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BXP
FY2026 Q2
Improving
BXP, Inc. earnings call
Buzzberg read
Occupancy expected to end 2026 near 90%
BXP reported a strong Q2 2026 with FFO beating estimates, driven by robust leasing activity and occupancy gains. The company raised its full-year FFO guidance and is executing on its strategic plan of asset sales and development, with notable successes in leasing to AI and robotics companies. FFO per share of $1.78 beat guidance and consensus by $0.08, leading to a raised 2026 FFO guidance range of $6.99-$7.05 per share.
Buzzberg read Occupancy expected to end 2026 near 90% BXP reported a strong Q2 2026 with FFO beating estimates, driven by robust leasing activity and occupancy gains. The company raised its full-year FFO guidance and is executing on its strategic plan of asset sales and development, with notable successes in leasing to AI and robotics companies. FFO per share of $1.78 beat guidance and consensus by $0.08, leading to a raised 2026 FFO guidance range of $6.99-$7.05 per share. Read full analysisCollapse analysis
BXP reported a strong Q2 2026 with FFO beating estimates, driven by robust leasing activity and occupancy gains. The company raised its full-year FFO guidance and is executing on its strategic plan of asset sales and development, with notable successes in leasing to AI and robotics companies. FFO per share of $1.78 beat guidance and consensus by $0.08, leading to a raised 2026 FFO guidance range of $6.99-$7.05 per share.
- Occupancy rose for the third consecutive quarter to 88.4%, and the company now expects to finish 2026 at ~90% occupancy.
- Strong leasing activity was highlighted by deals with Boston Dynamics (322k sq ft), McDermott (148k sq ft), and expansions from Stripe and Rogo.
- The company is ahead of schedule on its asset sales program, with over $1.2 billion raised since the investor conference.
Revenue$0.8957B+3% QoQ
EPS$0.43-33% QoQ
Gross margin8.08%Reported
Operating margin28.9%Reported
6 grounded callouts
What matters now
The highest-signal changes from the call.
Development
343 Madison leasing to 70% if pending deals close
Capital Recycling
Asset sales ahead of schedule, $1.7B by year-end
Show 3 more callouts
AI
AI-driven demand broad and boosting occupancy
Leasing
Boston Dynamics lease to create robotics and AI center
Guidance
Cash same-store NOI to accelerate in 2027
Reported period
Actuals
| Metric | Reported | Change |
|---|---|---|
| Revenue | $0.8957B | +3% QoQ |
| EPS | $0.43 | -33% QoQ |
| Gross margin | 8.08% | Reported |
| Operating margin | 28.9% | Reported |
| Net income | $0.0686B | -32% QoQ |
| Units | 88.4% | Reported |
Forward-looking
Forward guidance
| Metric | Period | Range | Midpoint | Status |
|---|---|---|---|---|
| EPS | FY2026 | $6.99–$7.05In line with consensus | $7.02 | Raised |
| Units | FY2026 | 88.9% | 88.9% | Raised |
| Units | FY2026 | 90% | 90% | Raised |
AI, capex & demand read
Management read
Bullish
Management repeatedly emphasized strong leasing, occupancy gains, and raised guidance, expressing confidence in continued momentum.
Management AI read
Management views AI as a major tailwind for leasing, with AI companies displacing other tenants and driving demand for premier workplaces in gateway markets, while they acknowledge long-term AI impacts are difficult to predict but believe premier workplaces will benefit.
Investment and capacity
BXP is increasing leasing capital expenditure, with 2026 leasing capex expected to be closer to $500 million, driven by higher leasing activity, and will impact AFFO but support future occupancy growth.
all 3 named companies below
Companiesreturns since call
Customers
STRIPE
Customers
Doug Linde
Stripe is expanding its office footprint in Seattle, indicating growth and a need for more physical space.
Evidence
“This included a 44,000 square foot expansion by Stripe, following on our demand theme”
Customers
Owen Thomas
AstraZeneca is a fully committed tenant for the delivered life sciences building in Cambridge.
Evidence
“This quarter we delivered into service 290 Binney Street, a 570,000 square foot lab building fully leased to AstraZeneca”
ANDURIL
Customers
Doug Linde
BXP has previously delivered a similar full-building redevelopment for defense tech company Anduril, highlighting this as a repeat business model.
Evidence
“First, we did it with Anduril at a building that was out of service called 1050 Winter Street”
External signals
Supply-chain alpha · 3returns since call
BXP's lease with Boston Dynamics at Reservoir Place is expected to generate an initial cash return of over 10% on total project cost, including an inferred value for the existing improvements, demonstrating high-yield redevelopment opportunities in suburban office assets.
Evidence
“We will invest $87 million to retrofit the building and expect to earn an initial cash return of over 10%, including an inferred value for the existing improvements.”
The transaction market for premier workplaces remains thin, but data points are emerging; a Boston Seaport asset traded at ~$900/sq ft with a low-7% cap rate, while a fully leased Amazon building in Bellevue traded at ~$930/sq ft with a 6.75% cap rate.
Evidence
“One Marina Park Drive located in the Seaport District of Boston is under agreement to sell for approximately $435 million, which represents pricing of nearly $900 a foot and an initial cap rate in the low 7% range... Tower 1 at West Main..…”
BXP is successfully selling 10% interests in its 343 Madison development at a basis above its costs, with plans to sell up to 50% total, demonstrating a path to de-risking and recycling capital on large office projects.
Evidence
“we have a letter of intent with an equity partner for an $80 million investment representing a 10% interest in the project with a basis above our costs.”
Methodology & coverage
Management-only analysis. All 3 validated company mentions are shown. Reported actuals and forward guidance are kept separate. Public evidence is limited to eight short attributed quotes. AI-generated analysis can be incomplete or wrong; verify important claims against the original source.