Exhibit 99.1

Earnings Release

Centerspace Announces Financial and Operating Results for the Year Ended

December 31, 2022 and Provides 2023 Financial Outlook

MINNEAPOLIS, MN, February 21, 2023 – Centerspace (NYSE: CSR) announced today its financial and operating results for the year ended December 31, 2022. The tables below show Net Income (Loss), Funds from Operations (“FFO”)1, and Core FFO1, all on a per share basis, for the year ended December 31, 2022; Same-Store Revenues, Expenses, and Net Operating Income ("NOI")1 over comparable periods; and Same-Store Weighted Average Occupancy for the three months ended December 31, 2022, September 30, 2022, and December 31, 2021 and the twelve months ended December 31, 2022 and 2021.

	Three Months Ended December 31,				Twelve Months Ended December 31,
Per Share	2022		2021		2022		2021
Net loss per share - diluted	$	(0.24)	$	(0.61)	$	(1.35)	$	(0.47)
FFO - diluted(1)	1.16		1.07		4.32		3.54
Core FFO - diluted(1)	1.17		1.08		4.43		3.99

	Year-Over-Year Comparison		Sequential Comparison		YTD Comparison
Same-Store Results	4Q22 vs 4Q21		4Q22 vs. 3Q22		CY22 vs. CY21
Revenues	9.3	%	2.2	%	10.0	%
Expenses	14.2	%	3.3	%	11.6	%
Net Operating Income (“NOI”)(1)	6.1	%	1.4	%	9.0	%

	Three months ended						Twelve months ended
Same-Store Results	December 31, 2022		September 30, 2022		December 31, 2021		December 31, 2022		December 31, 2021
Weighted Average Occupancy	94.9	%	94.5	%	93.4	%	94.5	%	94.3	%

(1)NOI, Funds from Operations, and Core FFO are non-GAAP financial measures. For more information on their usage and presentation, and a reconciliation to the most directly comparable GAAP measures, refer to "Non-GAAP Financial Measures and Reconciliations" in the Supplemental Financial and Operating Data below.

Highlights for the Year Ended December 31, 2022

•Net Loss was $1.35 per diluted share for the year ended December 31, 2022, compared to Net Loss of $0.47 per diluted share for the year ended December 31, 2021;

•Core FFO(1) increased to $4.43 or 11.0% per diluted share for the year ended December 31, 2022, compared to $3.99 for the year ended December 31, 2021;

•Same-store year-over-year NOI(1) growth of 9.0% driven by same-store revenue growth of 10.0%; and

•Repurchased 432,000 common shares for total consideration of $29.1 million and an average of $67.23 per share.

Balance Sheet

Centerspace closed on a $100.0 million term loan which bears interest at a floating rate of 120 to 175 basis points over the Secured Overnight Financing Rate (“SOFR”) based upon its leverage ratio and has a 364-day term with an option to extend for an additional 364-day term.

At December 31, 2022, Centerspace had $153.0 million of total liquidity on its balance sheet, including $142.5 million available on its lines of credit.

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Subsequent Events

Subsequent to December 31, 2022, we entered into definitive purchase and sale agreements for nine communities and believe they will close in the first quarter. The closing of pending transactions is subject to certain conditions and restrictions; therefore, there can be no assurance that the transactions will be consummated or that the final terms will not differ in material respects.

2023 Financial Outlook

Centerspace is providing the following guidance for its 2023 performance.

2023 Financial Outlook
			Range for 2023
	2022 Actual		Low		High
Net income (loss) per Share - diluted	$	(1.35)	$	2.37	$	3.25
FFO per Share - diluted	$	4.32	$	4.21	$	4.50
Core FFO per Share - diluted	$	4.43	$	4.27	$	4.56

Additional assumptions:

•Same-store capital expenditures of $1,100 per home to $1,150 per home

•Value-add expenditures of $24.5 million to $27.5 million

•Proceeds from potential dispositions of $155.0 million to $165.0 million

FFO and Core FFO are non-GAAP financial measures. For more information on their usage and presentation, and a reconciliation to the most directly comparable GAAP measures, please refer to "2023 Financial Outlook" in the Supplemental Financial and Operating Data below.

Earnings Call

Live webcast and replay:  https://www.ir.centerspacehomes.com
Live Conference Call		Conference Call Replay
Wednesday, February 22, 2023 at 10:00 AM ET		Replay available until March 8, 2023
USA Toll Free Number	1-844-200-6205	USA Toll Free Number	1-866-813-9403
International Toll Free Number	1-929-526-1599	International Toll Free Number	44-204-525-0658
Canada Toll Free Number	1-833-950-0062	Canada Toll Free Number	1-226-828-7578
Conference Number	831728	Conference Number	229148

Supplemental Information

Supplemental Operating and Financial Data for the year ended December 31, 2022, is available in the Investors section on Centerspace’s website at https://www.centerspacehomes.com or by calling Investor Relations at 701-837-7104. Non-GAAP financial measures and other capitalized terms, as used in this earnings release, are defined and reconciled in the Supplemental Financial and Operating Data, which accompanies this earnings release.

About Centerspace

Centerspace is an owner and operator of apartment communities committed to providing great homes by focusing on integrity and serving others. Founded in 1970, as of December 31, 2022, Centerspace owned 84 apartment communities consisting of 15,065 homes located in Colorado, Minnesota, Montana, Nebraska, North Dakota, and South Dakota. Centerspace was named a Top Workplace for 2022 by the Minneapolis Star Tribune. For more information, please visit www.centerspacehomes.com.

Forward-Looking Statements

Certain statements in this press release are based on the company's current expectations and assumptions, and are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements do not discuss historical fact, but instead include statements related to expectations, projections, intentions or other items related to the future. Forward-looking statements are typically identified by the use of terms such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “will,” “assumes,” “may,” “projects,” “outlook,” “future,” and variations of such words and similar expressions. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance, or achievements to be materially different from the results of operations,

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financial conditions, or plans expressed or implied by the forward-looking statements. Although the company believes the expectations reflected in its forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be achieved. Any statements contained herein that are not statements of historical fact should be deemed forward-looking statements. As a result, reliance should not be placed on these forward-looking statements, as these statements are subject to known and unknown risks, uncertainties, and other factors beyond the company's control and could differ materially from actual results and performance. Such risks and uncertainties are detailed from time to time in filings with the SEC, including the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” contained in the company's Annual Report on Form 10-K, in quarterly reports on Form 10-Q, and in other reports the company files with the SEC from time to time. The company assumes no obligation to update or supplement forward-looking statements that become untrue due to subsequent events.

