Presidio Property Trust, Inc. Announces Earnings for the Year Ended December 31, 2025
Rhea-AI Summary
Presidio Property Trust (NASDAQ:SQFT) reported a $10.5 million net loss for year ended December 31, 2025, or $8.59 per share, versus a $27.9 million loss in 2024. Total revenue was approximately $16.8 million, down 11.2% year-over-year. The company recorded $6.4 million of impairments and recognized gains of $5.4 million from property sales.
Key activity included acquisition of 22 model homes for $9.4 million, sale of two commercial properties for $15.9 million, FFO of $(3.8 million), Core FFO of $(2.7 million), and strong lease renewals with 88% of expiring space renewing.
Positive
- Gain on sale of commercial properties of $4.5 million
- Acquired 22 model homes for $9.4 million
- Tenant renewals: 88% of expiring space renewed
Negative
- Net loss attributable to common stockholders of $10.5 million
- Core FFO decreased by approximately $1.3 million
- Impairment charges on real estate assets of $6.4 million
News Market Reaction – SQFTW
In the Mar 30 session, SQFTW gained 17.26%, reflecting a significant positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jan 28 | Dividend suspension | Negative | -9.1% | Suspension of cash dividends on 9.375% Series D preferred to conserve cash. |
| Dec 01 | IR engagement | Positive | -4.7% | Engaged Acorn Management Partners to enhance investor outreach and visibility. |
| Nov 12 | Q3 2025 earnings | Neutral | +2.0% | Reported narrower net loss and slightly lower revenue with stable FFO metrics. |
| Oct 07 | Preferred dividends | Positive | -0.6% | Declared monthly cash dividends on 9.375% Series D preferred for Q4 2025. |
| Oct 06 | Portfolio update | Neutral | +0.0% | Provided update on model-home sales, asset mix, refinancing, and leasing activity. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent news often saw modest or negative price reactions, including declines on both positive outreach and dividend announcements, and a sharper drop on the preferred dividend suspension.
Over the past six months, Presidio reported several notable developments. A January 28, 2026 announcement suspended cash dividends on the 9.375% Series D preferred, preserving about $2.3 million annually and coinciding with a -9.09% move. Earlier, a December 1, 2025 investor-relations engagement with Acorn paired with a -4.74% reaction. Q3 2025 earnings on November 12, 2025 showed an improved net loss of $1.9 million and saw a modest +2.01% move. Operational model-home and leasing updates in October saw flat to slightly negative trading.
Key Terms
reit financial
ffo financial
core ffo financial
non-gaap financial
triple net leases financial
impairment financial
goodwill impairment financial
mortgage notes financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Presidio Property Trust, Inc. Announces Earnings for the Year Ended December 31, 2025
SAN DIEGO, CA / ACCESS Newswire / March 27, 2026 / Presidio Property Trust, Inc. (NASDAQ:SQFT)(NASDAQ:SQFTP)(NASDAQ:SQFTW) (the "Company"), an internally managed, diversified real estate investment trust ("REIT"), today reported earnings for its year ended December 31, 2025.
"The Model Home Segment continued to perform well throughout the year. We remain focused on purchasing models within the Sunbelt states, which we believe have continued upside potential. Our acquisitions in 2025 executed that plan. Despite challenges in the general resale market, our model sales performed well. Our resale portfolio remains an attractive option for homebuyers given its unique combination of upgrades and features, compared to typical construction," said Steve Hightower, President of the Model Home Division.
"Our tenant retention and renewal activity during 2025 was very strong, resulting in
The Year Ended December 31, 2025, Financial Results
Net loss attributable to the Company's common stockholders for the year ended December 31, 2025 was approximately
• | Total revenue was approximately | |
• | Rental operating costs were approximately | |
• | General and administrative ("G&A") expenses were approximately | |
• | During the year ended December 31, 2025, the Company sold 20 model homes for approximately | |
• | During the year ended December 31, 2025, we recognized a non-cash impairment charge of approximately | |
• | Interest expense, including amortization of deferred finance charges, was approximately |
FFO (non-GAAP) totaled approximately
We believe Core FFO (non-GAAP) provides a useful metric in comparing operations between reporting periods and in assessing the sustainability of our ongoing operating performance. Core FFO decreased by about
Acquisitions and Dispositions for the year ended December 31, 2025:
Acquisitions during the year ended December 31, 2025:
We acquired 22 Model Home Properties and leased them back to the homebuilders under triple net leases during the year ended December 31, 2025. The purchase price for these properties was approximately
$9.4 million . The purchase price consisted of cash payments of approximately$2.8 million and mortgage notes of approximately$6.6 million .
