The Macerich Company (MAC): Business Model Canvas [Dec-2025 Updated]

You're digging into how a major player in physical retail, The Macerich Company, actually makes its money in this tricky post-pandemic landscape. Honestly, their business model isn't just about collecting rent; it's a focused strategy of owning and aggressively evolving a portfolio of premium regional centers, like those hitting an average of $849 in sales per square foot (TTM June 2025). We've mapped out their nine core building blocks-from securing massive debt like their $5.15 billion total to curating tenants to maintain a 93.4% occupancy rate as of Q3 2025-so you can see exactly where the value creation and the risks lie. Dive in below to see the full, precise breakdown of their engine.

The Macerich Company (MAC) - Canvas Business Model: Key Partnerships

You're looking at the relationships The Macerich Company (MAC) relies on to run its portfolio of high-quality regional malls. These partnerships are critical for financing, leasing, and evolving the physical assets.

Joint venture partners for unconsolidated properties and financing

The Macerich Company actively manages debt and ownership structures through joint ventures (JVs). As of mid-2025, the company has been simplifying its structure, for example, by acquiring its partner's interest in the Pacific Premier Retail Trust (PPRT) portfolio for $122 million in late 2024, achieving 100% ownership in Los Cerritos Center, Washington Square, and Lakewood Center.

Financing activities with partners continue, as shown by the July 30, 2025, closing of the JV sale of Atlas Park for $72 million, which allowed The Macerich Company to repay its portion of a $65 million loan on that property that carried an effective interest rate of 9.3%.

Historically, The Macerich Company established JVs with Heitman (partner in 3 assets with 49% interest) and GIC (partner in 5 assets with 40% interest) on assets valued at $5.4 billion, with expected cash proceeds to The Macerich Company totaling $2.3 billion.

The overarching 'Path Forward' plan targets a significant deleveraging, aiming to reduce debt by $2 billion over the next three to four years, moving the Debt-to-EBITDA ratio from 7.9x (as of late 2024/early 2025) down to the low-to-mid 6s by the end of 2028.

National and international anchor and specialty retailers (tenants)

Tenant partnerships drive the core revenue stream, with leasing velocity showing significant improvement in 2025. Year-to-date through September 30, 2025, The Macerich Company signed 5.4 million square feet of new and renewal leases, marking an 86% increase compared to the same period in 2024.

The third quarter of 2025 saw 1.5 million square feet of leases signed, which is an 87% uptick from Q3 2024. Trailing 12-month leasing spreads as of September 30, 2025, were 5.9%.

The quality of the tenant base is reflected in sales performance. For spaces under 10,000 square feet, trailing 12-month tenant sales ended June 30, 2025, at $849 per square foot, up from $835 per square foot the prior year.

The Macerich Company is focused on securing high-profile tenants and re-leasing vacant anchors:

• The Macerich Company has 9 committed locations with House of Sport.
• Primark opened at Tysons Corner Center.
• Hermès opened at Scottsdale Fashion Square.
• 30 anchors are targeted to open between 2025 and 2028, with 25 already committed to uses including sporting goods, fashion, entertainment, and grocery.

The go-forward portfolio occupancy stood at 92.8% as of June 30, 2025. The CEO is targeting completion of leasing initiatives by year-end 2026.

Financial institutions for securing large-scale mortgage debt (e.g., $340 million Washington Square loan)

Securing favorable debt terms from financial institutions is a key partnership area. The Macerich Company closed on a new $340 million, ten-year mortgage loan for Washington Square on March 27, 2025. This loan bears a fixed interest rate of 5.58% and matures on April 6, 2035.

This new financing replaced the prior Washington Square mortgage, which was $478.0 million and had a 2026 maturity date, repaid in November 2024.

The Macerich Company had approximately $995 million of liquidity as of the filing date in May 2025, including $650 million of available capacity on its revolving line of credit.

The company is investing capital into its portfolio, with $1.2 billion allocated for development, tenant allowance, and capital expenditures.

Contractors and developers for property redevelopment and expansion (e.g., Green Acres)

The Macerich Company partners with developers and contractors to execute its redevelopment pipeline, which includes a significant investment of $1.2 billion across the portfolio for development and capital.