Contact Information

Investor Relations

Joe McComish

Phone: 701-837-7104

E-mail: IR@centerspacehomes.com

Marketing & Media

Kelly Weber

Phone: 701-837-7104

E-mail: kweber@centerspacehomes.com

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Supplemental Financial and Operating Data

Table of Contents

December 31, 2022

	Page
Common Share Data	S-1
Key Financial Data
Condensed Consolidated Statements of Operations	S-2
Condensed Consolidated Balance Sheets	S-3
Non-GAAP Financial Measures and Reconciliations
Net Operating Income Detail	S-4
Same-Store Controllable Expenses	S-6
Funds From Operations and Core Funds From Operations	S-6
Adjusted EBITDA	S-9
Debt and Capital Analysis
Debt Analysis	S-10
Capital Analysis	S-11
Portfolio Analysis
Same-Store Comparison	S-12
Portfolio Summary	S-15
Same-Store Capital Expenditures	S-16
2023 Financial Outlook	S-17

Common Share Data (NYSE: CSR)

	Three Months Ended
	December 31, 2022			September 30, 2022			June 30, 2022			March 31, 2022			December 31, 2021
High closing price	$	70.20		$	89.71		$	103.17		$	108.27		$	111.26
Low closing price	$	58.50		$	65.85		$	76.65		$	89.01		$	96.58
Average closing price	$	64.64		$	79.40		$	87.61		$	97.15		$	103.29
Closing price at end of quarter	$	58.67		$	67.32		$	81.55		$	98.12		$	110.90
Common share distributions—annualized	$	2.92		$	2.92		$	2.92		$	2.92		$	2.88
Closing price dividend yield - annualized	5.0		%	4.3		%	3.6		%	3.0		%	2.6		%
Closing common shares outstanding (thousands)	15,020			15,376			15,373			15,365			15,016
Closing limited partnership units outstanding (thousands)	971			980			995			997			832
Closing Series E preferred units, as converted (thousands)	2,119			2,186			2,186			2,186			2,186
Closing market value of outstanding common shares, plus imputed closing market value of outstanding limited partnership units (thousands)	$	1,062,514		$	1,248,247		$	1,513,079		$	1,819,930		$	1,999,971

S-1

CENTERSPACE

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)

(in thousands, except per share amounts)

	Three Months Ended										Twelve months ended
	12/31/2022		9/30/2022		6/30/2022		3/31/2022		12/31/2021		12/31/2022		12/31/2021
REVENUE	$	67,848	$	65,438	$	63,116	$	60,314	$	57,988	$	256,716	$	201,705
EXPENSES
Property operating expenses, excluding real estate taxes	21,755		20,290		19,011		19,014		16,852		80,070		57,753
Real estate taxes	7,464		7,039		7,205		6,859		6,654		28,567		24,104
Property management expenses	2,358		2,563		2,721		2,253		2,697		9,895		8,752
Casualty loss	335		276		382		598		280		1,591		344
Depreciation and amortization	25,768		23,720		24,768		31,001		30,418		105,257		92,165
General and administrative expenses	3,276		4,519		5,221		4,500		4,231		17,516		16,213
TOTAL EXPENSES	$	60,956	$	58,407	$	59,308	$	64,225	$	61,132	$	242,896	$	199,331
Gain (loss) on sale of real estate and other investments	14		—		27		—		678		41		27,518
Operating income (loss)	6,906		7,031		3,835		(3,911)		(2,466)		13,861		29,892
Interest expense	(9,603)		(7,871)		(7,561)		(7,715)		(7,456)		(32,750)		(29,078)
Interest and other income (loss)	132		70		(17)		1,063		1,117		1,248		(2,915)
Net income (loss)	$	(2,565)	$	(770)	$	(3,743)	$	(10,563)	$	(8,805)	$	(17,641)	$	(2,101)
Dividends to Series D preferred unitholders	(160)		(160)		(160)		(160)		(160)		(640)		(640)
Net (income) loss attributable to noncontrolling interest – Operating Partnership and Series E preferred units	753		439		950		2,157		1,793		4,299		2,806
Net (income) loss attributable to noncontrolling interests – consolidated real estate entities	(34)		(32)		(38)		(23)		(36)		(127)		(94)
Net income (loss) attributable to controlling interests	(2,006)		(523)		(2,991)		(8,589)		(7,208)		(14,109)		(29)
Dividends to preferred shareholders	(1,607)		(1,607)		(1,607)		(1,607)		(1,607)		(6,428)		(6,428)
NET INCOME (LOSS) AVAILABLE TO COMMON SHAREHOLDERS	$	(3,613)	$	(2,130)	$	(4,598)	$	(10,196)	$	(8,815)	$	(20,537)	$	(6,457)
Per Share Data - Diluted
Net earnings (loss) per common share – basic and diluted	$	(0.24)	$	(0.14)	$	(0.30)	$	(0.68)	$	(0.61)	$	(1.35)	$	(0.47)

S-2

CENTERSPACE

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)

(in thousands)

	12/31/2022		9/30/2022		6/30/2022		3/31/2022		12/31/2021
ASSETS
Real estate investments
Property owned	$	2,534,124	$	2,513,470	$	2,401,427	$	2,390,952	$	2,271,170
Less accumulated depreciation	(535,401)		(511,000)		(487,834)		(465,752)		(443,592)
	1,998,723		2,002,470		1,913,593		1,925,200		1,827,578
Mortgage loans receivable	—		—		—		—		43,276
Total real estate investments	1,998,723		2,002,470		1,913,593		1,925,200		1,870,854
Cash and cash equivalents	10,458		14,957		13,156		13,313		31,267
Restricted cash	1,433		1,417		1,914		2,409		7,358
Other assets	22,687		19,742		18,950		24,651		30,582
TOTAL ASSETS	$	2,033,301	$	2,038,586	$	1,947,613	$	1,965,573	$	1,940,061
LIABILITIES, MEZZANINE EQUITY, AND EQUITY
LIABILITIES
Accounts payable and accrued expenses	$	58,812	$	58,322	$	48,077	$	50,360	$	62,403
Revolving line of credit	113,500		171,500		73,000		46,000		76,000
Notes payable, net of unamortized loan costs	399,007		299,388		299,374		299,359		299,344
Mortgages payable, net of unamortized loan costs	495,126		496,530		497,917		521,536		480,703
TOTAL LIABILITIES	$	1,066,445	$	1,025,740	$	918,368	$	917,255	$	918,450
SERIES D PREFERRED UNITS	$	16,560	$	16,560	$	18,627	$	22,412	$	25,331
EQUITY
Series C Preferred Shares of Beneficial Interest	93,530		93,530		93,530		93,530		93,530
Common Shares of Beneficial Interest	1,177,484		1,209,732		1,207,849		1,203,685		1,157,255
Accumulated distributions in excess of net income	(539,422)		(524,905)		(511,552)		(495,732)		(474,318)
Accumulated other comprehensive income (loss)	(2,055)		(2,158)		(2,362)		(2,550)		(4,435)
Total shareholders’ equity	$	729,537	$	776,199	$	787,465	$	798,933	$	772,032
Noncontrolling interests – Operating Partnership and Series E preferred units	220,132		219,466		222,528		226,302		223,600
Noncontrolling interests – consolidated real estate entities	627		621		625		671		648
TOTAL EQUITY	$	950,296	$	996,286	$	1,010,618	$	1,025,906	$	996,280
TOTAL LIABILITIES, MEZZANINE EQUITY, AND EQUITY	$	2,033,301	$	2,038,586	$	1,947,613	$	1,965,573	$	1,940,061

S-3

CENTERSPACE

NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS (unaudited)

This release contains certain non-GAAP financial measures. The non-GAAP financial measures should not be considered a substitute for operating results determined in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The definitions and calculations of these non-GAAP financial measures, as calculated by the company may not be comparable to non-GAAP measures reported by other REITs that do not define each of the non-GAAP financial measures exactly as Centerspace does.

