Macerich Company

Macerich reported second-quarter 2026 funds from operations as adjusted of $0.35 per diluted share, or $100.4 million, a slight increase from $0.34 a year earlier. Go-forward portfolio net operating income rose 3.8% excluding lease termination income, while portfolio sales productivity reached a company high of $919 per square foot. Leased occupancy for the go-forward portfolio was 95.5%, up 60 basis points sequentially, and the signed-not-open pipeline stood at $124 million. Net debt to adjusted EBITDA was 7.30x at quarter-end, a reduction of 0.5 turns from the prior quarter, and inclusive of the unsettled forward equity proceeds, net debt to adjusted EBITDA is now below 7x. The company completed a public offering in May generating $448.2 million in net proceeds, primarily to fund the Annapolis Mall acquisition, and has an additional $372.2 million in estimated net value from unsettled forward equity proceeds intended for future acquisitions. Management highlighted a robust pipeline of on- and off-market acquisition opportunities with stabilized yield targets of 9% to 11%, and expects to deploy the forward equity well before its June 2027 settlement.

Macerich expects at least 3% go-forward portfolio centers net operating income growth for the full year 2026 over 2025, while targeting an additional $300 million to $400 million in asset sales, outparcels, and land dispositions by year-end. CFO Daniel Swanstrom reported second-quarter FFO as adjusted of approximately $100 million or $0.35 per share, with go-forward NOI excluding lease termination income up 3.8% year-over-year. The company has approximately $1.2 billion in liquidity and net debt to adjusted EBITDA of 7.3 times, which falls below 7 times when including unsettled forward equity proceeds. Management expressed high confidence in achieving the total signed-not-open opportunity of roughly $140 million, with estimated annual contributions of $30 million in 2026, $40 million to $45 million in 2027, and $45 million to $50 million in 2028. A $76 million loan on the 29th Street property remains in default after its February maturity, and the company is proactively addressing remaining 2026 maturities through potential asset sales, refinancings, loan modifications, or property givebacks.

Macerich has begun the search for an official naming rights partner for the newly redeveloped signature gathering space and social hub at Scottsdale Fashion Square, one of the country's premier luxury retail centers. The opportunity follows the successful launch of PenFed Plaza at Tysons Corner Center, a sister property outside Washington, DC. The third phase of renovation at Scottsdale Fashion Square began in January 2026 and is expected to be completed ahead of the holiday season, building on a larger redevelopment that added upscale restaurants including Élephante, Catch, and Din Tai Fung. The redesigned space will feature a three-story digital spectacular on an elevator tower, offering the naming rights partner always-on brand presence, iconic signage, year-round media, and branded wayfinding. Interested parties must contact Macerich's Business Development team by July 15, 2026.