Funds from Operations Growth
Funds from operations were $2.21 per share, up 7.8% for the quarter over the prior year, excluding involuntary conversions. This marks a long-term trend of FFO per share exceeding the prior year's same quarter results for over a decade.
Strong Leasing and Occupancy Rates
Quarter-end leasing was 97.1% with occupancy at 96%. Average quarterly occupancy was 95.9%, which, although historically strong, is down 110 basis points from the second quarter of 2024.
Re-leasing Spreads and Cash Same-Store NOI
Quarterly re-leasing spreads were 44% GAAP, 30% cash, with cash same-store NOI rising 6.4% for the quarter despite lower occupancy.
Diversified Rent Roll
Diversification efforts resulted in the top 10 tenants representing only 6.9% of rents, down 90 basis points from last year.
Investment in Growth Markets
Invested $61 million in 2 new properties, expanding market ownership in Raleigh to roughly 600,000 square feet.