FSP · 10-Q · 2026Q1 · Full report

Revenue Concentration Risk

FRANKLIN STREET PROPERTIES CORP /MA/ · 2026-04-28 · Importance 37 · Surprise 32

Total revenues decreased $0.9 million to $26.225 million for Q1 2026 versus Q1 2025, primarily due to a decrease in rental revenue attributable to the 2025 sale of a property and lease expirations. The filing attributes the revenue decline to loss of income from the sold asset and expirations exceeding new executed leases; leased space was 68.4% as of March 31, 2026 versus 69.2% as of March 31, 2025. Management notes rental income from leases commencing after March 31, 2025 partially offset the declines. The concentration of portfolio square footage in a handful of markets means property-level dispositions and expirations can have a measurable impact on near-term revenues.

Key facts

• For the three months ended March 31, 2026, rental income exceeded operating expenses for each individual property except Monument Circle's property for the three months ended March 31, 2025.