Franklin Street Properties Corp. Announces Third Quarter 2025 Results

WAKEFIELD, Mass.--( BUSINESS WIRE)--Franklin Street Properties Corp. (the “Company”, “FSP”, “we” or “our”) (NYSE American: FSP), a real estate investment trust (REIT), announced its results for the third quarter ended September 30, 2025.

George J. Carter, Chairman and Chief Executive Officer, commented as follows:

“FSP continues to maintain its focus on trying to improve leasing and occupancy across our portfolio. Nationally, the overall office sector continues to face headwinds from capital markets volatility and evolving workplace dynamics, but we have recently seen some encouraging signs of stabilization and “return-to-office” trends in many cities across the United States. While overall leasing volume within the FSP portfolio during the first nine months of 2025 has been modest, we have seen more signs of improved tenant activity in our markets. National office vacancy rates have finally declined slightly for the first time since early 2019. Importantly, we are also seeing and competing for a greater number of larger potential lease transactions at our properties. More prospective tenants are in the market seeking to expand their office space footprints. The increased demand from these prospective tenants is pushing up against a reduced supply of office space from a lack of new development and inventory removal.

While leasing and property operations are ongoing, our Board of Directors continues to work with our financial advisor, BofA Securities, on our ongoing strategic review process. The process has been robust and comprehensive, with a wide range of strategic alternatives considered to explore ways to maximize shareholder value.”

Financial Highlights

Leasing Highlights

Strategic Review

George J. Carter, Chairman and Chief Executive Officer, commented as follows with respect to the Company’s review of strategic alternatives:

“Our Board of Directors continues to work with our financial advisor, BofA Securities, in connection with a review of strategic alternatives in order to explore ways to maximize shareholder value. As previously announced, this review includes a range of potential strategic alternatives, including a sale of the Company, a sale of assets, and refinancing of existing indebtedness, among others. No assurances can be given regarding the outcome or timetable for completion of the strategic review process. We do not intend to make any further public comment regarding the process until it has been completed.”

Dividend

On October 3, 2025, we announced that our Board of Directors declared a quarterly cash dividend for the three months ended September 30, 2025, of $0.01 per share of common stock that will be paid on November 6, 2025, to stockholders of record on October 17, 2025.

Consolidation of Sponsored REIT

As of January 1, 2023, we consolidated the operations of our Monument Circle sponsored REIT into our financial statements and on June 6, 2025, the property held by Monument Circle was sold. Additional information about the consolidation of Monument Circle can be found in Note 1, “Organization, Properties, Basis of Presentation, Financial Instruments and Recent Accounting Standards”, Note 8, “Disposition of Properties and Assets Held for Sale” in the Notes to Consolidated Financial Statements included in our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2025.

Non-GAAP Financial Information

A reconciliation of Net loss to FFO, Adjusted Funds From Operations (AFFO) and Sequential Same Store NOI and our definitions of FFO, AFFO and Sequential Same Store NOI can be found on Supplementary Schedules H and I.

2025 Net Income (Loss), FFO and Disposition Guidance

At this time, due primarily to economic conditions and uncertainty surrounding the timing and amount of proceeds received from property dispositions, we are continuing suspension of Net Income (Loss), FFO and property disposition guidance.

Real Estate Update

Supplementary schedules provide property information for the Company’s owned and consolidated properties as of September 30, 2025. The Company will also be filing an updated supplemental information package that will provide stockholders and the financial community with additional operating and financial data. The Company will file this supplemental information package with the SEC and make it available on its website at www.fspreit.com.

Today’s news release, along with other news about Franklin Street Properties Corp., is available on the Internet at www.fspreit.com. We routinely post information that may be important to investors in the Investor Relations section of our website. We encourage investors to consult that section of our website regularly for important information about us and, if they are interested in automatically receiving news and information as soon as it is posted, to sign up for E-mail Alerts.

About Franklin Street Properties Corp.

Franklin Street Properties Corp., based in Wakefield, Massachusetts, is focused on infill and central business district (CBD) office properties in the U.S. Sunbelt and Mountain West, as well as select opportunistic markets. FSP is focused on long-term growth and appreciation, as well as current income. FSP is a Maryland corporation that operates in a manner intended to qualify as a real estate investment trust (REIT) for federal income tax purposes. To learn more about FSP please visit our website at www.fspreit.com.

No Quarterly Earnings Call

The Company will not be holding an earnings call this quarter.

