outstanding ($.17 per share and unit for both periods).

·	Net Income Available to Common Shareholders, as computed under generally accepted accounting principles, was $5.5 million compared to approximately $624,000 in the same period of the prior fiscal year.

For the nine month period ended January 31, 2015, as compared to the same period of the prior fiscal year:

·	Revenues increased to $212.4 million from $199.3 million, an increase of 6.6%..

·	Total expenses increased by approximately $7.4 million, or 5.0%, in the nine months ended January 31, 2015 compared to the nine months ended January 31, 2014, from $147.6 million to $155.0 million.

·	FFO increased to $64.6 million on 134 million weighted average shares and units outstanding, from $62.4 million on 126 million weighted average shares and units outstanding ($.48 per share and unit compared to $.49 per share and unit).

·	Net Income Available to Common Shareholders, as computed under generally accepted accounting principles, was $4.7 million compared to $6.7 million of Net Income Available to Common Shareholders in the same period of the prior fiscal year.

Significant Events and Transactions during the third quarter of fiscal year 2015:

A total of 473 apartment units placed in service at the following development projects: Commons at Southgate in Minot, North Dakota; Red 20 in Minneapolis, Minnesota; Cypress Court II in St. Cloud, Minnesota; Arcata in Golden Valley, Minnesota and Renaissance Heights in Williston, North Dakota. The 4,998-square foot Minot Wells Fargo Bank retail property placed in service in Minot, North Dakota.

The announcement that the Company is exploring the calendar year 2015 disposition of substantially all of its office and retail properties, in an update to its current strategic plan, under which the Company has been directing new investments primarily toward multi-family residential and healthcare properties.

·	The disposition of an office property in Maple Grove, Minnesota and a retail property in Fargo, North Dakota for sales prices totaling $10.0 million.

IRET's President and Chief Executive Officer, Timothy Mihalick, commented, "We are pleased to report another strong quarter which has resulted in AFFO dividend coverage looking back four quarters, which is one quarter ahead of our previously announced timing for dividend coverage. As we noted in our press release on January 23, 2015, we are moving ahead with our plan to explore the disposition of our office and retail portfolios to condense our property segments to focus primarily on continued growth in our multi-family residential and healthcare segments. We believe this will provide our shareholders a healthier and more predictable income stream, enhancing the value of the company. Our strong results in the quarter are driven by the strength of our multi-family residential portfolio, in particular the new development projects that have come online in that segment, which are stabilizing with returns exceeding our projections. During the nine months ended January 31, 2015 we placed in service 798 units from our multi-family development pipeline, reducing our exposure to development overall. With the continued solid operating results that we achieved in the quarter, we are confident we have a strengthening portfolio and we are excited to focus our energy on our strongest performing segments, multi-family and healthcare. We consider these quarterly results a good indicator that the plan we articulated previously is working, and that we will be able to maintain momentum in our portfolio repositioning."

______________________________

¹The National Association of Real Estate Investment Trusts, Inc. (NAREIT) defines FFO as "net income (computed in accordance with generally accepted accounting principles), excluding gains (or losses) from sales of property, plus real estate depreciation and amortization, and adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect funds from operations on the same basis." In addition, in October 2011 NAREIT clarified its computation of FFO to exclude impairment charges for all periods presented. FFO is a non-GAAP measure. We consider FFO, which is a standard supplemental measure for equity real estate investment trusts, helpful to investors because it facilitates an understanding of the operating performance of properties without giving effect to impairment write-downs and to real estate depreciation and amortization, which assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead historically rise or fall with market conditions, we believe that FFO provides investors and management with a more accurate indication of our financial and operating results. See table below for a reconciliation of Net Income to FFO.

Operating Results

Net Operating Income (NOI)² from all properties increased by approximately $303,000, or 0.7%, during the three-month period ended January 31, 2015, compared to the same period one year ago. Non-same-store properties, primarily our new multi-family residential developments, provided for an increase of $1.3 million; however, NOI from same-store properties³ decreased by approximately $973,000, primarily attributable to increases in real estate tax expense in our multi-family residential segment.

NOI from all properties increased by $4.6 million, or 3.7%, during the nine month period ended January 31, 2015, compared to the same period one year ago. Non-same-store properties, primarily our new multi-family residential developments, provided for a $5.1 million increase, while same-store NOI for the nine months ended January 31, 2015 decreased by approximately $510,000. Same-store real estate revenue increased by $1.9 million; however, the increase was offset by an increase in real estate expenses of $2.4 million. The increase in expenses was primarily due to an increase in real estate taxes of $919,000 and increased insurance expenses of $451,000, both caused by an increase in property valuations in our markets.

Same-store occupancy as of January 31, 2015 compared to January 31, 2014 increased in our multi-family residential segment, decreased in our office, healthcare and retail segments, and remained stable in our industrial segment. The decreased occupancy in the retail segment on a same-store basis was primarily due to the non-renewal of three leases at three of our retail properties for a total of approximately 94,000 square feet. Occupancy represents the actual number of units or square footage leased divided by the total number of units or square footage at the end of the period.

Occupancy Levels on a Same-Store Property and All Property Basis:

	Same-Store Properties^(a)		All Properties
	As of January 31,		As of January 31,
Segments	Fiscal 2015	Fiscal 2014	Fiscal 2015	Fiscal 2014
Multi-Family Residential	94.0%	92.8%	91.3%	91.8%
Office	84.1%	84.5%	81.9%	80.4%
Healthcare	95.8%	96.4%	95.8%	96.4%
Industrial	100.0%	100.0%	100.0%	86.2%
Retail	83.5%	87.7%	83.8%	86.9%

(a)	Non-same-store properties consist of the following properties (re-development and in-service development properties are listed in bold type):
	Multi-Family Residential -	Arcata, Golden Valley, MN; Colonial Villa, Burnsville, MN; Commons at Southgate, Minot, ND; Cypress Court I and II, St. Cloud, MN; Dakota Commons, Williston, ND; Homestead Garden, Rapid City, SD; Landing at Southgate, Minot, ND; Northridge, Bismarck, ND; Pinecone Villas, Sartell, MN; Red 20, Minneapolis, MN; Renaissance Heights, Williston, ND; River Ridge, Bismarck, ND; Silver Springs, Rapid City, SD and Southpoint, Grand Forks, ND. Total number of units, 1,870.
	Healthcare -	Spring Creek Fruitland, Fruitland, ID. Total rentable square footage, 39,500.
	Industrial -	Roseville 3075 Long Lake Road, Roseville, MN. Total rentable square footage, 17,750.
	Retail -	Minot Wells Fargo Bank, Minot, ND. Total rentable square footage, 4,998.

Held for Sale -	Office -	2030 Cliff Road, Eagan, MN; Burnsville Bluffs II, Burnsville, MN; Northgate II, Maple Grove, MN; Plymouth I, Plymouth, MN; Plymouth II, Plymouth, MN; Plymouth III, Plymouth, MN; Plymouth IV-V, Plymouth, MN; Southeast Tech, Eagan, MN; Thresher Square, Minneapolis, MN and Whitewater Plaza, Minnetonka, MN. Total rentable square footage, 526,469.
	Healthcare -	Jamestown Medical Office Building, Jamestown, ND. Total rentable square footage, 45,222.
	Retail -	Weston Walgreens, Weston, WI. Total rentable square footage, 14,820.
	Total NOI for held for sale properties for the three months ended January 31, 2015 and 2014, respectively, $940 and $743. Total NOI for held for sale properties for the nine months ended January 31, 2015 and 2014, respectively, $2,695 and $2,272.

Sold -	Multi-Family Residential -	Lancaster, St. Cloud, MN.
	Office -	Dewey Hill Business Center, Edina, MN; Northgate I, Maple Grove, MN and Wirth Corporate Center, Golden Valley, MN.
	Industrial -	Eagan 2785 & 2795 Hwy 55, Eagan, MN.
	Retail -	Fargo Express Community, Fargo, ND; Kalispell Retail Center, Kalispell, MT and Weston Retail, Weston, WI..
	Total NOI for sold properties for the three months ended January 31, 2015 and 2014, respectively, $65 and $270. Total NOI for sold properties for the nine months ended January 31, 2015 and 2014, respectively, $751 and $771.

______________________________

We measure the performance of our segments based on NOI, which we define as total real estate revenues and gain on involuntary conversion less real estate expenses (which consist of utilities, maintenance, real estate taxes, insurance, property management expenses and other property expenses). We believe that NOI is an important supplemental measure of operating performance for a real estate investment trust's operating real estate because it provides a measure of core operations that is unaffected by depreciation, amortization, financing and general and administrative expense. NOI does not represent cash generated by operating activities in accordance with GAAP and should not be considered an alternative to net income, net income available for common shareholders or cash flow from operating activities as a measure of financial performance. See tables below for a reconciliation of NOI to the condensed consolidated financial statements.

Same-store properties are properties owned or in service for the entirety of the periods being compared (except for properties for which significant redevelopment or expansion occurred during either of the periods being compared, and properties sold or classified as held for sale), and, in the case of development or re-development properties, which have achieved a target level of occupancy of 90% for multi-family residential properties and 85% for office, healthcare, industrial and retail properties.

Acquisitions, Development Projects Placed in Service and Dispositions

During the third quarter of fiscal year 2015, the Company closed on its acquisition of an approximately 1.1-acre parcel of vacant land in Minot, North Dakota, for a purchase price of $1.3 million.

Also during the third quarter of fiscal year 2015, the Company placed in service the 130-unit Red 20 multi-family residential property in Minneapolis, Minnesota, owned by a joint venture entity in which the Company has an approximately 58.6% interest; the 233-unit Commons at Southgate multi-family residential property in Minot, North Dakota, owned by a joint venture entity in which the Company has an approximately 52.9% interest; the 64-unit Cypress Court II multi-family residential property in St. Cloud, Minnesota, owned by a joint venture entity in which the Company has an approximately 86.1% interest; the 165-unit Arcata multi-family residential property in Golden Valley, Minnesota and the 4,998-square foot Minot Wells Fargo Bank retail property in Minot, North Dakota.

During the third quarter of fiscal year 2015, the Company sold an office property in Maple Grove, Minnesota and a retail property in Fargo, North Dakota for sales prices totaling $10.0 million.

Strategic Dispositions

At January 31, 2015, the Company had 10 office properties, one retail property, one healthcare property and one parcel of unimproved land classified as held for sale. In January 2015, the Company announced that it is exploring a calendar year 2015 disposition of substantially all of its commercial office and retail properties, in an update to its current strategic plan, under which the Company has been directing new investments primarily toward multifamily residential and healthcare properties. The Company intends to use the proceeds from dispositions to continue portfolio deleveraging and for developing and acquiring high-quality assets in the Company's multi-family, industrial and healthcare segments.

Mortgages Payable

The Company's mortgages payable include a non-recourse $122.6 million CMBS loan, for which nine of the Company's office properties serve as collateral and under which a special-purpose subsidiary of the Company is the borrower. This loan matures in October 2016. Because the loan amount significantly exceeds the Company's current estimate of the fair value of this nine-property portfolio, the Company contacted the master servicer to initiate discussions on various alternatives with regard to the loan. During the first quarter of fiscal year 2015, the Company was notified that the loan has been transferred to the special servicer. The Company cannot predict the outcome of discussions with the special servicer regarding the loan. To date the borrower is current on all payments under the loan.

Shareholder Equity, Distributions and Capital Structure

As of January 31, 2015, IRET had a total capitalization of $2.5 billion. Total capitalization is defined as the market value (closing price at end of period) of the Company's outstanding common shares and the imputed market value of the outstanding limited partnership units of IRET Properties (which are convertible, at the expiration of a specified holding period, into cash or, at the Company's sole discretion, into common shares of the Company on a one-to-one basis), plus the book value of the Company's preferred shares and the outstanding principal balance of the consolidated debt of the Company.

On January 16, 2015, IRET paid a quarterly distribution of $0.1300 per share and unit on its common shares and limited partnership units of IRET Properties. This was IRET's 175^th consecutive distribution. IRET also paid, on December 31, 2014, a quarterly distribution of $0.5156 per share on its Series A preferred shares and a quarterly distribution of $0.4968 per share on its Series B preferred shares.

Distribution Declared. Subsequent to the end of the third quarter of fiscal year 2015, on February 13, 2015, the Company's Board of Trustees declared a regular quarterly distribution of $0.1300 per share and unit on the Company's common shares of beneficial interest and the limited partnership units of IRET Properties, payable April 1, 2015 to common shareholders and unitholders of record on March 16, 2015. Also on March 4, 2015, the Company's Board of Trustees' declared a distribution of $0.5156 per share on the Company's Series A preferred shares of beneficial interest, payable March 31, 2015 to Series A preferred shareholders of record on March 16, 2015, and declared a distribution of $0.4968 per share on the Company's Series B preferred shares of beneficial interest, payable March 31, 2015 to Series B preferred shareholders of record on March 16, 2015.

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Conference Call Information

The Conference Call for3nd Quarter Earnings is scheduled for Friday, March 13, 2015 at 9:00 A.M. Central Time. The call will be limited to one hour, including questions and answers. Conference call access information is as follows:

USA Toll Free Number: 1-877-509-9785

International Toll Free Number: 1-412-902-4132

Canada Toll Free Number: 1-855-669-9657

A webcast and transcript of the call will be archived on the "Investor Info/ Presentations & Events/Presentations" page of IRET's website, http://www.iret.com, for one year. Questions regarding the conference call should be directed to cbradehoft@iret.com.

About IRET

IRET is a self-administered, equity real estate investment trust investing in income-producing properties located primarily in the upper Midwest. IRET owns a diversified portfolio of properties consisting of 99 multi-family residential properties with 11,765 apartment units; and 62 office properties, 67 healthcare properties (including senior housing), 7 industrial properties and 24 retail properties with a total of approximately 9.8 million square feet of leasable space. IRET common shares, Series A preferred shares and Series B preferred shares are publicly traded on the New York Stock Exchange (NYSE symbols: IRET, IRETPR and IRETPRB, respectively). IRET's press releases and supplemental information are available on the Company website at www.iret.com or by contacting Investor Relations at 701-837-4738.