A major focus is the Green Acres Mall redevelopment in Valley Stream, New York, an up to 400,000-square-foot project estimated to cost between $130 million and $150 million. This project includes adding an 80,000-square-foot ShopRite supermarket and new tenants like The Cheesecake Factory, Shake Shack, and Sephora.

The Macerich Company also executed external growth, acquiring the Crabtree Mall in Raleigh, NC, for $290 million on June 23, 2025. This Class A center totals approximately 1.3 million square feet.

Other redevelopment partnerships include naming Pindustry as the entertainment anchor for the HiFi Redevelopment at FlatIron Crossing.

Technology and data providers for the new five-year operating platform

Operational efficiency is being enhanced through technology partnerships. The Macerich Company is implementing a five-year operating platform for forecasting, which is currently in its mid-development stage.

The existing online leasing platform streamlines processes for smaller businesses, allowing prospects to review lease documents, which have been shortened to as little as five pages, sign the lease, and pay rent digitally.

The Macerich Company (MAC) - Canvas Business Model: Key Activities

You're looking at the core actions The Macerich Company takes to run its portfolio and execute its strategic transformation. It's all about maximizing the value of their Class A centers through active management and financial discipline.

Active leasing and tenant mix curation is central, aiming to keep the portfolio full with high-quality tenants. This activity directly impacts the top-line performance of the properties.

The Macerich Company reported portfolio occupancy at the end of the third quarter of 2025 was 93.4%. The go-forward portfolio occupancy was even stronger at 94.3% as of the same date. Leasing volume has been high, with year-to-date signed leases in 2025 reaching 5.4 million square feet.

Here's a snapshot of leasing performance as of Q3 2025:

Strategic asset management involves pruning the portfolio to focus on core assets and making opportunistic buys. This is a key driver for the Path Forward Plan.

The acquisition of Crabtree Mall, a 1.3 million square foot Class A center in Raleigh, NC, was completed for $290 million. The Macerich Company anticipates an initial yield of approximately 11% on this transaction based on estimated 2025 NOI. The company has completed over $1.2 billion in mall sales as part of the plan.

Key asset management activities include:

• Crabtree Mall acquisition cost: $290 million
• Planned capital investment at Crabtree (2025-2028): $60 million
• Total asset dispositions completed (Path Forward): $1.2 billion
• Remaining 2025 maturing loan: approx. $200 million

Redevelopment and remerchandising focuses on enhancing existing Class A centers to drive higher sales and rents. This is about upgrading the physical product.

The Macerich Company opened 852,000 square feet of new stores year-to-date through September 30, 2025. Redevelopment projects at centers like Scottsdale Fashion Square and FlatIron Crossing are expected to add $36 million to Net Operating Income (NOI).

Property operations, maintenance, and security is the day-to-day work supporting the entire portfolio. This activity covers the physical upkeep and management of the real estate footprint.

The Macerich Company's operating partnership owned or had an interest in 42 million square feet of Gross Leasable Area (GLA) as of a May 2025 filing. The prompt specifies the activity covers 42.2 million square feet of GLA.

Finally, Executing the Path Forward Plan to simplify the business and reduce leverage is the overarching financial activity. This is where balance sheet health is actively managed.

The Macerich Company achieved a net debt to EBITDA ratio of 7.76x at the end of Q3 2025. This represents a full turn lower than where they started the Path Forward plan. The stated goal is to reach the low to mid-6x range. Liquidity stands at approximately $1 billion.

Financial metrics related to leverage reduction include:

• Net Debt to EBITDA (Q3 2025): 7.76x
• Target Leverage Range: low to mid-6x
• Total Liquidity: Approx. $1 billion
• Revolving Line of Credit Capacity: $650 million
• Q3 2025 ATM Proceeds: Approx. $50 million
• ATM Share Price: Weighted average of $18.03 per share

Finance: draft 13-week cash view by Friday.

The Macerich Company (MAC) - Canvas Business Model: Key Resources

You're looking at the core assets that let The Macerich Company operate and compete in the high-end retail real estate sector. These aren't just buildings; they are the high-density, high-performing locations that drive tenant sales and, ultimately, the company's revenue.

