• Leasing Activity: Signed 2.6 million square feet of leases in Q1 2025, including 2.3 million square feet of renewals.

• Portfolio Sales: $837 per square foot, flat compared to Q4 2024; $928 per square foot excluding Eddy properties, up $13 from last quarter.

• Occupancy Rate: 92.6% in Q1 2025, down from 94.1% in Q4 2024; 95.2% excluding Eddy properties.

• Leasing Spreads: Trailing 12-month leasing spreads at 10.9%, with 22% on new deals and 7% on renewals.

• FFO: Approximately $87 million or $0.33 per share in Q1 2025, up from $75 million or $0.33 per share in Q1 2024.

• Same-Center NOI: Increased 0.9% in Q1 2025 compared to Q1 2024; 2.4% increase excluding Eddy assets.

• Net Debt to EBITDA: 7.9 times at the end of Q1 2025, nearly a full turn lower than at the start of the Path Forward plan.

• Dispositions: Completed almost $800 million in sales; Lakewood sale under contract, expected to increase total to over $1.1 billion.

• Liquidity: Approximately $995 million, including $650 million capacity on revolving line of credit.

• Warning! GuruFocus has detected 6 Warning Signs with MAC.

Release Date: May 12, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Macerich Co (NYSE:MAC) is ahead of schedule on its leasing progress targets, having signed 2.6 million square feet of leases in the first quarter, more than double the previous year's first quarter.

• The company has made significant progress in its Path Forward plan, including consolidating joint ventures, issuing equity, and completing refinancings and dispositions.

• Macerich Co (NYSE:MAC) has a strong pipeline of new leases, with a goal to achieve $130 million in cumulative signed not open (SNO) potential by mid-2026.

• The company has successfully executed asset sales and loan givebacks, with $1.1 billion in dispositions completed and a clear path to achieving its $2 billion target.

• Macerich Co (NYSE:MAC) has implemented a new corporate structure and technology enhancements, such as the leasing speedometer, to streamline operations and improve decision-making.

Negative Points

• Occupancy in the first quarter was 92.6%, down from 94.1% in the previous quarter, primarily due to the closure of temporary holiday stores and transitioning projects.

• The company faces challenges with tenant bankruptcies, such as Forever21, which requires remerchandising efforts to fill vacated spaces.

• Despite progress, Macerich Co (NYSE:MAC) still has $50 million of SNO and remaining mall dispositions and givebacks to complete its Path Forward plan.

• Same-center NOI growth was modest at 0.9% year-over-year, indicating limited immediate revenue growth from existing properties.

• The company anticipates higher capital expenditures than initially planned, which could impact short-term financial performance.