Centerspace Reports Second Quarter 2025 Financial & Operating Results and Updates 2025 Financial Outlook
Centerspace (NYSE: CSR), an apartment community owner and operator, reported mixed Q2 2025 financial results. The company posted a net loss of $0.87 per diluted share, wider than the $0.19 loss in Q2 2024, while Core FFO increased 0.8% to $1.28 per share.
Key operational highlights include a 2.7% increase in same-store revenues and a 2.9% rise in same-store NOI. The company maintained strong occupancy at 96.1% with a 2.4% blended lease rate growth. Centerspace expanded its portfolio by acquiring Sugarmont in Salt Lake City for $149.0 million and Railway Flats in Loveland, CO for $132.2 million.
The company updated its 2025 outlook, projecting Core FFO per share of $4.88-$5.00 and same-store NOI growth of 2.50%-3.50%, reflecting improved operational expectations.
Centerspace (NYSE: CSR), proprietario e gestore di comunità di appartamenti, ha riportato risultati finanziari misti per il secondo trimestre del 2025. La società ha registrato una perdita netta di 0,87 $ per azione diluita, superiore alla perdita di 0,19 $ nel secondo trimestre del 2024, mentre il Core FFO è aumentato dello 0,8% raggiungendo 1,28 $ per azione.
I principali dati operativi evidenziano un aumento del 2,7% dei ricavi da immobili comparabili e una crescita del 2,9% del NOI da immobili comparabili. L’occupazione è rimasta solida al 96,1% con una crescita combinata del tasso di locazione del 2,4%. Centerspace ha ampliato il proprio portafoglio acquisendo Sugarmont a Salt Lake City per 149,0 milioni di dollari e Railway Flats a Loveland, CO per 132,2 milioni di dollari.
La società ha aggiornato le previsioni per il 2025, stimando un Core FFO per azione tra 4,88 e 5,00 $ e una crescita del NOI da immobili comparabili tra il 2,50% e il 3,50%, riflettendo aspettative operative migliorate.
Centerspace (NYSE: CSR), propietario y operador de comunidades de apartamentos, reportó resultados financieros mixtos en el segundo trimestre de 2025. La compañía registró una pérdida neta de 0,87 $ por acción diluida, mayor que la pérdida de 0,19 $ en el segundo trimestre de 2024, mientras que el Core FFO aumentó un 0,8% hasta 1,28 $ por acción.
Los aspectos operativos clave incluyen un aumento del 2,7% en ingresos de propiedades comparables y un incremento del 2,9% en NOI de propiedades comparables. La empresa mantuvo una fuerte ocupación del 96,1% con un crecimiento combinado del 2,4% en las tasas de arrendamiento. Centerspace amplió su portafolio adquiriendo Sugarmont en Salt Lake City por 149,0 millones de dólares y Railway Flats en Loveland, CO por 132,2 millones de dólares.
La compañía actualizó sus perspectivas para 2025, proyectando un Core FFO por acción de 4,88 a 5,00 $ y un crecimiento del NOI de propiedades comparables de 2,50% a 3,50%, reflejando expectativas operativas mejoradas.
Centerspace (NYSE: CSR)는 아파트 커뮤니티 소유 및 운영 회사로, 2025년 2분기 재무 실적에서 혼합된 결과를 보고했습니다. 회사는 희석 주당 순손실 0.87달러를 기록했으며, 이는 2024년 2분기의 0.19달러 손실보다 확대된 수치입니다. 반면 코어 FFO는 0.8% 증가하여 주당 1.28달러를 기록했습니다.
주요 운영 하이라이트로는 동일 점포 매출 2.7% 증가와 동일 점포 순영업소득(NOI) 2.9% 상승이 있습니다. 회사는 96.1%의 강력한 점유율을 유지했으며, 통합 임대료율 2.4% 성장을 기록했습니다. Centerspace는 솔트레이크시티의 Sugarmont를 1억4,900만 달러에, 콜로라도 주 러브랜드의 Railway Flats를 1억3,220만 달러에 인수하며 포트폴리오를 확장했습니다.
