Strategic Focus on High-Quality Assets and Long-Term Value Creation
Management emphasizes a disciplined approach to investing in high-quality assets, maintaining balance sheet strength, and creating long-term shareholder value.
The company navigates challenging environments with a focus on fundamentals, asset management, and strategic flexibility.
Record Leasing Activity and Market Rebound in 2025
Q2 leasing totaled 712,000 sq ft, the most since 2018, with over 1 million sq ft year-to-date.
Approximately 2/3 of leasing activity involved new tenants, including full-floor deals.
Leasing momentum has driven lease percentage up 140 basis points YoY to 88.7%, approaching the 89-90% target for year-end.
Out-of-service portfolio (Minneapolis, Orlando) is performing well, with leasing approaching 60%, expected to stabilize by end of 2026.
Rental rates for trophy offices and new construction hit record highs, with asking rents at $92/sq ft, up 27% YoY, driven by limited new supply and high construction costs.
Dafinchi