SECURED AND UNSECURED DEBT, NET

12 Months Ended

Dec. 31, 2025

SECURED AND UNSECURED DEBT, NET

SECURED AND UNSECURED DEBT, NET

7. SECURED AND UNSECURED DEBT, NET

The following is a summary of our secured and unsecured debt at December 31, 2025 and 2024 (dollars in thousands):

	Principal Outstanding				As of December 31, 2025
					Weighted		Weighted
					Average		Average	Number of
	December 31,		December 31,		Interest		Years to	Communities
	2025		2024		Rate		Maturity	Encumbered
Secured Debt:
Fixed Rate Debt
Mortgage notes payable (a)	$	937,475	$	1,115,798	3.46	%	3.6	17
Deferred financing costs and other non-cash adjustments (b)		(3,252)		(3,429)
Total fixed rate secured debt, net		934,223		1,112,369	3.51	%	3.6	17
Variable Rate Debt
Tax-exempt secured notes payable (c)		27,000		27,000	3.11	%	6.2	1
Deferred financing costs		(43)		(38)
Total variable rate secured debt, net		26,957		26,962	3.14	%	6.2	1
Total Secured Debt, net		961,180		1,139,331	3.50	%	3.7	18
Unsecured Debt:
Variable Rate Debt
Borrowings outstanding under unsecured credit facility due August 2028 (d) (l)		—		—	—	%	2.7
Borrowings outstanding under unsecured commercial paper program due January 2026 (e) (l)		445,000		289,900	3.95	%	0.1
Borrowings outstanding under unsecured working capital credit facility due January 2027 (f)		26,381		9,361	4.44	%	1.0
Term Loan due January 2029 (d) (l)		175,000		175,000	4.70	%	3.1
Fixed Rate Debt
Term Loan due January 2029 (d) (l)		175,000		175,000	4.04	%	3.1
2.95% Medium-Term Notes due September 2026 (l)		300,000		300,000	2.95	%	0.7
3.50% Medium-Term Notes due July 2027 (net of discounts of $106 and $176, respectively) (l)		299,894		299,824	3.50	%	1.5
3.50% Medium-Term Notes due January 2028 (net of discounts of $242 and $361, respectively) (l)		299,758		299,639	3.50	%	2.0
4.40% Medium-Term Notes due January 2029 (net of discounts of $2 and $2, respectively) (g) (l)		299,998		299,998	4.27	%	3.1
3.20% Medium-Term Notes due January 2030 (net of premiums of $5,548 and $6,921, respectively) (h) (l)		605,548		606,921	3.32	%	4.0
3.00% Medium-Term Notes due August 2031 (net of premiums of $6,720 and $7,914, respectively) (i) (l)		606,720		607,914	3.01	%	5.6
2.10% Medium-Term Notes due August 2032 (net of discounts of $232 and $267, respectively) (l)		399,768		399,733	2.10	%	6.6
1.90% Medium-Term Notes due March 2033 (net of discounts of $869 and $989, respectively) (l)		349,131		349,011	1.90	%	7.2
2.10% Medium-Term Notes due June 2033 (net of discounts of $742 and $842, respectively) (l)		299,258		299,158	2.10	%	7.5
5.125% Medium-Term Notes due September 2034 (net of discounts of $2,649 and $2,954, respectively) (j) (l)		297,351		297,046	4.95	%	8.7
3.10% Medium-Term Notes due November 2034 (net of discounts of $780 and $868, respectively) (k) (l)		299,220		299,132	3.13	%	8.8
Deferred financing costs		(17,838)		(20,003)
Total Unsecured Debt, net		4,860,189		4,687,634	3.36	%	4.5
Total Debt, net	$	5,821,369	$	5,826,965	3.38	%	4.3

For purposes of classification of the above table, variable rate debt with a derivative financial instrument designated as a cash flow hedge is deemed as fixed rate debt due to the Company having effectively established a fixed interest rate for the underlying debt instrument.

Our secured debt instruments generally feature either monthly interest and principal or monthly interest-only payments with balloon payments due at maturity. As of December 31, 2025, secured debt encumbered approximately 10% of UDR’s total real estate owned based upon gross book value (approximately 90% of UDR’s real estate owned based on gross book value is unencumbered).

