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Quarterly Investor Package

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JBGS Divider

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Management Letter

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February 21, 2023

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To Our Fellow Shareholders:

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2022 packed more than its fair share of surprises. From the Russian invasion of Ukraine to the Fed-induced debt market freeze that is still unfolding, the headline events of last year were not easily predicted (at least not by us). Thankfully, through a combination of prudent planning and fortunate timing, we were able to accomplish several important strategic goals during the year. The war in Ukraine and the escalation of tensions with China have highlighted the importance of the defense sector as well as its intersection with technology and policy. These themes align perfectly with our market position in National Landing which has shown characteristic resilience in the face of yet another cyclical turn. This resilience was made evident when the fourth quarter saw our highest volume of leases executed since before the pandemic. Likewise, achieving our capital recycling goals in the first half of the year never looked so timely until the Fed accelerated its tightening mid-year. That early success combined with our asset-based non-recourse leverage strategy puts us in a very strong position with very limited downside in the current environment.

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National Landing, where almost 70% of our portfolio is located, continues to catalyze our future growth: Amazon and Virginia Tech continue to build their respective headquarters with increased emphasis on in-person work; despite a softer office market backdrop, the submarket continues to attract new tenants with its proximity to the Pentagon; and our digital infrastructure rollout, bringing next generation 5G connectivity to the area, is activating its first sites. We remain on track to deliver over 1,500 multifamily units to the submarket and, over the next 18 months, anticipate 55 new retailers to be open, revitalizing the streetscape. Alongside all of this, we continue to lead the market in ESG initiatives and set the standard by which the industry will operate. 2022 tested everyone’s preparedness and agility, and we take great pride in what we were able to accomplish and how well we are positioned. We are pleased to share our achievements with you.

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2022 Accomplishments

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Completed $1.2 Billion of Dispositions at Attractive Valuations

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Achieved Strong Operating Performance in our Multifamily and Commercial Portfolios

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Grew Multifamily Portfolio Through Partner Buyouts and Continued Investment in Under-Construction Development

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Dramatic Repositioning of National Landing is Accelerating

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Advanced the Design and Entitlement of our Land Bank to Maximize Value and Monetization Opportunities

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Preserved Balance Sheet Strength with $1.7 Billion of Liquidity and Access to Multiple Sources of Capital

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Leading Player in ESG Initiatives

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Capital Allocation

Despite a more challenging transaction market, we were fortunate to execute $1.2 billion of asset sales in 2022; and our team continues to diligently survey the market for opportunities to sell the limited number of non-core office and land assets we have remaining. Curbed lending activity has significantly slowed down the pace of sales, and we expect this reduced level of activity to continue into 2023; even in this environment, however, certain asset profiles remain attractive to select buyers, such as office assets with long-term leases and credit tenancy, or assets that have attractive in-place debt with a long tenor. We expect these kinds of assets to drive the bulk of transaction activity in our market over the near-term.

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Preserving balance sheet strength and flexibility remains paramount; as such, we expect new investments, whether development projects, acquisitions, or share repurchases, to be largely dependent on executing additional dispositions. Regarding new development starts, we intend to be patient as construction pricing remains stubbornly high. On the acquisitions front, our team continues to actively search for opportunities where sellers may be motivated by maturing debt, investor redemptions, or other situations resulting in a willingness to meet market pricing. Lastly, with limited transaction volume, exact asset values are difficult to ascertain; nonetheless, we continue to believe that our stock is trading at a material discount to NAV.

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In the meantime, we continue to advance our under-construction multifamily pipeline in National Landing. In the fourth quarter, we invested approximately $65 million across 1900 Crystal Drive and 2000/2001 South Bell Street, representing 1,583 new multifamily units being developed to an expected 6% yield on cost. As with all our development projects, we secured guaranteed maximum price contracts on these projects, resulting in construction costs below 2019 levels. With over 8,150 units in our Development Pipeline, we continue to monitor construction costs and overall market conditions to ensure that we maintain our disciplined capital allocation standards. Additionally, we have deep relationships with private investors and a long history of sourcing private joint venture capital (over $4 billion since 1999), and we will continue to seek out similar partnerships to fund our growth pipeline.

