Interest Rate Hedging Activities The Company’s objective in using derivatives is to add stability to interest expense and to manage its exposure to interest rate movements or other identified risks. To accomplish this objective, the Company uses interest rate swaps as part of its cash flow hedging strategy. As of June 30, 2026, the Company had six interest rate swap contracts and two forward starting interest rate swap contracts to mitigate the risk of changes in the interest-related cash outflows on the Company’s $600.0 million unsecured term loan. The Company’s interest rate swaps were designated as a cash flow hedge as of June 30, 2026. The following table summarizes the notional amount, carrying value, and estimated fair value of the Company’s cash flow hedge derivative instruments used to hedge interest rates as of June 30, 2026. The notional amount represents the aggregate amount of a particular security that is currently hedged at one time, but does not represent exposure to credit, interest rates or market risks. The table also includes a sensitivity analysis to demonstrate the impact on the Company’s derivative instruments from an increase or decrease in 10-year Treasury bill interest rates by 50 basis points, as of June 30, 2026 ($ in thousands): Notional Amount Maturity Date Carrying and Estimated Fair Value Estimated Carrying Value +50 -50 Basis Points Basis Points Cash flow hedges: Interest rate swaps $ 600,000 2026-2030 $ 6,707 $ 12,149 $ 1,226 Forward starting interest rate swap 200,000 2031 2,466 6,194 (1,346) Total cash flow hedges $ 800,000 2026-2030 $ 9,173 $ 18,343 $ (120) Additionally, the Company has entered into total return swap contracts, with an aggregate notional amount of $258.2 million that effectively convert $258.2 million of fixed mortgage notes payable to a floating interest rate based on the Securities Industry and Financial Markets Association Municipal Swap Index plus a spread and had a carrying value of zero as of June 30, 2026. The Company is exposed to insignificant interest rate risk on these total return swaps as the related mortgages are callable, at par, by the Company, co-terminus with the termination of any related swap. These derivatives do not qualify for hedge accounting. Interest Rate Sensitive Liabilities The Company is exposed to interest rate changes primarily as a result of its lines of credit, commercial paper, and long-term debt which are used to maintain liquidity, fund capital expenditures, and expand the Company’s Portfolio and operations. The Company’s interest rate risk management objective is to limit the impact of interest rate changes on earnings and cash flows and to lower its overall borrowing costs. To achieve its objectives, the Company borrows primarily at fixed rates and may enter into derivative financial instruments such as interest rate swaps, caps and treasury locks in order to mitigate its interest rate risk on a related financial instrument. The Company does not enter into derivative or interest rate transactions for speculative purposes. 48 Table of Contents The Company’s interest rate risk is monitored using a variety of techniques. The table below presents the principal amounts and weighted average interest rates by year of expected maturity to evaluate the expected cash flows ($ in thousands): Year Ended December 31, 2026 2027 2028 2029 2030 Thereafter Total Fair value Fixed rate debt $ 98,292 $ 350,000 $ 517,000 $ 500,000 $ 615,000 $ 3,448,000 $ 5,528,292 $ 5,273,550 Average interest rate 3.5 % 3.8 % 2.2 % 4.1 % 3.4 % 4.0 % 3.7 % Variable rate debt (1) $ 568 $ 429,397 $ 1,332 $ 1,456 $ 301,592 $ 468,889 $ 1,203,234 $ 1,195,928 Average interest rate 3.6 % 3.9 % 3.6 % 3.6 % 4.1 % 3.9 % 3.9 % (1)$258.2 million of variable rate debt is tax exempt to the note holders. The table incorporates only those exposures that exist as of June 30, 2026. It does not consider those exposures or positions that could arise after that date. As a result, the Company’s ultimate realized gain or loss, with respect to interest rate fluctuations and hedging strategies would depend on the exposures that arise prior to settlement.