(a) At December 31, 2025, fixed rate mortgage notes payable are generally due in monthly installments of principal and interest and mature at various dates from June 2026 through February 2031 and carry interest rates ranging from 2.62% to 4.39%.

In July 2025, the Company repaid a $44.3 million fixed rate mortgage at maturity with borrowings from the Company’s unsecured commercial paper program.

In November 2025, the Company repaid a $127.6 million fixed rate mortgage at maturity with borrowings from the Company’s unsecured commercial paper program.

The Company will from time to time acquire properties subject to fixed rate debt instruments. In those situations, the Company records the debt at its estimated fair value and amortizes any difference between the fair value and par value to interest expense over the term of the underlying debt instrument.

(b) During the years ended December 31, 2025, 2024, and 2023, the Company had $0.7 million, $1.3 million, and $3.4 million, respectively, of amortization of the fair market adjustment of debt assumed in the acquisition of properties inclusive of its fixed rate mortgage notes payable, which was included in Interest expense on the Consolidated Statements of Operations. The unamortized fair market adjustment was a net premium/(discount) of $(0.5) million and $0.2 million at December 31, 2025 and 2024, respectively.

(c) The variable rate mortgage note payable secures a tax-exempt housing bond issue that matures in March 2032. Interest on this note is payable in monthly installments. As of December 31, 2025, the variable interest rate on the mortgage note was 3.11%.

(d) The Company has a $1.3 billion unsecured revolving credit facility (the “Revolving Credit Facility”) and a $350.0 million unsecured term loan (the “Term Loan”). The credit agreement for these facilities (the “Credit Agreement”) allows the total commitments under the Revolving Credit Facility and the total borrowings under the Term Loan to be increased to an aggregate maximum amount of up to $2.5 billion, subject to certain conditions, including obtaining commitments from one or more lenders. The Revolving Credit Facility has a scheduled maturity date of August 31, 2028, with two six-month extension options, subject to certain conditions. In September 2025, the Company amended the Term Loan to extend the maturity date to January 2029, with two one-year extension options, subject to certain conditions. The Term Loan was previously set to mature on January 31, 2027.

Based on the Company’s current credit rating, the Revolving Credit Facility has an interest rate equal to SOFR plus a margin of 77.5 basis points and a facility fee of 15 basis points, and the Term Loan has an interest rate equal to SOFR plus a margin of 85.0 basis points. Depending on the Company’s credit rating, the margin under the Revolving Credit Facility ranges from 70 to 140 basis points, the facility fee ranges from 10 to 30 basis points, and the margin under the Term Loan ranges from 75 to 160 basis points. In addition, the Credit Agreement allows for the Company in consultation with the sustainability structuring agent to propose key performance indicators with respect to certain environmental, social, and governance goals of the Company, and thresholds or targets with respect thereto, and a related amendment to the Credit Agreement, that if entered into may allow a change in the applicable margin for the Term Loan of up to five basis points.

In September 2025, the Company entered into three interest rate swaps totaling $175.0 million of notional value, which became effective in September 2025, to hedge against interest rate risk on a portion of the Term Loan debt until October 2027. The weighted average interest rate on $175.0 million of the Term Loan debt, inclusive of the impact of interest rate swaps, is 4.04% until October 2027.

The Credit Agreement contains customary representations and warranties and financial and other affirmative and negative covenants. The Credit Agreement also includes customary events of default, in certain cases subject to customary periods to cure. The occurrence of an event of default, following the applicable cure period, would permit the

lenders to, among other things, declare the unpaid principal, accrued and unpaid interest and all other amounts payable under the Credit Agreement to be immediately due and payable.

The following is a summary of short-term bank borrowings under the Revolving Credit Facility at December 31, 2025 and 2024 (dollars in thousands):

	December 31,			December 31,
	2025			2024
Total revolving credit facility	$	1,300,000		$	1,300,000
Borrowings outstanding at end of period (1)		—			—
Weighted average daily borrowings during the period ended		—			—
Maximum daily borrowings during the period ended		—			—
Weighted average interest rate during the period ended		—	%		—	%
Interest rate at end of the period		—	%		—	%

(1) Excludes $4.3 million and $3.4 million of letters of credit at December 31, 2025 and 2024, respectively.

