alx-20250930

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 10-Q

(Mark one)


☑			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended: September 30, 2025


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934


For the transition period from:						to


Commission File Number:			001-06064

ALEXANDERS INC

(Exact name of registrant as specified in its charter)

Delaware

51-0100517

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification Number)

210 Route 4 East,

Paramus,

New Jersey

07652

(Address of principal executive offices)

(Zip Code)


(201)			587-8541

(Registrant’s telephone number, including area code)

N/A

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, $1 par value per share

ALX

New York Stock Exchange

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☑ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☑ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


☐	Large Accelerated Filer	☑	Accelerated Filer
☐	Non-Accelerated Filer	☐	Smaller Reporting Company
		☐	Emerging Growth Company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the

Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☑ No

As of September 30, 2025, there were 5,107,290 shares of common stock, par value $1 per share, outstanding.

INDEX


		Page Number
PART I.	Financial Information:

Item 1.	Financial Statements:

	Consolidated Balance Sheets (Unaudited) as of September 30, 2025 and December 31, 2024	4

	Consolidated Statements of Income (Unaudited) for the Three and Nine Months Ended September 30, 2025 and 2024	5

	Consolidated Statements of Comprehensive Income (Unaudited) for the Three and Nine Months Ended September 30, 2025 and 2024	6

	Consolidated Statements of Changes in Equity (Unaudited) for the Three and Nine Months Ended September 30, 2025 and 2024	7

	Consolidated Statements of Cash Flows (Unaudited) for the Nine Months Ended September 30, 2025 and 2024	8

	Notes to Consolidated Financial Statements (Unaudited)	9

	Report of Independent Registered Public Accounting Firm	16

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	17

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	25

Item 4.	Controls and Procedures	25

PART II.	Other Information:

Item 1.	Legal Proceedings	26

Item 1A.	Risk Factors	26

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	26

Item 3.	Defaults Upon Senior Securities	26

Item 4.	Mine Safety Disclosures	26

Item 5.	Other Information	26

Item 6.	Exhibits	26

Exhibit Index		27

SIGNATURES		28

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

ALEXANDER’S, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

(Amounts in thousands, except share and per share amounts)


	As of
ASSETS	September 30, 2025		December 31, 2024
Real estate, at cost:
Land	$	32,271	$	32,271
Buildings and leasehold improvements	1,065,198		1,046,132
Development and construction in progress	4,869		6,794
Total	1,102,338		1,085,197
Accumulated depreciation and amortization	(466,619)		(443,627)
Real estate, net	635,719		641,570
Cash and cash equivalents	286,142		338,532
Restricted cash	66,116		55,304
Tenant and other receivables	4,341		5,112
Receivable arising from the straight-lining of rents	109,645		111,750
Deferred leasing costs, net, including unamortized leasing fees to Vornado of $21,077 and $22,380, respectively	155,381		163,677
Other assets	38,896		25,350
	$	1,296,240	$	1,341,295


LIABILITIES AND EQUITY
Mortgages payable, net of deferred debt issuance costs	$	987,100	$	988,019
Amounts due to Vornado	499		1,159
Accounts payable and accrued expenses	44,992		38,743
Lease incentive liabilities	113,618		115,118
Other liabilities	21,705		21,397
Total liabilities	1,167,914		1,164,436

Commitments and contingencies

Preferred stock: $1.00 par value per share; authorized, 3,000,000 shares; issued and outstanding, none	—		—
Common stock: $1.00 par value per share; authorized, 10,000,000 shares; issued, 5,173,450 shares; outstanding, 5,107,290 shares	5,173		5,173
Additional capital	35,159		34,765
Retained earnings	88,488		133,402
Accumulated other comprehensive (loss) income	(126)		3,887
	128,694		177,227
Treasury stock: 66,160 shares, at cost	(368)		(368)
Total equity	128,326		176,859
	$	1,296,240	$	1,341,295

See notes to consolidated financial statements (unaudited).

ALEXANDER’S, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(UNAUDITED)

(Amounts in thousands, except share and per share amounts)


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2025		2024		2025		2024
REVENUES
Rental revenues	$	53,424	$	55,675	$	159,928	$	170,464
EXPENSES
Operating, including fees to Vornado of $1,253, $1,828, $4,435 and $4,932, respectively	(26,693)		(26,446)		(78,191)		(76,700)
Depreciation and amortization	(9,018)		(7,972)		(26,324)		(26,146)
General and administrative, including management fees to Vornado of $610, $610, $1,830 and $1,830, respectively	(1,349)		(1,423)		(4,895)		(5,058)
Total expenses	(37,060)		(35,841)		(109,410)		(107,904)

Interest and other income	3,682		6,105		11,555		20,321
Interest and debt expense	(14,078)		(19,261)		(37,673)		(51,714)

Net income	$	5,968	$	6,678	$	24,400	$	31,167

Net income per common share - basic and diluted	$	1.16	$	1.30	$	4.75	$	6.07

Weighted average shares outstanding - basic and diluted	5,135,956		5,133,534		5,134,705		5,132,043

See notes to consolidated financial statements (unaudited).