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Financial and Operating Metrics

For the three months ended December 31, 2022, we reported Core FFO attributable to common shareholders of $34.3 million, or $0.30 per diluted share. Same Store NOI for the quarter increased 7.4% year-over-year to $77.2 million and, for the year, increased 12.1% year-over-year to $302.3 million. Our multifamily portfolio ended the quarter at 94.5% leased and 93.6% occupied. Our office portfolio ended the quarter at 88.5% leased and 85.1% occupied. For second generation leases, the rental rate mark-to-market was negative 0.1%.

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As of December 31, 2022, our Net Debt/Total Enterprise Value was 47.7% and our Net Debt/Annualized Adjusted

EBITDA was 8.6x. Our floating rate exposure remains limited, with 89.6% of our debt fixed or hedged as of the date of this release, after accounting for in-place interest rate swaps and caps. The remaining floating rate exposure is tied to our non-core assets, or assets where the business plan warrants preserving flexibility.

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With respect to our near-term debt maturities, we believe we are well positioned: (i) our weighted average debt maturity stands at 4.4 years, after adjusting for by-right extension options; (ii) we have zero debt maturities tied to office assets in National Landing until 2025; and (iii) $290 million of debt that is maturing by year end 2024 is tied to non-core assets. Our primarily non-recourse asset-level financing strategy is most valuable in an environment like today, providing a floor on our downside risk.

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Finally, as previously mentioned, we have strategically maintained a pool of unencumbered multifamily assets, affording us the flexibility to access capital for opportunistic investments, despite market cyclicality. In January 2023, we closed on a $187.6 million loan facility, with a seven-year term, at a fixed interest rate of 5.13%, encumbering two multifamily assets: The Wren and F1RST Residences.  This loan is the initial advance under a Fannie Mae multifamily credit facility which provides flexibility for collateral substitutions, future advances tied to performance, and the ability to mix fixed and floating rates and stagger maturities.  These features enable speed to market and balance sheet flexibility to manage liquidity from our unencumbered multifamily assets.  A portion of the proceeds was used to repay the mortgage on 2121 Crystal Drive, which had a fixed interest rate of 5.51%.

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Development Pipeline

We believe that advancing entitlement and design of our Development Pipeline is the best way to maximize optionality and value, either through on balance sheet development, land sales, ground lease structures, and/or recapitalizations with third parties. Our 9.7 million square-foot Development Pipeline, almost 70% of which is in National Landing, is 48% fully entitled today, with the remaining 52% in various stages of the entitlement process. We anticipate 100% of our Development Pipeline to be fully entitled by the end of 2024. Given the advancements in entitlements we have made and anticipate making in the near-to-medium term, we believe that substantially all assets in our pipeline have the potential to commence construction, or be monetized through other means as mentioned above, in the next 36 months, subject to receipt of final entitlements, completion of design, and market conditions. Accordingly, in the fourth quarter, our supplemental package disclosures were modified to breakdown

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our Development Pipeline by region (rather than by “Near-Term” and “Future”) and to include increased disclosure on each project. For the revised disclosures, please see our Fourth Quarter 2022 Investor Package.

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Operating Portfolio

Multifamily Trends

Fundamentals across our multifamily portfolio remained solid throughout the fourth quarter. Our portfolio ended the quarter at 93.6% occupied and 94.5% leased. Excluding 8001 Woodmont (in lease-up), our multifamily portfolio ended the quarter at 94.2% occupied and 95.3% leased. Multifamily NOI increased over 10% quarter-over-quarter, primarily driven by the buyout of our partners’ interests in Atlantic Plumbing and 8001 Woodmont, as well as lower utility expenses due to seasonality. Finally, renewal trends continued on a strong trajectory. Across our portfolio, we increased rents by 9.7% upon renewal for fourth quarter lease expirations, while achieving a 55.7% renewal rate.

