dea-ex992

We make statements in this Supplemental Information Package that are considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and are including this statement in this Supplemental Information Package for purposes of complying with those safe harbor provisions. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation: risks associated with our dependence on the U.S. Government and its agencies for substantially all of our revenues; risks associated with ownership and development of real estate; the risk of decreased rental rates or increased vacancy rates; loss of key personnel; the continuing adverse impact of the novel coronavirus (COVID-19) on the U.S., regional and global economies and the financial condition and results of operations of the Company; general volatility of the capital and credit markets and the market price of our common stock; the risk we may lose one or more major tenants; difficulties in completing and successfully integrating acquisitions; failure of acquisitions or development projects to occur at anticipated levels or to yield anticipated results; risks associated with actual or threatened terrorist attacks; intense competition in the real estate market that may limit our ability to attract or retain tenants or re-lease space; insufficient amounts of insurance or exposure to events that are either uninsured or underinsured; uncertainties and risks related to adverse weather conditions, natural disasters and climate change; exposure to liability relating to environmental and health and safety matters; limited ability to dispose of assets because of the relative illiquidity of real estate investments and the nature of our assets; exposure to litigation or other claims; risks associated with breaches of our data security; risks associated with our indebtedness; and other risks and uncertainties detailed in the “Risk Factors” section of our Form 10-K for the year ended December 31, 2019, filed with the Securities and Exchange Commission, or the SEC, on February 25, 2020 and our Form 10-Q for the quarter ended June 30, 2020, to be filed with the SEC on or about August 4, 2020 and the factors included under the heading “Risk Factors” in our other public filings. In addition, our qualification as a real estate investment trust involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, or the Code, and depends on our ability to meet the various requirements imposed by the Code through actual operating results, distribution levels and diversity of stock ownership. We assume no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

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

The following discussion related to the consolidated financial statements of the Company should be read in conjunction with the financial statements for the quarter ended June 30, 2020 that will be released on Form 10-Q to be filed on or about August 4, 2020.

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

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

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

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

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

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

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

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

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

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

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

Net Debt and Adjusted Net Debt. Net Debt represents consolidated debt (reported in accordance with GAAP) adjusted to exclude unamortized premiums and discounts and deferred financing fees, less cash and cash equivalents. By excluding these items, the result provides an estimate of the contractual amount of borrowed capital to be repaid, net of cash available to repay it. The Company believes this calculation constitutes a beneficial supplemental non-GAAP financial disclosure to investors in understanding its financial condition. Adjusted Net Debt is Net Debt reduced by 1) the lesser of i) anticipated lump-sum reimbursement amounts and ii) the cost to date for each project under construction and 2) 40% times the amount by which the cost to date exceeds anticipated lump-sum reimbursement amounts for each project under construction. These adjustments are made to 1) remove the estimated portion of each project under construction that has been financed with debt which may be repaid with anticipated cost reimbursement payments from the US Government and 2) remove the estimated portion of each project under construction, in excess of anticipated lump-sum reimbursements, that has been financed with debt but has not yet produced earnings. See page 20 for further information. The Company’s method of calculating Net Debt and Adjusted Net Debt may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs.

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


Outstanding Classes of Stock and Partnership Units - Fully Diluted Basis	At June 30, 2020			Earnings	Three months ended June 30, 2020		Three months ended June 30, 2019
Common shares		79,565,483		Net income available to Easterly Government Properties, Inc.	$	3,666	$	5,642
Unvested restricted shares		89,891		Net income available to Easterly Government Properties, Inc.
Common partnership and vested LTIP units		10,466,216		per share:
Total - fully diluted basis		90,121,590		Basic	$	0.05	$	0.08
				Diluted	$	0.05	$	0.08

