BRT Apartments Corp. Reports Q3 2025 Financial Results with $24.4M Revenue and Increased Net Loss

BRT Apartments Corp. reported its financial results for the third quarter of 2025, revealing total revenues of $24.4 million, a slight increase of 0.2% from $24.4 million in the same period last year. The company experienced a marginal decline in rental and other revenue from real estate properties, which fell to $24.0 million from $24.2 million, attributed to a decrease in rental revenue due to straight-line rent adjustments associated with lease concessions. However, loan interest and other income surged to $403,000, up from $219,000, primarily due to interest income from preferred equity investments.

In terms of profitability, BRT reported a net loss attributable to common stockholders of $2.7 million, or $(0.14) per share, compared to a loss of $2.2 million, or $(0.12) per share, in the prior year. The increase in net loss was influenced by higher operating expenses, which rose to $27.8 million from $27.2 million, driven by increased real estate operating expenses, interest expenses, and general administrative costs. The company also recognized a gain of $755,000 from the sale of a cooperative apartment unit in New York.

BRT's operational metrics showed a total of 21 wholly-owned multi-family properties with 5,420 units, alongside interests in ten additional properties through unconsolidated joint ventures. The company made significant strategic moves during the quarter, acquiring two multi-family properties: 1322 North in Auburn, Alabama, for $36.5 million and Oaks at Victory in Savannah, Georgia, for $23 million. These acquisitions were financed through a combination of mortgage debt and borrowings from a credit facility, which now has an outstanding balance of $17.5 million.

The company’s total assets increased slightly to $714.2 million as of September 30, 2025, compared to $713.5 million at the end of 2024. However, total liabilities also rose to $527.5 million from $508.5 million, primarily due to increased accounts payable and accrued liabilities. BRT's stockholders' equity decreased to $186.7 million from $205.0 million, reflecting the net loss and distributions made during the period.

Looking ahead, BRT anticipates challenges due to the uncertain economic environment, including inflation and potential recessionary pressures, which may impact rental and occupancy rates. The company plans to pursue alternative investments in the multi-family sector and is preparing for upcoming mortgage refinancings, which could lead to increased interest expenses. BRT remains committed to maintaining its REIT status and intends to continue paying dividends, having declared a quarterly cash distribution of $0.25 per share in October 2025.