Certain statements in this earnings release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from projected results. Such risks, uncertainties and other factors include, but are not limited to: intentions and expectations regarding future distributions on our common shares and units, fluctuations in interest rates, the effect of government regulation, the availability of capital, changes in general and local economic and real estate market conditions, competition, our ability to attract and retain skilled personnel, and those risks and uncertainties detailed from time to time in our filings with the Securities and Exchange Commission, including our 2014 Form 10-K. We assume no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)

	(in thousands, except share data)
	January 31, 2015		April 30, 2014
ASSETS
Real estate investments
Property owned	$	2,093,148	$	1,996,031
Less accumulated depreciation		(439,153)		(424,288)
		1,653,995		1,571,743
Development in progress		114,005		104,609
Unimproved land		27,675		22,864
Total real estate investments		1,795,675		1,699,216
Real estate held for sale		44,259		2,951
Cash and cash equivalents		52,148		47,267
Other investments		329		329
Receivable arising from straight-lining of rents, net of allowance of $714 and $796, respectively		27,169		27,096
Accounts receivable, net of allowance of $445 and $248, respectively		5,574		10,206
Real estate deposits		7,494		145
Prepaid and other assets		5,580		4,639
Intangible assets, net of accumulated amortization of $25,423 and $24,071, respectively		28,475		32,639
Tax, insurance, and other escrow		11,277		20,880
Property and equipment, net of accumulated depreciation of $1,364 and $2,041, respectively		1,619		1,681
Goodwill		1,940		1,100
Deferred charges and leasing costs, net of accumulated amortization of $21,020 and $21,068, respectively		19,803		21,072
TOTAL ASSETS	$	2,001,342	$	1,869,221
LIABILITIES AND EQUITY
LIABILITIES
Accounts payable and accrued expenses	$	69,901	$	59,105
Revolving line of credit		50,500		22,500
Mortgages payable		1,006,179		997,689
Other		132,210		63,178
TOTAL LIABILITIES		1,258,790		1,142,472
COMMITMENTS AND CONTINGENCIES
REDEEMABLE NONCONTROLLING INTERESTS – CONSOLIDATED REAL ESTATE ENTITIES		6,340		6,203
EQUITY
Investors Real Estate Trust shareholders' equity
Series A Preferred Shares of Beneficial Interest (Cumulative redeemable preferred shares, no par value, 1,150,000 shares issued and outstanding at January 31, 2015 and April 30, 2014, aggregate liquidation preference of $28,750,000)		27,317		27,317
Series B Preferred Shares of Beneficial Interest (Cumulative redeemable preferred shares, no par value, 4,600,000 shares issued and outstanding at January 31, 2015 and April 30, 2014, aggregate liquidation preference of $115,000,000)		111,357		111,357
Common Shares of Beneficial Interest (Unlimited authorization, no par value, 122,134,143 shares issued and outstanding at January 31, 2015, and 109,019,341 shares issued and outstanding at April 30, 2014)		935,287		843,268
Accumulated distributions in excess of net income		(430,282)		(389,758)
Total Investors Real Estate Trust shareholders' equity		643,679		592,184
Noncontrolling interests – Operating Partnership (14,397,983 units at January 31, 2015 and 21,093,445 units at April 30, 2014)		61,177		105,724
Noncontrolling interests – consolidated real estate entities		31,356		22,638
Total equity		736,212		720,546
TOTAL LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY	$	2,001,342	$	1,869,221

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)

for the three and nine months ended January 31, 2015 and 2014

	(in thousands, except per share data)
	Three Months Ended January 31				Nine Months Ended January 31
		2015		2014		2015		2014
REVENUE
Real estate rentals	$	60,440	$	56,156	$	176,401	$	164,256
Tenant reimbursement		11,513		11,473		33,431		34,243
TRS senior housing revenue		963		804		2,599		804
TOTAL REVENUE		72,916		68,433		212,431		199,303
EXPENSES
Depreciation/amortization related to real estate investments		16,834		16,733		49,846		51,156
Utilities		5,367		5,042		15,141		15,173
Maintenance		7,799		7,828		23,391		22,719
Real estate taxes		8,816		7,679		25,583		24,415
Insurance		1,479		1,190		4,560		3,904
Property management expenses		4,746		4,064		13,731		12,383
Other property expenses		227		124		783		304
TRS senior housing expenses		825		671		2,243		671
General and administrative		3,242		2,935		10,986		9,572
Amortization related to non-real estate investments		916		756		2,628		2,500
Impairment of real estate investments		540		4,798		6,105		4,798
TOTAL EXPENSES		50,791		51,820		154,997		147,595
Gain on involuntary conversion		0		1,514		0		2,480
Operating income		22,125		18,127		57,434		54,188
Interest expense		(14,595)		(15,130)		(43,858)		(44,525)
Interest income		561		573		1,681		1,346
Other income		109		34		376		123
Income before gain (loss) on sale of real estate and other investments and income from discontinued operations		8,200		3,604		15,633		11,132
Gain (loss) on sale of real estate and other investments		951		0		(811)		0
Income from continuing operations		9,151		3,604		14,822		11,132
Income from discontinued operations		0		465		0		6,450
NET INCOME		9,151		4,069		14,822		17,582
Net income attributable to noncontrolling interests – Operating Partnership		(657)		(130)		(618)		(1,406)
Net income attributable to noncontrolling interests – consolidated real estate entities		(123)		(436)		(870)		(808)
Net income attributable to Investors Real Estate Trust		8,371		3,503		13,334		15,368
Dividends to preferred shareholders		(2,879)		(2,879)		(8,636)		(8,636)
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS	$	5,492	$	624	$	4,698	$	6,732
Earnings per common share from continuing operations – Investors Real Estate Trust – basic and diluted	$	.05	$	.00	$	.04	$	.01
Earnings per common share from discontinued operations – Investors Real Estate Trust – basic and diluted		.00		.00		.00		.05
NET INCOME PER COMMON SHARE – BASIC AND DILUTED	$	.05	$	.00	$	.04	$	.06
DIVIDENDS PER COMMON SHARE	$	.1300	$	.1300	$	.3900	$	.3900

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

RECONCILIATION OF NET INCOME ATTRIBUTABLE TO

INVESTORS REAL ESTATE TRUST TO FUNDS FROM OPERATIONS

for the three and nine months ended January 31, 2015 and 2014

Three Months Ended January 31,	(in thousands, except per share amounts)
Three Months Ended January 31,	2015					2014
	Amount		Weighted Avg Shares and Units⁽²⁾	Per Share And Unit⁽³⁾		Amount		Weighted Avg Shares and Units⁽²⁾	Per Share And Unit⁽³⁾
Net income attributable to Investors Real Estate Trust	$	8,371				$	3,503
Less dividends to preferred shareholders		(2,879)					(2,879)
Net income available to common shareholders		5,492	120,855	$	0.05		624	106,208	$	0.00
Adjustments:
Noncontrolling interest – Operating Partnership		657	14,461				130	21,819
Depreciation and amortization⁽¹⁾		17,706					17,546
Impairment of real estate investments		540					4,798
Gain on depreciable property sales		(951)					(358)
Funds from operations applicable to common shares and Units	$	23,444	135,316	$	0.17	$	22,740	128,027	$	0.17

Nine Months Ended January 31,	(in thousands, except per share amounts)
Nine Months Ended January 31,	2015					2014
	Amount		Weighted Avg Shares and Units⁽²⁾	Per Share And Unit⁽³⁾		Amount		Weighted Avg Shares and Units⁽²⁾	Per Share And Unit⁽³⁾
Net income attributable to Investors Real Estate Trust	$	13,334				$	15,368
Less dividends to preferred shareholders		(8,636)					(8,636)
Net income available to common shareholders		4,698	116,303	$	0.04		6,732	104,472	$	0.06
Adjustments:
Noncontrolling interest – Operating Partnership		618	17,334				1,406	21,830
Depreciation and amortization⁽⁴⁾		52,367					54,591
Impairment of real estate investments		6,105					6,658
Gain on depreciable property sales		811					(6,999)
Funds from operations applicable to common shares and Units	$	64,599	133,637	$	0.48	$	62,388	126,302	$	0.49

(1)

Real estate depreciation and amortization consists of the sum of depreciation/amortization related to real estate investments and amortization related to non-real estate investments from the Condensed Consolidated Statements of Operations, totaling $17,750 and $17,489, and depreciation/amortization from Discontinued Operations of $0 and $77, less corporate-related depreciation and amortization on office equipment and other assets of $44 and $20, for the three months ended January 31, 2015 and 2014, respectively.

(2)	UPREIT Units of the Operating Partnership are exchangeable for cash, or, at the Company's discretion, for common shares of beneficial interest on a one-for-one basis.

(3)	Net income attributable to Investors Real Estate Trust is calculated on a per share basis. FFO is calculated on a per share and unit basis.

(4)

Real estate depreciation and amortization consists of the sum of depreciation/amortization related to real estate investments and amortization related to non-real estate investments from the Condensed Consolidated Statements of Operations, totaling $52,474 and $53,656, and depreciation/amortization from Discontinued Operations of $0 and $1,010, less corporate-related depreciation and amortization on office equipment and other assets of $107 and $75 for the nine months ended January 31, 2015 and 2014, respectively.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

RECONCILATION OF NET OPERATING INCOME TO THE

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

for the three and nine months ended January 31, 2015 and 2014

Three Months Ended January 31, 2015	(in thousands)
Three Months Ended January 31, 2015	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Total

Real estate revenue	$	30,256	$	19,086	$	17,587	$	1,741	$	3,283	$	71,953
Real estate expenses		13,318		9,050		4,315		501		1,250		28,434
Net operating income	$	16,938	$	10,036	$	13,272	$	1,240	$	2,033		43,519
TRS senior housing revenue												963
TRS senior housing expenses												(825)
Depreciation/amortization												(17,750)
General and administrative												(3,242)
Impairment of real estate investments												(540)
Interest expense												(14,595)
Interest and other income												670
Income before gain on sale of real estate and other investments												8,200
Gain on sale of real estate and other investments												951
Net income											$	9,151

Three Months Ended January 31, 2014	(in thousands)
Three Months Ended January 31, 2014	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Total

Real estate revenue	$	25,848	$	19,394	$	17,242	$	1,664	$	3,481	$	67,629
Real estate expenses		10,998		9,037		4,120		493		1,279		25,927
Gain on involuntary conversion		1,514		0		0		0		0		1,514
Net operating income	$	16,364	$	10,357	$	13,122	$	1,171	$	2,202		43,216
TRS senior housing revenue												804
TRS senior housing expenses												(671)
Depreciation/amortization												(17,489)
General and administrative												(2,935)
Impairment of real estate investments												(4,798)
Interest expense												(15,130)
Interest and other income												607
Income from continuing operations												3,604
Income from discontinued operations												465
Net income											$	4,069

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

RECONCILATION OF NET OPERATING INCOME TO THE

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

for the three and nine months ended January 31, 2015 and 2014 (continued)

Nine Months Ended January 31, 2015	(in thousands)
Nine Months Ended January 31, 2015	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Total

Real estate revenue	$	87,576	$	56,917	$	50,322	$	4,904	$	10,113	$	209,832
Real estate expenses		37,700		27,873		12,905		1,223		3,488		83,189
Net operating income	$	49,876	$	29,044	$	37,417	$	3,681	$	6,625		126,643
TRS senior housing revenue												2,599
TRS senior housing expenses												(2,243)
Depreciation/amortization												(52,474)
General and administrative												(10,986)
Impairment of real estate investments												(6,105)
Interest expense												(43,858)
Interest and other income												2,057
Income before loss on sale of real estate and other investments												15,633
Loss on sale of real estate and other investments												(811)
Net income											$	14,822

Nine Months Ended January 31, 2014	(in thousands)
Nine Months Ended January 31, 2014	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Total

Real estate revenue	$	75,659	$	58,075	$	49,340	$	5,273	$	10,152	$	198,499
Real estate expenses		33,006		28,315		12,534		1,447		3,596		78,898
Gain on involuntary conversion		2,480		0		0		0		0		2,480
Net operating income	$	45,133	$	29,760	$	36,806	$	3,826	$	6,556		122,081
TRS senior housing revenue												804
TRS senior housing expenses												(671)
Depreciation/amortization												(53,656)
General and administrative												(9,572)
Impairment of real estate investments												(4,798)
Interest expense												(44,525)
Interest and other income												1,469
Income from continuing operations												11,132
Income from discontinued operations												6,450
Net income											$	17,582

Exhibit 99.2

Third Quarter Fiscal 2015

Supplemental Operating and Financial Data

for the Quarter Ended January 31, 2015


CONTACT: Cindy Bradehoft Director of Investor Relations Direct Dial: 952-401-4835 E-Mail: cbradehoft@iret.com				1400 31^st Avenue SW, Suite 60 Minot, ND 58701 Tel: 701.837.4738 Fax: 701.838.7785 www.iret.com

Supplemental Financial and Operating Data

Table of Contents

January 31, 2015

	Page

Company Background and Highlights	2

Property Cost by Segment and by State	5

Key Financial Data
Condensed Consolidated Balance Sheets	6
Condensed Consolidated Statements of Operations	7
Funds From Operations	8
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA)	9

Capital Analysis
Long-Term Mortgage Debt Analysis	10
Long-Term Mortgage Debt Detail	11-13
Capital Analysis	14

Portfolio Analysis
Same-Store Properties Net Operating Income Summary	15
Net Operating Income Detail	16-19
Same-Store Properties and All Properties Occupancy Levels by Segment	20

Tenant Analysis
Multi-Family Residential Summary	21
Commercial Leasing Summary	22-25
10 Largest Commercial Tenants - Based on Annualized Base Rent	26
Commercial Lease Expirations	27

Growth and Strategy
Acquisition Summary	28
Development Placed in Service Summary	29
Development in Progress Summary	30
Acquisitions and Development Liquidity Profile	31

Definitions	32

Company Background and Highlights

Third Quarter Fiscal 2015

Investors Real Estate Trust is a self-administered, equity real estate investment trust (REIT) investing in a portfolio of income-producing properties located primarily in the upper Midwest. IRET's portfolio is diversified among multi-family residential; office; healthcare, including senior housing; industrial and retail segments.

