Company: FRT-PC
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000034903-25-000063
Chunk: 79

Company: FEDERAL REALTY INVESTMENT TRUST
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 2
Chunk 79
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 fee income, partially offset by a $1.4 million increase in collectibility related adjustments, and

•an increase of $1.6 million from non-comparable properties primarily driven by occupancy increases,

partially offset by

•a decrease of $4.1 million from property dispositions.

Property Expenses

Total property expenses increased $5.7 million, or 5.7%, to $105.7 million in the three months ended September 30, 2025 compared to $100.0 million in the three months ended September 30, 2024. Changes in the components of property expenses are discussed below.

Rental Expenses

Rental expenses increased $3.6 million, or 5.6%, to $67.5 million in the three months ended September 30, 2025 compared to $63.9 million in the three months ended September 30, 2024. This increase is primarily due to the following:

•an increase of $2.2 million from acquisitions, and 

•an increase of $1.6 million from non-comparable properties due primarily to openings at Santana West and Pike & Rose Phase IV,

partially offset by

•a decrease of $1.0 million from property dispositions.

As a result of the changes in rental income and rental expenses as discussed above, rental expenses as a percentage of rental income decreased to 21.5% in the three months ended September 30, 2025 from 21.7% in the three months ended September 30, 2024. 

Real Estate Taxes

Real estate tax expense increased $2.1 million, or 5.9%, to $38.2 million in the three months ended September 30, 2025 compared to $36.1 million in the three months ended September 30, 2024. This increase is primarily due to the following:

•an increase of $1.4 million from acquisitions,

•an increase of $0.7 million from non-comparable properties due primarily to openings at Santana West, and

•an increase of $0.5 million from comparable properties due primarily to higher assessments,

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partially offset by

•a decrease of $0.5 million from property dispositions.

Property Operating Income

Property operating income increased $12.9 million, or 6.3%, to $216.6 million in the three months ended September 30, 2025 compared to $203.7 million