People shop at the Woodbury Common Premium Outlets, owned by the Simon Property Group in Central Valley, New York, U.S., February 15, 2022.
Peer company Regency Centers also raised its annual FFO target last week, noting robust leasing activity across its properties.
As of September 30, 2025, Simon Property reported occupancy of 96.4% at its malls and premium outlets, compared with 96.2% a year earlier. Base minimum rent per square foot increased to $59.14 from $57.71 over the same period.
For the third quarter, Simon Property Group recorded real estate FFO of $3.22 per share, up from $3.05 per share in the same quarter last year. Lease income revenue rose to $1.45 billion, compared with $1.34 billion in the prior year, reflecting steady growth across its portfolio.
The company’s updated guidance and strong quarterly results underscore resilience in the commercial real estate sector, particularly within high-quality retail and premium outlet properties. Analysts note that the combination of high occupancy rates, rising rents, and consistent demand from established tenants positions Simon Property to continue generating stable cash flows for investors.
The results highlight the ongoing strength of consumer engagement at Simon Property’s retail centers, which remain attractive to both luxury and mainstream brands seeking reliable foot traffic and sales performance. The firm’s focus on maintaining high occupancy and optimizing rent per square foot has contributed to its positive outlook for the remainder of 2025.
Overall, Simon Property Group’s performance indicates that well-located retail assets continue to benefit from resilient leasing trends, supporting higher FFO expectations and demonstrating the REIT’s ability to deliver value amid evolving market conditions.