(e) The Company has an unsecured commercial paper program. Under the terms of the program, the Company may issue unsecured commercial paper up to a maximum aggregate amount outstanding of $700.0 million. The notes are sold under customary terms in the United States commercial paper market and rank pari passu with all of the Company’s other unsecured indebtedness. The notes are fully and unconditionally guaranteed by the Operating Partnership.

The following is a summary of short-term bank borrowings under the unsecured commercial paper program at December 31, 2025 and 2024 (dollars in thousands):

	December 31,			December 31,
	2025			2024
Total unsecured commercial paper program	$	700,000		$	700,000
Borrowings outstanding at end of period		445,000			289,900
Weighted average daily borrowings during the period ended		318,244			390,237
Maximum daily borrowings during the period ended		650,000			645,000
Weighted average interest rate during the period ended		4.4	%		5.4	%
Interest rate at end of the period		3.9	%		4.7	%

(f) The Company has a working capital credit facility, which provides for a $75.0 million unsecured revolving credit facility (the “Working Capital Credit Facility”) with a scheduled maturity date of January 12, 2027. In December 2025, the Company extended the maturity date from January 12, 2026 to January 12, 2027, with two one-year extension options. Based on the Company’s current credit rating, the Working Capital Credit Facility has an interest rate equal to SOFR plus a margin of 77.5 basis points. Depending on the Company’s credit rating, the margin ranges from 70 to 140 basis points.

The following is a summary of short-term bank borrowings under the Working Capital Credit Facility at December 31, 2025 and 2024 (dollars in thousands):

	December 31,			December 31,
	2025			2024
Total working capital credit facility	$	75,000		$	75,000
Borrowings outstanding at end of period		26,381			9,361
Weighted average daily borrowings during the period ended		18,403			15,102
Maximum daily borrowings during the period ended		62,622			62,077
Weighted average interest rate during the period ended		5.1	%		6.0	%
Interest rate at end of the period		4.4	%		5.2	%

(g) The Company previously entered into forward starting interest rate swaps to hedge against interest rate risk on $150.0 million of the initial $300.0 million issued. The all-in weighted average interest rate, inclusive of the impact of these interest rate swaps, was 4.27%.

(h) The Company previously entered into forward starting interest rate swaps and treasury lock to hedge against the interest rate risk of this debt. The all-in weighted average interest rate, inclusive of the impact of the forward starting swaps and treasury locks, was 3.32%.

(i) The Company entered into treasury lock agreements to hedge against interest rate risk on $250.0 million of the $600.0 million aggregate principal amount. The all-in weighted average interest rate, inclusive of the impact of the treasury locks, was 3.01%.

(j) The Company entered into and settled treasury lock arrangements to hedge against all interest rate risk of the debt. The all-in weighted average interest rate, inclusive of the impact of the treasury locks, was 4.95%.

(k) The Company previously entered into forward starting interest rate swaps to hedge against the interest rate risk of this debt. The all-in weighted average interest rate, inclusive of the impact of these interest rate swaps, was 3.13%.

(l) The Operating Partnership is the guarantor of this debt.

The aggregate maturities, including amortizing principal payments on secured and unsecured debt, of total debt for the next ten years subsequent to December 31, 2025 are as follows (dollars in thousands):

	Total		Total		Total
Year	Secured Debt		Unsecured Debt		Debt
2026	$	56,672	$	745,000	$	801,672
2027		6,939		326,380		333,319
2028		166,526		300,000		466,526
2029		315,811		650,000		965,811
2030		230,597		600,000		830,597
2031		160,930		600,000		760,930
2032		27,000		400,000		427,000
2033		—		650,000		650,000
2034		—		600,000		600,000
2035		—		—		—
Thereafter		—		—		—
Subtotal		964,475		4,871,380		5,835,855
Non-cash (a)		(3,295)		(11,191)		(14,486)
Total	$	961,180	$	4,860,189	$	5,821,369

(a) Includes the unamortized balance of fair market value adjustments, premiums/discounts, and deferred financing costs. For the years ended December 31, 2025 and 2024, the Company amortized $5.0 million and $5.0 million, respectively, of deferred financing costs into Interest expense.

We were in compliance with the covenants of our debt instruments at December 31, 2025.