Market Capitalization	At June 30, 2020			Net income	$	4,163	$	6,491
Price of Common Shares	$	23.12		Net income, per share - fully diluted basis	$	0.05	$	0.08
Total equity market capitalization - fully diluted basis	$	2,083,611		Funds From Operations (FFO)	$	27,817	$	23,213
Net Debt		897,092		FFO, per share - fully diluted basis	$	0.32	$	0.30
Total enterprise value	$	2,980,703
				FFO, as Adjusted	$	27,022	$	22,511
				FFO, as Adjusted, per share - fully diluted basis	$	0.31	$	0.29
Ratios	At June 30, 2020
Net debt to total enterprise value		30.1	%	Cash Available for Distribution (CAD)	$	23,397	$	19,729
Net debt to annualized quarterly EBITDA		6.1	x
Adjusted Net Debt to annualized quarterly pro				Liquidity			At June 30, 2020
forma EBITDA		5.7	x	Cash and cash equivalents			$	8,915
Cash interest coverage ratio		4.3	x
Cash fixed charge coverage ratio		3.9	x	Available under $450 million unsecured revolving credit facility⁽¹⁾			$	450,000

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

	June 30, 2020			December 31, 2019
Assets
Real estate properties, net	$	2,108,759		$	1,988,726
Cash and cash equivalents		8,915			12,012
Restricted cash		4,502			3,537
Deposits on acquisitions		1,350			1,800
Rents receivable		28,927			27,788
Accounts receivable		13,624			15,820
Deferred financing, net		1,394			1,749
Intangible assets, net		169,235			168,625
Interest rate swaps		-			541
Prepaid expenses and other assets		22,868			13,991
Total assets	$	2,359,574		$	2,234,589

Liabilities
Term loan facilities, net		248,784			248,602
Notes payable, net		447,048			446,927
Mortgage notes payable, net		204,624			206,312
Intangible liabilities, net		29,178			24,578
Deferred revenue		73,727			54,659
Interest rate swaps		15,408			5,837
Accounts payable, accrued expenses, and other liabilities		57,773			47,833
Total liabilities		1,076,542			1,034,748

Equity
Common stock, par value $0.01, 200,000,000 shares authorized,
79,655,374 and 74,832,292 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively.		797			748
Additional paid-in capital		1,371,293			1,257,319
Retained earnings		25,367			20,004
Cumulative dividends		(249,811	)		(210,760	)
Accumulated other comprehensive loss		(13,618	)		(4,690	)
Total stockholders' equity		1,134,028			1,062,621
Non-controlling interest in Operating Partnership		149,004			137,220
Total equity		1,283,032			1,199,841
Total liabilities and equity	$	2,359,574		$	2,234,589

	Three Months Ended						Six Months Ended
	June 30, 2020			June 30, 2019			June 30, 2020			June 30, 2019
Revenues
Rental income	$	59,550		$	50,513		$	116,133		$	99,001
Tenant reimbursements		435			1,655			1,587			3,239
Other income		541			581			1,024			1,116
Total revenues		60,526			52,749			118,744			103,356

Expenses
Property operating		10,915			10,934			22,173			20,897
Real estate taxes		6,617			5,465			13,179			11,220
Depreciation and amortization		23,654			22,967			47,210			45,418
Acquisition costs		668			452			1,206			922
Corporate general and administrative		5,505			4,667			10,988			8,984
Total expenses		47,359			44,485			94,756			87,441

Other income (expense)
Interest expense, net		(9,004	)		(8,018	)		(17,907	)		(16,150	)
Gain on the sale of operating property		-			6,245			-			6,245
Net income		4,163			6,491			6,081			6,010

Non-controlling interest in Operating Partnership		(497	)		(849	)		(718	)		(784	)
Net income available to Easterly Government
Properties, Inc.	$	3,666		$	5,642		$	5,363		$	5,226

Net income available to Easterly Government
Properties, Inc. per share:
Basic	$	0.05		$	0.08		$	0.07		$	0.08
Diluted	$	0.05		$	0.08		$	0.07		$	0.08

Weighted-average common shares outstanding:
Basic		76,171,627			68,247,822			75,532,169			64,756,271
Diluted		76,869,965			68,419,665			76,185,277			64,901,261

Net income, per share - fully diluted basis	$	0.05		$	0.08		$	0.07		$	0.08

Weighted average common shares outstanding -
fully diluted basis		86,766,753			78,227,623			85,750,924			74,550,106


	Three Months Ended						Six Months Ended
	June 30, 2020			June 30, 2019			June 30, 2020			June 30, 2019