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Market-Wide (DC Metro) Multifamily Trends (based on CoStar, UrbanTurf, and Apartment List data)

The multifamily market continued to post strong performance despite some modest signs of slowing growth, similar to those observed across the country. The market ended the year with 94.3% occupancy – down slightly from 95.1% at the end of 2021 but significantly ahead of 2020 year-end numbers. Asking rents, however, ended 2022 3.0% ahead of where they were in 2021 and 7.7% ahead of 2020. This pattern suggests that, despite some softening occupancies, the market has been able to successfully hold onto gains realized over the past two years. We also remain largely optimistic about our market from a go-forward growth perspective as it has been historically recession-resilient and has a continually shrinking pipeline. With just two projects starting in the fourth quarter, and the average level of new deliveries over the next three years dropping to 6,700 units per year, developers continue to face elevated costs and a challenging financing environment, limiting competitive supply.

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Office Trends

Our office portfolio had a strong finish to the year. In the fourth quarter we executed 193,000 square feet of leases, over 60% of which represented renewals, with a weighted average lease term of 4.2 years, bringing our 2022 leasing volume to 936,000 square feet. The fourth quarter saw our highest quarterly volume of leases since before the pandemic, with 26 leases executed, 17 of which were signed in December.

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In our National Landing office portfolio, we are seeing several strong indicators that our tenants are committed to in-person occupancy. Over the last 12 months, our National Landing retention rate stood at approximately 70%, and tenants who renewed maintained approximately 84% of their expiring square footage. Additionally, recent Kastle data reported daily physical occupancy in our National Landing portfolio continuing to increase over the last several months, with the most recent data in February showing peak days (Tuesday, Wednesday, and Thursday) averaging 71.6%, more than double the lows of January 2022. Finally, just last week Amazon mandated a return-to-office at least three days per week beginning in May, noting that collaborating, learning, and inventing are easier and more effective when employees are together and in person. We anticipate physical occupancy to continue trending upwards as Amazon and other employers recognize these realities.

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With respect to National Landing lease expirations, we have 716,000 square feet of office leases rolling in 2023. These expirations include two civilian GSA tenants that are vacating due to consolidation of space into another location, with 46,000 square feet expiring in the first quarter and 66,000 square feet expiring in the second quarter. Our 2023 expirations also include 387,000 square feet leased to Amazon, with the following vacancies anticipated, coinciding with the delivery of Metropolitan Park this year: (i) 109,000 leased square feet across two interim spaces in multi-tenanted buildings; and (ii) 191,000 leased square feet at 1800 South Bell Street. 1800 South Bell has been included in our Development Pipeline since 2017 and is currently in process for entitlements for 255,000

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square feet of density. The remaining Amazon leases, inclusive of extension options, expire between 2024 and 2028. Of the remaining 217,000 square feet of non-Amazon office leases expiring in 2023, approximately 90% comprises government contractors and defense tenants who likely value the proximity to the Pentagon, particularly given the high defense budget ($817 billion), and the capabilities of the digital amenities being rolled out into the neighborhood.

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Market-Wide (DC Metro) Office Trends (based on JLL, CBRE and Kastle Systems Q4 2022 reporting)

The office market’s behavior remained largely unchanged through year-end, with limited tenant activity and a bias toward contractions in leasing activity. One of the most dramatic of these give-backs was the U.S. Patent and Trademark Office relinquishing nearly 1 million square feet on its renewal in Northern Virginia. While the agency maintained 1.6 million square feet, this give-back remained another indicator of uncertainty around the future of work and the role of the federal government which, apart from mission-critical agencies, continues to lag the private sector in driving return-to-work. While some positive demand helped the metro market end the year essentially flat (negative 1.6 million square feet) from a net absorption perspective, we will likely continue to see anemic market performance into 2023 against the backdrop of high (20.7%) total vacancy. Two indicators of this anemic performance are sublease inventory and the level of large deal activity. Sublease inventory is on the rise, while nationwide, JLL reported just 42 transactions over 100,000 square feet in the fourth quarter – down 50% from the pre-pandemic average. These statistics signal that tenants remain focused on contraction even ahead of lease expirations, and few are poised to make large-scale commitments to office. This overall market malaise underscores the importance of our concentration around the Pentagon which just secured a new $817 billion FY2023 budget approval. This new budget has driven an uptick in defense contracting activity as well, which we believe directly benefits National Landing. This sector, as we have noted in the past, is a heavy user of office space and has seemed less willing to contract than others, which should help us to continue to outperform even a sluggish overall market.

