Company: FRT-PC
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000034903-25-000063
Chunk: 48

Company: FEDERAL REALTY INVESTMENT TRUST
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 1
Chunk 48
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 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 in the three months ended September 30, 2024. This increase is primarily driven by acquisitions, higher rental rates and average occupancy, and lower rental expenses after recoveries from tenants, partially offset by property dispositions and higher collectibility related adjustments.

Other Operating

General and Administrative Expense

General and administrative expense increased $0.8 million, or 7.6%, to $11.6 million in the three months ended September 30, 2025 compared to $10.8 million in the three months ended September 30, 2024. This increase is due primarily to higher personnel related costs.

Depreciation and Amortization

Depreciation and amortization expense increased $7.2 million, or 8.3%, to $94.3 million in the three months ended September 30, 2025 compared to $87.0 million in the three months ended September 30, 2024. This increase is due primarily to acquisitions and the opening of Santana West and Pike & Rose Phase IV, partially offset by fully depreciated lease assets related to our Grossmont property,