American Strategic Investment Co. released its financial results for the quarter ended September 30, 2025 and outlined a series of strategic steps aimed at strengthening its balance sheet, extending lease commitments, and streamlining operating costs. The company continues to reposition its real estate portfolio in response to shifting market conditions and upcoming debt maturities.
Quarterly performance
The company reported revenue of 12.3 million dollars for the third quarter, compared with 15.4 million dollars in the same period last year. It also recorded a net gain of 35.8 million dollars attributable to common stockholders. This gain was driven largely by a non-cash benefit of 44.3 million dollars tied to the foreclosure of the property at 1140 Avenue of the Americas.
Adjusted EBITDA for the quarter stood at 1.9 million dollars, down from 4.1 million dollars a year earlier. Cash net operating income totaled 5.3 million dollars compared with 7.0 million dollars in the prior year.
The company also reported improved lease stability. The weighted-average remaining lease term increased to 6.2 years compared with 5.9 years in the previous quarter. This shift was supported by a significant lease renewal at 196 Orchard Street in Manhattan. At the end of the quarter fifty six percent of leases extended beyond 2030 and only eight percent of annualized straight-line rent was scheduled to expire in the near term.
Portfolio actions and liabilities
A major strategic event for the quarter was the agreement to proceed with a consensual foreclosure on 1140 Avenue of the Americas. The company expects this transaction to close in the fourth quarter of 2025. Once completed it will eliminate a 99 million dollar mortgage obligation scheduled to mature in July 2026.
In addition the company is actively marketing two other properties, 123 William Street and 196 Orchard Street. The company stated that if market conditions permit, the net proceeds from these sales would be used to retire debt and support future reinvestment opportunities.
American Strategic Investment Co. also announced a change in its independent registered public accounting firm. For the fiscal year ending December 31, 2025 the company has engaged CBIZ CPAs. This change is part of an effort to reduce professional service expenses and lower recurring general and administrative costs.
Outlook and considerations
The company noted that its forward-looking statements remain subject to macroeconomic and geopolitical uncertainties. These include global conflicts such as Russia-Ukraine and Israel-Hamas, inflationary pressure, elevated interest rates, property market volatility, and potential risks associated with planned asset sales or debt restructuring. The company also continues to evaluate the impact of its decision to terminate its REIT status, which it believes may offer greater flexibility for future acquisition and investment activities.
Company Profile
American Strategic Investment Co. is a New York-based commercial real estate investment company that focuses on owning and managing income-producing properties across high-density urban markets. The company operates within the real estate sector and the commercial property investment industry. It entered the public markets in 2014 through its initial public offering under the name New York City REIT before transitioning to its current identity. Its portfolio primarily features office and mixed-use properties concentrated in Manhattan, and its strategy emphasizes long-term lease stability, disciplined asset management, and the pursuit of value-enhancing acquisitions and dispositions. The company generates revenue by leasing space to tenants across a range of professional, medical, retail, and specialty categories while actively working to strengthen its balance sheet and improve overall portfolio performance.
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