CTO Realty Growth (CTO) Q2 2025 earnings summary

Executive summary

• Achieved strong leasing momentum in Q2 2025, signing 227,000 sq. ft. of new leases, renewals, and extensions at an average cash rent of $25.43 per sq. ft., with 190,027 sq. ft. of comparable leases at a 21.6%–22% cash rent spread.

• Year-to-date leasing totals 339,317 sq. ft. with a 27% blended cash rent spread; six of ten anchor spaces resolved, driving higher occupancy and future earnings.

• Portfolio comprised 24 properties totaling 5.3 million sq. ft., 93.9% leased and 90.2% occupied at quarter-end, with $1.3 billion enterprise value.

• High-quality tenant base, with 33% of ABR from top 20 tenants, and strategic investments in structured finance and management services generating additional income.

• Signed-not-open pipeline stands at $4.6 million, representing 4.6% of in-place cash rents, supporting earnings into 2026.

Financial highlights

• Q2 2025 Core FFO per share was $0.45, unchanged year-over-year; AFFO per share was $0.47, down 2.1% from Q2 2024.

• Net loss attributable to common stockholders was $(25.3) million for Q2 2025, primarily due to a $20.4 million loss on extinguishment of debt.

• Total revenues for Q2 2025 were $37.6 million, up 30.5% year-over-year, driven by acquisitions and higher same-store revenue.

• Net debt to EBITDA was 6.9x at quarter-end; net debt to total enterprise value was 46.6%.

• Ended the quarter with $606.8 million in debt, $76 million undrawn on the revolver, and $8.6–$9 million in cash.

Outlook and guidance

• Reaffirmed full-year 2025 Core FFO guidance of $1.80–$1.86 per share and AFFO of $1.93–$1.98 per share.

• Same-property NOI growth expected at ~1.0% for 2025; G&A expenses projected at $17.5–$18.0 million.

• Targeting $100–$200 million in new investments at 8.0%–8.5% initial cash yield.

• Sufficient liquidity anticipated for operations and capital needs, with $216.5 million available under the ATM program.

• No property dispositions included in current guidance.