{"success":true,"data":{"pressRelease":{"id":"5507","rtpr_id":"nGNXbb07mk","ticker":"BDN","exchange":"NYSE","all_tickers":["BDN"],"title":"Brandywine Realty Trust Announces First Quarter 2026 Results and Narrows 2026 Guidance","author":"Globe Newswire","published_at":"2026-04-22T20:15:03.086Z","article_body":"PHILADELPHIA, April 22, 2026 (GLOBE NEWSWIRE) -- Brandywine Realty Trust\n(NYSE:BDN) today reported its financial and operating results for the three\nmonths ended March 31, 2026.\n\nManagement Comments\n\n“During the first quarter, we made excellent progress on our 2026 business\nplan highlighted by achieving 94% of our speculative revenue target based on\nthe midpoint of our guidance.” stated Jerry Sweeney, President and Chief\nExecutive Officer of Brandywine Realty Trust. “Our wholly owned first\nquarter leasing activity totaled 268,000 square feet representing the most\nactivity since the fourth quarter of 2024. We continue to make progress on our\nportfolio recycling program and expect to achieve our $290 million disposition\ntarget with approximately $305 million under agreement or currently in various\nstages of due diligence. We have agreed to terms on a 7-year financing for\nAvira for up to $100 million using the proceeds and line of credit to repay\nthe existing construction loan due in July 2026 and we anticipate closing both\ntransactions during the second quarter. We remain in an excellent liquidity\nposition with $65 million outstanding on our $600 million unsecured line of\ncredit and no unsecured bonds maturing until November 2027. Based on the\nprogress we have made on our 2026 business plan, we are narrowing our FFO\nrange from $0.51 to $0.59 per share to $0.52 to $0.58 per share.”\n\nFirst Quarter 2026 Highlights\n\nFinancial Results\n* Net loss attributable to common shareholders: $(48.9) million, or $(0.28)\nper share. Our results include non-cash impairment charges for properties\nwithin our wholly owned portfolio totaling $11.9 million, or $(0.07) per\nshare.\n* Funds from Operations (FFO) available to common shareholders: $20.0 million,\nor $0.11 per diluted share.\nPortfolio Results\n* Core Portfolio:   88.3% occupied and 89.9% leased.\n* New and renewal leases signed: 268,000 square feet during the first quarter\nin our wholly-owned portfolio and, including leasing within our unconsolidated\njoint ventures, totaled 422,000 square feet.\n* Rental rate mark-to-market: Increased 4.1% on an accrual basis and decreased\n(2.6)% on a cash basis.\n* Same store net operating income (NOI): Increased 0.8% on an accrual basis\nand 3.3% on a cash basis.\n* Leases scheduled to commence subsequent to March 31, 2026: 182,000 square\nfeet.\nFinance Activity\n* As of March 31, 2026, we had a $65.0 million outstanding balance on our\n$600.0 million unsecured line of credit.\n* As of March 31, 2026, we had $36.2 million of cash and cash equivalents\non-hand.\nResults for the Three Months Ended March 31, 2026\n\nNet loss attributable to common shareholders totaled $(48.9) million, or\n$(0.28) per share, in the first quarter of 2026 compared to a net loss\nattributable to common shareholders of $(27.4) million, or $(0.16) per share\nin the first quarter of 2025. Our 2026 results include non-cash impairment\ncharges within our wholly owned portfolio totaling $11.9 million, or $(0.07)\nper share.\n\nFFO available to common shareholders and unit holders in the first quarter of\n2026 totaled $20.0 million, or $0.11 per diluted share, versus $24.7 million,\nor $0.14 per diluted share, in the first quarter of 2025. Our first quarter\nFFO 2026 payout ratio ($0.08 common share distribution / $0.11 FFO per diluted\nshare) was 72.7%.\n\nOperating and Leasing Activity\n\nIn the first quarter of 2026, our NOI excluding termination fees and other\nincome items increased 0.8% on an accrual basis and 3.3% on a cash basis for\nour 59 same store properties, which were 88.3% and 88.8% occupied on March 31,\n2026 and March 31, 2025, respectively.\n\nWe leased approximately 268,000 square feet and commenced occupancy on 237,000\nsquare feet during the first quarter of 2026. The first quarter occupancy\nactivity includes 77,000 square feet of renewals, 114,000 square feet of new\nleases and 46,000 square feet of tenant expansions. We also have an additional\n182,000 square feet of executed new leasing scheduled to commence subsequent\nto March 31, 2026. Our tenant retention ratio was 45% in our core portfolio\nwith negative net absorption of (38,000) square feet during the first quarter\nof 2026. First quarter rental rate growth increased 4.1% as our renewal rental\nrates increased 5.0% and our new lease/expansion rental rates decreased\n(0.9)%, all on an accrual basis.\n\nAt March 31, 2026, our core portfolio of 60 properties comprising 11.4 million\nsquare feet was 88.3% occupied and, as of April 15, 2026, 89.9% leased\n(reflecting executed leases commencing after March 31, 2026).\n\nDistributions\n\nOn February 18, 2026, our Board of Trustees declared a quarterly cash dividend\nof $0.08 per common share and OP Unit that was paid on April 16, 2026 to\nholders of record on April 2, 2026.\n\n2026 Earnings and FFO Guidance\n\nBased on current plans and assumptions and subject to the risks and\nuncertainties more fully described in our Securities and Exchange Commission\nfilings, we are adjusting our 2026 loss per share guidance from $(0.66) -\n$(0.58) per share to $(0.76) – $(0.70) per share and 2026 FFO guidance from\n$0.51 - $0.59 per diluted share to $0.52 - $0.58 per diluted share. This\nguidance is provided for informational purposes and is subject to change. The\nfollowing is a reconciliation of the calculation of 2026 FFO and earnings per\ndiluted share:\n\n Guidance for 2026 Range \n Loss per share allocated to common shareholders $(0.76) to $(0.70) \n Plus: real estate depreciation, amortization 1.21 1.21 \n Plus: real estate impairments 0.07 0.07 \n FFO per diluted share $0. 5 2 to $0. 5 8 \n\nOur 2026 FFO key assumptions include:\n* Year-end Core Occupancy Range: 89-90%;\n* Year-end Core Leased Range: 90-91%;\n* Rental Rate Mark-to-Market (accrual): 5-7%;\n* Rental Rate Mark-to-Market (cash): (2)-0%;\n* Same Store (accrual) NOI Range: (1)-1%;\n* Same Store (cash) NOI Range: 0-2%;\n* Speculative Revenue Target: $17.0 - $18.0 million, $16.4 million achieved;\n* Tenant Retention Rate Range: 46-48%;\n* Property Acquisition Activity: None;\n* Property Sales Activity: $280.0 - $300.0 million;\n* Development Starts: Redevelopment of one existing Uptown ATX building in\nAustin, Texas;\n* Financing Activity:   Refinance our $178 million 3025 JFK Construction\nLoan maturing in July 2026 and extend our unsecured credit facility maturing\nin June 2026;\n* Share Buyback and Bond Repurchase Activity: Will be based on sales activity\nabove;\n* Annual earnings and FFO per diluted share based on 180.0 million fully\ndiluted weighted average common shares.\nExcept as outlined in our 2026 Business Plan, which can be located on the\nInvestor Relations page of our website, our estimates do not include (1)\npossible future gains or losses or the impact on operating results from other\npossible future property acquisitions or dispositions, (2) the impacts of any\nother capital markets activity, (3) future write-offs or reinstatements of\naccounts receivable and accrued rent balances, or (4) future impairment\ncharges. EPS estimates may fluctuate based on several factors, including\nchanges in the recognition of depreciation and amortization expense,\nimpairment losses on depreciable real estate, and any gains or losses\nassociated with disposition activity. Management is not able to assess at this\ntime the potential impact of these factors on projected EPS. By definition,\nFFO does not include real estate-related depreciation and amortization,\nimpairment losses on depreciable real estate, or gains or losses associated\nwith disposition activities or depreciable real estate. For a complete\ndefinition of FFO and statements of the reasons why management believes FFO\nprovides useful information to investors, see page 37 in our first quarter\nSupplemental Information Package. There can be no assurance that our actual\nresults will not differ materially from the estimates set forth above. Our\n2026 Business Plan is included in our Supplemental Information Package which\ncan be located on the Investor Relations page of our website.