Seritage Growth Properties posted first-quarter results for the period ended March 31.
The real estate investment trust said the net loss was $8.3 million, or 27 cents a diluted share. Total revenues were $63 million, comprised of $45.2 million in rental income and $17.8 million in tenant reimbursements. The company said total net operating income was $46.5 million.
Funds from operation were $29.5 million, or 53 cents a diluted share. FFO is considered a standard of measure for how well a REIT is doing. On an adjusted basis, normalized FFO is $32.6 million, or 59 cents a diluted share.
The REIT was created via a spin-off from Sears Holdings Corp., which was completed July 2015. Although the company began reporting earnings once it began trading publicly, Thursday’s report is its first for the first quarter, and there is no prior year first-quarter comparison.
Seritage’s portfolio consists of 235 wholly owned properties and 31 joint venture properties. In the aggregate, the properties consist of 42 million square feet of building space across 49 states and Puerto Rico. Per a master lease, 224 of its wholly owned properties are leased to Sears Holdings and are operated under either the Sears or Kmart nameplate.
The company said it continues to “convert single tenant assets into vibrant multi-tenant shopping centers that command significantly higher rents.”