STAG Industrial : Third Quarter 2024 Supplemental Information (Not Combined)

SUPPLEMENTAL INFORMATION

UNAUDITED THIRD QUARTER 2024

Forward-Looking Statements

This supplemental information package contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. STAG Industrial, Inc. (STAG) intends such 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 includes this statement for purposes of complying with these safe harbor provisions. Forward-looking statements, which are based on certain assumptions and describe STAG's future plans, strategies and expectations, are generally identifiable by use of the words "believe," "will," "expect," "intend," "anticipate," "estimate," "should", "project" or similar expressions. You should not rely on forward-looking statements since they involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond STAG's control and which could materially affect actual results, performances or achievements. Factors that may cause actual results to differ materially from current expectations include, but are not limited to, the risk factors discussed in STAG's most recent Annual Report on Form 10-K for the year ended December 31, 2023, as updated by the Company's subsequent reports filed with the Securities and Exchange Commission. Accordingly, there is no assurance that STAG's expectations will be realized. Except as otherwise required by the federal securities laws, STAG disclaims any obligation or undertaking to publicly release any updates or revisions to any forward-looking statement contained herein (or elsewhere) to reflect any change in STAG's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

Defined Terms, Including Non-GAAP Measurements

Please refer to the Definitions section near the end of these materials for definitions of capitalized terms used herein, including, among others, Annualized Base Rental Revenue, Capitalization Rate and Retention, as well as non-GAAP financial measures, such as Adjusted EBITDAre, Cash NOI, and Core FFO. These materials provide reconciliations of non-GAAP financial measures to net income (loss) in accordance with GAAP. None of the non-GAAP financial measures is intended as an alternative to net income (loss) in accordance with GAAP as a measure of the Company's financial performance.

Golden, CO

Londonderry, NH

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	1

TABLE OF CONTENTS

	Page		Page
Overview	3	Top Markets, Tenants and Industries
		Top Markets, Tenants and Industries	16
Financials
Consolidated Balance Sheets	4	Capitalization and Guidance
Consolidated Statements of Operations	5	Capital Structure, Debt Metrics & Covenants	17
Net Operating Income (NOI) & Cash NOI	6	Debt Summary	18
Funds From Operations (FFO) & Core FFO	7	Debt Maturity Schedule	19
Adjusted EBITDAre & Cash Available for Distribution (CAD)	8	Guidance	20
Portfolio		Definitions	21-24
Acquisitions	9
Development Summary	10
Dispositions
11
Leasing & Retention Statistics	12
Same Store NOI
13
Capital Expenditures	14
Lease Expiration Schedule	15

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	2

OVERVIEW

Snapshot (September 30, 2024)

Square Feet	114.5 million
Number of Buildings	578
Number of States	40
Portfolio Occupancy	97.1%
Operating Portfolio Occupancy	97.8%
Weighted Average Lease Term	4.3 years
Weighted Average Rent	$5.50/sf
Net Debt to Annualized Run Rate	5.1x
Adjusted EBITDAre ratio
Monthly Dividend (annualized)	$0.123333 ($1.48)

West Columbia, SC

Waukegan, IL

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	3

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)		September 30, 2024			December 31, 2023
Assets
Rental Property:
Land	$	739,975	$	698,633
Buildings and improvements, net of accumulated depreciation of $1,042,046 and $921,846, respectively		5,054,195			4,838,522
Deferred leasing intangibles, net of accumulated amortization of $369,301 and $360,094, respectively		413,509			435,722
Total rental property, net		6,207,679			5,972,877
Cash and cash equivalents		70,036			20,741
Restricted cash		1,108			1,127
Tenant accounts receivable		128,366			128,274
Prepaid expenses and other assets		101,922			80,455
Interest rate swaps		29,016			50,418
Operating lease right-of-use assets		28,105			29,566
Total assets	$	6,566,232	$	6,283,458
Liabilities and Equity
Liabilities:
Unsecured credit facility	$	256,000	$	402,000
Unsecured term loans, net		1,021,513			1,021,773
Unsecured notes, net		1,643,821			1,195,872
Mortgage notes, net		4,247			4,401
Accounts payable, accrued expenses and other liabilities		139,879			83,152
Interest rate swaps		3,027			-
Tenant prepaid rent and security deposits		47,056			44,238
Dividends and distributions payable		22,937			22,726
Deferred leasing intangibles, net of accumulated amortization of $29,055 and $26,613, respectively		31,195			29,908
Operating lease liabilities		32,217			33,577
Total liabilities	$	3,201,892	$	2,837,647
Equity:
Preferred stock, par value $0.01 per share, 20,000,000 shares authorized at September 30, 2024 and December 31, 2023; none issued or outstanding		-			-
Common stock, par value $0.01 per share, 300,000,000 shares authorized at September 30, 2024 and December 31, 2023, 182,205,640 and 181,690,867 shares issued		1,822			1,817
and outstanding at September 30, 2024 and December 31, 2023, respectively
Additional paid-in capital		4,281,290			4,272,376
Cumulative dividends in excess of earnings		(1,012,760)			(948,720)
Accumulated other comprehensive income		25,320			49,207
Total stockholders' equity		3,295,672			3,374,680
Noncontrolling interest		68,233			71,131
Noncontrolling interest in joint venture		435			-
Total equity		3,364,340			3,445,811
Total liabilities and equity	$	6,566,232	$	6,283,458