Forward-Looking Statements

Statements made in this press release that state FSP’s or management’s intentions, beliefs, expectations, or predictions for the future may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This press release may also contain forward-looking statements, such as those relating to our review of strategic alternatives, expectations for future potential leasing activity, the payment of dividends and the repayment of debt in future periods, value creation/enhancement in future periods and expectations for growth and leasing activities in future periods that are based on current judgments and current knowledge of management and are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those indicated in such forward-looking statements. Accordingly, readers are cautioned not to place undue reliance on forward-looking statements. Investors are cautioned that our forward-looking statements involve risks and uncertainty, including without limitation, adverse changes in general economic or local market conditions, including as a result of the long-term effects of the COVID-19 pandemic, wars, terrorist attacks or other acts of violence, which may negatively affect the markets in which we and our tenants operate, impacts of changes in tariffs that the United States and other countries have announced or implemented, as well as any additional new tariffs, trade restrictions or export regulations that may be implemented or reversed in the future, inflation rates, interest rates, disruptions in the debt markets, economic conditions in the markets in which we own properties, risks of a lessening of demand for the types of real estate owned by us, adverse changes in energy prices, which if sustained, could negatively impact occupancy and rental rates in the markets in which we own properties, including energy-influenced markets such as Dallas, Denver and Houston, changes in government regulations and regulatory uncertainty, uncertainty about governmental fiscal policy, geopolitical events and expenditures that cannot be anticipated, such as utility rate and usage increases, delays in construction schedules, unanticipated increases in construction costs, increases in the level of general and administrative costs as a percentage of revenues as revenues decrease as a result of property dispositions, unanticipated repairs, additional staffing, insurance increases and real estate tax valuation reassessments. See the “Risk Factors” set forth in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024, as updated in Part II Item 1A of our Quarterly Report on Form 10-Q for the three months ended September 30, 2025, which may be further updated from time to time in subsequent filings with the United States Securities and Exchange Commission. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, acquisitions, dispositions, performance or achievements. We will not update any of the forward-looking statements after the date of this press release to conform them to actual results or to changes in our expectations that occur after such date, other than as required by law.

Franklin Street Properties Corp.

Earnings Release

Supplementary Information

Table of Contents

Franklin Street Properties Corp. Financial Results

A-C

Real Estate Portfolio Summary Information

Portfolio and Other Supplementary Information

Percentage of Leased Space

Largest 20 Tenants – FSP Owned Portfolio

Reconciliation and Definitions of Funds From Operations (FFO) and Adjusted

Funds From Operations (AFFO)

Reconciliation and Definition of Sequential Same Store results to Property Net

Operating Income (NOI) and Net Loss

Franklin Street Properties Corp. Financial Results

Supplementary Schedule A

Condensed Consolidated Statements of Operations

(Unaudited)

For the

Three Months Ended

Nine Months Ended

September 30,

(in thousands, except per share amounts)

2025

2024

2025

2024

Revenue:

Rental

27,300

29,662

81,122

91,705

Other

—

Total revenue

27,300

29,682

81,122

91,737

Expenses:

Real estate operating expenses

10,671

11,574

31,467

33,620

Real estate taxes and insurance

5,262

5,512

14,822

17,175

Depreciation and amortization

10,550

10,911

32,000

34,018

General and administrative

3,034

3,275

9,799

11,069

Interest

6,348

6,585

18,378

20,513

Total expenses

35,865

37,857

106,466

116,395

Loss on extinguishment of debt

)

(477

)

(12

)

(614

)

Loss on sale of properties and impairment of assets held for sale, net

—

(7,254

)

(12,900

)

(20,459

)

Interest income

249

340

756

1,696

Loss before taxes

(8,323

)

(15,566

)

(37,500

)

(44,035

)

Tax expense

137

162

Net loss

(8,326

)

(15,622

)

(37,637

)

(44,197

)

Weighted average number of shares outstanding, basic and diluted

103,690

103,567

103,623

103,492

Loss per share, basic and diluted:

Net loss per share, basic and diluted

(0.08

)

(0.15

)

(0.36

)

(0.43

)

Franklin Street Properties Corp. Financial Results

Supplementary Schedule B

Condensed Consolidated Balance Sheets

(Unaudited)

September 30,

December 31,

(in thousands, except share and par value amounts)

2025

2024

Assets:

Real estate assets:

Land

98,883

105,298

Buildings and improvements

1,088,981

1,096,265

Fixtures and equipment

11,355

11,053

1,199,219

1,212,616

Less accumulated depreciation

399,597

377,708

Real estate assets, net

799,622

834,908

Acquired real estate leases, less accumulated amortization of $14,238 and $13,613, respectively

2,899

4,205

Cash, cash equivalents and restricted cash

31,575

42,683

Tenant rent receivables

1,380

1,283

Straight-line rent receivable

38,857

37,727

Prepaid expenses and other assets

3,889

3,114

Office computers and furniture, net of accumulated depreciation of $1,094 and $1,073, respectively

Deferred leasing commissions, net of accumulated amortization of $14,749 and $14,195, respectively

22,762

22,941

Total assets

901,032

946,931

Liabilities and Stockholders’ Equity:

Liabilities:

Term loans payable, less unamortized financing costs of $881 and $2,220, respectively

125,114

124,491

Series A & Series B Senior Notes, less unamortized financing costs of $473 and $1,191, respectively

122,449

122,430

Accounts payable and accrued expenses

28,785

34,067

Accrued compensation

2,635

3,097

Tenant security deposits

6,258

6,237

Lease liability

417

707

Acquired unfavorable real estate leases, less accumulated amortization of $54 and $89, respectively

Total liabilities

285,695

291,074

Commitments and contingencies

Stockholders’ Equity:

Preferred stock, $.0001 par value, 20,000,000 shares authorized, none issued or outstanding

—

Common stock, $.0001 par value, 180,000,000 shares authorized, 103,690,340 and 103,566,715 shares issued and outstanding, respectively

Additional paid-in capital

1,335,586

1,335,361

Accumulated distributions in excess of accumulated earnings

(720,259

)

(679,514

)

Total stockholders’ equity

615,337

655,857

Total liabilities and stockholders’ equity

901,032

946,931

Franklin Street Properties Corp. Financial Results

Supplementary Schedule C

Condensed Consolidated Statements of Cash Flows

(Unaudited)

For the

Nine Months Ended

September 30,

(in thousands)

2025

2024

Cash flows from operating activities:

Net loss

(37,637

)

(44,197

)

Adjustments to reconcile net loss to net cash used in operating activities:

Depreciation and amortization expense

34,045

36,284

Amortization of above and below market leases

—

(17

)

Amortization of other comprehensive income into interest expense

—

(355

)

Shares issued as compensation

225

270

Loss on extinguishment of debt

614

Loss on sale of properties and impairment of assets held for sale, net

12,900

20,459

Changes in operating assets and liabilities:

Tenant rent receivables

(97

)

842

Straight-line rents

(41

)

1,249

Lease acquisition costs

(1,096

)

(660

)

Prepaid expenses and other assets

(498

)

314

Accounts payable and accrued expenses

(4,274

)

(4,364

)

Accrued compensation

(462

)

(451

)

Tenant security deposits

(84

)

Payment of deferred leasing commissions

(3,176

)

(3,168

)

Net cash provided by (used in) operating activities

(78

)

6,736

Cash flows from investing activities:

Property improvements, fixtures and equipment

(12,608

)

(19,074

)

Proceeds received from sales of properties

6,100

62,909

Net cash provided by (used in) investing activities

(6,508

)

43,835

Cash flows from financing activities:

Distributions to stockholders

(3,108

)

(3,104

)

Repayments of Bank note payable

—

(22,667

)

Repayments of Term loans payable

(716

)

(41,775

)

Repayments of Series A&B Senior Notes

(698

)

(62,870

)

Deferred financing costs

—

(5,660

)

Net cash used in financing activities

(4,522

)

(136,076

)

Net decrease in cash, cash equivalents and restricted cash

(11,108

)

(85,505

)

Cash, cash equivalents and restricted cash, beginning of year

42,683

127,880

Cash, cash equivalents and restricted cash, end of period

31,575

42,375

Franklin Street Properties Corp. Earnings Release

Supplementary Schedule D

Real Estate Portfolio Summary Information

(Unaudited & Approximated)

Commercial portfolio lease expirations (1)

Total

% of

Year

Square Feet

Portfolio

2025

77,272

1.6%

2026

552,472

11.5%

2027

327,832

6.8%

2028

242,046

5.0%

2029

522,248

10.9%

Thereafter (2)

3,085,793

64.2%

4,807,663

100.0%

Percentages are determined based upon total square footage.

Includes 1,496,842 square feet of vacancies at our owned properties as of September 30, 2025.

