Urban Edge Properties(UE) - 2025 Q2 - Quarterly Results

Press Release This section presents the company's second quarter 2025 earnings, updated full-year guidance, and definitions of key financial metrics Second Quarter 2025 Earnings Press Release Urban Edge Properties reported strong Q2 2025 operating performance with record FFO as Adjusted of $0.36 per share and over 7% same-property NOI growth, raising full-year guidance Key Financial Results (Q2 2025 vs. Q2 2024 & YTD 2025 vs. YTD 2024) (in thousands, except per share) | Metric (in thousands, except per share) | 2Q25 | 2Q24 | YTD 2025 | YTD 2024 | | :------------------------------------ | :--- | :--- | :------- | :------- | | Net income attributable to common shareholders | $57,978 | $30,759 | $66,176 | $33,362 | | Net income per diluted share | 0.46 | 0.26 | 0.53 | 0.28 | | Funds from Operations ("FFO") | 43,779 | 58,397 | 89,237 | 97,447 | | FFO per diluted share | 0.34 | 0.47 | 0.68 | 0.79 | | FFO as Adjusted | 47,252 | 40,156 | 93,173 | 80,974 | | FFO as Adjusted per diluted share | 0.36 | 0.32 | 0.71 | 0.66 | Same-Property Operating Results (2Q25 & YTD 2025) (percent) | Metric | 2Q25 | YTD 2025 | | :------------------------------------------ | :---- | :------- | | Same-property Net Operating Income ("NOI") growth | 5.7 % | 4.7 % | | Same-property NOI growth, including properties in redevelopment | 7.4 % | 5.6 % | - Full-year 2025 guidance for FFO as Adjusted raised by $0.025 per share at the midpoint to a new range of $1.40 to $1.44 per share[8] - Shop occupancy climbed to a new record level of 92.5%[8] - Closed on the sale of two non-core properties for $41 million in June, contributing to $66 million of year-to-date asset sales at a weighted average capitalization rate of 4.9%[8] 2025 Outlook and Guidance The company updated its full-year 2025 guidance, raising estimates for net income and FFO metrics based on improved NOI growth and reduced G&A Revised 2025 Full-Year Guidance (Per Diluted Share) | Metric | Previous Guidance | Revised Guidance | | :-------------------------------------- | :---------------- | :--------------- | | Net income per diluted share | $0.40 - $0.45 | $0.70 - $0.74 | | Net income attributable to common shareholders per diluted share | $0.39 - $0.44 | $0.67 - $0.71 | | FFO per diluted share | $1.36 - $1.41 | $1.37 - $1.41 | | FFO as Adjusted per diluted share | $1.37 - $1.42 | $1.40 - $1.44 | - Same-property NOI growth, including properties in redevelopment, is projected to be 4.25% to 5.0%, an increase from the previous assumption of 3.0% to 4.0%[25] - Dispositions of $66 million reflect activity completed year-to-date[25] - Recurring G&A expenses are expected to range from $34.5 million to $35.5 million, a decrease from the previous assumption of $35 million to $36.5 million[25] Non-GAAP Financial Measures The company uses non-GAAP financial measures like FFO, NOI, and EBITDAre to clarify operational results and ensure comparability, defining them per industry standards - FFO (Funds from Operations) is defined as net income (GAAP) excluding gains/losses from sales of depreciable real estate and land, impairments, and rental property depreciation and amortization[28] - FFO as Adjusted is FFO with further adjustments for items not representative of ongoing core operating results, such as non-comparable revenues and expenses[28] - NOI (Net Operating Income) is used to compare unlevered property performance, reflecting trends in occupancy, rental rates, operating costs, and acquisition/disposition activity[28] - Same-property NOI includes results from properties owned and operated for the entirety of comparable reporting periods, excluding properties under development, redevelopment, or those acquired/sold/foreclosed[28] - EBITDAre and Adjusted EBITDAre are supplemental measures used to evaluate REITs and the company's