Taubman was the first regional mall REIT to report results for the third quarter. It did well as its portfolio remains in good shape and it beat analyst forecasts.
Taubman's third-quarter funds from operations (FFO), a key measure of performance for real estate investment trusts, rose to $39.8 million, or 74 cents per share, ahead of the 72 cents analysts on average forecast, according to Reuters Estimates, and up from $36.2 million, or 68 cents per share, a year ago.During the quarter, average rent in its consolidated portfolio rose 3.2 percent to $44.20 per square foot. For unconsolidated joint-venture properties, average rent rose 2.7 percent to $44.48 per square foot
For property the company has owned for at least a year, occupancy rose to 90.6 percent from 90.2 percent.
Third-quarter sales per square foot inched up 0.5 percent after rising 6 percent in the year-ago quarter. Even this year's second-quarter tenant sales had risen 3.3 percent.
"We're pleased to continue to report tenant sales per square foot growth during a time of such economic uncertainty," Robert Taubman, chairman and chief executive, said in a statement. "The consumer clearly moderated spending as the quarter progressed."