The company provides certain information on a same-store and non-same-store basis. Same-store apartment communities are owned or in service for substantially all of the periods being compared, and, in the case of development properties, have achieved a target level of physical occupancy of 90%. On the first day of each calendar year, Centerspace determines the composition of the same-store pool for that year and adjusts the previous year, to evaluate full period-over-period operating comparisons for existing apartment communities and their contribution to Net Operating Income. Measuring performance on a same-store basis allows investors to evaluate how a fixed pool of communities are performing year-over-year. Centerspace uses this measure to assess success in increasing NOI (defined and reconciled below), renewing leases on existing residents, controlling operating costs, and making prudent capital improvements.

Reconciliation of Operating Income (Loss) to Net Operating Income

Net Operating Income, or NOI, is a non-GAAP financial measure which the company defines as total real estate revenues less property operating expenses, including real estate taxes. Centerspace believes that NOI is an important supplemental measure of operating performance for real estate because it provides a measure of operations that is unaffected by depreciation and amortization, financing costs, property management expenses, casualty losses, and general and administrative expenses. 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.

	(dollars in thousands)
	Three Months Ended						Sequential				Year-Over-Year
	12/31/2022		9/30/2022		12/31/2021		$ Change		% Change		$ Change		% Change
Operating income (loss)	$	6,906	$	7,031	$	(2,466)	$	(125)	(1.8)	%	$	9,372	(380.0)	%
Adjustments:
Property management expenses	2,358		2,563		2,697		(205)		(8.0)	%	(339)		(12.6)	%
Casualty loss	335		276		280		59		21.4	%	55		19.6	%
Depreciation and amortization	25,768		23,720		30,418		2,048		8.6	%	(4,650)		(15.3)	%
General and administrative expenses	3,276		4,519		4,231		(1,243)		(27.5)	%	(955)		(22.6)	%
Gain (loss) on sale of real estate and other investments	(14)		—		(678)		(14)		N/A		664		(97.9)	%
Net Operating Income	$	38,629	$	38,109	$	34,482	$	520	1.4	%	$	4,147	12.0	%
Revenue
Same-store	$	51,337	$	50,253	$	46,980	$	1,084	2.2	%	$	4,357	9.3	%
Non-same-store	15,611		14,151		10,198		1,460		10.3	%	5,413		53.1	%
Other	900		1,034		810		(134)		(13.0)	%	90		11.1	%
Dispositions	—		—		—		—		N/A		—		N/A
Total	67,848		65,438		57,988		2,410		3.7	%	9,860		17.0	%
Property operating expenses, including real estate taxes
Same-store	21,063		20,389		18,436		674		3.3	%	2,627		14.2	%
Non-same-store	7,839		6,620		4,753		1,219		18.4	%	3,086		64.9	%
Other	317		317		312		—		—	%	5		1.6	%
Dispositions	—		3		5		(3)		(100.0)	%	(5)		(100.0)	%
Total	29,219		27,329		23,506		1,890		6.9	%	5,713		24.3	%
Net Operating Income
Same-store	30,274		29,864		28,544		410		1.4	%	1,730		6.1	%
Non-same-store	7,772		7,531		5,445		241		3.2	%	2,327		42.7	%
Other	583		717		498		(134)		(18.7)	%	85		17.1	%
Dispositions	—		(3)		(5)		3		(100.0)	%	5		(100.0)	%
Total	$	38,629	$	38,109	$	34,482	$	520	1.4	%	$	4,147	12.0	%

S-4

	(dollars in thousands)
	Twelve Months Ended December 31,
	2022		2021		$ Change		% Change
Operating income (loss)	$	13,861	$	29,892	$	(16,031)	(53.6)	%
Adjustments:
Property management expenses	9,895		8,752		1,143		13.1	%
Casualty loss	1,591		344		1,247		362.5	%
Depreciation and amortization	105,257		92,165		13,092		14.2	%
General and administrative expenses	17,516		16,213		1,303		8.0	%
Gain (loss) on sale of real estate and other investments	(41)		(27,518)		27,477		(99.9)	%
Net Operating Income	$	148,079	$	119,848	$	28,231	23.6	%
Revenue
Same-store	$	197,348	$	179,348	$	18,000	10.0	%
Non-same-store	55,602		16,276		39,326		241.6	%
Other	3,766		2,831		935		33.0	%
Dispositions	—		3,250		(3,250)		(100.0)	%
Total	256,716		201,705		55,011		27.3	%
Property operating expenses, including real estate taxes
Same-store	80,368		72,009		8,359		11.6	%
Non-same-store	27,063		7,087		19,976		281.9	%
Other	1,203		1,120		83		7.4	%
Dispositions	3		1,641		(1,638)		(99.8)	%
Total	108,637		81,857		26,780		32.7	%
Net Operating Income
Same-store	116,980		107,339		9,641		9.0	%
Non-same-store	28,539		9,189		19,350		210.6	%
Other	2,563		1,711		852		49.8	%
Dispositions	(3)		1,609		(1,612)		(100.2)	%
Total	$	148,079	$	119,848	$	28,231	23.6	%

S-5

Reconciliation of Same-Store Controllable Expenses to Property Operating Expenses, Including Real Estate Taxes

Centerspace defines same-store controllable expenses as property operating expenses excluding real estate taxes and insurance. The company believes it provides a measure of expenses that are within management's control, and is used for the purposes of budgeting, business planning, and performance evaluation. This is a non-GAAP financial measure and should not be considered an alternative to total expenses or total property operating expenses and real estate taxes.

	(dollars in thousands)
	Three Months Ended December 31,								Twelve Months Ended December 31,
	2022		2021		$ Change		% Change		2022		2021		$ Change		% Change
Controllable expenses
On-site compensation (1)	$	5,379	$	4,614	$	765	16.6	%	$	20,341	$	18,634	$	1,707	9.2	%
Repairs and maintenance	3,296		2,941		355		12.1	%	12,810		10,363		2,447		23.6	%
Utilities	3,458		2,950		508		17.2	%	13,902		11,762		2,140		18.2	%
Administrative and marketing	1,069		1,025		44		4.3	%	4,348		3,934		414		10.5	%
Total	$	13,202	$	11,530	$	1,672	14.5	%	$	51,401	$	44,693	$	6,708	15.0	%
Non-controllable expenses
Real estate taxes	$	5,672	$	5,226	$	446	8.5	%	$	21,746	$	21,267	$	479	2.3	%
Insurance	2,189		1,680		509		30.3	%	7,221		6,049		1,172		19.4	%
Total	$	7,861	$	6,906	$	955	13.8	%	$	28,967	$	27,316	$	1,651	6.0	%
Property operating expenses, including real estate taxes - non-same-store	$	7,839	$	4,753	$	3,086	64.9	%	$	27,063	$	7,087	$	19,976	281.9	%
Property operating expenses, including real estate taxes - other	317		312		5		1.6	%	1,203		1,120		83		7.4	%
Property operating expenses, including real estate taxes - dispositions	—		5		(5)		(100.0)	%	3		1,641		(1,638)		(99.8)	%
Total property operating expenses, including real estate taxes	$	29,219	$	23,506	$	5,713	24.3	%	$	108,637	$	81,857	$	26,780	32.7	%

(1)On-site compensation for administration, leasing, and maintenance personnel.

