Dear NexMetro Investors:
As we move through the second half of 2026, we want to share an important update on where we stand, what we are navigating, and how we are positioning your investments for the expected realization of long-term value.
MARKET ENVIRONMENT
The first half of 2026 has been challenging. Rental growth remained lackluster; geopolitical uncertainty stemming from ongoing global conflicts weighed on capital markets broadly; and the legislative environment created additional headwinds amid prolonged uncertainty surrounding the ROAD to Housing Bill. We are pleased that the bill has now been resolved in a manner that validates and benefits purpose-built rental neighborhood platforms like ours. (Details below). This is a meaningful structural tailwind for our strategy.