BRT's Third-Quarter Net Loss Widens as Joint-Venture Loss Grows

The Tip Desk · November 5, 2026 · 4 min read

Third-quarter 2026 consolidated revenue was $24.735 million. Funds from operations were $0.26 a share and adjusted FFO $0.31 a share, with combined portfolio NOI at $15.1 million.

BRT Apartments Corp. (BRT) reported consolidated revenue of $24.735 million and a net loss of $3.9 million, or $0.23 a share, for the three months ended September 30, 2026, compared with a net loss of $2.7 million, or $0.14 a share, a year earlier.

The multifamily REIT said funds from operations were $0.26 a diluted share, down from $0.28 in the third quarter of 2025, and adjusted funds from operations were $0.31 a share, compared with $0.36. Combined portfolio net operating income was $15.1 million, versus $15.3 million in the year-ago quarter.

Consolidated total revenues were $24.735 million, including $24.322 million of rental and other revenue from real estate properties. Interest expense rose to $6.302 million from $5.882 million. General and administrative expense fell to $3.522 million from $3.937 million.

Unconsolidated joint-venture revenues were $14.146 million, versus $13.043 million. BRT’s equity in earnings of those properties was a $472,000 loss, compared with a $75,000 loss, according to the operating-results tables.

Combined average occupancy was 94.4%. Consolidated occupancy was 94.7%; unconsolidated occupancy was 93.8%, versus 94.1% a year earlier. Combined weighted average monthly rent per occupied unit was $1,429, versus $1,404. Consolidated rent was $1,381 and unconsolidated rent was $1,516. Combined units were 8,503 across 32 properties, versus 8,311 units and 29 properties a year earlier. Consolidated units were unchanged at 5,420; unconsolidated units rose to 3,083 from 2,891.

On June 2, 2026, the company agreed to acquire Ranch Lake Apartments, a 336-unit property in Bradenton, Florida, for approximately $80 million, including an approximately $45.7 million HUD-insured mortgage at 2.91% maturing in 2056. Closing is anticipated in the first quarter of 2027.

On August 17, 2026, a joint venture in which BRT holds a 70% interest acquired Riverbend Apartments, a 192-unit property in League City, Texas, for $32.7 million, including a $23.5 million mortgage at 5.47% maturing in 2033. The company contributed $8.575 million.

On July 30, 2026, BRT refinanced a maturing $27.8 million mortgage at 3.73% on Civic Center 2 in Southaven, Mississippi, with a new $47.9 million mortgage at 5.38% maturing August 1, 2036. On August 25, 2026, the unconsolidated joint venture owning The Pointe at Lenox Park in Atlanta refinanced a maturing $23.8 million mortgage at 3.97% with a new $26.1 million mortgage at 5.45% maturing September 1, 2036. On August 17, 2026, the company paid off a $7.7 million HUD-insured mortgage at 3.65% on Newbridge Commons in Columbus, Ohio, with no prepayment penalty.

On September 17, 2026, the $40 million credit facility was amended to reduce the interest rate to one-month SOFR plus 210 basis points, reduce the minimum interest rate payable to 5%, and reduce the adjustable cap rate to 6.25%. At November 2, 2026, $40 million was available.

The company repurchased 276,014 shares in the third quarter at a weighted average price of $14.34. It also reported repurchases after the quarter of 242,631 shares at a weighted average price of $13.51. As of November 2, 2026, it was authorized to repurchase up to approximately $5.4 million of shares. It declared a dividend of $0.25 a share for the third quarter, matching the year-ago quarterly dividend.

Debt to enterprise value was 76% as of September 30, 2026, versus 70% a year earlier. Market capitalization was $248.042 million and the closing share price was $13.36.

The value-add program rehabilitated 24 units in the quarter, with estimated rehab costs of $211,000, or $8,790 a unit, an estimated average monthly rent increase of $126, and an estimated annualized return on investment of 17%. The company said 160 units were available to be renovated over the next 24 months. Total capital expenditures, consolidated and unconsolidated, were $3.080 million gross, or $2.698 million on BRT’s share, including $1.900 million recurring and $1.180 million non-recurring. Replacements were $1.014 million gross.