BXP: Post 1Q26 Review: Strong Leasing/Asset Sale Progress Continues; Keeping A Watchful Eye On CapEx

研报英文原文证据摘录

BXP: Post 1Q26 Review: Strong Leasing/Asset Sale Progress Continues; Keeping A Watchful Eye On CapEx

Deutsche Bank

Research

Rating Company Date

Hold BXP 12 May 2026

North America Reuters Bloomberg Rating Hold

United States BXP.N BXP US Price target (USD) 61.00 Price at 11 May 26 58.94

52-week range 78.93 – 51.02

Financial

REITs Valuation & Risks

Post 1Q26 Review: Strong Leasing/Asset Sale

Progress Continues; Keeping A Watchful Eye PeterResearchAbramowitzAnalyst

On CapEx +1-212-250-9504

Omotayo Okusanya

Research Analyst Key Takeaways

+1-212-250-9284

Leasing remains solid, and our interpretation of management commentary is that

BXP will exceed its original target of 89% YE26 in-service occupancy laid out at

last September’s Investor Day. Execution on asset sales has also been strong,

with cap rates in the MSD based on management commentary and our own Key changes

estimates. That said, management noted on the call that leasing CapEx is Price target (USD) 68 61 -10%

expected to exceed $400M this year vs. prior DB/consensus estimates of Source: Deutsche Bank

$295M/$246M. While some of this is undoubtedly “good news” CapEx in that it

funds future occupancy and NOI growth, it introduces some uncertainty on the

trajectory of FAD growth in the near-to-medium term. As such, we remain at Hold.

Leasing Expected to Exceed 4M SF In 2026: BXP currently has 1.44M SF of

signed-not-occupied leases set to commence in 2026 vs. 777K SF of in-service

expirations. As such, this would lift YE26 occupancy to 88.9% (from 87.4% as of

1Q26 QE) even assuming no further leasing to retain/backfill 2026 expirations;

this is consistent with the original plan laid out at the Investor Day last September.

The current pipeline of leases in negotiations is 1.7M SF, which includes 500K SF