BXP Hits $1B Milestone Under Its Long-Term Asset Sale Plan Strategy

BXP Inc. BXP recently announced that it has completed asset dispositions worth net proceeds of more than $1 billion. This marks a major milestone in its strategic multi-year asset sales plan of $1.9 billion, as outlined in the Investor Presentation in September 2025. Dispositions amounted to $845 million through the year ended 2025, and with two additional sales this month, the total crossed $1 billion through Jan. 14, 2026.

The sales included seven suburban land parcels across Boston, San Francisco and Washington DC for net proceeds totaling around $220 million. Two residential properties in Cambridge, MA, and Reston, VA, were sold for cumulative net proceeds of around $405 million. Seven non-core office and life sciences assets in Needham, MA, and South San Francisco, CA, were sold for aggregate net proceeds of around $400 million.

These asset sales will provide the company with the dry powder to focus on its premium workplace developments, which will be value-accretive in the future. At the same time, it will pave the way for more asset additions in the central business districts in its core gateway markets.

BXP in a Snapshot

BXP has been focusing on the successful execution of its capital reallocation strategy. In particular, it is boosting its portfolio quality through repositioning initiatives like acquisitions and the development of properties in core markets and shedding properties in non-core markets.

From the beginning of 2010 through the end of the third quarter of 2025, BXP carried out acquisitions worth $7.6 billion at its share. It also disposed of properties for an aggregate amount of $8.2 billion at its share during this period. Such moves highlight the company’s prudent capital management practices and relieve pressure on its balance sheet.

However, high competition from developers, owners and operators of office properties concerns BXP. Moreover, a huge development and redevelopment pipeline adds to its woes.

Over the past three months, shares of this Zacks Rank #3 (Hold) office REIT have lost 5.5% compared with the industry’s fall of 0.8%.

Stocks to Consider

Some better-ranked stocks from the broader REIT sector are Prologis Inc. PLD and Host Hotels & Resorts HST, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for PLD’s 2025 and 2026 FFO per share is pinned at $5.80 and $6.08, respectively. This calls for year-over-year growth of 4.3% for 2025 and 4.7% for 2026.

The Zacks Consensus Estimate for HST’s 2025 and 2026 FFO per share is pegged at $2.05 and $2.04, respectively. This implies year-over-year growth of 4.1% for 2025 and a marginal fall for 2026.

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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This article originally published on Zacks Investment Research (zacks.com).

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