Business Wire·Mar 9, 2026, 8:30 AM ET

Creative Media & Community Trust Corporation Reports 2025 Fourth Quarter Results & Takes Action to Significantly Improve Balance Sheet and FFO1

CMCT

Creative Media & Community Trust Corporation reported a net loss of $17.7 million, or $11.20 per diluted share, for the three months ended December 31, 2025.
Funds from operations (FFO) attributable to common stockholders were a loss of $7.1 million, or $4.49 per diluted share, while Core FFO was a loss of $5.9 million, or $3.74 per diluted share.
The office portfolio occupancy stood at 74.8% as of December 31, 2025, rising to 88.5% when excluding the Oakland office building.
The company executed 22,966 square feet of office leases with terms exceeding 12 months during the fourth quarter of 2025.
An unconsolidated joint venture completed a 36-unit multifamily building in Echo Park, Los Angeles, which reached approximately 52% leased by the end of February 2026.
Multifamily portfolio occupancy, excluding the new Echo Park building, was 88.5% as of December 31, 2025, representing a 320 basis point improvement from the third quarter of 2025.
On January 21, 2026, the company completed the sale of its lending business, First Western, for approximately $44.9 million, yielding net cash proceeds of $31.2 million.
Management plans to redeem approximately 1,957,023 shares of Series A, 7,767,609 shares of Series A1, and 21,760 shares of Series D Preferred Stock in exchange for Common Stock in March 2026.
The expected March 2026 redemption is projected to improve annual FFO by approximately $16.0 million.
Total segment net operating income increased to $10.9 million for the quarter ended December 31, 2025, compared to $9.2 million in the same period of 2024.
Office segment net operating income rose to $6.4 million, driven by increased occupancy & rental rates in Austin, Texas, & Beverly Hills, California.
Hotel segment net operating income remained flat at $2.1 million, though occupancy improved to 63.1% from 54.5% year-over-year.
Multifamily segment net operating income shifted to a loss of $870,000 due to unrealized losses on investments in unconsolidated joint ventures.
Lending segment net operating income was $3.3 million, primarily due to a reversal of CECL reserves prior to the division's sale.
The company has fully retired its recourse credit facility & redeemed approximately $153.3 million of Preferred Stock into Common Stock since September 2024.
Total assets decreased to $859.2 million as of December 31, 2025, from $889.6 million in the prior year, reflecting the sale of the lending business.
The hotel renovation of all 505 rooms & public spaces was substantially completed in the first quarter of 2026.
The mortgage on the Oakland Office Building matures in the third quarter of 2026, with the company currently seeking an extension from the lender.
Quarterly dividends were declared for Series A, Series A1, & Series D Preferred Stock, payable on January 15, 2026.