Net income	$	4,163		$	6,491		$	6,081		$	6,010
Depreciation and amortization		23,654			22,967			47,210			45,418
Acquisition costs		668			452			1,206			922
Corporate general and administrative		5,505			4,667			10,988			8,984
Interest expense		9,004			8,018			17,907			16,150
Gain on the sale of operating property		-			(6,245	)		-			(6,245	)
Net Operating Income		42,994			36,350			83,392			71,239
Adjustments to Net Operating Income:
Straight-line rent and other non-cash adjustments		(606	)		(583	)		(1,304	)		(1,550	)
Amortization of above-/below-market leases		(1,527	)		(1,515	)		(3,048	)		(3,244	)
Amortization of deferred revenue		(697	)		(67	)		(1,394	)		(134	)
Cash Net Operating Income	$	40,164		$	34,185		$	77,646		$	66,311

	Three Months Ended						Six Months Ended
	June 30, 2020			June 30, 2019			June 30, 2020			June 30, 2019
Net income	$	4,163		$	6,491		$	6,081		$	6,010
Depreciation and amortization		23,654			22,967			47,210			45,418
Interest expense		9,004			8,018			17,907			16,150
Tax expense		177			135			266			253
Gain on the sale of operating property		-			(6,245	)		-			(6,245	)
EBITDA	$	36,998		$	31,366		$	71,464		$	61,586

Pro forma adjustments⁽¹⁾		168
Pro forma EBITDA	$	37,166

Net income	$	4,163		$	6,491		$	6,081		$	6,010
Depreciation and amortization		23,654			22,967			47,210			45,418
Gain on the sale of operating property		-			(6,245	)		-			(6,245	)
FFO	$	27,817		$	23,213		$	53,291		$	45,183
Adjustments to FFO:
Acquisition costs		668			452			1,206			922
Straight-line rent and other non-cash adjustments		(620	)		(592	)		(1,329	)		(1,566	)
Amortization of above-/below-market leases		(1,527	)		(1,515	)		(3,048	)		(3,244	)
Amortization of deferred revenue		(697	)		(67	)		(1,394	)		(134	)
Non-cash interest expense		360			323			718			645
Non-cash compensation		1,021			697			2,021			1,431
FFO, as Adjusted	$	27,022		$	22,511		$	51,465		$	43,237


FFO, per share - fully diluted basis	$	0.32		$	0.30		$	0.62		$	0.61
FFO, as Adjusted, per share - fully diluted basis	$	0.31		$	0.29		$	0.60		$	0.58

FFO, as Adjusted	$	27,022		$	22,511		$	51,465		$	43,237
Acquisition costs		(668	)		(452	)		(1,206	)		(922	)
Principal amortization		(878	)		(842	)		(1,748	)		(1,678	)
Maintenance capital expenditures		(1,646	)		(1,338	)		(2,523	)		(2,240	)
Contractual tenant improvements		(433	)		(150	)		(758	)		(188	)
Cash Available for Distribution (CAD)	$	23,397		$	19,729		$	45,230		$	38,209

Weighted average common shares outstanding -
fully diluted basis		86,766,753			78,227,623			85,750,924			74,550,106

⁽¹⁾Pro forma assuming a full quarter of operations from the two properties acquired in the second quarter of 2020.

Debt Instrument	Maturity Date			June 30, 2020 Interest Rate	June 30, 2020 Balance⁽¹⁾		June 30, 2020 Percent of Total Indebtedness
Unsecured debt
Revolving Credit facility	18-Jun-22⁽²⁾			LIBOR + 130bps	$	-	0.0%
2016 Term Loan facility	29-Mar-24			2.67%⁽³⁾		100,000	11.0%
2018 Term Loan facility	19-Jun-23			3.96%⁽⁴⁾		150,000	16.6%
2017 Series A Senior Notes	25-May-27			4.05%		95,000	10.5%
2017 Series B Senior Notes	25-May-29			4.15%		50,000	5.5%
2017 Series C Senior Notes	25-May-32			4.30%		30,000	3.3%
2019 Series A Senior Notes	12-Sep-29			3.73%		85,000	9.4%
2019 Series B Senior Notes	12-Sep-31			3.83%		100,000	11.0%
2019 Series C Senior Notes	12-Sep-34			3.98%		90,000	9.9%
Total unsecured debt	7.8 years			3.77%	$	700,000	77.2%
	(wtd-avg maturity)			(wtd-avg rate)