The foundation is the physical property base. The Macerich Company owns or has interests in 39 regional retail centers, which are strategically located in dense U.S. markets like California, the Pacific Northwest, and the Metro New York to Washington, D.C. corridor. This concentration in top-tier locations is a major differentiator. The total owned or interest-held real estate amounts to 42.2 million square feet of gross leasable area as of the second quarter of 2025.

Productivity is key here. For the twelve months ended June 2025, the portfolio averaged $849 sales per square foot across all tenants, demonstrating the high quality of the tenant mix and the strength of the underlying real estate.

Financial strength is another critical resource, giving The Macerich Company the ability to manage its existing assets and pursue growth. As of the Trailing Twelve Months ending September 2025, the company reported Total Debt of approximately $5.147 billion (derived from $5,146,640 thousand in result). This access to debt markets is managed under the strategic guidance of the 2024-2028 Path Forward Plan, which has a stated goal of reducing leverage to the low to mid-six times range.

Here's a quick look at some of those core metrics:

Finally, the intangible resource of management expertise, coupled with a proven commitment to Environmental, Social, and Governance (ESG) principles, underpins long-term asset value. The Macerich Company has a strong sustainability track record that is recognized industry-wide. This is evidenced by:

• Achieving the #1 GRESB ranking for the North American retail sector for ten consecutive years (2015-2024).
• Earning the prestigious GRESB Green Star rating based on absolute performance.
• Setting a goal for full net-zero carbon emissions, including the supply chain, by 2040.

The management team is focused on executing the 2024-2028 Path Forward Plan, which includes accelerating leasing efforts, with targets of leasing an average of 4 million square feet in both 2025 and 2026.

Finance: draft 13-week cash view by Friday.

The Macerich Company (MAC) - Canvas Business Model: Value Propositions

For Retailers: High-traffic, dominant retail locations that drive strong tenant sales

The Macerich Company (MAC) offers access to high-performing retail environments, evidenced by strong sales metrics across its portfolio.

Portfolio tenant sales per square foot for space less than 10,000 square feet for the trailing twelve months ended June 30, 2025, reached $849. For the go-forward Portfolio Centers, this metric was even higher at $906 per square foot for the same period. This performance is supported by consistent leasing success; base rent re-leasing spreads were 10.9% greater than expiring base rent for the trailing twelve months ended March 31, 2025. As of June 30, 2025, trailing twelve month leasing spreads remained positive at 10.5%, marking the fifteenth consecutive quarter of positive base rent leasing spreads.

Customer traffic is also a key driver. Traffic levels at The Macerich Company (MAC) Centers for the first half of 2025 increased by 1.6% from 2024 levels for the same time period. For the go-forward portfolio alone, traffic was up 2.1% in the second quarter of 2025. The company is actively growing its tenant base, signing 888 leases for 5.4 million sq. ft. in the first three quarters of 2025, an 85% year-over-year increase in leased square footage. New store leases signed are projected to produce total gross revenue of approximately $80 million at their share in excess of 2024 revenue, with about $54 million expected to impact 2025 through 2028.

For Shoppers: Exceptional, convenient, and evolving retail/dining/experiential destinations

The Macerich Company (MAC) focuses on creating destinations that evolve beyond traditional retail. The company is actively executing on its pipeline of new uses to enhance customer experience.

• The SNO (Stores, New Opportunities) pipeline grew to $99 million as of Q3 2025, on track to exceed $100 million by year-end.
• The company expects $20 million of the SNO pipeline to come online in 2025.
• The Macerich Company (MAC) made a strategic acquisition of Crabtree Mall, a market-dominant, Class A retail center totaling approximately 1.3 million square feet, for approximately $290 million on June 23, 2025.

For Shareholders: Generating consistent returns as a REIT focused on premium assets

The Macerich Company (MAC) delivers value through its focus on premium assets and operational improvements, reflected in its Funds From Operations (FFO) performance and dividend history.

The 2028 FFO per share midpoint target was increased by $0.08 to $1.89 following the Crabtree acquisition.

Flexibility through mixed-use redevelopment opportunities

The Macerich Company (MAC) actively pursues redevelopment to maximize asset value, with several projects underway or recently completed.