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The next two years are prime time for National Landing, which means they are prime time for JBG SMITH. This period will usher in the delivery of Amazon’s HQ2 (2.1 million square feet), Virginia Tech’s Innovation Campus headquarters, over 1,500 units of new multifamily housing, and 55 new retailers. During this time, we also expect to complete the full entitlement of our 9.7 million square foot land bank and to complete our transition to majority multifamily. While the exact trajectory of the office and debt markets is impossible to predict, we are well positioned to maximize value whatever the climate.

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Finally, our Chief Operating Officer, Dave Paul, retired in February. JBG SMITH is deeply grateful for his contributions to our success over the past 15 years, and the work he put in to position the company for future success. The team wishes Dave well in his next chapter.

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Thank you for your continued trust and confidence.

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Sincerely,

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W. Matthew Kelly

Chief Executive Officer

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Section Two – Earnings Release

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Earnings Release

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CONTACT

Barbat Rodgers

Senior Vice President, Investor Relations

(240) 333-3805

[email protected]

JBG SMITH ANNOUNCES FOURTH QUARTER AND FULL YEAR 2022 RESULTS

Bethesda, MD (February 21, 2023) - JBG SMITH (NYSE: JBGS), a leading owner and developer of high-quality, mixed-use properties in the Washington, DC market, today filed its Form 10-K for the year ended December 31, 2022 and reported its financial results.

Additional information regarding our results of operations, properties, and tenants can be found in our Fourth Quarter 2022 Investor Package, which is posted in the Investor Relations section of our website at www.jbgsmith.com. We encourage investors to consider the information presented here with the information in that document.

Fourth Quarter 2022 Highlights

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Operating Portfolio

Development Portfolio

Under-Construction

Development Pipeline

Third-Party Asset Management and Real Estate Services Business

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Balance Sheet

Investing and Financing Activities

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Subsequent to December 31, 2022:

Dividends

About JBG SMITH

JBG SMITH owns, operates, invests in, and develops mixed-use properties in high growth and high barrier-to-entry submarkets in and around Washington, DC. Through an intense focus on placemaking, JBG SMITH cultivates

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vibrant, amenity-rich, walkable neighborhoods throughout the Washington, DC metropolitan area. Approximately two-thirds of JBG SMITH's holdings are in the National Landing submarket in Northern Virginia, which is anchored by four key demand drivers: Amazon's new headquarters, which is being developed by JBG SMITH; Virginia Tech's under-construction $1 billion Innovation Campus; the submarket’s proximity to the Pentagon; and JBG SMITH’s deployment of next-generation public and private 5G digital infrastructure. JBG SMITH's dynamic portfolio currently comprises 15.3 million square feet of high-growth office, multifamily, and retail assets at share, 98% of which are metro-served. It also maintains a development pipeline encompassing 9.7 million square feet of mixed-use development opportunities. JBG SMITH’s capital allocation strategy is to shift the majority of its portfolio to multifamily and concentrate its office assets in National Landing. JBG SMITH is committed to the operation and development of green, smart, and healthy buildings and plans to maintain carbon neutral operations annually. For more information on JBG SMITH please visit www.jbgsmith.com.