During the third quarter of fiscal year 2015, the Company closed on its acquisition of an approximately 1.1-acre parcel of vacant land in Minot, North Dakota, for a purchase price of $1.3 million. Also during the third quarter of fiscal year 2015, the Company placed in service the 130-unit Red 20 multi-family residential property in Minneapolis, Minnesota, owned by a joint venture entity in which the Company has an approximately 58.6% interest; the 233-unit Commons at Southgate multi-family residential property in Minot, North Dakota, owned by a joint venture entity in which the Company has an approximately 52.9% interest; the 64-unit Cypress Court II multi-family residential property in St. Cloud, Minnesota, owned by a joint venture entity in which the Company has an approximately 86.1% interest; the 165-unit Arcata multi-family residential property in Golden Valley, Minnesota and the 4,998-square foot Minot Wells Fargo Bank retail property in Minot, North Dakota.

During the third quarter of fiscal year 2015, the Company sold an office property in Maple Grove, Minnesota and a retail property in Fargo, North Dakota for sales prices totaling $10.0 million.

During the third quarter of fiscal year 2015, continued high occupancy levels in the Company's multi-family residential portfolio allowed the Company to implement selected rent increases, and the Company expects to see continued favorable results in this segment in the remainder of fiscal year 2015. Demand was strong for the approximately 798 apartment units the Company placed in service during fiscal year 2015. The following development projects were completed in the third quarter, with a total of 592 units available for lease: the Commons at Southgate project in Minot, North Dakota; Cypress Court in St. Cloud, Minnesota; Arcata in Golden Valley, Minnesota and Red 20 in Minneapolis, Minnesota. The Company's Renaissance Heights project in Williston, North Dakota has 162 out of 288 planned units currently in service. However, the Company's ability to maintain occupancy levels and selectively raise rents remains dependent on continued healthy employment and wage growth. The Company has continued to observe considerable multi-family development activity in the Company's markets, and as this new construction is completed and leased, the Company will experience increased competition for residents. However, based on information available to the Company, it appears that apartment developers in our markets are currently seeing increases in construction costs for potential new apartment developments, which may slow new developments in our markets.

The Company's office segment, mostly concentrated in Minnesota, continued to be affected by a number of adverse macro conditions. Demand for office space continues to be limited, with space absorption in the Minneapolis market in particular concentrated in prime locations, and suburban office properties continuing to lag in terms of occupancy. Businesses appear to be maintaining their goal of increasing the density of their work spaces by placing more employees in less total square footage, and downsizing upon lease renewals. The Company expects this erosion in demand for office space to continue, which we expect will impede increases on rental rates in our office portfolio. As a result, although the Company has experienced some modest growth in occupancy levels during the third quarter of fiscal year 2015 compared to the third quarter of fiscal year 2014, on an all-properties basis, the Company continues to expect a slow and uneven recovery in its office segment.

The Company's healthcare segment consists of medical office properties and senior housing facilities. The medical office sector remains stable with modest increases in both occupancy and rents. The Company's senior housing assets continue to benefit from the strengthening recovery in the housing market, as occupancy trends are closely aligned with the ability of seniors to sell their homes in anticipation of moving to a senior care facility.

Both the industrial and retail property markets continue to show signs of recovery. The Company's industrial properties are located primarily in the Minneapolis market, and all of these Minneapolis properties are 100% leased. The demand for bulk warehouse and manufacturing space in the Company's markets is strong, with rents generally rising. The retail recovery is evident in regard to the Company's Minneapolis-metro and grocery-anchored retail properties, which are performing well. Locations outside the Minneapolis-metro area, however, continue to experience less demand, with the recession-driven contraction not yet fully reversed.

In January 2015, the Company announced that it is exploring a calendar year 2015 disposition of substantially all of its commercial office and retail properties, in an update to its current strategic plan, under which the Company has been directing new investments primarily toward multifamily residential and healthcare properties. The Company intends to use the proceeds from dispositions to continue portfolio deleveraging and for developing and acquiring high-quality assets in the Company's multi-family, industrial and healthcare segments.

In the third quarter of fiscal year 2015, IRET paid its 175th consecutive quarterly distribution. The $0.1300 per share/unit distribution was payable on January 16, 2015. Subsequent to the end of the third quarter of fiscal year 2015, on March 4, 2015, the Company's Board of Trustees declared a regular quarterly distribution of $0.1300 per share and unit on the Company's common shares of beneficial interest and the limited partnership units of IRET Properties, payable April 1, 2015 to common shareholders and unitholders of record on March 16, 2015. Also on March 4, 2015, the Company's Board of Trustees' declared a distribution of $0.5156 per share on the Company's Series A preferred shares of beneficial interest, payable March 31, 2015 to Series A preferred shareholders of record on March 16, 2015, and declared a distribution of $0.4968 per share on the Company's Series B preferred shares of beneficial interest, payable March 31, 2015 to Series B preferred shareholders of record on March 16, 2015.

As of January 31, 2015, IRET owns a diversified portfolio of 259 properties consisting of 99 multi-family residential properties, 62 office properties, 67 healthcare properties (including senior housing), 7 industrial properties and 24 retail properties. IRET's common shares are publicly traded on the New York Stock Exchange (NYSE: IRET).

Table of Contents

Company Snapshot

(as of January 31, 2015)

Company Headquarters	Minot, North Dakota
Fiscal Year-End	April 30
Reportable Segments	Multi-Family Residential, Office, Healthcare, Industrial, Retail
Total Properties	259
Total Square Feet
(commercial properties)	9.8 million
Total Units
(multi-family residential properties)	11,765
Common Shares Outstanding (thousands)	122,134
Limited Partnership Units Outstanding (thousands)	14,398
Common Share Distribution - Quarter/Annualized	$0.13/$0.52
Dividend Yield	6.3%
Total Capitalization (see p.14 for detail)	$2.5 billion

Investor Information

(as of March 12, 2015)

Board of Trustees

Timothy P. Mihalick	President and Chief Executive Officer; Trustee
Diane K. Bryantt	Executive Vice President and Chief Operating Officer
Ted E. Holmes	Executive Vice President and Chief Financial Officer
Michael A. Bosh	Executive Vice President, General Counsel and Assistant Secretary
Mark Reiling	Executive Vice President and Chief Investment Officer
Charles A. Greenberg	Senior Vice President, Commercial Asset Management
Andrew Martin	Senior Vice President, Residential Property Management

Management

Timothy P. Mihalick	President and Chief Executive Officer; Trustee
Diane K. Bryantt	Executive Vice President and Chief Operating Officer
Ted E. Holmes	Executive Vice President and Chief Financial Officer
Michael A. Bosh	Executive Vice President, General Counsel and Assistant Secretary
Mark Reiling	Executive Vice President and Chief Investment Officer
Charles A. Greenberg	Senior Vice President, Commercial Asset Management
Ted E. Holmes	Senior Vice President, Finance
Andrew Martin	Senior Vice President, Residential Property Management

Corporate Headquarters:

1400 31^st Avenue SW, Suite 60

Post Office Box 1988

Minot, North Dakota 58702-1988

Trading Symbol: IRET

Stock Exchange Listing: NYSE

Investor Relations Contact:

Cindy Bradehoft

cbradehoft@iret.com

Table of Contents

Common Share Data (NYSE: IRET)

	3^rd Quarter Fiscal Year 2015		2^nd Quarter Fiscal Year 2015		1^st Quarter Fiscal Year 2015		4^th Quarter Fiscal Year 2014		3^rd Quarter Fiscal Year 2014
High Closing Price	$	8.60	$	8.59	$	9.21	$	9.06	$	8.94
Low Closing Price	$	8.05	$	7.49	$	8.52	$	8.34	$	8.24
Average Closing Price	$	8.35	$	8.11	$	8.82	$	8.71	$	8.58
Closing Price at end of quarter	$	8.25	$	8.40	$	8.52	$	8.72	$	8.69
Common Share Distributions—annualized	$	0.520	$	0.520	$	0.520	$	0.520	$	0.520
Closing Dividend Yield - annualized		6.3%		6.2%		6.1%		6.0%		6.0%
Closing common shares outstanding (thousands)		122,134		119,809		114,763		109,019		106,937
Closing limited partnership units outstanding (thousands)		14,398		14,731		17,975		21,094		21,799
Closing market value of outstanding common shares, plus imputed closing market value of outstanding limited partnership units (thousands)	$	1,126,389	$	1,130,136	$	1,130,928	$	1,134,585	$	1,118,716

Certain statements in these supplemental disclosures are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from projected results. Such risks, uncertainties and other factors include, but are not limited to: intentions and expectations regarding future distributions on our common shares and units, fluctuations in interest rates, the effect of government regulation, the availability of capital, changes in general and local economic and real estate market conditions, competition, our ability to attract and retain skilled personnel, and those risks and uncertainties detailed from time to time in our filings with the Securities and Exchange Commission, including our 2014 Form 10-K. We assume no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

Third Quarter Fiscal 2015 Developments Placed in Service




Arcata Apartments (exterior) Golden Valley, MN	Arcata Apartments (interior) Golden Valley, MN



Cypress Court (exterior) St. Cloud Metro, MN	Cypress Court (interior) St. Cloud Metro, MN

Table of Contents

Third Quarter Fiscal 2015

Percentage of Total Property Cost by State

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)

(in thousands)

	1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
ASSETS
Real estate investments
Property owned	$	2,093,148	$	2,013,770	$	2,025,327	$	1,996,031	$	2,042,290
Less accumulated depreciation		(439,153)		(426,545)		(435,317)		(424,288)		(439,233)
		1,653,995		1,587,225		1,590,010		1,571,743		1,603,057
Development in progress		114,005		146,390		131,862		104,609		89,086
Unimproved land		27,675		24,947		24,772		22,864		21,498
Total real estate investments		1,795,675		1,758,562		1,746,644		1,699,216		1,713,641
Real estate held for sale		44,259		41,183		6,508		2,951		0
Cash and cash equivalents		52,148		52,999		60,620		47,267		53,494
Other investments		329		329		329		329		643
Receivable arising from straight-lining of rents, net of allowance		27,169		27,425		27,286		27,096		27,026
Accounts receivable, net of allowance		5,574		3,719		7,013		10,206		15,540
Real estate deposits		7,494		4,924		3,741		145		3,502
Prepaid and other assets		5,580		2,263		3,428		4,639		8,197
Intangible assets, net of accumulated amortization		28,475		29,745		31,478		32,639		34,008
Tax, insurance, and other escrow		11,277		16,338		20,451		20,880		24,550
Property and equipment, net of accumulated depreciation		1,619		1,598		1,641		1,681		1,719
Goodwill		1,940		1,940		1,951		1,100		1,100
Deferred charges and leasing costs, net of accumulated amortization		19,803		20,445		20,677		21,072		21,138
TOTAL ASSETS	$	2,001,342	$	1,961,470	$	1,931,767	$	1,869,221	$	1,904,558

LIABILITIES AND EQUITY
LIABILITIES
Accounts payable and accrued expenses	$	69,901	$	67,037	$	62,517	$	59,105	$	54,337
Revolving line of credit		50,500		40,500		35,500		22,500		22,500
Mortgages payable		1,006,179		1,013,161		1,017,574		997,689		1,008,524
Other		132,210		107,731		83,666		63,178		47,767
TOTAL LIABILITIES		1,258,790		1,228,429		1,199,257		1,142,472		1,133,128

REDEEMABLE NONCONTROLLING INTERESTS – CONSOLIDATED REAL ESTATE ENTITIES		6,340		6,373		6,313		6,203		6,113
EQUITY
Investors Real Estate Trust shareholders' equity
Series A Preferred Shares of Beneficial Interest		27,317		27,317		27,317		27,317		27,317
Series B Preferred Shares of Beneficial Interest		111,357		111,357		111,357		111,357		111,357
Common Shares of Beneficial Interest		935,287		918,221		884,415		843,268		829,816
Accumulated distributions in excess of net income		(430,282)		(420,036)		(407,052)		(389,758)		(344,294)
Total Investors Real Estate Trust shareholders' equity		643,679		636,859		616,037		592,184		624,196
Noncontrolling interests – Operating Partnership		61,177		63,207		84,250		105,724		117,803
Noncontrolling interests – consolidated real estate entities		31,356		26,602		25,910		22,638		23,318
Total equity		736,212		726,668		726,197		720,546		765,317
TOTAL LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY	$	2,001,342	$	1,961,470	$	1,931,767	$	1,869,221	$	1,904,558

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)

(in thousands, except per share data)

	Nine Months Ended				Three Months Ended
OPERATING RESULTS	1/31/2015		1/31/2014		1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
Real estate revenue	$	209,832	$	198,499	$	71,953	$	70,042	$	67,837	$	66,983	$	67,629
Real estate expenses		83,189		78,898		28,434		27,237		27,518		29,589		25,927
Gain on involuntary conversion		0		2,480		0		0		0		0		1,514
Net operating income		126,643		122,081		43,519		42,805		40,319		37,394		43,216
TRS senior housing revenue		2,599		804		963		843		793		823		804
TRS senior housing expenses		(2,243)		(671)		(825)		(725)		(693)		(660)		(671)
Depreciation/amortization		(52,474)		(53,656)		(17,750)		(17,668)		(17,056)		(17,262)		(17,489)
General and administrative		(10,986)		(9,572)		(3,242)		(3,468)		(4,276)		(3,303)		(2,935)
Impairment of real estate investments		(6,105)		(4,798)		(540)		(3,245)		(2,320)		(37,768)		(4,798)
Interest expense		(43,858)		(44,525)		(14,595)		(14,599)		(14,664)		(14,617)		(15,130)
Interest and other income		2,057		1,469		670		696		691		922		607
(Loss) income before loss on sale of real estate and other investments and income from discontinued operations		15,633		11,132		8,200		4,639		2,794		(34,471)		3,604
Loss on sale of real estate and other investments		(811)		0		951		1,231		(2,993)		(51)		0
(Loss) income from continuing operations		14,822		11,132		9,151		5,870		(199)		(34,522)		3,604
Income from discontinued operations		0		6,450		0		0		0		0		465
Net (loss) income	$	14,822	$	17,582	$	9,151	$	5,870	$	(199)	$	(34,522)	$	4,069

