Alexandria Real Estate Equities ARE · USD

We are a life science REIT focused on developing, redeveloping, and operating properties that provide space for lease to tenants primarily in the life science industry. Our properties are leased predominantly through triple-net lease agreements and share key characteristics, including generic and reusable improvements, consistent lease structures, and business strategy. All properties are located within North America, predominantly in the U.S., and operate within a comparable regulatory environment.Operating segmentsOur Chief Operating Decision Maker (“CODM”), represented by our Executive Chairman and our Chief Executive Officer, evaluates operating results at the geographic market level to assess performance and allocate resources. Our operating segments align with our markets, including Greater Boston, the San Francisco Bay Area, San Diego, and Seattle, among others. Regular market performance updates are provided directly to the CODM. These updates include each market’s net operating income (“NOI”), which serves as the profit or loss measure used by the CODM for performance assessment and resource allocation. NOI provides useful information regarding performance of each market as it reflects income and expenses incurred in connection with real estate operations in each market. This metric enables the CODM to evaluate the profitability and performance of each market on a consistent and comparable basis, supporting decisions on capital resource allocation, including in connection with development, redevelopment, acquisition, and disposition activities in each market. Evaluation of economic similarity and aggregation of operating segmentsIn accordance with the segment reporting accounting standard, we evaluate the economic similarity of our operating segments. Seven of our nine operating segments exhibit consistent long-term economic characteristics, including similar historical long-term NOI margins, which are also expected to remain similar in the future. Additionally, these markets share similar operational characteristics, including nature of services provided (i.e., leasing, operating, developing, and redeveloping life science properties), tenant base (i.e., a variety of tenants involved in the life science industry), methods of operation (i.e., consistent lease structures, property management practices, and business strategies), nature of the regulatory environment (consistent across North America, where all our operating segments are located).

Our corporate information technology, communication networks, enterprise applications, accounting and financial reporting platforms, and related systems, and those that we offer to our tenants are necessary for the operation of our business. We use these systems, among others, to manage our tenant and vendor relationships, for internal communications, for accounting to operate our record-keeping function, and for many other key aspects of our business. Our business operations rely on the secure collection, storage, transmission, and other processing of proprietary, confidential, and other sensitive data. We have implemented and maintain various information security processes designed to identify, assess, and manage material risks from cybersecurity threats to our critical computer networks, third-party hosted services, communications systems, hardware and software, and our critical data, including intellectual property, confidential information that is proprietary, strategic or competitive in nature, and tenant data (collectively, “Information Systems and Data”). We rely on a multidisciplinary team, including our information security function, legal department, management, and third-party service providers, as described further below, to identify, assess, and manage cybersecurity threats and risks. We identify and assess risks from cybersecurity threats by monitoring and evaluating our threat environment and our risk profile using various methods including, for example, using manual and automated tools, subscribing to reports and services that identify cybersecurity threats, analyzing reports of threats and threat actors, conducting scans of the relevant-threat environment, evaluating our industry’s risk profile, utilizing internal and external audits, and conducting threat and vulnerability assessments.

The following table summarizes the components of accounts payable, accrued expenses, and other liabilities as of December 31, 2025 and 2024 (in thousands):December 31,20252024Accounts payable and accrued expenses$510,580$534,803Accrued construction314,836500,890Acquired below-market leases133,033180,407Conditional asset retirement obligations34,34253,968Deferred rent liabilities14,65911,461Operating lease liability360,543507,127Unearned rent and tenant security deposits876,252691,873Other liabilities 152,828173,822Total$2,397,073$2,654,351As of December 31, 2025 and 2024, our conditional asset retirement obligations primarily consisted of the soil and groundwater remediation liabilities associated with certain properties. Some of our properties may contain asbestos or may be subjected to other hazardous or toxic substances, which, under certain conditions, requires remediation. We engage independent environmental consultants to conduct Phase I or similar environmental assessments at our properties. This type of assessment generally includes a site inspection, interviews, and a public records review; asbestos, lead-based paint, and mold surveys; subsurface sampling; and other testing. We recognize a liability for the fair value of a conditional asset retirement obligation when the fair value of the liability can be reasonably estimated. In addition, environmental laws and regulations subject our tenants, and potentially us, to liability that may result from our tenants’ routine handling of hazardous substances and wastes as part of their operations at our properties. As of December 31, 2025 we are not aware of any additional environmental liability that we believe would require additional disclosures or recognition in our consolidated financial statements.

