[Form 4] Easterly Government Properties, Inc. Insider Trading Activity
Scott D. Freeman, a director of Easterly Government Properties, Inc. (DEA), was granted 20,000 LTIP Units in the company’s operating partnership. The award is a performance-based long-term incentive that vests on the fifth anniversary of the grant date only if specified performance hurdles are achieved prior to the eighth anniversary and the holder remains in service. Each LTIP Unit, subject to minimum tax-accounting allocations, can be converted at the holder’s election into a Common Unit and those Common Units may be redeemed for cash equal to the fair market value of a share of the issuer’s common stock or, at the issuer’s election, exchanged for one share of common stock. Following the reported grant, the reporting person beneficially owns 20,000 underlying shares (direct) with a reported price of $0.
Scott D. Freeman, membro del consiglio di amministrazione di Easterly Government Properties, Inc. (DEA), ha ricevuto 20.000 LTIP Unit nella partnership operativa della società. L'assegnazione è un incentivo a lungo termine basato sulle performance che matura al quinto anniversario della data di concessione solo se i traguardi di performance specificati vengono raggiunti prima dell'ottavo anniversario e il titolare rimane in servizio. Ogni LTIP Unit, soggetta ad allocazioni fiscali e contabili minime, può essere convertita a scelta del titolare in una Common Unit e tali Common Unit possono essere rimborsate in contanti per un valore pari al fair market value di un'azione ordinaria dell'emittente o, a scelta dell'emittente, scambiate con una azione ordinaria. A seguito della concessione segnalata, la persona che effettua la comunicazione detiene beneficiariamente 20.000 azioni sottostanti (dirette) con un prezzo riportato di $0.
Scott D. Freeman, director de Easterly Government Properties, Inc. (DEA), recibió 20.000 LTIP Units en la sociedad operativa de la compañía. La adjudicación es un incentivo a largo plazo vinculado al rendimiento que vence en el quinto aniversario de la fecha de concesión solo si se alcanzan los objetivos de desempeño especificados antes del octavo aniversario y el titular sigue en servicio. Cada LTIP Unit, sujeta a asignaciones fiscales y contables mínimas, puede convertirse a elección del titular en una Common Unit y esas Common Units pueden canjearse por efectivo igual al valor de mercado justo de una acción ordinaria del emisor o, a elección del emisor, intercambiarse por una acción ordinaria. Tras la concesión informada, la persona informante posee beneficiariamente 20.000 acciones subyacentes (directas) con un precio declarado de $0.
Scott D. Freeman은 Easterly Government Properties, Inc.(DEA)의 이사로서 회사 운영 파트너십에서 20,000 LTIP 유닛을 부여받았습니다. 이 수여는 성과 기반 장기 인센티브로, 특정 성과 기준이 제8주년 이전에 달성되고 보유자가 계속 근무 중인 경우에만 부여일로부터 5주년에 권리가 확정됩니다. 각 LTIP 유닛은 최소 세무·회계 배분의 적용을 받으며 보유자의 선택에 따라 Common Unit으로 전환될 수 있고, 해당 Common Unit은 발행사의 보통주 1주당 공정시장가치에 해당하는 현금으로 상환되거나 발행사의 선택에 따라 보통주 1주와 교환될 수 있습니다. 보고된 부여 이후, 보고자는 20,000개의 기초 주식(직접 소유)을 실질적으로 보유하고 있으며 보고된 가격은 $0입니다.
Scott D. Freeman, administrateur d'Easterly Government Properties, Inc. (DEA), s'est vu attribuer 20 000 unités LTIP dans la société d'exploitation de l'entreprise. Cette attribution est une incitation à long terme liée à la performance qui devient acquise au cinquième anniversaire de la date d'attribution uniquement si les objectifs de performance spécifiés sont atteints avant le huitième anniversaire et que le titulaire reste en service. Chaque unité LTIP, sous réserve des allocations fiscales et comptables minimales, peut être convertie, au choix du titulaire, en une Common Unit et ces Common Units peuvent être rachetées en espèces pour un montant égal à la juste valeur marchande d'une action ordinaire de l'émetteur ou, au choix de l'émetteur, échangées contre une action ordinaire. Suite à l'attribution signalée, la personne déclarante détient bénéficiaire 20 000 actions sous-jacentes (directes) avec un prix déclaré de 0 $.
