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Mar 31
Brixmor Q1 2025 Earnings Report
Brixmor Property Group reported its first quarter 2025 operating results.
Key Takeaways
Brixmor Property Group Inc. reported net income attributable to Brixmor Property Group Inc. of $69.7 million, or $0.23 per diluted share, for the first quarter of 2025. The company also reported Nareit FFO of $171.1 million, or $0.56 per diluted share, and an increase in same property NOI of 2.8%.
Executed 1.3 million square feet of new and renewal leases, with rent spreads on comparable space of 20.5%, including 0.5 million square feet of new leases, with rent spreads on comparable space of 47.5%.
Realized total leased occupancy of 94.1%, anchor leased occupancy of 95.7%, and small shop leased occupancy of 90.8%.
Reported an increase in same property NOI of 2.8%, including a contribution from base rent of 410 basis points.
Stabilized $27.5 million of reinvestment projects at an average incremental NOI yield of 11%, with the in process reinvestment pipeline totaling $390.9 million at an expected average incremental NOI yield of 10%.
Brixmor
Brixmor
Forward Guidance
The Company affirmed its previously provided Nareit FFO per diluted share expectations for 2025 of $2.19 - $2.24 and same property NOI growth expectations for 2025 of 3.50% - 4.50%.
Positive Outlook
- Affirmed previously provided Nareit FFO per diluted share expectations for 2025 of $2.19 - $2.24.
- Affirmed previously provided same property NOI growth expectations for 2025 of 3.50% - 4.50%.
- Strong forward leasing and reinvestment pipelines position the company to continue to outperform.
- Attractive rent basis positions the company to continue to outperform.
- Value-add business plan continued to deliver on all fronts, with record in-place ABR per square foot, robust new and renewal lease rent spreads, accretive reinvestment deliveries, and strong bottom line growth.
Challenges Ahead
- Revenues deemed uncollectible are expected to total 75 - 110 basis points of total expected revenues in 2025.
- 2025 expectations do not include any additional items that impact FFO comparability, such as transaction expenses, net and gain or loss on extinguishment of debt, net, or any other one-time items.
- Forward-looking statements are subject to various risks and uncertainties, including changes in national, regional, and local economies due to global events or domestic issues.
- Local real estate market conditions, including an oversupply of space or a reduction in demand, and competition from other available properties and e-commerce.
- Increases in property operating expenses, costs to repair/renovate, and potential uninsured or underinsured losses from natural disasters or civil unrest.