Total Revenue

Increased from $363.85M to $380.91M

Q1 2025 total revenue increased by approximately 4.7% compared to Q1 2024, driven largely by higher lease income and improved management fees. Compared to the previous period, the growth reflects enhanced rental collections and stronger operational performance that build on earlier improvements in lease components reported in Q1 2024. " "

Lease Income

Increased from $353.11M to $371.08M

Lease income rose by around 5% YoY due to higher base rent, improved tenant recoveries, and contributions from redevelopment and acquisitions. This builds upon the trends seen in Q1 2024 where factors such as occupancy improvements and rent steps already set a foundation for growth, with Q1 2025 further boosting lease income by an additional $18.0M. " "

Net Cash Provided by Operating Activities

Increased from $167.76M to $227.60M

Operating cash flow jumped by about 35.6% YoY in Q1 2025 owing to more favorable timing of receipts and improved collections, which reflects better operational efficiency compared to Q1 2024. The strong increase suggests that the enhanced lease and service revenue translated into significantly higher cash collections than in the previous period. " "

Interest Expense, Net

Increased from $42.87M to $48.01M

Interest expense, net grew by approximately 12% YoY, driven by higher balances on notes payable and unsecured credit facilities, as well as incrementally higher interest rates. These factors, which were already a consideration in prior quarters, intensified in Q1 2025, partially offset by an increase in interest income but not enough to curb the overall rise. " "

Net Income

Nearly flat, slight decline from $112.66M to $111.85M

Net income remained essentially unchanged (a slight decline of about 0.7%) despite the revenue increase, as the benefits of higher lease and service revenue were offset by rising operating expenses—including the higher interest expense—and other cost pressures. This balance of headwinds and tailwinds mirrors trends seen in the previous period where improvements in core operations were counterbalanced by expense increases. " "

NAREIT FFO Growth

FY 2025

no prior guidance

nearly 6% "

no prior guidance

Same-Property NOI Growth

FY 2025

3.2% to 4% "

3.6% "

no change

Credit Loss Guidance

FY 2025

75 to 100 basis points "

75 to 100 basis points "

no change

Leasing Activity and Tenant Fundamentals

Previously discussed in Q4 2024 with record leasing volumes, strong tenant demand across key categories, and healthy fundamentals " " ; Q2 2024 emphasized robust leasing demand and disciplined tenant selection. " "

In Q1 2025, leasing activity remained strong with solid demand across grocers, restaurants, health/wellness and off-price retail; tenant fundamentals were highlighted as resilient and well-planned. " "

Consistently positive – Leasing and tenant fundamentals have been a consistent bright spot, with sentiment remaining strong and execution steady.

Occupancy Metrics and Peak Occupancy Concerns

Q4 2024 noted record occupancy rates but mentioned headwinds such as potential tenant churn and peak occupancy challenges " " ; Q2 2024 discussed historical peaks, incremental growth opportunities and runway for continued improvement. " "

Q1 2025 reported further growth in leased occupancy and added pipeline enhancements with no explicit peak occupancy concerns, reflecting improved confidence. "

Improved outlook – While earlier periods flagged peak occupancy issues, Q1 2025 focuses on growth and durability, reducing prior concerns.

NOI Growth and Revenue Visibility

In Q4 2024, NOI growth was solid with a full-year rate around 3.6%–4% driven by base rent, and revenue visibility was supported by a strong lease pipeline " " " ; Q2 2024 also emphasized modest NOI growth and robust future income from new projects. " "

Q1 2025 reaffirmed its earnings outlook with same-property NOI growth of 4.3% and stressed strong revenue visibility via an active SNO pipeline and high contractual rental rate increases. " " "

Steady and supportive – The positive trend in NOI and revenue visibility continues, with guidance reaffirmed and outlook remaining strong.

Accretive Asset Acquisitions and Development Pipeline

Q4 2024 showcased a busy acquisition year with over $0.5 billion in accretive deals and a strong, ongoing development program (annual pace of $250 million) " " " ; Q2 2024 reinforced strategic deals and an extensive in-process pipeline. " "

Q1 2025 highlighted targeted new acquisitions (e.g. Brentwood Place) and an upcoming grocery-anchored center, while the development pipeline remains robust with strong returns. " " "

Sustained focus with new wins – The strategy remains consistent, with Q1 2025 introducing specific new deals and reinforcing a strong pipeline.

Tenant Credit Risk and Bankruptcy Exposure

Q4 2024 covered manageable credit loss levels and a low-risk tenant base with detailed reserve guidance " " " ; Q2 2024 provided granular exposure numbers and historical impact estimates. " "

Q1 2025 emphasized low accounts receivable, proactive management of watch list tenants (including Rite Aid) and robust tenant health, maintaining low bankruptcy exposure. " " "

Stable and controlled – Consistent messaging of low tenant credit risk with proactive monitoring has persisted across periods.

Construction Cost Volatility and Tariff/Input Cost Uncertainty

Q4 2024 focused on managing rising costs and derisking projects while absorbing input cost volatility through diligence and underwriting. " " (No reference in Q2 2024.)

Q1 2025 continued to address construction cost volatility by noting proactive management, cost de-risking, and some offset from lower steel and crude prices. " "

Consistent management with some improvement – Ongoing focus remains with slight easing of input costs aiding the outlook.

Share Repurchase Strategy and Capital Allocation

Q4 2024 detailed opportunistic share repurchases (over $0.5 billion) and robust capital allocation toward development as a top priority " " " " ; Q2 2024 also discussed a $200 million share repurchase and refreshed authorization. " " "

Q1 2025 did not emphasize share repurchases but highlighted astute capital allocation through its development and accretive acquisition strategies, underlining balance sheet strength and long-term growth. " "

Shift in emphasis – While share repurchase activity was a key point in prior periods, Q1 2025 shifted focus more toward strategic capital deployment.

Increased Competition and Valuation Disconnect

Q2 2024 noted deeper bidding pools and a clear disconnect between public (repurchased at 7% implied cap rate) and private market pricing (5.5%–6.5%), highlighting increased competition " " " ; Q4 2024 did not directly address this.

Q1 2025 specifically brought up valuation disconnect with cap rates for high-quality assets at 5%–6% and acknowledged competitive pressures in the acquisition market. "

Emerging prominence – Initially more noted in Q2, the discussion has carried into Q1 2025 with a sharper focus on valuation gaps and competitive dynamics.

Strong Balance Sheet and Liquidity Position

Q4 2024 stressed a robust balance sheet with strengthened liquidity through equity raises and available credit, maintaining leverage within target " " ; Q2 2024 also emphasized liquidity as a key enabler for share repurchases and opportunistic deals. " "

Q1 2025 underscored further strengthened credit ratings (S&P A‑, Moody’s A3), robust free cash flow, and ample credit capacity—all reinforcing its capacity to seize opportunities. " "

Continued robustness – The balance sheet remains a cornerstone, with improvements in credit ratings and consistent liquidity reinforcing strategic agility.