ALEXANDER’S, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(UNAUDITED)

(Amounts in thousands)


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2025		2024		2025		2024
Net income	$	5,968	$	6,678	$	24,400	$	31,167
Other comprehensive income (loss):

Change in fair value of interest rate derivatives	23		(5,408)		(4,013)		(9,308)
Comprehensive income	$	5,991	$	1,270	$	20,387	$	21,859

See notes to consolidated financial statements (unaudited).

ALEXANDER’S, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(UNAUDITED)

(Amounts in thousands, except per share amounts)


				Additional Capital		Retained Earnings		Accumulated Other Comprehensive (Loss) Income		Treasury Stock		Total Equity
	Common Stock
	Shares	Amount

For the Three Months Ended September 30, 2025
Balance, June 30, 2025	5,173	$	5,173	$	35,159	$	105,632	$	(149)	$	(368)	$	145,447
Net income	—	—		—		5,968		—		—		5,968
Dividends paid ($4.50 per common share)	—	—		—		(23,112)		—		—		(23,112)
Change in fair value of interest rate derivative	—	—		—		—		23		—		23

Balance, September 30, 2025	5,173	$	5,173	$	35,159	$	88,488	$	(126)	$	(368)	$	128,326

For the Three Months Ended September 30, 2024
Balance, June 30, 2024	5,173	$	5,173	$	34,765	$	160,649	$	12,301	$	(368)	$	212,520
Net income	—	—		—		6,678		—		—		6,678
Dividends paid ($4.50 per common share)	—	—		—		(23,101)		—		—		(23,101)
Change in fair value of interest rate derivatives	—	—		—		—		(5,408)		—		(5,408)

Balance, September 30, 2024	5,173	$	5,173	$	34,765	$	144,226	$	6,893	$	(368)	$	190,689


				Additional Capital		Retained Earnings		Accumulated Other Comprehensive (Loss) Income		Treasury Stock		Total Equity
	Common Stock
	Shares	Amount

For the Nine Months Ended September 30, 2025
Balance, December 31, 2024	5,173	$	5,173	$	34,765	$	133,402	$	3,887	$	(368)	$	176,859
Net income	—	—		—		24,400		—		—		24,400
Dividends paid ($13.50 per common share)	—	—		—		(69,314)		—		—		(69,314)
Change in fair value of interest rate derivatives	—	—		—		—		(4,013)		—		(4,013)
Deferred stock unit grants	—	—		394		—		—		—		394
Balance, September 30, 2025	5,173	$	5,173	$	35,159	$	88,488	$	(126)	$	(368)	$	128,326

For the Nine Months Ended September 30, 2024
Balance, December 31, 2023	5,173	$	5,173	$	34,315	$	182,336	$	16,201	$	(368)	$	237,657
Net income	—	—		—		31,167		—		—		31,167
Dividends paid ($13.50 per common share)	—	—		—		(69,277)		—		—		(69,277)
Change in fair value of interest rate derivatives	—	—		—		—		(9,308)		—		(9,308)
Deferred stock unit grants	—	—		450		—		—		—		450
Balance, September 30, 2024	5,173	$	5,173	$	34,765	$	144,226	$	6,893	$	(368)	$	190,689

See notes to consolidated financial statements (unaudited).

ALEXANDER’S, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

(Amounts in thousands)


	For the Nine Months Ended September 30,
CASH FLOWS FROM OPERATING ACTIVITIES	2025		2024
Net income	$	24,400	$	31,167
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization, including amortization of debt issuance costs	28,709		28,470

Straight-lining of rents	2,105		11,880
Interest rate cap premium amortization	470		6,213
Stock-based compensation expense	394		450
Other non-cash adjustments	6,529		(1,664)
Change in operating assets and liabilities:
Tenant and other receivables	771		529
Other assets	(19,271)		(161,750)
Amounts due to Vornado	(497)		36
Accounts payable and accrued expenses	7,925		(5,639)
Lease incentive liabilities	(1,500)		113,618
Other liabilities	(15)		(14)
Net cash provided by operating activities	50,020		23,296

CASH FLOWS FROM INVESTING ACTIVITIES
Construction in progress and real estate additions	(18,986)		(9,836)


Proceeds from interest rate cap	—		6,563

Net cash used in investing activities	(18,986)		(3,273)

CASH FLOWS FROM FINANCING ACTIVITIES
Dividends paid	(69,314)		(69,277)
Debt repayments	(3,189)		(500,000)
Proceeds from borrowing	—		400,000

Debt issuance costs	(109)		(6,547)
Net cash used in financing activities	(72,612)		(175,824)


Net decrease in cash and cash equivalents and restricted cash	(41,578)		(155,801)
Cash and cash equivalents and restricted cash at beginning of period	393,836		552,977
Cash and cash equivalents and restricted cash at end of period	$	352,258	$	397,176


RECONCILIATION OF CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Cash and cash equivalents at beginning of period	$	338,532	$	531,855
Restricted cash at beginning of period	55,304		21,122
Cash and cash equivalents and restricted cash at beginning of period	$	393,836	$	552,977


Cash and cash equivalents at end of period	$	286,142	$	354,817
Restricted cash at end of period	66,116		42,359
Cash and cash equivalents and restricted cash at end of period	$	352,258	$	397,176


SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash payments for interest	$	34,052	$	51,426


NON-CASH TRANSACTIONS
Liability for real estate additions, including $182 and $192, respectively for development fees due to Vornado	$	1,157	$	6,143
Write-off of fully depreciated assets	—		1,760

See notes to consolidated financial statements (unaudited).