Forward-Looking Statements

Certain statements contained herein may constitute "forward-looking statements" as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Consequently, the future results, financial condition and business of JBG SMITH Properties ("JBG SMITH", the "Company", "we", "us", "our" or similar terms) may differ materially from those expressed in these forward-looking statements. You can find many of these statements by looking for words such as "approximate", "hypothetical", "potential", "believes", "expects", "anticipates", "estimates", "intends", "plans", "would", "may" or similar expressions in this earnings release. We also note the following forward-looking statements: the potential impact of COVID-19 and the ensuing economic turmoil on our Company, NOI, SSNOI, net asset value, share price, occupancy rates, revenue from our multifamily and commercial portfolios, operating costs, deferrals of rent, uncollectible operating lease receivables, parking revenue, and burn-off of rent abatement; the impact of disruptions to the credit and capital markets on our ability to access capital, including refinancing maturing debt; changes to the amount and manner in which tenants use space; whether we incur additional costs or make additional concessions or offer other incentives to existing or prospective tenants to reconfigure space; whether the Washington, DC area will be more resilient than other parts of the country in any recession; whether we will recognize currently estimated unrecognized development fee revenue on the anticipated timing or at all; our annual dividend per share and dividend yield; whether in the case of our under-construction and assets in the development pipeline, estimated square feet, estimated number of units and estimated potential development density are accurate; expected timing, completion, modifications and delivery dates for the projects we are developing for Amazon; the ability of any or all of our demand drivers to materialize and their effect on economic impact, job growth, expansion of public transportation and related demand in the National Landing submarket; planned infrastructure and educational improvements related to Amazon's additional headquarters and the Virginia Tech Innovation Campus; our development plans related to National Landing; whether we will be able to successfully shift the majority of our portfolio to multifamily; our ability to satisfy environmental, social or governance standards set by various constituencies; and whether we can access agency debt secured by our currently unencumbered multifamily assets timely, on reasonable terms or at all; whether our estimated borrowing capacity is accurate; and whether the allocation of capital to our share repurchase plan has any impact on our share price.

Many of the factors that will determine the outcome of these and our other forward-looking statements are beyond

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our ability to control or predict. These factors include, among others: adverse economic conditions in the Washington, DC metropolitan area, the timing of and costs associated with development and property improvements, financing commitments, and general competitive factors. For further discussion of factors that could materially affect the outcome of our forward-looking statements and other risks and uncertainties, see "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and the Cautionary Statement Concerning Forward-Looking Statements in the Company's Annual Report on Form 10-K for the year ended December 31, 2022 and other periodic reports the Company files with the Securities and Exchange Commission. For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances occurring after the date hereof.

Pro Rata Information

We present certain financial information and metrics in this release "at JBG SMITH Share," which refers to our ownership percentage of consolidated and unconsolidated assets in real estate ventures (collectively, "real estate ventures") as applied to these financial measures and metrics. Financial information "at JBG SMITH Share" is calculated on an asset-by-asset basis by applying our percentage economic interest to each applicable line item of that asset's financial information. "At JBG SMITH Share" information, which we also refer to as being "at share," "our pro rata share" or "our share," is not, and is not intended to be, a presentation in accordance with GAAP. Given that a substantial portion of our assets are held through real estate ventures, we believe this form of presentation, which presents our economic interests in the partially owned entities, provides investors valuable information regarding a significant component of our portfolio, its composition, performance and capitalization.

We do not control the unconsolidated real estate ventures and do not have a legal claim to our co-venturers' share of assets, liabilities, revenue and expenses. The operating agreements of the unconsolidated real estate ventures generally allow each co-venturer to receive cash distributions to the extent there is available cash from operations. The amount of cash each investor receives is based upon specific provisions of each operating agreement and varies depending on certain factors including the amount of capital contributed by each investor and whether any investors are entitled to preferential distributions.

