Curbline Raises Operating FFO Outlook After Acquisition Pace

The Tip Desk · October 24, 2026 · 3 min read

The convenience-center REIT lifted 2026 Operating FFO guidance to $1.25–$1.27 a share after $233.9 million of third-quarter purchases.

Curbline Properties Corp. (CURB) acquired 23 convenience shopping centers for $233.9 million in the third quarter and raised its 2026 Operating FFO outlook to $1.25 to $1.27 a share, even as it trimmed its net-income range.

The self-managed REIT, which owns curbline convenience centers in suburban, high-household-income communities, said the higher full-year investment target is funded with liquidity on hand and that a Signed Not Opened pipeline is expected to add an operational tailwind into the fourth quarter and 2027.

Third-quarter net income attributable to Curbline was $7.4 million, or $0.06 a share, compared with $9.3 million, or $0.09 a share, a year earlier. The company said the decline reflected higher interest and depreciation and amortization expense, lower interest income, and a larger weighted-average share count from shares issued to fund acquisitions, partially offset by the net impact of asset acquisitions.

Operating FFO attributable to Curbline was $37.4 million, or $0.32 a share, versus $29.5 million, or $0.28 a share, a year earlier. The company attributed the increase primarily to the net impact of asset acquisitions, partly offset by higher interest expense, lower interest income, and more shares.

Rental income rose to $70.9 million from $48.5 million a year earlier, and total revenues rose to $71.1 million from $48.6 million. Interest expense more than doubled to $8.5 million from $4.0 million, while interest income fell to $0.7 million from $4.1 million.

Same-property net operating income rose 3.4% for the three months ended September 30, 2026, after a 0.5% decline in the second quarter that had followed 4.8% growth in the first quarter. The company said the third-quarter increase was driven by an acceleration in base rent growth from rent commencements.

The leased rate was 96.4% at September 30, 2026, compared with 96.5% at June 30. Cash new leasing spreads were 22.2% and cash renewal spreads 6.6% in the third quarter. Trailing-twelve-month cash new spreads were 16.7% and cash renewal spreads 6.7%.

The Signed Not Opened pipeline was 190 basis points, or $7.6 million of annualized base rent, as of September 30, 2026. The company said the majority of those leases are expected to commence rent payment by March 2027.

Third-quarter buying was down from the second quarter’s 30 centers for $374.1 million but above the first quarter’s 14 centers for $142.4 million. Year to date, Curbline acquired 72 centers for $800.0 million. In the fourth quarter to date it acquired five centers for $49.6 million.

During the third quarter and fourth quarter to date, the company sold 3.6 million shares on a forward basis under its at-the-market program for expected gross proceeds of $102.4 million before issuance costs. In the third quarter it settled 7.3 million forward shares for $184.0 million of net proceeds. As of September 30, 2026, adjusted for forward equity sales completed year to date, it had $734.9 million of cash and capital commitments for future acquisitions, including $122.8 million of cash and $612.1 million of expected gross proceeds from unsettled forward equity sales.

Cash on the balance sheet was $122.8 million at September 30, 2026, down from $289.6 million at year-end 2025. Unsecured debt rose to $596.1 million from $423.2 million. In September and October the company entered two $50 million forward interest-rate swaps to fix a portion of the variable-rate component of an unsecured term loan expected to close in the fourth quarter.

The company updated 2026 net income guidance to $0.25 to $0.29 a share from $0.27 to $0.32. It does not include a projection of gains or losses on asset sales, certain transaction costs, or debt extinguishment costs in guidance.