Urban Edge Properties
NYSE:UE
Urban Edge Properties
In the bustling landscape of urban real estate, Urban Edge Properties has carved out a niche by focusing on the revitalization and operation of retail properties. The company, formed as a real estate investment trust (REIT), primarily acquires, develops, and manages shopping centers in densely populated metropolitan areas, particularly around New York City and Northern New Jersey. Urban Edge harnesses its deep market knowledge and operational expertise to enhance the value of its properties. By investing in improvements and modernizations, such as updated facades, expanded tenant spaces, and improved parking facilities, the company seeks to attract a vibrant mix of retail tenants ranging from big-name national brands to cherished local businesses. This strategy not only enhances the shopping experience for consumers but also boosts the overall appeal and profitability of their properties.
Urban Edge Properties generates revenue primarily through rental income derived from its portfolio of retail estates. Long-term leases with retail tenants provide a steady, predictable cash flow, while strategic leasing and value-creation initiatives help optimize occupancy rates and rental terms. By focusing on regions with high consumer spending power and limited retail space availability, the company positions itself advantageously in competitive markets. Urban Edge's adept management of its property portfolio allows it to capitalize on economic trends and demographic shifts, ensuring that its retail centers remain highly trafficked and commercially viable. In this way, the company's focused approach and commitment to strategic property enhancements keep it well-positioned in the urban retail real estate sector.
In the bustling landscape of urban real estate, Urban Edge Properties has carved out a niche by focusing on the revitalization and operation of retail properties. The company, formed as a real estate investment trust (REIT), primarily acquires, develops, and manages shopping centers in densely populated metropolitan areas, particularly around New York City and Northern New Jersey. Urban Edge harnesses its deep market knowledge and operational expertise to enhance the value of its properties. By investing in improvements and modernizations, such as updated facades, expanded tenant spaces, and improved parking facilities, the company seeks to attract a vibrant mix of retail tenants ranging from big-name national brands to cherished local businesses. This strategy not only enhances the shopping experience for consumers but also boosts the overall appeal and profitability of their properties.
Urban Edge Properties generates revenue primarily through rental income derived from its portfolio of retail estates. Long-term leases with retail tenants provide a steady, predictable cash flow, while strategic leasing and value-creation initiatives help optimize occupancy rates and rental terms. By focusing on regions with high consumer spending power and limited retail space availability, the company positions itself advantageously in competitive markets. Urban Edge's adept management of its property portfolio allows it to capitalize on economic trends and demographic shifts, ensuring that its retail centers remain highly trafficked and commercially viable. In this way, the company's focused approach and commitment to strategic property enhancements keep it well-positioned in the urban retail real estate sector.
FFO Growth: Urban Edge delivered FFO as adjusted of $1.43 per share in 2025, a 6% increase over last year, surpassing the company's previous target and ranking among the highest in its peer group.
Strong Leasing: The company achieved record new lease spreads of 32% for the full year and record shop occupancy of 92.6%, highlighting strong tenant demand and pricing power.
Development Pipeline: $166 million of redevelopment projects are underway with a projected unlevered yield of 14%, and the signed-not-open pipeline is expected to generate $22 million in annual gross rent.
Guidance Raised: 2026 FFO as adjusted per share guidance is $1.47–$1.52, reflecting 4.5% growth at the midpoint; same-property NOI growth is forecast above 3%.
Capital Recycling: The company is actively recycling capital, acquiring high-quality centers at accretive cap rates while disposing of lower-growth assets, though cap rate spreads are narrowing.
Dividend Increase: The board approved an 11% dividend increase to an annualized $0.84 per share, with an FFO payout ratio of about 56%.
Balance Sheet Strength: Urban Edge ended the year with $849 million in liquidity, no debt maturities until late 2026, and net debt to EBITDA at 5.8x, below target.
