Financial Data and Key Metrics Changes - FFO per share for Q2 2024 was $0.39, consistent with expectations and slightly lower than $0.40 in Q2 2023 [17] - Same Center NOI increased by 1.3% during the quarter, excluding lease termination income [17] - Interest expense increased by $4 million, with half attributed to non-cash amortization from acquisitions [17][18] - Bad debt expense rose by $2 million, primarily due to accrual for a large national tenant, impacting Same Center NOI growth by approximately 80 basis points [18] Business Line Data and Key Metrics Changes - Overall occupancy in Q2 was 93.3%, down 10 basis points from Q1 but up 70 basis points year-over-year [10] - Portfolio occupancy excluding Eddie properties was 94.9% [10] - Sales per square foot at the end of Q2 were $835, flat compared to 2023, while excluding Eddie properties, it was $911 [8] - Trailing 12-month base rent leasing spreads remained positive at 10.1% [10] Market Data and Key Metrics Changes - Traffic across the portfolio increased by 5% compared to the first half of 2023, with Chandler Fashion Center seeing a 20% increase [9] - The company opened 276,000 square feet of new stores in Q2, bringing the year-to-date total to almost 820,000 square feet, an 80% increase from the same period in 2023 [10][12] Company Strategy and Development Direction - The company is focused on simplifying the business, improving operational performance, and reducing leverage, with a goal to reduce $2 billion in debt [4][5] - Asset sales are progressing, with a recent sale of a 50% interest in Biltmore Fashion Park, reducing $110 million in debt [4] - The company is enhancing its leasing process to improve productivity and efficiency [6] Management's Comments on Operating Environment and Future Outlook - Management noted that while sales are flat, the retailer environment remains robust, with leasing activity on track [8][50] - The company anticipates a healthy renewal retention rate in 2024, despite some bankruptcies [15] - Management expressed confidence in achieving $1 billion to $1.4 billion in debt reduction by year-end 2024, ahead of schedule [24][67] Other Important Information - The company is actively negotiating leases for new stores totaling over 0.5 million square feet, with a total of 22 million square feet of new store openings planned [16] - Significant redevelopment projects are underway, costing approximately $300 million, expected to provide an incremental $36 million in NOI [7] Q&A Session Summary Question: Long-term goals and timeline for achieving them - Management believes they are on track for debt reduction, with leasing and NOI improvements progressing as planned [24] Question: Rationale for selling Biltmore Fashion Park - The asset was considered strong, but selling it was deemed a good way to raise liquidity while maintaining leasing positions in the market [26] Question: Negotiations with lenders on Santa Monica Place - Management plans to remain involved in the asset management for at least another 12 months [28] Question: Depth of buyer pool for assets - The market for selling large commercial properties is challenging, but the company has a strategy to monetize assets [30] Question: Pipeline for new leases and tenant negotiations - The leasing environment remains robust, with significant activity in the pipeline [33] Question: Expectations for same-store NOI growth - Management anticipates that the pace of NOI growth will accelerate in the second half of the year [35] Question: Credit quality and consumer spending trends - Despite headlines about consumer pullback, the company’s portfolio remains strong, with retailers signing long-term leases [50] Question: Areas needing more work in the strategic plan - No major mechanical changes are needed; focus is on realigning resources around the strategy [51] Question: Future guidance and relevance of the portfolio size - Management does not plan to provide guidance this year or next but believes the plan will maintain relevance in the market [67]

This quarterly report represents an FFO surprise of 10%. A quarter ago, it was expected that this shopping center real estate investment trust would post FFO of $0.39 per share when it actually produced FFO of $0.31, delivering a surprise of -20.51%. Macerich, which belongs to the Zacks REIT and Equity Trust - Retail industry, posted revenues of $215.52 million for the quarter ended June 2024, missing the Zacks Consensus Estimate by 1.59%. This compares to year-ago revenues of $212.37 million. The company h ...

During the second quarter, we unveiled our Path Forward Plan, followed by significant investor outreach. We are pleased with the feedback we received on what we believe is a very executable, multi-pronged strategy to improve our balance sheet, and also to make inward-facing enhancements to both bolster company culture and improve key business processes to gain operating efficiencies. We are fully engaged in implementing numerous aspects of the Path Forward Plan. Balance Sheet: The Macerich Company Earnings ...

SANTA MONICA, Calif., July 26, 2024 (GLOBE NEWSWIRE) -- The Board of Directors of the Macerich Company (NYSE: MAC) declared a quarterly cash dividend of $.17 per share of common stock. The dividend is payable on September 9, 2024, to stockholders of record at the close of business on August 19, 2024. SOURCE: Macerich Macerich is a fully integrated, self-managed, self-administered real estate investment trust (REIT). As a leading owner, operator, and developer of high-quality retail real estate in densely po ...

With the addition of Ms. Laing, Macerich's Board will have eight directors, seven of whom are independent. Ms. Laing's areas of expertise include corporate strategy, risk management, public equity and corporate debt offerings, finance and capital markets, corporate governance and sustainability matters, investor relations, together with extensive knowledge of IT and cybersecurity, including cybersecurity assessments, controls, protocols, monitoring and incident response, obtained through the responsibility ...

SANTA MONICA, Calif., July 22, 2024 (GLOBE NEWSWIRE) -- Macerich (NYSE: MAC), one of the nation's leading owners, operators and developers of major retail properties in top markets, today announced the appointment of Diana M. Laing to its Board of Directors. Ms. Laing previously served on Macerich's Board from 2003 through 2022. A seasoned corporate finance executive with 35+ years in real estate investment and operating companies, Ms. Laing brings key skills and experience to the Macerich Board – including ...

SANTA MONICA, Calif., June 26, 2024 (GLOBE NEWSWIRE) -- Dial-In Registration: https://register.vevent.com/register/BI4e7fa38720a8454281f71d47b45decaf Webcast Registration: https://edge.media-server.com/mmc/p/d5ie8i9q Macerich is a fully integrated, self-managed, self-administered real estate investment trust (REIT). As a leading owner, operator, and developer of high-quality retail real estate in densely populated and attractive U.S. markets, Macerich's portfolio is concentrated in California, the Pacific N ...

It has been about a month since the last earnings report for Macerich (MAC) . Shares have added about 7.6% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Macerich due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts. Macerich Q1 FFO Miss Estimates, Revenues Fall Y/Y M ...

SANTA MONICA, Calif., May 28, 2024 (GLOBE NEWSWIRE) -- Macerich (NYSE:MAC), one of the nation's leading owners, operators, and developers of major retail properties in top markets, announced today that it will participate in Nareit's REITweek 2024 Investor Conference June 4 and June 5, 2024. Jack Hsieh, President and Chief Executive Officer; Scott Kingsmore, Senior Executive Vice President and Chief Financial Officer; and Doug Healey, Senior Executive Vice President of Leasing, will participate in an analys ...

SANTA MONICA, Calif., May 28, 2024 (GLOBE NEWSWIRE) -- Macerich (NYSE: MAC), one of the nation's leading owners, operators, and developers of major retail properties in top markets, announced today that it will participate in Nareit's REITweek 2024 Investor Conference June 4 and June 5, 2024. Jack Hsieh, President and Chief Executive Officer; Scott Kingsmore, Senior Executive Vice President and Chief Financial Officer; and Doug Healey, Senior Executive Vice President of Leasing, will participate in an analy ...