Secured mortgage debt
DEA - Pleasanton	18-Oct-23			LIBOR + 150bps	$	15,700	1.7%
VA - Golden	1-Apr-24			5.00%		9,096	1.0%
MEPCOM - Jacksonville	14-Oct-25			4.41%		8,457	0.9%
USFS II - Albuquerque	14-Jul-26			4.46%		16,086	1.8%
ICE - Charleston	15-Jan-27			4.21%		16,792	1.9%
VA - Loma Linda	6-Jul-27			3.59%		127,500	14.1%
CBP - Savannah	10-Jul-33			3.40%		12,376	1.4%
Total secured mortgage debt	6.8 years			3.65%	$	206,007	22.8%
	(wtd-avg maturity)			(wtd-avg rate)


Debt Statistics	June 30, 2020						June 30, 2020
Variable rate debt - unhedged	$	15,700		% Variable rate debt - unhedged				1.7	%
Fixed rate debt		890,307		% Fixed rate debt				98.3	%
Total Debt⁽¹⁾	$	906,007
Less: cash and cash equivalents		(8,915	)	Weighted average maturity			7.6 years
Net Debt	$	897,092		Weighted average interest rate				3.7	%
Less: adjustment for projects under construction⁽⁵⁾		(49,919	)
Adjusted Net Debt	$	847,173

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

⁽³⁾Calculated based on two interest rate swaps with an aggregate notional value of $100.0 million, which effectively fix the interest rate at 2.67% annually based on the Company’s current leverage ratio.

⁽⁴⁾Calculated based on four interest rate swaps with an aggregate notional value of $150.0 million, which effectively fix the interest rate at 3.96% annually based on the Company’s current leverage ratio.

	Secured Debt				Unsecured Debt
Year	Scheduled Amortization		Scheduled Maturities		Scheduled Maturities		Total		Percentage of Debt Maturing			Weighted Average Interest Rate of Scheduled Maturities
2020	$	1,817	-		-		$	1,817		0.2	%	-
2021		4,233	-		-			4,233		0.5	%	-
2022		5,297	-		-			5,297		0.6	%	-
2023		5,585		15,700		150,000		171,285		18.9	%		3.75	%
2024		5,730		8,395		100,000		114,125		12.6	%		2.86	%
2025		5,633		1,917	-			7,550		0.8	%		4.41	%
2026		3,686		6,368	-			10,054		1.1	%		4.46	%
2027		1,093		134,640		95,000		230,733		25.5	%		3.82	%
2028		983	-		-			983		0.1	%	-
2029		1,016	-			135,000		136,016		15.0	%		3.89	%
2030		1,049	-		-			1,049		0.1	%	-
2031		1,081	-			100,000		101,081		11.2	%		3.83	%
2032		1,116	-			30,000		31,116		3.4	%		4.30	%
2033		668	-		-			668		0.1	%	-
2034		-	-			90,000		90,000		9.9	%		3.98	%
Total	$	38,987	$	167,020	$	700,000	$	906,007		100.0	%