Scott D. Freeman, ein Direktor von Easterly Government Properties, Inc. (DEA), wurden 20.000 LTIP-Einheiten in der operativen Partnerschaft des Unternehmens gewährt. Die Zuwendung ist ein leistungsabhängiger langfristiger Anreiz, der am fünften Jahrestag des Gewährungsdatums verfällt, jedoch nur, wenn die festgelegten Leistungshürden vor dem achten Jahrestag erreicht werden und der Inhaber weiterhin im Dienst ist. Jede LTIP-Einheit kann, vorbehaltlich minimaler steuerlicher und handelsrechtlicher Zuordnungen, nach Wahl des Inhabers in eine Common Unit umgewandelt werden; diese Common Units können gegen Bargeld in Höhe des Fair Market Value einer Stammaktie des Emittenten eingelöst oder nach Wahl des Emittenten gegen eine Stammaktie getauscht werden. Nach der gemeldeten Zuweisung besitzt die meldende Person wirtschaftlich 20.000 zugrunde liegende Aktien (direkt) mit einem gemeldeten Preis von 0 $.
- Performance-based structure aligns director incentives with long-term company results through hurdles and multi-year vesting.
- Conversion/redemption flexibility allows settlement in cash or shares, which can limit immediate dilution if the issuer elects cash redemption.
- Retention incentive created by five-year cliff vesting and continued-service requirement.
- Potential dilution upon conversion of LTIP Units to Common Units and possible issuance of common shares if the issuer elects share settlement.
- Uncertainty of value because vesting is contingent on performance hurdles and may not be achieved within the stated period.
Insights
TL;DR: A typical performance-based LTIP grant that aligns director pay with long-term shareholder value, subject to multi-year hurdles and service requirements.
The grant of 20,000 LTIP Units ties compensation to multi-year performance and continued service, which is consistent with governance best practices for aligning executive and director incentives with long-term outcomes. The five-year cliff vesting plus performance measurement through year eight creates retention incentives and delays dilution until conversion or redemption occurs. The conversion and redemption mechanics provide flexibility to settle in cash or stock, potentially limiting immediate share issuance. This disclosure is routine and not unusual in size or structure for equity REIT governance awards.
TL;DR: The award is a standard long-term, performance-conditioned incentive; materiality depends on total outstanding equity and past award levels.
The LTIP design—performance hurdles, five-year vesting, and potential conversion to redeemable common units—focuses compensation on sustained performance. Reporting shows zero purchase price for the LTIP Units, indicating a grant rather than a market purchase. Investors should note that actual economic value to the holder depends on hurdle achievement and timing of conversion/redemption; until conversion, the units represent contingent economic and governance interests rather than immediate additional common shares.
Scott D. Freeman, membro del consiglio di amministrazione di Easterly Government Properties, Inc. (DEA), ha ricevuto 20.000 LTIP Unit nella partnership operativa della società. L'assegnazione è un incentivo a lungo termine basato sulle performance che matura al quinto anniversario della data di concessione solo se i traguardi di performance specificati vengono raggiunti prima dell'ottavo anniversario e il titolare rimane in servizio. Ogni LTIP Unit, soggetta ad allocazioni fiscali e contabili minime, può essere convertita a scelta del titolare in una Common Unit e tali Common Unit possono essere rimborsate in contanti per un valore pari al fair market value di un'azione ordinaria dell'emittente o, a scelta dell'emittente, scambiate con una azione ordinaria. A seguito della concessione segnalata, la persona che effettua la comunicazione detiene beneficiariamente 20.000 azioni sottostanti (dirette) con un prezzo riportato di $0.
