SITE Centers Corp.

What they do

The Company owns, leases, redevelops and manages shopping centers. As of June 30, 2026, it held 14 shopping centers, 10 of them through the Dividend Trust Portfolio (DTP) joint venture, totaling roughly 3.9 million square feet of gross leasable area, plus two adjacent office buildings in Beachwood, Ohio, of about 339,000 square feet that include its headquarters. Revenue comes mainly from contractual lease payments from tenants, with additional fee and other income from unconsolidated joint ventures and Curbline Properties.

Revenue drivers

• Base and percentage rental income — Core revenue line; $75.1 million in 2025 versus $193.6 million in 2024, a $118.5 million decline driven mostly by $116.3 million from property dispositions.
• Recoveries from tenants — Tenant reimbursements of operating expenses and real estate taxes; $26.7 million in 2025 versus $70.4 million in 2024, representing 65.8% of operating expenses and real estate taxes in 2025 versus 80.4% in 2024.
• Fee and other income — Includes $8.4 million in 2025 from resolution of Florida condemnation proceedings at Shoppes at Paradise Pointe plus fees from unconsolidated joint ventures and Curbline Properties; $20.1 million in 2025 versus $8.2 million in 2024.
• Lease termination, ancillary and other rental income — $1.4 million in 2025 versus $4.7 million in 2024; a small residual revenue line as the portfolio shrinks.

Recent performance

Second quarter 2026 net loss was $1.3 million, or $0.03 per diluted share, versus net income of $46.5 million, or $0.88 per diluted share, a year earlier. Operating FFO was a loss of $4.6 million, or $0.09 per diluted share, compared with income of $8.3 million, or $0.16 per diluted share. First-half 2026 revenue was $23.7 million (second quarter $10.7 million plus first quarter $13.0 million) and net loss was $0.4 million. The Company sold Meadowmont Crossings and the Pike Outlets for $61.1 million gross, with net proceeds of about $56.5 million, and reported a leased rate of 82.5% at June 30, 2026, down from 87.8% at December 31, 2025. Year to date, five properties, a land parcel and a joint venture interest were sold for aggregate gross prices of about $167.8 million.

Strategy

Management is monetizing the DTP joint venture and selling the remaining wholly-owned properties, while holding an elevated $238.9 million of unrestricted cash to preserve options. Sale agreements are in place for Shoppes at Paradise Pointe for about $8.4 million and The Maxwell for about $15.3 million, with closings expected by the end of the third quarter of 2026. On June 29, 2026, the Company delivered a buy-sell notice to its DTP partner, requiring the partner to decide by August 31, 2026 whether to buy SITE's 20% interest for roughly $32.4 million or sell its 80% interest to SITE for roughly $129.6 million, with closing no later than October 15, 2026. A $1.00 per share special dividend was declared and paid on July 31, 2026.

Risks

• Difficulty selling remaining assets — The Company may not sell its remaining real estate at attractive prices or at all, and The Blocks (Portland, Oregon) condominium units face challenging local conditions and vacancy.
• DTP joint venture resolution — Monetizing the DTP investment depends on partner cooperation and consent rights; no assurance exists that the partner will comply with the buy-sell notice.
• Declining operating metrics — The leased rate fell to 82.5% at June 30, 2026 from 87.8% at December 31, 2025, and recovery of operating expenses and real estate taxes fell to 65.8% in 2025 from 80.4% in 2024.
• Wind-up costs and potential taxation — Pursuing the strategy may subject the Company to U.S. federal income tax, and it expects significant costs to wind up the business and to establish a reserve fund for expenses and claims.

Outlook

Management states it remains focused on maximizing value through additional asset sales and resolution of the DTP joint venture. Closings for Shoppes at Paradise Pointe and The Maxwell are expected by the end of the third quarter of 2026, and the DTP buy-sell process should conclude no later than October 15, 2026. Several factors could affect timing, including general economic conditions, local market conditions, Curbline Properties' option to lease space in the Beachwood headquarters, and partner cooperation. The Company expects to maintain a higher cash balance pending the DTP resolution and cannot assure the timing or amount of future distributions.