Brixmor Property Group (BRX) Citi’s 30th Annual Global Property CEO Conference 2025 summary

Key strategic themes and growth drivers

• Focus on value-added business plan, bringing in better tenants at higher rents, and leveraging a strong management platform to outperform peers through cycles.

• $400 million of pre-leased reinvestment projects underway, targeting over 9% incremental returns.

• Sign-but-not-commence leasing pipeline consistently exceeds $60 million, supporting visible NOI growth despite tenant disruptions.

• Portfolio credit quality is at its best, with top tenants like Whole Foods, Aldi, and Trader Joe's added since 2016.

• Management prioritizes quality and growth over occupancy, curating tenant mix to drive traffic and long-term value.

Tenant disruption, leasing, and rent trends

• Despite over 200 basis points of tenant disruption, NOI growth guidance remains at 3.5%-4.5%.

• Bankruptcy-related vacancies (Big Lots, Party City, Joann) are being backfilled quickly, often at rents 50%+ above prior levels.

• Demand for backfill space is robust, with new tenants like Aldi, Burlington, Five Below, and Ulta paying higher rents.

• Leasing pipeline remains strong, with high demand from existing and new tenants.

• Lease structures are being enhanced with higher annual bumps, fewer CAM caps, and more flexibility for future density and uses.

Supply, redevelopment, and operational flexibility

• New retail supply remains limited, with only select suburban markets seeing new projects, most not delivering for 18-24 months.

• Tenants are increasingly flexible on space and existing conditions, expediting lease-up and reducing landlord costs.

• Retailers, especially in off-price and specialty grocery, are taking on more construction work themselves, speeding up openings.

• The funnel of potential tenants is broader than ever, including traditional, value, fitness, and mall-native retailers.