(dollars & square feet in 000's)

As of September 30, 2025

% of

Square

% of

State

Properties

Investment

Portfolio

Feet

Portfolio

Colorado

431,336

53.9%

2,142

44.5%

Texas

257,265

32.2%

1,908

39.7%

Minnesota

111,021

13.9%

758

15.8%

Total

799,622

100.0%

4,808

100.0%

Franklin Street Properties Corp. Earnings Release

Supplementary Schedule E

Portfolio and Other Supplementary Information

(Unaudited & Approximated)

Recurring Capital Expenditures

For the Nine

(in thousands)

For the Three Months Ended

Months Ended

31-Mar-25

30-Jun-25

30-Sep-25

Tenant improvements

2,374

1,415

4,469

8,258

Deferred leasing costs

545

1,702

929

3,176

Non-investment capex

1,258

750

753

2,761

4,177

3,867

6,151

14,195

(in thousands)

For the Three Months Ended

Year Ended

31-Mar-24

30-Jun-24

30-Sep-24

31-Dec-24

Tenant improvements

2,619

2,558

4,444

4,173

13,794

Deferred leasing costs

2,237

511

421

2,974

6,143

Non-investment capex

1,019

1,480

1,658

2,568

6,725

5,875

4,549

6,523

9,715

26,662

Square foot & leased percentages

September 30,

December 31,

2025

2024

Owned Properties:

Number of properties

Square feet

4,807,663

4,806,253

Leased percentage

68.9%

70.3%

Consolidated Property - Single Asset REIT (SAR):

Number of properties

—

Square feet

—

213,760

Leased percentage

—

4.1%

Total Owned and Consolidated Properties:

Number of properties

Square feet

4,807,663

5,020,013

Leased percentage

68.9%

67.5%

Franklin Street Properties Corp. Earnings Release

Supplementary Schedule F

Percentage of Leased Space

(Unaudited & Estimated)

Property Name

Location

Square Feet

% Leased (1)

as of

30-Jun-25

Second

Quarter

Average %

Leased (2)

% Leased (1)

as of

30-Sep-25

Third

Quarter

Average %

Leased (2)

PARK TEN

Houston, TX

157,609

94.0%

89.0%

86.8%

91.6%

PARK TEN PHASE II

Houston, TX

156,746

75.5%

76.3%

75.7%

GREENWOOD PLAZA

Englewood, CO

196,236

65.0%

ADDISON

Addison, TX

289,333

67.7%

68.2%

67.7%

LIBERTY PLAZA

Addison, TX

217,841

68.9%

65.4%

66.5%

ELDRIDGE GREEN

Houston, TX

248,399

100.0%

121 SOUTH EIGHTH ST

Minneapolis, MN

297,744

78.5%

77.9%

801 MARQUETTE AVE

Minneapolis, MN

129,691

91.8%

LEGACY TENNYSON CTR

Plano, TX

209,562

60.9%

57.6%

60.9%

WESTCHASE I & II

Houston, TX

629,025

65.1%

66.2%

65.7%

1999 BROADWAY

Denver, CO

682,639

50.4%

50.1%

50.2%

50.4%

1001 17TH STREET

Denver, CO

650,607

75.1%

PLAZA SEVEN

Minneapolis, MN

330,096

51.0%

52.2%

51.0%

600 17TH STREET

Denver, CO

612,135

72.5%

OWNED PORTFOLIO

4,807,663

69.1%

68.9%

69.0%

% Leased as of month's end includes all leases that expire on the last day of the quarter.

Average quarterly percentage is the average of the end of the month leased percentage for each of the three months during the quarter.

Franklin Street Properties Corp. Earnings Release

Supplementary Schedule G

Largest 20 Tenants – FSP Owned Portfolio

(Unaudited & Estimated)

The following table includes the largest 20 tenants in FSP’s owned portfolio based on total square feet:

As of September 30, 2025

% of

Tenant

Sq Ft

Portfolio

CITGO Petroleum Corporation

248,399

5.2%

EOG Resources, Inc.

169,167

3.5%

US Government

168,573

3.5%

Kaiser Foundation Health Plan, Inc.

120,979

2.5%

Deluxe Corporation

98,922

2.1%

Ping Identity Corp.

89,856

1.9%

Olin Corporation

81,480

1.7%

Permian Resources Operating, LLC

67,856

1.4%

Hall and Evans LLC

65,878

1.4%

Cyxtera Management, Inc.