The In-Process Developments and Redevelopments pipeline has an estimated Total Cost range of $444 million to $490 million, with a Pro Rata Total Cost estimate between $282 million and $315 million.

• Scottsdale Fashion Square redevelopment, which includes adding residences, Class A office space, and a new hotel, had an expected opening in 2024/2025.
• Green Acres Mall redevelopment is expected to open in 2026, adding approximately 300,000 square feet of new entertainment, dining, and retail brands.
• FlatIron Crossing plans involve re-envisioning the 25-acre outdoor village into a new, mixed-use entertainment district, with an expected opening in 2027.

High-quality, well-located properties in attractive U.S. markets

The portfolio is defined by its concentration in premier U.S. markets and its commitment to sustainability leadership.

The Macerich Company (MAC) owns interests in 39 regional retail centers, comprising 42.2 million square feet of gross leasable area. The portfolio is concentrated in California, the Pacific Northwest, Phoenix/Scottsdale, and the Metro New York to Washington, D.C. corridor. The company has achieved a #1 GRESB ranking for the North American retail sector for ten consecutive years, underscoring its dedication to environmental, social, and governance goals.

As of June 30, 2025, total center occupancy was 92.0%. The company owns 29 regional malls in its consolidated portfolio and 10 in its unconsolidated portfolio, along with two power centers and seven other real estate assets.

The Macerich Company (MAC) - Canvas Business Model: Customer Relationships

You're managing a portfolio of Class A retail centers, so your customer relationships aren't just about keeping the lights on; they're about curating high-productivity environments. The Macerich Company (MAC) structures its customer relationship strategy around dedicated, data-informed teams focused on securing and maintaining top-tier tenants.

The leasing teams are clearly driving significant volume. Year-to-date through the third quarter of 2025, The Macerich Company (MAC) signed 5.4 million square feet in new and renewal leases, which represents an 86% increase compared to the same period in 2024. This velocity is key to their operational plan. Honestly, the focus on quality over just filling space is evident in the leasing spreads.

The Macerich Company (MAC) has achieved 16 consecutive quarters of positive base rent leasing spreads as of September 30, 2025. While the trailing 12-month spread moderated to 5.9% at that point, the first quarter of 2025 showed a TTM spread of 10.9%. This focus on value creation for renewals and new tenants is central to their relationship management.

Proactive property management is backed by strong portfolio metrics. As of the third quarter of 2025, the total portfolio occupancy stood at 93.4%, with the go-forward portfolio at 94.3%. Tenant performance is robust; portfolio sales at the end of Q3 2025 hit $867 per square foot, while the go-forward portfolio achieved $905 per square foot. For context, the entire portfolio averaged $849 sales per square foot over the 12 months ending in June 2025.

Data-driven decision-making is formalized through internal tools. You should know about their internal metric, the leasing speedometer, which tracks revenue completion percentage against their 5-year plan. The initial goal for new lease deals was 70% completion by the end of 2025, a target they hit as of the third quarter. This positions them well for the next milestone: an 85% completion target by mid-2026. Furthermore, the Signed Not Open (SNO) pipeline, which represents future incremental revenue, grew to $99 million as of the third quarter call, with a year-end target of $100 million. Specifically, $25 million of that SNO revenue was projected to be realized in 2025.

The Macerich Company (MAC) manages its lease agreements to lock in long-term value, especially when dealing with tenant turnover. For instance, following the Forever 21 bankruptcy, they secured commitments on 74% of that recaptured square footage, noting the replacement brands are paying 'significantly more rent'. This focus on quality replacement tenants extends to future expirations, showing a managed approach to lease lifecycle.

Here's a quick look at how they are managing near-term lease obligations:

The relationship strategy also involves managing the pipeline for future revenue recognition. The Macerich Company (MAC) has 888 leases signed for 5.4 million square feet in the first three quarters of 2025. They are clearly prioritizing high-quality tenants, as shown by the successful replacement of vacated space and the consistent positive leasing spreads, which is definitely a sign of strong tenant relationships in their core markets.

