Presidio Property Trust Reports Revenue Decline and Net Loss in Q1 2026

Presidio Property Trust, Inc. reported a decline in financial performance for the first quarter of 2026, with total revenues of approximately $3.77 million, down from $4.13 million in the same period last year. The decrease in revenue was primarily attributed to a reduction in rental income, which fell to $3.68 million from $4.03 million, reflecting the impact of the sale of the Dakota Center property. The company also recorded a net income of $558,794, a significant drop from $2.38 million in the prior year, leading to a net loss attributable to common stockholders of $129,632 compared to a profit of $1.69 million in the first quarter of 2025.

In terms of operational changes, Presidio Property Trust did not acquire any new properties during the first quarter of 2026, contrasting with the acquisition of 12 model homes for approximately $4.3 million in the same quarter of 2025. The company disposed of one commercial property, Dakota Center, for approximately $4.7 million, recognizing a net gain of about $3.4 million. Additionally, five model homes were sold for $2.3 million, resulting in a gain of approximately $0.2 million. The company’s total real estate assets decreased to $100.49 million as of March 31, 2026, down from $108.65 million at the end of 2025.

Operationally, Presidio Property Trust's rental operating costs were approximately $1.54 million, a slight decrease from $1.61 million in the previous year, resulting in a rental operating cost ratio of 35% of total revenue. General and administrative expenses remained stable at around $1.67 million, although they represented a higher percentage of total revenue at 44.4% compared to 40.3% in the prior year. The company also recognized impairment charges of $524,373, significantly higher than the $26,943 recorded in the same quarter of 2025, primarily related to the Shea Center II property.

Looking ahead, Presidio Property Trust is focused on improving its liquidity and operational efficiency. The company has suspended dividends on its Series D Preferred Stock and did not declare any dividends on its common stock for the first quarter of 2026. As of March 31, 2026, the company had approximately $5.17 million in cash and cash equivalents, down from $7.42 million at the end of 2025. Management is actively seeking to reduce general and administrative expenses and is exploring potential refinancing options to enhance liquidity. The company anticipates that cash flow from operations and proceeds from property sales will be sufficient to meet its short-term liquidity needs.