EastGroup Properties Announces the Income Tax Treatment of its 2025 Distributions

Rhea-AI Summary

EastGroup Properties (NYSE: EGP) announced the income tax treatment of its 2025 distributions. Total distributions for 2025 equal $5.91119 per share, all reported as ordinary dividends and as Section 199A qualified REIT dividends; $0.00 was reported as capital gain distributions, unrecaptured Sec. 1250 gain, or nondividend return of capital. Cash distributions paid on January 15, 2026 (record date December 31, 2025) are treated as received on December 31, 2025 pursuant to IRC Section 857(b)(9). The company reported no foreign taxes in 2025 and stated that none of the distributions are considered qualified dividends eligible for reduced capital gains rates.

Positive

• Total distributions of $5.91119 per share in 2025
• All distributions classified as ordinary dividends and reported in Form 1099-DIV box 1a
• Distributions include Section 199A qualified REIT dividends for non-corporate taxpayers

Negative

• No portion of 2025 distributions reported as capital gain (Form 1099-DIV box 2a = $0.00)
• None of the distributions are considered qualified dividends for reduced capital gains rates
• Company reported no foreign taxes in 2025, limiting foreign tax credit possibilities

News Market Reaction – EGP

-1.94%

-1.94% Session close to close

In the Jan 26 session, EGP declined 1.94%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement clarifies how EastGroup’s $5.91119 per share in 2025 distributions are treated for...

Analysis

This announcement clarifies how EastGroup’s $5.91119 per share in 2025 distributions are treated for U.S. tax purposes, with all amounts characterized as ordinary and Section 199A dividends and no foreign taxes incurred. It follows a long dividend record and a growing industrial portfolio of about 65 million square feet. Investors may monitor upcoming earnings, capital deployment under the effective automatic shelf, and any changes to distribution levels or tax classifications in future years.

Key Figures

Total 2025 distributions: $5.91119 per share Ordinary dividends: $5.91119 per share Section 199A dividends: $5.91119 per share +5 more

8 metrics

Total 2025 distributions $5.91119 per share Total distributions per common share during 2025

Ordinary dividends $5.91119 per share Portion of 2025 distributions treated as ordinary dividends

Section 199A dividends $5.91119 per share Qualified REIT dividends eligible for Section 199A deduction

Q3 2025 distribution $1.55000 per share Record date 09/30/25, payment date 10/15/25

Q1 2025 distribution $1.40000 per share Record date 03/31/25, payment date 04/15/25

Q2 2025 distribution $1.40000 per share Record date 06/30/25, payment date 07/15/25

Portfolio size 65 million square feet Industrial properties including development and value-add projects

Target unit size 20,000–100,000 square feet Typical business distribution space for location-sensitive customers

Historical Context

5 past events · Latest: Jan 09 (Neutral)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Jan 09	Earnings call timing	Neutral	-0.5%	Rescheduled fourth-quarter 2025 earnings call time due to scheduling conflict.
Jan 08	Earnings call notice	Neutral	+0.1%	Announced schedule and access details for Q4 2025 earnings call and webcast.
Dec 16	Leadership promotions	Positive	+0.8%	Promoted multiple internal leaders to President, CFO, COO and CAO roles.
Dec 12	Dividend declaration	Positive	-0.9%	Declared $1.55 per share quarterly dividend, extending 33-year dividend record.
Dec 08	Business update	Positive	-0.6%	Reported strong leasing metrics, term loans and acquisitions plus conference plans.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent positive operational and dividend news often saw muted or negative next-day moves, with 2 divergences versus 1 aligned reaction on clearly positive items.

Recent Company History

Over the past few months, EastGroup has focused on operational updates, capital markets access and corporate governance. A December business activity update highlighted leasing strength and new term loans, while a long-running dividend track record continued with the 184th consecutive quarterly payment. Leadership promotions effective January 1, 2026 supported succession planning. More recently, the company set and adjusted dates for its Q4 2025 earnings call. Today’s tax-treatment announcement fits alongside this steady stream of administrative and capital-related disclosures.

Key Terms

unrecaptured Sec. 1250 Gain, Section 199A dividends, Return of Capital, Form 1099-DIV, +3 more

7 terms

unrecaptured Sec. 1250 Gain financial

""Unrecaptured Sec. 1250 Gain (2)" in the distribution classification table"

Unrecaptured Sec. 1250 gain is the portion of profit from selling depreciable real estate that represents previously claimed depreciation and is taxed at a special, higher capital-gains rate than other gains. Think of it like money you got back earlier as tax relief that the tax code now partially recaptures when you sell; it matters to investors because it increases the tax bill on a sale and reduces the after-tax return from property investments.

Section 199A dividends financial

""Section 199A Dividends (4)" column describing qualified REIT dividends"

Section 199A dividends are certain dividend payments from real estate investment trusts (REITs) and publicly traded partnerships that qualify for a special U.S. tax deduction allowing up to a 20% reduction of the income they create. For investors, that means these payouts are taxed differently than regular dividend income—they don’t get the lower capital gains rate but can lower taxable income through the deduction, similar to getting a partial tax rebate on that income.

Return of Capital financial

""(3) | Return of Capital" explanatory note in the table"

Return of capital is when an investor receives money from their investment that is not considered profit or earnings but rather a portion of the original amount they invested. It’s similar to getting back part of your initial savings rather than gains from it. This matters because it can affect how much money an investor still has in the investment and may have tax implications.

Form 1099-DIV regulatory

""Form 1099-DIV box" row describing tax reporting boxes 1a, 2a, 2b, 3, 5"

Form 1099-DIV is a U.S. tax document brokers, mutual funds and other financial institutions send to investors showing dividends and other distributions paid during the year. Investors use it like an annual receipt to report taxable income — including regular dividends, dividends that may qualify for lower tax rates, and capital gains distributions — so it directly affects tax liability and helps reconcile brokerage records with a tax return.

