CBL & ASSOCIATES PROPERTIES INC
For the period ended Jun 30, 2025. Filed Aug 6, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Aug 6, 2025
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-05.
0000950170-25-063585
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-08-06.
0000950170-25-103884
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 37 previous paragraphs and 48 current paragraphs.
27 unchanged; 7 reworded; 6 added; 3 removed; 0 previous and 8 current paragraphs rearranged.
Tables are not compared: 1 previous and 1 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (6)
Current report
Rental revenues were $12.4 million higher; and
Current report
Interest expense was $4.6 million higher;
Current report
Rental revenues were $25.7 million higher; and
Current report
Interest expense was $9.0 million higher;
Current report
The WPG acquisition also furthers our goal of enhancing returns to shareholders. Supported by the incremental cash flow growth from the WPG acquisition, our board of directors has authorized a 12.5% increase in the regular common dividend to an annualized rate of $1.80 per share. This is in addition to the special cash dividend of $0.80 per share paid in March 2025 and the board of director's authorization of a new $25 million stock repurchase program in May 2025.
Current report
Additionally, we have made significant progress on our balance sheet in recent months. In July 2025, we announced a new $78.0 million non-recourse loan secured by Cross Creek Mall in Fayetteville, NC. The new five-year loan bears a fixed interest rate of 6.856%, a more than 130 basis point improvement over the prior rate. We also expanded our existing non-recourse open-air centers and outparcels loan with the WPG acquisition, extending the overall loan maturity by seven years and fixing the rate on the majority of the loan amount. These financings strengthen our balance sheet by extending our maturities, reducing interest rate risk, locking in attractive returns and increasing cash flow generation. While the industry and our Company continue to face challenges, some of which may not be in our control, we believe that the strategies in place to improve occupancy, diversify our tenant mix and redevelop our properties will continue to contribute to stabilization of our portfolio and revenues in future years.
Removed paragraphs (3)
Previous report
Rental revenues were $13.3 million higher;
Previous report
Equity in earnings was $2.3 million higher.
Previous report
Interest expense was $4.4 million higher;
Reworded paragraphs (7)
Previous wording
The following summarizes our net income (loss) and net income (loss) attributable to common shareholders (in thousands):
Current wording
The following summarizes our net income and net income attributable to common shareholders (in thousands):
Previous wording
Gain on sales of real estate assets was $17.8 million higher; and
Current wording
Gain on sales of real estate assets was $1.4 million higher.
Previous wording
Depreciation and amortization expense was $7.5 million higher;
Current wording
Depreciation and amortization expense was $1.0 million higher;
Previous wording
Real estate taxes were $6.5 million higher;
Current wording
Real estate taxes were $2.0 million higher;
Previous wording
Maintenance and repairs expense was $3.5 million higher; and
Current wording
Maintenance and repairs expense was $1.2 million higher; and
Previous wording
Property operating expense was $2.1 million higher.
Current wording
Property operating expense was $2.8 million higher.
Previous wording
Our focus is on continuing to execute our strategy to improve occupancy, drive rent growth and transform the offerings available at our properties to include a targeted mix of retail, service, dining, entertainment and other non-retail uses, primarily through the re-tenanting of former anchor locations as well as diversification of in-line tenancy. This operational strategy is also supported by our balance sheet strategy of reducing overall debt, extending our debt maturity schedule and lowering our overall cost of borrowings to limit maturity risk, as well as improving net cash flow and enhancing enterprise value. While the industry and our Company continue to face challenges, some of which may not be in our control, we believe that the strategies in place to improve occupancy, diversify our tenant mix and redevelop our properties will continue to contribute to stabilization of our portfolio and revenues in future years.
Current wording
Our focus is on continuing to execute our strategy to improve occupancy, drive rent growth and transform the offerings available at our properties to include a targeted mix of retail, service, dining, entertainment and other non-retail uses, primarily through the re-tenanting of former anchor locations as well as diversification of in-line tenancy. This operational strategy is also supported by our balance sheet strategy of reducing overall debt, extending our debt maturity schedule and lowering our overall cost of borrowings to limit maturity risk, as well as improving net cash flow and enhancing enterprise value. In July 2025, we closed on the acquisition of four enclosed malls for $178.9 million (the "WPG acquisition"). The malls include Ashland Town Center in Ashland, KY, Mesa Mall in Grand Junction, CO, Paddock Mall in Ocala, FL, and Southgate Mall in Missoula, MT. The WPG acquisition represents significant progress in the execution of our portfolio optimization strategy as we utilize proceeds from non-core asset sales at single-digit cap rates, such as the $83.1 million sale of The Promenade completed in July 2025, to invest in stable market-dominant malls that generate immediate accretion to our portfolio's free cash flow.
Rearranged current paragraphs (8)
Current report — wording carried from elsewhere
Significant items that affected comparability between the six-month periods include:
Current report — wording carried from elsewhere
Items increasing net income for the six months ended June 30, 2025 compared to the prior-year period:
Current report — wording carried from elsewhere
Gain on sales of real estate assets was $19.2 million higher.
Current report — wording carried from elsewhere
Items decreasing net income for the six months ended June 30, 2025 compared to the prior-year period:
Current report — wording carried from elsewhere
Depreciation and amortization expense was $8.5 million higher;
Current report — wording carried from elsewhere
Real estate taxes were $8.5 million higher;
Current report — wording carried from elsewhere
Maintenance and repairs expense was $4.7 million higher; and
Current report — wording carried from elsewhere
Property operating expense was $4.9 million higher.