EastGroup Properties Inc

EastGroup Properties, Inc. announced its recent business activity and participation in upcoming conferences, reporting a portfolio that was 97.1% leased and 96.1% occupied as of August 31, 2026. During July and August, the company signed 1,944,000 square feet of new and renewal leases with rental rate increases averaging 38.9% on a straight-line basis and 23.1% on a cash basis. In the third quarter to date, EastGroup executed eight leases on active development and first-generation properties totaling approximately 280,000 square feet, and began construction on three development projects and one redevelopment project totaling 772,000 square feet with projected total costs of about $119 million. The company also closed on the acquisition of Harris Ridge Business Center in Austin for approximately $83 million, and acquired development land in Northeast Dallas and East Tampa for about $38 million and $12 million, respectively, expanding its development plans. Additionally, EastGroup entered into forward equity sale agreements for 532,460 shares with approximate gross proceeds of $108.6 million, and management is scheduled to present at the Evercore, Bank of America Securities, and Mizuho conferences in September.

EastGroup Properties reported second-quarter 2026 funds from operations of $2.36 per share, up 6.8% from the prior quarter, and raised its full-year FFO guidance midpoint by $0.03 to $9.59 per share. The company achieved a quarterly leasing record of 3.9 million square feet signed, while development and first-generation leasing also set a record at 1.1 million square feet. Quarterly releasing spreads were 34% on a GAAP basis and 19% on a cash basis, and cash same-store net operating income in Hawaii rose 8.3%. EastGroup increased its 2026 development starts guidance to $325 million and raised its acquisitions guidance by $55 million to $215 million. The balance sheet remained strong with debt-to-total market capitalization of 12.9% and no balance drawn on its unsecured bank credit facility.