NYSE: PDM
Piedmont Realty Trust, Inc.CIK 0001042776 · SIC 6512 · Operators of Apartment Buildings
Piedmont Realty Trust, Inc. (“Piedmont," "we," "our," or "us") (NYSE: PDM) is a Maryland corporation that operates in a manner so as to qualify as a real estate investment trust (“REIT”) for federal income tax purposes and engages in the ownership, management, development, redevelopment, and… About this business →
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Latest financial statements
From 10-Q filed Jul 28, 2026 (period ending Jun 30, 2026). As printed on the EDGAR/iXBRL face — not generated by the model.
Consolidated Statements of Operations (Unaudited)
(in thousands, except for share and per share amounts)
| Description | Three months ended June 30, 2026 | Three months ended June 30, 2025 | Six months ended June 30, 2026 | Six months ended June 30, 2025 |
|---|---|---|---|---|
| Revenues: | ||||
| Rental and tenant reimbursement revenue | 137,265 | 133,954 | 273,706 | 270,018 |
| Property management fee revenue | 108 | 81 | 266 | 162 |
| Other property related income | 6,750 | 6,257 | 13,445 | 12,798 |
| 144,123 | 140,292 | 287,417 | 282,978 | |
| Expenses: | ||||
| Property operating costs | 55,986 | 55,610 | 113,292 | 113,524 |
| Depreciation | 44,825 | 40,646 | 88,852 | 81,539 |
| Amortization | 14,487 | 14,785 | 29,750 | 30,206 |
| General and administrative | 8,237 | 7,960 | 16,146 | 15,523 |
| 123,535 | 119,001 | 248,040 | 240,792 | |
| Other income (expense): | ||||
| Interest expense | (31,874) | (31,954) | (63,803) | (63,631) |
| Other income | 189 | 133 | 414 | 528 |
| Loss on early extinguishment of debt | — | (7,500) | — | (8,000) |
| Gain on sale of real estate assets | — | 1,224 | — | 2,013 |
| (31,685) | (38,097) | (63,389) | (69,090) | |
| Net loss | (11,097) | (16,806) | (24,012) | (26,904) |
| Net income applicable to noncontrolling interest | (4) | (2) | (9) | (8) |
| Net loss applicable to Piedmont | (11,101) | (16,808) | (24,021) | (26,912) |
| Per share information – basic and diluted: | ||||
| Net loss applicable to common stockholders | (0.09) | (0.14) | (0.19) | (0.22) |
| Weighted-average common shares outstanding basic and diluted | 125,081,542 | 124,458,941 | 124,944,559 | 124,359,010 |
Consolidated Balance Sheets
(in thousands, except for share and per share amounts)
| Description | June 30, 2026 | December 31, 2025 |
|---|---|---|
| Assets: | ||
| Real estate assets, at cost: | ||
| Land | 542,474 | 542,474 |
| Buildings and improvements, less accumulated depreciation of $1,345,832 and $1,278,600 as of June 30, 2026 and December 31, 2025, respectively | 2,779,052 | 2,787,669 |
| Intangible lease assets, less accumulated amortization of $65,398 and $73,824 as of June 30, 2026 and December 31, 2025, respectively | 37,239 | 44,371 |
| Construction in progress | 47,131 | 44,358 |
| Real estate assets held for sale, net | 2,837 | 2,837 |
| Total real estate assets | 3,408,733 | 3,421,709 |
| Cash and cash equivalents | 16,785 | 731 |
| Tenant receivables | 11,440 | 6,155 |
| Straight-line rent receivables | 219,636 | 214,285 |
| Restricted cash and escrows | 4,961 | 3,060 |
| Prepaid expenses and other assets | 24,120 | 20,857 |
| Goodwill | 53,491 | 53,491 |
| Interest rate swaps | 530 | — |
| Deferred lease costs, less accumulated amortization of $219,933 and $209,155 as of June 30, 2026 and December 31, 2025, respectively | 308,286 | 311,066 |
| Total assets | 4,047,982 | 4,031,354 |
| Liabilities: | ||
| Unsecured debt, net of unamortized discount and debt issuance costs of $23,287 and $23,368 as of June 30, 2026 and December 31, 2025, respectively | 2,063,971 | 2,035,890 |
| Secured debt | 186,966 | 188,822 |
| Accounts payable, accrued expenses and accrued capital expenditures | 185,339 | 172,880 |
| Deferred income | 115,496 | 112,124 |
| Intangible lease liabilities, less accumulated amortization of $29,934 and $35,036 as of June 30, 2026 and December 31, 2025, respectively | 21,216 | 24,824 |
| Interest rate swaps | — | 111 |
| Total liabilities | 2,572,988 | 2,534,651 |
| Commitments and Contingencies (Note 7) | — | — |
| Stockholders’ Equity: | ||
| Shares-in-trust, 150,000,000 shares authorized; none outstanding as of June 30, 2026 or December 31, 2025 | — | — |
| Preferred stock, no par value, 100,000,000 shares authorized; none outstanding as of June 30, 2026 or December 31, 2025 | — | — |
| Common stock, $0.01 par value, 750,000,000 shares authorized; 125,132,825 and 124,519,278 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively | 1,251 | 1,245 |
| Additional paid-in capital | 3,730,985 | 3,730,273 |
| Cumulative distributions in excess of earnings | (2,251,371) | (2,227,350) |
| Accumulated other comprehensive loss | (7,368) | (8,967) |
| Piedmont stockholders’ equity | 1,473,497 | 1,495,201 |
| Noncontrolling interest | 1,497 | 1,502 |