Net loss (income) attributable to noncontrolling interest – Operating Partnership		(618)		(1,406)		(657)		(363)		402		6,082		(130)
Net income attributable to noncontrolling interests – consolidated real estate entities		(870)		(808)		(123)		(393)		(354)		(102)		(436)
Net (loss) income attributable to Investors Real Estate Trust		13,334		15,368		8,371		5,114		(151)		(28,542)		3,503
Dividends to preferred shareholders		(8,636)		(8,636)		(2,879)		(2,878)		(2,879)		(2,878)		(2,879)
NET (LOSS) INCOME AVAILABLE TO COMMON SHAREHOLDERS	$	4,698	$	6,732	$	5,492	$	2,236	$	(3,030)	$	(31,420)	$	624

Per Share Data
Earnings (loss) per common share from continuing operations – Investors Real Estate Trust – basic & diluted	$	.04	$	.01	$	.05	$	.02	$	(.03)	$	(.29)	$	.00
Earnings per common share from discontinued operations – Investors Real Estate Trust – basic & diluted		.00		.05		.00		.00		.00		.00		.00
Net income per common share – basic & diluted	$	.04	$	.06	$	.05	$	.02	$	(.03)	$	(.29)	$	.00

Percentage of Revenues
Real estate expenses		39.6%		39.7%		39.5%		38.9%		40.6%		44.2%		38.3%
Depreciation/amortization		25.0%		27.0%		24.7%		25.2%		25.1%		25.8%		25.9%
General and administrative		5.2%		4.8%		4.5%		5.0%		6.3%		4.9%		4.3%
Interest		20.9%		22.4%		20.3%		20.8%		21.6%		21.8%		22.4%
Income from discontinued operations		0.0%		3.2%		0.0%		0.0%		0.0%		0.0%		0.7%
Net (loss) income		7.1%		8.9%		12.7%		8.4%		(0.3)%		(51.5)%		6.0%

Ratios
Adjusted EBITDA⁽¹⁾/Interest expense		2.44x		2.25x		2.53x		2.48x		2.29x		2.26x		2.13x
Adjusted EBITDA⁽¹⁾/Interest expense plus preferred distributions		2.06x		1.90x		2.14x		2.10x		1.94x		1.90x		1.81x

(1)	See Definitions on page 32. Adjusted EBITDA is a non-GAAP measure; see page 9 for a reconciliation of Adjusted EBITDA to net income.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

FUNDS FROM OPERATIONS (unaudited)

(in thousands, except per share and unit data)

	Nine Months Ended				Three Months Ended
	1/31/2015		1/31/2014		1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
Funds From Operations⁽¹⁾
Net income (loss) attributable to Investors Real Estate Trust	$	13,334	$	15,368	$	8,371	$	5,114	$	(151)	$	(28,542)	$	3,503
Less dividends to preferred shareholders		(8,636)		(8,636)		(2,879)		(2,878)		(2,879)		(2,878)		(2,879)
Net (loss) income available to common shareholders		4,698		6,732		5,492		2,236		(3,030)		(31,420)		624
Adjustments:
Noncontrolling interests – Operating Partnership		618		1,406		657		363		(402)		(6,082)		130
Depreciation and amortization		52,367		54,591		17,706		17,624		17,037		17,239		17,546
Impairment of real estate investments		6,105		6,658		540		3,245		2,320		37,768		4,798
Loss (gain) on depreciable property sales	$	811	$	(6,999)		(951)		(1,231)		2,993		51		(358)
Funds from operations applicable to common shares and Units		64,599		62,388	$	23,444	$	22,237	$	18,918	$	17,556	$	22,740

FFO per share and unit - basic and diluted	$	0.48	$	0.49	$	0.17	$	0.17	$	0.14	$	0.14	$	0.17

Adjusted funds from operations⁽¹⁾
Funds from operations applicable to common shares and Units	$	64,599	$	62,388	$	23,444	$	22,237	$	18,918	$	17,556	$	22,740
Adjustments:
Tenant improvements at same-store⁽²⁾ properties		(4,649)		(8,389)		(1,984)		(542)		(2,169)		(1,610)		(4,205)
Leasing costs at same-store properties⁽²⁾		(1,606)		(2,870)		(358)		(699)		(578)		(1,038)		(1,219)
Recurring capital expenditures⁽¹⁾⁽²⁾		(4,793)		(3,858)		(1,865)		(1,567)		(1,386)		(1,118)		(1,093)
Straight-line rents		(187)		(2,136)		184		(103)		(268)		(70)		(818)
Non-real estate depreciation		288		266		94		96		99		102		99
Share-based compensation expense⁽³⁾		1,935		889		260		601		1,073		272		272
Gain on involuntary conversion		0		(2,480)		0		0		0		0		(1,514)
Adjusted funds from operations applicable to common shares and Units	$	55,587	$	43,810	$	19,775	$	20,023	$	15,689	$	14,094	$	14,262

AFFO per share and unit - basic and diluted	$	0.42	$	0.35	$	0.15	$	0.15	$	0.12	$	0.11	$	0.11

Weighted average shares and units		133,637		126,302		135,315		133,295		131,332		129,244		128,027

(1)	See Definitions on page 32.

(2)	Quarterly information is for properties in the same-store pool at that point in time; consequently, quarterly numbers may not total to year-to-date numbers.

(3)	Three months ended 7/31/14, 4/30/14 and 1/31/14 revised to include trustee share-based compensation expense.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

ADJUSTED EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND AMORTIZATION (ADJUSTED EBITDA) (unaudited)

(in thousands)

	Nine Months Ended				Three Months Ended
	1/31/2015		1/31/2014		1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
Adjusted EBITDA⁽¹⁾
Net income (loss) attributable to Investors Real Estate Trust	$	13,334	$	15,368	$	8,371	$	5,114	$	(151)	$	(28,542)	$	3,503
Adjustments:
Noncontrolling interests – Operating Partnership		618		1,406		657		363		(402)		(6,082)		130
Income (loss) before noncontrolling interests – Operating Partnership		13,952		16,774		9,028		5,477		(553)		(34,624)		3,633
Add:
Interest expense		43,858		44,946		14,595		14,599		14,664		14,617		15,159
Depreciation/amortization related to real estate investments		49,846		52,093		16,834		16,814		16,198		16,449		16,825
Amortization related to non-real estate investments		2,628		2,590		916		840		872		826		758
Amortization related to real estate revenues⁽²⁾		181		175		50		66		65		66		62
Impairment of real estate investments		6,105		4,798		540		3,245		2,320		37,768		4,798
Less:
Interest income		(1,681)		(1,346)		(561)		(560)		(560)		(562)		(573)
Loss (gain) on sale of real estate and other investments		811		(6,999)		(951)		(1,231)		2,993		51		(358)
Gain on involuntary conversion		0		(2,480)		0		0		0		0		(1,514)
Adjusted EBITDA	$	115,700	$	110,551		40,451		39,250		35,999		34,591	$	38,790

(1)	See Definitions on page 32.

(2)	Included in real estate revenue in the Statement of Operations.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

LONG-TERM MORTGAGE DEBT* ANALYSIS

(in thousands)

Debt Maturity Schedule

Annual Expirations

	Future Maturities of Mortgage Debt
Fiscal Year	Fixed Debt		Variable Debt		Total Debt		Weighted Average⁽¹⁾	% of Total Debt
2015 (remainder)	$	15,180	$	8,184	$	23,364	4.77%	2.3%
2016		99,558		0		99,558	4.25%	9.9%
2017		169,438		15,000		184,438	5.85%	18.3%
2018		32,894		31,000		63,894	4.32%	6.4%
2019		85,771		5,376		91,147	5.78%	9.0%
2020		116,821		18,895		135,716	5.37%	13.5%
2021		129,385		0		129,385	5.30%	12.9%
2022		129,704		0		129,704	5.61%	12.9%
2023		37,363		0		37,363	4.25%	3.7%
2024		72,762		0		72,762	4.31%	7.2%
Thereafter		38,848		0		38,848	4.50%	3.9%
Total maturities	$	927,724	$	78,455	$	1,006,179	5.17%	100.0%

(1)	Weighted average interest rate of debt that matures in fiscal year.

	1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
Balances Outstanding
Mortgage
Fixed rate	$	927,724	$	949,002	$	972,142	$	977,224	$	1,000,222
Variable rate		78,455		64,159		45,432		20,465		8,302
Mortgage total	$	1,006,179	$	1,013,161	$	1,017,574	$	997,689	$	1,008,524

Weighted Average Interest Rates
Secured		5.17%		5.26%		5.32%		5.37%		5.48%

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

LONG-TERM MORTGAGE DEBT* DETAIL AS OF JANUARY 31, 2015
(in thousands)

Property	Maturity Date	Fiscal 2015		Fiscal 2016		Fiscal 2017		Fiscal 2018		Thereafter		Total⁽¹⁾

Multi-Family Residential
Campus Center - St Cloud, MN	6/1/2015	$	0	$	1,147	$	0	$	0	$	0	$	1,147
Campus Knoll - St Cloud, MN	6/1/2015		0		765		0		0		0		765
Landmark - Grand Forks, ND	8/24/2015		0		1,590		0		0		0		1,590
Regency Park Estates - St Cloud, MN	1/1/2016		0		6,719		0		0		0		6,719
Pebble Springs – Bismarck, ND	7/1/2016		0		0		762		0		0		762
Southview – Minot, ND	7/1/2016		0		0		1,041		0		0		1,041
Homestead Gardens I – Rapid City, SD	7/11/16		0		0		6,979		0		0		6,979
River Ridge – Bismarck, ND	6/30/17		0		0		0		13,200		0		13,200
Evergreen II – Isanti, MN	11/1/2017		0		0		0		2,078		0		2,078
Ponds – Sartell, MN	11/1/2017		0		0		0		3,877		0		3,877
Summary of Debt due after Fiscal 2018			0		0		0		0		375,059		375,059
Sub-Total Multi-Family Residential		$	0	$	10,221	$	8,782	$	19,155	$	375,059	$	413,217

Office
Burnsville Bluffs II – Burnsville, MN⁽²⁾	2/8/2015	$	1,637	$	0	$	0	$	0	$	0	$	1,637
Plymouth IV - Plymouth, MN⁽²⁾	2/8/2015		3,019		0		0		0		0		3,019
Plymouth V - Plymouth, MN⁽²⁾	2/8/2015		3,528		0		0		0		0		3,528
Highlands Ranch I - Highlands Ranch, CO⁽³⁾	3/1/2015		7,812		0		0		0		0		7,812
Highlands Ranch II - Highlands Ranch, CO⁽³⁾	3/1/2015		7,368		0		0		0		0		7,368
US Bank Financial Center - Bloomington, MN	7/1/2015		0		12,852		0		0		0		12,852
Rapid City 900 Concourse Drive - Rapid City, SD	8/1/2015		0		314		0		0		0		314
Westgate I - Boise, ID	8/1/2015		0		1,125		0		0		0		1,125
Westgate II - Boise, ID	8/1/2015		0		2,756		0		0		0		2,756
Brook Valley I - LaVista, NE	1/1/2016		0		1,221		0		0		0		1,221
Spring Valley IV - Omaha, NE	1/1/2016		0		727		0		0		0		727
Spring Valley V - Omaha, NE	1/1/2016		0		800		0		0		0		800
Spring Valley X - Omaha, NE	1/1/2016		0		741		0		0		0		741
Spring Valley XI - Omaha, NE	1/1/2016		0		727		0		0		0		727
American Corporate Center – Mendota Heights, MN	9/1/2016		0		0		8,702		0		0		8,702
Mendota Office Center I – Mendota Heights, MN	9/1/2016		0		0		3,747		0		0		3,747
Mendota Office Center II - Mendota Heights, MN	9/1/2016		0		0		5,536		0		0		5,536
Mendota Office Center III - Mendota Heights, MN	9/1/2016		0		0		3,805		0		0		3,805

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

LONG-TERM MORTGAGE DEBT* DETAIL AS OF JANUARY 31, 2015 (continued)
(in thousands)

Property	Maturity Date	Fiscal 2015		Fiscal 2016		Fiscal 2017		Fiscal 2018		Thereafter		Total⁽¹⁾

Office - continued
Mendota Office Center IV - Mendota Heights, MN	9/1/2016	$	0	$	0	$	4,523	$	0	$	0	$	4,523
Corporate Center West – Omaha, NE⁽⁴⁾	10/6/2016		0		0		17,315		0		0		17,315
Farnam Executive Center – Omaha, NE⁽⁴⁾	10/6/2016		0		0		12,160		0		0		12,160
Flagship – Eden Prairie, MN⁽⁴⁾	10/6/2016		0		0		21,565		0		0		21,565
Gateway Corporate Center – Woodbury, MN⁽⁴⁾	10/6/2016		0		0		8,700		0		0		8,700
Miracle Hills One – Omaha, NE⁽⁴⁾	10/6/2016		0		0		8,895		0		0		8,895
Pacific Hills – Omaha, NE⁽⁴⁾	10/6/2016		0		0		16,770		0		0		16,770
Riverport – Maryland Heights, MO⁽⁴⁾	10/6/2016		0		0		19,690		0		0		19,690
Timberlands – Leawood, KS⁽⁴⁾	10/6/2016		0		0		13,155		0		0		13,155
Woodlands Plaza IV – Maryland Heights, MO⁽⁴⁾	10/6/2016		0		0		4,360		0		0		4,360
2030 Cliff Road – Eagan, MN	1/11/2017		0		0		914		0		0		914
TCA Building – Eagan, MN	2/3/2017		0		0		7,500		0		0		7,500
Interlachen Corporate Center – Eagan, MN	6/30/17		0		0		0		8,800		0		8,800
Plymouth 5095 Nathan Lane – Plymouth, MN	11/1/2017		0		0		0		1,156		0		1,156
Prairie Oak Business Center – Eden Prairie, MN	11/1/2017		0		0		0		3,144		0		3,144
Crosstown Centre – Eden Prairie, MN	12/1/2017		0		0		0		9,000		0		9,000
7800 West Brown Deer Road – Milwaukee, WI	4/1/2018		0		0		0		10,371		0		10,371
Summary of Debt due after Fiscal 2018			0		0		0		0		76,536		76,536
Sub-Total Office		$	23,364	$	21,263	$	157,337	$	32,471	$	76,536	$	310,971

