Brixmor raises distribution 7.3% to $0.3300 per share as occupancy hits record

Key Facts

Brixmor raised its quarterly cash distribution 7.3% to $0.3300 per share and increased its 2026 outlook after total leased occupancy reached a record 95.6% on September 30. The new distribution equates to $1.32 per share annually, and the company said it will be paid on January 15, 2027, to shareholders of record on January 5. In the third quarter, same-property net operating income rose 6.6% from the same period in 2025. The company also raised its estimate for growth in this metric for the year and increased its Nareit FFO forecast per diluted share. The distribution increase comes as occupancy levels and rent spreads strengthen indicators of the company's operating performance.

Third-quarter revenue was $359.598 million, compared with $340.843 million in the third quarter of 2025. Nareit FFO rose to $184.6 million, or $0.60 per diluted share, from $172.3 million, or $0.56 per share, a year earlier. Same-property net operating income growth was 6.6% for the quarter, with base rent contributing 480 basis points of that growth. For the nine months ended September 30, the metric rose 6.2% compared with the corresponding period in 2025.

Brixmor executed new leases and renewals covering 1.6 million square feet in the third quarter, with a comparable-space rent spread of 25.3%. Spreads varied by lease type, reaching 42.6% for new leases and 19.4% for renewals. Anchor occupancy reached 97.0%, while small-shop occupancy hit a record 92.8%. The gap between leased and billed occupancy was 420 basis points during the quarter. As of September 30, signed new leases that had not yet commenced covered 3.1 million square feet, representing $68.9 million in annual base rent.

Chief Executive Brian Finnegan said signed leases that had not yet commenced, together with the reinvestment program, "provide exceptional visibility into future earnings and cash flow growth." The annual rent value of leases not yet in effect is an indicator of income tied to existing contracts, while it does not mean that the full amount was realized during the quarter. The company's portfolio comprises 345 shopping centers and about 62 million square feet of retail space in established markets. Occupancy levels and rent spreads put leasing results at the center of the operating update, alongside quarterly revenue and FFO growth.

The company raised its 2026 same-property net operating income growth outlook to a range of 5.50%–5.75%, from its previous range of 5.00%–5.75%. It also increased its Nareit FFO forecast to $2.36–$2.38 per diluted share, from $2.35–$2.37. Brixmor had raised both forecasts in July, lifting its operating income growth range to 5.00%–5.75% from 4.75%–5.50%, and its FFO forecast to $2.35–$2.37 from $2.34–$2.37. In the second quarter, same-property net operating income growth was 5.8%, and Nareit FFO was about $178.6 million, or $0.58 per diluted share, compared with $171.5 million and $0.56 per share in the same period of 2025.

Brixmor said the distribution's approximate annualized yield was 4.7%, based on the share price on October 23, 2026. Before the increase, quarterly distributions were $0.3075 per share, equivalent to $1.23 annually, with the previous distribution paid on October 15 to shareholders of record on October 2. On expansion, the company said the Slate transaction includes the purchase of a portfolio of 23 properties, along with a common equity stake and a preferred investment in a joint venture. The transaction is expected to close in the first quarter of 2027, subject to approval by Slate unitholders and the satisfaction of customary closing conditions.

The company said its third-quarter results call will be held on October 27, 2026, at 10:00 a.m. Eastern time. The investor relations calendar lists the fourth-quarter results call for February 4, 2027, at 10:00 a.m. Eastern time. The 2026 outlook excludes additional items affecting the comparability of FFO, such as gains or losses on debt extinguishment, transaction expenses or any one-time items. The company identified these items among those excluded from its published outlook. The next call is scheduled after the results announcement and the increases to the distribution and outlook.