회사는 2025년 전망을 업데이트하며 코어 FFO 주당 4.88~5.00달러와 동일 점포 NOI 성장률 2.50%~3.50%를 예상, 운영 기대치를 향상시켰습니다.
Centerspace (NYSE : CSR), propriétaire et exploitant de communautés d'appartements, a publié des résultats financiers mitigés pour le deuxième trimestre 2025. La société a enregistré une perte nette de 0,87 $ par action diluée, plus importante que la perte de 0,19 $ au deuxième trimestre 2024, tandis que le Core FFO a augmenté de 0,8 % pour atteindre 1,28 $ par action.
Les points clés opérationnels incluent une augmentation de 2,7 % des revenus comparables et une hausse de 2,9 % du NOI comparable. La société a maintenu un taux d'occupation élevé de 96,1 % avec une croissance combinée des loyers de 2,4 %. Centerspace a élargi son portefeuille en acquérant Sugarmont à Salt Lake City pour 149,0 millions de dollars et Railway Flats à Loveland, CO pour 132,2 millions de dollars.
La société a mis à jour ses prévisions pour 2025, projetant un Core FFO par action de 4,88 à 5,00 $ et une croissance du NOI comparable de 2,50 % à 3,50 %, reflétant des attentes opérationnelles améliorées.
Centerspace (NYSE: CSR), ein Eigentümer und Betreiber von Apartmentgemeinschaften, meldete gemischte Finanzergebnisse für das zweite Quartal 2025. Das Unternehmen verzeichnete einen Nettogewinnverlust von 0,87 $ pro verwässerter Aktie, was eine Verschlechterung gegenüber dem Verlust von 0,19 $ im zweiten Quartal 2024 darstellt, während das Core FFO um 0,8 % auf 1,28 $ pro Aktie anstieg.
Wichtige operative Highlights umfassen einen 2,7%igen Anstieg der Umsätze bei vergleichbaren Objekten und einen 2,9%igen Zuwachs beim NOI bei vergleichbaren Objekten. Das Unternehmen hielt eine starke Auslastung von 96,1% mit einem 2,4%igen Wachstum der durchschnittlichen Mietrate. Centerspace erweiterte sein Portfolio durch den Erwerb von Sugarmont in Salt Lake City für 149,0 Millionen US-Dollar und Railway Flats in Loveland, CO für 132,2 Millionen US-Dollar.
Das Unternehmen aktualisierte seinen Ausblick für 2025 und prognostiziert ein Core FFO je Aktie von 4,88 bis 5,00 $ sowie ein Wachstum des NOI bei vergleichbaren Objekten von 2,50 % bis 3,50 %, was auf verbesserte operative Erwartungen hinweist.
- Same-store NOI increased by 2.9% year-over-year
- Core FFO per share grew 0.8% to $1.28
- Strong occupancy rate of 96.1%, up from 95.5% year-over-year
- Strategic expansion with two major acquisitions totaling $281.2 million
- Improved 2025 same-store NOI guidance to 2.50-3.50% from previous 1.25-3.25%
- Substantial liquidity position of $206.3 million
- Net loss widened to $0.87 per diluted share from $0.19 year-over-year
- New lease rate growth declined to 2.1% from 3.2% year-over-year
- Blended lease rate growth decreased to 2.4% from 3.4% year-over-year
Insights
Centerspace posted solid Q2 results with 2.9% same-store NOI growth, raised 2025 NOI guidance, and expanded into Salt Lake City.
Centerspace delivered encouraging operational performance in Q2 2025, highlighted by 2.9% year-over-year same-store NOI growth driven by 2.7% revenue growth and controlled expense growth of 2.4%. The revenue improvement stems from increased occupancy, which reached 96.1% compared to 95.5% in Q2 2024, alongside 2.4% blended lease rate growth.