61,826

1.3%

Precision Drilling (US) Corporation

59,569

1.2%

PwC US Group

54,334

1.1%

Coresite, LLC

49,518

1.0%

Schwegman, Lundberg & Woessner, P.A.

46,269

1.0%

Ark-La-Tex Financial Services, LLC.

41,011

0.8%

Invenergy, LLC.

35,088

0.7%

Chevron U.S.A., Inc.

35,088

0.7%

Moss, Luse & Womble, LLC

34,071

0.7%

QB Energy Operating, LLC.

34,063

0.7%

International Business Machines Corporation

31,564

0.7%

Total

1,593,511

33.1%

Franklin Street Properties Corp. Earnings Release

Supplementary Schedule H

Reconciliation and Definitions of Funds From Operations (“FFO”) and

Adjusted Funds From Operations (“AFFO”)

A reconciliation of Net loss to FFO and AFFO is shown below and a definition of FFO and AFFO is provided on Supplementary Schedule I. Management believes FFO and AFFO are used broadly throughout the real estate investment trust (REIT) industry as measurements of performance. The Company has included the National Association of Real Estate Investment Trusts (NAREIT) FFO definition as of May 17, 2016 in the table and notes that other REITs may not define FFO in accordance with the current NAREIT definition or may interpret the current NAREIT definition differently. The Company’s computation of FFO and AFFO may not be comparable to FFO or AFFO reported by other REITs or real estate companies that define FFO or AFFO differently.

Reconciliation of Net loss to FFO and AFFO:

Three Months Ended

Nine Months Ended

September 30,

(In thousands, except per share amounts)

2025

2024

2025

2024

Net loss

(8,326

)

(15,622

)

(37,637

)

(44,197

)

Loss on sale of properties and impairment of asset held for sale, net

—

7,254

12,900

20,459

Depreciation & amortization

10,550

10,907

32,000

34,002

NAREIT FFO

2,224

2,539

7,263

10,264

Lease Acquisition costs

126

303

315

Funds From Operations (FFO)

2,323

2,665

7,566

10,579

Funds From Operations (FFO)

2,323

2,665

7,566

10,579

Loss on extinguishment of debt

477

614

Amortization of deferred financing costs

677

767

2,045

2,265

Shares issued as compensation

—

225

270

Straight-line rent

(37

)

785

(41

)

1,249

Tenant improvements

(4,469

)

(4,444

)

(8,258

)

(9,621

)

Leasing commissions

(929

)

(421

)

(3,176

)

(3,169

)

Non-investment capex

(753

)

(1,658

)

(2,761

)

(4,157

)

Adjusted Funds From Operations (AFFO)

(3,181

)

(1,829

)

(4,388

)

(1,970

)

Per Share Data

EPS

(0.08

)

(0.15

)

(0.36

)

(0.43

)

FFO

0.02

0.03

0.07

0.10

AFFO

(0.03

)

(0.02

)

(0.04

)

(0.02

)

Weighted average shares (basic and diluted)

103,690

103,567

103,623

103,492

Funds From Operations (“FFO”)

The Company evaluates performance based on Funds From Operations, which we refer to as FFO, as management believes that FFO represents the most accurate measure of activity and is the basis for distributions paid to equity holders. The Company defines FFO as net income or loss (computed in accordance with GAAP), excluding gains (or losses) from sales of property, hedge ineffectiveness, acquisition costs of newly acquired properties that are not capitalized and lease acquisition costs that are not capitalized plus depreciation and amortization, including amortization of acquired above and below market lease intangibles and impairment charges on mortgage loans, properties or investments in non-consolidated REITs, and after adjustments to exclude equity in income or losses from, and, to include the proportionate share of FFO from, non-consolidated REITs.

FFO should not be considered as an alternative to net income or loss (determined in accordance with GAAP), nor as an indicator of the Company’s financial performance, nor as an alternative to cash flows from operating activities (determined in accordance with GAAP), nor as a measure of the Company’s liquidity, nor is it necessarily indicative of sufficient cash flow to fund all of the Company’s needs.

Other real estate companies and the National Association of Real Estate Investment Trusts, or NAREIT, may define this term in a different manner. We have included the NAREIT FFO as of May 17, 2016 in the table and note that other REITs may not define FFO in accordance with the current NAREIT definition or may interpret the current NAREIT definition differently than we do.

We believe that in order to facilitate a clear understanding of the results of the Company, FFO should be examined in connection with net income or loss and cash flows from operating, investing and financing activities in the consolidated financial statements.

