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Macerich narrows Q2 net loss as leasing improves
Leased occupancy rose to 94 percent in Q2, and the REIT expects about $124 million in total gross revenue from new-store leases.
Macerich reported second-quarter results showing a narrower loss alongside improvements in leasing, as the mall REIT leaned on demand for Class A assets and stronger retailers. Commercial Observer notes CEO Jackson Hsieh said roughly 90 percent of projected go-forward net operating income comes from Class A properties and top retailers.
The REIT said leased occupancy climbed to 94 percent in Q2 from 92 percent in the same period of 2025. Macerich signed about 1.3 million square feet of new and renewal leases, contributing to a 1 percent annual increase in new-store square footage, and expects approximately $124 million in total gross revenue from these new-store leases.
Leasing deals included tenants such as Aerie, Offline by Aerie, Old Navy, Eataly, Zara, and Sephora, as well as experiential retailers including Level 99 and Golf Galaxy. Macerich reported revenue from leases of $233.4 million in Q2, compared with $232.7 million in Q2 2025, while total revenue was $249.7 million.
Macerich’s funds from operations, a key profitability metric for REITs, reached an adjusted $100.4 million, up from $88.7 million in the prior year period. The company recorded a $27.1 million net loss for the quarter, down from nearly $41 million a year earlier, attributing the smaller loss gap in part to gains on asset sales, including selling a minority stake in the West Acres mall in Fargo, North Dakota, for $1.4 million.