Reconciliation of Net Income (Loss) Available to Common Shareholders to Funds From Operations and Core Funds From Operations

Centerspace believes that FFO, which is a non-GAAP financial measurement used as a supplemental measure for equity real estate investment trusts, is helpful to investors in understanding operating performance, primarily because its calculation does not assume that the value of real estate assets diminishes predictably over time as implied by the historical cost convention of GAAP and the recording of depreciation.

Centerspace uses the definition of FFO adopted by the National Association of Real Estate Investment Trusts, Inc. (“Nareit”). Nareit defines FFO as net income or loss calculated in accordance with GAAP, excluding:

•depreciation and amortization related to real estate;

•gains and losses from the sale of certain real estate assets;

•impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity; and

•similar adjustments for partially owned consolidated real estate entities.

The exclusion in Nareit's definition of FFO of impairment write-downs and gains and losses from the sale of real estate assets helps to identify the operating results of the long-term assets that form the base of the company's investments, and assists management and investors in comparing those operating results between periods.

Due to the limitations of the Nareit FFO definition, Centerspace has made certain interpretations in applying the definition. The company believes that all such interpretations not specifically provided for in the Nareit definition are consistent with the definition. Nareit's FFO White Paper - 2018 Restatement clarified that impairment write-downs of land related to a REIT's main business are excluded from FFO, and a REIT has the option to exclude impairment write-downs of assets that are incidental to the main business.

S-6

While FFO is widely used by Centerspace as a primary performance metric, not all real estate companies use the same definition of FFO or calculate FFO in the same way. Accordingly, FFO presented here is not necessarily comparable to FFO presented by other real estate companies. FFO should not be considered as an alternative to net income or any other GAAP measurement of performance, but rather should be considered as an additional, supplemental measure. FFO also does not represent cash generated from operating activities in accordance with GAAP, nor is it indicative of funds available to fund all cash needs, including the ability to service indebtedness or make distributions to shareholders.

Core Funds from Operations ("Core FFO"), a non-GAAP measure, is FFO adjusted for non-routine items or items not considered core to business operations. By further adjusting for items that are not considered part of core business operations, the company believes that Core FFO provides investors with additional information to compare core operating and financial performance between periods. Core FFO should not be considered as an alternative to net income or as any other GAAP measurement of performance, but rather should be considered an additional supplemental measure. Core FFO also does not represent cash generated from operating activities in accordance with GAAP, nor is it indicative of funds available to fund all cash needs, including the ability to service indebtedness or make distributions to shareholders. Core FFO is a non-GAAP and non-standardized financial measure that may be calculated differently by other REITs and that should not be considered a substitute for operating results determined in accordance with GAAP.

S-7

	(in thousands, except per share amounts)
	Three Months Ended										Twelve Months Ended
	12/31/2022		9/30/2022		6/30/2022		3/31/2022		12/31/2021		12/31/2022		12/31/2021
Net (loss) income available to common shareholders	$	(3,613)	$	(2,130)	$	(4,598)	$	(10,196)	$	(8,815)	$	(20,537)	$	(6,457)
Adjustments:
Noncontrolling interests - Operating Partnership and Series E preferred units	(753)		(439)		(950)		(2,157)		(1,793)		(4,299)		(2,806)
Depreciation and amortization	25,768		23,720		24,768		31,001		30,418		105,257		92,165
Less depreciation - non real estate	(91)		(94)		(101)		(101)		(101)		(387)		(366)
Less depreciation - partially owned entities	(19)		(18)		(7)		(21)		(21)		(65)		(93)
(Gain) loss on sale of real estate	(14)		—		(27)		—		(678)		(41)		(27,518)
FFO applicable to common shares and Units	$	21,278	$	21,039	$	19,085	$	18,526	$	19,010	$	79,928	$	54,925
Adjustments to Core FFO:
Non-cash casualty loss (recovery)	20		46		163		25		—		254		—
Loss on extinguishment of debt	—		—		5		—		2		5		535
Technology implementation costs(1)	89		234		447		103		535		873		2,020
Commercial lease termination proceeds	—		—		—		—		—		—		(450)
Acquisition related costs	—		—		—		—		90		—		230
Interest rate swap termination, amortization, and mark-to-market	104		204		205		(613)		(411)		(100)		4,942
Amortization of assumed debt	(117)		(116)		(116)		(115)		(26)		(464)		(53)
Pursuit costs	137		38		1,127		—		38		1,302		39
Other miscellaneous items(2)	(28)		17		100		(4)		(99)		85		(103)
Core FFO applicable to common shares and Units	$	21,483	$	21,462	$	21,016	$	17,922	$	19,139	$	81,883	$	62,085
FFO applicable to common shares and Units	$	21,278	$	21,039	$	19,085	$	18,526	$	19,010	$	79,928	$	54,925
Dividends to Series D preferred unitholders	160		160		160		160		160		640		640
FFO applicable to common shares and Units - diluted	$	21,438	$	21,199	$	19,245	$	18,686	$	19,170	$	80,568	$	55,565
Core FFO applicable to common shares and Units	$	21,483	$	21,462	$	21,016	$	17,922	$	19,139	$	81,883	$	62,085
Dividends to Series D preferred unitholders	160		160		160		160		160		640		640
Core FFO applicable to common shares and Units - diluted	$	21,643	$	21,622	$	21,176	$	18,082	$	19,299	$	82,523	$	62,725
Per Share Data
Net earnings (loss) per share and unit - diluted	$	(0.24)	$	(0.14)	$	(0.30)	$	(0.68)	$	(0.61)	$	(1.35)	$	(0.47)
FFO per share and unit - diluted	$	1.16	$	1.13	$	1.02	$	1.01	$	1.07	$	4.32	$	3.54
Core FFO per share and unit - diluted	$	1.17	$	1.15	$	1.12	$	0.98	$	1.08	$	4.43	$	3.99
Weighted average shares - basic	15,027		15,373		15,369		15,097		14,541		15,216		13,803
Effect of redeemable operating partnership units	974		984		995		965		838		978		899
Effect of Series D preferred units	228		228		228		228		228		228		228
Effect of Series E preferred units	2,185		2,186		2,186		2,186		2,186		2,185		729
Effect of dilutive restricted stock units and stock options	9		30		48		66		75		38		45
Weighted average shares and units - diluted	18,423		18,801		18,826		18,542		17,868		18,645		15,704

(1)Costs are related to a two-year implementation.

(2)Consists of (gain) loss on investments

S-8

Reconciliation of Net Income (Loss) Available to Common Shareholders to Adjusted EBITDA

Adjusted EBITDA is earnings before interest, taxes, depreciation, amortization, gain or loss on sale of real estate and other investments, impairment of real estate investments, gain or loss on extinguishment of debt, and adjustments for non-routine items. Adjusted EBITDA is a non-GAAP financial measure and should not be considered a substitute for operating results determined in accordance with GAAP. The company considers Adjusted EBITDA to be an appropriate supplemental performance measure because it permits investors to view income from operations without the effect of depreciation, financing costs, or non-operating gains and losses.