With respect to any such third-party arrangement, we would not be in a position to exercise sole decision-making authority regarding the property, real estate venture or other entity, and may, under certain circumstances, be exposed to economic risks not present were a third-party not involved. We and our respective co-venturers may each have the right to trigger a buy-sell or forced sale arrangement, which could cause us to sell our interest, or acquire our co-venturers' interests, or to sell the underlying asset, either on unfavorable terms or at a time when we otherwise would not have initiated such a transaction. Our real estate ventures may be subject to debt, and the repayment or refinancing of such debt may require equity capital calls. To the extent our co-venturers do not meet their obligations to us or our real estate ventures or they act inconsistent with the interests of the real estate venture, we may be adversely affected. Because of these limitations, the non-GAAP "at JBG SMITH Share" financial information should not be considered in isolation or as a substitute for our financial statements as reported under GAAP.

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Occupancy, non-GAAP financial measures, leverage metrics, operating assets and operating metrics presented in our investor package exclude our 10.0% subordinated interest in one commercial building, our 33.5% subordinated interest in four commercial buildings, and our 49.0% interest in three commercial buildings, as well as the associated non-recourse mortgage loans, held through unconsolidated real estate ventures, as our investment in each real estate venture is zero, we do not anticipate receiving any near-term cash flow distributions from the real estate ventures and we have not guaranteed their obligations or otherwise committed to providing financial support.

Non-GAAP Financial Measures

This release includes non-GAAP financial measures. For these measures, we have provided an explanation of how these non-GAAP measures are calculated and why JBG SMITH's management believes that the presentation of these measures provides useful information to investors regarding JBG SMITH's financial condition and results of operations. Reconciliations of certain non-GAAP measures to the most directly comparable GAAP financial measure are included in this earnings release. Our presentation of non-GAAP financial measures may not be comparable to similar non-GAAP measures used by other companies. In addition to "at share" financial information, the following non-GAAP measures are included in this release:

Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA"), EBITDA for Real Estate ("EBITDAre") and "Adjusted EBITDA" are non-GAAP financial measures. EBITDA and EBITDAre are used by management as supplemental operating performance measures, which we believe help investors and lenders meaningfully evaluate and compare our operating performance from period-to-period by removing from our operating results the impact of our capital structure (primarily interest charges from our outstanding debt and the impact of our interest rate swaps) and certain non-cash expenses (primarily depreciation and amortization expense on our assets). EBITDAre is computed in accordance with the definition established by the National Association of Real Estate Investment Trusts ("Nareit"). Nareit defines EBITDAre as GAAP net income (loss) adjusted to exclude interest expense, income taxes, depreciation and amortization expense, gains and losses on sales of real estate 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, including our share of such adjustments of unconsolidated real estate ventures. These supplemental measures may help investors and lenders understand our ability to incur and service debt and to make capital expenditures. EBITDA and EBITDAre are not substitutes for net income (loss) (computed in accordance with GAAP) and may not be comparable to similarly titled measures used by other companies.

Adjusted EBITDA represents EBITDAre adjusted for items we believe are not representative of ongoing operating results, such as Transaction and Other Costs, impairment write-downs of right-of-use assets associated with leases in which we are a lessee, gain (loss) on the extinguishment of debt, earnings (losses) and distributions in excess of our investment in unconsolidated real estate ventures, lease liability adjustments, income from investments, business interruption insurance proceeds and share-based compensation expense related to the Formation Transaction and special equity awards. We believe that adjusting such items not considered part of our comparable operations, provides a meaningful measure to evaluate and compare our performance from period-to-period.

Because EBITDA, EBITDAre and Adjusted EBITDA have limitations as analytical tools, we use EBITDA, EBITDAre and Adjusted EBITDA to supplement GAAP financial measures. Additionally, we believe that users of these measures should consider EBITDA, EBITDAre and Adjusted EBITDA in conjunction with net income (loss) and other GAAP measures in understanding our operating results.

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Funds from Operations ("FFO"), "Core FFO" and Funds Available for Distribution ("FAD") are non-GAAP financial measures. FFO is computed in accordance with the definition established by Nareit in the Nareit FFO White Paper - 2018 Restatement. Nareit defines FFO as net income (loss) (computed in accordance with GAAP), excluding depreciation and amortization expense 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, including our share of such adjustments for unconsolidated real estate ventures.