Internal Revenue Code regulatory

""Internal Revenue Code of 1986, as amended, Section 857(b)(9)" note"

The Internal Revenue Code is the U.S. federal law that sets the rules for calculating, collecting, and enforcing taxes — essentially the country's tax rulebook. It matters to investors because those rules determine how much companies and individuals actually keep after taxes, affecting profits, cash flow, dividend payouts, deal structures and the after-tax return on investments; changes in the Code can change financial outcomes and investment strategy much like a rule change in a game.

qualified REIT dividends financial

""Represents qualified REIT dividends that may be eligible for the 20%...""

Qualified REIT dividends are the portion of payments from a real estate investment trust that receives special tax treatment for individual U.S. taxpayers: they are reported separately so investors can claim a targeted deduction (commonly the 20% qualified business income deduction) rather than being taxed only as ordinary income. This matters to investors because it changes the after-tax income from a REIT—similar to getting a partial tax break on part of a paycheck—affecting the real yield and attractiveness of the investment.

CUSIP financial

""Ticker Symbol EGP, CUSIP #277 276 101" identifying the security"

A CUSIP is a nine-character alphanumeric code that uniquely identifies a U.S. or Canadian financial security—such as a stock, bond, or fund share—like a Social Security number for an investment. It matters to investors because brokers, exchanges and record-keepers use the CUSIP to match trades, track ownership, settle transactions and pull accurate records, reducing errors and ensuring money and securities go to the right place.

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JACKSON, Miss., Jan. 23, 2026 /PRNewswire/ -- EastGroup Properties, Inc. (NYSE: EGP) (the "Company" or "EastGroup") announced today the income tax treatment of its 2025 distributions as described below.  Shareholders are encouraged to consult with their personal tax advisors as to their specific tax treatment of EastGroup distributions.

Common Stock:
Ticker Symbol EGP, CUSIP #277 276 101

Record Dates	Payment Dates	Total Distributions Per Share (1)	Ordinary Dividends	Capital Gain Distributions	Unrecaptured Sec. 1250 Gain (2)	Nondividend Distributions (3)	Section 199A Dividends (4)
12/31/24	01/15/25	$0.40314	$0.40314	$0.00000	$0.00000	$0.00000	$0.40314
03/31/25	04/15/25	1.40000	1.40000	0.00000	0.00000	0.00000	1.40000
06/30/25	07/15/25	1.40000	1.40000	0.00000	0.00000	0.00000	1.40000
09/30/25	10/15/25	1.55000	1.55000	0.00000	0.00000	0.00000	1.55000
12/31/25	01/15/26	1.15805	1.15805	0.00000	0.00000	0.00000	1.15805
	TOTALS	$5.91119	$5.91119	$0.00000	$0.00000	$0.00000	$5.91119
Form 1099-DIV box			1a	2a	2b	3	5

(1)	Pursuant to Internal Revenue Code of 1986, as amended, Section 857(b)(9), cash distributions made on January 15, 2026, with a record date of December 31, 2025 are treated as received by shareholders on December 31, 2025 to the extent of 2025 undistributed earnings and profits.
(2)	Unrecaptured Sec. 1250 Gain (box 2b) is a subset of, and is included in, the Capital Gain Distributions amount reported in box 2a of Form 1099-DIV.
(3)	Return of Capital
(4)	Represents qualified REIT dividends that may be eligible for the 20% qualified business income deduction under Section 199A of the Internal Revenue Code of 1986, as amended, that is available for non- corporate taxpayers and is included in "Ordinary Dividends."

The Company did not incur any foreign taxes in 2025.  Of the total distributions during 2025, none are considered qualified dividends that may be eligible for reduced capital gains rates. 

About EastGroup Properties, Inc.
EastGroup, a member of the S&P Mid-Cap 400 and Russell 2000 Indexes, is a self-administered equity real estate investment trust focused on the development, acquisition and operation of industrial properties in high-growth markets throughout the United States with an emphasis in the states of Texas, Florida, California, Arizona and North Carolina. The Company's goal is to maximize shareholder value by being a leading provider in its markets of functional, flexible and quality business distribution space for location sensitive customers (primarily in the 20,000 to 100,000 square foot range). The Company's strategy for growth is based on ownership of premier distribution facilities generally clustered near major transportation features in supply-constrained submarkets. EastGroup's portfolio, including development projects and value-add acquisitions in lease-up and under construction, currently includes approximately 65 million square feet.

EastGroup Properties, Inc. press releases are available at www.eastgroup.net.

Contact: investor@eastgroup.net

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SOURCE EastGroup Properties

FAQ

What is EastGroup Properties (EGP) total distribution per share for 2025?

EastGroup reported total distributions of $5.91119 per share for 2025.

How are EastGroup (EGP) 2025 distributions classified on Form 1099-DIV?

All 2025 distributions are reported as ordinary dividends (Form 1099-DIV box 1a) and Section 199A amounts.

Were any 2025 EastGroup (EGP) distributions reported as capital gains?

No — capital gain distributions (Form 1099-DIV box 2a) are reported as $0.00 for 2025.

Are any EastGroup (EGP) 2025 distributions eligible for the qualified dividend reduced tax rate?

The company stated that none of the 2025 distributions are considered qualified dividends for reduced capital gains rates.

When are January 15, 2026 cash distributions treated as received for tax purposes for EGP shareholders?

Cash distributions paid January 15, 2026 with record date December 31, 2025 are treated as received on December 31, 2025 under IRC Section 857(b)(9).

Did EastGroup (EGP) incur foreign taxes on distributions in 2025?

No — the company reported no foreign taxes incurred in 2025.