	(in thousands)
	Three Months Ended										Twelve Months Ended
	12/31/2022		9/30/2022		6/30/2022		3/31/2022		12/31/2021		12/31/2022		12/31/2021
Net income (loss) attributable to controlling interests	$	(2,006)	$	(523)	$	(2,991)	$	(8,589)	$	(7,208)	$	(14,109)	$	(29)
Adjustments:
Dividends to Series D preferred unitholders	160		160		160		160		160		640		640
Noncontrolling interests – Operating Partnership and Series E preferred units	(753)		(439)		(950)		(2,157)		(1,793)		(4,299)		(2,806)
Income (loss) before noncontrolling interests – Operating Partnership	(2,599)		(802)		(3,781)		(10,586)		(8,841)		(17,768)		(2,195)
Adjustments:
Interest expense	9,589		7,856		7,547		7,700		7,440		32,692		29,018
Loss on extinguishment of debt	—		—		5		—		2		5		535
Depreciation and amortization related to real estate investments	25,747		23,699		24,759		30,980		30,397		105,185		92,073
Non-cash casualty loss (recovery)	20		46		163		25		—		254		—
Interest income	(92)		(82)		(74)		(464)		(644)		(712)		(2,403)
Gain (loss) on sale of real estate and other investments	(14)		—		(27)		—		(678)		(41)		(27,518)
Technology implementation costs(1)	89		234		447		103		534		873		2,020
Commercial lease termination proceeds	—		—		—		—		—		—		(450)
Acquisition related costs	—		—		—		—		90		—		230
Interest rate swap termination and mark-to-market	—		—		18		(582)		(359)		(564)		5,002
Pursuit costs	137		38		1,127		—		38		1,302		39
Other miscellaneous items(2)	(28)		17		100		(4)		(99)		85		(103)
Adjusted EBITDA	$	32,849	$	31,006	$	30,284	$	27,172	$	27,880	$	121,311	$	96,248

(1)Costs are related to a two-year implementation.

(2)Consists of (gain) loss on investments

S-9

CENTERSPACE

DEBT ANALYSIS

(in thousands)

Debt Maturity Schedule

Annual Expirations

	Future Maturities of Debt
	Secured Fixed Debt		Unsecured Fixed Debt		Unsecured Variable Debt		Total Debt		% of Total Debt		Weighted Average Interest Rate(1)
2023	$	41,425	$	—	$	100,000	$	141,425	14.0	%	5.11	%
2024	—		—		—		—		—	%	—	%
2025	31,279		—		113,500		144,779		14.0	%	4.03	%
2026	52,023		—		—		52,023		5.0	%	3.73	%
2027	50,933		—		—		50,933		5.0	%	3.47	%
Thereafter	322,617		300,000		—		622,617		62.0	%	3.19	%
Total debt	$	498,277	$	300,000	$	213,500	$	1,011,777	100.0	%	3.62	%

(1)Weighted average interest rate of debt that matures during the year, including the effect of interest rate swaps on the term loans and line of credit.

	12/31/2022			9/30/2022			6/30/2022			3/31/2022			12/31/2021
Debt Balances Outstanding
Secured fixed rate - mortgages payable - other	$	299,427		$	300,956		$	302,360		$	326,113		$	284,934
Secured fixed rate - mortgages payable - Fannie Mae credit facility	198,850			198,850			198,850			198,850			198,850
Unsecured fixed rate line of credit(1)	—			—			—			—			75,000
Unsecured variable rate line of credit	113,500			171,500			73,000			46,000			1,000
Unsecured term loans	100,000			—			—			—			—
Unsecured senior notes	300,000			300,000			300,000			300,000			300,000
Debt total	$	1,011,777		$	971,306		$	874,210		$	870,963		$	859,784
Quarterly Weighted Average Interest Rates
Mortgages payable - other rate	3.85		%	3.85		%	3.85		%	3.85		%	3.81		%
Mortgages payable - Fannie Mae Credit Facility rate	2.78		%	2.78		%	2.78		%	2.78		%	2.78		%
Lines of credit rate (rate with swap)(1)	5.23		%	4.13		%	3.04		%	2.56		%	4.22		%
Unsecured term loan rate	5.57		%	—			—			—			—
Unsecured senior notes rate	3.12		%	3.12		%	3.12		%	3.12		%	3.12		%
Total debt	3.62		%	3.45		%	3.27		%	3.29		%	3.26		%

(1)The LIBOR exposure on the line of credit was hedged using an interest rate swap with a notional of $75.0 million and a fixed rate of 2.81%. The interest rate swap was terminated in February 2022.

S-10

CENTERSPACE

CAPITAL ANALYSIS 

(in thousands, except per share and unit amounts)

	12/31/2022			9/30/2022			6/30/2022			3/31/2022			12/31/2021
Equity Capitalization
Common shares outstanding	15,020			15,376			15,373			15,365			15,016
Operating partnership units outstanding	971			980			995			997			832
Series E preferred units (as converted)	2,119			2,186			2,186			2,186			2,186
Total common shares and units outstanding	18,110			18,542			18,554			18,548			18,034
Market price per common share (closing price at end of period)	$	58.67		$	67.32		$	81.55		$	98.12		$	110.90
Equity capitalization-common shares and units	$	1,062,514		$	1,248,247		$	1,513,079		$	1,819,930		$	1,999,971
Recorded book value of preferred shares	$	93,530		$	93,530		$	93,530		$	93,530		$	93,530
Total equity capitalization	$	1,156,044		$	1,341,777		$	1,606,609		$	1,913,460		$	2,093,501
Series D preferred units	$	16,560		$	16,560		$	18,627		$	22,412		25,331
Debt capitalization
Total debt	1,011,777			971,306			874,210			870,963			859,784
Total capitalization	$	2,184,381		$	2,329,643		$	2,499,446		$	2,806,835		$	2,978,616
Total debt to total capitalization(1)	46.3		%	41.7		%	35.0		%	31.0		%	28.9		%

(1)Debt to total market capitalization is total debt not adjusted for unamortized deferred financing costs divided by the sum of total debt, market value of common shares and operating partnership units, Series E preferred units, as converted, and book value of Series C preferred shares and Series D preferred units outstanding at the end of the period.

	Three Months Ended															Twelve Months Ended
	12/31/2022			9/30/2022			6/30/2022			3/31/2022			12/31/2021			12/31/2022			12/31/2021
Debt service coverage ratio(1)	2.99		x	3.35		x	3.39		x	2.93		x	3.17		x	3.16		x	2.77		x
Adjusted EBITDA/Interest expense plus preferred distributions and principal amortization	2.58		x	2.81		x	2.83		x	2.50		x	2.68		x	2.67		x	2.34		x
Net debt/Adjusted EBITDA(2)	7.62		x	7.71		x	7.11		x	7.89		x	7.43		x	8.25		x	8.61		x
Net debt and preferred equity/Adjusted EBITDA(2)	8.46		x	8.60		x	8.03		x	8.96		x	8.50		x	9.16		x	9.84		x
Distribution Data
Common shares and units outstanding at record date	15,991			16,354			16,367			16,363			15,848			15,991			15,848
Total common distribution declared	$	11,614		$	11,939		$	11,948		$	11,944		$	11,411		$	47,445		$	42,669
Common distribution per share and unit	$	0.73		$	0.73		$	0.73		$	0.73		$	0.72		$	2.92		$	2.84
Payout ratio (Core FFO per diluted share and unit basis)(3)	62.4		%	63.5		%	65.2		%	74.5		%	66.7		%	65.9		%	71.2		%

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

(2)Net debt is the total debt balance less cash and cash equivalents and net tax deferred exchange proceeds (included within restricted cash). For the quarterly period presented, adjusted EBITDA is annualized. Net debt and adjusted EBITDA are non-GAAP measures and should not be considered a substitute for operating results determined in accordance with GAAP. Refer to the Adjusted EBITDA definition included within the Non-GAAP Financial Measures and Reconciliations section on page S-9.