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

1.Organization

Alexander’s, Inc. (NYSE: ALX) is a real estate investment trust (“REIT”), incorporated in Delaware, engaged in leasing, managing, developing and redeveloping its properties. All references to “we,” “us,” “our,” “Company” and “Alexander’s” refer to Alexander’s, Inc. and its consolidated subsidiaries. We are managed by, and our properties are leased and developed by, Vornado Realty Trust (“Vornado”) (NYSE: VNO). We have five properties in New York City.

2.Basis of Presentation

The accompanying consolidated financial statements are unaudited and include the accounts of Alexander’s and its consolidated subsidiaries. All adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations and changes in cash flows have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted. These consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC.

We have made estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. The results of operations for the three and nine months ended September 30, 2025 are not necessarily indicative of the operating results for the full year.

3.Recently Issued Accounting Literature

In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 requires entities to disclose additional information with respect to the effective tax rate reconciliation and to disclose the disaggregation by jurisdiction of income tax expense and income taxes paid. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. We have evaluated the impact of this standard and do not expect it to have a material impact on our consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”), and in January 2025, the FASB issued ASU 2025-01, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Clarifying the Effective Date (“ASU 2025-01”). ASU 2024-03 requires additional disclosure of the nature of expenses included in the income statement as well as disclosures about specific types of expenses included in the expense captions presented in the income statement. ASU 2024-03, as clarified by ASU 2025-01, is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the impact of these standards on our consolidated financial statements.

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(UNAUDITED)

4.Revenue Recognition

The following is a summary of revenue sources for the three and nine months ended September 30, 2025 and 2024.


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
(Amounts in thousands)	2025		2024		2025		2024
Lease revenues	$	50,944	$	53,244	$	153,172	$	163,878
Parking revenue	1,214		1,168		3,628		3,483
Tenant services	1,266		1,263		3,128		3,103
Rental revenues	$	53,424	$	55,675	$	159,928	$	170,464

The components of lease revenues for the three and nine months ended September 30, 2025 and 2024 are as follows:


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
(Amounts in thousands)	2025		2024		2025		2024
Fixed lease revenues	$	33,922	$	35,608	$	102,285	$	112,542
Variable lease revenues	17,022		17,636		50,887		51,336
Lease revenues	$	50,944	$	53,244	$	153,172	$	163,878

Bloomberg L.P. (“Bloomberg”) accounted for revenue of $96,655,000 and $93,179,000 for the nine months ended September 30, 2025 and 2024, respectively, representing approximately 60% and 55% of our rental revenues in each period, respectively. No other tenant accounted for more than 10% of our rental revenues. If we were to lose Bloomberg as a tenant, or if Bloomberg were to be unable to fulfill its obligations under its lease, it would adversely affect our results of operations and financial condition. In order to assist us in our continuing assessment of Bloomberg’s creditworthiness, we receive certain confidential financial information and metrics from Bloomberg. In addition, we access and evaluate financial information regarding Bloomberg from other private sources, as well as publicly available data.

On January 31, 2025, Home Depot’s 83,000 square foot lease at the retail portion of our 731 Lexington Avenue property expired. Annual rental revenues from Home Depot were approximately $15,000,000.

In May 2024, Alexander’s and Bloomberg reached an agreement to extend the leases covering approximately 947,000 square feet at our 731 Lexington Avenue property that were scheduled to expire in February 2029 for a term of eleven years to February 2040. Upon execution of this lease extension, we paid a $32,000,000 leasing commission, of which $26,500,000 was to a third-party broker and $5,500,000 was to Vornado.

On December 3, 2022, IKEA closed its 112,000 square foot store at our Rego Park I property under a lease that was set to expire in December 2030. The lease included a right to terminate effective no earlier than March 16, 2026, subject to payment of rent through the termination date and an additional termination payment equal to the lesser of $10,000,000 or the amount of rent due under the remaining term. On September 27, 2023, we entered into a lease modification agreement with IKEA which accelerated its lease termination date to April 1, 2024. During the fourth quarter of 2023 and the first quarter of 2024, IKEA paid its remaining rent obligation through March 16, 2026 and the $10,000,000 termination payment.

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(UNAUDITED)

5.Related Party Transactions

Vornado

As of September 30, 2025, Vornado owned 32.4% of our outstanding common stock. We are managed by, and our properties are leased and developed by, Vornado, pursuant to the agreements described below, which expire in March of each year and are automatically renewable.

Management and Development Agreements

We pay Vornado an annual management fee equal to the sum of (i) $2,800,000, (ii) 2% of gross revenue from the Rego Park II shopping center, (iii) $0.50 per square foot of the tenant-occupied office and retail space at 731 Lexington Avenue, and (iv) $387,000, escalating at 3% per annum, for managing the common area of 731 Lexington Avenue. Vornado is also entitled to a development fee equal to 6% of development costs, as defined.