Adjusted Funds From Operations (“AFFO”)

The Company also evaluates performance based on Adjusted Funds From Operations, which we refer to as AFFO. The Company defines AFFO as (1) FFO, (2) excluding loss on extinguishment of debt that is non-cash, (3) excluding our proportionate share of FFO and including distributions received, from non-consolidated REITs, (4) excluding the effect of straight-line rent, (5) plus the amortization of deferred financing costs, (6) plus the value of shares issued as compensation and (7) less recurring capital expenditures that are generally for maintenance of properties, which we call non-investment capex or are second generation capital expenditures. Second generation costs include re-tenanting space after a tenant vacates, which include tenant improvements and leasing commissions.

We exclude development/redevelopment activities, capital expenditures planned at acquisition and costs to reposition a property. We also exclude first generation leasing costs, which are generally to fill vacant space in properties we acquire or were planned for at acquisition.

AFFO should not be considered as an alternative to net income or loss (determined in accordance with GAAP), nor as an indicator of the Company’s financial performance, nor as an alternative to cash flows from operating activities (determined in accordance with GAAP), nor as a measure of the Company’s liquidity, nor is it necessarily indicative of sufficient cash flow to fund all of the Company’s needs. Other real estate companies may define this term in a different manner. We believe that in order to facilitate a clear understanding of the results of the Company, AFFO should be examined in connection with net income or loss and cash flows from operating, investing and financing activities in the consolidated financial statements.

Franklin Street Properties Corp. Earnings Release

Supplementary Schedule I

Reconciliation and Definition of Sequential Same Store results to property Net Operating Income (NOI) and Net Income

Net Operating Income (“NOI”)

The Company provides property performance based on Net Operating Income, which we refer to as NOI. Management believes that investors are interested in this information. NOI is a non-GAAP financial measure that the Company defines as net income or loss (the most directly comparable GAAP financial measure) plus general and administrative expenses, depreciation and amortization, including amortization of acquired above and below market lease intangibles and impairment charges, interest expense, less equity in earnings of nonconsolidated REITs, interest income, management fee income, hedge ineffectiveness, gains or losses on extinguishment of debt, gains or losses on the sale of assets and excludes non-property specific income and expenses. The information presented includes footnotes and the data is shown by region with properties owned in the periods presented, which we call Sequential Same Store. The comparative Sequential Same Store results include properties held for all periods presented. We exclude properties that have been placed in service, but that do not have operating activity for all periods presented, dispositions and significant nonrecurring income such as bankruptcy settlements and lease termination fees. NOI, as defined by the Company, may not be comparable to NOI reported by other REITs that define NOI differently. NOI should not be considered an alternative to net income or loss as an indication of our performance or to cash flows as a measure of the Company’s liquidity or its ability to make distributions. The calculations of NOI and Sequential Same Store are shown in the following table:

Rentable

Square Feet

Three Months Ended

Inc

(in thousands)

or RSF

30-Sep-25

30-Jun-25

(Dec)

Change

Region

MidWest

758

1,489

1,758

(269

)

(15.3

South

1,908

4,144

4,393

(249

)

(5.7

West

2,142

5,450

5,516

(66

)

(1.2

Property NOI* from Owned Properties

4,808

11,083

11,667

(584

)

(5.0

Disposition and Acquisition Properties (a)

(108

)

117

1.0

NOI*

4,808

11,092

11,559

(467

)

(4.0

Sequential Same Store

11,083

11,667

(584

)

(5.0

Less Nonrecurring

Items in NOI* (b)

—

(0.0

Comparative

Sequential Same Store

11,031

11,615

(584

)

(5.0

Reconciliation to

Three Months Ended

Net loss

30-Sep-25

30-Jun-25

Net loss

(8,326

)

(7,876

)

Add (deduct):

Loss on extinguishment of debt

(Gain) loss on sale of properties and impairment of assets held for sale, net

—

(384

)

Management fee income

(345

)

(334

)

Depreciation and amortization

10,550

10,626

Amortization of above/below market leases

—

General and administrative

3,034

3,281

Interest expense

6,348

6,339

Interest income

(249

)

(248

)

Non-property specific items, net

152

NOI*

11,092

11,559

We define Disposition and Acquisition Properties as properties that were sold acquired or consolidated and do not have operating activity for all periods presented.

Nonrecurring Items in NOI include proceeds from bankruptcies, lease termination fees or other significant nonrecurring income or expenses, which may affect comparability.