Healthcare
Garden View Medical - St Paul, MN⁽³⁾	8/1/2015	$	0	$	354	$	0	$	0	$	0	$	354
Edina 6363 France Medical - St Paul, MN	8/6/2015		0		9,635		0		0		0		9,635
Edina 6405 France Medical - Edina, MN	9/1/2015		0		8,229		0		0		0		8,229
Ritchie Medical Plaza - St Paul, MN	9/1/2015		0		6,043		0		0		0		6,043
Edgewood Vista – Fargo, ND	2/25/2016		0		11,992		0		0		0		11,992
Edgewood Vista – Fremont, NE	2/25/2016		0		556		0		0		0		556
Edgewood Vista – Hastings, NE	2/25/2016		0		573		0		0		0		573
Edgewood Vista – Hermantown I, MN	2/25/2016		0		15,357		0		0		0		15,357
Edgewood Vista – Kalispell, MT	2/25/2016		0		574		0		0		0		574
Edgewood Vista – Missoula, MT	2/25/2016		0		815		0		0		0		815
Edgewood Vista – Omaha, NE	2/25/2016		0		363		0		0		0		363
Edgewood Vista – Virginia, MN	2/25/2016		0		13,063		0		0		0		13,063
Airport Medical – Bloomington, MN	6/1/2016		0		0		518		0		0		518
Park Dental – Brooklyn Center, MN	6/1/2016		0		0		297		0		0		297
Sartell 2000 23^rd St S – Sartell, MN	12/1/2016		0		0		1,815		0		0		1,815
Billings 2300 Grant Road – Billings, MT	12/31/2016		0		0		1,285		0		0		1,285
Missoula 3050 Great Northern Ave – Missoula, MT	12/31/2016		0		0		1,331		0		0		1,331
High Pointe Health Campus – Lake Elmo, MN	4/1/2017		0		0		7,500		0		0		7,500
Edgewood Vista – Billings, MT	4/10/2017		0		0		1,800		0		0		1,800
Edgewood Vista – East Grand Forks, MN	4/10/2017		0		0		2,742		0		0		2,742
Edgewood Vista – Sioux Falls, SD	4/10/2017		0		0		1,031		0		0		1,031
St Michael Clinic – St. Michael, MN	4/1/2018		0		0		0		1,810		0		1,810
Summary of Debt due after Fiscal 2018			0		0		0		0		154,015		154,015
Sub-Total Healthcare		$	0	$	67,554	$	18,319	$	1,810	$	154,015	$	241,698

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

LONG-TERM MORTGAGE DEBT* DETAIL AS OF JANUARY 31, 2015 (continued)
(in thousands)

Property	Maturity Date	Fiscal 2015		Fiscal 2016		Fiscal 2017		Fiscal 2018		Thereafter		Total⁽¹⁾
Industrial
Stone Container - Fargo, ND	12/1/2015	$	0	$	233	$	0	$	0	$	0	$	233
Stone Container - Fargo, ND	12/1/2015		0		287		0		0		0		287
Urbandale 3900 106^th Street – Urbandale, IA	7/5/2017		0		0		0		10,458		0		10,458
Summary of Debt due after Fiscal 2018			0		0		0		0		2,251		2,251
Sub-Total Industrial		$	0	$	520	$	0	$	10,458	$	2,251	$	13,229

Retail
Summary of Debt due after Fiscal 2018		$	0	$	0	$	0	$	0	$	27,064		27,064
Sub-Total Retail		$	0	$	0	$	0	$	0	$	27,064	$	27,064

Total		$	23,364	$	99,558	$	184,438	$	63,894	$	634,925	$	1,006,179

Mortgage debt does not include the Company's multi-bank line of credit or construction loans. The line of credit has a maturity date of September 1, 2017; as of January 31, 2015, the Company had borrowings of $50.5 million outstanding under this line. Construction loans and other debt totaled $132.2 million as of January 31, 2015.

(1)	Totals are principal balances as of January 31, 2015.

(2)	Loan maturity was extended to June 8, 2015 subsequent to January 31, 2015

(3)	Loan was paid off subsequent to January 31, 2015.

(4)

Amount is part of a non-recourse $122.6 million CMBS loan, for which nine of the Company's office properties serve as collateral and under which a special-purpose subsidiary of the Company is the borrower. This loan matures in October 2016. Because the loan amount significantly exceeds the Company's current estimate of the fair value of this nine-property portfolio, the Company contacted the master servicer to initiate discussions on various alternatives with regard to the loan. During the first quarter of fiscal year 2015, the Company was notified that the loan has been transferred to the special servicer. The Company cannot predict the outcome of discussions with the special servicer regarding the loan. Cash flow from the portfolio currently covers debt service on the loan, and to date the borrower is current on all payments under the loan.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

CAPITAL ANALYSIS

(in thousands, except per share and unit amounts)

	Three Months Ended
	1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
Equity Capitalization
Common shares outstanding		122,134		119,809		114,763		109,019		106,937
Operating partnership (OP) units outstanding		14,398		14,731		17,975		21,094		21,799
Total common shares and OP units outstanding		136,532		134,540		132,738		130,113		128,736
Market price per common share (closing price at end of period)	$	8.25	$	8.40	$	8.52	$	8.72	$	8.69
Equity capitalization-common shares and OP units	$	1,126,389	$	1,130,136	$	1,130,928	$	1,134,585	$	1,118,716
Recorded book value of preferred shares	$	138,674	$	138,674	$	138,674	$	138,674	$	138,674
Total equity capitalization	$	1,265,063	$	1,268,810	$	1,269,602	$	1,273,259	$	1,257,390

Debt Capitalization
Total debt	$	1,188,218	$	1,160,628	$	1,135,892	$	1,083,321	$	1,078,741
Total capitalization	$	2,453,281	$	2,429,438	$	2,405,494	$	2,356,580	$	2,336,131

Total debt to total capitalization		0.48:1		0.48:1		0.47:1		0.46:1		0.46:1

	Nine Months Ended				Three Months Ended
	1/31/2015		1/31/2014		1/31/2015		10/31/2014		7/31/2014		4/30/2014		1/31/2014
Earnings to fixed charges⁽¹⁾		1.22x		1.17x		1.48x		1.27x		⁽²⁾		⁽³⁾		1.15x
Earnings to combined fixed charges and preferred distributions⁽¹⁾		1.03x		.99x		1.25x		1.08x		⁽²⁾		⁽³⁾		0.97x
Debt service coverage ratio⁽¹⁾		1.66x		1.54x		1.70x		1.71x		1.57x		1.53x		1.46x

Distribution Data
Common shares and units outstanding at record date		135,490		128,004		135,490		133,527		130,795		129,372		128,004
Total common distribution paid	$	51,975	$	49,193	$	17,613	$	17,358	$	17,004	$	16,819	$	16,639
Common distribution per share and unit	$	.3900	$	.3900	$	.1300	$	.1300	$	.1300	$	.1300	$	.1300
Payout ratio (FFO per share and unit basis)⁽¹⁾		81.3%		79.6%		76.5%		76.5%		92.9%		92.9%		76.5%
Payout ratio (AFFO per share and unit basis)⁽¹⁾		92.9%		114.7%		86.7%		86.7%		108.3%		118.2%		118.2%

(1)	See Definitions on page 32.

(2)

Due to non-cash asset impairment and loss on sale charges of $5.3 million in the three months ended July 31, 2014, earnings were inadequate to cover fixed charges and combined fixed charges and preferred distributions by $1.6 million and $4.5 million, respectively. Excluding the asset impairment and loss on sale charges, the ratios of earnings to fixed charges and earnings to combined fixed charges and preferred distributions would have been 1.24 and 1.05, respectively, for the three months ended July 31, 2014.

(3)

Due to non-cash asset impairment charges of $37.8 million in the three months ended April 30, 2014, earnings were inadequate to cover fixed charges and combined fixed charges and preferred distributions by $35.3 million and $38.2 million, respectively. Excluding the asset impairment charge, the ratios of earnings to fixed charges and earnings to combined fixed charges and preferred distributions would have been 1.16 and 0.98, respectively, for the three months ended April 30, 2014.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

SAME-STORE PROPERTIES NET OPERATING INCOME SUMMARY

(in thousands)

	Same-Store Properties⁽¹⁾					Same-Store Properties⁽¹⁾
	Three Months Ended January 31					Nine Months Ended January 31
Segment	2015		2014		% Change	2015		2014		% Change
Multi-Family Residential	$	13,332	$	13,724	(2.9)%	$	41,093	$	40,778	0.8%
Office		9,378		9,758	(3.9)%		26,944		27,974	(3.7)%
Healthcare		12,837		12,905	(0.5)%		36,281		36,157	0.3%
Industrial		1,247		1,259	(1.0)%		3,653		3,630	0.6%
Retail		1,899		2,020	(6.0)%		6,042		5,984	1.0%
	$	38,693	$	39,666	(2.5)%	$	114,013	$	114,523	(0.4)%

(1)	See list of properties excluded from same-store properties on page ii.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

NET OPERATING INCOME DETAIL

(in thousands)

	Three Months Ended January 31, 2015
	Reporting Segments
	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Corporate and Other		Total
Real estate rental revenue
Same-store⁽¹⁾	$	24,773	$	17,798	$	17,041	$	1,705	$	3,119	$	0	$	64,436
Non-same-store		5,483		1,288		546		36		164		0		7,517
Total		30,256		19,086		17,587		1,741		3,283		0		71,953

Real estate expenses
Same-store⁽¹⁾		11,441		8,420		4,204		458		1,220		0		25,743
Non-same-store		1,877		630		111		43		30		0		2,691
Total		13,318		9,050		4,315		501		1,250		0		28,434

Net operating income (NOI)
Same-store⁽¹⁾		13,332		9,378		12,837		1,247		1,899		0		38,693
Non-same-store		3,606		658		435		(7)		134		0		4,826
Net operating income	$	16,938	$	10,036	$	13,272	$	1,240	$	2,033	$	0	$	43,519

Reconciliation of NOI to net income (loss) available to common shareholders
TRS senior housing revenue	$	0	$	0	$	0	$	0	$	0	$	963	$	963
TRS senior housing expenses		0		0		0		0		0		(825)		(825)
Depreciation/amortization		(6,900)		(4,315)		(4,957)		(390)		(1,094)		(94)		(17,750)
General and administrative		0		0		0		0		0		(3,242)		(3,242)
Impairment of real estate investments		0		0		0		0		0		(540)		(540)
Interest expense		(5,794)		(4,614)		(3,804)		(201)		(332)		150		(14,595)
Interest and other income		0		0		0		0		0		670		670
Income (loss) before gain on sale of real estate and other investments		4,244		1,107		4,511		649		607		(2,918)		8,200
Gain on sale of real estate and other investments		0		319		0		0		632		0		951
Net income (loss)		4,244		1,426		4,511		649		1,239		(2,918)		9,151
Net income attributable to noncontrolling interests – Operating Partnership		0		0		0		0		0		(657)		(657)
Net income attributable to noncontrolling interests – consolidated real estate entities		0		0		0		0		0		(123)		(123)
Net income (loss) attributable to Investors Real Estate Trust		4,244		1,426		4,511		649		1,239		(3,698)		8,371
Dividends to preferred shareholders		0		0		0		0		0		(2,879)		(2,879)
NET INCOME (LOSS) AVAILABLE TO COMMON SHAREHOLDERS	$	4,244	$	1,426	$	4,511	$	649	$	1,239	$	(6,577)	$	5,492

(1)	See list of properties excluded from same-store properties on page ii.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

NET OPERATING INCOME DETAIL

(in thousands)

	Three Months Ended January 31, 2014
	Reporting Segments
	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Corporate and Other		Total
Real estate rental revenue
Same-store⁽¹⁾	$	23,911	$	17,852	$	16,969	$	1,595	$	3,236	$	0	$	63,563
Non-same-store		1,937		1,542		273		69		245		0		4,066
Total		25,848		19,394		17,242		1,664		3,481		0		67,629

Real estate expenses
Same-store⁽¹⁾		10,187		8,094		4,064		336		1,216		0		23,897
Non-same-store		811		943		56		157		63		0		2,030
Total		10,998		9,037		4,120		493		1,279		0		25,927

Gain on involuntary conversion
Same-store⁽¹⁾		0		0		0		0		0		0		0
Non-same-store		1,514		0		0		0		0		0		1,514
Total		1,514		0		0		0		0		0		1,514

Net operating income (NOI)
Same-store⁽¹⁾		13,724		9,758		12,905		1,259		2,020		0		39,666
Non-same-store		2,640		599		217		(88)		182		0		3,550
Net operating income	$	16,364	$	10,357	$	13,122	$	1,171	$	2,202	$	0	$	43,216