Leasing and Other Agreements

Vornado also provides us with leasing services for a fee of 3% of rent for the first ten years of a lease term, 2% of rent for the eleventh through the twentieth year of a lease term, and 1% of rent for the twenty-first through thirtieth year of a lease term, subject to the payment of rents by tenants. Under the agreements in effect prior to May 1, 2024, in the event third-party real estate brokers were used, the fees to Vornado increased by 1% and Vornado was responsible for the fees to the third-party real estate brokers (“Third-Party Lease Commissions”). On May 1, 2024, our Board of Directors approved amendments to the leasing agreements, subject to applicable lender consents, pursuant to which the Company is responsible for any Third-Party Lease Commissions and, in such circumstances, Vornado’s fee is one-third of the applicable Third-Party Lease Commission.

Vornado is also entitled to a commission upon the sale of any of our assets equal to 3% of gross proceeds, as defined, for asset sales less than $50,000,000 and 1% of gross proceeds, as defined, for asset sales of $50,000,000 or more.

We also have agreements with Building Maintenance Services LLC, a wholly owned subsidiary of Vornado, to supervise (i) cleaning, engineering and security services at our 731 Lexington Avenue property and (ii) security services at our Rego Park I and Rego Park II properties and The Alexander apartment tower. In addition, we have an agreement with a wholly owned subsidiary of Vornado to manage the parking garages at our Rego Park I and Rego Park II properties.

The following is a summary of fees earned by Vornado under the various agreements discussed above.


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
(Amounts in thousands)	2025		2024		2025		2024
Company management fees	$	700	$	700	$	2,100	$	2,100
Development fees	182		192		808		318
Leasing fees	303		—		545		5,555

Property management, cleaning, engineering, parking and security fees	1,117		1,688		4,040		4,537
	$	2,302	$	2,580	$	7,493	$	12,510

As of September 30, 2025, the amounts due to Vornado were $182,000 for development fees, $182,000 for leasing fees and $135,000 for management, property management, cleaning, engineering and security fees. As of December 31, 2024, the amounts due to Vornado were $642,000 for management, property management, cleaning, engineering and security fees, $346,000 for development fees and $171,000 for leasing fees.

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(UNAUDITED)

6.Mortgages Payable

The following is a summary of our outstanding mortgages payable as of September 30, 2025 and December 31, 2024. We may refinance our maturing debt as it comes due or choose to pay it down.


		Interest Rate as of September 30, 2025	Balance as of
(Amounts in thousands)	Maturity		September 30, 2025		December 31, 2024
First mortgages secured by:
731 Lexington Avenue, office condominium	Oct. 09, 2028	5.04%	$	400,000	$	400,000
731 Lexington Avenue, retail condominium (1)(2)	Oct. 03, 2025	5.76%	300,000		300,000
Rego Park II shopping center (1)(3)	Dec. 12, 2025	5.60%	199,355		202,544
The Alexander apartment tower	Nov. 01, 2027	2.63%	94,000		94,000
Total			993,355		996,544
Deferred debt issuance costs, net of accumulated amortization of $9,766 and $7,381, respectively			(6,255)		(8,525)
			$	987,100	$	988,019

(1)Interest rate listed represents the rate in effect as of September 30, 2025 based on SOFR as of contractual reset date plus contractual spread, adjusted for hedging instruments as applicable.

(2)Interest at SOFR plus 1.51%.

(3)Interest at SOFR plus 1.45% (SOFR is capped at a rate of 4.15% through December 2025).

The $300,000,000 non-recourse mortgage loan on the retail condominium of our 731 Lexington Avenue property was scheduled to mature on August 5, 2025. On August 1, 2025, we entered into a 60-day extension with the lenders. The Company did not repay the loan on the extended maturity date of October 3, 2025. The Company is in discussions with the lenders regarding a potential loan restructuring.

7.Stock-Based Compensation

We account for stock-based compensation in accordance with Accounting Standards Codification (“ASC”) Topic 718, Compensation – Stock Compensation (“ASC 718”). Our 2016 Omnibus Stock Plan (the “Plan”) provides for grants of incentive and non-qualified stock options, restricted stock, stock appreciation rights, deferred stock units (“DSUs”) and performance shares, as defined, to the directors, officers and employees of the Company and Vornado.

In May 2025, we granted each of the members of our Board of Directors 346 DSUs with a market value of $75,000 per grant. The grant date fair value of these awards was $56,250 per grant, or $394,000 in the aggregate, in accordance with ASC 718. The DSUs entitle the holders to receive shares of the Company’s common stock without the payment of any consideration. The DSUs vested immediately and accordingly, were expensed on the date of grant, but the shares of common stock underlying the DSUs are not deliverable to the grantee until the grantee is no longer serving on the Company’s Board of Directors or until a later date selected by the grantee. As of September 30, 2025, there were 28,666 DSUs outstanding and 477,121 shares were available for future grant under the Plan.

