Regency Centers Q3 FFO Meet Estimates, Same-Property NOI Rises

Regency Centers Corporation REG reported third-quarter 2025 NAREIT funds from operations (FFO) per share of $1.15, in line with the Zacks Consensus Estimate. The figure increased 7.5% from the prior-year quarter.

Results reflect healthy leasing activity. It witnessed a year-over-year improvement in the same-property net operating income (NOI) and base rents during the quarter. The company increased its 2025 NAREIT FFO per share outlook.

Total revenues of $387.6 million increased 7.6% from the year-ago period. The figure surpassed the Zacks Consensus Estimate of $385.3 million.

Per Lisa Palmer, president and CEO of Regency, “Our results reflect the tremendous talent of our team, driving strong revenue growth and successfully executing on our capital allocation strategy. So far this year, we have deployed more than $750 million of capital into accretive investments, enhancing our strong organic growth.”

Subsequent to quarter-end, Regency's board of directors declared a quarterly cash dividend on the company's common stock of 75.5 cents per share. This reflects an increase of more than 7% from the prior payout.

REG’s Q3 in Detail

In the third quarter, Regency Centers executed approximately 1.8 million square feet of comparable new and renewal leases at a blended cash rent spread of 12.8%.

As of Sept. 30, 2025, REG’s same property portfolio was 96.4% leased, up 40 basis points (bps) year over year.

The same-property anchor percent leased (includes spaces greater than or equal to 10,000 square feet) was 98%, increasing 10 bps year over year.

The same-property shop percent leased (includes spaces less than 10,000 square feet) was 93.9%, increasing 80 bps year over year.

The same-property NOI, excluding lease termination fees, increased 4.8% on a year-over-year basis to $273.5 million. The same-property base rent growth contributed 4.7% to the same-property NOI growth in the quarter.

As of Sept. 30, 2025, Regency Centers’ in-process development and redevelopment projects have estimated net project costs of $668 million at the company’s share. So far, it has incurred 51% of the cost.

REG’s Portfolio Activity

In the third quarter of 2025, Regency Centers acquired a portfolio of five shopping centers located within the Rancho Mission Viejo master planned community in Orange County, CA, for $357 million. In the quarter, the company disposed of five assets for approximately $32 million.

In the third quarter, the company acquired its partner's 50% interest in Chestnut Ridge Shopping Center in Montvale, NJ, for nearly $9.2 million, and now owns 100% of the asset. It also acquired its partner's 50% interest in Baybrook East and 47% interest in The Market at Springwoods Village, both in Houston, TX, for a combined total of $34 million and now owns 100% of both assets.

Following the quarter end, REG disposed of Hammocks Town Center in Miami for nearly $72 million.

REG’s Balance Sheet

As of Sept. 30, 2025, this retail REIT had nearly $1.5 billion of capacity under its revolving credit facility. As of the same date, its pro-rata net debt and preferred stock to trailing 12 months (TTM) operating EBITDAre were 5.3X.

REG’s 2025 Outlook

Regency Centers has increased its 2025 NAREIT FFO per share guidance in the range of $4.62-$4.64, compared to the prior guidance $4.59-$4.63. The Zacks Consensus Estimate is presently pegged at $4.60, which is below the guided range.

Regency Centers currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Regency Centers Corporation Price, Consensus and EPS Surprise

Regency Centers Corporation price-consensus-eps-surprise-chart | Regency Centers Corporation Quote

Upcoming Earnings Releases

We now look forward to the earnings releases of other retail REITs, such as Federal Realty Investment Trust FRT and Simon Property Group SPG, which are slated to report on Oct. 31 and Nov. 3, respectively.

The Zacks Consensus Estimate for Federal Realty Investment Trust’s third-quarter 2025 FFO per share is pegged at $1.76, implying a 2.9% year-over-year increase. FRT currently carries a Zacks Rank #3.

The Zacks Consensus Estimate for Simon’s third-quarter 2025 FFO per share stands at $3.09, indicating an 8.8% rise year over year. SPG currently has a Zacks Rank #3.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.

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