HIW · 10-Q · 2026Q1

HIGHWOODS PROPERTIES, INC.

Filed 2026-04-28 · Real Estate

Ranked Events

• Gains on Disposition ChangeImportance 76 · Surprise 82
  Gains on disposition of property were $65.3 million lower in Q1 2026 compared to Q1 2025. The Company recorded gains in 2026 related to building dispositions in Richmond totaling $17.0 million from three buildings sold…
• Refinancing Risk and CovenantsImportance 66 · Surprise 48
  The Company has no debt scheduled to mature within one year from April 28, 2026 except for $300.0 million principal amount of unsecured notes maturing in March 2027, creating a near-term refinancing need. The Company…
• Acquisition / Partnership / DivestitureImportance 65 · Surprise 60
  In Q1 2026 Highwoods acquired Bloc83, a two-building, 492,000 sq ft mixed-use asset in CBD Raleigh, via a joint venture with the North Carolina Investment Authority in which Highwoods initially owns 10.0%, part of an…
• Non-core Asset DispositionsImportance 64 · Surprise 42
  The Company expects to sell up to $250.0 million of properties during the remainder of 2026 that are no longer considered core due to location, age, quality and/or strategic fit. Proceeds from such dispositions are…
• Planned Non-core Asset SalesImportance 64 · Surprise 42
  Management expects to sell up to $250.0 million of properties classified as non-core during the remainder of 2026 to optimize portfolio quality and fund capital needs. The Company said proceeds from such dispositions…
• Equity Distribution AgreementImportance 64 · Surprise 42
  During Q1 2026 Highwoods entered into equity distribution agreements with seven dealers under which it may offer and sell up to $300.0 million in aggregate gross proceeds of Common Stock, including via forward sale…
• Capital Return ProgramImportance 64 · Surprise 42
  During Q1 2026 the Company entered equity distribution agreements with multiple firms under which it may sell up to $300.0 million in aggregate gross proceeds of Common Stock from time to time, although no shares were…
• Acquisitions and DispositionsImportance 59 · Surprise 60
  During Q1 2026 the Company acquired Bloc83, a two-building, 492,000 square foot mixed-use asset in CBD Raleigh via a joint venture with the North Carolina Investment Authority (NCIA), in which Highwoods initially owns…
• Joint Venture FinancingImportance 58 · Surprise 42
  Highwoods contributed $19.3 million of preferred equity to the Granite Park Six joint venture (50% owned by Highwoods) in Q1 2026 to pay off the $16.2 million outstanding balance of a construction loan. On April 23,…
• Interest Rate and Refinancing ExposureImportance 49 · Surprise 24
  The Company has a $750.0 million unsecured revolving credit facility scheduled to mature in January 2028, which can be extended for two additional six-month periods at the Company's option assuming no defaults. The…
• Revolving Credit FacilityImportance 49 · Surprise 6
  Highwoods' unsecured revolving credit facility has a $750.0 million capacity and is scheduled to mature in January 2028, with two additional six‑month extensions available at the Company’s option. The facility's…
• Outstanding IndebtednessImportance 49 · Surprise 6
  As of March 31, 2026, the Company reported mortgages and notes payable, net, at recorded book value of $3,703,498 (in thousands). Of this, $701.3 million was secured indebtedness at a weighted average interest rate of…
• Rental Rate / Leasing SpreadsImportance 48 · Surprise 40
  Annual combined GAAP rents for new and renewal office leases signed in Q1 2026 were $39.45 per rentable square foot, which management states is 19.4% higher compared to previous leases in the same office spaces. In Q1…
• Quarterly Results SnapshotImportance 43 · Surprise 32
  Rental and other revenues were $13.7 million, or 6.8%, higher in Q1 2026 versus Q1 2025, driven by $16.3 million from property acquisitions in Raleigh, Charlotte and Dallas and $1.7 million of higher consolidated same…
• Dividends and DistributionsImportance 41 · Surprise 6
  On April 22, 2026 the Company declared a cash dividend of $0.50 per share of Common Stock payable on June 9, 2026 to holders of record as of May 18, 2026. The Company also declared and paid a $0.50 per share cash…
• Tenant Credit and ConcentrationImportance 32 · Surprise 24
  Highwoods maintains an internal guideline to review customers that account for more than 3% of revenues with the Board; as of March 31, 2026 only Bank of America (4.2%) and Asurion (3.4%) exceeded that threshold of…
• Operating Expense TrendsImportance 31 · Surprise 32
  Rental property and other expenses rose $6.1 million, or 9.4%, in Q1 2026 versus Q1 2025, driven by incremental expense from recent property acquisitions and higher consolidated same property operating expenses.…
• Occupancy and Leasing ActivityImportance 31 · Surprise 32
  Occupancy in Highwoods' office portfolio ticked down slightly to 85.0% as of March 31, 2026 from 85.3% at December 31, 2025, and the company expects average occupancy of 85.5% to 86.5% for the remainder of 2026. The…
• Geographic Market CommentaryImportance 29 · Surprise 30
  Highwoods focuses on owning and operating high-quality office buildings in best business districts (BBDs) across Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond and Tampa. Management expects NOI to be…
• Revenue Concentration RiskImportance 26 · Surprise 24
  As of March 31, 2026 only two customers exceeded the Company’s internal 3% revenue review guideline: Bank of America at 4.2% and Asurion at 3.4% of annualized GAAP revenues. Management maintains an internal policy to…

Revenue by Geography (in thousands)