\n\nAbout Brandywine Realty Trust\n\nBrandywine Realty Trust (NYSE: BDN) is one of the largest, publicly traded,\nfull-service, integrated real estate companies in the United States with a\ncore focus in Philadelphia, PA and Austin, TX. Organized as a real estate\ninvestment trust (REIT), we own, develop, lease and manage an urban, town\ncenter and transit-oriented portfolio comprising 117 properties and 19.8\nmillion square feet as of March 31, 2026. Our purpose is to shape, connect and\ninspire the world around us through our expertise, the relationships we\nfoster, the communities in which we live and work, and the history we build\ntogether. For more information, please visit www.brandywinerealty.com.\n\nConference Call and Audio Webcast\n\nAfter releasing our first quarter earnings after the market close on\nWednesday, April 22, 2026, we will hold our first quarter conference call on\nThursday, April 23, 2026 at 9:00 a.m. Eastern Time. To access the conference\ncall by phone, please visit this link here\n(https://www.globenewswire.com/Tracker?data=5w1IZ0WVMmKyNHICL9lxzQXTPnPHhqFX4O_2WLeNI3ZVHtDMy19Sct6HlW6p4ecgpWOV5YMb-k-1FZF538Dg0-AxL5hG_ONL00zeJtqt1d0vMrHzoE8RhKMhGvw8ZAACAUdFBVKPxHym9Dn4beBXtfTeptExTvGJVDAz2p--YSZUf7cIY83tFVakMbhn3fTnOADk2jkvNZfx6mbB4m0PY-60-0m0bwde_lIvqWf-68hioUhNWxE4J6Q7qf0qLGzuE1kqoy7QoWXGXarRHmdqrbSt_evPmLiXo9mVwN8pmc2ZTlYsGph6JAnl1GIAjEr5cNMaJoH8m1qP6f5hXNJzQwT2GBoznujjpqKWL0Mcm0FIwEILzWse5zChkFpjWtLO_yDSaZUTNyP2uoikg7TTSZqOZD8QIkSJ-E1crY7O_9hChlRRPGEQ73pqn1HtykE7e1nD5LsTm6n8AwLaAO2pgWGNuwMJQATI5NP2A1uhivAnOGcF4r5ksFaSqFytQaelPPWbUJHyeAmUSi0bWrljEtBEEGvjHeoJcnG_IQcgMCBfmunxscie2R3vlaOYQKYxuUvjzFDXA1QvVyrgdWleJwq4PXDx0Kng5y0EgmCwCQ6Ru_KoSDjwS9WLimzwB9wPzNrocq0dyv9zHQwvq6gv039Bhqz8NsFxFqqM33aSjyqzpg84pm_j12IE1en-6iVa),\nand you will be provided with dial in details. A live webcast of the\nconference call will also be available on the Investor Relations page of our\nwebsite at www.brandywinerealty.com.\n\nLooking Ahead – Second Quarter 2026 Conference Call\n\nWe expect to release our second quarter 2026 earnings on Wednesday, July 22,\n2026, after the market close and will host our second quarter 2026 conference\ncall on Thursday, July 23, 2026 at 9:00 a.m. Eastern Time. We expect to issue\na press release in advance of these events to reconfirm the dates and times\nand provide all related information.\n\nSupplemental Information\n\nWe produce a Supplemental Information Package that includes details regarding\nthe performance of the portfolio, financial information, non-GAAP financial\nmeasures, same-store information and other useful information for investors.\nThe Supplemental Information Package is available via our website,\nwww.brandywinerealty.com, through the “Investor Relations” section.\n\nForward-Looking Statements\n\nThis press release contains certain forward-looking statements within the\nmeaning of Section 27A of the Securities Act of 1933, as amended, and Section\n21E of the Securities Exchange Act of 1934, as amended. Such forward-looking\nstatements can generally be identified by our use of forward-looking\nterminology such as “will,” “strategy,” “expects,” “seeks,”\n“believes,” “potential,” or other similar words. Because such\nstatements involve known and unknown risks, uncertainties and contingencies,\nactual results may differ materially from the expectations, intentions,\nbeliefs, plans or predictions of the future expressed or implied by such\nforward-looking statements. These forward-looking statements, including our\n2026 Guidance and our 2026 Business Plan and expectations for timing and terms\nof developments, sales, capital activities, bond repurchases and common share\nbuybacks, are based upon the current beliefs and expectations of our\nmanagement and are inherently subject to significant business, economic and\ncompetitive uncertainties and contingencies, many of which are difficult to\npredict and not within our control. Such risks, uncertainties and\ncontingencies include, among others: reduced demand for office space and\npricing pressures, including from competitors, changes to tenant work patterns\nthat could limit our ability to lease space or set rents at expected levels or\nthat could lead to declines in rent; uncertainty and volatility in capital and\ncredit markets, including changes that reduce availability, and increase\ncosts, of capital or that delay receipt of future debt financings and\nrefinancings; the effect of inflation and interest rate fluctuations,\nincluding on the costs of our planned debt financings and refinancings; the\npotential loss or bankruptcy of tenants or the inability of tenants to meet\ntheir rent and other lease obligations; risks of acquisitions and\ndispositions, including unexpected liabilities and integration costs; delays\nin completing, and cost overruns incurred in connection with, our developments\nand redevelopments; disagreements with joint venture partners; unanticipated\noperating and capital costs; uninsured casualty losses and our ability to\nobtain adequate insurance, including coverage for terrorist acts; additional\nasset impairments; our dependence upon certain geographic markets; changes in\ngovernmental regulations, tax laws and rates and similar matters; impacts from\nchanges to U.S. trade and foreign relations policies, including the imposition\nof tariffs; impacts of a U.S. government shutdown; unexpected costs of REIT\nqualification compliance; costs and disruptions as the result of a\ncybersecurity incident or other technology disruption; reliance on key\npersonnel; and failure to maintain an effective system of internal control,\nincluding internal control over financial reporting. The declaration and\npayment of future dividends (both timing and amount) is subject to the\ndetermination of our Board of Trustees, in its sole discretion, after\nconsidering various factors, including our financial condition, historical and\nforecast operating results, and available cash flow, as well as any applicable\nlaws and contractual covenants and any other relevant factors. Our Board’s\npractice regarding declaration of dividends may be modified at any time and\nfrom time to time. Additional information on factors which could impact us and\nthe forward-looking statements contained herein are included in our filings\nwith the Securities and Exchange Commission, including our Form 10-K for the\nyear ended December 31, 2025. Given the uncertainties, we caution readers not\nto place undue reliance on forward-looking statements. We assume no obligation\nto update or supplement forward-looking statements that become untrue because\nof subsequent events except as required by law.\n\nNon-GAAP Supplemental Financial Measures\n\nWe compute our financial results in accordance with generally accepted\naccounting principles (GAAP). Although FFO and NOI are non-GAAP financial\nmeasures, we believe that FFO and NOI calculations are helpful to shareholders\nand potential investors and are widely recognized measures of real estate\ninvestment trust performance. At the end of this press release, we have\nprovided a reconciliation of the non-GAAP financial measures to the most\ndirectly comparable GAAP measure.