Dispositions during the year ended December 31, 2025:
20 model homes for approximately
$9.8 million , net of sales costs, and the Company recognized a gain of approximately$1.0 million .On February 6, 2025, the Company sold two commercial properties, Union Town Center and Research Parkway, to a single buyer for approximately
$15.9 million , net of selling costs, and recognized a net gain of approximately$4.5 million net of closing costs.
Segment Income during the year ended December 31, 2025:
The following tables compare the Company's segment activity and NOI and adjusted NOI for Model Home income to its results of operations and financial position as of and for the year ended December 31, 2025. The line items listed in the below NOI tables include the significant expense considered by the CODM for cash allocations on future investments. The Other Non-Segment & Consolidating Items represent corporate activity, the investment in Conduit Pharmaceutical, and other eliminating items for consolidation. The information for Corporate and Other are presented to reconcile back to the consolidated statement of operations, but is not considered a reportable segment. This includes the loss on Conduit marketable securities.
The following tables compare the Company's segment activity to its results of operations and financial position as of and for the year ended December 31, 2025:
For the Year Ended December 31, 2025 | ||||||||||||||||||||
Retail | Office/Industrial | Model Homes | Corporate and Other | Total | ||||||||||||||||
Rental revenue | $ | 487,161 | $ | 9,585,303 | $ | 3,952,162 | $ | - | $ | 14,024,626 | ||||||||||
Recovery revenue | 56,439 | 2,389,853 | - | - | 2,446,292 | |||||||||||||||
Other operating revenue | 400 | 257,414 | 5,776 | 80,200 | 343,790 | |||||||||||||||
Total revenues | 544,000 | 12,232,570 | 3,957,938 | 80,200 | 16,814,708 | |||||||||||||||
Rental operating costs | 115,047 | 6,423,862 | 212,817 | (593,674 | ) | 6,158,052 | ||||||||||||||
Net Operating Income (NOI) | 428,953 | 5,808,708 | 3,745,121 | 673,874 | 10,656,656 | |||||||||||||||
Gain on Sale - Model Homes | - | - | 950,434 | - | 950,434 | |||||||||||||||
Impairment of Model Homes | - | - | (339,609 | ) | - | (339,609 | ) | |||||||||||||
Adjusted NOI | $ | 428,953 | $ | 5,808,708 | $ | 4,355,946 | $ | 673,874 | $ | 11,267,481 | ||||||||||
The CODM reviews on a regular basis the GAAP performance of each segment, including the significant segment expenses reported for GAAP shown in the table below. Our significant segment expenses include consolidated expense categories presented in our consolidated statements of operations, as well as rental operating costs. This information is provided to the CODM and factors into the CODM's decision making for company-wide strategy. The following tables compare the Company's segment activity and to its results of GAAP operations and financial position as of and for the year ended December 31, 2025. The information for Corporate and Other are presented to reconcile back to the consolidated statement of operations, but is not considered a reportable segment as noted above.
For the Year Ended December 31, 2025 | ||||||||||||||||||||
Retail | Office/Industrial | Model Homes | Corporate and Other | Total | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Rental income | $ | 543,600 | $ | 11,975,156 | $ | 3,952,162 | $ | - | $ | 16,470,918 | ||||||||||
Fees and other income | 400 | 257,414 | 5,776 | 80,200 | 343,790 | |||||||||||||||
Total revenue | 544,000 | 12,232,570 | 3,957,938 | 80,200 | 16,814,708 | |||||||||||||||
Costs and expenses: | ||||||||||||||||||||
Rental operating costs | 115,047 | 6,423,862 | 212,817 | (593,674 | ) | 6,158,052 | ||||||||||||||
General and administrative | - | 19,195 | 813,705 | 4,871,930 | 5,704,830 | |||||||||||||||
Depreciation and amortization | 100,472 | 3,910,547 | 846,818 | 4,430 | 4,862,267 | |||||||||||||||
Impairment of goodwill and real estate assets | - | 6,031,828 | 339,609 | 72,000 | 6,443,437 | |||||||||||||||
Total costs and expenses | 215,519 | 16,385,432 | 2,212,949 | 4,354,686 | 23,168,586 | |||||||||||||||
Other income (expense): | ||||||||||||||||||||
Interest expense - mortgage notes | (276,961 | ) | (3,757,328 | ) | (2,010,791 | ) | (5,357 | ) | (6,050,437 | ) | ||||||||||
Interest and other income, net | - | - | (13,735 | ) | 34,616 | 20,881 | ||||||||||||||
Net loss in Conduit Pharmaceuticals marketable securities (see footnote 9) | - | - | - | (188,287 | ) | (188,287 | ) | |||||||||||||