The Macerich Company (MAC) - Canvas Business Model: Channels

You're looking at how The Macerich Company gets its value proposition-premium, community-focused retail destinations-to its customers, which include tenants, shoppers, and investors. The channel strategy is a mix of physical presence, digital outreach, direct sales efforts, and transparent financial communication.

Physical retail centers (regional malls) in key U.S. metropolitan areas

The core channel is the physical property itself. As of late 2025, The Macerich Company operates a portfolio concentrated in affluent and densely populated U.S. markets, like California, Phoenix/Scottsdale, and the Northeast corridor. This physical network is the primary delivery mechanism for the retail experience.

The leasing team is driving significant activity through these centers. Year-to-date through the third quarter of 2025, The Macerich Company signed leases for 5.4 million square feet across the total portfolio, marking an 86% increase compared to the same period in 2024. The company is on track to meet its initial goal of 70% new lease deal completion by the end of 2025.

Performance within the physical centers shows strong tenant health and pricing power:

The Macerich Company also uses strategic capital deployment as a channel to enhance its physical assets, such as the acquisition of Crabtree Mall in the Raleigh-Durham market for $290 million during the second quarter of 2025.

Digital platforms for marketing, events, and driving foot traffic

The Macerich Company uses its digital ecosystem to support the physical centers, keeping its brand and retailers front and center with shoppers. This involves dynamic digital channels, social media interactions, and property websites. It's a recognition that today, nearly 97% of users check a company's online presence before deciding to visit a physical location.

The digital channel strategy includes:

• Engaging shoppers through social media platforms like Facebook and Instagram with on-trend lifestyle content.
• Utilizing a robust set of digital touchpoints, including a popular Text Concierge service.
• Investing in omni-channel service enhancements with technology partners to evolve the shopper experience.
• Amplifying retailer brands through in-mall digital displays and graphics.

The Macerich Company also drives traffic through physical activations and events, such as fashion shows and celebrity appearances, which are then amplified across these digital platforms.

Direct sales teams for leasing and business development

The leasing teams act as the direct sales force, responsible for securing tenants and driving the revenue stream. Their success is measured by the volume of square footage leased and the resulting rent spreads. The leasing team's efforts have resulted in a Signed Not Open (SNO) pipeline that reached $99 million as of the Q3 2025 earnings call, with a year-end target of $100 million.

For new deals signed in the trailing twelve months ending Q1 2025, The Macerich Company achieved a leasing spread of 22%. The company is actively managing its leasing pipeline, with 74% of square footage that became vacant (like the space formerly occupied by Forever 21) already having commitments as of Q3 2025.

Investor Relations website for communicating financial results and strategy

The Investor Relations website, located at investing.macerich.com, is the dedicated channel for communicating financial performance and strategic direction to stockholders and analysts. This channel is used to post SEC filings, supplemental information, and earnings releases, such as the Third Quarter 2025 Earnings Results released on November 4, 2025.

Key financial metrics communicated through this channel as of late 2025 include:

• Third Quarter 2025 Funds From Operations (FFO) per share: 35 cents.
• Third Quarter 2025 Revenues: $253.3 million.
• Total Liquidity (as of Nov. 4, 2025): approximately $1 billion.
• Revolving Line of Credit Capacity: $650 million.
• Net Debt to EBITDA (Q3 2025): 7.76x.

Furthermore, The Macerich Company uses this platform to highlight its commitment to corporate governance and sustainability, noting its #1 Global Real Estate Sustainability Benchmark (GRESB) ranking for the North American retail sector for ten consecutive years (2015-2024).

The Macerich Company (MAC) - Canvas Business Model: Customer Segments

You're looking at the core groups The Macerich Company (MAC) serves as of late 2025, based on their latest operational filings.

National and international high-end and mass-market retailers

The Macerich Company (MAC) focuses on attracting retailers whose performance supports the high-quality nature of their centers. The strength of these tenants is reflected in their sales productivity metrics across the portfolio.

For the trailing twelve months ended September 30, 2025, portfolio tenant sales per square foot for spaces less than 10,000 square feet reached $867, up from $834 year over year. For the go-forward portfolio specifically, sales per square foot were $905 for the same period. Leasing momentum shows these retailers are committing to the properties; for the trailing twelve months ended September 30, 2025, base rent re-leasing spreads were 5.9% greater than expiring base rent, marking the sixteenth consecutive quarter of positive spreads.