\n\nFunds from Operations (FFO)\n\nWe compute FFO in accordance with standards established by the National\nAssociation of Real Estate Investment Trusts (NAREIT), which may not be\ncomparable to FFO reported by other REITs that do not compute FFO in\naccordance with the NAREIT definition, or that interpret the NAREIT definition\ndifferently than us. NAREIT defines FFO as net income (loss) before\nnon-controlling interests of common unit holders and excluding gains (losses)\non sales of depreciable operating property, impairment losses on depreciable\nconsolidated real estate, impairment losses on investments in unconsolidated\nreal estate ventures and extraordinary items (computed in accordance with\nGAAP); plus real estate related depreciation and amortization (excluding\namortization of deferred financing costs), and after similar adjustments for\nunconsolidated joint ventures. Net income, the GAAP measure that we believe to\nbe most directly comparable to FFO, includes depreciation and amortization\nexpenses, gains or losses on property sales, extraordinary items and\nnon-controlling interests. To facilitate a clear understanding of our\nhistorical operating results, FFO should be examined in conjunction with net\nincome (determined in accordance with GAAP) as presented in the financial\nstatements included elsewhere in this release. FFO does not represent cash\nflow from operating activities (determined in accordance with GAAP) and should\nnot be considered to be an alternative to net income (loss) (determined in\naccordance with GAAP) as an indication of our financial performance or to be\nan alternative to cash flow from operating activities (determined in\naccordance with GAAP) as a measure of our liquidity, nor is it indicative of\nfunds available for our cash needs, including our ability to make cash\ndistributions to shareholders. We generally consider FFO and FFO per share to\nbe useful measures for understanding and comparing our operating results\nbecause, by excluding gains and losses related to sales of previously\ndepreciated operating real estate assets, impairment losses and real estate\nasset depreciation and amortization (which can differ across owners of similar\nassets in similar condition based on historical cost accounting and useful\nlife estimates), FFO and FFO per share can help investors compare the\noperating performance of a company’s real estate across reporting periods\nand to the operating performance of other companies.\n\nNet Operating Income (NOI)\n\nNOI (accrual basis) is a Non-GAAP financial measure equal to net income\navailable to common shareholders, the most directly comparable GAAP financial\nmeasure, plus corporate general and administrative expense, depreciation and\namortization, interest expense, non-controlling interest in the Operating\nPartnership and losses from early extinguishment of debt, less interest\nincome, development and management income, gains from property dispositions,\ngains on sale from discontinued operations, gains on early extinguishment of\ndebt, income from discontinued operations, income from unconsolidated joint\nventures and non-controlling interest in property partnerships. In some cases\nwe also present NOI on a cash basis, which is NOI after eliminating the\neffects of straight-lining of rent and deferred market intangible\namortization. NOI presented by us may not be comparable to NOI reported by\nother REITs that define NOI differently. NOI should not be considered an\nalternative to net income as an indication of our performance or to cash flows\nas a measure of the Company's liquidity or its ability to make distributions.\nWe believe NOI is a useful measure for evaluating the operating performance of\nour properties, as it excludes certain components from net income available to\ncommon shareholders in order to provide results that are more closely related\nto a property's results of operations. We use NOI internally to evaluate the\nperformance of our operating segments and to make decisions about resource\nallocations. We concluded that NOI provides useful information to investors\nregarding our financial condition and results of operations, as it reflects\nonly the income and expense items incurred at the property level, as well as\nthe impact on operations from trends in occupancy rates, rental rates,\noperating costs and acquisition and development activity on an unlevered\nbasis.\n\nSame Store Properties\n\nIn our analysis of NOI, particularly to make comparisons of NOI between\nperiods meaningful, it is important to provide information for properties that\nwere in-service and owned by us throughout each period presented. We refer to\nproperties acquired or placed in-service prior to the beginning of the\nearliest period presented and owned by us through the end of the latest period\npresented as Same Store Properties. Same Store Properties therefore exclude\nproperties placed in-service, acquired, repositioned, held for sale or in\ndevelopment or redevelopment after the beginning of the earliest period\npresented or disposed of prior to the end of the latest period presented.\nAccordingly, it takes at least one year and one quarter after a property is\nacquired for that property to be included in Same Store Properties.\n\nCore Portfolio\n\nOur core portfolio is comprised of our wholly owned properties, excluding any\nproperties currently in development, re-development or recently completed, not\nyet stabilized or held for sale.\n\nSpeculative Revenue\n\nSpeculative Revenue represents the amount of rental revenue the company\nprojects to be recorded during the current calendar year from new and renewal\nleasing activity in its core portfolio that has yet to be executed as of the\nbeginning of the year. This revenue is primarily attributable to the\nabsorption of core portfolio square footage that was either vacant at the\nbeginning of the year or the renewal of existing tenants due to expire during\nthe current year.\n\n\n\n BRANDYWINE REALTY TRUST CONSOLIDATED BALANCE SHEETS (unaudited, in thousands, except share and per share data) \n March 31, 2026 December 31, 2025 \n ASSETS \n Real estate investments: \n Operating properties $ 3,724,851 $ 3,753,780 \n Accumulated depreciation (1,279,283 ) (1,259,090 ) \n Prepaid ground leases, net 51,236 51,399 \n Right of use asset - operating leases, net 17,657 17,806 \n Operating real estate investments, net 2,514,461 2,563,895 \n Construction-in-progress 123,659 118,543 \n Land held for development 72,110 70,405 \n Prepaid leasehold interests in land held for development, net 27,762 27,762 \n Total real estate investments, net 2,737,992 2,780,605 \n Cash and cash equivalents 36,203 32,284 \n Restricted cash and escrow 30,093 30,018 \n Accounts receivable 23,370 22,154 \n Assets held for sale, net 15,383 — \n Accrued rent receivable, net of allowance of $424 as of March 31, 2026 and December 31, 2025 184,220 182,651 \n Investment in unconsolidated real estate ventures 321,534 314,326 \n Deferred costs, net 81,143 79,549 \n Intangible assets, net 20,739 22,426 \n Other assets 137,170 122,227 \n Total assets $ 3,587,847 $ 3,586,240 \n LIABILITIES AND BENEFICIARIES' EQUITY \n Secured debt, net $ 234,091 $ 234,079 \n Unsecured credit facility 65,000 — \n Unsecured term loan, net 249,491 249,389 \n Unsecured senior notes, net 2,073,656 2,073,394 \n Accounts payable and accrued expenses 141,933 143,826 \n Distributions payable 14,201 14,108 \n Deferred income, gains and rent 20,852 22,569 \n Intangible liabilities, net 12,534 12,713 \n Lease liability - operating leases 23,764 23,720 \n Other liabilities 13,133 14,588 \n Total liabilities $ 2,848,655 $ 2,788,386 \n Brandywine Realty Trust's Equity: \n Common Shares of Brandywine Realty Trust's beneficial interest, $0.01 par value; shares authorized 400,000,000; 173,711,845 and 173,699,039 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively 1,733 1,733 \n Additional paid-in-capital 3,202,662 3,199,838 \n Deferred compensation payable in common shares 24,282 23,069 \n Common shares in grantor trust, 1,947,350 and 1,583,000 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively (24,282 ) (23,069 ) \n Cumulative earnings 556,661 605,252 \n Accumulated other comprehensive income (loss) 126 (1,437 ) \n Cumulative distributions (3,026,869 ) (3,012,654 ) \n Total Brandywine Realty Trust's equity 734,313 792,732 \n Noncontrolling interests 4,879 5,122 \n Total beneficiaries' equity $ 739,192 $ 797,854 \n Total liabilities and beneficiaries' equity $ 3,587,847 $ 3,586,240 \n\n\n\n BRANDYWINE REALTY TRUST CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands, except share and per share data) \n Three Months Ended March 31, \n 2026 2025 \n Revenue \n Rents $ 120,657 $ 114,428 \n Third party management fees, labor reimbursement and leasing 4,725 5,829 \n Other 1,622 1,259 \n Total revenue 127,004 121,516 \n Operating expenses \n Property operating expenses 38,526 33,526 \n Real estate taxes 11,325 11,432 \n Third party management expenses 2,168 2,633 \n Depreciation and amortization 49,231 44,353 \n General and administrative expenses 12,335 17,470 \n Provision for impairment 11,909 — \n Total operating expenses 125,494 109,414 \n Gain on sale of real estate \n Net gain on disposition of real estate — 3,059 \n Total gain on sale of real estate — 3,059 \n Operating income 1,510 15,161 \n Other income (expense): \n Interest and investment income 666 1,186 \n Interest expense (40,889 ) (31,845 ) \n Interest expense - amortization of deferred financing costs (1,387 ) (1,230 ) \n Equity in loss of unconsolidated real estate ventures (8,702 ) (10,511 ) \n Net gain on real estate venture transactions — 183 \n Net loss before income taxes (48,802 ) (27,056 ) \n Income tax provision (2 ) — \n Net loss (48,804 ) (27,056 ) \n Net loss attributable to noncontrolling interests 213 81 \n Net loss attributable to Brandywine Realty Trust (48,591 ) (26,975 ) \n Nonforfeitable dividends allocated to unvested restricted shareholders (318 ) (429 ) \n Net loss attributable to Common Shareholders of Brandywine Realty Trust $ (48,909 ) $ (27,404 ) \n PER SHARE DATA \n Basic loss per Common Share $ (0.28 ) $ (0.16 ) \n Basic weighted average shares outstanding 173,756,736 172,915,482 \n Diluted loss per Common Share $ (0.28 ) $ (0.16 ) \n Diluted weighted average shares outstanding 173,756,736 172,915,482 \n\n\n\n BRANDYWINE REALTY TRUST FUNDS FROM OPERATIONS (unaudited, in thousands, except share and per share data) \n Three Months Ended March 31, \n 2026 2025 \n Net loss attributable to common shareholders $ (48,909 ) $ (27,404 ) \n Add (deduct): \n Net loss attributable to noncontrolling interests - LP units (146 ) (81 ) \n Nonforfeitable dividends allocated to unvested restricted shareholders 318 429 \n Net loss on real estate venture transactions 243 106 \n Net gain on disposition of real estate — (3,059 ) \n Provision for impairment 11,909 — \n Depreciation and amortization: \n Real property 42,654 38,729 \n Leasing costs including acquired intangibles 5,704 4,815 \n Company’s share of unconsolidated real estate ventures 8,733 11,436 \n Partners’ share of consolidated real estate ventures (97 ) (3 ) \n Funds from operations 20,409 24,968 \n Funds from operations allocable to unvested restricted shareholders (386 ) (305 ) \n Funds from operations available to common share and unit holders (FFO) $ 20,023 $ 24,663 \n FFO per share - fully diluted $ 0.11 $ 0.14 \n Weighted-average shares/units outstanding — fully diluted 180,721,719 178,473,873 \n Distributions paid per common share $ 0.08 $ 0.15 \n FFO payout ratio (distributions paid per common share/FFO per diluted share) 73 % 107 % \n\n\n\nBRANDYWINE REALTY TRUST\nSAME STORE OPERATIONS – 1st QUARTER\n(unaudited and in thousands)\n\nOf the 64 properties owned by the Company as of March 31, 2026, a total of 59\nproperties (\"Same Store Properties\") containing an aggregate of 11.2 million\nnet rentable square feet were owned for the entire three months ended March\n31, 2026 and 2025. As of March 31, 2026, two properties were recently\ncompleted and three properties were in development/redevelopment. The Same\nStore Properties were 88.3% and 88.8% occupied as of March 31, 2026 and 2025,\nrespectively. The following table sets forth revenue and expense information\nfor the Same Store Properties:\n\n Three Months Ended March 31, \n 2026 2025 \n Revenue \n Rents $ 108,153 $ 105,307 \n Other 210 237 \n Total revenue 108,363 105,544 \n Operating expenses \n Property operating expenses 30,972 28,545 \n Real estate taxes 10,371 10,086 \n Net operating income $ 67,020 $ 66,913 \n Net operating income - percentage change over prior year 0.2 % \n Net operating income, excluding other items (1) $ 66,785 $ 66,279 \n Net operating income, excluding other items - percentage change over prior year 0.8 % \n Net operating income $ 67,020 $ 66,913 \n Straight line rents & other (342 ) (1,831 ) \n Above/below market rent amortization (160 ) (164 ) \n Amortization of tenant inducements 273 221 \n Non-cash ground rent expense 235 239 \n Cash - Net operating income $ 67,026 $ 65,378 \n Cash - Net operating income - percentage change over prior year 2.5 % \n Cash - Net operating income, excluding other items (1) $ 66,671 $ 64,537 \n Cash - Net operating income, excluding other items - percentage change over prior year 3.3 % \n Three Months Ended March 31, \n 2026 2025 \n Net income (loss): $ (48,804 ) $ (27,056 ) \n Add/(deduct): \n Interest and investment income (666 ) (1,186 ) \n Interest expense 40,889 31,845 \n Interest expense - amortization of deferred financing costs 1,387 1,230 \n Equity in loss of unconsolidated real estate ventures 8,702 10,511 \n Net gain on real estate venture transactions — (183 ) \n Net gain on disposition of real estate — (3,059 ) \n Depreciation and amortization 49,231 44,353 \n General & administrative expenses 12,335 17,470 \n Provision for impairment 11,909 — \n Consolidated net operating income 74,985 73,925 \n Less: Net operating income of non-same store properties and elimination of non-property specific operations (7,965 ) (7,012 ) \n Same store net operating income $ 67,020 $ 66,913 \n \n (1) - Other items represent termination fees and bad debt expense and other income. \n\n\n\nCompany / Investor Contact:\n\nTom Wirth\nEVP & CFO\n610-832-7434 \ntom.wirth@bdnreit.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/0a9f192f-ce12-4a91-b77a-b39b1faed050)\n\n\n\nGlobeNewswire, Inc. 2026","article_body_html":"","raw_payload":{"data":{"id":"nGNXbb07mk","title":"Brandywine Realty Trust Announces First Quarter 2026 Results and Narrows 2026 Guidance","author":"Globe Newswire","ticker":"BDN","created":"2026-04-22T20:15:03.086Z","tickers":["BDN"],"exchange":"NYSE","article_body":"PHILADELPHIA, April 22, 2026 (GLOBE NEWSWIRE) -- Brandywine Realty Trust\n(NYSE:BDN) today reported its financial and operating results for the three\nmonths ended March 31, 2026.\n\nManagement Comments\n\n“During the first quarter, we made excellent progress on our 2026 business\nplan highlighted by achieving 94% of our speculative revenue target based on\nthe midpoint of our guidance.” stated Jerry Sweeney, President and Chief\nExecutive Officer of Brandywine Realty Trust. “Our wholly owned first\nquarter leasing activity totaled 268,000 square feet representing the most\nactivity since the fourth quarter of 2024. We continue to make progress on our\nportfolio recycling program and expect to achieve our $290 million disposition\ntarget with approximately $305 million under agreement or currently in various\nstages of due diligence. We have agreed to terms on a 7-year financing for\nAvira for up to $100 million using the proceeds and line of credit to repay\nthe existing construction loan due in July 2026 and we anticipate closing both\ntransactions during the second quarter. We remain in an excellent liquidity\nposition with $65 million outstanding on our $600 million unsecured line of\ncredit and no unsecured bonds maturing until November 2027. Based on the\nprogress we have made on our 2026 business plan, we are narrowing our FFO\nrange from $0.51 to $0.59 per share to $0.52 to $0.58 per share.”\n\nFirst Quarter 2026 Highlights\n\nFinancial Results\n* Net loss attributable to common shareholders: $(48.9) million, or $(0.28)\nper share. Our results include non-cash impairment charges for properties\nwithin our wholly owned portfolio totaling $11.9 million, or $(0.07) per\nshare.\n* Funds from Operations (FFO) available to common shareholders: $20.0 million,\nor $0.11 per diluted share.\nPortfolio Results\n* Core Portfolio:   88.3% occupied and 89.9% leased.\n* New and renewal leases signed: 268,000 square feet during the first quarter\nin our wholly-owned portfolio and, including leasing within our unconsolidated\njoint ventures, totaled 422,000 square feet.