Gain on sales of real estate, net | 4,494,358 | - | 950,434 | - | 5,444,792 | |||||||||||||||
Income tax (expense) benefit | - | (9,600 | ) | (60,875 | ) | (392,695 | ) | (463,170 | ) | |||||||||||
Total other income, net | 4,217,397 | (3,766,928 | ) | (1,134,967 | ) | (551,723 | ) | (1,236,221 | ) | |||||||||||
Net income (loss) | 4,545,878 | (7,919,790 | ) | 610,022 | (4,826,209 | ) | (7,590,099 | ) | ||||||||||||
Less: Income attributable to noncontrolling interests | - | (47,710 | ) | (637,876 | ) | - | (685,586 | ) | ||||||||||||
Net income (loss) attributable to Presidio Property Trust, Inc. stockholders | $ | 4,545,878 | $ | (7,967,500 | ) | $ | (27,854 | ) | $ | (4,826,209 | ) | $ | (8,275,685 | ) | ||||||
Dividends paid during the years ended December 31, 2025 and 2024:
The following is a summary of distributions declared per share of our Series D Preferred Stock for the years ended December 31, 2025 and 2024.
Series D Preferred Stock
Month | 2025 | 2024 | ||||||
Distributions Declared | Distributions Declared | |||||||
January | $ | 0.19531 | $ | 0.19531 | ||||
February | 0.19531 | 0.19531 | ||||||
March | 0.19531 | 0.19531 | ||||||
April | 0.19531 | 0.19531 | ||||||
May | 0.19531 | 0.19531 | ||||||
June | 0.19531 | 0.19531 | ||||||
July | 0.19531 | 0.19531 | ||||||
August | 0.19531 | 0.19531 | ||||||
September | 0.19531 | 0.19531 | ||||||
October | 0.19531 | 0.19531 | ||||||
November | 0.19531 | 0.19531 | ||||||
December | 0.19531 | 0.19531 | ||||||
Total | $ | 2.34372 | $ | 2.34372 | ||||
Subsequent Real Estate Activity:
As of January 14, 2026, the Company sold Dakota Center for
About Presidio Property Trust
Presidio is an internally managed, diversified REIT with holdings in model home properties which are triple-net leased to homebuilders, office, industrial, and retail properties. Presidio's model homes are leased to homebuilders located primarily in the sun belt states. Presidio's office, industrial, and retail properties are located primarily in Colorado, with properties also located in Maryland, North Dakota, Texas, and Southern California. For more information on Presidio, please visit Presidio's website at https://www.PresidioPT.com.
Definitions
Non-GAAP Financial Measures
Funds from Operations ("FFO") - The Company evaluates performance based on Funds From Operations, which we refer to as FFO, as management believes that FFO represents the most accurate measure of activity and is the basis for distributions paid to equity holders. The Company defines FFO as net income or loss (computed in accordance with GAAP), excluding gains (or losses) from sales of property, hedge ineffectiveness, acquisition costs of newly acquired properties that are not capitalized and lease acquisition costs that are not capitalized plus depreciation and amortization, including amortization of acquired above and below market lease intangibles and impairment charges on properties or investments in non-consolidated REITs, and after adjustments to exclude equity in income or losses from, and, to include the proportionate share of FFO from, non-consolidated REITs.
However, because FFO excludes depreciation and amortization as well as the changes in the value of the Company's properties that result from use or market conditions, each of which have real economic effects and could materially impact the Company's results from operations, the utility of FFO as a measure of the Company's performance is limited. In addition, other REITs may not calculate FFO in accordance with the NAREIT definition as the Company does, and, accordingly, the Company's FFO may not be comparable to other REITs' FFO. Accordingly, FFO should be considered only as a supplement to net income as a measure of the Company's performance.
Core Funds from Operations ("Core FFO") - We calculate Core FFO by using FFO as defined by NAREIT and adjusting for certain other non-core items. We exclude from our Core FFO calculation acquisition costs, loss on early extinguishment of debt, changes in the fair value of the earn-out, changes in fair value of contingent consideration, non-cash warrant dividends, other non-recuring expenses, and the amortization of stock-based compensation.
We believe Core FFO provides a useful metric in comparing operations between reporting periods and in assessing the sustainability of our ongoing operating performance. Other equity REITs may calculate Core FFO differently or not at all, and, accordingly, the Company's Core FFO may not be comparable to such other REITs' Core FFO.