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	4

CONSOLIDATED STATEMENTS OF OPERATIONS

		Three months ended September 30,			Nine months ended September 30,
(in thousands, except per share data)		2024			2023			2024			2023
Revenue
Rental income	$	190,286	$	177,858	$	564,155	$	522,565
Other income		453			1,423			3,904			1,963
Total revenue		190,739			179,281			568,059			524,528
Expenses
Property		38,015			34,429			114,564			102,985
General and administrative		11,978			11,097			36,758			35,833
Depreciation and amortization		72,506			69,761			219,213			207,199
Loss on impairment		-			-			4,967			-
Other expenses		545			773			1,703			4,109
Total expenses		123,044			116,060			377,205			350,126
Other income (expense)
Interest and other income		14			17			39			53
Interest expense		(28,705)			(23,753)			(81,498)			(69,225)
Debt extinguishment and modification expenses		(36)			-			(703)			-
Gain on involuntary conversion		3,568			-			9,285			-
Gain on the sales of rental property, net		195			11,683			23,281			49,343
Total other income (expense)		(24,964)			(12,053)			(49,596)			(19,829)
Net income	$	42,731	$	51,168	$	141,258	$	154,573
Less: income attributable to noncontrolling interest		875			1,128			2,992			3,461
Net income attributable to STAG Industrial, Inc.	$	41,856		$	50,040		$	138,266		$	151,112
Less: amount allocated to participating securities		45			53			138			159
Net income attributable to common stockholders	$	41,811		$	49,987		$	138,128		$	150,953
Weighted average common shares outstanding - basic		182,027			180,803			181,899			179,810
Weighted average common shares outstanding - diluted		182,297			181,163			182,173			180,070
Net income per share - basic and diluted
Net income per share attributable to common stockholders - basic	$	0.23	$	0.28	$	0.76	$	0.84
Net income per share attributable to common stockholders - diluted	$	0.23	$	0.28	$	0.76	$	0.84

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	5

NET OPERATING INCOME (NOI) &

CASH NOI

		Three months ended September 30,
(in thousands)		2024			2023
Net income	$	42,731	$	51,168
General and administrative		11,978			11,097
Depreciation and amortization		72,506			69,761
Interest and other income		(14)			(17)
Interest expense		28,705			23,753
Loss on impairment		-			-
Gain on involuntary conversion		(3,568)			-
Debt extinguishment and modification expenses		36			-
Other expenses		545			773
Gain on the sales of rental property, net		(195)			(11,683)
Net operating income (1)	$	152,724		$	144,852
Net operating income	$	152,724	$	144,852
Rental property straight-line rent adjustments, net		(3,779)			(3,897)
Amortization of above and below market leases, net		(530)			(298)
Cash net operating income	$	148,415		$	140,657
Cash net operating income	$	148,415
Cash NOI from acquisitions' and dispositions' timing		1,434
Cash termination, solar and other income		(869)
Run Rate Cash NOI	$	148,980
Same Store Portfolio NOI
Total NOI	$	152,724	$	144,852
Less: NOI non-same-store properties		(11,023)			(5,963)
Termination, solar and other adjustments, net		(824)			(1,306)
Same Store NOI	$	140,877		$	137,583
Less: straight-line rent adjustments, net		(2,782)			(5,073)
Plus: amortization of above and below market leases, net		78			(108)
Same Store Cash NOI	$	138,173		$	132,402

Nine months ended September 30,

	2024			2023
$	141,258	$	154,573
	36,758			35,833
	219,213			207,199
	(39)			(53)
	81,498			69,225
	4,967			-
	(9,285)			-
	703			-
	1,703			4,109
	(23,281)			(49,343)
$	453,495		$	421,543
$	453,495	$	421,543
	(11,178)			(13,255)
	2			(490)
$	442,319		$	407,798

$	453,495	$	421,543
	(27,687)			(15,333)
	(4,340)			(2,613)
$	421,468		$	403,597
	(8,272)			(13,675)
	264			(400)
$	413,460		$	389,522

1. For the three months and nine months ended September 30, 2024 and 2023, Total Rental Income was $190,286, $177,858, $564,155, and $522,565 comprising of base rental income of $155,184, $145,062, $457,262, and $427,959 and tenant reimbursement income of $35,102, $32,796, $106,893, and $94,606, respectively.