The company's Core FFO per share showed modest improvement at $1.28, up 0.8% year-over-year, while maintaining strong fundamentals. Sequential improvements are particularly noteworthy, with same-store NOI increasing 2.6% from Q1 to Q2, demonstrating operational momentum.
Strategically, Centerspace is executing geographic diversification by entering the Salt Lake City market with the
Management has increased its 2025 outlook, raising same-store NOI growth guidance to 2.5-3.5% from the previous 1.25-3.25% range. This confidence stems from better-than-expected expense control, with expense growth guidance reduced to 1.0-2.5% from 2.0-4.0% previously. The Core FFO outlook was slightly adjusted to $4.88-$5.00 per share.
One notable aspect is the shift in net loss per share guidance, which improved significantly from a projected loss of $(0.71)-$(0.45) to a projected gain of $2.50-$2.76 per share, suggesting potential gains from property dispositions as the company expects
The stronger operating metrics and improved guidance demonstrate Centerspace's ability to navigate the multifamily market effectively, with particular strength in occupancy and operating expense management.
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
Per Common Share | 2025 | 2024 | 2025 | 2024 | ||||
Net loss - diluted | $ (0.87) | $ (0.19) | $ (1.09) | $ (0.56) | ||||
FFO - diluted(1) | $ 1.24 | $ 1.23 | $ 2.42 | $ 2.39 | ||||
Core FFO - diluted(1) | $ 1.28 | $ 1.27 | $ 2.50 | $ 2.49 | ||||
Year-Over-Year Comparison | Sequential Comparison | |||
Same-Store Results(2) | Q2 2025 vs. Q2 2024 | Q2 2025 vs. Q1 2025 | ||
Revenues | 2.7 % | 1.1 % | ||
Expenses | 2.4 % | (1.3) % | ||
Net Operating Income ("NOI")(1) | 2.9 % | 2.6 % |
Three months ended | Six months ended | |||||||||
Same-Store Results(2) | June 30, 2025 | March 31, 2025 | June 30, 2024 | June 30, 2025 | June 30, 2024 | |||||
Weighted Average Occupancy | 96.1 % | 95.9 % | 95.5 % | 96.0 % | 95.1 % | |||||
New Lease Rate Growth | 2.1 % | (1.2) % | 3.2 % | 0.6 % | 1.9 % | |||||
Renewal Lease Rate Growth | 2.6 % | 3.4 % | 3.5 % | 2.8 % | 3.5 % | |||||
Blended Lease Rate Growth (3) | 2.4 % | 0.6 % | 3.4 % | 1.8 % | 2.7 % | |||||
Retention Rate | 60.2 % | 49.2 % | 59.1 % | 56.8 % | 58.5 % | |||||
(1) | NOI, FFO, and Core FFO are non-GAAP financial measures. For more information on their usage and presentation, and a reconciliation to the most directly comparable GAAP measures, refer to "Non-GAAP Financial Measures and Reconciliations" and "Non-GAAP Financial Measures and Other Terms" in the Supplemental Financial and Operating Data below. |
(2) | Same-store results are updated for annual composition change including acquisition, disposition, changes in held for sale classification, and repositioning activity. Refer to "Non-GAAP Financial Measures and Reconciliations" in Supplemental and Financial Operating Data within. |
(3) | Blended lease rate growth is weighted by lease count. |
Overview of the Second Quarter
- Acquired Sugarmont, the Company's first apartment community in
Salt Lake City, Utah , consisting of 341 homes for an aggregate purchase price of$149.0 million - Revenue for the second quarter of 2025 increased by
$3.5 million 5.4% to$68.5 million $65.0 million - Same-store revenues increased by
2.7% for the second quarter of 2025 compared to the second quarter of 2024, driving a2.9% increase in same-store NOI compared to the same period of the prior year; - Net loss was
$0.87 $0.19 - Core FFO per diluted share increased
0.8% to$1.28 $1.27
Balance Sheet
At the end of the second quarter, Centerspace had
Updated 2025 Financial Outlook
Centerspace updated its 2025 financial outlook. For additional information, see S-17 of the Supplemental Financial and Operating Data for the quarter ended June 30, 2025 included at the end of this release. These ranges should be considered in their entirety. The table below reflects the updated outlook.
