Macerich's Q2 FFO & Revenues Beat Estimates on Strong Portfolio NOI

MAC’s Portfolio NOI Gains Momentum

Go-Forward Portfolio centers NOI, excluding lease termination income, increased 3.8% year over year during the second quarter. Including lease termination income, NOI advanced 3.7%.

MAC’s Leasing Pipeline Supports Growth

Macerich signed leases covering approximately 1.3 million square feet on a comparable-center basis during the reported quarter. New-store leased square footage increased 1% from the prior-year period.

New-store leases are expected to generate approximately $124 million of gross revenues at the company’s share, above the revenues generated in 2024 from prior uses of those same spaces. The estimate includes stores already open, signed-not-open leases and leases in documentation that commenced or are expected to commence between 2024 and 2028. Management said its leasing “speedometer” reached 88%, exceeding the company’s midyear target of 85% .

MAC’s Occupancy & Tenant Sales Improve

Leased portfolio occupancy was 94% as of June 30, 2026, up 200 basis points (bps) from 92% in the year-ago period. Occupancy also improved 60 bps sequentially from 93.4% at the end of the first quarter of 2026.

Go-Forward Portfolio centers posted leased occupancy of 95.5%. The high level of committed space provides a foundation for additional rent commencement as tenants complete construction and open stores.

Tenant productivity also strengthened. Portfolio tenant sales per square foot for spaces below 10,000 square feet rose to $919 for the trailing 12 months from $849 in the comparable prior-year period. Go-Forward Portfolio centers recorded an even higher $954 in sales per square foot for spaces less than 10,000 square feet.

MAC Advances Its Annapolis Mall Strategy

During the second quarter, MAC completed the acquisition of Annapolis Mall, a Class A regional mall spanning approximately 1.4 million square feet in Annapolis, MD, for $260 million. It also acquired an adjacent 13.1-acre vacant Sears parcel for $12 million.

The transaction was initially funded with cash on hand and $150 million of borrowings under the revolving credit facility. Management said the onboarding process has progressed smoothly, with Uniqlo now open and Dick’s House of Sport scheduled to open.

MAC Bolsters Liquidity Through Equity Raises

Macerich completed an underwritten public offering of 22.08 million common shares at $21 per share, generating net proceeds of $448.2 million. The proceeds were used to repay borrowings under the revolving credit, fund investments at Annapolis Mall and support general corporate purposes.

The company also entered into forward sale agreements covering 16.1 million shares at a public offering price of $23.90. As of the filing date, Macerich had approximately $1.2 billion of liquidity, including $900 million of available capacity under its revolving credit facility.

MAC’s Zacks Rank

Currently, Macerich carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of Other Retail REITs

Federal Realty Investment Trust FRT reported second-quarter 2026 core FFO per share of $1.88, up 6.8% year over year and above the Zacks Consensus Estimate of $1.85.

Total revenues increased 7.8% year over year to $335.7 million and surpassed the consensus mark of $333.5 million by 0.66%. FRT’s results reflected higher rental income, record comparable leasing volume and growth in adjusted comparable property operating income. FRT carries a Zacks Rank #3.

Regency Centers Corporation REG reported second-quarter 2026 NAREIT FFO per share of $1.21, beating the Zacks Consensus Estimate of $1.20 by 0.8%. The metric increased 4.3% from the year-ago quarter.

Total revenues of $413.5 million rose 8.6% year over year and topped the consensus mark of $405 million by 2.1%. Regency Centers’ results reflected solid leasing demand, with same-property NOI advancing 3.8%. REG carries a Zacks Rank #3.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

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