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

U.S. Government Leased Properties
VA - Loma Linda	Loma Linda, CA	Outpatient Clinic	2036	2016		327,614	$	16,277,599		7.0	%	$	49.69
Various GSA - Buffalo	Buffalo, NY	Office	2020 - 2025	2004		267,768		8,522,663		3.6	%		31.83
JSC - Suffolk	Suffolk, VA	Office	2028	1993 / 2004		403,737		8,106,829		3.5	%		20.08
FBI - Salt Lake	Salt Lake City, UT	Office	2032	2012		169,542		6,816,845		3.0	%		40.21
Various GSA - Portland	Portland, OR	Office	2020 - 2028	2002		223,261		6,646,648		2.9	%		30.16
Various GSA - Chicago	Des Plaines, IL	Office	2020 / 2022	1971 / 1999		232,759		6,605,763		2.9	%		29.46
IRS - Fresno	Fresno, CA	Office	2033	2003		180,481		6,476,232		2.8	%		35.88
VA - San Jose	San Jose, CA	Outpatient Clinic	2038	2018		90,085		5,825,450		2.5	%		64.67
EPA - Lenexa	Lenexa, KS	Office	2027	2007 / 2012		169,585		5,485,256		2.4	%		32.35
PTO - Arlington	Arlington, VA	Office	2035	2009		190,546		5,443,778		2.4	%		28.57
FBI - San Antonio	San Antonio, TX	Office	2021	2007		148,584		5,176,951		2.2	%		34.84
FEMA - Tracy	Tracy, CA	Warehouse	2038	2018		210,373		4,607,609		2.0	%		21.90
FDA - Alameda	Alameda, CA	Laboratory	2039	2019		69,624		4,544,619		2.0	%		65.27
FBI - Omaha	Omaha, NE	Office	2024	2009		112,196		4,539,105		2.0	%		40.46
TREAS - Parkersburg	Parkersburg, WV	Office	2021	2004 / 2006		182,500		4,426,764		1.9	%		24.26
EPA - Kansas City	Kansas City, KS	Laboratory	2023	2003		71,979		4,235,248		1.8	%		58.84
VA - South Bend	Mishakawa, IN	Outpatient Clinic	2032	2017		86,363		4,036,427		1.7	%		46.74
ICE - Charleston	North Charleston, SC	Office	2021 / 2027	1994 / 2012		86,733		3,815,284		1.7	%		43.99
USCIS - Lincoln	Lincoln, NE	Office	2025	2005		137,671		3,749,589		1.6	%		27.24
FBI / DEA - El Paso	El Paso, TX	Office	2028	1998 - 2005		203,269		3,749,467		1.6	%		18.45
VA - Mobile	Mobile, AL	Outpatient Clinic	2033	2018		79,212		3,718,582		1.6	%		46.94
FBI - New Orleans	New Orleans, LA	Office	2029	1999 / 2006		137,679		3,644,531		1.6	%		26.47
FBI - Pittsburgh	Pittsburgh, PA	Office	2027	2001		100,054		3,623,321		1.6	%		36.21
DOT - Lakewood	Lakewood, CO	Office	2024	2004		122,225		3,481,840		1.5	%		28.49
FBI - Birmingham	Birmingham, AL	Office	2020	2005		96,278		3,261,286		1.4	%		33.87
VA - Chico	Chico, CA	Outpatient Clinic	2034	2019		51,647		3,133,770		1.4	%		60.68
OSHA - Sandy	Sandy, UT	Laboratory	2024	2003		75,000		3,011,090		1.3	%		40.15
USFS II - Albuquerque	Albuquerque, NM	Office	2026	2011		98,720		3,006,955		1.3	%		30.46
USCIS - Tustin	Tustin, CA	Office	2034	1979 / 2019		66,818		3,004,864		1.3	%		44.97
FDA - College Park	College Park, MD	Laboratory	2029	2004		80,677		2,987,051		1.3	%		37.02
USFS I - Albuquerque	Albuquerque, NM	Office	2021	2006		92,455		2,925,947		1.3	%		31.65
DEA - Vista	Vista, CA	Laboratory	2020	2002		54,119		2,811,893		1.2	%		51.96
SSA - Charleston	Charleston, WV	Office	2024	1959 / 2000		110,000		2,779,647		1.2	%		25.27
FBI - Richmond	Richmond, VA	Office	2041	2001		96,607		2,776,810		1.2	%		28.74
ICE - Albuquerque	Albuquerque, NM	Office	2027	2011		71,100		2,767,009		1.2	%		38.92
JUD - Del Rio	Del Rio, TX	Courthouse/Office	2024	1992 / 2004		89,880		2,708,959		1.2	%		30.14
FBI - Albany	Albany, NY	Office	2035	1998		98,184		2,695,916		1.2	%		27.46
DEA - Pleasanton	Pleasanton, CA	Laboratory	2035	2015		42,480		2,688,256		1.2	%		63.28