(3)Payout ratio (Core FFO per diluted share and unit basis) is the current quarterly or annual distribution rate per common share and unit divided by quarterly or annual Core FFO per diluted share and unit. Refer to the definition of Core FFO in the Non-GAAP Financial Measures and Reconciliations section on page S-6 for This term is a non-GAAP measure and should not be considered a substitute for operating results determined in accordance with GAAP.

S-11

CENTERSPACE

SAME-STORE FOURTH QUARTER COMPARISONS

(dollars in thousands)

	Homes Included	Revenues						Expenses						NOI
Regions		Q42022		Q42021		% Change		Q42022		Q42021		% Change		Q42022		Q42021		% Change
Denver, CO	1,457	$	9,262	$	8,163	13.5	%	$	2,923	$	2,657	10.0	%	$	6,339	$	5,506	15.1	%
Minneapolis, MN	2,538	13,217		12,572		5.1	%	5,747		5,145		11.7	%	7,470		7,427		0.6	%
North Dakota	2,422	8,919		8,155		9.4	%	3,790		3,273		15.8	%	5,129		4,882		5.1	%
Omaha, NE	1,370	4,729		4,222		12.0	%	2,389		1,888		26.5	%	2,340		2,334		0.3	%
Rochester, MN	1,129	5,593		4,996		11.9	%	2,365		2,174		8.8	%	3,228		2,822		14.4	%
St. Cloud, MN	1,192	4,498		4,576		(1.7)	%	2,079		1,820		14.2	%	2,419		2,756		(12.2)	%
Other Mountain West(1)	1,222	5,119		4,296		19.2	%	1,770		1,479		19.7	%	3,349		2,817		18.9	%
Same-Store Total	11,330	$	51,337	$	46,980	9.3	%	$	21,063	$	18,436	14.2	%	$	30,274	$	28,544	6.1	%

	% of NOI		Weighted Average Occupancy (2)						Average Monthly Rental Rate (3)						Average Monthly Revenue per Occupied Home (4)
Regions			Q42022		Q42021		Growth		Q42022		Q42021		% Change		Q42022		Q42021		% Change
Denver, CO	20.9	%	96.6	%	93.5	%	3.1	%	$	1,949	$	1,797	8.5	%	$	2,194	$	1,997	9.9	%
Minneapolis, MN	24.7	%	94.6	%	92.6	%	2.0	%	1,644		1,593		3.2	%	1,835		1,783		2.9	%
North Dakota	16.9	%	96.3	%	95.3	%	1.0	%	1,168		1,107		5.5	%	1,275		1,178		8.2	%
Omaha, NE	7.7	%	93.7	%	93.9	%	(0.2)	%	1,111		996		11.5	%	1,228		1,094		12.2	%
Rochester, MN	10.7	%	93.8	%	91.7	%	2.1	%	1,663		1,505		10.5	%	1,760		1,608		9.5	%
St. Cloud, MN	8.0	%	91.3	%	91.9	%	(0.6)	%	1,218		1,106		10.1	%	1,377		1,392		(1.1)	%
Other Mountain West(1)	11.1	%	95.8	%	94.5	%	1.3	%	1,314		1,132		16.1	%	1,458		1,240		17.6	%
Same-Store Total	100.0	%	94.9	%	93.4	%	1.5	%	$	1,438	$	1,333	7.9	%	$	1,592	$	1,480	7.6	%

(1)Includes apartment communities in Billings, Montana and Rapid City, South Dakota.

(2)Weighted average occupancy is defined as the percentage resulting from dividing actual rental revenue by scheduled rent. Scheduled rent represents the value of all apartment homes, with occupied apartment homes valued at contractual rates pursuant to leases and vacant apartment homes valued at estimated market rents. When calculating actual rents for occupied apartment homes and market rents for vacant homes, delinquencies and concessions are not taken into account. Market rates are determined using the currently offered effective rates on new leases at the community and are used as the starting point in determination of the market rates of vacant apartment homes.

(3)Average monthly rental rate is scheduled rent divided by the total number of apartment homes.

(4)Average monthly revenue per occupied home is defined as total rental revenues divided by the weighted average occupied apartment homes for the period.

S-12

CENTERSPACE

SAME-STORE SEQUENTIAL QUARTER COMPARISONS(1)

(dollars in thousands)

	Homes Included	Revenues						Expenses						NOI
Regions		Q42022		Q32022		% Change		Q42022		Q32022		% Change		Q42022		Q32022		% Change
Denver, CO	1,457	$	9,262	$	8,922	3.8	%	$	2,923	$	3,121	(6.3)	%	$	6,339	$	5,801	9.3	%
Minneapolis, MN	2,538	13,217		13,057		1.2	%	5,747		5,768		(0.4)	%	7,470		7,289		2.5	%
North Dakota	2,422	8,919		8,784		1.5	%	3,790		3,457		9.6	%	5,129		5,327		(3.7)	%
Omaha, NE	1,370	4,729		4,703		0.6	%	2,389		2,084		14.6	%	2,340		2,619		(10.7)	%
Rochester, MN	1,129	5,593		5,451		2.6	%	2,365		2,039		16.0	%	3,228		3,412		(5.4)	%
St. Cloud, MN	1,192	4,498		4,370		2.9	%	2,079		2,154		(3.5)	%	2,419		2,216		9.2	%
Other Mountain West	1,222	5,119		4,966		3.1	%	1,770		1,766		0.2	%	3,349		3,200		4.7	%
Same-Store Total	11,330	$	51,337	$	50,253	2.2	%	$	21,063	$	20,389	3.3	%	$	30,274	$	29,864	1.4	%

	% of NOI		Weighted Average Occupancy						Average Monthly Rental Rate						Average Monthly Revenue per Occupied Home
Regions			Q42022		Q32022		Growth		Q42022		Q32022		% Change		Q42022		Q32022		% Change
Denver, CO	20.9	%	96.6	%	96.4	%	0.2	%	$	1,949	$	1,902	2.5	%	$	2,194	$	2,118	3.6	%
Minneapolis, MN	24.7	%	94.6	%	94.2	%	0.4	%	1,644		1,623		1.3	%	1,835		1,821		0.8	%
North Dakota	16.9	%	96.3	%	96.2	%	0.1	%	1,168		1,148		1.7		1,275		1,257		1.4	%
Omaha, NE	7.7	%	93.7	%	94.7	%	(1.1)	%	1,111		1,083		2.6	%	1,228		1,208		1.7	%
Rochester, MN	10.7	%	93.8	%	93.5	%	0.3	%	1,663		1,619		2.7	%	1,760		1,721		2.3	%
St. Cloud, MN	8.0	%	91.3	%	88.1	%	3.6	%	1,218		1,206		1.0	%	1,377		1,387		(0.7)	%
Other Mountain West	11.1	%	95.8	%	95.7	%	0.1	%	1,314		1,279		2.7	%	1,458		1,415		3.0	%
Same-Store Total	100.0	%	94.9	%	94.5	%	0.4	%	$	1,438	$	1,411	1.9	%	$	1,592	$	1,565	1.7	%

(1)Refer to footnotes on page S-12.

