Piedmont Realty Trust, Inc. Leases 2.5 million Square Feet during 2025
Rhea-AI Summary
Piedmont Realty Trust (NYSE:PDM) leased 2.5 million square feet in 2025, representing about 16% of its portfolio, including 679,000 SF signed in Q4. Approximately two‑thirds of 2025 leasing was to new tenants and nearly half converted previously vacant space. As of Dec 31, 2025, the in‑service portfolio was 89.6% leased and the out‑of‑service portfolio (two Minneapolis projects, one Orlando project) was 62.4% leased. Management said 1.5 million SF of new‑tenant leases will take occupancy by end of 2026 and noted a 1.2% increase in in‑service leased percentage during 2025.
Positive
- Leased 2.5M SF in 2025 (~16% of portfolio)
- Signed 679,000 SF of leases in Q4 2025
- In-service portfolio 89.6% leased as of 12/31/2025
- 1.5M SF to new tenants taking occupancy by end of 2026
- Two-thirds of 2025 leasing to new tenants
Negative
- Out-of-service portfolio only 62.4% leased as of 12/31/2025
- In-service leased percentage rose just 1.2% during 2025
News Market Reaction
On the day this news was published, PDM gained 0.95%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
PDM slipped 0.94% as peers were mixed: DEA down 0.84%, while JBGS, PGRE and PKST rose modestly and BDN gained 3.42%. The lack of directional consensus and no peers in the momentum scanner point to a stock-specific move rather than a broad REIT - Office trade.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 08 | Leasing update | Positive | -0.6% | Highlighted over 475,000 SF Q4 leases and 2.3M SF year-to-date activity. |
| Nov 20 | Tender offer result | Positive | -0.5% | Reported take-up of 9.250% 2028 note tender, reducing high-coupon debt. |
| Nov 19 | Tender pricing | Positive | -1.1% | Priced cash tender for 9.250% 2028 notes with defined spread and yield. |
| Nov 13 | Debt offering | Positive | +1.1% | Priced $400M of 5.625% 2033 notes to fund 2028 notes tender offer. |
| Nov 13 | Tender launch | Positive | -0.5% | Launched cash tender offer for all outstanding 9.250% senior notes due 2028. |
Recent positive or balance-sheet-focused announcements have often coincided with modest share price declines, suggesting frequent divergence between constructive news and short-term trading.
Over the last few months, Piedmont reported a series of leasing and balance sheet actions. On Dec 8, 2025, it highlighted 2.3M SF of year-to-date leasing, yet the stock eased slightly. In November, a sequence of tender offer announcements and a new $400M 5.625% notes deal aimed at refinancing 9.250% 2028 notes drew mixed but mostly negative single-day reactions. Today’s 2025 leasing update extends that leasing momentum, while fitting into a pattern where operational progress has not always been rewarded immediately in the share price.
Market Pulse Summary
This announcement highlights substantial leasing momentum, with 2.5 million square feet signed in 2025, lifting the in-service portfolio to 89.6% leased and progressing lease-up of previously vacant and out-of-service space. Recent history shows active balance sheet management, including a $400 million 2033 notes issuance and tender offers for 9.250% 2028 notes. Investors may focus on how sustained leasing, occupancy trends, and future financing actions interact with broader office REIT conditions.
AI-generated analysis. Not financial advice.
Signs 679,000 SF of Leases During Fourth Quarter
Atlanta, GA, Jan. 12, 2026 (GLOBE NEWSWIRE) -- Piedmont Realty Trust, Inc. ("Piedmont” or “the Company") (NYSE:PDM), an owner of Class A office properties located primarily in the Sunbelt, announced today, that the Company leased 2.5 million square feet, or approximately
Commenting on the Company’s leasing success, Brent Smith, Piedmont's President and Chief Executive Officer, said, "2025 was a phenomenal year for Piedmont from a leasing perspective. As the year progressed, we experienced accelerating demand across all our markets as our renovated buildings and customer-centric placemaking mindset resonated with clients. This demand increased the leased percentage of our in-service portfolio by
Continuing, Smith added, “The success we achieved in 2025 is the culmination of the team’s hard work to transform the portfolio to meet customer’s need for modernized, well-located, amenity rich, collaborative workspaces. Over the last five years, Piedmont has leased approximately
About Piedmont Realty Trust
Piedmont Realty Trust™ (NYSE: PDM), is a fully integrated, self-managed real estate investment company focused on delivering an exceptional office environment. As an owner, manager, developer and operator of approximately 16 MM SF of Class A properties across major U.S. Sunbelt markets, Piedmont Realty Trust is known for its hospitality-driven approach and commitment to transforming buildings into premier “Piedmont PLACEs” that enhance each client’s workplace experience.
Contact: Sarah Heimlich
Company: Piedmont Realty Trust
Phone: 770 418 8800
Email: Investor.relations@Piedmontreit.com
FAQ
How much space did Piedmont Realty Trust (PDM) lease in 2025?
How much of Piedmont's leasing occurred in Q4 2025 for PDM?
What was Piedmont's in-service occupancy rate as of Dec 31, 2025 for PDM?
How much of Piedmont's 2025 leasing was to new tenants (PDM)?
What is the leasing status of Piedmont's out-of-service projects for PDM?