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

U.S. Government Leased Properties (Cont.)
VA - Northeast	Northeast	Outpatient Clinic	2034	2019		56,330		2,685,835		1.2	%		47.68
JUD - El Centro	El Centro, CA	Courthouse/Office	2034	2004		43,345		2,651,832		1.1	%		61.18
TREAS - Birmingham	Birmingham, AL	Office	2029	2014		83,676		2,480,269		1.1	%		29.64
DEA - Sterling	Sterling, VA	Laboratory	2020	2001		49,692		2,462,237		1.1	%		49.55
DEA - Dallas Lab	Dallas, TX	Laboratory	2021	2001		49,723		2,442,882		1.1	%		49.13
JUD - Charleston	Charleston, SC	Courthouse/Office	2020	1999		50,888		2,408,114		1.0	%		47.32
DHA - Aurora⁽¹⁾	Aurora, CO	Office	2034	1998 / 2018		101,285		2,307,291		1.0	%		22.78
DEA - Upper Marlboro	Upper Marlboro, MD	Laboratory	2022	2002		50,978		2,294,520		1.0	%		45.01
FBI - Little Rock	Little Rock, AR	Office	2021	2001		101,977		2,261,585		1.0	%		22.18
MEPCOM - Jacksonville	Jacksonville, FL	Office	2025	2010		30,000		2,204,619		1.0	%		73.49
CBP - Savannah	Savannah, GA	Laboratory	2033	2013		35,000		2,148,399		0.9	%		61.38
DOE - Lakewood	Lakewood, CO	Office	2029	1999		115,650		2,084,275		0.9	%		18.02
DEA - Santa Ana	Santa Ana, CA	Office	2024	2004		39,905		1,875,725		0.8	%		47.00
ICE - Otay	San Diego, CA	Office	2022 / 2026	2001		52,881		1,814,725		0.8	%		36.69
NPS - Omaha	Omaha, NE	Office	2024	2004		62,772		1,767,746		0.8	%		28.16
VA - Golden	Golden, CO	Office/Warehouse	2026	1996 / 2011		56,753		1,743,712		0.8	%		30.72
USCG - Martinsburg	Martinsburg, WV	Office	2027	2007		59,547		1,711,890		0.7	%		28.75
DEA - Dallas	Dallas, TX	Office	2021	2001		71,827		1,678,276		0.7	%		23.37
CBP - Sunburst	Sunburst, MT	Office	2028	2008		33,000		1,615,847		0.7	%		48.97
DEA - Otay	San Diego, CA	Office	2020	1997		32,560		1,541,944		0.7	%		47.36
DEA - Birmingham	Birmingham, AL	Office	2020	2005		35,616		1,510,352		0.7	%		42.41
JUD - Aberdeen	Aberdeen, MS	Courthouse/Office	2025	2005		46,979		1,485,961		0.6	%		31.63
DEA - North Highlands	Sacramento, CA	Office	2033	2002		37,975		1,443,342		0.6	%		38.01
GSA - Clarksburg	Clarksburg, WV	Office	2024	1999		63,750		1,439,682		0.6	%		22.58
DEA - Albany	Albany, NY	Office	2025	2004		31,976		1,356,513		0.6	%		42.42
DEA - Riverside	Riverside, CA	Office	2032	1997		34,354		1,246,340		0.5	%		36.28
SSA - Dallas	Dallas, TX	Office	2020	2005		27,200		1,074,520		0.5	%		39.50
ICE - Pittsburgh	Pittsburgh, PA	Office	2022 / 2023	2004		33,425		800,086		0.3	%		31.69
VA - Baton Rouge	Baton Rouge, LA	Outpatient Clinic	2024	2004		30,000		796,498		0.3	%		26.55
JUD - South Bend	South Bend, IN	Courthouse/Office	2027	1996 / 2011		30,119		761,014		0.3	%		25.27
DEA - San Diego	San Diego, CA	Warehouse	2032	1999		16,100		537,427		0.2	%		33.38
SSA - Mission Viejo	Mission Viejo, CA	Office	2020	2005		11,590		473,290		0.2	%		40.84
DEA - Bakersfield	Bakersfield, CA	Office	2021	2000		9,800		370,790		0.2	%		37.84
SSA - San Diego	San Diego, CA	Office	2032	2003		10,856		340,050		0.1	%		33.81
Subtotal						6,725,334	$	229,933,441		99.6	%	$	34.31

⁽¹⁾15,215 square feet at DHA - Aurora were excluded from total rentable square feet as the Company attributed no value to this space at acquisition.