S-13

CENTERSPACE

SAME-STORE YEAR-TO-DATE COMPARISONS(1)

(dollars in thousands)

	Homes Included	Revenues						Expenses						NOI
Regions		2022		2021		% Change		2022		2021		% Change		2022		2021		% Change
Denver, CO	1,457	$	35,309	$	31,712	11.3	%	$	11,326	$	10,494	7.9	%	$	23,983	$	21,218	13.0	%
Minneapolis, MN	2,538	51,576		47,659		8.2	%	22,395		20,080		11.5	%	29,181		27,579		5.8	%
North Dakota	2,422	34,342		32,365		6.1	%	14,423		13,121		9.9	%	19,919		19,244		3.5	%
Omaha, NE	1,370	18,297		16,451		11.2	%	8,302		7,468		11.2	%	9,995		8,983		11.3	%
Rochester, MN	1,129	21,281		19,223		10.7	%	8,639		8,021		7.7	%	12,642		11,202		12.9	%
St. Cloud, MN	1,192	17,386		15,548		11.8	%	8,309		6,788		22.4	%	9,077		8,760		3.6	%
Other Mountain West	1,222	19,157		16,390		16.9	%	6,974		6,037		15.5	%	12,183		10,353		17.7	%
Same-Store Total	11,330	$	197,348	$	179,348	10.0	%	$	80,368	$	72,009	11.6	%	$	116,980	$	107,339	9.0	%

	% of NOI		Weighted Average Occupancy						Average Monthly Rental Rate						Average Monthly Revenue per Occupied Home
Regions			2022		2021		Growth		2022		2021		% Change		2022		2021		% Change
Denver, CO	20.6	%	95.4	%	94.0	%	1.5	%	$	1,882	$	1,730	8.8	%	$	2,118	$	1,929	9.8	%
Minneapolis, MN	24.9	%	94.1	%	93.6	%	0.5	%	1,613		1,544		4.5	%	1,800		1,672		7.7	%
North Dakota	17.0	%	95.7	%	95.4	%	0.3	%	1,134		1,088		4.2	%	1,234		1,167		5.7	%
Omaha, NE	8.5	%	95.1	%	94.7	%	0.4	%	1,055		949		11.2	%	1,170		1,056		10.8	%
Rochester, MN	10.8	%	93.9	%	93.7	%	0.2	%	1,581		1,429		10.6	%	1,674		1,515		10.5	%
St. Cloud, MN	7.8	%	90.9	%	92.6	%	(1.8)	%	1,174		1,036		13.3	%	1,336		1,174		13.8	%
Other Mountain West	10.4	%	95.5	%	96.7	%	(1.2)	%	1,238		1,053		17.6	%	1,367		1,156		18.3	%
Same-Store Total	100.0	%	94.5	%	94.3	%	0.2	%	$	1,388	$	1,281	8.4	%	$	1,536	$	1,399	9.8	%

(1)Refer to footnotes on page S-12.

S-14

CENTERSPACE

PORTFOLIO SUMMARY (1)

	Three Months Ended
	12/31/2022			9/30/2022			6/30/2022			3/31/2022			12/31/2021
Number of Apartment Homes at Period End
Same-Store	11,330			11,330			11,319			11,319			10,672
Non-Same-Store	3,735			3,734			3,519			3,519			3,769
All Communities	15,065			15,064			14,838			14,838			14,441
Average Monthly Rental Rate(2)
Same-Store	$	1,438		$	1,411		$	1,366		$	1,339		$	1,314
Non-Same-Store	1,352			1,286			1,245			1,218			1,225
All Communities	$	1,417		$	1,381		$	1,337		$	1,292		$	1,291
Average Monthly Revenue per Occupied Apartment Home(3)
Same-Store	$	1,592		$	1,565		$	1,518		$	1,471		$	1,463
Non-Same-Store	1,471			1,417			1,329			1,271			1,306
All Communities	$	1,562		$	1,530		$	1,473		$	1,424		$	1,423
Weighted Average Occupancy(4)
Same-Store	94.9		%	94.5		%	94.8		%	93.9		%	93.4		%
Non-Same-Store	94.7		%	94.6		%	95.0		%	94.5		%	94.7		%
All Communities	94.9		%	94.5		%	94.8		%	94.0		%	93.7		%
Operating Expenses as a % of Scheduled Rent
Same-Store	43.1		%	42.5		%	40.3		%	41.0		%	39.5		%
Non-Same-Store	51.7		%	48.7		%	47.1		%	50.6		%	44.1		%
All Communities	45.1		%	43.9		%	41.8		%	43.0		%	40.6		%
Capital Expenditures
Total Capital Expenditures per Apartment Home – Same-Store	$	364		$	465		$	196		$	145		$	369

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

(2)Average monthly rental rate is scheduled rent divided by the total number of apartment homes. Scheduled rent represents the value of all apartment homes, with occupied apartment homes valued at contractual rates pursuant to leases and vacant apartment homes valued at estimated market rents. When calculating actual rents for occupied apartment homes and market rents for vacant apartment homes, delinquencies and concessions are not taken into account. Market rates are determined using the currently offered effective rates on new leases at the community and are used as the starting point in determination of the market rates of vacant apartment homes.

(3)Average monthly revenue per occupied apartment home is defined as total rental revenues divided by the weighted average occupied apartment homes for the period.

(4)Weighted average occupancy is the percentage resulting from dividing actual rental revenue by scheduled rent. The company believes that weighted average occupancy is a meaningful measure of occupancy because it considers the value of each vacant unit at its estimated market rate. Weighted average occupancy may not completely reflect short-term trends in physical occupancy, and calculation of weighted average occupancy may not be comparable to that disclosed by other real estate companies.

S-15

CENTERSPACE

CAPITAL EXPENDITURES

(dollars in thousands, except per home amounts)

