Alexandria Real Estate Equities, Inc. reported a $638.5 million third-quarter loss as $637.9 million in impairment charges and lower occupancy weighed on results at the life sciences landlord.
The loss attributable to common stockholders was $3.74 per diluted share for the three months ended Sept. 30, 2026, compared with $234.9 million, or $1.38 per diluted share, in 2025. Alexandria said the charge mainly reflected lower valuations on properties designated as held for sale.
Revenue fell to $671.2 million from $751.9 million a year earlier. Interest expense rose to $79.7 million from $54.9 million.
Adjusted funds from operations (adjusted FFO), Alexandria’s supplemental REIT measure, totaled $264.4 million attributable to common stockholders, or $1.54 per diluted share. The year-earlier quarter recorded $377.8 million, or $2.22 per diluted share. Alexandria adjusts this measure for real estate depreciation, impairment and other items, so it is separate from the company’s GAAP loss.
For the first nine months of 2026, the net loss was $351.4 million, or $2.06 per diluted share, compared with $356.1 million, or $2.09 per diluted share, a year earlier. Adjusted FFO for the period was $856.5 million, or $5.00 per diluted share, down from $1.1663 billion, or $6.85 per diluted share.
Same-property net operating income fell 6.7%, or 2.8% on a cash basis. Alexandria attributed the decline mainly to lower occupancy after lease expirations, with expected downtime affecting 282,878 rentable square feet during the quarter. Leasing totaled 1,236,030 rentable square feet, the company’s highest quarterly volume since the fourth quarter of 2024. Rental rates on renewals and re-leasing declined 2.4%, or 3.3% on a cash basis.
Alexandria’s 2026 adjusted FFO guidance was $6.38 to $6.42 per diluted share, leaving its $6.40 midpoint unchanged from Aug. 3. The company expects to introduce 2027 guidance at its Dec. 2 investor day. It scheduled a results call for 2 p.m. ET Tuesday, Oct. 27.