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	6

FUNDS FROM OPERATIONS (FFO) &

CORE FFO

		Three months ended September 30,
(in thousands, except per share data)		2024			2023
Net income	$	42,731	$	51,168
Rental property depreciation and amortization		72,421			69,701
Loss on impairment		-			-
Gain on the sales of rental property, net		(195)			(11,683)
Funds from operations	$	114,957		$	109,186
Amount allocated to restricted shares of common stock and unvested units		(130)			(132)
Funds from operations attributable to common stockholders and unit holders	$	114,827		$	109,054
Funds from operations attributable to common stockholders and unit holders	$	114,827	$	109,054
Amortization of above and below market leases, net		(530)			(298)
Non-recurring dead deal costs and other		-			-
Debt extinguishment and modification expenses		36			-
Gain on involuntary conversion		(3,568)			-
Core funds from operations	$	110,765		$	108,756
Weighted average common shares and units
Weighted average common shares outstanding		182,027			180,803
Weighted average units outstanding		3,588			3,859
Weighted average common shares and units - basic		185,615			184,662
Dilutive shares		270			360
Weighted average common shares, units, and other dilutive shares - diluted		185,885			185,022
Core funds from operations per share / unit - basic	$	0.60		$	0.59
Core funds from operations per share / unit - diluted	$	0.60	$	0.59

Nine months ended September 30,

		2024			2023
$	141,258	$	154,573
		219,002			207,029
		4,967			-
		(23,281)			(49,343)
	$	341,946		$	312,259
		(415)			(423)
	$	341,531		$	311,836
$	341,531	$	311,836
		2			(490)
		-			2,491
		703			-
		(9,285)			-
	$	332,951		$	313,837
		181,899			179,810
		3,685			3,882
		185,584			183,692
		274			260
		185,858			183,952
	$	1.79		$	1.71
$	1.79	$	1.71

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	7

ADJUSTED EBITDAre & CASH AVAILABLE FOR

DISTRIBUTION (CAD)

		Three months ended September 30,
(in thousands)		2024			2023
Net income	$	42,731	$	51,168
Depreciation and amortization		72,506			69,761
Interest and other income		(14)			(17)
Interest expense		28,705			23,753
Loss on impairment		-			-
Gain on the sales of rental property, net		(195)			(11,683)
EBITDA for Real Estate (EBITDAre)	$	143,733		$	132,982
EBITDAre	$	143,733	$	132,982
Straight-line rent adjustments, net		(3,853)			(3,948)
Amortization of above and below market leases, net		(530)			(298)
Non-cash compensation expense		2,952			2,602
Non-recurring other items		(29)			(388)
Gain on involuntary conversion		(3,568)			-
Debt extinguishment and modification expenses		36			-
Adjusted EBITDAre	$	138,741	$	130,950
Cash available for distribution reconciliation
Core funds from operations	$	110,765	$	108,756
Amount allocated to restricted shares of common stock and unvested units		130			132
Non-rental property depreciation and amortization		85			60
Straight-line rent adjustments, net		(3,853)			(3,948)
Capital expenditures		(12,203)			(5,602)
Capital expenditures reimbursed by tenants		(2,231)			(1,058)
Lease commissions and tenant improvements		(8,845)			(5,075)
Non-cash portion of interest expense		1,165			976
Non-cash compensation expense		2,952			2,602
Cash available for distribution	$	87,965	$	96,843

Nine months ended September 30,

	2024			2023
$	141,258	$	154,573
	219,213			207,199
	(39)			(53)
	81,498			69,225
	4,967			-
	(23,281)			(49,343)
$	423,616		$	381,601
$	423,616	$	381,601
	(11,384)			(13,414)
	2			(490)
	8,813			8,987
	(331)			2,002
	(9,285)			-
	703			-
$	412,134		$	378,686
$	332,951	$	313,837
	415			423
	211			170
	(11,384)			(13,414)
	(28,376)			(22,369)
	(4,799)			(1,328)
	(19,815)			(15,120)
	3,201			2,924
	8,813			8,987
$	281,217		$	274,110

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	8

ACQUISITIONS

		THIRD QUARTER 2024 ACQUISITIONS
						Cash	Straight-Line
					Weighted Average Lease	Capitalization	Capitalization
Market	Date Acquired	Square Feet	Buildings	Purchase Price ($000)	Term (Years)	Rate	Rate
LaGrange, GA	9/9/2024	323,368	1	$34,870	7.5
Boston, MA	9/12/2024	290,471	5	78,127	4.9
Total / weighted average		613,839	6	$112,997	6.2	6.7%	7.2%
Note: In the third quarter, the Company acquired one vacant land parcel for $1.9 million. This asset is excluded from the acquisition activity statistics above.
Note: In the third quarter, the Company acquired one vacant land parcel for $9.0 million as part of a joint venture. This asset is excluded from the acquisition activity statistics above.
			2024 ACQUISITIONS
						Cash	Straight-Line
					Weighted Average Lease	Capitalization	Capitalization
Market		Square Feet	Buildings	Purchase Price ($000)	Term (Years)	Rate	Rate
Q1		697,500	1	$50,073	6.8	6.1%	6.8%
Q2		2,193,684	10	225,622	4.4	6.7%	7.0%
Q3		613,839	6	112,997	6.2	6.7%	7.2%
Total / weighted average		3,505,023	17	$388,692	5.2	6.6%	7.0%

Note: Year to date, the Company acquired three vacant land parcels for $19.1 million. These assets are excluded from the acquisition activity statistics above.

STAG SUPPLEMENTAL INFORMATION - THIRD QUARTER 2024	9