	Three Months Ended				Twelve Months Ended
	12/31/2022		12/31/2021		12/31/2022		12/31/2021
Total Same-Store Apartment Homes	11,330		11,330		11,330		11,330
Building - Exterior	$	601	$	982	$	2,643	$	3,133
Building - Interior	424		1,371		490		1,719
Mechanical, Electrical, & Plumbing	627		274		2,850		845
Furniture & Equipment	126		83		439		186
Landscaping & Grounds	747		354		1,737		719
Turnover Replacements	1,353		925		4,842		3,303
Work in progress	244		706		(520)		706
Capital Expenditures - Same-Store	$	4,122	$	4,695	$	12,481	$	10,611
Capital Expenditures per Apartment Home - Same-Store	$	364	$	414	$	1,102	$	937
Value Add	$	10,032	$	5,921	$	30,432	$	20,310
Total Capital Spend - Same-Store	$	14,154	$	10,616	$	42,913	$	30,921
Total Capital Spend per Apartment Home - Same Store	$	1,249	$	937	$	3,788	$	2,729
	Three Months Ended				Twelve Months Ended
Capital Expenditures - All Properties	12/31/2022		12/31/2021		12/31/2022		12/31/2021
All Properties - Weighted Average Homes	15,065		14,324		14,914		12,486
Capital Expenditures	$	4,322	$	5,062	$	14,725	$	11,226
Capital Expenditures per Apartment Home	$	287	$	353	$	987	$	899
Value Add	10,698		5,922		31,361		20,328
Acquisition Capital	6,199		$	1,523	11,237		2,818
Total Capital Spend	$	21,219	$	12,507	$	57,323	$	34,372
Total Capital Spend per Apartment Home	$	1,408	$	873	$	3,844	$	2,753
	Three Months Ended				Twelve Months Ended
Value Add Capital Expenditures	12/31/2022		12/31/2021		12/31/2022		12/31/2021
Interior - Units
Same-Store	$	4,337	$	1,923	$	18,857	$	11,304
Non-Same-Store	326		1		404		1
Total Interior Units	$	4,663	$	1,924	$	19,261	$	11,305
Common Areas and Exteriors
Same-Store	$	5,425	$	2,433	$	13,241	$	7,070
Non-Same-Store	340		—		536		6
Total Common Areas and Exteriors	$	5,765	$	2,433	$	13,777	$	7,076
Work in Progress
Same-Store	$	270	$	1,565	$	(1,666)	$	1,937
Non-Same-Store	—		—		(11)		11
Total Work in Progress	$	270	$	1,565	$	(1,677)	$	1,948
Total Value-Add Capital Expenditures
Same-Store	$	10,032	$	5,921	$	30,432	$	20,311
Non-Same-Store	666		1		929		18
Total Portfolio Value-Add	$	10,698	$	5,922	$	31,361	$	20,329

S-16

CENTERSPACE

2023 Financial Outlook

(in thousands, except per share amounts)

Centerspace is providing guidance for 2023.

	Twelve Months Ended		2023 Full-Year Guidance Range
	December 31, 2022		Low			High
	Actual		Amount			Amount
Same-store growth (1)
Revenue	$	220,630	6.00		%	8.00		%
Controllable expenses	58,571		3.00		%	4.50		%
Non-controllable expenses	32,682		8.00		%	9.50		%
Total Expenses	$	91,253	4.75		%	6.25		%
Same-store NOI (1)(2)	$	129,377	7.00		%	9.00		%
Components of NOI(2)
Same-store(1)	$	129,377	$	138,300		$	141,300
Non-same-store(1)	5,892		8,900			9,100
Other(1)	2,558		2,000			2,400
Dispositions(1)	10,252		2,500			2,800
Total NOI(2)	$	148,079	$	151,700		$	155,600
Interest expense	$	(32,750)	(37,100)			(36,700)
Dividends to preferred shareholders	$	(6,428)	(6,400)			(6,400)
Recurring income and expenses
Interest and other income (loss)	$	1,175	160			350
General and administrative and property management	(27,411)		(29,100)			(28,300)
Casualty losses	(1,591)		(1,500)			(1,300)
Non-real estate depreciation and amortization	(379)		(375)			(325)
Non-controlling interest	(127)		(110)			(100)
Total recurring income and expenses	$	(28,333)	(30,925)			(29,675)
FFO(2)	$	80,568	$	77,275		$	82,825
Non-core income and expenses
Non-cash casualty (gain) loss	$	254	$	500		$	300
Technology implementation costs	873		—			—
Interest rate swap termination, amortization, and mark-to-market	(100)		900			1,000
Pursuit costs	1,302		70			60
Other miscellaneous items	(374)		(310)			(350)
Total non-core income and expenses	$	1,955	$	1,160		$	1,010
Core FFO(2)	$	82,523	$	78,435		$	83,835
Net income (loss) per share - diluted	$	(1.35)	$	2.37		$	3.25
FFO per diluted share(2)	$	4.32	$	4.21		$	4.50
Core FFO per diluted share(2)	$	4.43	$	4.27		$	4.56
Weighted average shares outstanding - diluted	18,645		18,375			18,400
Additional Assumptions
Same-store capital expenditures (per home)	$	1,102	$	1,100		$	1,150
Value-add expenditures	31,361		24,500			27,500
Proceeds from potential dispositions	—		155,000			165,000

(1)Amounts for the year ended December 31, 2022 reflect the 2023 same-store pool.

(2)NOI, FFO, and Core FFO are non-GAAP financial measures. For more information on their usage and presentation, and a reconciliation to the most directly comparable GAAP measures, refer to "Non-GAAP Financial Measures and Reconciliations" in the Supplemental Financial and Operating Data" above.

S-17

Reconciliation of Net Income (Loss) Available to Common Shareholders to FFO and Core FFO

The following table presents reconciliations of Net income (loss) available to common shareholders to FFO and Core FFO, which are non-GAAP financial measures described in greater detail under "Non-GAAP Financial Measures and Reconciliations." They should not be considered as alternatives to net income or any other GAAP measurement of performance, but rather should be considered as an additional, supplemental measure. FFO and Core FFO also do not represent cash generated from operating activities in accordance with GAAP, nor are they indicative of funds available to fund all cash needs, including the ability to service indebtedness or make distributions to shareholders. The outlook and projections provided below are based on current expectations and are forward-looking.

			Outlook
	Twelve Months Ended		Twelve Months Ended
	December 31, 2022		December 31, 2023
	Amount		Low		High
Net income (loss) available to common shareholders	$	(20,537)	$	51,339	$	67,707
Noncontrolling interests - Operating Partnership and Series E preferred units	(4,299)		(7,795)		(7,885)
Depreciation and amortization	105,257		92,556		91,768
Less depreciation - non real estate	(387)		(375)		(325)
Less depreciation - partially owned entities	(65)		(110)		(100)
(Gain) loss on sale of real estate	(41)		(58,980)		(68,980)
Dividends to preferred unitholders	640		640		640
FFO applicable to common shares and Units	$	80,568	$	77,275	$	82,825
Adjustments to Core FFO:
Non-cash casualty (gain) loss	254		500		300
Loss on extinguishment of debt	5		—		—
Technology implementation costs	873		—		—
Interest rate swap termination, amortization, and mark-to-market	(100)		900		1,000
Pursuit costs	1,302		70		60
Other miscellaneous items	(379)		(310)		(350)
Core FFO applicable to common shares and Units	$	82,523	$	78,435	$	83,835
Net income (loss) per share - diluted	$	(1.35)	$	2.37	$	3.25
FFO per share - diluted	$	4.32	$	4.21	$	4.50
Core FFO per share - diluted	$	4.43	$	4.27	$	4.56

Reconciliation of Operating Income to Net Operating Income

Net operating income, or NOI, is a non-GAAP financial measure which the company defines as total real estate revenues less property operating expenses, including real estate taxes. Centerspace believes that NOI is an important supplemental measure of operating performance for real estate because it provides a measure of operations that is unaffected by depreciation, amortization, financing, property management overhead, casualty losses, and general and administrative expenses. 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.

			Outlook
	12 Months Ended		12 Months Ended
	December 31, 2022		December 31, 2023
	Actual		Low		High
Operating income	$	13,861	$	87,524	$	103,212
Adjustments:
General and administrative and property management expenses	27,411		29,100		28,300
Casualty loss	1,591		1,500		1,300
Depreciation and amortization	105,257		92,556		91,768
(Gain) loss on sale of real estate and other assets	(41)		(58,980)		(68,980)
Net Operating Income	$	148,079	$	151,700	$	155,600

S-18