PHILADELPHIA, PA \u2014 Brandywine Realty Trust (NYSE: BDN) reported recently a net loss of $48.9 million for the first quarter of 2026 and updated its full-year funds from operations guidance following leasing activity and portfolio changes.<\/p>\n
The company reported a net loss attributable to common shareholders of $0.28 per share, compared with a loss of $0.16 per share in the same period last year.<\/p>\n
Funds from operations totaled $20.0 million, or $0.11 per diluted share, down from $24.7 million, or $0.14 per share, in the first quarter of 2025.<\/p>\n
The company said results included $11.9 million in non-cash impairment charges.<\/p>\n
Brandywine reported leasing 268,000 square feet in its wholly owned portfolio during the quarter, with total leasing activity reaching 422,000 square feet including joint ventures.<\/p>\n
The company\u2019s core portfolio was 88.3% occupied and 89.9% leased as of mid-April, with 182,000 square feet of additional leases scheduled to commence after March 31.<\/p>\n
Same-store net operating income increased 0.8% on an accrual basis and 3.3% on a cash basis.<\/p>\n
Rental rates increased 4.1% on an accrual basis, with renewal rates rising 5.0% and new lease rates declining 0.9%.<\/p>\n
Brandywine reported negative net absorption of 38,000 square feet and a tenant retention rate of 45% during the quarter.<\/p>\n
The company said it has approximately $305 million in property sales under agreement or in due diligence, exceeding its $290 million disposition target.<\/p>\n
Brandywine also reported $65 million outstanding on its $600 million unsecured line of credit and $36.2 million in cash as of March 31.<\/p>\n
The company declared a quarterly dividend of $0.08 per share, paid April 16 to shareholders of record on April 2.<\/p>\n
Brandywine narrowed its 2026 FFO guidance to a range of $0.52 to $0.58 per diluted share, from a previous range of $0.51 to $0.59.<\/p>\n
Jerry Sweeney, president and chief executive officer, said the company made progress toward its 2026 business plan.<\/p>\n
\u201cOur wholly owned first quarter leasing activity totaled 268,000 square feet representing the most activity since the fourth quarter of 2024,\u201d Sweeney said.<\/p>\n
The company also updated its full-year loss guidance to a range of $0.76 to $0.70 per share.<\/p>\n