Scott D. Freeman, director de Easterly Government Properties, Inc. (DEA), recibió 20.000 LTIP Units en la sociedad operativa de la compañía. La adjudicación es un incentivo a largo plazo vinculado al rendimiento que vence en el quinto aniversario de la fecha de concesión solo si se alcanzan los objetivos de desempeño especificados antes del octavo aniversario y el titular sigue en servicio. Cada LTIP Unit, sujeta a asignaciones fiscales y contables mínimas, puede convertirse a elección del titular en una Common Unit y esas Common Units pueden canjearse por efectivo igual al valor de mercado justo de una acción ordinaria del emisor o, a elección del emisor, intercambiarse por una acción ordinaria. Tras la concesión informada, la persona informante posee beneficiariamente 20.000 acciones subyacentes (directas) con un precio declarado de $0.
Scott D. Freeman은 Easterly Government Properties, Inc.(DEA)의 이사로서 회사 운영 파트너십에서 20,000 LTIP 유닛을 부여받았습니다. 이 수여는 성과 기반 장기 인센티브로, 특정 성과 기준이 제8주년 이전에 달성되고 보유자가 계속 근무 중인 경우에만 부여일로부터 5주년에 권리가 확정됩니다. 각 LTIP 유닛은 최소 세무·회계 배분의 적용을 받으며 보유자의 선택에 따라 Common Unit으로 전환될 수 있고, 해당 Common Unit은 발행사의 보통주 1주당 공정시장가치에 해당하는 현금으로 상환되거나 발행사의 선택에 따라 보통주 1주와 교환될 수 있습니다. 보고된 부여 이후, 보고자는 20,000개의 기초 주식(직접 소유)을 실질적으로 보유하고 있으며 보고된 가격은 $0입니다.
Scott D. Freeman, administrateur d'Easterly Government Properties, Inc. (DEA), s'est vu attribuer 20 000 unités LTIP dans la société d'exploitation de l'entreprise. Cette attribution est une incitation à long terme liée à la performance qui devient acquise au cinquième anniversaire de la date d'attribution uniquement si les objectifs de performance spécifiés sont atteints avant le huitième anniversaire et que le titulaire reste en service. Chaque unité LTIP, sous réserve des allocations fiscales et comptables minimales, peut être convertie, au choix du titulaire, en une Common Unit et ces Common Units peuvent être rachetées en espèces pour un montant égal à la juste valeur marchande d'une action ordinaire de l'émetteur ou, au choix de l'émetteur, échangées contre une action ordinaire. Suite à l'attribution signalée, la personne déclarante détient bénéficiaire 20 000 actions sous-jacentes (directes) avec un prix déclaré de 0 $.
Scott D. Freeman, ein Direktor von Easterly Government Properties, Inc. (DEA), wurden 20.000 LTIP-Einheiten in der operativen Partnerschaft des Unternehmens gewährt. Die Zuwendung ist ein leistungsabhängiger langfristiger Anreiz, der am fünften Jahrestag des Gewährungsdatums verfällt, jedoch nur, wenn die festgelegten Leistungshürden vor dem achten Jahrestag erreicht werden und der Inhaber weiterhin im Dienst ist. Jede LTIP-Einheit kann, vorbehaltlich minimaler steuerlicher und handelsrechtlicher Zuordnungen, nach Wahl des Inhabers in eine Common Unit umgewandelt werden; diese Common Units können gegen Bargeld in Höhe des Fair Market Value einer Stammaktie des Emittenten eingelöst oder nach Wahl des Emittenten gegen eine Stammaktie getauscht werden. Nach der gemeldeten Zuweisung besitzt die meldende Person wirtschaftlich 20.000 zugrunde liegende Aktien (direkt) mit einem gemeldeten Preis von 0 $.
FAQ
What did Scott D. Freeman receive in the Form 4 filing for DEA?
When do the LTIP Units vest and what conditions apply?
Can LTIP Units be converted into common stock for DEA?
How many shares does the reporting person beneficially own after the transaction?
Was any purchase price reported for the LTIP Units?