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

Privately Leased Properties
5998 Osceola Court - United Technologies	Midland, GA	Warehouse/Manufacturing	2023	2014		105,641		543,046		0.2	%		5.14
501 East Hunter Street - Lummus Corporation	Lubbock, TX	Warehouse/Distribution	2028	2013		70,078		409,602		0.2	%		5.84
Subtotal						175,719	$	952,648		0.4	%	$	5.42

Total / Weighted Average						6,901,053	$	230,886,089		100.0	%	$	33.57

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

U.S. Government
Department of Veteran Affairs ("VA")		12.4		882,261		12.7	%	$	41,609,488		18.0	%
Federal Bureau of Investigation ("FBI")		7.7		1,216,372		17.6	%		38,083,070		16.5	%
Drug Enforcement Administration ("DEA")		4.7		630,070		9.2	%		25,321,975		11.0	%
Judiciary of the U.S. ("JUD")		5.3		261,211		3.8	%		10,015,880		4.3	%
Environmental Protection Agency ("EPA")		6.0		241,564		3.5	%		9,720,504		4.2	%
Internal Revenue Service ("IRS")		10.4		236,233		3.4	%		8,331,236		3.6	%
U.S. Joint Staff Command ("JSC")		7.9		403,737		5.9	%		8,106,829		3.5	%
Immigration and Customs Enforcement ("ICE")		5.0		193,661		2.8	%		8,008,544		3.5	%
Food and Drug Administration ("FDA")		13.8		150,301		2.2	%		7,531,670		3.3	%
Bureau of the Fiscal Service ("BFS")		3.5		266,176		3.9	%		6,907,033		3.0	%
U.S. Citizenship and Immigration Services ("USCIS")		8.1		204,489		3.0	%		6,754,453		2.9	%
Federal Aviation Administration ("FAA")		0.3		209,970		3.1	%		6,235,444		2.7	%
U.S. Forest Service ("USFS")		3.5		191,175		2.8	%		5,932,902		2.6	%
Social Security Administration ("SSA")		3.8		200,866		2.9	%		5,616,391		2.4	%
Patent and Trademark Office ("PTO")		14.5		190,546		2.8	%		5,443,778		2.4	%
Federal Emergency Management Agency ("FEMA")		18.3		210,373		3.1	%		4,607,609		2.0	%
Customs and Border Protection ("CBP")		10.8		68,000		1.0	%		3,764,246		1.6	%
Department of Transportation ("DOT")		3.8		129,659		1.9	%		3,730,211		1.6	%
Occupational Safety and Health Administration ("OSHA")		3.6		75,000		1.1	%		3,011,090		1.3	%
Defense Health Agency ("DHA")		13.8		101,285		1.5	%		2,307,291		1.0	%
Military Entrance Processing Command ("MEPCOM")		5.2		30,000		0.4	%		2,204,619		1.0	%
Department of Energy ("DOE")		9.1		120,496		1.8	%		2,204,095		1.0	%
U.S. Department of Agriculture ("USDA")		6.4		73,031		1.1	%		2,178,959		0.9	%
National Park Service ("NPS")		4.0		62,772		0.9	%		1,767,746		0.8	%
U.S. Coast Guard ("USCG")		7.5		59,547		0.9	%		1,711,890		0.7	%
Small Business Administration ("SBA")		1.7		42,835		0.6	%		1,315,241		0.6	%
National Labor Relations Board ("NLRB")		5.2		36,640		0.5	%		1,086,877		0.5	%
U.S. Army Corps of Engineers ("ACOE")		4.6		39,320		0.6	%		1,075,526		0.5	%
National Oceanic and Atmospheric Administration ("NOAA")		2.6		25,612		0.4	%		795,569		0.3	%

