In the fourth quarter of 2025, Kite Realty Group saw a significant improvement in its NAREIT Funds from Operations (FFO) to $0.52, up from $2.10 in the previous year. Similarly, its Core FFO increased to $0.51 from $2.06 year-over-year. This improvement was primarily driven by same property Net Operating Income (NOI) growth and termination fee income.
The company's total leasing volume decreased to approximately 1.3 million square feet in Q4 2025 from around 4.6 million square feet in the same period of 2024. However, Kite Realty Group highlighted strong leasing volume, with a 13.8% comparable blended cash leasing spread in 2025.
The percentage of anchor and small shop leased also increased sequentially by 170 basis points and 50 basis points, respectively, in Q4 2025. The leased-to-occupied spread at the period end was 340 basis points, representing $37.0 million of NOI, of which approximately 69% is expected to come online in 2026.
Kite Realty Group's retail annualized base rent (ABR) per square foot decreased from $22.63 in 2024 to $20.70 in 2025. Additionally, its net debt to adjusted EBITDA decreased from 4.7x in 2024 to 4.9x in 2025.
Looking ahead, the company provided guidance for 2026, with a projected NAREIT FFO in the range of $2.06 to $2.12, and Core FFO in the same range. The guidance highlighted a same property NOI growth of 2.75% at the midpoint, with recurring but unpredictable items expected to have a marginal negative impact.
Following these announcements, the company's shares moved 1.24%, and are now trading at a price of $23.63. For the full picture, make sure to review KITE REALTY GROUP TRUST's 8-K report.