operational performance, excluding various non-operating items and approximating key debt covenant measures[29] Operating Metrics This section details operating metrics such as recovery ratios, occupancy rates, and tenant classifications to provide insights into property performance - Recovery ratios represent the percentage of operating expenses recuperated through tenant reimbursements, calculated on a same-property basis[31] - Occupancy metrics represent the percentage of occupied gross leasable area based on executed leases, including those signed but not yet rent commenced, with specific definitions for same-property portfolio occupancy[32] - Tenant categories include anchors (>10,000 sf) and shops (<10,000 sf), further broken down by local (<5 locations), regional (5+ locations in one region), and national (5+ locations in 2+ regions) tenants[34] Reconciliation of Net Income to FFO and FFO as Adjusted This section reconciles GAAP net income to FFO and FFO as Adjusted for Q2 and YTD 2025 and 2024, detailing key adjustments Reconciliation of Net Income to FFO and FFO as Adjusted (in thousands, except per share amounts) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income | $60,793 | $32,024 | $69,175 | $34,469 | | Net income attributable to common shareholders | $57,978 | $30,759 | $66,176 | $33,362 | | Rental property depreciation and amortization | 32,205 | 39,346 | 69,033 | 77,577 | | Gain on sale of real estate | (49,462) | (13,447) | (49,462) | (15,349) | | FFO Applicable to diluted common shareholders | 43,779 | 58,397 | 89,237 | 97,447 | | FFO per diluted common share | 0.34 | 0.47 | 0.68 | 0.79 | | Transaction, severance and litigation expenses | 3,151 | 272 | 4,175 | 381 | | Loss (gain) on extinguishment of debt | 175 | (21,699) | (323) | (21,427) | | FFO as Adjusted applicable to diluted common shareholders | $47,252 | $40,156 | $93,173 | $80,974 | | FFO as Adjusted per diluted common share | $0.36 | $0.32 | $0.71 | $0.66 | Reconciliation of Net Income to NOI and Same-Property NOI This section reconciles net income to NOI and same-property NOI for Q2 and YTD 2025 and 2024, including adjustments for various expenses and non-same property items Reconciliation of Net Income to NOI and Same-Property NOI (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income | $60,793 | $32,024 | $69,175 | $34,469 | | Depreciation and amortization | 32,602 | 39,679 | 69,797 | 78,253 | | Interest and debt expense | 19,537 | 21,896 | 39,292 | 42,473 | | General and administrative expense | 11,717 | 9,368 | 21,248 | 18,414 | | Gain on sale of real estate | (49,462) | (13,447) | (49,462) | (15,349) | | NOI | 73,031 | 66,702 | 144,603 | 133,394 | | Same-property NOI | $61,271 | $57,941 | $120,051 | $114,668 | | NOI related to properties being redeveloped | 6,578 | 5,248 | 12,727 | 11,061 | | Same-property NOI including properties in redevelopment | $67,849 | $63,189 | $132,778 | $125,729 | Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre This section reconciles net income to EBITDAre and Adjusted EBITDAre for Q2 and YTD 2025 and 2024, detailing adjustments and key coverage ratios Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income | $60,793 | $32,024 | $69,175 | $34,469 | | Depreciation and amortization | 32,602 | 39,679 | 69,797 | 78,253 | | Interest and debt expense | 19,537 | 21,896 | 39,292 | 42,473 | | Income tax expense | 643 | 539 | 1,262 | 1,204 | | Gain on sale of real estate | (49,462) | (13,447) | (49,462) | (15,349) | | EBITDAre | 64,113 | 80,691 | 130,064 | 141,050 | | Transaction, severance and litigation expenses | 3,151 | 272 | 4,175 | 381 | | Loss (gain) on extinguishment of debt | 175 | (21,699) | (323) | (21,427) | | Adjusted EBITDAre | $67,586 | $61,384 | $134,000 | $122,187 | | Adjusted EBITDAre to interest expense | 3.7 x | 2.9 x | 3.6 x | 3.0 x | | Adjusted EBITDAre to