Cautionary Note Regarding Forward-Looking Statements
This press release contains statements that are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and other federal securities laws. Forward-looking statements are statements that are not historical, including statements regarding management's intentions, beliefs, expectations, representations, plans or predictions of the future, and are typically identified by such words as "believe," "expect," "anticipate," "intend," "estimate," "may," "will," "should" and "could." Because such statements include risks, uncertainties and contingencies, actual results may differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements also include statements relating to the closing of the business combination with Conduit within a certain timeframe or at all. These forward-looking statements are based upon the Company's present expectations, but these statements are not guaranteed to occur. Except as required by law, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. Investors should not place undue reliance upon forward-looking statements. For further discussion of the factors that could affect outcomes, please refer to the "Risk Factors" section of the Company's documents filed with the SEC, copies of which are available on the SEC's website, www.sec.gov.
Investor Relations Contact:
Presidio Property Trust, Inc.
Lowell Hartkorn, Investor Relations
LHartkorn@presidiopt.com
Telephone: (760) 471-8536 x1244
Presidio Property Trust, Inc. and Subsidiaries
Consolidated Balance Sheets
December 31, | December 31, | |||||||
2025 | 2024 | |||||||
ASSETS | ||||||||
Real estate assets and lease intangibles: | ||||||||
Land | $ | 16,390,250 | $ | 15,983,323 | ||||
Buildings and improvements | 101,878,107 | 102,862,977 | ||||||
Tenant improvements | 17,645,103 | 16,488,066 | ||||||
Lease intangibles | 3,467,798 | 3,776,654 | ||||||
Real estate assets and lease intangibles held for investment, cost | 139,381,258 | 139,111,020 | ||||||
Accumulated depreciation and amortization | (37,536,809 | ) | (33,700,262 | ) | ||||
Real estate assets and lease intangibles held for investment, net | 101,844,449 | 105,410,758 | ||||||
Real estate assets held for sale, net | 6,805,255 | 22,185,742 | ||||||
Real estate assets, net | 108,649,704 | 127,596,500 | ||||||
Other assets: | ||||||||
Cash, cash equivalents and restricted cash | 7,422,359 | 8,036,496 | ||||||
Deferred leasing costs, net | 1,340,853 | 1,666,135 | ||||||
Goodwill | 1,317,000 | 1,389,000 | ||||||
Investment in Conduit Pharmaceuticals marketable securities (see Notes 2 & 9) | 3,900 | 206,177 | ||||||
Deferred tax asset | 223,388 | 298,645 | ||||||
Other assets, net (see Note 6) | 3,095,670 | 3,376,697 | ||||||
Total other assets | 13,403,170 | 14,973,150 | ||||||
TOTAL ASSETS (1) | $ | 122,052,874 | $ | 142,569,650 | ||||
LIABILITIES AND EQUITY | ||||||||
Liabilities: | ||||||||
Mortgage notes payable, net | $ | 81,936,586 | $ | 80,977,448 | ||||
Mortgage notes payable related to properties held for sale, net | 10,137,781 | 21,116,646 | ||||||
Mortgage notes payable, total net | 92,074,367 | 102,094,094 | ||||||
Accounts payable and accrued liabilities | 3,302,187 | 3,290,170 | ||||||
Accrued real estate taxes | 1,785,029 | 1,972,477 | ||||||
Dividends payable | 190,220 | 194,784 | ||||||
Lease liability, net | 40,108 | 64,345 | ||||||
Below-market leases, net | 3,316 | 8,625 | ||||||
Total liabilities | 97,395,227 | 107,624,495 | ||||||
Commitments and contingencies (see Note 10) | ||||||||
Equity: | ||||||||
Series D Preferred Stock, | 9,737 | 9,971 | ||||||
Series A Common Stock, | 13,142 | 128,343 | ||||||
Additional paid-in capital | 186,762,388 | 185,770,842 | ||||||
Dividends and accumulated losses | (169,945,302 | ) | (159,374,010 | ) | ||||