Local and regional specialty tenants and food/beverage operators

The Macerich Company (MAC) continually assesses and fine-tunes each center's tenant mix, which includes both national anchors and smaller, specialized operators. The leasing team signed 1.5 million square feet of new and renewal leases in the third quarter of 2025. The company is actively working to replace underperforming tenants, including securing commitments on 74% of the former Forever 21 square footage with 'much better brands paying significantly more rent'.

Consumers/shoppers in densely populated, high-income trade areas

The Macerich Company (MAC) owns interests in 39 regional retail centers consisting of 42 million square feet of real estate. The portfolio is concentrated in markets like California, the Pacific Northwest, Phoenix/Scottsdale, and the Metro New York to Washington, D.C. corridor, which are characterized as densely populated and attractive U.S. markets. The overall portfolio occupancy rate as of September 30, 2025, stood at 93.4%, while the Go-Forward Portfolio Center occupancy was 94.3%.

The company is focused on advancing environmental goals, having achieved a number one GRESB ranking for the North American retail sector for ten consecutive years.

Institutional investors and public shareholders (as a REIT)

As a fully integrated, self-managed, and self-administered real estate investment trust (REIT), The Macerich Company (MAC) serves a large base of public shareholders and institutional money managers. Institutional investors and hedge funds own 87.38% of the company's stock as of late 2025.

Key institutional holders include major firms with significant positions:

• JPMorgan Chase & Co. owned over 6,652,710 shares as of Q2 2025.
• Geode Capital Management LLC owned over 6,498,679 shares as of Q2 2025.
• T. Rowe Price Investment Management Inc. owned over 6,130,323 shares as of Q1 2025.
• Northern Trust Corp owned over 4,357,185 shares as of Q1 2025.

The company reported a Funds From Operations (FFO) per share of 35 cents for the third quarter of 2025.

Joint venture partners and lenders

The Macerich Company (MAC) is actively managing its capital structure, which involves relationships with lenders and joint venture partners. The company has a stated goal to reduce debt by $2 billion as part of its Path Forward plan. Liquidity as of November 4, 2025, was around $1 billion, including $650 million of available capacity on its revolving line of credit.

The Macerich Company (MAC) is open to using joint ventures to effectuate its strategy moving forward. Recent activity included the joint venture closing on the sale of Atlas Park for $72 million in July 2025, with net proceeds used to repay a portion of a loan. The company also acquired Crabtree Mall in June 2025 for approximately $290 million.

Finance: draft 13-week cash view by Friday.

The Macerich Company (MAC) - Canvas Business Model: Cost Structure

You're looking at the hard costs Macerich Company (MAC) shoulders to keep its high-end regional malls operating and growing. For a real estate investment trust (REIT) focused on premier properties, the cost structure is heavily weighted toward debt service and property upkeep, but the current investment cycle adds significant capital outlay.

Significant interest expense on mortgage notes payable is a major fixed cost. Even with efforts to shed debt, the balance sheet carries substantial leverage. While the prompt specifies a figure, recent data shows the debt load is in that ballpark. For instance, as of June 2025, one report indicated debt at approximately $5.08 billion. The cost of servicing this debt, the interest expense, fluctuates with market rates. For the fiscal quarter ending in June 2025, Macerich reported $71.92 million in Interest Expense on Debt. Looking at the first quarter of 2025, the reported interest expense was $69,074 thousand (or $69.074 million). This is a key area where refinancing decisions directly impact near-term profitability, especially as older, lower-rate loans mature.

Property operating expenses are the day-to-day costs of running these massive centers. These costs cover the essentials that keep centers safe, attractive, and functional for tenants and shoppers. For the three months ended March 31, 2025, Shopping Center and Operating Expenses totaled $85,163 thousand. For the full year ended December 31, 2024, these expenses amounted to $306,868 thousand. These figures encompass utilities, property taxes, common area maintenance, and security.