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

U.S. Government (Cont.)
Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF")		4.7		21,342		0.3	%		771,970		0.3	%
General Services Administration - Other		5.2		18,163		0.3	%		562,450		0.2	%
Bureau of Indian Affairs ("BIA")		3.1		6,477		0.1	%		217,628		0.1	%
U.S. Attorney Office ("USAO")		3.6		6,408		0.1	%		144,703		0.1	%
U.S. Marshals Service ("USMS")		6.6		1,054		0.0	%		47,752		0.0	%
Department of Labor ("DOL")		3.6		1,004		0.0	%		22,670		0.0	%
U.S. Probation Office ("USPO")		3.6		452		0.0	%		10,214		0.0	%
Subtotal		7.8		6,608,102		96.2	%	$	227,157,553		98.4	%

Private Tenants
Other Private Tenants		1.9		50,116		0.7	%	$	1,444,984		0.6	%
Providence Health & Services		5.2		21,643		0.3	%		722,012		0.3	%
We Are Sharing Hope SC		1.3		21,609		0.3	%		608,892		0.3	%
United Technologies (Pratt & Whitney)		3.5		105,641		1.5	%		543,046		0.2	%
Lummus Corporation		8.1		70,078		1.0	%		409,602		0.2	%
Subtotal		4.4		269,087		3.8	%	$	3,728,536		1.6	%

Total / Weighted Average		7.7		6,877,189		100.0	%	$	230,886,089		100.0	%

Year of Lease Expiration	Number of Leases Expiring	Square Footage Expiring		Percentage of Total Square Footage Expiring			Annualized Lease Income Expiring		Percentage of Total Annualized Lease Income Expiring			Annualized Lease Income per Leased Square Foot Expiring
2020	16		647,380		9.4	%		24,339,339		10.5	%		37.60
2021	12		834,588		12.1	%		24,881,316		10.8	%		29.81
2022	7		124,523		1.8	%		4,835,037		2.1	%		38.83
2023	8		226,956		3.3	%		6,276,093		2.7	%		27.65
2024	10		727,374		10.6	%		23,031,097		10.0	%		31.66
2025	11		369,119		5.4	%		12,476,337		5.4	%		33.80
2026	3		157,011		2.3	%		4,807,312		2.1	%		30.62
2027	6		495,529		7.2	%		17,554,882		7.6	%		35.43
2028	8		783,003		11.4	%		16,081,277		7.0	%		20.54
2029	4		417,682		6.1	%		11,196,126		4.8	%		26.81
Thereafter	22		2,094,024		30.4	%		85,407,273		37.0	%		40.79
Total / Weighted Average	107		6,877,189		100.0	%	$	230,886,089		100.0	%	$	33.57

Projects Under Construction⁽¹⁾

Property Name

Location

Property Type

Total Rentable Square Feet

Percentage Leased

Lease Term

Anticipated Total Cost

Cost to Date

Anticipated Lump-Sum Reimbursement⁽²⁾

Anticipated Completion Date

Anticipated Lease Commencement

FDA - Lenexa

Lenexa, KS

Laboratory

59,690

100%

20-Year

67,302

62,911

41,257

4Q 2020

Total

59,690

67,302

62,911

41,257

Projects in Design⁽³⁾

Property Name

Location

Property Type

Total Estimated Rentable Square Feet

Percentage Leased

Lease Term

Anticipated Completion Date

Anticipated Lease Commencement

FDA - Atlanta

Atlanta, GA

Laboratory

162,000

100%

20-Year

4Q 2022

Total

162,000

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

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

Corporate Information

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

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

Equity Research Coverage

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

Jefferies	SunTrust Robinson Humphrey	Compass Point Research & Trading, LLC
Jonathan Petersen / Peter Abramowitz	Michael R. Lewis	Merrill Ross
212-284-1705 / 212-336-7241	212-319-5659	202-534-1392

Overview

Corporate Information and Analyst Coverage		6

Executive Summary		7

Corporate Financials

Balance Sheets		8

Income Statements		9

Net Operating Income		10

EBITDA, FFO and CAD		11

Debt

Debt Schedules		12

Debt Maturities		13

Properties

Operating Property Overview		14

Tenants		17

Lease Expirations		19

Summary of Re/Development Projects		20


Disclaimers


Supplemental Definitions


Supplemental Definitions


Table of Contents