To mitigate the impact of fluctuations in the USD–CAD exchange rate related to our real estate investment in Canada, we have fixed-to-fixed cross-currency swap agreements designated as net investment hedges, which were deemed effective on the commencement date. As of December 31, 2025, the aggregate notional amount of the swaps is CAD $340.0 million, and the corresponding total USD notional is approximately $246.8 million. Under the terms of the swap agreements, USD fixed interest amounts are payable to us and CAD fixed interest amounts are payable to the counterparty. The swap agreements mature on April 30, 2026. As of December 31, 2025, the hedge relationships remained highly effective. Refer to “Hedge accounting” in Note 2 – “Summary of significant accounting policies” to our consolidated financial statements for additional information.The tables below summarize the fair value of our cross-currency swap agreements designated as net investment hedges and the impact on our consolidated financial statements. We did not have any outstanding hedge agreements as of and during the year ended December 31, 2024. Amounts are presented in USD (in thousands). Fair value of cross-currency swap agreements designated as net investment hedgesAs of December 31, 2025Balance Sheet LocationFair Value – LiabilityNotional Amount OutstandingAccounts payable, accrued expenses, and other liabilities$928$246,766Effect on consolidated other comprehensive incomeLocation in Consolidated Statement of Comprehensive IncomeYear Ended December 31, 2025Total unrealized loss recognized in other comprehensive incomeUnrealized losses on foreign currency translation, net$148Unrealized gains or losses related to our cross-currency swap agreements will be reclassified from accumulated other comprehensive income into net income upon the substantial completion of the sale of our real estate investments in Canada. As of December 31, 2025, a majority of our assets in Canada were designated as held for sale and are expected to sell within 12 months.Effect on consolidated statements of operationsLocation in Consolidated Statement of Operations Year Ended December 31, 2025Total gain recognized in net income(1)Other income$1,837(1)Represents net interest expense settlements and interest rate forward points excluded from assessment of hedge effectiveness.

ORGANIZATION AND BASIS OF PRESENTATION Alexandria Real Estate Equities, Inc. (NYSE: ARE), an S&P 500® life science REIT, is the pioneer of the life science real estate niche since its founding in 1994. Alexandria is the preeminent and longest-tenured owner, operator, and developer of collaborative Megacampus™ ecosystems in AAA life science innovation cluster locations, including Greater Boston, the San Francisco Bay Area, San Diego, Seattle, Maryland, Research Triangle, and New York City. As of December 31, 2025, Alexandria has a total market capitalization of $20.75 billion and an asset base in North America that includes 35.9 million RSF of operating properties and 3.5 million RSF of Class A/A+ properties undergoing construction. As used in this annual report on Form 10-K, references to the “Company,” “Alexandria,” “ARE,” “we,” “us,” and “our” refer to Alexandria Real Estate Equities, Inc. and its consolidated subsidiaries. The accompanying consolidated financial statements include the accounts of Alexandria Real Estate Equities, Inc. and its consolidated subsidiaries. All significant intercompany balances and transactions have been eliminated.Any references to our total market capitalization, number or quality of buildings or tenants, quality of location, square footage, number of leases, or occupancy percentage, and any amounts derived from these values in these notes to consolidated financial statements are outside the scope of our independent registered public accounting firm’s procedures.

