Company: FRT-PC
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000034903-25-000063
Chunk: 52

Company: FEDERAL REALTY INVESTMENT TRUST
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 1
Chunk 52
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 30, 2024. 

Real Estate Taxes

Real estate tax expense increased $6.0 million, or 5.7%, to $111.4 million in the nine months ended September 30, 2025 compared to $105.4 million in the nine months ended September 30, 2024 due primarily to the following:

•an increase of $3.5 million from 2025 and 2024 acquisitions,

•an increase of $2.1 million from comparable properties primarily due to higher assessments and prior year refunds received during 2024, and 

•an increase of $1.7 million from non-comparable properties primarily due to openings at Santana West and Pike & Rose Phase IV,

partially offset by

•a decrease of $1.2 million from property dispositions. 

Property Operating Income

Property operating income increased $33.5 million, or 5.6%, to $634.6 million in the nine months ended September 30, 2025 compared to $601.2 million in the nine months ended September 30, 2024. This increase is primarily driven by 2025 and 2024 acquisitions and higher rental rates and average occupancy, partially offset by property dispositions and higher collectibility related adjustments.

Other Operating

Depreciation and Amortization

Depreciation and amortization expense increased $15.0 million, or 5.9%, to $270.5 million in the nine months ended September 30, 2025 compared to $255.5 million in the nine months ended September 30, 2024. This increase is due primarily to 2025 and 2024 acquisitions and the openings at Santana West and Pike & Rose Phase IV, partially offset by fully depreciated lease assets related to our Grossmont property and property dispositions.

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Table of Contents

Gain on Sale of Real Estate

The $77.7 million gain on sale of real estate for the nine months ended September 30, 2025 is primarily due to the sale of a residential building at Santana Row, our Hollywood Boulevard property, and a portion of our White Marsh Other property.

The $52.3 million gain on sale of real estate for the nine months ended September 30, 2024 is primarily due to the sale of Third Street Promenade. 

New Market Tax Credit Transaction Income

The $14.2 million new market tax credit transaction income for the nine months ended September 30, 202