Reconciliation of NOI to net income (loss) available to common shareholders
TRS senior housing revenue	$	0	$	0	$	0	$	0	$	0	$	804	$	804
TRS senior housing expenses		0		0		0		0		0		(671)		(671)
Depreciation/amortization		(5,444)		(5,776)		(4,938)		(457)		(792)		(82)	$	(17,489)
General and administrative		0		0		0		0		0		(2,935)		(2,935)
Impairment of real estate investments		0		0		0		(4,798)		0		0		(4,798)
Interest expense		(5,491)		(5,083)		(4,053)		(213)		(421)		131		(15,130)
Interest and other income		0		0		0		0		0		607		607
Income (loss) from continuing operations		5,429		(502)		4,131		(4,297)		989		(2,146)		3,604
Income (loss) from discontinued operations		(205)		0		0		861		(191)		0		465
Net income (loss)		5,224		(502)		4,131		(3,436)		798		(2,146)		4,069
Net income attributable to noncontrolling interests – Operating Partnership		0		0		0		0		0		(130)		(130)
Net income attributable to noncontrolling interests – consolidated real estate entities		0		0		0		0		0		(436)		(436)
Net income (loss) attributable to Investors Real Estate Trust		5,224		(502)		4,131		(3,436)		798		(2,712)		3,503
Dividends to preferred shareholders		0		0		0		0		0		(2,879)		(2,879)
NET INCOME (LOSS) AVAILABLE TO COMMON SHAREHOLDERS	$	5,224	$	(502)	$	4,131	$	(3,436)	$	798	$	(5,591)	$	624

(1) See list of properties excluded from same-store properties on page ii.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

NET OPERATING INCOME DETAIL

(in thousands)

	Nine Months Ended January 31, 2015
	Reporting Segments
	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Corporate and Other		Total
Real estate rental revenue
Same-store⁽¹⁾	$	74,206	$	52,645	$	48,843	$	4,758	$	9,411	$	0	$	189,863
Non-same-store		13,370		4,272		1,479		146		702		0		19,969
Total		87,576		56,917		50,322		4,904		10,113		0		209,832

Real estate expenses
Same-store⁽¹⁾		33,113		25,701		12,562		1,105		3,369		0		75,850
Non-same-store		4,587		2,172		343		118		119		0		7,339
Total		37,700		27,873		12,905		1,223		3,488		0		83,189

Net operating income (NOI)
Same-store⁽¹⁾		41,093		26,944		36,281		3,653		6,042		0		114,013
Non-same-store		8,783		2,100		1,136		28		583		0		12,630
Net operating income	$	49,876	$	29,044	$	37,417	$	3,681	$	6,625	$	0	$	126,643

Reconciliation of NOI to net income (loss) available to common shareholders
TRS senior housing revenue	$	0	$	0	$	0	$	0	$	0	$	2,599	$	2,599
TRS senior housing expenses		0		0		0		0		0		(2,243)		(2,243)
Depreciation/amortization		(19,119)		(14,231)		(14,995)		(1,171)		(2,670)		(288)		(52,474)
General and administrative		0		0		0		0		0		(10,986)		(10,986)
Impairment of real estate investments		0		(3,428)		0		0		(1,384)		(1,293)		(6,105)
Interest expense		(16,861)		(14,479)		(11,211)		(605)		(1,036)		334		(43,858)
Interest and other income		0		0		0		0		0		2,057		2,057
Income (loss) before loss on sale of real estate and other investments		13,896		(3,094)		11,211		1,905		1,535		(9,820)		15,633
Loss on sale of real estate and other investments		1,418		126		0		(1,793)		633		(1,195)		(811)
Net income (loss)		15,314		(2,968)		11,211		112		2,168		(11,015)		14,822
Net income attributable to noncontrolling interests – Operating Partnership		0		0		0		0		0		(618)		(618)
Net income attributable to noncontrolling interests – consolidated real estate entities		0		0		0		0		0		(870)		(870)
Net income (loss) attributable to Investors Real Estate Trust		15,314		(2,968)		11,211		112		2,168		(12,503)		13,334
Dividends to preferred shareholders		0		0		0		0		0		(8,636)		(8,636)
NET INCOME (LOSS) AVAILABLE TO COMMON SHAREHOLDERS	$	15,314	$	(2,968)	$	11,211	$	112	$	2,168	$	(21,139)	$	4,698

(1)	See list of properties excluded from same-store properties on page ii.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

NET OPERATING INCOME DETAIL

(in thousands)

	Nine Months Ended January 31, 2014
	Reporting Segments
	Multi-Family Residential		Office		Healthcare		Industrial		Retail		Corporate and Other		Total
Real estate rental revenue
Same-store⁽¹⁾	$	71,889	$	53,539	$	48,470	$	4,654	$	9,390	$	0	$	187,942
Non-same-store		3,770		4,536		870		619		762		0		10,557
Total		75,659		58,075		49,340		5,273		10,152		0		198,499

Real estate expenses
Same-store⁽¹⁾		31,111		25,565		12,313		1,024		3,406		0		73,419
Non-same-store		1,895		2,750		221		423		190		0		5,479
Total		33,006		28,315		12,534		1,447		3,596		0		78,898

Gain on involuntary conversion
Same-store⁽¹⁾		0		0		0		0		0		0		0
Non-same-store		2,480		0		0		0		0		0		2,480
Total		2,480		0		0		0		0		0		2,480

Net operating income (NOI)
Same-store⁽¹⁾		40,778		27,974		36,157		3,630		5,984		0		114,523
Non-same-store		4,355		1,786		649		196		572		0		7,558
Net operating income	$	45,133	$	29,760	$	36,806	$	3,826	$	6,556	$	0	$	122,081

Reconciliation of NOI to net income (loss) available to common shareholders
TRS senior housing revenue	$	0	$	0	$	0	$	0	$	0	$	804	$	804
TRS senior housing expenses		0		0		0		0		0		(671)		(671)
Depreciation/amortization		(16,527)		(16,564)		(16,510)		(1,410)		(2,396)		(249)		(53,656)
General and administrative		0		0		0		0		0		(9,572)		(9,572)
Impairment of real estate investments		0		0		0		(4,798)		0		0		(4,798)
Interest expense		(16,276)		(15,271)		(11,776)		(768)		(1,406)		972		(44,525)
Interest and other income		0		0		0		0		0		1,469		1,469
Income (loss) from continuing operations		12,330		(2,075)		8,520		(3,150)		2,754		(7,247)		11,132
Income (loss) from discontinued operations		(99)		(1,794)		0		8,923		(580)		0		6,450
Net income (loss)		12,231		(3,869)		8,520		5,773		2,174		(7,247)		17,582
Net income attributable to noncontrolling interests – Operating Partnership		0		0		0		0		0		(1,406)		(1,406)
Net income attributable to noncontrolling interests – consolidated real estate entities		0		0		0		0		0		(808)		(808)
Net income (loss) attributable to Investors Real Estate Trust		12,231		(3,869)		8,520		5,773		2,174		(9,461)		15,368
Dividends to preferred shareholders		0		0		0		0		0		(8,636)		(8,636)
NET INCOME (LOSS) AVAILABLE TO COMMON SHAREHOLDERS	$	12,231	$	(3,869)	$	8,520	$	5,773	$	2,174	$	(18,097)	$	6,732

(1)	See list of properties excluded from same-store properties on page ii.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

SAME-STORE PROPERTIES AND ALL PROPERTIES OCCUPANCY LEVELS BY SEGMENT

3^rd Quarter Fiscal 2015 vs. 3^rd Quarter Fiscal 2014

Segments	Same-Store Properties		All Properties
	3^rd Quarter	3^rd Quarter	3^rd Quarter	3^rd Quarter
	Fiscal 2015	Fiscal 2014	Fiscal 2015	Fiscal 2014
Multi-Family Residential	94.0%	92.8%	91.3%	91.8%
Office	84.1%	84.5%	81.9%	80.4%
Healthcare	95.8%	96.4%	95.8%	96.4%
Industrial	100.0%	100.0%	100.0%	86.2%
Retail	83.5%	87.7%	83.8%	86.9%

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

MULTI-FAMILY RESIDENTIAL SUMMARY⁽²⁾

	Three Months Ended
	1/31/2015		10/31/2014			7/31/2014		4/30/2014		1/31/2014
Number of Units		11,765		11,292			11,080		10,779		10,725
Average Investment Per Unit
Same-Store	$	66,466	$	66,233	$		65,956	$	61,323	$	61,187
Non-Same-Store		143,999		133,763			125,239		100,374		96,467
All Properties	$	77,723	$	74,190	$		71,326	$	69,905	$	68,728

Average Scheduled Rent⁽¹⁾per Unit
Same-Store	$	841	$	835	$		825	$	785	$	781
Non-Same-Store		1,390		1,320			1,220		1,051		1,010
All Properties	$	920	$	892	$		861	$	843	$	830

Total Receipts per Unit
Same-Store	$	835	$	844	$		820	$	773	$	767
Non-Same-Store		1,087		1,121			1,067		971		947
All Properties	$	871	$	877	$		842	$	816	$	806

Total Recurring Capital Expenditures per Unit⁽¹⁾	$	119	$	158	$		139	$	133	$	130

Occupancy%
Same-Store		94.0%		95.6%			93.8%		94.5%		93.5%
Non-Same-Store		77.1%		87.6%			89.5%		87.6%		85.3%
All Properties		91.3%		94.6%			93.4%		93.0%		91.8%

Operating Expenses as a % of Scheduled Rent
Same-Store		46.0%		43.7%			46.0%		50.2%		43.0%
Non-Same-Store		27.0%		28.8%			29.5%		45.9%		39.8%
All Properties		41.8%		41.1%			43.9%		49.0%		42.2%

(1)	See Definitions on page 32.

(2)	Previously-reported amounts are not revised for discontinued operations or changes in the composition of the same-store properties pool.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

COMMERCIAL LEASING SUMMARY (Same-Store Properties)

Commercial Leasing Activity

During fiscal year 2015, we have executed new and renewal commercial leases for our same-store rental properties on 186,514 square feet for the three months ended January 31, 2015 and 840,419 square feet for the nine months ended January 31, 2015. As a result of our leasing efforts, occupancy in our same-store commercial portfolio increased to 89.5% as of January 31, 2015, up from 86.4% as of January 31, 2014.

The total leasing activity for our same-store commercial rental properties, expressed in square feet of leases signed during the period, and the resulting occupancy levels, are as follows:

Three Months Ended January 31, 2015 and 2014

	Square Feet of New Leases⁽¹⁾		Square Feet of Leases Renewed⁽¹⁾		Total Square Feet of Leases Executed⁽¹⁾		Occupancy
	Square Feet of New Leases⁽¹⁾		Square Feet of Leases Renewed⁽¹⁾		Total Square Feet of Leases Executed⁽¹⁾		Occupancy
Segments	2015	2014	2015	2014	2015	2014	2015	2014
Office	37,076	64,288	63,091	80,424	100,167	144,712	83.3%	80.4%
Healthcare	6,400	175	7,703	17,734	14,103	17,909	96.0%	96.4%
Industrial	0	64,000	29,995	0	29,995	64,000	100.0%	85.6%
Retail	3,284	27,107	38,965	28,564	42,249	55,671	85.7%	86.9%
Total	46,760	155,570	139,754	126,722	186,514	282,292	89.5%	86.4%

(1)

The leasing activity presented is based on leases signed or executed for our same-store rental properties during the period and is not intended to coincide with the commencement of rental revenue in accordance with GAAP. Prior periods reflect amounts previously reported and exclude retroactive adjustments for properties reclassified to discontinued operations or non-same-store in the current period.

Nine Months Ended January 31, 2015 and 2014

	Square Feet of New Leases⁽¹⁾		Square Feet of Leases Renewed⁽¹⁾		Total Square Feet of Leases Executed⁽¹⁾		Occupancy
	Square Feet of New Leases⁽¹⁾		Square Feet of Leases Renewed⁽¹⁾		Total Square Feet of Leases Executed⁽¹⁾		Occupancy
Segments	2015	2014	2015	2014	2015	2014	2015	2014
Office	119,624	278,143	330,240	222,798	449,864	500,941	83.3%	80.4%
Healthcare	17,979	31,268	108,391	34,996	126,370	66,264	96.0%	96.4%
Industrial	0	234,403	29,995	251,831	29,995	486,234	100.0%	85.6%
Retail	51,252	124,966	182,938	78,257	234,190	203,223	85.7%	86.9%
Total	188,855	668,780	651,564	587,882	840,419	1,256,662	89.5%	86.4%

(1)

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

COMMERCIAL LEASING SUMMARY (Same-Store Properties)

New Leases

The following table sets forth the average effective rents and the estimated costs of tenant improvements and leasing commissions, on a per square foot basis, that we are obligated to fulfill under the new leases signed for our same-store commercial rental properties:

Three Months Ended January 31, 2015 and 2014

	Square Feet of New Leases⁽¹⁾				Average Term in Years				Average Effective Rent⁽²⁾					Estimated Tenant Improvement Cost per Square Foot⁽¹⁾					Leasing Commissions per Square Foot⁽¹⁾
	2015		2014		2015		2014		2015		2014		2015		2014		2015			2014
Office		37,076		64,288		4.4		3.6	$	14.29	$	13.85	$	15.57	$	6.76	$	5.87		$	3.20
Healthcare		6,400		175		7.5		0.8		18.51		13.71		59.06		0		6.50			0
Industrial		0		64,000		0		2.8		0		3.03		0		0		0			0.03
Retail		3,284		27,107		2.0		5.4		8.54		10.94		2.23		2.89		1.78			5.61
Total		46,760		155,570		4.3		3.9	$	14.47	$	8.89	$	20.58	$	3.30	$	5.67		$	2.31

(1)

(2)	Effective rents represent average annual base rental payments, on a straight-line basis for the term of each lease, excluding operating expense reimbursements. The underlying leases contain various expense structures including gross, modified gross, net and triple net.

Nine Months Ended January 31, 2015 and 2014

	Square Feet of New Leases⁽¹⁾				Average Term in Years				Average Effective Rent⁽²⁾					Estimated Tenant Improvement Cost per Square Foot⁽¹⁾					Leasing Commissions per Square Foot⁽¹⁾
	2015		2014		2015		2014		2015		2014		2015		2014		2015			2014
Office		119,624		278,143		4.6		4.3	$	14.00	$	14.26	$	15.65	$	13.10	$	5.33		$	4.33
Healthcare		17,979		31,268		6.1		4.8		20.00		21.38		37.16		49.66		6.84			6.75
Industrial		0		234,403		0		3.1		0		3.55		0		0.13		0			0.50
Retail		51,252		124,966		3.6		5.4		8.36		5.70		16.26		1.84		3.46			4.47
Total		188,855		668,780		4.5		4.4	$	13.04	$	9.24	$	17.86	$	8.16	$	4.97		$	3.13

(1)

(2)	Effective rents represent average annual base rental payments, on a straight-line basis for the term of each lease, excluding operating expense reimbursements. The underlying leases contain various expense structures including gross, modified gross, net and triple net.