\n* Rental rate mark-to-market: Increased 4.1% on an accrual basis and decreased\n(2.6)% on a cash basis.\n* Same store net operating income (NOI): Increased 0.8% on an accrual basis\nand 3.3% on a cash basis.\n* Leases scheduled to commence subsequent to March 31, 2026: 182,000 square\nfeet.\nFinance Activity\n* As of March 31, 2026, we had a $65.0 million outstanding balance on our\n$600.0 million unsecured line of credit.\n* As of March 31, 2026, we had $36.2 million of cash and cash equivalents\non-hand.\nResults for the Three Months Ended March 31, 2026\n\nNet loss attributable to common shareholders totaled $(48.9) million, or\n$(0.28) per share, in the first quarter of 2026 compared to a net loss\nattributable to common shareholders of $(27.4) million, or $(0.16) per share\nin the first quarter of 2025. Our 2026 results include non-cash impairment\ncharges within our wholly owned portfolio totaling $11.9 million, or $(0.07)\nper share.\n\nFFO available to common shareholders and unit holders in the first quarter of\n2026 totaled $20.0 million, or $0.11 per diluted share, versus $24.7 million,\nor $0.14 per diluted share, in the first quarter of 2025. Our first quarter\nFFO 2026 payout ratio ($0.08 common share distribution / $0.11 FFO per diluted\nshare) was 72.7%.\n\nOperating and Leasing Activity\n\nIn the first quarter of 2026, our NOI excluding termination fees and other\nincome items increased 0.8% on an accrual basis and 3.3% on a cash basis for\nour 59 same store properties, which were 88.3% and 88.8% occupied on March 31,\n2026 and March 31, 2025, respectively.\n\nWe leased approximately 268,000 square feet and commenced occupancy on 237,000\nsquare feet during the first quarter of 2026. The first quarter occupancy\nactivity includes 77,000 square feet of renewals, 114,000 square feet of new\nleases and 46,000 square feet of tenant expansions. We also have an additional\n182,000 square feet of executed new leasing scheduled to commence subsequent\nto March 31, 2026. Our tenant retention ratio was 45% in our core portfolio\nwith negative net absorption of (38,000) square feet during the first quarter\nof 2026. First quarter rental rate growth increased 4.1% as our renewal rental\nrates increased 5.0% and our new lease/expansion rental rates decreased\n(0.9)%, all on an accrual basis.\n\nAt March 31, 2026, our core portfolio of 60 properties comprising 11.4 million\nsquare feet was 88.3% occupied and, as of April 15, 2026, 89.9% leased\n(reflecting executed leases commencing after March 31, 2026).\n\nDistributions\n\nOn February 18, 2026, our Board of Trustees declared a quarterly cash dividend\nof $0.08 per common share and OP Unit that was paid on April 16, 2026 to\nholders of record on April 2, 2026.\n\n2026 Earnings and FFO Guidance\n\nBased on current plans and assumptions and subject to the risks and\nuncertainties more fully described in our Securities and Exchange Commission\nfilings, we are adjusting our 2026 loss per share guidance from $(0.66) -\n$(0.58) per share to $(0.76) – $(0.70) per share and 2026 FFO guidance from\n$0.51 - $0.59 per diluted share to $0.52 - $0.58 per diluted share. This\nguidance is provided for informational purposes and is subject to change. The\nfollowing is a reconciliation of the calculation of 2026 FFO and earnings per\ndiluted share:\n\n Guidance for 2026 Range \n Loss per share allocated to common shareholders $(0.76) to $(0.70) \n Plus: real estate depreciation, amortization 1.21 1.21 \n Plus: real estate impairments 0.07 0.07 \n FFO per diluted share $0. 5 2 to $0. 5 8 \n\nOur 2026 FFO key assumptions include:\n* Year-end Core Occupancy Range: 89-90%;\n* Year-end Core Leased Range: 90-91%;\n* Rental Rate Mark-to-Market (accrual): 5-7%;\n* Rental Rate Mark-to-Market (cash): (2)-0%;\n* Same Store (accrual) NOI Range: (1)-1%;\n* Same Store (cash) NOI Range: 0-2%;\n* Speculative Revenue Target: $17.0 - $18.0 million, $16.4 million achieved;\n* Tenant Retention Rate Range: 46-48%;\n* Property Acquisition Activity: None;\n* Property Sales Activity: $280.0 - $300.0 million;\n* Development Starts: Redevelopment of one existing Uptown ATX building in\nAustin, Texas;\n* Financing Activity:   Refinance our $178 million 3025 JFK Construction\nLoan maturing in July 2026 and extend our unsecured credit facility maturing\nin June 2026;\n* Share Buyback and Bond Repurchase Activity: Will be based on sales activity\nabove;\n* Annual earnings and FFO per diluted share based on 180.0 million fully\ndiluted weighted average common shares.\nExcept as outlined in our 2026 Business Plan, which can be located on the\nInvestor Relations page of our website, our estimates do not include (1)\npossible future gains or losses or the impact on operating results from other\npossible future property acquisitions or dispositions, (2) the impacts of any\nother capital markets activity, (3) future write-offs or reinstatements of\naccounts receivable and accrued rent balances, or (4) future impairment\ncharges. EPS estimates may fluctuate based on several factors, including\nchanges in the recognition of depreciation and amortization expense,\nimpairment losses on depreciable real estate, and any gains or losses\nassociated with disposition activity. Management is not able to assess at this\ntime the potential impact of these factors on projected EPS. By definition,\nFFO does not include real estate-related depreciation and amortization,\nimpairment losses on depreciable real estate, or gains or losses associated\nwith disposition activities or depreciable real estate. For a complete\ndefinition of FFO and statements of the reasons why management believes FFO\nprovides useful information to investors, see page 37 in our first quarter\nSupplemental Information Package. There can be no assurance that our actual\nresults will not differ materially from the estimates set forth above. Our\n2026 Business Plan is included in our Supplemental Information Package which\ncan be located on the Investor Relations page of our website.\n\nAbout Brandywine Realty Trust\n\nBrandywine Realty Trust (NYSE: BDN) is one of the largest, publicly traded,\nfull-service, integrated real estate companies in the United States with a\ncore focus in Philadelphia, PA and Austin, TX. Organized as a real estate\ninvestment trust (REIT), we own, develop, lease and manage an urban, town\ncenter and transit-oriented portfolio comprising 117 properties and 19.8\nmillion square feet as of March 31, 2026. Our purpose is to shape, connect and\ninspire the world around us through our expertise, the relationships we\nfoster, the communities in which we live and work, and the history we build\ntogether. For more information, please visit www.brandywinerealty.com.\n\nConference Call and Audio Webcast\n\nAfter releasing our first quarter earnings after the market close on\nWednesday, April 22, 2026, we will hold our first quarter conference call on\nThursday, April 23, 2026 at 9:00 a.m. Eastern Time. To access the conference\ncall by phone, please visit this link here\n(https://www.globenewswire.com/Tracker?data=5w1IZ0WVMmKyNHICL9lxzQXTPnPHhqFX4O_2WLeNI3ZVHtDMy19Sct6HlW6p4ecgpWOV5YMb-k-1FZF538Dg0-AxL5hG_ONL00zeJtqt1d0vMrHzoE8RhKMhGvw8ZAACAUdFBVKPxHym9Dn4beBXtfTeptExTvGJVDAz2p--YSZUf7cIY83tFVakMbhn3fTnOADk2jkvNZfx6mbB4m0PY-60-0m0bwde_lIvqWf-68hioUhNWxE4J6Q7qf0qLGzuE1kqoy7QoWXGXarRHmdqrbSt_evPmLiXo9mVwN8pmc2ZTlYsGph6JAnl1GIAjEr5cNMaJoH8m1qP6f5hXNJzQwT2GBoznujjpqKWL0Mcm0FIwEILzWse5zChkFpjWtLO_yDSaZUTNyP2uoikg7TTSZqOZD8QIkSJ-E1crY7O_9hChlRRPGEQ73pqn1HtykE7e1nD5LsTm6n8AwLaAO2pgWGNuwMJQATI5NP2A1uhivAnOGcF4r5ksFaSqFytQaelPPWbUJHyeAmUSi0bWrljEtBEEGvjHeoJcnG_IQcgMCBfmunxscie2R3vlaOYQKYxuUvjzFDXA1QvVyrgdWleJwq4PXDx0Kng5y0EgmCwCQ6Ru_KoSDjwS9WLimzwB9wPzNrocq0dyv9zHQwvq6gv039Bhqz8NsFxFqqM33aSjyqzpg84pm_j12IE1en-6iVa),\nand you will be provided with dial in details. A live webcast of the\nconference call will also be available on the Investor Relations page of our\nwebsite at www.brandywinerealty.com.