fixed charges | 3.0 x | 2.5 x | 3.0 x | 2.6 x | Additional Information and Forward-Looking Statements This section provides company information, directs to supplemental disclosures, and includes a comprehensive disclaimer regarding forward-looking statements and associated risks - Urban Edge Properties is a NYSE listed REIT focused on owning, managing, acquiring, developing, and redeveloping retail real estate primarily in the Washington, D.C. to Boston corridor, owning 72 properties totaling 17.1 million square feet of GLA[43] - The company uses its 'Investors' page (www.uedge.com) as a means of disclosing material nonpublic information and complying with Regulation FD[42] - Forward-looking statements are subject to numerous assumptions, risks, and uncertainties, including macroeconomic conditions, tenant bankruptcies, e-commerce impact, borrowing costs, and development project risks[44] Overview This section provides a high-level summary of the company's key financial results and operational ratios for the reporting period Summary Financial Results and Ratios This section summarizes Urban Edge Properties' key financial results and operational ratios for Q2 and YTD 2025, including revenue, earnings, FFO, occupancy, and debt Summary Financial Results and Ratios (Q2 2025 & YTD 2025) (in thousands, except per share) | Metric | Three Months Ended June 30, 2025 | Six Months Ended June 30, 2025 | | :------------------------------------------ | :------------------------------- | :----------------------------- | | Total revenue | $114,084 | $232,249 | | Net income attributable to common shareholders | $57,978 | $66,176 | | Earnings per diluted share | $0.46 | $0.53 | | FFO per diluted common share | $0.34 | $0.68 | | FFO as Adjusted per diluted common share | $0.36 | $0.71 | | Total dividends paid per share | $0.19 | $0.38 | | Consolidated portfolio leased occupancy at end of period | 96.5 % | | | Shop leased occupancy at end of period | 92.5 % | | | Same-property NOI growth | 5.7 % | 4.7 % | | Same-property NOI growth, including redevelopment properties | 7.4 % | 5.6 % | | Net debt to total market capitalization | 36.7 % | 36.7 % | | Net debt to Adjusted EBITDAre | 5.5 x | 5.6 x | Consolidated Financial Statements This section presents the company's consolidated balance sheets and statements of income, reflecting its financial position and performance Consolidated Balance Sheets The consolidated balance sheets present the company's financial position as of June 30, 2025, showing assets, liabilities, and equity, with changes in real estate, mortgages, and cash Consolidated Balance Sheets (in thousands) | Asset/Liability/Equity | June 30, 2025 | December 31, 2024 | | :---------------------------------- | :------------ | :---------------- | | Real estate, net | $2,861,967 | $2,865,393 | | Cash and cash equivalents | 52,962 | 41,373 | | Restricted cash | 65,239 | 49,267 | | Total assets | $3,313,551 | $3,311,540 | | Mortgages payable, net | $1,514,237 | $1,569,753 | | Unsecured credit facility | 90,000 | 50,000 | | Total liabilities | 1,920,947 | 1,949,816 | | Total equity | 1,392,604 | 1,361,724 | Consolidated Statements of Income The consolidated statements of income detail the company's financial performance for Q2 and YTD 2025, showing increased rental revenue and a significant gain on real estate sales Consolidated Statements of Income (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Rental revenue | $113,912 | $106,358 | $232,004 | $215,905 | | Total revenue | 114,084 | 106,546 | 232,249 | 216,172 | | Depreciation and amortization | 32,602 | 39,679 | 69,797 | 78,253 | | Real estate taxes | 16,582 | 17,472 | 32,940 | 34,475 | | Property operating | 17,531 | 18,260 | 40,263 | 38,766 | | General and administrative | 11,717 | 9,368 | 21,248 | 18,414 | | Total expenses | 83,065 | 87,894 | 173,579 | 176,151 | | Gain on sale of real estate | 49,462 | 13,447 | 49,462 | 15,349 | | Interest and debt expense | (19,537) | (21,896) | (39,292) | (42,473) | | Net income | 60,793 | 32,024 | 69,175 | 34,469 | | Net income attributable to common shareholders | $57,978 | $30,759 | $66,176 | $33,362 | Non-GAAP Financial Measures and Supplemental Data This section provides detailed non-GAAP financial measures, including NOI, EBITDAre, and FFO, along with supplemental data on market capitalization, debt, and liquidity Supplemental Schedule of Net Operating Income This schedule details Net Operating Income (NOI) and Same-property NOI for Q2 and YTD 2025 and 2024, showing increases in revenue and improved NOI margin Supplemental Schedule of Net Operating Income (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Total property revenue | $111,214 | $105,310 | $225,990 | $212,341 | | Total property operating expenses | (38,183) | (38,608) | (81,387) | (78,947) | | NOI | $73,031 | $66,702 | $144,603 | $133,394 | | NOI margin (NOI / Total property revenue) | 65.7 % | 63.3 % | 64.0 % | 62.8 % | | Same-property NOI | $61,271 | $57,941 | $120,051 | $114,668 | | Same-property NOI growth | 5.7 % | | 4.7 % | | | Same-property NOI including properties in redevelopment | $67,849 | $63,189 | $132,778 | $125,729 | | Same-property NOI including properties in redevelopment growth | 7.4 % | | 5.6 % | | Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (EBITDAre) This section details the calculation of EBITDAre and Adjusted EBITDAre for Q2 and YTD 2025 and 2024, indicating increased Adjusted EBITDAre and improved coverage ratios EBITDAre and Adjusted EBITDAre (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | EBITDAre | $64,113 | $80,691 | $130,064 | $141,050 | | Adjusted EBITDAre | $67,586 | $61,384 | $134,000 | $122,187 | | Adjusted EBITDAre to interest expense | 3.7 x | 2.9 x | 3.6 x | 3.0 x | | Adjusted EBITDAre to fixed charges | 3.0 x | 2.5 x | 3.0 x | 2.6 x | Funds from Operations This section reconciles net income to FFO and FFO as Adjusted per diluted common share for Q2 and YTD 2025, detailing adjustments to GAAP net income FFO and FFO as Adjusted per Diluted Common Share (in thousands, except per share amounts) | Metric | Three Months Ended June 30, 2025 | Six Months Ended June 30, 2025 | | :------------------------------------------ | :------------------------------- | :----------------------------- | | Net income | $60,793 | $69,175 | | Net income attributable to common shareholders | 57,978 | 66,176 | | Rental property depreciation and amortization | 32,205 | 69,033 | | Gain on sale of real estate | (49,462) | (49,462) | | FFO applicable to diluted common shareholders | 43,779 | 89,237 | | FFO per diluted common share | 0.34 | 0.68 | | Transaction, severance and litigation expenses | 3,151 | 4,175 | | Loss (gain) on extinguishment of debt | 175 | (323) | | FFO as Adjusted applicable to diluted common shareholders | $47,252 | $93,173 | | FFO as Adjusted per diluted common share | 0.36 | 0.71 | | Weighted average diluted common shares - FFO | 130,623 | 130,476 | Market Capitalization, Debt Ratios and Liquidity This section presents key financial metrics for market capitalization, debt levels, and liquidity as of June 30, 2025, including total market capitalization, net debt, and debt ratios Market Capitalization, Debt Ratios and Liquidity (in thousands, except per share amounts) | Metric | June 30, 2025 | | :------------------------------------------ | :------------ | | Closing market price of common shares | $18.66 | | Diluted common shares | 132,402,005 | | Equity market capitalization | $2,470,621 | | Total consolidated debt | $1,616,634 | | Cash and cash equivalents including restricted cash | (118,201) | | Net debt | $1,498,433 | | Net Debt to annualized Adjusted EBITDAre | 5.5 x | | Total market capitalization | $4,087,255 | | Net debt to total market capitalization at applicable market price | 36.7 % | | Total liquidity | $796,066 | Additional Disclosures This section provides additional details on rental revenue composition, non-cash items, and a breakdown of capital expenditures for Q2 and YTD 2025 and 2024 Rental Revenue Composition (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :---------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Property rentals | $83,454 | $78,609 | $167,706 | $157,763 | | Tenant expense reimbursements | 31,206 | 28,057 | 65,810 | 58,154 | | Total rental revenue | $113,912 | $106,358 | $232,004 | $215,905 | | Minimum rent | $80,388 | $77,215 | $160,313 | $152,819 | | Non-cash revenues | 2,841 | 1,071 | 6,204 | 3,646 | | Percentage rent | 225 | 323 | 1,128 | 1,262 | Capital Expenditures (in thousands) | Type of Expenditure | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :---------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Development and redevelopment costs | $13,656 | $14,358 | $26,724 | $26,604 | | Maintenance capital expenditures | 8,647 | 4,777 | 13,997 | 10,806 | | Leasing commissions | 1,712 | 1,398 | 2,805 | 3,043 | | Tenant improvements and allowances | 1,510 | 1,335 | 3,822 | 3,254 | | Total capital expenditures | $25,525 | $21,868 | $47,348 | $43,707 | Leasing Data This section provides detailed insights into the company's leasing activities, including tenant concentration, new leases, and the retail portfolio's lease expiration schedule Tenant Concentration - Top Twenty-Five Tenants This section lists the top twenty-five tenants by square footage and annualized base rent as of June 30, 2025, providing insights into the company's tenant base Top Twenty-Five Tenants (as of June 30, 2025) | Tenant | Number of stores | Square feet | % of total square feet | Annualized base rent ("ABR") | % of total ABR | Weighted average ABR per square foot | Weighted average remaining term of ABR (years) | | :-------------------- | :--------------- | :---------- | :--------------------- | :--------------------------- | :------------- | :----------------------------------- | :--------------------------------------------- | | The TJX Companies | 28 | 873,159 | 5.1% | $18,608,814 | 5.7% | $21.31 | 4.0 | | Burlington | 11 | 532,514 | 3.1% | 9,828,699 | 3.0% | 18.46 | 4.9 | | Kohl's | 9 | 855,561 | 5.0% | 9,780,028 | 3.0% | 11.43 | 5.2 | | Best Buy | 9 | 409,641 | 2.4% | 9,533,005 | 2.9% | 23.27 | 5.4 | | The Home Depot | 5 | 538,742 | 3.2% | 9,189,305 | 2.8% | 17.06 | 12.6 | | Lowe's Companies | 6 | 976,415 | 5.7% | 9,071,256 | 2.8% | 9.29 | 5.2 | | Walmart | 5 | 780,788 | 4.6% | 8,989,075 | 2.8% | 11.51 | 7.4 | | ShopRite | 5 | 361,053 | 2.1% | 6,826,508 | 2.1% | 18.91 | 10.0 | | PetSmart | 11 | 237,034 | 1.4% | 6,467,915 | 2.0% | 27.29 | 4.7 | | BJ's Wholesale Club | 4 | 454,297 | 2.7% | 6,340,989 | 2.0% | 13.96 | 4.8 | | Total/Weighted Average | 171 | 8,512,862 | 49.9% | $153,698,426 | 47.2% | $18.05 | 5.9 | Leasing Activity This section details the company's leasing activity for new leases, renewals, and options during Q2 and YTD 2025, including square footage, rent per square foot, and rent spreads Leasing Activity (Three Months Ended June 30, 2025) | Metric | New Leases (Cash Basis) | Renewals & Options (Cash Basis) | Total New Leases and Renewals & Options (Cash Basis) | | :------------------------------------------ | :---------------------- | :------------------------------ | :--------------------------------------------------- | | Number of leases executed | 15 | 27 | 42 | | Total square feet | 87,863 | 394,032 | 481,895 | | Same space square feet | 56,277 | 394,032 | 450,309 | | Prior rent per square foot | $24.83 | $19.45 | $20.13 | | New rent per square foot | $29.50 | $21.76 | $22.72 | | Same space weighted average lease term (years) | 9.8 | 5.5 | 6.1 | | Rent