| Total stockholders’ equity | 1,474,994 | 1,496,703 |
| Total liabilities and stockholders’ equity | 4,047,982 | 4,031,354 |
Consolidated Statements of Cash Flows (Unaudited)
(in thousands)
| Description | Six months ended June 30, 2026 | Six months ended June 30, 2025 |
|---|---|---|
| Cash Flows from Operating Activities: | ||
| Net loss | (24,012) | (26,904) |
| Adjustments to reconcile net loss to net cash provided by operating activities: | ||
| Depreciation | 88,852 | 81,539 |
| Amortization of debt issuance costs inclusive of settled interest rate swaps | 4,232 | 3,987 |
| Other amortization | 30,873 | 28,339 |
| Loss on early extinguishment of debt | — | 8,000 |
| Stock compensation expense | 4,685 | 4,650 |
| Gain on sale of real estate assets | — | (2,013) |
| Changes in assets and liabilities: | ||
| Increase in tenant and straight-line rent receivables | (13,605) | (14,527) |
| Increase in prepaid expenses and other assets | (3,760) | (4,845) |
| Increase/(decrease) in accounts payable and accrued expenses | 12,804 | (12,148) |
| Decrease in deferred income | (7,615) | (12,261) |
| Net cash provided by operating activities | 92,454 | 53,817 |
| Cash Flows from Investing Activities: | ||
| Capitalized expenditures | (71,846) | (81,572) |
| Sales proceeds from wholly-owned properties | — | 31,351 |
| Deferred lease costs paid | (22,106) | (20,818) |
| Net cash used in investing activities | (93,952) | (71,039) |
| Cash Flows from Financing Activities: | ||
| Debt issuance and other costs paid | (182) | (291) |
| Proceeds from debt | 184,000 | 482,087 |
| Repayments of debt | (160,857) | (530,322) |
| Premiums paid to repurchase senior notes | — | (7,098) |
| Costs of issuance of common stock | (342) | (168) |
| Value of shares withheld for payment of taxes related to employee stock compensation | (3,029) | (2,199) |
| Dividends paid | (137) | (30,854) |
| Net cash provided by/(used in) financing activities | 19,453 | (88,845) |
| Net increase/(decrease) in cash, cash equivalents, and restricted cash and escrows | 17,955 | (106,067) |
| Cash, cash equivalents, and restricted cash and escrows, beginning of period | 3,791 | 113,882 |
| Cash, cash equivalents, and restricted cash and escrows, end of period | 21,746 | 7,815 |
Amounts as printed on the EDGAR/iXBRL face — (in thousands, except for share and per share amounts); (in thousands). Labels, columns, and figures are the filing face, not a GAAP stencil. Interactive statements & notes on EDGAR ↗
About Piedmont Realty Trust, Inc.
Source: Item 1 (Business) from the 10-K filed February 17, 2026. Description as filed by the company with the SEC.
ITEM 1. BUSINESS
General
Piedmont Realty Trust, Inc. (“Piedmont," "we," "our," or "us") (NYSE: PDM) is a Maryland corporation that operates in a manner so as to qualify as a real estate investment trust (“REIT”) for federal income tax purposes and engages in the ownership, management, development, redevelopment, and operation of high-quality, Class A office properties located primarily in major U.S. Sunbelt markets. Piedmont was incorporated in 1997 and commenced operations in 1998. Piedmont conducts business through its wholly-owned subsidiary, Piedmont Operating Partnership, L.P. (“Piedmont OP”), a Delaware limited partnership. Piedmont OP owns properties directly, through wholly-owned subsidiaries, and through various joint ventures which it controls. References to Piedmont herein shall include Piedmont and all of its subsidiaries, including Piedmont OP and its subsidiaries and joint ventures.
Operating Objectives and Strategy
Piedmont is a fully integrated, self-managed real estate investment company focused on delivering an exceptional office environment. As an owner, manager, developer and operator of approximately 16 million square feet (unaudited) of Class A properties across major U.S. Sunbelt markets, we are known for our hospitality-driven approach and commitment to transforming buildings into premier “Piedmont PLACEs” that enhance each client’s workplace experience. As of December 31, 2025, we owned and operated a portfolio of 29 in-service projects and three redevelopment projects. The in-service office projects totaled approximately 14.9 million square feet (unaudited) and were 89.6% leased. Our redevelopment projects were approximately 62% leased as of December 31, 2025. Collectively, over 70% of our ALR is generated from our properties located in our Sunbelt markets. We lease space to a mixture of corporate tenants from multiple industries, and our average lease size is approximately 14,000 square feet with an average lease term remaining of six years as of December 31, 2025. Our diversified tenant base is primarily comprised of investment grade or nationally recognized corporations or governmental agencies, with the majority of our ALR derived from such tenants. No single tenant accounts for more than 5% of our ALR.