\n\nLooking Ahead – Second Quarter 2026 Conference Call\n\nWe expect to release our second quarter 2026 earnings on Wednesday, July 22,\n2026, after the market close and will host our second quarter 2026 conference\ncall on Thursday, July 23, 2026 at 9:00 a.m. Eastern Time. We expect to issue\na press release in advance of these events to reconfirm the dates and times\nand provide all related information.\n\nSupplemental Information\n\nWe produce a Supplemental Information Package that includes details regarding\nthe performance of the portfolio, financial information, non-GAAP financial\nmeasures, same-store information and other useful information for investors.\nThe Supplemental Information Package is available via our website,\nwww.brandywinerealty.com, through the “Investor Relations” section.\n\nForward-Looking Statements\n\nThis press release contains certain forward-looking statements within the\nmeaning of Section 27A of the Securities Act of 1933, as amended, and Section\n21E of the Securities Exchange Act of 1934, as amended. Such forward-looking\nstatements can generally be identified by our use of forward-looking\nterminology such as “will,” “strategy,” “expects,” “seeks,”\n“believes,” “potential,” or other similar words. Because such\nstatements involve known and unknown risks, uncertainties and contingencies,\nactual results may differ materially from the expectations, intentions,\nbeliefs, plans or predictions of the future expressed or implied by such\nforward-looking statements. These forward-looking statements, including our\n2026 Guidance and our 2026 Business Plan and expectations for timing and terms\nof developments, sales, capital activities, bond repurchases and common share\nbuybacks, are based upon the current beliefs and expectations of our\nmanagement and are inherently subject to significant business, economic and\ncompetitive uncertainties and contingencies, many of which are difficult to\npredict and not within our control. Such risks, uncertainties and\ncontingencies include, among others: reduced demand for office space and\npricing pressures, including from competitors, changes to tenant work patterns\nthat could limit our ability to lease space or set rents at expected levels or\nthat could lead to declines in rent; uncertainty and volatility in capital and\ncredit markets, including changes that reduce availability, and increase\ncosts, of capital or that delay receipt of future debt financings and\nrefinancings; the effect of inflation and interest rate fluctuations,\nincluding on the costs of our planned debt financings and refinancings; the\npotential loss or bankruptcy of tenants or the inability of tenants to meet\ntheir rent and other lease obligations; risks of acquisitions and\ndispositions, including unexpected liabilities and integration costs; delays\nin completing, and cost overruns incurred in connection with, our developments\nand redevelopments; disagreements with joint venture partners; unanticipated\noperating and capital costs; uninsured casualty losses and our ability to\nobtain adequate insurance, including coverage for terrorist acts; additional\nasset impairments; our dependence upon certain geographic markets; changes in\ngovernmental regulations, tax laws and rates and similar matters; impacts from\nchanges to U.S. trade and foreign relations policies, including the imposition\nof tariffs; impacts of a U.S. government shutdown; unexpected costs of REIT\nqualification compliance; costs and disruptions as the result of a\ncybersecurity incident or other technology disruption; reliance on key\npersonnel; and failure to maintain an effective system of internal control,\nincluding internal control over financial reporting. The declaration and\npayment of future dividends (both timing and amount) is subject to the\ndetermination of our Board of Trustees, in its sole discretion, after\nconsidering various factors, including our financial condition, historical and\nforecast operating results, and available cash flow, as well as any applicable\nlaws and contractual covenants and any other relevant factors. Our Board’s\npractice regarding declaration of dividends may be modified at any time and\nfrom time to time. Additional information on factors which could impact us and\nthe forward-looking statements contained herein are included in our filings\nwith the Securities and Exchange Commission, including our Form 10-K for the\nyear ended December 31, 2025. Given the uncertainties, we caution readers not\nto place undue reliance on forward-looking statements. We assume no obligation\nto update or supplement forward-looking statements that become untrue because\nof subsequent events except as required by law.\n\nNon-GAAP Supplemental Financial Measures\n\nWe compute our financial results in accordance with generally accepted\naccounting principles (GAAP). Although FFO and NOI are non-GAAP financial\nmeasures, we believe that FFO and NOI calculations are helpful to shareholders\nand potential investors and are widely recognized measures of real estate\ninvestment trust performance. At the end of this press release, we have\nprovided a reconciliation of the non-GAAP financial measures to the most\ndirectly comparable GAAP measure.\n\nFunds from Operations (FFO)\n\nWe compute FFO in accordance with standards established by the National\nAssociation of Real Estate Investment Trusts (NAREIT), which may not be\ncomparable to FFO reported by other REITs that do not compute FFO in\naccordance with the NAREIT definition, or that interpret the NAREIT definition\ndifferently than us. NAREIT defines FFO as net income (loss) before\nnon-controlling interests of common unit holders and excluding gains (losses)\non sales of depreciable operating property, impairment losses on depreciable\nconsolidated real estate, impairment losses on investments in unconsolidated\nreal estate ventures and extraordinary items (computed in accordance with\nGAAP); plus real estate related depreciation and amortization (excluding\namortization of deferred financing costs), and after similar adjustments for\nunconsolidated joint ventures. Net income, the GAAP measure that we believe to\nbe most directly comparable to FFO, includes depreciation and amortization\nexpenses, gains or losses on property sales, extraordinary items and\nnon-controlling interests. To facilitate a clear understanding of our\nhistorical operating results, FFO should be examined in conjunction with net\nincome (determined in accordance with GAAP) as presented in the financial\nstatements included elsewhere in this release. FFO does not represent cash\nflow from operating activities (determined in accordance with GAAP) and should\nnot be considered to be an alternative to net income (loss) (determined in\naccordance with GAAP) as an indication of our financial performance or to be\nan alternative to cash flow from operating activities (determined in\naccordance with GAAP) as a measure of our liquidity, nor is it indicative of\nfunds available for our cash needs, including our ability to make cash\ndistributions to shareholders. We generally consider FFO and FFO per share to\nbe useful measures for understanding and comparing our operating results\nbecause, by excluding gains and losses related to sales of previously\ndepreciated operating real estate assets, impairment losses and real estate\nasset depreciation and amortization (which can differ across owners of similar\nassets in similar condition based on historical cost accounting and useful\nlife estimates), FFO and FFO per share can help investors compare the\noperating performance of a company’s real estate across reporting periods\nand to the operating performance of other companies.