Elme Communities JPMe Estimate of Final Distributions Implies 6% Stock Upside

Research evidence excerpt

Elme Communities JPMe Estimate of Final Distributions Implies 6% Stock Upside

J P M O R G A N North America Equity Research

14 May 2026

Elme Communities Neutral

ELME, ELME US

JPMe Estimate of Final Distributions Implies 6% Stock Price (14 May 26):$2.01

Upside

REITs & Real Estate Services

Earlier this week ELME filed its 10Q for the period ending March 31, 2026, and Anthony Paolone, CFA AC

it also provided an update on its liquidation process. In doing so, it reduced the (1-212) 622-6682

amount of its implied final distributions to a range of $2.07-2.35. This is down from anthony.paolone@jpmorgan.com

a prior range of $2.35-2.80 as it appears that D.C. metro capital markets have been Michael W. Mueller, CFA

challenging, and there has been some diminution in NOI at several of the assets. (1-212) 622-6689

In speaking with management, there has been some pick-up into the seasonally michael.w.mueller@jpmorgan.com

strong period here, but it has not been particularly robust. Only select submarkets Hong Zhang

are showing some strength. (1-212) 622-6416

hongliang.zhang@jpmorgan.com

Nahom TesfazghiTo keep some framework around the final distributions for ELME, we updated our

(1-212) 622 4884

NAV model and peg the amount shareholders should receive at $2.13. This is below nahom.tesfazghi@jpmchase.com

the $2.21 midpoint of the new guidance range and reflects about 6% upside from

Daniella De Armas Rosales

the closing stock price (05/14). In terms of the timeline, management articulated (1-212) 622-0050

in its update that it is targeting a mid-year 2026 conclusion to the process. It further daniella.dearmasrosales@jpmchase.com

reiterated that in our conversation with them. There are several items that could J.P. Morgan Securities LLC