Our ability to maintain or increase occupancy rates is a principal driver of maintaining and increasing the average effective rents in our commercial segments. The increase in the average effective rental rate in the total commercial portfolio for the three months ended January 31, 2015 and the nine months ended January 31, 2015 when compared to the same periods in the prior fiscal year is due primarily to the fact that there were no new industrial leases executed in the nine months ended January 31, 2015, since industrial segment rents are typically lower on a per-square foot basis than rents charged for higher-finish office, retail and healthcare space. Absent the new industrial leases executed in the three months ended January 31, 2014 and the nine months ended January 31, 2014 the average effective rental rate of the total commercial portfolio for those periods would have been would have been $12.99 and $12.31 per-square foot respectively. The balance of the increase in the average effective rental rate in the total commercial portfolio for the three months ended January 31, 2015 and the nine months ended January31, 2015 when compared to the same period in the prior fiscal year is due to increased leasing costs incurred for leases executed in the nine months ended January 31, 2015.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

COMMERCIAL LEASING SUMMARY (Same-Store Properties)

Lease Renewals

The following table summarizes our lease renewal activity within our same-store commercial segments (square feet data in thousands):

Three Months Ended January 31, 2015 and 2014

	Square Feet of Leases Renewed⁽¹⁾				Percent of Expiring Leases Renewed⁽²⁾				Average Term in Years				Weighted Average Growth (Decline) in Effective Rents⁽³⁾				Estimated Tenant Improvement Cost per Square Foot⁽¹⁾				Leasing Commissions per Square Foot⁽¹⁾
	2015		2014		2015		2014		2015		2014		2015		2014		2015		2014		2015		2014
Office		63,091		80,424		65.4%		44.4%		2.1		3.2		9.2%		(1.0%)	$	0.31	$	4.54	$	1.63	$	1.87
Healthcare		7,703		17,734		84.5%		100.0%		16.8		2.3		1.3%		9.6%		35.00		0		7.80		0.02
Industrial		29,995		0		0%		0%		3.0		0		(4.5%)		0%		0		0		1.21		0
Retail		38,965		28,564		44.8%		100%		3.8		4.0		17.4%		13.3%		1.93		4.63		0		0.06
Total		139,754		126,722		63.4%		55.1%		3.5		3.3		8.7%		3.6%	$	2.61	$	3.93	$	1.43	$	1.20

(1)

(2)

Renewal percentage of expiring leases is based on square footage of renewed leases and not the number of leases renewed. Beginning in the first quarter of fiscal year 2015, the category of renewed leases does not include leases that have become month-to-month leases; these month-to-month leases are considered lease amendments. Previous-period data has been revised to reflect this change.

(3)

Represents the percentage change in effective rent between the original leases and the renewal leases. Effective rents represent average annual base rental payments, on a straight-line basis for the term of each lease, excluding operating expense reimbursements. The underlying leases contain various expense structures including gross, modified gross, net and triple net.

Nine Months Ended January 31, 2015 and 2014

	Square Feet of Leases Renewed⁽¹⁾				Percent of Expiring Leases Renewed⁽²⁾				Average Term in Years				Weighted Average Growth (Decline) in Effective Rents⁽³⁾				Estimated Tenant Improvement Cost per Square Foot⁽¹⁾				Leasing Commissions per Square Foot⁽¹⁾
	2015		2014		2015		2014		2015		2014		2015		2014		2015		2014		2015		2014
Office		330,240		222,798		64.7%		52.9%		2.6		3.6		10.8%		(2.4%)	$	2.38	$	4.69	$	1.57	$	3.31
Healthcare		108,391		34,996		73.2%		100.0%		6.3		3.6		(3.5%)		8.8%		10.99		9.96		1.54		1.10
Industrial		29,995		251,831		0.0%		42.3%		3.0		3.2		(4.5%)		7.5%		0		0.32		1.21		0.48
Retail		182,938		78,257		46.1%		37.4%		4.0		3.7		28.1%		10.0%		1.87		1.88		0.04		0.05
Total		651,564		587,882		59.9%		50.9%		3.7		3.6		9.1%		2.7%	$	3.56	$	2.76	$	1.12	$	1.53

(1)

(2)

(3)

The decline in the average growth in effective rents for the healthcare segment for the nine months ended January 31, 2015 when compared to the same period in the prior fiscal year is due to a 45,081 square foot lease renewal executed with the existing single tenant at our Pavilion I property in Duluth, Minnesota. This lease was renewed at a lower rate than the previous expiring lease due to very low leasing transaction costs associated with the lease renewal. Absent this lease transaction, the weighted average growth rate in effective rents for the nine months ended January 31, 2015 would have been 3.8%.

The increase in the weighted average growth in effective rents for the retail segment for the nine months ended January 31, 2015 when compared to the same period in the prior fiscal year is due to a 47,150 square foot lease renewal executed at our Rochester, Minnesota Maplewood Square property and a 36,752 square foot lease renewal executed at our St. Cloud Minnesota Westgate property. The increase in the rental rate at our Rochester, Minnesota property was primarily due to the improved financial condition of the tenant which enabled IRET to renew the lease at fair market rental rates. The lease renewal at our St. Cloud, Minnesota property contained a significant tenant improvement allowance negotiated by the tenant which enabled IRET to negotiate an increased rental rate as well. Absent these two lease transactions, the weighted average growth rate in effective rents for the retail segment for the nine months ended January 31, 2015 would have been 11.8%.

Table of Contents

INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

COMMERCIAL LEASING SUMMARY (Same-Store Properties)

Lease Expirations

Our ability to maintain and improve occupancy rates, and base rents, primarily depends upon our continuing ability to re-lease expiring space. The following table reflects the in-service portfolio lease expiration schedule of our consolidated commercial segments properties, including square footage and annualized base rent for expiring leases, as of January 31, 2015.

Fiscal Year of Lease Expiration	# of Leases	Square Footage of Expiring Leases⁽³⁾	Percentage of Total Commercial Segments Leased Square Footage	Annualized Base Rent of Expiring Leases at Expiration⁽²⁾		Percentage of Total Commercial Segments Annualized Base Rent
2015(remainder)⁽¹⁾	63	439,791	5.1%	$	5,194,075	4.5%
2016	124	1,051,087	12.2%		12,563,469	10.9%
2017	145	1,239,131	14.4%		19,394,557	16.8%
2018	103	772,479	8.9%		11,874,316	10.3%
2019	88	1,290,169	15.0%		17,851,438	15.5%
2020	57	677,871	7.8%		7,981,396	6.9%
2021	51	430,125	5.0%		6,096,329	5.3%
2022	46	1,386,552	16.1%		17,577,646	15.3%
2023	16	499,626	5.8%		2,519,283	2.2%
2024	43	405,254	4.7%		6,313,940	5.5%
Thereafter	25	432,096	5.0%		7,825,276	6.8%
Totals	761	8,624,181	100.0%	$	115,191,725	100.0%

(1)	Includes month-to-month leases. As of January 31, 2015 month-to-month leases accounted for 342,968 square feet.

(2)	Annualized Base Rent is monthly scheduled rent as of January 1, 2015, multiplied by 12.

(3)	Assuming that none of the tenants exercise renewal or termination options, and including leases renewed prior to expiration. Also excludes 143,024 square feet of space occupied by IRET.

Because of the diverse property types in the Company's commercial portfolio and the dispersed locations of a substantial portion of the portfolio's properties in secondary and tertiary markets, information on current market rents is difficult to obtain, is highly subjective, and is often not directly comparable between properties. As a result, the Company believes that the increase or decrease in effective rent on its recent leases is the most objective and meaningful information available regarding rent trends and the relationship between rents on leases expiring in the near-term and current market rents across the Company's markets. The Company believes that rents on its new and renewed leases generally approximate market rents.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

10 LARGEST COMMERCIAL TENANTS – BASED ON ANNUALIZED BASE RENT⁽¹⁾

as of January 31, 2015

Tenant	Number of Properties	Average Remaining Lease Term in Months	% of Total Commercial Segments' Minimum Rents	Aggregate Rentable Square Feet	% of Aggregate Occupied Square Feet
Affiliates of Edgewood Vista	33	65	14.8%	1,521,147	15.5%
Fairview Health Services	10	39	3.8%	276,510	2.8%
St. Luke's Hospital of Duluth, Inc.	6	34	3.5%	198,775	2.0%
Applied Underwriters	3	25	2.4%	141,724	1.4%
HealthEast Care System	1	49	1.8%	114,316	1.2%
Microsoft (NASDAQ: MSFT)	1	47	1.4%	122,040	1.2%
Affiliates of Siemens USA (NYSE: SI)	2	26	1.4%	112,848	1.2%
Arcadis Corporate Services, Inc.	1	18	1.4%	71,430	0.7%
Nebraska Orthopaedic Hospital⁽²⁾	1	170	1.4%	61,758	0.6%
State of Idaho Department of Health and Welfare	2	37	1.2%	103,342	1.1%
Total/Weighted Average		49	33.1%	2,723,890	27.7%

(1)	See Definitions on page 32.

(2)

The tenant in the Company's Nebraska Orthopaedic Hospital property has exercised its option to purchase the property. The Company and its tenant are currently engaged in an arbitration proceeding pursuant to the lease agreement to determine the purchase price. The Company currently can give no assurance that the sale of the property pursuant to the purchase option will be completed.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

COMMERCIAL LEASE EXPIRATIONS

as of January 31, 2015

	(dollars in thousands except average rental rates)
Fiscal Year	Number of Leases	Rentable Square Feet⁽¹⁾	% of Rentable Square Feet	Annualized Rent⁽²⁾		Average Rental Rate		% of Annualized Base Rent
Office
2015(remainder)⁽³⁾	22	73,755	2.0%	$	1,045	$	14.17	2.0%
2016	59	547,464	14.7%		7,077		12.93	13.3%
2017	76	859,394	23.0%		14,260		16.59	26.8%
2018	57	518,063	14.0%		6,925		13.37	13.0%
2019	52	931,277	25.0%		12,951		13.91	24.4%
2020 and thereafter	73	800,857	21.5%		10,884		13.59	20.5%
	339	3,730,810	100.0%	$	53,142	$	14.24	100.0%

Healthcare
2015(remainder)⁽⁴⁾	22	309,750	10.8%	$	3,655	$	11.80	7.6%
2016	27	157,311	5.5%		2,945		18.72	6.2%
2017	31	164,634	5.7%		3,487		21.18	7.3%
2018	20	173,048	6.0%		4,229		24.44	8.8%
2019	14	191,963	6.7%		3,944		20.55	8.3%
2020 and thereafter	109	1,872,167	65.3%		29,485		15.75	61.8%
	223	2,868,873	100.0%	$	47,745	$	16.64	100.0%

Industrial
2015(remainder)⁽⁵⁾	0	0	0.0%	$	0	$	0.00	0.0%
2016	4	248,098	24.3%		1,493		6.02	29.8%
2017	1	69,600	6.8%		356		5.11	7.0%
2018	0	0	0.0%		0		0.00	0.0%
2019	5	127,600	12.5%		515		4.04	10.3%
2020 and thereafter	5	574,813	56.4%		2,653		4.62	52.9%
	15	1,020,111	100.0%	$	5,017	$	4.92	100.0%

Retail
2015(remainder)⁽⁶⁾	19	56,286	5.6%	$	494	$	8.78	5.3%
2016	34	98,214	9.8%		1,049		10.68	11.3%
2017	37	145,503	14.5%		1,291		8.87	13.9%
2018	26	81,368	8.1%		721		8.86	7.8%
2019	17	39,329	3.9%		441		11.21	4.7%
2020 and thereafter	51	583,687	58.1%		5,292		9.07	57.0%
	184	1,004,387	100.0%	$	9,288	$	9.25	100.0%

Commercial Total
2015(remainder)⁽⁷⁾	63	439,791	5.1%	$	5,194	$	11.81	4.5%
2016	124	1,051,087	12.2%		12,564		11.95	10.9%
2017	145	1,239,131	14.4%		19,394		15.65	16.9%
2018	103	772,479	8.9%		11,875		15.37	10.3%
2019	88	1,290,169	15.0%		17,851		13.84	15.5%
2020 and thereafter	238	3,831,524	44.4%		48,314		12.61	41.9%
	761	8,624,181	100.0%	$	115,192	$	13.36	100.0%

(1)	Excludes 143,024 square feet of space occupied by IRET.

(2)	Annualized Base Rent is monthly scheduled rent as of January 1, 2015 (cash basis), multiplied by 12.

(3)	Includes month-to-month leases. As of January 31, 2015 month-to-month leases accounted for 8,961 square feet.

(4)	Includes month-to-month leases. As of January 31, 2015 month-to-month leases accounted for 309,338 square feet.

(5)	The Industrial segment has no month-to-month leases in place as of January 31, 2015.

(6)	Includes month-to-month leases. As of January 31, 2015 month-to-month leases accounted for 24,669 square feet.