\n\nNet Operating Income (NOI)\n\nNOI (accrual basis) is a Non-GAAP financial measure equal to net income\navailable to common shareholders, the most directly comparable GAAP financial\nmeasure, plus corporate general and administrative expense, depreciation and\namortization, interest expense, non-controlling interest in the Operating\nPartnership and losses from early extinguishment of debt, less interest\nincome, development and management income, gains from property dispositions,\ngains on sale from discontinued operations, gains on early extinguishment of\ndebt, income from discontinued operations, income from unconsolidated joint\nventures and non-controlling interest in property partnerships. In some cases\nwe also present NOI on a cash basis, which is NOI after eliminating the\neffects of straight-lining of rent and deferred market intangible\namortization. NOI presented by us may not be comparable to NOI reported by\nother REITs that define NOI differently. NOI should not be considered an\nalternative to net income as an indication of our performance or to cash flows\nas a measure of the Company's liquidity or its ability to make distributions.\nWe believe NOI is a useful measure for evaluating the operating performance of\nour properties, as it excludes certain components from net income available to\ncommon shareholders in order to provide results that are more closely related\nto a property's results of operations. We use NOI internally to evaluate the\nperformance of our operating segments and to make decisions about resource\nallocations. We concluded that NOI provides useful information to investors\nregarding our financial condition and results of operations, as it reflects\nonly the income and expense items incurred at the property level, as well as\nthe impact on operations from trends in occupancy rates, rental rates,\noperating costs and acquisition and development activity on an unlevered\nbasis.\n\nSame Store Properties\n\nIn our analysis of NOI, particularly to make comparisons of NOI between\nperiods meaningful, it is important to provide information for properties that\nwere in-service and owned by us throughout each period presented. We refer to\nproperties acquired or placed in-service prior to the beginning of the\nearliest period presented and owned by us through the end of the latest period\npresented as Same Store Properties. Same Store Properties therefore exclude\nproperties placed in-service, acquired, repositioned, held for sale or in\ndevelopment or redevelopment after the beginning of the earliest period\npresented or disposed of prior to the end of the latest period presented.\nAccordingly, it takes at least one year and one quarter after a property is\nacquired for that property to be included in Same Store Properties.\n\nCore Portfolio\n\nOur core portfolio is comprised of our wholly owned properties, excluding any\nproperties currently in development, re-development or recently completed, not\nyet stabilized or held for sale.\n\nSpeculative Revenue\n\nSpeculative Revenue represents the amount of rental revenue the company\nprojects to be recorded during the current calendar year from new and renewal\nleasing activity in its core portfolio that has yet to be executed as of the\nbeginning of the year. This revenue is primarily attributable to the\nabsorption of core portfolio square footage that was either vacant at the\nbeginning of the year or the renewal of existing tenants due to expire during\nthe current year.\n\n\n\n BRANDYWINE REALTY TRUST CONSOLIDATED BALANCE SHEETS (unaudited, in thousands, except share and per share data) \n March 31, 2026 December 31, 2025 \n ASSETS \n Real estate investments: \n Operating properties $ 3,724,851 $ 3,753,780 \n Accumulated depreciation (1,279,283 ) (1,259,090 ) \n Prepaid ground leases, net 51,236 51,399 \n Right of use asset - operating leases, net 17,657 17,806 \n Operating real estate investments, net 2,514,461 2,563,895 \n Construction-in-progress 123,659 118,543 \n Land held for development 72,110 70,405 \n Prepaid leasehold interests in land held for development, net 27,762 27,762 \n Total real estate investments, net 2,737,992 2,780,605 \n Cash and cash equivalents 36,203 32,284 \n Restricted cash and escrow 30,093 30,018 \n Accounts receivable 23,370 22,154 \n Assets held for sale, net 15,383 — \n Accrued rent receivable, net of allowance of $424 as of March 31, 2026 and December 31, 2025 184,220 182,651 \n Investment in unconsolidated real estate ventures 321,534 314,326 \n Deferred costs, net 81,143 79,549 \n Intangible assets, net 20,739 22,426 \n Other assets 137,170 122,227 \n Total assets $ 3,587,847 $ 3,586,240 \n LIABILITIES AND BENEFICIARIES' EQUITY \n Secured debt, net $ 234,091 $ 234,079 \n Unsecured credit facility 65,000 — \n Unsecured term loan, net 249,491 249,389 \n Unsecured senior notes, net 2,073,656 2,073,394 \n Accounts payable and accrued expenses 141,933 143,826 \n Distributions payable 14,201 14,108 \n Deferred income, gains and rent 20,852 22,569 \n Intangible liabilities, net 12,534 12,713 \n Lease liability - operating leases 23,764 23,720 \n Other liabilities 13,133 14,588 \n Total liabilities $ 2,848,655 $ 2,788,386 \n Brandywine Realty Trust's Equity: \n Common Shares of Brandywine Realty Trust's beneficial interest, $0.01 par value; shares authorized 400,000,000; 173,711,845 and 173,699,039 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively 1,733 1,733 \n Additional paid-in-capital 3,202,662 3,199,838 \n Deferred compensation payable in common shares 24,282 23,069 \n Common shares in grantor trust, 1,947,350 and 1,583,000 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively (24,282 ) (23,069 ) \n Cumulative earnings 556,661 605,252 \n Accumulated other comprehensive income (loss) 126 (1,437 ) \n Cumulative distributions (3,026,869 ) (3,012,654 ) \n Total Brandywine Realty Trust's equity 734,313 792,732 \n Noncontrolling interests 4,879 5,122 \n Total beneficiaries' equity $ 739,192 $ 797,854 \n Total liabilities and beneficiaries' equity $ 3,587,847 $ 3,586,240 \n\n\n\n BRANDYWINE REALTY TRUST CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands, except share and per share data) \n Three Months Ended March 31, \n 2026 2025 \n Revenue \n Rents $ 120,657 $ 114,428 \n Third party management fees, labor reimbursement and leasing 4,725 5,829 \n Other 1,622 1,259 \n Total revenue 127,004 121,516 \n Operating expenses \n Property operating expenses 38,526 33,526 \n Real estate taxes 11,325 11,432 \n Third party management expenses 2,168 2,633 \n Depreciation and amortization 49,231 44,353 \n General and administrative expenses 12,335 17,470 \n Provision for impairment 11,909 — \n Total operating expenses 125,494 109,414 \n Gain on sale of real estate \n Net gain on disposition of real estate — 3,059 \n Total gain on sale of real estate — 3,059 \n Operating income 1,510 15,161 \n Other income (expense): \n Interest and investment income 666 1,186 \n Interest expense (40,889 ) (31,845 ) \n Interest expense - amortization of deferred financing costs (1,387 ) (1,230 ) \n Equity in loss of unconsolidated real estate ventures (8,702 ) (10,511 ) \n Net gain on real estate venture transactions — 183 \n Net loss before income taxes (48,802 ) (27,056 ) \n Income tax provision (2 ) — \n Net loss (48,804 ) (27,056 ) \n Net loss attributable to noncontrolling interests 213 81 \n Net loss attributable to Brandywine Realty Trust (48,591 ) (26,975 ) \n Nonforfeitable dividends allocated to unvested restricted shareholders (318 ) (429 ) \n Net loss attributable to Common Shareholders of Brandywine Realty Trust $ (48,909 ) $ (27,404 ) \n PER SHARE DATA \n Basic loss per Common Share $ (0.28 ) $ (0.16 ) \n Basic weighted average shares outstanding 173,756,736 172,915,482 \n Diluted loss per Common Share $ (0.28 ) $ (0.16 ) \n Diluted weighted average shares outstanding 173,756,736 172,915,482 \n\n\n\n BRANDYWINE REALTY TRUST FUNDS FROM OPERATIONS (unaudited, in thousands, except share and per share data) \n Three Months Ended March 31, \n 2026 2025 \n Net loss attributable to common shareholders $ (48,909 ) $ (27,404 ) \n Add (deduct): \n Net loss attributable to noncontrolling interests - LP units (146 ) (81 ) \n Nonforfeitable dividends allocated to unvested restricted shareholders 318 429 \n Net loss on real estate venture transactions 243 106 \n Net gain on disposition of real estate — (3,059 ) \n Provision for impairment 11,909 — \n Depreciation and amortization: \n Real property 42,654 38,729 \n Leasing costs including acquired intangibles 5,704 4,815 \n Company’s share of unconsolidated real estate ventures 8,733 11,436 \n Partners’ share of consolidated