Alexandria Real Estate Equities Reports $243.1M Q1 Funds from Operations

By Chris Stiles • Tuesday, April 28 03:23 • Permanent Link

Alexandria Real Estate Equities said first-quarter 2026 funds from operations were $243.1 million, or $1.39 per share, compared with $257.7 million, or $1.47 per share, in the prior quarter. Revenue for the quarter was $763.6 million, down from $770.6 million in the fourth quarter of 2025.

Net income attributable to common stockholders came in at $124.0 million, or $0.71 per share, versus $1.4 billion, or $8.02 per share, in the prior quarter, when results included a large gain from dispositions.

The company’s same-property net operating income rose 1.9% year over year. Occupancy was 93.8% at March 31, 2026, up 20 basis points from 93.6% at year-end 2025.

Leasing activity totaled 647,356 rentable square feet in the quarter. That included 478,000 square feet of renewals and re-leasing, 92,000 square feet of development and redevelopment, and 77,000 square feet of previously vacant space. The company said it had 1.1 million rentable square feet leased but not yet delivered, representing a future occupancy benefit of 3.2%.

Alexandria ended the quarter with $4.2 billion of liquidity and a weighted-average remaining debt term of 10.0 years. Fixed-rate debt accounted for 96.4% of total debt. Net debt and preferred stock to adjusted EBITDA was projected at 5.6x to 6.2x on an annualized fourth-quarter 2026 basis, versus a prior range of 3.6x to 4.1x.

The company said first-quarter general and administrative expenses were $7.4 million lower than the 2024 quarterly average, an 18% reduction.

Disposition activity remained substantial. Alexandria said $2.33 billion of dispositions and sales of partial interests were in process or pending, including $2.18 billion identified and in process, $149.1 million pending under transaction documentation, and $2.3 million completed.

For 2026, Alexandria expects to deliver 1.1 million rentable square feet of leased but not yet delivered space, with expected annual rental revenue of about $68 million. Following these announcements, the company's shares moved 2.2%, and are now trading at a price of $47.40. For more information, read the company's full 8-K submission here.

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