Core FFO represents FFO adjusted to exclude items which we believe are not representative of ongoing operating results, such as Transaction and Other Costs, impairment write-downs of right-of-use assets associated with leases in which we are a lessee, gains (or losses) on the extinguishment of debt, earnings (losses) and distributions in excess of our investment in unconsolidated real estate ventures, share-based compensation expense related to the Formation Transaction and special equity awards, lease liability adjustments, income from investments, business interruption insurance proceeds, amortization of the management contracts intangible and the mark-to-market of derivative instruments, including our share of such adjustments for unconsolidated real estate ventures.

FAD represents Core FFO less recurring tenant improvements, leasing commissions and other capital expenditures, net deferred rent activity, third-party lease liability assumption payments, recurring share-based compensation expense, accretion of acquired below-market leases, net of amortization of acquired above-market leases, amortization of debt issuance costs and other non-cash income and charges, including our share of such adjustments for unconsolidated real estate ventures. FAD is presented solely as a supplemental disclosure that management believes provides useful information as it relates to our ability to fund dividends.

We believe FFO, Core FFO and FAD are meaningful non-GAAP financial measures useful in comparing our levered operating performance from period-to-period and as compared to similar real estate companies because these non-GAAP measures exclude real estate depreciation and amortization expense, which implicitly assumes that the value of real estate diminishes predictably over time rather than fluctuating based on market conditions, and other non-comparable income and expenses. FFO, Core FFO and FAD do not represent cash generated from operating activities and are not necessarily indicative of cash available to fund cash requirements and should not be considered as an alternative to net income (loss) (computed in accordance with GAAP) as a performance measure or cash flow as a liquidity measure. FFO, Core FFO and FAD may not be comparable to similarly titled measures used by other companies.

"Net Debt" is a non-GAAP financial measurement. Net Debt represents our total consolidated and unconsolidated indebtedness less cash and cash equivalents at our share. Net Debt is an important component in the calculations of Net Debt to Annualized Adjusted EBITDA and Net Debt / total enterprise value. We believe that Net Debt is a meaningful non-GAAP financial measure useful to investors because we review Net Debt as part of the management of our overall financial flexibility, capital structure and leverage. We may utilize a considerable portion of our cash and cash equivalents at any given time for purposes other than debt reduction. In addition, cash and cash equivalents at our share may not be solely controlled by us. The deduction of cash and cash equivalents at our share from consolidated and unconsolidated indebtedness in the calculation of Net Debt, therefore, should not be understood to mean that it is available exclusively for debt reduction at any given time.

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Net Operating Income ("NOI") and "Annualized NOI" are non-GAAP financial measures management uses to assess an asset's performance. The most directly comparable GAAP measure is net income (loss) attributable to common shareholders. We use NOI internally as a performance measure and believe NOI provides useful information to investors regarding our financial condition and results of operations because it reflects only property related revenue (which includes base rent, tenant reimbursements and other operating revenue, net of Free Rent and payments associated with assumed lease liabilities) less operating expenses and ground rent for operating leases, if applicable. NOI also excludes deferred rent, related party management fees, interest expense, and certain other non-cash adjustments, including the accretion of acquired below-market leases and the amortization of acquired above-market leases and below-market ground lease intangibles. Management uses NOI as a supplemental performance measure of our assets and believes it provides useful information to investors because it reflects only those revenue and expense items that are incurred at the asset level, excluding non-cash items. In addition, NOI is considered by many in the real estate industry to be a useful starting point for determining the value of a real estate asset or group of assets. However, because NOI excludes depreciation and amortization expense and captures neither the changes in the value of our assets that result from use or market conditions, nor the level of capital expenditures and capitalized leasing commissions necessary to maintain the operating performance of our assets, all of which have real economic effect and could materially impact the financial performance of our assets, the utility of NOI as a measure of the operating performance of our assets is limited. NOI presented by us may not be comparable to NOI reported by other REITs that define these measures differently. We believe to facilitate a clear understanding of our operating results, NOI should be examined in conjunction with net income (loss) attributable to common shareholders as presented in our financial statements. NOI should not be considered as an alternative to net income (loss) attributable to common shareholders as an indication of our performance or to cash flows as a measure of liquidity or our ability to make distributions. Annualized NOI, for all assets except Crystal City Marriott, represents NOI for the three months ended December 31, 2022 multiplied by four. Due to seasonality in the hospitality business, Annualized NOI for Crystal City Marriott represents the trailing 12-month NOI as of December 31, 2022. Management believes Annualized NOI provides useful information in understanding our financial performance over a 12-month period, however, investors and other users are cautioned against attributing undue certainty to our calculation of Annualized NOI. Actual NOI for any 12-month period will depend on a number of factors beyond our ability to control or predict, including general capital markets and economic conditions, any bankruptcy, insolvency, default or other failure to pay rent by one or more of our tenants and the destruction of one or more of our assets due to terrorist attack, natural disaster or other casualty, among others. We do not undertake any obligation to update our calculation to reflect events or circumstances occurring after the date of this earnings release. There can be no assurance that the Annualized NOI shown will reflect our actual results of operations over any 12-month period.