real estate ventures (97 ) (3 ) \n Funds from operations 20,409 24,968 \n Funds from operations allocable to unvested restricted shareholders (386 ) (305 ) \n Funds from operations available to common share and unit holders (FFO) $ 20,023 $ 24,663 \n FFO per share - fully diluted $ 0.11 $ 0.14 \n Weighted-average shares/units outstanding — fully diluted 180,721,719 178,473,873 \n Distributions paid per common share $ 0.08 $ 0.15 \n FFO payout ratio (distributions paid per common share/FFO per diluted share) 73 % 107 % \n\n\n\nBRANDYWINE REALTY TRUST\nSAME STORE OPERATIONS – 1st QUARTER\n(unaudited and in thousands)\n\nOf the 64 properties owned by the Company as of March 31, 2026, a total of 59\nproperties (\"Same Store Properties\") containing an aggregate of 11.2 million\nnet rentable square feet were owned for the entire three months ended March\n31, 2026 and 2025. As of March 31, 2026, two properties were recently\ncompleted and three properties were in development/redevelopment. The Same\nStore Properties were 88.3% and 88.8% occupied as of March 31, 2026 and 2025,\nrespectively. The following table sets forth revenue and expense information\nfor the Same Store Properties:\n\n Three Months Ended March 31, \n 2026 2025 \n Revenue \n Rents $ 108,153 $ 105,307 \n Other 210 237 \n Total revenue 108,363 105,544 \n Operating expenses \n Property operating expenses 30,972 28,545 \n Real estate taxes 10,371 10,086 \n Net operating income $ 67,020 $ 66,913 \n Net operating income - percentage change over prior year 0.2 % \n Net operating income, excluding other items (1) $ 66,785 $ 66,279 \n Net operating income, excluding other items - percentage change over prior year 0.8 % \n Net operating income $ 67,020 $ 66,913 \n Straight line rents & other (342 ) (1,831 ) \n Above/below market rent amortization (160 ) (164 ) \n Amortization of tenant inducements 273 221 \n Non-cash ground rent expense 235 239 \n Cash - Net operating income $ 67,026 $ 65,378 \n Cash - Net operating income - percentage change over prior year 2.5 % \n Cash - Net operating income, excluding other items (1) $ 66,671 $ 64,537 \n Cash - Net operating income, excluding other items - percentage change over prior year 3.3 % \n Three Months Ended March 31, \n 2026 2025 \n Net income (loss): $ (48,804 ) $ (27,056 ) \n Add/(deduct): \n Interest and investment income (666 ) (1,186 ) \n Interest expense 40,889 31,845 \n Interest expense - amortization of deferred financing costs 1,387 1,230 \n Equity in loss of unconsolidated real estate ventures 8,702 10,511 \n Net gain on real estate venture transactions — (183 ) \n Net gain on disposition of real estate — (3,059 ) \n Depreciation and amortization 49,231 44,353 \n General & administrative expenses 12,335 17,470 \n Provision for impairment 11,909 — \n Consolidated net operating income 74,985 73,925 \n Less: Net operating income of non-same store properties and elimination of non-property specific operations (7,965 ) (7,012 ) \n Same store net operating income $ 67,020 $ 66,913 \n \n (1) - Other items represent termination fees and bad debt expense and other income. \n\n\n\nCompany / Investor Contact:\n\nTom Wirth\nEVP & CFO\n610-832-7434 \ntom.wirth@bdnreit.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/0a9f192f-ce12-4a91-b77a-b39b1faed050)\n\n\n\nGlobeNewswire, Inc. 2026"},"type":"article","timestamp":"2026-04-22T20:15:03.154908545Z","server_sent_at_ms":1776888903154},"received_at":"2026-04-22T20:15:20.236Z","source_url":null},"analysis":{"id":"4028","press_release_id":"5507","analysis_json":{"industry":{"label":"Equity Real Estate Investment Trusts (REITs)","sector":"Real Estate"},"redFlags":["Net loss widened to $(48.9) million from $(27.4) million year-over-year","FFO per share declined year-over-year from $0.14 to $0.11"],"eventType":"earnings","narrative":"Brandywine Realty Trust reported first quarter FFO of $0.11 per share, down from $0.14 in the prior year, as net loss widened to $48.9 million due to impairment charges.\n\nThe company narrowed its 2026 FFO guidance range to $0.52-$0.58 per share from $0.51-$0.59, keeping the midpoint steady while raising the floor.\n\nOperational metrics improved with leasing activity reaching 268,000 square feet and same-store NOI increasing 3.3% on a cash basis.","sentiment":"neutral","agentHooks":{"shouldPost":false,"suggestedAngle":"Guidance midpoint holds despite Q1 FFO dip; leasing momentum builds."},"keyFigures":{"guidance":"FFO $0.52 - $0.58 per diluted share","customDimensions":{"occupancy":"88.3%","ffo_per_share":0.11,"same_store_noi_cash":"3.3%"}},"quotedText":"During the first quarter, we made excellent progress on our 2026 business plan highlighted by achieving 94% of our speculative revenue target based on the midpoint of our guidance.","namedEntities":{"people":[{"name":"Jerry Sweeney","role":"President and Chief Executive Officer"},{"name":"Tom Wirth","role":"EVP & CFO"}],"products":["Avira","3025 JFK"],"companies":[{"name":"Brandywine Realty Trust","ticker":"BDN"}],"dollarAmounts":[{"amount":"$290 million","context":"disposition target"},{"amount":"$305 million","context":"dispositions under agreement or in due diligence"},{"amount":"$100 million","context":"financing for Avira"},{"amount":"$600 million","context":"unsecured line of credit"},{"amount":"$65 million","context":"outstanding balance on line of credit"},{"amount":"$11.9 million","context":"non-cash impairment charges"},{"amount":"$20.0 million","context":"Funds from Operations (FFO)"},{"amount":"$0.11","context":"FFO per diluted share"},{"amount":"$0.08","context":"quarterly cash dividend per common share"},{"amount":"$178 million","context":"3025 JFK Construction Loan"}]},"materialImpact":{"score":3,"reasoning":"Quarterly earnings report showed a year-over-year decline in FFO and a widening net loss, though the full-year guidance midpoint remained unchanged with a narrowed range. No market-moving binary events or significant surprises."},"tickerRelevance":{"others":[],"primary":"BDN"},"eventTypeSecondary":["guidance_update"]},"event_type":"earnings","event_type_secondary":["guidance_update"],"sentiment":"neutral","material_impact_score":3,"narrative":"Brandywine Realty Trust reported first quarter FFO of $0.11 per share, down from $0.14 in the prior year, as net loss widened to $48.9 million due to impairment charges.\n\nThe company narrowed its 2026 FFO guidance range to $0.52-$0.58 per share from $0.51-$0.59, keeping the midpoint steady while raising the floor.\n\nOperational metrics improved with leasing activity reaching 268,000 square feet and same-store NOI increasing 3.3% on a cash basis.","key_figures":{"guidance":"FFO $0.52 - $0.58 per diluted share","customDimensions":{"occupancy":"88.3%","ffo_per_share":0.11,"same_store_noi_cash":"3.3%"}},"named_entities":{"people":[{"name":"Jerry Sweeney","role":"President and Chief Executive Officer"},{"name":"Tom Wirth","role":"EVP & CFO"}],"products":["Avira","3025 JFK"],"companies":[{"name":"Brandywine Realty Trust","ticker":"BDN"}],"dollarAmounts":[{"amount":"$290 million","context":"disposition target"},{"amount":"$305 million","context":"dispositions under agreement or in due diligence"},{"amount":"$100 million","context":"financing for Avira"},{"amount":"$600 million","context":"unsecured line of credit"},{"amount":"$65 million","context":"outstanding balance on line of credit"},{"amount":"$11.9 million","context":"non-cash impairment charges"},{"amount":"$20.0 million","context":"Funds from Operations (FFO)"},{"amount":"$0.11","context":"FFO per diluted share"},{"amount":"$0.08","context":"quarterly cash dividend per common share"},{"amount":"$178 million","context":"3025 JFK Construction Loan"}]},"model_name":"glm-4.7","prompt_hash":"sha256:2f2748f0fcc8c4f2","schema_hash":"sha256:ad96b863d7123008","created_at":"2026-04-22T23:10:13.269Z","global_importance":3,"audience_relevance":3,"importance_components":{"method":"backfill-heuristic","signals":{"bodyLong":false,"headlineTier1":false,"tickerCovered":false,"hadSignificance":false},"version":1,"computedAt":"2026-04-27T11:52:54.495Z"}},"durationMs":61661,"modelName":"glm-4.7"}}