The current strategy involves a substantial capital expenditure push. Macerich is actively investing $1.2 billion into the portfolio for development, tenant allowances, and general capital projects. This investment is aimed at driving future Net Operating Income (NOI) growth. Breaking down the leasing-related capital costs, for the twelve months ended December 31, 2024, total tenant allowances and deferred leasing charges were $343.6 million. For the first quarter of 2025 alone, tenant allowances and deferred leasing charges were $42.3 million.

General and administrative expenses (G&A) cover the corporate overhead required to manage the portfolio. Macerich has stated an intent to grow the business rather than aggressively cut G&A. For the three months ended March 31, 2025, REIT general and administrative expenses were $7,612 thousand. Looking at the full year 2024, the REIT G&A expenses were $28,145 thousand.

Finally, the costs associated with portfolio refinement, such as asset dispositions, factor in. While these often result in gains, the process involves transaction costs and potential write-downs. For example, in 2024, Macerich recognized a gain of $42.8 million from the sale of its interest in Biltmore Fashion Park and a $0.8 million gain on the sale of a parcel at Valle Vista Mall. Impairment charges, if any, would be reflected in the GAAP results, but the focus on core assets suggests active management of the asset base.

Here's a look at the key expense components based on the latest available full-year and quarterly data:

The planned $1.2 billion investment is a forward-looking cost commitment that will shape the expense structure for the next few years. This spend is intended to be funded from cash flow, dispositions, and potentially joint ventures, but it represents a significant planned outlay against the current debt load of $5.15 billion (as per your required figure).

You should track the quarterly breakdown of leasing capital closely, as it shows the immediate cash impact of securing new tenants:

• Tenant Allowances & Deferred Leasing Charges (Q1 2025): $42.3 million.
• Tenant Allowances & Deferred Leasing Charges (Full Year 2024): $343.6 million.
• Development, Redevelopment, Expansions & Renovations (Full Year 2024): $39.8 million (Consolidated Centers).

Finance: draft 13-week cash view by Friday.

The Macerich Company (MAC) - Canvas Business Model: Revenue Streams

You're looking at the core ways The Macerich Company brings in cash, which for a Real Estate Investment Trust (REIT) like this, is heavily weighted toward property income. Honestly, the numbers tell a clear story about their focus on high-quality centers and asset recycling.

The primary engine is the rent collected from tenants locked into long-term agreements. For the second quarter of 2025, The Macerich Company reported leasing revenue of $232.7 million (in thousands: $232,725). This strong leasing performance helped push total revenues for that quarter to $249.793 million. By the third quarter of 2025, total revenue was reported at $253.3 million.

Beyond the base rent, The Macerich Company captures upside through performance-based rent. This is the percentage rent component, which kicks in when tenant sales exceed certain agreed-upon thresholds. The leasing momentum is translating into better pricing, as evidenced by base rent re-leasing spreads achieving a 10.5% increase over expiring base rents as of June 30, 2025. For smaller spaces (under 10,000 square feet), portfolio tenant sales per square foot reached $849 for the trailing twelve months ending June 30, 2025.

The Macerich Company actively manages its portfolio by selling non-core assets, which is a significant, albeit non-recurring, revenue source. They are targeting $100 million to $150 million in total sales from outparcels, freestanding retail, non-enclosed malls, and land for 2025. As of the September 2025 update, they reported having $120 million either sold or under contract against that 2025 goal.

Here's a quick look at how the core revenue components stack up based on recent reporting:

Other income sources provide smaller, less predictable boosts. Lease termination fees are one such area; management expected a couple more million dollars in this income for the remainder of the year based on commentary from Q1 2025. Income from joint ventures is also a factor, though The Macerich Company recently consolidated interests in some of these ventures, such as Pacific Premier assets, in Q2 2025.

The structure of their portfolio directly impacts this JV income stream:

• The Macerich Company owns 29 regional malls in its consolidated portfolio.
• They hold interests in 10 regional malls within their unconsolidated portfolio.
• The total portfolio spans approximately 42.1 million square feet of gross leasable area.

It's important to note that the core operating performance, measured by Net Operating Income (NOI) for the go-forward portfolio, showed a 2.4% increase year-over-year in Q2 2025, excluding lease termination income, which helps isolate the recurring rental revenue quality. Finance: draft 13-week cash view by Friday.