8.Fair Value Measurements

ASC Topic 820, Fair Value Measurement (“ASC 820”) defines fair value and establishes a framework for measuring fair value. ASC 820 establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three levels: Level 1 – quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities that are highly liquid and are actively traded in secondary markets; Level 2 – observable prices that are based on inputs not quoted in active markets, but corroborated by market data; and Level 3 – unobservable inputs that are used when little or no market data is available. The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider counterparty credit risk in our assessment of fair value.

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(UNAUDITED)

8.Fair Value Measurements - continued

Financial Assets and Liabilities Measured at Fair Value

Financial assets measured at fair value on our consolidated balance sheet as of September 30, 2025 consist of an interest rate cap, which is presented in the table below based on its level in the fair value hierarchy. There were no financial liabilities measured at fair value as of September 30, 2025.


		As of September 30, 2025
(Amounts in thousands)		Total		Level 1		Level 2		Level 3
	Interest rate derivative (included in other assets)	$	4	$	—	$	4	$	—

Financial assets measured at fair value on our consolidated balance sheet as of December 31, 2024 consist of interest rate derivatives, which are presented in the table below based on their level in the fair value hierarchy. There were no financial liabilities measured at fair value as of December 31, 2024.


		As of December 31, 2024
(Amounts in thousands)		Total		Level 1		Level 2		Level 3
	Interest rate derivatives (included in other assets)	$	4,487	$	—	$	4,487	$	—

Interest Rate Derivatives

We recognize the fair value of all interest rate derivatives in “other assets” or “other liabilities” on our consolidated balance sheets and since all of our interest rate derivatives have been designated as cash flow hedges, changes in the fair value are recognized in other comprehensive income. The table below summarizes our interest rate derivatives, all of which hedge the interest rate risk attributable to the variable rate debt noted as of September 30, 2025 and December 31, 2024, respectively.


		Fair Value as of				As of September 30, 2025
(Amounts in thousands)		September 30, 2025		December 31, 2024		Notional Amount		Swapped Rate	Expiration Date
Interest rate swap related to:
	731 Lexington Avenue mortgage loan, retail condominium	$	—	$	4,117	N/A		N/A	N/A
Interest rate cap related to:
	Rego Park II shopping center mortgage loan	4		370		$	199,355	(1)	12/25
Included in other assets		$	4	$	4,487

(1)SOFR cap strike rate of 4.15%.

Financial Assets and Liabilities not Measured at Fair Value

Financial assets and liabilities that are not measured at fair value on our consolidated balance sheets include cash equivalents and mortgages payable. Cash equivalents are carried at cost, which approximates fair value due to their short-term maturities and are classified as Level 1. The fair value of our mortgages payable is calculated by discounting the future contractual cash flows of these instruments using current risk-adjusted rates available to borrowers with similar credit ratings, which are provided by a third-party specialist, and is classified as Level 2. The table below summarizes the carrying amount and fair value of these financial instruments as of September 30, 2025 and December 31, 2024, respectively.


	As of September 30, 2025				As of December 31, 2024
(Amounts in thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value

Assets:
Cash equivalents	$	67,135	$	67,135	$	61,889	$	61,889
Liabilities:
Mortgages payable (excluding deferred debt issuance costs, net)	$	993,355	$	983,675	$	996,544	$	967,941

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(UNAUDITED)

9.Commitments and Contingencies

Insurance

We maintain general liability insurance with limits of $300,000,000 per occurrence and per property, which includes communicable disease coverage, and all-risk property and rental value insurance coverage with limits of $1.7 billion per occurrence, including coverage for acts of terrorism, with sub-limits for certain perils such as floods and earthquakes on each of our properties and excluding communicable disease coverage.

Fifty Ninth Street Insurance Company, LLC (“FNSIC”), our wholly owned consolidated subsidiary, acts as a direct insurer for coverage for acts of terrorism, including nuclear, biological, chemical and radiological (“NBCR”) acts, as defined by the Terrorism Risk Insurance Act of 2002, as amended to date and which has been extended through December 2027. Coverage for acts of terrorism (including NBCR acts) is up to $1.7 billion per occurrence and in the aggregate. Coverage for acts of terrorism (excluding NBCR acts) is fully reinsured by third party insurance companies and the Federal government with no exposure to FNSIC. For NBCR acts, FNSIC is responsible for a $348,000 deductible and 20% of the balance of a covered loss, and the Federal government is responsible for the remaining 80% of a covered loss. We are ultimately responsible for any loss incurred by FNSIC.

We continue to monitor the state of the insurance market and the scope and costs of coverage for acts of terrorism or other events. However, we cannot anticipate what coverage will be available on commercially reasonable terms in the future. We are responsible for uninsured losses and for deductibles and losses in excess of our insurance coverage, which could be material.

Our loans contain customary covenants requiring us to maintain insurance. Although we believe that we have adequate insurance coverage for purposes of these agreements, we may not be able to obtain an equivalent amount of coverage at reasonable costs in the future. If lenders insist on greater coverage than we are able to obtain, it could adversely affect our ability to finance or refinance our properties.

Other

There are various legal actions brought against us from time-to-time in the ordinary course of business. In our opinion, the outcome of such pending matters in the aggregate will not have a material effect on our financial position, results of operations or cash flows.

