On October 30, 2026, Federal Realty Investment Trust reported its financial results for the third quarter ended September 30, 2026. Net income available for common shareholders was $64.2 million, or $0.74 per diluted share, compared to $59.6 million and $0.69 per share in the prior year period. Funds From Operations (FFO), a non-GAAP measure, totaled $163.0 million, or $1.87 per diluted share, representing a 5.6% increase year-over-year.
The company reported overall portfolio occupancy of 93.8% and a leased rate of 96.5% as of September 30, 2026. The leased rate increased 40 basis points sequentially. Small shop leased rate ended the quarter at 94.1%. During the quarter, Federal Realty signed 117 leases for 532,220 square feet of comparable retail space, achieving rent growth of 14% on a cash basis and 25% on a straight-line basis.
On the capital allocation front, the company repurchased 869,748 common shares for approximately $95 million through October 9, 2026. Additionally, on October 1, 2026, the company acquired The Summit, an 870,000-square-foot retail center in Birmingham, Alabama, for $508.0 million. The Summit features a diverse tenant roster including Apple, Trader Joe’s, and Nordstrom Rack.
Regarding financing, Federal Realty issued $460.0 million of 3.50% exchangeable senior notes due August 15, 2031, with net proceeds of approximately $451 million. The company also declared a regular quarterly cash dividend of $1.16 per common share, payable on January 15, 2027.
Guidance for 2026 has been tightened. The company now expects net income available for common shareholders per diluted share to be $4.23 to $4.27. Nareit FFO and Core FFO per diluted share are expected to range from $7.54 to $7.58, representing over 7% growth at the midpoint year-over-year.