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Headquartered in Atlanta, Georgia, with local management offices in each of our markets, Piedmont values operational excellence and is a leading participant among REITs based on the number of buildings owned and managed with Building Owners and Managers Association ("BOMA") 360 designations. BOMA 360 is a program that evaluates a building's operations and management and benchmarks its performance against industry standards. As of December 31, 2025, projects representing approximately 99% of our in-service portfolio (based on square footage) had achieved such a designation, recognizing excellence in building operations and management and counting us among the top ten companies nationwide with the most BOMA360 certified buildings. Our focus on operational excellence, fostering long-term relationships with our high-credit quality, diverse tenant base, and maintaining our portfolio of modern, amenity-rich properties, has resulted in an approximate 65% tenant retention rate over the past five years.
In addition to operational excellence, we also focus on environmental sustainability initiatives at our properties. During 2025, we:
•were recognized as an ENERGY STAR Partner of the year for the fifth consecutive year;
•achieved a maximum five star designation and “Green Star” recognition with scores ranking in the top decile of all participating listed U.S. companies from the GRESB Real Estate Assessment; and
•continued to be recognized as a Green Lease Leader by the Institute for Market Transformation and the U.S. Department of Energy’s Better Buildings Alliance.
As of December 31, 2025, approximately 83% and 74% of our portfolio was ENERGY STAR rated and Leadership in Energy and Environmental Design ("LEED") certified, respectively, and 63% of our portfolio was certified LEED gold.
Our primary operating objectives are to maximize the risk-adjusted return to our stockholders by increasing cash flow from operations, by achieving sustainable growth in funds from operations, and by growing net asset value as a result of long-term capital appreciation. The strategies we employ to achieve these objectives include:
Redevelopment and Repositioning of Properties
We have recently redeveloped the majority of the properties within our portfolio to maintain and enhance the competitive positioning of our properties in their respective marketplaces. These redevelopment projects have focused on creating
additional, or enhancing existing, amenities for our tenants to increase tenant satisfaction, occupancy, and rental rates, thereby supporting our leasing efforts and improving returns on our invested capital.
Proactive Asset and Property Management, Leasing Capabilities, and Management of Portfolio Risk
Our proactive, hospitality-minded approach to asset and property management encompasses a number of strategies designed to maximize occupancy and rental rates while following leading environmentally-conscious business practices and also meeting or exceeding the needs of today's discerning tenants. Such strategies include:
•maintaining local management offices in markets where we have a significant presence;
•using a "hospitality-driven" service approach intended to enhance each client's workplace experience;
•offering, or being located near, superior amenities that help our tenants attract and retain their employees;
•renovating our buildings to maintain their modern appearance and superior operating condition;
•maintaining our high quality properties in an environmentally-friendly manner;
•building and cultivating our relationships with commercial real estate executives;
•using creative leasing approaches such as early extensions, lease wrap-arounds and restructurings; and
•utilizing a national buying platform for property management support services to ensure optimal pricing, as well as to consistently implement best practices and achieve sustainability standards.
We manage portfolio risk by:
•owning Class A office properties which are among the most desirable in their respective office sub-markets;
•focusing our portfolio primarily in high growth Sunbelt markets;
•ensuring that our tenants are credit-worthy and represent a broad spectrum of industry types with lease expirations that are distributed over multiple years;
•targeting a low leverage structure comprised of primarily unsecured financing facilities with laddered maturities;
•structuring lease expirations to avoid having multiple leases expire in the same market in a relatively short period of time;
•using our experience to meet the specialized requirements of federal, state and local government agency tenants; and
•utilizing our purchasing power and market knowledge to reduce property operating costs.
Operating our Properties in an Environmentally Responsible Manner
We strive to own and manage workplaces that are environmentally conscious, productive, and healthy for our tenants, employees, and local communities by:
•empowering our property teams with the data and tools they need to sustainably manage their buildings
•leveraging industry partnerships with BOMA, Energy Star, the U.S. Green Building Council, and GRESB, to verify and advance the environmental performance of our assets;
•implementing programs that continually improve our environmental performance and manage our climate change risk;
•setting performance targets that demonstrate our commitment to sustainable practices; and
•renovating our properties to reduce operating costs, meet recognized sustainable development standards, and reduce our environmental impact.
To combat the increasing cost of electricity, natural gas, off-site energy sources, water rates, and insurance rates at our properties and to mitigate the transitional and physical risks associated with climate change (See