10.Earnings Per Share

The following table sets forth the computation of basic and diluted income per share, including the number of shares used in computing basic and diluted income per share. Basic income per share is determined using the weighted average shares of common stock (including deferred stock units) outstanding during the period. Diluted income per share is determined using the weighted average shares of common stock (including deferred stock units) outstanding during the period, and assumes all potentially dilutive securities were converted into common shares at the earliest date possible. There were no potentially dilutive securities outstanding during the three and nine months ended September 30, 2025 and 2024.


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
(Amounts in thousands, except share and per share amounts)	2025		2024		2025		2024
Net income	$	5,968	$	6,678	$	24,400	$	31,167

Weighted average shares outstanding – basic and diluted	5,135,956		5,133,534		5,134,705		5,132,043

Net income per common share – basic and diluted	$	1.16	$	1.30	$	4.75	$	6.07

ALEXANDER’S, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(UNAUDITED)

11.Segment Information

We have determined that our properties, which are considered our operating segments, have similar economic characteristics and meet the criteria that permit these operating segments to be aggregated into one reportable segment (the leasing, management, development and redevelopment of properties in New York City). Net operating income (“NOI”) represents total revenues less operating expenses. The Company’s chief operating decision maker ("CODM") is its Chief Executive Officer, who considers NOI to be the financial measure of segment profit and loss for making decisions on how to allocate resources and assessing the performance of the reportable segment. Asset information by segment is not reported as the CODM does not use this measure to assess segment performance or to make resource allocation decisions.

Below is a summary of financial information for the three and nine months ended September 30, 2025 and 2024.


		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
(Amounts in thousands)		2025		2024		2025		2024
	Rental revenues	$	53,424	$	55,675	$	159,928	$	170,464
	Real estate tax expense	(15,755)		(15,018)		(45,439)		(43,931)
	Other segment expenses (1)	(10,938)		(11,428)		(32,752)		(32,769)
	Total operating expenses	(26,693)		(26,446)		(78,191)		(76,700)
	NOI	$	26,731	$	29,229	$	81,737	$	93,764

(1)	Includes various expenses associated with operating our properties including but not limited to ground rent, insurance, repairs and maintenance and utilities.

Below is a reconciliation of NOI to net income for the three and nine months ended September 30, 2025 and 2024.


		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
(Amounts in thousands)		2025		2024		2025		2024
	NOI	$	26,731	$	29,229	$	81,737	$	93,764
	Interest and debt expense	(14,078)		(19,261)		(37,673)		(51,714)
	Interest and other income	3,682		6,105		11,555		20,321
	General and administrative	(1,349)		(1,423)		(4,895)		(5,058)
	Depreciation and amortization	(9,018)		(7,972)		(26,324)		(26,146)
	Net income	$	5,968	$	6,678	$	24,400	$	31,167

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Stockholders of Alexander’s, Inc.

Results of Review of Interim Financial Information

We have reviewed the accompanying consolidated balance sheet of Alexander’s, Inc. and subsidiaries (the “Company”) as of September 30, 2025, the related consolidated statements of income, comprehensive income, and changes in equity, for the three-month and nine-month periods ended September 30, 2025 and 2024, and of cash flows for the nine-month periods ended September 30, 2025 and 2024, and the related notes (collectively referred to as the “interim financial information”). Based on our reviews, we are not aware of any material modifications that should be made to the accompanying interim financial information for it to be in conformity with accounting principles generally accepted in the United States of America.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated balance sheet of the Company as of December 31, 2024, and the related consolidated statements of income, comprehensive income, changes in equity, and cash flows for the year then ended (not presented herein); and in our report dated February 10, 2025, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying consolidated balance sheet as of December 31, 2024, is fairly stated, in all material respects, in relation to the consolidated balance sheet from which it has been derived.

Basis for Review Results

This interim financial information is the responsibility of the Company's management. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our reviews in accordance with standards of the PCAOB. A review of interim financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the PCAOB, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

/s/ DELOITTE & TOUCHE LLP

New York, New York

November 3, 2025

Item 2.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Certain statements contained in this Quarterly Report constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of future performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. You can find many of these statements by looking for words such as “approximates,” “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “would,” “may” or other similar expressions in this Quarterly Report on Form 10-Q. Many of the factors that will determine the outcome of these and our other forward-looking statements are beyond our ability to control or predict. For a further discussion of factors that could materially affect the outcome of our forward-looking statements, see “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2024.

For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date of this Quarterly Report on Form 10-Q or the date of any document incorporated by reference. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly, any revisions to our forward-looking statements to reflect events or circumstances after the date of this Quarterly Report on Form 10-Q.

Management’s Discussion and Analysis of Financial Condition and Results of Operations include a discussion of our consolidated financial statements for the three and nine months ended September 30, 2025. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. The results of operations for the three and nine months ended September 30, 2025 are not necessarily indicative of the operating results for the full year.

Critical Accounting Estimates and Significant Accounting Policies

A summary of the critical accounting policies and estimates used in the preparation of our consolidated financial statements is included in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended December 31, 2024. For the nine months ended September 30, 2025, there were no material changes to these estimates or policies.