Total stockholders' equity before noncontrolling interest | 16,839,965 | 26,535,146 | ||||||
Noncontrolling interest | 7,817,682 | 8,410,009 | ||||||
Total equity | 24,657,647 | 34,945,155 | ||||||
TOTAL LIABILITIES AND EQUITY | $ | 122,052,874 | $ | 142,569,650 | ||||
Presidio Property Trust, Inc. and Subsidiaries
Consolidated Statements of Operations
For the Year Ended December 31, | ||||||||
2025 | 2024 | |||||||
Revenues: | ||||||||
Rental income | $ | 16,470,918 | $ | 18,523,813 | ||||
Fees and other income | 343,790 | 401,462 | ||||||
Total revenue | 16,814,708 | 18,925,275 | ||||||
Costs and expenses: | ||||||||
Rental operating costs | 6,158,052 | 6,256,077 | ||||||
General and administrative | 5,704,830 | 7,526,675 | ||||||
Depreciation and amortization | 4,862,267 | 5,515,518 | ||||||
Impairment of goodwill and real estate assets | 6,443,437 | 1,969,311 | ||||||
Total costs and expenses | 23,168,586 | 21,267,581 | ||||||
Other income (expense): | ||||||||
Interest expense - mortgage notes | (6,050,437 | ) | (6,050,196 | ) | ||||
Interest and other income, net | 20,881 | (151,356 | ) | |||||
Gain on sales of real estate, net | 5,444,792 | 3,426,572 | ||||||
Net loss in Conduit Pharmaceuticals marketable securities (see footnote 9) | (188,287 | ) | (17,925,723 | ) | ||||
Income tax (expense) benefit | (463,170 | ) | (60,855 | ) | ||||
Total loss, net | (1,236,221 | ) | (20,761,558 | ) | ||||
Net loss: | (7,590,099 | ) | (23,103,864 | ) | ||||
Less: Income attributable to noncontrolling interests | (685,586 | ) | (2,524,665 | ) | ||||
Net loss attributable to Presidio Property Trust, Inc. stockholders | $ | (8,275,685 | ) | $ | (25,628,529 | ) | ||
Less: Preferred Stock Series D dividends | (2,295,607 | ) | (2,236,696 | ) | ||||
Net loss attributable to Presidio Property Trust, Inc. common stockholders | $ | (10,571,292 | ) | $ | (27,865,225 | ) | ||
Net loss per share attributable to Presidio Property Trust, Inc. common stockholders: | ||||||||
Basic & Diluted | $ | (8.65 | ) | $ | (22.50 | ) | ||
Weighted average number of common shares outstanding - basic & dilutive | 1,221,413 | 1,238,659 | ||||||
FFO AND CORE FFO RECONCILIATION
For the three months Ended December 31, | For the Year Ended December 31, | |||||||||||||||
2025 | 2024 | 2025 | 2024 | |||||||||||||
Net loss attributable to Presidio Property Trust, Inc. common stockholders | $ | (4,544,421 | ) | $ | (3,064,694 | ) | $ | (10,571,292 | ) | $ | (27,865,225 | ) | ||||
Adjustments: | ||||||||||||||||
Income attributable to noncontrolling interests | 339,483 | 196,279 | 685,586 | 2,524,665 | ||||||||||||
Depreciation and amortization | 1,170,832 | 1,357,248 | 4,862,267 | 5,515,518 | ||||||||||||
Amortization of above and below market leases, net | (1,244 | ) | (910 | ) | (4,752 | ) | (4,641 | ) | ||||||||
Impairment of real estate assets | 2,016,192 | 1,075,372 | 6,443,437 | 1,969,311 | ||||||||||||
Net change in marketable securities | 3,615 | 104,287 | 188,287 | 17,926,283 | ||||||||||||
Gain on sale of real estate assets, net | (366,490 | ) | (235,423 | ) | (5,444,792 | ) | (3,426,572 | ) | ||||||||
FFO | $ | (1,382,033 | ) | $ | (567,841 | ) | $ | (3,841,259 | ) | $ | (3,360,661 | ) | ||||
Restricted stock compensation | 306,762 | 147,031 | 1,138,585 | 1,379,080 | ||||||||||||
Cost associated with Zuma Capital Management | - | - | - | 565,534 | ||||||||||||
Core FFO | $ | (1,075,271 | ) | $ | (420,810 | ) | $ | (2,702,674 | ) | $ | (1,416,047 | ) | ||||
Weighted average number of common shares outstanding - basic and diluted | 1,234,884 | 1,234,727 | 1,221,413 | 1,238,659 | ||||||||||||
Core FFO / Wgt Avg Share | $ | (0.87 | ) | $ | (0.34 | ) | $ | (2.21 | ) | $ | (1.14 | ) | ||||
Quarterly Dividends / Share | $ | - | $ | - | $ | - | $ | - | ||||||||
SOURCE: Presidio Property Trust
View the original press release on ACCESS Newswire