spread | 18.8 % | 11.8 % | 12.9 % | Leasing Activity (Six Months Ended June 30, 2025) | Metric | New Leases (Cash Basis) | Renewals & Options (Cash Basis) | Total New Leases and Renewals & Options (Cash Basis) | | :------------------------------------------ | :---------------------- | :------------------------------ | :--------------------------------------------------- | | Number of leases executed | 33 | 51 | 84 | | Total square feet | 206,320 | 709,478 | 915,798 | | Same space square feet | 92,287 | 709,478 | 801,765 | | Prior rent per square foot | $27.12 | $20.92 | $21.63 | | New rent per square foot | $34.07 | $22.85 | $24.14 | | Same space weighted average lease term (years) | 9.4 | 4.9 | 5.5 | | Rent spread | 25.6 % | 9.2 % | 11.6 % | Leases Executed but Not Yet Rent Commenced This section provides an overview of executed leases not yet rent commenced, detailing expected future annual gross rent and changes in the pipeline - Signed leases not yet rent commenced are expected to generate an incremental $23.8 million of future annual gross rent, representing approximately 8% of annualized NOI as of June 30, 2025[60] - Approximately $1.7 million of these future gross rents are expected to be recognized in the remainder of 2025[60] Changes in Annualized Gross Rent from Leases Executed but Not Yet Rent Commenced (in thousands) | Metric | Annualized Gross Rent | | :------------------------------------------ | :-------------------- | | Leases executed but not yet rent commenced as of March 31, 2025 | $25,100 | | Less: Leases commenced during the second quarter | (3,900) | | Plus: Leases executed during the second quarter | 2,600 | | Leases executed but not yet rent commenced as of June 30, 2025 | $23,800 | Retail Portfolio Lease Expiration Schedule This section presents the retail portfolio's lease expiration schedule, categorized by tenant type, showing square footage and ABR distribution across years, with and without renewal options Retail Portfolio Lease Expiration Schedule (Excluding Renewal Options, as of June 30, 2025) | Year | of leases | Square Feet | % of Total SF | Weighted Avg ABR PSF | | :-------- | :---------- | :---------- | :------------ | :------------------- | | M-T-M | 31 | 96,000 | 0.6% | $27.61 | | 2025 | 26 | 91,000 | 0.6% | 33.89 | | 2026 | 110 | 723,000 | 4.6% | 27.22 | | 2027 | 144 | 1,398,000 | 8.8% | 18.89 | | 2028 | 110 | 1,217,000 | 7.7% | 25.64 | | 2029 | 163 | 2,829,000 | 17.9% | 24.16 | | 2030 | 104 | 2,538,000 | 16.1% | 15.59 | | 2031 | 74 | 1,701,000 | 10.8% | 16.83 | | 2032 | 59 | 488,000 | 3.1% | 22.98 | | 2033 | 61 | 859,000 | 5.4% | 22.10 | | 2034 | 64 | 927,000 | 5.9% | 22.94 | | 2035 | 60 | 851,000 | 5.4% | 22.85 | | Thereafter | 62 | 1,541,000 | 9.6% | 20.99 | | Subtotal/Average | 1,068 | 15,259,000 | 96.5% | $21.16 | | Vacant | 105 | 550,000 | 3.5% | N/A | | Total/Average | 1,173 | 15,809,000 | 100.0% | N/A | Retail Portfolio Lease Expiration Schedule (Assuming Exercise of All Options, as of June 30, 2025) | Year | of leases | Square Feet | % of Total SF | Weighted Avg ABR PSF | | :-------- | :---------- | :---------- | :------------ | :------------------- | | M-T-M | 31 | 96,000 | 0.6% | $27.61 | | 2025 | 22 | 81,000 | 0.5% | 35.41 | | 2026 | 69 | 265,000 | 1.7% | 36.21 | | 2027 | 73 | 274,000 | 1.7% | 29.53 | | 2028 | 49 | 355,000 | 2.2% | 28.01 | | 2029 | 66 | 560,000 | 3.5% | 27.11 | | 2030 | 46 | 495,000 | 3.1% | 24.17 | | 2031 | 43 | 332,000 | 2.1% | 26.96 | | 2032 | 42 | 283,000 | 1.8% | 29.50 | | 2033 | 39 | 391,000 | 2.5% | 35.59 | | 2034 | 65 | 749,000 | 4.7% | 27.15 | | 2035 | 36 | 291,000 | 1.8% | 30.50 | | Thereafter | 487 | 11,087,000 | 70.3% | 26.71 | | Subtotal/Average | 1,068 | 15,259,000 | 96.5% | $27.32 | | Vacant | 105 | 550,000 | 3.5% | N/A | | Total/Average | 1,173 | 15,809,000 | 100.0% | N/A | Property Data This section provides detailed