Urban Edge Properties SEC 10-Q Report

Urban Edge Properties, a leading real estate investment trust (REIT) focused on retail properties in urban communities, has released its Form 10-Q report for the second quarter of 2025. The report highlights significant financial growth and robust operational performance, underscoring the company's strategic initiatives and market positioning.

Financial Highlights

• Total Revenue: $232.2 million, reflecting an increase from $216.2 million in the same period last year, driven by higher rental revenue.
• Net Income: $69.2 million, up from $34.5 million in the prior year, primarily due to gains on the sale of real estate.
• Net Income Attributable to Common Shareholders: $66.2 million, compared to $33.4 million in the previous year, indicating strong performance.
• Earnings per Common Share - Basic: $0.53, compared to $0.28 in the prior year, reflecting improved profitability.
• Earnings per Common Share - Diluted: $0.53, compared to $0.28 in the prior year, consistent with basic EPS.

Business Highlights

• Portfolio Overview: As of June 30, 2025, Urban Edge Properties' portfolio consisted of 68 shopping centers, two outlet centers, and two malls totaling approximately 17.1 million square feet. This includes a 95% controlling interest in a property in Walnut Creek, CA, and an 82.5% controlling interest in Sunrise Mall, NY.
• Tenant Diversity: None of the tenants accounted for more than 10% of the company's revenue or property operating income as of June 30, 2025, indicating a diversified tenant base.
• Development and Redevelopment Projects: The company has 20 active development, redevelopment, or anchor repositioning projects with total estimated costs of $141.8 million, of which $76.6 million remains to be funded. These projects are being monitored for stabilization dates, which can be impacted by economic conditions affecting tenants, vendors, and supply chains.
• Geographical Focus: The company is focused on owning, managing, acquiring, developing, and redeveloping retail real estate in urban communities, primarily in the Washington, D.C. to Boston corridor.
• Operational Strategy: Urban Edge Properties aggregates all of its properties into a single reportable segment due to their similarities in nature, economics, tenants, and operations, as well as long-term average financial performance.
• Future Outlook: The company continues to evaluate future projects in its development pipeline based on market conditions, although it is under no obligation to execute and fund any of these projects.
• Insurance Strategy: On January 1, 2025, the company established SC Risk Solutions LLC, a wholly-owned captive insurance company, to provide excess flood and general liability insurance for its properties, reflecting a strategic move to manage risk and insurance costs.

SEC Filing: Urban Edge Properties [ UE ] - 10-Q - Jul. 30, 2025