Federal Realty Investment forecasts annual FFO above estimates on strong leasing demand

Reuters
02/13
<a href="https://laohu8.com/S/FRT">Federal Realty</a> Investment forecasts annual FFO above estimates on strong leasing demand

Feb 12 (Reuters) - Federal Realty Investment Trust FRT.N forecast 2026 funds from operations above Wall Street expectations on Thursday, as it anticipates strong leasing demand and higher rentals for its grocery-anchored shopping centers

The company's shares were up about 4% in extended trading.

The Maryland-based company, whose portfolio includes grocers such as Trader Joe's, Whole Foods and Best Buy, has weathered economic uncertainty due to its concentration of shopping centers in densely populated metropolitan areas.

Federal Realty now expects 2026 National Association of Real Estate Investment Trusts, or NAREIT, FFO between $7.42 and $7.52 per share, above analysts' estimates of $7.42 per share, according to data compiled by LSEG.

Peers such as Regency Centers REG.O and Kimco Realty KIM.N also raised their annual forecast recently, betting on steady demand for their rental properties.

The company's portfolio of shopping centers includes 102 properties, predominantly retail real estate projects comprising about 26.8 million commercial square feet as of 2024. It also acquired two properties in the fourth quarter, totaling $340 million, adding a new market to its footprint in Omaha.

For the fourth quarter, the company reported Nareit FFO of $1.84 per share, compared with analysts' average estimates of $1.80 per share.

The company posted revenue of $327.5 million in the quarter ended December 31, compared with analysts' average estimate of $328.4 million.

(Reporting by Koyena Das in Bengaluru; Editing by Vijay Kishore)

((koyena.das@thomsonreuters.com))

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