(7)	Includes month-to-month leases. As of January 31, 2015 month-to-month leases accounted for 342,968 square feet.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

FISCAL 2015 ACQUISITION SUMMARY

as of January 31, 2015

(dollars in thousands)

Property	Location	Property Type	Acquisition Date	Square Feet/Units	Occupancy At Acquisition	January 31, 2015 Occupancy	Acquisition Cost

Creekside Crossing	Bismarck, ND	Unimproved Land	May 22, 2014	n/a	n/a	n/a	$	4,269
Homestead Garden	Rapid City, SD	Multi-Family Residential	June 2, 2014	152	96.7%	94.1%		15,000
Silver Springs	Rapid City, SD	Multi-Family Residential	June 2, 2014	52	98.0%	86.5%		3,280
PrairieCare Medical	Brooklyn Park, MN	Unimproved Land	June 5, 2014	n/a	n/a	n/a		2,616
71 France Phase I⁽¹⁾	Edina, MN	Unimproved Land	June 12, 2014	n/a	n/a	n/a		1,413
Northridge⁽²⁾	Bismarck, ND	Multi-Family Residential	September 12, 2014	68	55.9%	95.6%		8,500
Monticello 7^th Addition	Monticello, MN	Unimproved Land	October 9, 2014	n/a	n/a	n/a		1,660
71 France Phase II & III⁽¹⁾	Edina, MN	Unimproved Land	November 4, 2014	n/a	n/a	n/a		3,309
Minot 1525 24^th Ave SW	Minot, ND	Unimproved Land	December 23,2014	n/a	n/a	n/a		1,250
			Total Square Feet	0			$	41,297
			Total Units	272

(1)	Land is owned by a joint venture in which the Company will have an approximately 52.6% interest after the development project is completed. The joint venture is consolidated in IRET's financial statements.

(2)	Newly constructed project was purchased from developer and was still in lease-up at time of acquisition.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

FISCAL 2015 DEVELOPMENT PLACED IN SERVICE SUMMARY

as of January 31, 2015

(dollars in thousands)

Property⁽¹⁾	Location	Segment Type	Date Placed in Service	Square Feet/Units	Occupancy At Date Placed in Service	January 31, 2015 Occupancy	Development Cost

Dakota Commons⁽²⁾	Williston, ND	Multi-Family Residential	July 15, 2014	44	40.9%	100%	$	10,419
Minot Wells Fargo Bank⁽³⁾	Minot, ND	Retail	November 10, 2014	4,998	100%	100%		3,185
Red 20⁽⁴⁾	Minneapolis, MN	Multi-Family Residential	November 21, 2014	130	29.2%	55.4%		28,330
Commons at Southgate⁽⁵⁾	Minot, ND	Multi-Family Residential	December 9, 2014	233	75.1%	85.8%		34,612
Cypress Court II⁽⁶⁾	St. Cloud, MN	Multi-Family Residential	January 1, 2015	64	50.0%	50.0%		6,638
Arcata⁽⁷⁾	Golden Valley, MN	Multi-Family Residential	January 1, 2015	165	9.1%	9.1%		30,384
			Total Square Feet	4,998			$	113,568
			Total Units	636

(1)

Development projects that are placed in service in phases are excluded from this table until the entire project has been placed in service. See Note 6 for additional information on the Renaissance Heights project, which was partially placed in service during the fiscal year 2014 and the nine months ended January 31, 2015.

(2)	Development property placed in service July 15, 2014. Costs paid in fiscal year 2014 totaled $8.1 million, including the land acquired in fiscal year 2013. Additional costs paid in fiscal year 2015 totaled $2.3 million, for a total project cost at January 31, 2015 of $10.4 million.

(3)

Development property placed in service November 21, 2014. Costs paid in fiscal year 2014 totaled $12.2 million. Additional costs paid in fiscal year 2015 totaled $16.1 million, for a total project cost at January 31, 2015 of $28.3 million. The project is owned by a joint venture entity in which the Company has an approximately 58.6% interest. The joint venture is consolidated in IRET's financial statements.

(4)

Development property placed in service December 9, 2014. Costs paid in fiscal years 2013 and 2014 totaled $5.9 million and $20.6 million, respectively. Additional costs paid in fiscal year 2015 totaled $8.1 million, for a total project cost at January 31, 2015 of $34.6 million. The project is owned by a joint venture entity in which the Company has an approximately 52.9% interest. The joint venture is consolidated in IRET's financial statements.

(5)

Development property placed in service January 1, 2015. Costs paid in fiscal year 2014 totaled $1.2 million. Additional costs paid in fiscal year 2015 totaled $5.5 million, for a total project cost at January 31, 2015 of $6.6 million. The project is owned by a joint venture entity in which the Company has an approximately 86.1% interest. The joint venture is consolidated in IRET's financial statements.

(6)	Development property placed in service January 1, 2015. Costs paid in fiscal years 2013 and 2014 totaled $2.7 million and $8.6 million, respectively. Additional costs paid in fiscal year 2015 totaled $19.1 million, for a total project cost at January 31, 2015 of $30.4 million.

(7)	Development property placed in service November 10, 2014. Costs paid in fiscal year 2015 totaled $3.2 million, including land acquired in fiscal year 2013.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

FISCAL 2015 DEVELOPMENT IN PROGESS SUMMARY

as of January 31, 2015

(dollars in thousands)

				(in thousands)				(in fiscal years)
Project Name and Location	Planned Segment	Rentable Square Feet or Number of Units	Percentage Leased or Committed	Anticipated Total Cost		Costs as of January 31, 2015⁽¹⁾		Anticipated Construction Completion
Roseville 3075 Long Lake Rd - Roseville, MN	Industrial	202,807 sq ft	5.4%		13,915		8,900	4Q 2015
Minot Office Center - Minot, ND	Retail	7,963 sq ft	0%		2,923		1,802	1Q 2016
Renaissance Heights - Williston, ND⁽²⁾	Multi-Family Residential	288 units	46.9%		62,362		54,713	1Q 2016
Chateau II - Minot, ND	Multi-Family Residential	72 units	0%		14,711		11,257	1Q 2016
Edina 6565 France SMC III - Edina, MN	Healthcare	57,479 sq ft	24.2%		34,665		16,668	1Q 2016
Cardinal Point - Grand Forks, ND	Multi-Family Residential	251 units	0%		40,042		19,885	2Q 2016
Deer Ridge – Jamestown, ND	Multi-Family Residential	163 units	4.9%		24,519		11,202	2Q 2016
PrairieCare Medical - Brooklyn Park, MN	Healthcare	72,895 sq ft	100%		24,251		12,195	2Q 2016
71 France Phases I & II- Edina, MN⁽³⁾	Multi-Family Residential	181 units	0%		52,055		20,787	3Q 2016
Other	n/a	n/a	n/a		n/a		2,547	n/a
				$	379,870	$	263,105

(1)	Includes costs related to development projects that are placed in service in phases (Renaissance Heights - $46.0 million).

(2)	The Company is an approximately 70% partner in the joint venture entity constructing this project; the anticipated total cost amount given is the total cost to the joint venture entity.

(3)

The project will be constructed in three phases by a joint venture entity in which the Company has an approximately 52.6% interest. The anticipated total cost amount given in the table above is the total cost to the joint venture entity of the project's first and second phase. The expected total project cost for all three phases is approximately $73.3 million for a total of approximately 241 residential units and approximately 21,772 square feet of retail space.

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INVESTORS REAL ESTATE TRUST AND SUBSIDIARIES

ACQUISITIONS AND DEVELOPMENT LIQUIDITY PROFILE

as of January 31, 2015

(in millions)

Sources of Liquidity		Liquidity Needs
Liquidity Source	Amount	Liquidity Need	Amount
Cash on balance sheet as of 1/31/15⁽¹⁾	$ 52	Acquisitions	$ 24
Line of credit availability⁽²⁾	$ 40	Development	$ 32
Disposition proceeds⁽³⁾	$ 34
Estimated new debt on acquisitions	$ 17
Total Potential Liquidity	$ 143	Total Liquidity Needs	$ 56
Excess Liquidity / (Need)	$ 87

Capital Sources
Nine Months Ended 1/31/15		FY2014
Capital Source	Proceeds Generated	Capital Source	Proceeds Generated
Sale of common shares under dividend reinvestment and share purchase plan	$ 39	Sale of common shares under dividend reinvestment and share purchase plan	$ 41
Proceeds from sales of real estate and discontinued operations	$ 27	Proceeds from sales of real estate and discontinued operations	$ 80
Total Capital Generated	$ 66	Total Capital Generated	$ 121

(1)	Includes compensating balances of $14 million

(2)	Line of credit of $90 million less $50 million drawn as of 01/31/15

(3)

Disposition proceeds consists of $56 million of estimated gross proceeds, less estimated outstanding debt and estimated closing costs of $22 million from closed and pending sales for the period from 01/31/15 through 03/12/15. No assurances can be given that pending transactions will be completed on terms currently proposed, or at all.

(4)	Acquisitions amount consists of estimated gross costs for closed and pending acquisitions for the period from 01/31/15 through 03/12/15. No assurances can be given that pending transactions will be completed on terms currently proposed, or at all.

(5)	Development in progress of $380 million less construction loans closed or committed of $219 million = IRET equity required of $161 million. IRET equity required of $161 million less $129 million invested as of 01/31/15 = amount remaining to be invested of $32 million.

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Definitions

January 31, 2015

Adjusted EBITDA is earnings before interest, taxes, depreciation, amortization, gain/loss on sale of real estate and other investments, impairment of real estate investments, gain/loss on extinguishment of debt and gain/loss from involuntary conversion. We consider Adjusted EBITDA to be an appropriate supplemental performance measure because it permits investors to view income from operations without the effect of depreciation, the cost of debt, or non-operating gains and losses. Adjusted EBITDA is a non-GAAP measure. Adjusted EBITDA as calculated by us is not comparable to Adjusted EBITDA reported by other REITs that do not define Adjusted EBITDA exactly as we do.

Adjusted funds from operations (AFFO) is calculated by subtracting from Funds from operations (FFO) (1) tenant improvements and leasing costs at same-store properties, and recurring capital expenditures that are capitalized and amortized and are necessary to maintain our properties and revenue stream and (2) straight line rents, then adding (3) non-real estate depreciation and amortization and (4) share-based compensation expense. We may also subtract from FFO certain unusual non-recurring items that do not produce cash available for distribution to shareholders. Our calculation subtracts from FFO leasing commissions and tenant improvements at same-store properties only, since we consider tenant improvement and leasing cost levels at non-same-store properties unrepresentative of expected levels at same-store properties. Previously-reported AFFO amounts are not revised for changes in the composition of the same-store properties pool. AFFO is included herein because we consider it to be a measure of a REIT's ability to incur and service debt and to pay distributions to its shareholders. AFFO is a non-GAAP and non-standardized measure, and may be calculated differently by other REITs.

Annualized base rent (ABR) is calculated as monthly base rent (cash basis) per the lease, as of the reporting period, multiplied by 12.

Debt to total market capitalization is total debt from the balance sheet divided by the sum of total debt from the balance sheet plus the market value of shares outstanding at the end of the period.

Debt service coverage ratio is computed by dividing Adjusted EBITDA by interest expense and principal amortization.

Funds from operations (FFO) - The National Association of Real Estate Investment Trusts, Inc. (NAREIT) defines FFO as "net income (computed in accordance with generally accepted accounting principles, excluding gains (or losses) from sales of property, plus real estate depreciation and amortization, and adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect funds from operations on the same basis." In addition, in October 2011 NAREIT clarified its computation of FFO to exclude impairment charges for all periods presented. FFO is a non-GAAP measure. We consider FFO, which is a standard supplemental measure for equity real estate investment trusts, helpful to investors because it facilitates an understanding of the operating performance of properties without giving effect to impairment write-downs and to real estate depreciation and amortization, which assumes that the value of real estate assets diminishes predictably over time. Since real estate values instead historically rise or fall with market conditions, we believe that FFO provides investors and management with a more accurate indication of our financial and operating results.

Net Operating Income (NOI) is total real estate revenues and gain on involuntary conversion less real estate expenses (which consist of utilities, maintenance, real estate taxes, insurance and property management expenses). We believe that NOI is an important supplemental measure of operating performance for a REIT's operating real estate because it provides a measure of core operations that is unaffected by depreciation, amortization, financing and general and administrative expense. NOI does not represent cash generated by operating activities in accordance with GAAP and should not be considered an alternative to net income, net income available for common shareholders or cash flow from operating activities as a measure of financial performance.

Payout ratio (FFO per share and unit basis) - The ratio of the current quarterly or annual distribution rate per common share and unit divided by quarterly or annual FFO per share and unit.

Ratio of earnings to fixed charges - The ratio of earnings to fixed charges is computed by dividing earnings by fixed charges. For this purpose, earnings consist of income from continuing operations plus fixed charges and preferred distributions, less adjustments for noncontrolling interests - consolidated real estate entities, capitalized interest and preferred distributions. Fixed charges consist of mortgage and loan interest expense, whether expensed or capitalized, the amortization of debt expense and capitalized interest.

Ratio of earnings to combined fixed charges and preferred distributions - The ratio of earnings to combined fixed charges and preferred distributions is computed by dividing earnings by combined fixed charges and preferred distributions. For this purpose, earnings consist of income from continuing operations plus fixed charges and preferred distributions, less adjustments for noncontrolling interests - consolidated real estate entities, capitalized interest and preferred distributions. Combined fixed charges and preferred distributions consist of fixed charges (mortgage and loan interest expense, whether expensed or capitalized, the amortization of debt expense and capitalized interest) and preferred distributions.

Recurring capital expenditures are expenditures (excluding capital expenditures recoverable from tenants and capital expenditures at properties sold during the period) made on a regular or recurring basis to maintain a property's competitive position within its market, generally with a depreciable life of 5 to 12 years, but excluding (a) capital expenditures made in the year of acquisition and in subsequent periods until the property is classified as same-store (i.e., excluding capital expenditures on non-same-store properties), (b) improvements associated with the expansion or re-development of a building, (c) renovations to a building which change the underlying classification of the building (for example, from industrial to office or Class C office to Class A office) or (d) capital improvements that represent the addition of something new to a property, rather than the replacement of an existing item.

Scheduled rent revenue is the total possible revenue from all leasable units and square footage, with occupied space valued at contract rates pursuant to leases and vacant units or square footage at market rates.

North Dakota	0-14851	45-0311232
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

	INVESTORS REAL ESTATE TRUST

	By: /s/ Timothy P. Mihalick
	Timothy P. Mihalick
	President & Chief Executive Officer

Date: March 12, 2015

Exhibit
Number	Description

99.1	Earnings Release issued March 12, 2015, regarding financial and operational results for the three and nine months ended January 31, 2015

99.2	Supplemental information