information on the company's property portfolio, including status, acquisitions, dispositions, and ongoing development projects Property Status Report This report lists the company's retail properties, detailing square footage, leased percentage, ABR per square foot, mortgage debt, and major tenants as of June 30, 2025 - Urban Edge Properties owns 72 properties totaling 17.0 million square feet (GLA), with a total retail portfolio of 15.8 million square feet[48][69] - The consolidated portfolio leased occupancy is 96.5% (excluding Sunrise Mall), with a weighted average annual rent per square foot of $21.16 for the retail portfolio[48][69] - Major tenants across the portfolio include Walmart, The Home Depot, Lowe's, ShopRite, and various TJX Companies brands[67][68][69] Property Acquisitions and Dispositions This section summarizes property acquisitions and dispositions for YTD 2025, reporting no acquisitions but three non-core property sales totaling $66.2 million - No property acquisitions were made during the six months ended June 30, 2025[70] 2025 Property Dispositions (Six Months Ended June 30, 2025) | Date Disposed | Property Name | City | State | GLA (sf) | Price (thousands) | | :------------ | :------------------------ | :----------- | :---- | :------- | :---------------- | | 4/25/2025 | Bergen Town Center East | Paramus | NJ | 44,000 | $25,000 | | 6/9/2025 | Kennedy Commons | North Bergen | NJ | 62,000 | $23,200 | | 6/23/2025 | MacDade Commons | Glenolden | PA | 102,000 | $18,000 | Development, Redevelopment and Anchor Repositioning Projects This section outlines active and completed development, redevelopment, and anchor repositioning projects, including costs, stabilization dates, and future opportunities to enhance the portfolio Active Development, Redevelopment and Anchor Repositioning Projects (as of June 30, 2025) | Project | Estimated Gross Cost (thousands) | Incurred as of 6/30/25 (thousands) | Target Stabilization | | :------------------------------------ | :------------------------------- | :--------------------------------- | :------------------- | | Bruckner Commons (Phase A) | $51,300 | $32,600 | 2Q27 | | Bruckner Commons (Phase B) | 18,400 | 2,500 | 4Q26 | | Hudson Mall | 11,500 | 7,600 | 2Q26 | | Yonkers Gateway Center (Phase C) | 8,400 | 900 | 1Q27 | | Manalapan Commons (Phase B) | 7,500 | 5,600 | 2Q26 | | Total Active Projects | $141,800 | $65,200 | | | Estimated, unleveraged yield for total Active Projects | 15% | | | Completed Development, Redevelopment and Anchor Repositioning Projects (as of June 30, 2025) | Project | Estimated Gross Cost (thousands) | Incurred as of 6/30/25 (thousands) | Stabilization | | :------------------------------------ | :------------------------------- | :--------------------------------- | :------------ | | Marlton Commons | $7,300 | $6,800 | 2Q25 | | Brick Commons | 5,300 | 5,300 | 2Q25 | | The Outlets at Montehiedra (Phase E) | 5,000 | 5,000 | 2Q25 | | Walnut Creek | 3,300 | 3,300 | 2Q25 | | Huntington Commons (Phase D) | 2,200 | 2,200 | 2Q25 | | Total Completed Projects | $57,200 | $55,400 | | | Estimated unleveraged yield for Completed projects | 17% | | | - Future redevelopment opportunities include Brunswick Commons, Hudson Mall, The Plaza at Cherry Hill, and Sunrise Mall, with plans for new pads, repositioning, renovations, and consideration of alternate uses[73] Debt Schedules This section provides a comprehensive overview of the company's debt structure, including a summary, detailed mortgage debt, and a maturity schedule Debt Summary This section summarizes the company's debt structure as of June 30, 2025, detailing secured and unsecured debt, weighted average maturities, interest rates, and debt-to-market capitalization Debt Summary (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :------------------------------------------ | :------------ | :---------------- | | Secured fixed rate debt | $1,526,634 | $1,532,915 | | Secured variable rate debt | — | 50,905 | | Unsecured variable rate debt | 90,000 | 50,000 | | Total debt | $1,616,634 | $1,633,820 | | % Secured fixed rate debt | 94.4 % | 93.8 % | | % Unsecured variable rate debt | 5.6 % | 3.1 % | | Weighted average remaining maturity on secured mortgage debt | 4.3 years | 4.7 years | | Weighted average remaining maturity on unsecured debt | 2.6 years | 3.1 years | | Total market capitalization | $4,087,255 | | | Total debt: Total market capitalization | 39.6 % | | | Weighted average interest rate on secured mortgage debt | 5.03 % | 5.04 % | | Weighted average interest rate on unsecured debt | 5.45 % | 5.47 % | | Total debt weighted average interest rate | 5.05 % | 5.05 % | - As of June 30, 2025, the company has $90 million outstanding on its $800 million unsecured revolving credit facility, which matures on February 9, 2027, with two six-month extension options[18][75] Mortgage Debt Summary This section provides a detailed breakdown of individual mortgage debts by property as of June 30, 2025, including maturity dates, interest rates, and outstanding balances Mortgage Debt Summary (in thousands) | Property | Maturity Date | Rate | June 30, 2025 | December 31, 2024 | Percent of Mortgage Debt at June 30, 2025 | | :------------------------ | :------------ | :----- | :------------ | :---------------- | :---------------------------------------- | | West End Commons | 12/10/2025 | 3.99 % | $23,470 | $23,717 | 1.5 % | | Town Brook Commons | 12/1/2026 | 3.78 % | 29,291 | 29,610 | 1.9 % | | Rockaway River Commons | 12/1/2026 | 3.78 % | 25,933 | 26,215 | 1.7 % | | Hanover Commons | 12/10/2026 | 4.03 % | 59,551 | 60,155 | 3.9 % | | Tonnelle Commons | 4/1/2027 | 4.18 % | 94,342 | 95,286 | 6.2 % | | Plaza at Woodbridge | 6/8/2027 | — % | — | 50,905 | — % | | Bergen Town Center | 4/10/2030 | 6.30 % | 289,454 | 290,000 | 19.1 % | | The Outlets at Montehiedra | 6/1/2030 | 5.00 % | 72,507 | 73,551 | 4.7 % | | Woodmore Towne Centre | 1/6/2032 | 3.39 % | 117,200 | 117,200 | 7.7 % | | Shops at Caguas | 8/1/2033 | 6.60 % | 80,760 | 81,504 | 5.3 % | | Total mortgage debt | | 5.03 % | $1,526,634 | $1,583,820 | 100.0 % | - The mortgage loan secured by the Plaza at Woodbridge, with an outstanding balance of $50.2 million and an effective interest rate of 6.4%, was paid off during the quarter[12][76] Debt Maturity Schedule This schedule breaks down the company's debt maturities by year, including amortization, balloon payments, and revolving credit facilities, showing total debt maturing and weighted average interest rates Debt Maturity Schedule (in thousands) | Year | Amortization | Balloon Payments | Revolving Credit Facilities | Total | Weighted Average Interest Rate at Maturity | Percent of Debt Maturing | | :-------- | :----------- | :--------------- | :-------------------------- | :---------- | :----------------------------------------- | :----------------------- | | 2025 | $8,020 | $23,258 | — | $30,891 | 4.3% | 1.9 % | | 2026 | 16,543 | 111,228 | — | 126,997 | 4.1% | 7.9 % | | 2027 | 13,611 | 259,526 | — | 272,363 | 4.3% | 16.8 % | | 2028 | 13,539 | 122,402 | 90,000 | 225,168 | 4.8% | 13.9 % | | 2029 | 12,402 | 224,990 | — | 236,619 | 6.0% | 14.6 % | | 2030 | 6,668 | 372,252 | — | 378,147 | 5.8% | 23.4 % | | 2031 | 3,741 | 110,000 | — | 113,028 | 4.5% | 7.0 % | | 2032 | 3,986 | 117,200 | — | 121,126 | 3.5% | 7.5 % | | 2033 | 2,986 | 78,094 | — | 81,020 | 6.5% | 5.0 % | | Thereafter | 1,333 | 30,000 | — | 31,275 | 5.5% | 2.0 % | | Total | $82,829 | $1,448,950 | $90,000 | $1,616,634 | 5.1% | 100 % | - The company has limited debt maturities through 2026, with $23.5 million maturing in December 2025 and $114.8 million maturing in December 2026, collectively representing approximately 9% of outstanding debt[13]