CBL & Associates Raises Full-Year Guidance Despite Slower NOI Growth
The real estate investment trust increased its full-year adjusted FFO guidance to a range of $7.15 to $7.25 per share.
CBL & Associates Properties (CBL), the real estate investment trust, reported adjusted funds from operations of $1.89 a share for the second quarter. The result represented a slight increase from $1.86 a share in the prior-year period, though it followed a sequential decline from $1.73 a share in the first quarter.
Growth in same-center net operating income slowed to 1.5% year-over-year. This marked a deceleration from the 2.1% growth reported in the first quarter and the 3.3% growth seen in the fourth quarter of 2024.
Tenant activity showed mixed trends. Comparable new and renewal lease spreads increased to 8.8%, accelerating from 5.7% in the first quarter and a 2.9% decline in the fourth quarter of 2024. However, same-center tenant sales per square foot rose approximately 2.2% year-over-year, a slowdown from the 5.8% growth in the first quarter and 3.7% growth in the fourth quarter of 2024.
Portfolio occupancy stood at 90.4% as of June 30, 2026. This was an increase of 160 basis points compared to 88.8% on June 30, 2025, but a slight decrease from the 90.5% occupancy reported as of March 31, 2026.
CBL increased and tightened its full-year 2026 adjusted FFO guidance to a range of $7.15 to $7.25 per share. The company projected full-year same-center NOI guidance in the range of 0.0% to 1.5%.
The company generated nearly $60.0 million in gross proceeds from dispositions during the quarter, which included the sale of Hammock Landing at an 8% cap rate. Unrestricted cash and marketable securities totaled $322.7 million as of June 30, 2026, up from $305.5 million as of March 31, 2026.
Four loans totaling approximately $189.6 million are being resolved through conveyance, foreclosure, or lender-directed sale. These resolutions include the receivership of The Outlet Shoppes at Gettysburg and Jefferson Mall.