Overview

We compete with a large number of real estate investors, property owners and developers, some of whom may be willing to accept lower returns on their investments. Principal factors of competition are rents charged, tenant concessions offered, attractiveness of location, the quality of the property and the breadth and the quality of services provided. Our success depends upon, among other factors, trends of the global, national and local economies, the financial condition and operating results of current and prospective tenants and customers, the availability and cost of capital, construction and renovation costs, taxes, governmental regulations, legislation, population and employment trends, zoning laws, and our ability to lease, sublease or sell our properties, at profitable levels. Our success is also subject to our ability to refinance existing debt on acceptable terms as it comes due.

Our business has been, and may continue to be, affected by interest rate fluctuations, the effects of inflation and other uncertainties including the potential for an economic downturn. These factors could have a material impact on our business, financial condition, results of operations and cash flows. See “Item 1A. Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2024 for additional information regarding these and other factors that may materially affect our results.

Three Months Ended September 30, 2025 Financial Results Summary

Net income for the three months ended September 30, 2025 was $5,968,000, or $1.16 per diluted share, compared to $6,678,000 or $1.30 per diluted share in the prior year’s three months.

Funds from operations (“FFO”) (non-GAAP) for the three months ended September 30, 2025 was $14,920,000, or $2.91 per diluted share, compared to $14,582,000, or $2.84 per diluted share in the prior year’s three months.

Nine Months Ended September 30, 2025 Financial Results Summary

Net income for the nine months ended September 30, 2025 was $24,400,000, or $4.75 per diluted share, compared to $31,167,000 or $6.07 per diluted share in the prior year’s nine months.

FFO (non-GAAP) for the nine months ended September 30, 2025 was $50,524,000, or $9.84 per diluted share, compared to $57,123,000, or $11.13 per diluted share in the prior year’s nine months.

Financing

Square Footage, Occupancy and Leasing Activity

Our portfolio is comprised of five properties aggregating 2,455,000 square feet. As of September 30, 2025, the commercial occupancy rate was 94.9% and the residential occupancy rate was 97.1%.

On January 31, 2025, Home Depot’s 83,000 square foot lease at the retail portion of our 731 Lexington Avenue property expired. Annual rental revenues from Home Depot were approximately $15,000,000.

In the fourth quarter of 2024, we entered into ten-year leases with Burlington and Marshalls to relocate them to our Rego Park II property in 2025 from our Rego Park I property which is now vacant. We are currently exploring sale opportunities for our Rego Park I property and are in advanced negotiations with a potential buyer.

Overview - continued

Significant Tenant

Results of Operations – Three Months Ended September 30, 2025, compared to September 30, 2024

Rental Revenues

Rental revenues were $53,424,000 for the three months ended September 30, 2025, compared to $55,675,000 for the prior year’s three months, a decrease of $2,251,000. This was primarily due to $3,774,000 of lower rental revenue from Home Depot’s lease expiration at 731 Lexington Avenue, partially offset by $1,417,000 of higher rental revenue from new leases at Rego Park II.

Operating Expenses

Operating expenses were $26,693,000 for the three months ended September 30, 2025, compared to $26,446,000 for the prior year’s three months, an increase of $247,000. This was primarily due to higher operating expenses not subject to recovery.

Depreciation and Amortization

Depreciation and amortization was $9,018,000 for the three months ended September 30, 2025, compared to $7,972,000 for the prior year’s three months, an increase of $1,046,000. This was primarily due to higher depreciation and amortization expense on capital costs for new leases at Rego Park II.

General and Administrative Expenses

General and administrative expenses were $1,349,000 for the three months ended September 30, 2025, compared to $1,423,000 for the prior year’s three months, a decrease of $74,000.

Interest and Other Income

Interest and other income was $3,682,000 for the three months ended September 30, 2025, compared to $6,105,000 for the prior year’s three months, a decrease of $2,423,000. This was primarily due to a decrease in average interest rates and investment balances.

Interest and Debt Expense

Interest and debt expense was $14,078,000 for the three months ended September 30, 2025, compared to $19,261,000 for the prior year’s three months, a decrease of $5,183,000. This was due to (i) $4,637,000 from lower rates, (ii) $3,681,000 from the refinancing and downsize of the 731 Lexington Office loan in September 2024, (iii) $578,000 of lower deferred debt issuance cost amortization and (iv) $157,000 of lower interest rate cap premium amortization, partially offset by (v) $3,870,000 from the expiration of the 731 Lexington Retail swap in May 2025.

Results of Operations – Nine Months Ended September 30, 2025, compared to September 30, 2024

Rental Revenues

Rental revenues were $159,928,000 for the nine months ended September 30, 2025, compared to $170,464,000 for the prior year’s nine months, a decrease of $10,536,000. This was primarily due to (i) $10,059,000 of lower rental revenue from Home Depot’s lease expiration at 731 Lexington Avenue, (ii) $9,001,000 of lower rental revenue from IKEA’s lease expiration at Rego Park I and (iii) $1,054,000 of lower lease termination fee income, partially offset by (iv) $3,073,000 of higher recoveries of operating expenses and capital expenditures, (v) $2,722,000 of higher rental revenue from new leases at Rego Park II, (vi) $2,321,000 of higher rental revenue from Bloomberg’s lease extension at 731 Lexington Avenue and (vii) $2,201,000 of payments received for tenant receivables that were previously written off.

