Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2024

Share-Based Payment Arrangement [Abstract]

Summary of Restricted Share and Restricted Stock Unit Activity

The following table presents the changes in Equity Commonwealth’s issued and outstanding common shares and units for the year ended December 31, 2024:


	Common Shares	OP Units and LTIP Units	Total
Outstanding at January 1, 2024	106,847,438	226,018	107,073,456
Repurchase and surrender of shares	(162,599)	—	(162,599)
OP Unit redemption	84,133	(84,133)	—
Preferred share conversion	1,037	—	1,037
Share-based compensation grants and vesting, net of forfeitures	565,168	6,218	571,386
Outstanding at December 31, 2024	107,335,177	148,103	107,483,280
Noncontrolling ownership interest in the Operating Trust			0.14	%

The table below presents a summary of restricted share, RSU and LTIP Unit activity for the years ended December 31, 2024, 2023 and 2022:


	Number of Restricted Shares and Time-Based LTIP Units	Weighted Average Grant Date Fair Value		Number of RSUs and Market-Based LTIP Units	Weighted Average Grant Date Fair Value
Outstanding at December 31, 2021	341,370	$	30.35	1,979,572	$	15.61
Granted	143,268	25.84		615,585	14.09
Vested	(125,958)	30.15		(382,993)	15.46
Not earned(1)	—	—		(358,692)	15.91
Forfeited	—	—		—	—
Outstanding at December 31, 2022	358,680	$	28.62	1,853,472	$	15.13
Granted	167,432	24.61		672,000	14.65
Vested	(195,521)	29.07		(350,484)	16.07
Not earned(1)	—	—		(136,212)	16.12
Forfeited	—	—		—	—
Outstanding at December 31, 2023	330,591	$	26.32	2,038,776	$	14.74
Granted	179,454	19.35		719,326	10.86
Vested	(115,265)	26.74		(391,932)	15.47
Not earned(1)	—	—		(231,988)	15.19
Forfeited	—	—		—	—
Outstanding at December 31, 2024	394,780	$	23.03	2,134,182	$	13.24

(1) The table presents the maximum number of shares issued or issuable from outstanding equity awards. RSUs and market-based LTIP Units not earned are the shares market-based award recipients do not receive based on the performance measurement completed at the end of the performance period.

Summary of Assumptions and Fair Values for Restricted Stock Units Granted in the Period

The assumptions and fair values for the RSUs and market-based LTIP Units granted for the years ended December 31, 2024, 2023 and 2022 are included in the following table on a per share and unit basis.


	2024			2023			2022
Fair value of RSUs and market-based LTIP Units granted at the target amount	$	27.08		$	36.51		$	35.11
Fair value of RSUs and market-based LTIP Units granted at the maximum amount	$	10.86		$	14.65		$	14.09
Expected term (years)	4			4			4
Expected volatility	15.46		%	18.47		%	17.04		%
Expected dividend yield	—		%	—		%	—		%
Risk-free rate	4.06		%	3.84		%	1.39		%

Equity Commonwealth 10-K