REAL ESTATE ACTIVITY

12 Months Ended

Dec. 31, 2025

Real Estate Investments, Net [Abstract]


4. REAL ESTATE ACTIVITY

Acquisitions—The following table summarizes our real estate acquisition activity for the years ended December 31, 2025, 2024, and 2023 (dollars in thousands):


	2025		2024		2023
Number of properties acquired	13		12		11
Number of outparcels and land for future development acquired(1)(2)	4		4		3
Contract price	$	356,924	$	294,002	$	278,480
Total price of acquisitions(3)	360,211		296,268		270,262

(1)Outparcels acquired are adjacent to shopping centers that we own.

(2)During the year ended December 31, 2024, we acquired an outparcel adjacent to a property that is owned by our unconsolidated joint venture, GRP I. Therefore, the outparcel was an addition to our total property count.

(3)Total price of acquisitions includes closing costs less credits and assumed liabilities.

Subsequent to December 31, 2025, we acquired two properties and one parcel of land for future development for $77.0 million.

The aggregate purchase price of the assets acquired during the years ended December 31, 2025 and 2024 was allocated as follows (in thousands):


	2025		2024
ASSETS
Land and improvements	$	124,118	$	85,916
Building and improvements	219,815		198,979
In-place lease assets	31,639		29,052
Above-market lease assets	2,634		2,179

Total assets	378,206		316,126

LIABILITIES

Below-market lease liabilities	17,995		19,633
Other liabilities assumed	—		225
Total liabilities	17,995		19,858

Net assets acquired	$	360,211	$	296,268

The weighted-average amortization periods for in-place, above-market, and below-market lease intangibles acquired during the years ended December 31, 2025 and 2024 were as follows (in years):


	2025	2024
Acquired in-place leases	7	11
Acquired above-market leases	9	8
Acquired below-market leases	13	16

Property Dispositions—The following table summarizes our real estate disposition activity for the years ended December 31, 2025, 2024, and 2023 (dollars in thousands):


	2025		2024		2023
Number of properties sold	9		—		1
Number of outparcels sold	1		—		2
Contract price	$	145,326	$	—	$	6,250
Proceeds (payments) from sale of real estate, net(1)(2)(3)(4)	121,655		(17)		7,208
Gain (loss) on disposal of property, net(2)(3)	38,790		(30)		1,110

(1)Total proceeds from sale of real estate, net includes closing costs less credits and secured loans received.

(2)Activity for the year ended December 31, 2023 includes land acquired from us by local authorities.

(3)We sold no properties during the year ended December 31, 2024, but we recognized a minimal loss on disposal of property due to miscellaneous write-off activity and expenses related to previous and future potential dispositions.

(4)During the year ended December 31, 2025, one of our property sales included a seller financing component. We sold the property for $24.9 million and provided secured financing, receiving a note receivable of $17.4 million.

Hurricanes Helene and Milton - In late September and early October 2024, Hurricanes Helene and Milton struck the southeast United States and caused various amounts of damage to our properties located in the region. During 2024, we recorded gross cumulative accelerated depreciation of $1.4 million.

Phillips Edison & Company, Inc. 10-K