Definitions

"Development Pipeline" refers to assets that have the potential to commence construction subject to receipt of full entitlements, completion of design and market conditions where we (i) own land or control the land through a ground lease or (ii) are under a long-term conditional contract to purchase, or enter into, a leasehold interest with respect to land.

"Estimated Potential Development Density" reflects management's estimate of developable gross square feet based on our current business plans with respect to real estate owned or controlled as of December 31, 2022. Our

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current business plans may contemplate development of less than the maximum potential development density for individual assets. As market conditions change, our business plans, and therefore, the Estimated Potential Development Density, could change accordingly. Given timing, zoning requirements and other factors, we make no assurance that Estimated Potential Development Density amounts will become actual density to the extent we complete development of assets for which we have made such estimates.

"First-generation" is a lease on space that had been vacant for at least nine months or a lease on newly delivered space.

"Formation Transaction" refers collectively to the spin-off on July 17, 2017 of substantially all of the assets and liabilities of Vornado Realty Trust's Washington, DC segment, which operated as Vornado / Charles E. Smith, and the acquisition of the management business and certain assets and liabilities of The JBG Companies.

"Free Rent" means the amount of base rent and tenant reimbursements that are abated according to the applicable lease agreement(s).

"GAAP" refers to accounting principles generally accepted in the United States of America.

"In-Service" refers to commercial or multifamily assets that are at or above 90% leased or have been operating and collecting rent for more than 12 months as of December 31, 2022.

"Non-Same Store" refers to all operating assets excluded from the same store pool.

"Same Store" refers to the pool of assets that were in-service for the entirety of both periods being compared, which excludes assets for which significant redevelopment, renovation, or repositioning occurred during either of the periods being compared.

"Second-generation" is a lease on space that had been vacant for less than nine months.

"Transaction and Other Costs" include pursuit costs related to completed, potential and pursued transactions, demolition costs, integration and severance costs, and other expenses.

"Under-Construction" refers to assets that were under construction during the three months ended December 31, 2022.

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CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

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Note: For complete financial statements, please refer to our Annual Report on Form 10-K for the year ended December 31, 2022.

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

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Note: For complete financial statements, please refer to our Annual Report on Form 10-K for the year ended December 31, 2022.

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EBITDA, EBITDAre AND ADJUSTED EBITDA RECONCILIATIONS (NON-GAAP)

(Unaudited)

Note: All EBITDA measures as shown above are attributable to common limited partnership units ("OP Units") and certain fully-vested incentive equity awards that are convertible into OP Units.

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FFO, CORE FFO AND FAD RECONCILIATIONS (NON-GAAP)

(Unaudited)

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See footnotes on page 15.

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FFO, CORE FFO AND FAD RECONCILIATIONS (NON-GAAP)

(Unaudited)