Previous Outlook for 2025 | Updated Outlook for 2025 | |||
Low | High | Low | High | |
Net loss per Share – diluted | ||||
Same-Store Revenue | 1.50 % | 3.50 % | 2.00 % | 3.00 % |
Same-Store Expenses | 2.00 % | 4.00 % | 1.00 % | 2.50 % |
Same-Store NOI | 1.25 % | 3.25 % | 2.50 % | 3.50 % |
FFO per Share – diluted | ||||
Core FFO per Share – diluted | ||||
Additional assumptions:
- Same-store recurring capital expenditures of
$1,150 $1,200 - Value-add expenditures of
$16.0 million $18.0 million - Proceeds from dispositions of
$210.0 million $230.0 million
Note: FFO, Core FFO. and NOI are non-GAAP financial measures. For more information on their usage and presentation and a reconciliation to the most comparable GAAP measure, please refer to "2025 Financial Outlook" in the Supplemental Financial and Operating Data within.
Subsequent Events
On July 29, 2025, Centerspace closed on the acquisition of Railway Flats a 420 home apartment community located in
Earnings Call
Live webcast and replay: https://ir.centerspacehomes.com | ||||
Live Conference Call | Conference Call Replay | |||
Tuesday, August 5, 2025, at 10:00 AM ET | Replay available until August 12, 2025 | |||
1-833-470-1428 | 1-866-813-9403 | |||
International | 1-404-975-4839 | International | 1-929-458-6194 | |
Canada Toll Free | 1-833-950-0062 | |||
Access Code | 547256 | Access Code | 134183 | |
Supplemental Information
Supplemental Operating and Financial Data for the quarter ended June 30, 2025 included herein ("Supplemental Information"), is available in the Investors section on Centerspace's website at https://www.centerspacehomes.com or by calling Investor Relations at 952-401-6600. Non-GAAP financial measures and other capitalized terms, as used in this earnings release, are defined and reconciled in the Supplemental Financial and Operating Data, which accompanies this earnings release.
About Centerspace
Centerspace is an owner and operator of apartment communities committed to providing great homes by focusing on integrity and serving others. Founded in 1970, as of June 30, 2025, Centerspace owned 72 apartment communities consisting of 13,353 apartment homes located in Colorado,
Forward-Looking Statements
Certain statements in this press release and the Supplemental Operating and Financial Data are based on the Company's current expectations and assumptions, and are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements do not discuss historical fact, but instead include statements related to expectations, projections, intentions or other items related to the future. Forward-looking statements are typically identified by the use of terms such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "will," "assumes," "may," "projects," "outlook," "future," and variations of such words and similar expressions. These forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause the actual results, performance, or achievements to be materially different from the results of operations, financial conditions, or plans expressed or implied by the forward-looking statements. Although the Company believes the expectations reflected in its forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be achieved. Any statements contained herein that are not statements of historical fact should be deemed forward-looking statements. As a result, reliance should not be placed on these forward-looking statements, as these statements are subject to known and unknown risks, uncertainties, and other factors beyond the Company's control and could differ materially from actual results and performance. Such risks and uncertainties are detailed from time to time in filings with the Securities and Exchange Commission ("SEC"), including the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, in its subsequent quarterly reports on Form 10-Q, and in other reports the Company files with the SEC from time to time. The Company assumes no obligation to update or supplement forward-looking statements that become untrue due to subsequent events.
Contact Information
Investor Relations
Josh Klaetsch
Phone: 952-401-6600
Email: IR@centerspacehomes.com
Marketing & Media
Kelly Weber
Phone: 952-401-6600
Email: kweber@centerspacehomes.com
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SOURCE Centerspace
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