Camden Property Trust

Economic and market conditions · Consumer spending and confidence

Declines in the financial condition of our residents, which may make it more difficult for us to collect rents from some residents; declines in market rental rates; low mortgage interest rates and home pricing, making alternative housing more affordable.

Natural and catastrophic events · Pandemic and public health crises

Global or locally-targeted pandemics, epidemics, or other health crises, and any related measures enacted to prevent their spread or restricting our ability to enforce contractual rental obligations upon our residents.

Economic and market conditions · Economic recession and downturns

Other weakened economic conditions, including job losses, high unemployment levels, stock market volatility, and uncertainty about the future, could adversely affect rental rates and occupancy levels. Unfavorable changes in economic conditions may have a material adverse impact on our cash flows and operating results.

Economic and market conditions · Market volatility and financial crises

The capital and credit markets are subject to volatility and disruption. If we need to incur debt from a source other than our revolving credit facility or our commercial paper program, we cannot be certain the additional financing will be available to the extent required and on acceptable terms.

Credit and liquidity · Access to capital and financing

If debt financing on acceptable terms is not available, we may be unable to fully execute our growth strategy, otherwise take advantage of business opportunities, or respond to competitive pressures. If we issue more debt we could become more leveraged, resulting in increased risk of default on our obligations.

Capital structure and performance · Dividend policy and capital allocation

The form, timing, and amount of dividend distributions are declared at the discretion of our Board of Trust Managers and depend on actual cash from operations, our financial condition, expected future capital requirements, the annual distribution requirements under the REIT provisions of the Code, and other factors.

Market and investment · Asset valuation and impairment

Under current market conditions, in 2025 we recorded impairment charges on two parcels of land. If there are subsequent changes in the fair market value of our land holdings and the resulting value is less than the carrying basis of our land holdings reflected in our financial statements, we may be required to take future impairment charges which would reduce our net income.

Capital structure and performance · Credit rating and cost of capital

Fitch, Moody's, and Standard & Poor's have given us investment grade ratings. Due to changes in market conditions, we may not be able to maintain our current credit ratings, which could adversely affect our cost of funds and related margins, liquidity, and access to capital markets.

Credit and liquidity · Debt service and covenant compliance

The notes related to our properties subject to secured debt contain customary restrictions, requirements, and other limitations, as well as certain financial and operating covenants including maintenance of certain financial ratios. A default in these provisions, if uncured, could require us to repay the indebtedness before the scheduled maturity date.

Market and investment · Interest rate and yield curve risk

We have an unsecured term loan with varying interest rates dependent upon various market indexes and utilize a commercial paper program bearing interest at variable rates. Increases in interest rates would increase our interest expense and would also increase the costs associated with refinancing existing debt and issuing new debt.

Capital structure and performance · Debt management and refinancing

As of December 31, 2025, we had outstanding debt of approximately $3.9 billion. This indebtedness could have adverse consequences including increasing our vulnerability to general adverse economic and industry conditions and limiting our flexibility in planning for, or reacting to, changes in business and industry conditions.

Market and investment · Market volatility and economic cycles

The market price and trading volume of our common shares are subject to fluctuation due to general market conditions, the risks discussed in this report and other matters, including operating results which vary from expectations, investor interest in our property portfolio, and changes in financial markets and national and regional economic conditions.

Industry regulation · Regulatory compliance and changes

Changes in rent control or rent stabilization laws and regulations could limit our ability to enforce contractual rental obligations, increase rents, charge certain fees, evict residents, or recover increases in our operating expenses and could make it more difficult to dispose of properties in certain circumstances.

Tax and financial reporting · Tax compliance and changes in tax law

If we fail to qualify as a REIT in any taxable year we may be subject to federal and state income taxes for such year and we may not be able to requalify as a REIT for the four subsequent taxable years. Tax laws remain under constant review and future changes in tax laws could adversely affect us in a number of ways, including making it more difficult or more costly for us to qualify as a REIT.

Customer and revenue · Changing customer preferences and behavior

The attractiveness of our properties to residents and potential residents, competition from other available apartments and housing alternatives, and changes in market rents could negatively affect our ability to collect rent from residents.

Strategic execution · Merger acquisition and divestiture risks

Our acquisition activities are subject to a number of risks including, but not limited to, the following: we may not be able to successfully integrate acquired properties into our existing operations; our estimates of the costs of repositioning or redeveloping the acquired property may prove inaccurate; the expected occupancy, rental rates, and operating expenses may differ from the actual results.

Corporate governance · Shareholder rights and activism

For us to maintain our qualification as a REIT, we must have 100 or more shareholders and not more than 50% in value of our outstanding shares may be owned by five or fewer individuals. Our declaration of trust includes restrictions on transfers of our shares and ownership limits which may delay, defer, or prevent a change in control.

Cybersecurity and data protection · Data privacy and protection regulations

The theft, destruction, loss, misappropriation, or release of sensitive data, confidential information or intellectual property, or interference with our information technology systems could result in business disruption, negative publicity, brand damage, violation of privacy laws, loss of residents, potential liability, and competitive disadvantage.

Cybersecurity and data protection · Data breaches and cyber attacks

A cybersecurity incident and other technology disruptions could negatively impact our business. Cyber-attacks can include third parties gaining unauthorized access to our data, including sensitive information about our residents, as well as our vendors' data or information technology systems. These attacks may occur through stolen credentials, computer malware, phishing attacks, ransomware, and other deliberate attempts to compromise information security.

Supply chain and procurement · Raw material availability and cost volatility

Disruptions in the supply of materials or labor, increased materials and labor costs, problems with contractors or subcontractors, or other costs including those arising from tariffs, duties, import-related taxes, or errors and omissions which occur in the design or construction process; shortages of materials.