Cedar Realty Trust Reports Revenue Decline but Improved Net Income in Q2 2025

Cedar Realty Trust, Inc. reported a decline in financial performance for the second quarter of 2025, with total revenues of $7.455 million, down 13.4% from $8.611 million in the same period last year. For the first half of 2025, revenues decreased by 14.4% to $14.870 million compared to $17.376 million in the first half of 2024. The decrease in revenue was primarily attributed to a reduction in rental revenues and tenant reimbursements, largely due to the sale of properties in 2024 and 2025. Despite the revenue decline, the company reported a net income attributable to common shareholders of $1.605 million for the second quarter, a significant improvement from a net loss of $2.670 million in the same quarter of the previous year.

In terms of operational changes, Cedar Realty Trust completed the sale of two properties during the first half of 2025: Webster Commons for $14.5 million and Oregon Avenue for $3 million. These sales contributed to a gain of $2.332 million and $90,000, respectively. The company also engaged in a series of preferred stock repurchases, totaling approximately $31.8 million, which is expected to reduce future annual dividend payments by $4.5 million. This strategic move aims to enhance financial stability and optimize capital allocation.

The company’s total assets decreased to $183.745 million as of June 30, 2025, down from $216.931 million at the end of 2024. This decline was primarily due to a reduction in real estate assets, which fell from $303.858 million to $281.299 million. The company’s total liabilities remained relatively stable, increasing slightly from $160.720 million to $161.317 million. The equity of Cedar Realty Trust also saw a significant drop, from $56.211 million at the end of 2024 to $22.428 million by mid-2025, largely due to the repurchase of preferred stock and cumulative distributions exceeding net income.

Looking ahead, Cedar Realty Trust is focused on improving occupancy rates and backfilling vacant spaces to drive revenue growth. The company reported a same-property occupancy rate of 86.2% as of June 30, 2025, compared to 85.4% a year earlier. The management remains optimistic about the potential for revenue recovery through strategic leasing and property management initiatives. However, the company acknowledges the ongoing challenges posed by market conditions, including inflation and interest rate fluctuations, which could impact future performance.