The following table summarizes our outstanding indebtedness and respective principal payments remaining as of December 31, 2025 (dollars in thousands):Stated RateInterest Rate(1)Maturity Date(2)Principal Payments Remaining for the Periods Ending December 31,Unamortized (Deferred Financing Cost), (Discount) PremiumDebt20262027202820292030ThereafterPrincipalTotalUnsecured senior line of credit and commercial paper program(3)(3)4.33%(3)1/22/30(3)$—$—$—$—$353,500$—$353,500$(339)$353,161Unsecured senior notes payable4.30%4.501/15/26(4)300,000—————300,000(36)299,964Unsecured senior notes payable3.80%3.964/15/26350,000—————350,000(162)349,838Unsecured senior notes payable3.95%4.131/15/27—350,000————350,000(555)349,445Unsecured senior notes payable3.95%4.071/15/28——425,000———425,000(888)424,112Unsecured senior notes payable4.50%4.607/30/29———300,000——300,000(805)299,195Unsecured senior notes payable2.75%2.8712/15/29———400,000——400,000(1,655)398,345Unsecured senior notes payable4.70%4.817/1/30————450,000—450,000(1,686)448,314Unsecured senior notes payable4.90%5.0512/15/30————700,000—700,000(3,947)696,053Unsecured senior notes payable3.375%3.488/15/31—————750,000750,000(3,704)746,296Unsecured senior notes payable2.00%2.125/18/32—————900,000900,000(6,043)893,957Unsecured senior notes payable1.875%1.972/1/33—————1,000,0001,000,000(6,240)993,760Unsecured senior notes payable2.95%3.073/15/34—————800,000800,000(6,477)793,523Unsecured senior notes payable4.75%4.884/15/35—————500,000500,000(4,500)495,500Unsecured senior notes payable5.50%5.6610/1/35—————550,000550,000(6,316)543,684Unsecured senior notes payable5.25%5.385/15/36—————400,000400,000(3,767)396,233Unsecured senior notes payable4.85%4.934/15/49—————300,000300,000(2,756)297,244Unsecured senior notes payable4.00%3.912/1/50—————700,000700,0009,844709,844Unsecured senior notes payable3.00%3.085/18/51—————850,000850,000(10,842)839,158Unsecured senior notes payable3.55%3.633/15/52—————1,000,0001,000,000(13,228)986,772Unsecured senior notes payable5.15%5.264/15/53—————500,000500,000(7,373)492,627Unsecured senior notes payable5.625%5.715/15/54—————600,000600,000(6,470)593,530Unsecured debt weighted-average interest rate/total3.91%$650,000$350,000$425,000$700,000$1,503,500$8,850,000$12,478,500$(77,945)$12,400,555(1)Represents the weighted-average interest rate as of the end of the applicable period, including amortization of loan fees, amortization of debt premiums (discounts), and other bank fees.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESConsolidationOn an ongoing basis, as circumstances indicate the need for reconsideration, we evaluate each legal entity that is not wholly owned by us in accordance with the consolidation accounting guidance. Our evaluation considers all of our variable interests, including equity ownership, as well as fees paid to us for our involvement in the management of each partially owned entity. To fall within the scope of the consolidation guidance, an entity must meet both of the following criteria:•The entity has a legal structure that has been established to conduct business activities and to hold assets; such entity can be in the form of a partnership, limited liability company, or corporation, among others; and•We have a variable interest in the legal entity — i.e., variable interests that are contractual, such as equity ownership, or other financial interests that change with changes in the fair value of the entity’s net assets.If an entity does not meet both criteria above, we apply other accounting literature, such as the equity method of accounting. If an entity does meet both criteria above, we evaluate such entity for consolidation under either the variable interest model if the legal entity meets any of the characteristics below to qualify as a VIE, or under the voting model for all other legal entities that are not VIEs.A legal entity is determined to be a VIE if it has any of the following three characteristics:1)The entity does not have sufficient equity to finance its activities without additional subordinated financial support;2)The entity is established with non-substantive voting rights (i.e., the entity deprives the majority economic interest holder(s) of voting rights); or3)The equity holders, as a group, lack the characteristics of a controlling financial interest. Equity holders meet this criterion if they lack any of the following:•The power, through voting rights or similar rights, to direct the activities of the entity that most significantly influence the entity’s economic performance, as evidenced by:•Substantive participating rights in day-to-day management of the entity’s activities; or•Substantive kick-out rights over the party responsible for significant decisions;•The obligation to absorb the entity’s expected losses; or•The right to receive the entity’s expected residual returns.