Franklin Street Properties Corp. (NYSE American: FSP) announced its financial results for the third quarter ended September 30, 2026. The company reported a GAAP net loss of $9.1 million for the three months ended September 30, 2026, or $0.09 per basic and diluted share. Over the nine months ended September 30, 2026, the company recorded a net loss of $35.2 million, or $0.34 per share.
Funds From Operations (FFO) for the third quarter were $1.4 million, or $0.01 per share, and $4.2 million, or $0.04 per share, over the nine months ended September 30, 2026. The company noted that General and Administrative (G&A) expenses for the nine months ended September 30, 2026, were $2.6 million lower compared to the same period in 2025, primarily due to lower personnel costs.
In a significant policy change, the Board of Directors suspended the payment of quarterly dividends in March 2026. The company estimates this suspension will preserve approximately $4.1 million in cash on an annualized basis. The Board plans to reassess the dividend policy on a quarterly basis.
Operationally, the company sold its Greenwood Plaza property in Englewood, Colorado, on July 8, 2026, for a gross selling price of approximately $19.4 million. The company used approximately $8.5 million of the net proceeds to repay debt and retained approximately $8.9 million in cash. The company’s directly-owned real estate portfolio consists of 13 properties totaling approximately 4.6 million square feet. As of September 30, 2026, the portfolio was approximately 66.2% leased, a decrease from 68.9% as of December 31, 2025.
Franklin Street is currently conducting an expanded strategic review process with BofA Securities and JLL Securities as co-advisors. The process includes evaluating potential sales of individual assets and subportfolios. The company has identified several sale opportunities to pursue in the fourth quarter, subject to reaching acceptable pricing terms and completing due diligence.