Operating Expenses

Operating expenses were $78,191,000 for the nine months ended September 30, 2025, compared to $76,700,000 for the prior year’s nine months, an increase of $1,491,000. This was due to (i) $2,003,000 of higher operating expenses subject to recovery, including real estate taxes and common area maintenance, and (ii) $682,000 of higher operating expenses not subject to recovery, partially offset by (iii) higher capitalized expenses of $1,194,000.

Depreciation and Amortization

Depreciation and amortization was $26,324,000 for the nine months ended September 30, 2025, compared to $26,146,000 for the prior year’s nine months, an increase of $178,000. This was primarily due to higher depreciation and amortization expense on capital costs for new leases at Rego Park II, partially offset by the accelerated depreciation and amortization related to IKEA’s lease expiration at Rego Park I in the prior year’s nine months.

General and Administrative Expenses

General and administrative expenses were $4,895,000 for the nine months ended September 30, 2025, compared to $5,058,000 for the prior year’s nine months, a decrease of $163,000. This was primarily due to lower professional fees.

Interest and Other Income

Interest and other income was $11,555,000 for the nine months ended September 30, 2025, compared to $20,321,000 for the prior year’s nine months, a decrease of $8,766,000. This was primarily due to a decrease in average interest rates and investment balances.

Interest and Debt Expense

Interest and debt expense was $37,673,000 for the nine months ended September 30, 2025, compared to $51,714,000 for the prior year’s nine months, a decrease of $14,041,000. This was primarily due to (i) $7,396,000 from lower rates, (ii) $6,771,000 from the refinancing and downsize of the 731 Lexington Office loan in September 2024 and (iii) $5,743,000 of lower interest rate cap premium amortization, partially offset by (iv) $5,807,000 from the expiration of the 731 Lexington Retail swap in May 2025.

Liquidity and Capital Resources

Cash Flows

Our cash requirements include property operating expenses, capital improvements, tenant improvements, debt service, leasing commissions, dividends to stockholders as well as development costs. The sources of liquidity to fund these cash requirements include rental revenue, which is our primary source of cash flow and is dependent upon the occupancy and rental rates of our properties, as well as our existing cash, proceeds from financings, including mortgage or construction loans secured by our properties and proceeds from asset sales.

As of September 30, 2025, we had $352,258,000 of liquidity comprised of cash and cash equivalents and restricted cash. The ongoing challenges posed by fluctuations in interest rates and the effects of inflation could adversely affect our cash flow from continuing operations but we anticipate that cash flow from continuing operations over the next twelve months, together with existing cash balances, will be adequate to fund our business operations, cash dividends to stockholders, debt service and capital expenditures. We may refinance our maturing debt as it comes due or choose to pay it down. However, there can be no assurance that additional financing or capital will be available to refinance our debt, or that the terms will be acceptable or advantageous to us.

For the Nine Months Ended September 30, 2025

Cash and cash equivalents and restricted cash were $352,258,000 as of September 30, 2025, compared to $393,836,000 as of December 31, 2024, a decrease of $41,578,000. This decrease resulted from (i) $72,612,000 of net cash used in financing activities and (ii) $18,986,000 of net cash used in investing activities, partially offset by (iii) $50,020,000 of net cash provided by operating activities.

Net cash used in financing activities of $72,612,000 was comprised of (i) $69,314,000 of dividends paid, (ii) $3,189,000 of debt repayments and (iii) $109,000 of debt issuance costs.

Net cash used in investing activities of $18,986,000 was comprised of construction in progress and real estate additions.

Net cash provided by operating activities of $50,020,000 was comprised of (i) net income of $24,400,000 and (ii) adjustments for non-cash items of $38,207,000, partially offset by (iii) the net change in operating assets and liabilities of $12,587,000. The adjustments for non-cash items were comprised of (i) depreciation and amortization (including amortization of debt issuance costs) of $28,709,000, (ii) other non-cash adjustments of $6,529,000, (iii) straight-lining of rents of $2,105,000, (iv) interest rate cap premium amortization of $470,000 and (v) stock-based compensation expense of $394,000.

For the Nine Months Ended September 30, 2024

Cash and cash equivalents and restricted cash were $397,176,000 as of September 30, 2024, compared to $552,977,000 as of December 31, 2023, a decrease of $155,801,000. This decrease resulted from (i) $175,824,000 of net cash used in financing activities and (ii) $3,273,000 of net cash used in investing activities, partially offset by (iii) $23,296,000 of net cash provided by operating activities.

Net cash used in financing activities of $175,824,000 was comprised of (i) $500,000,000 of debt repayments, (ii) $69,277,000 of dividends paid and (iii) $6,547,000 of debt issuance costs, partially offset by (iv) proceeds from borrowing of $400,000,000.

Net cash used in investing activities of $3,273,000 was comprised of $9,836,000 of construction in progress and real estate additions, partially offset by proceeds from an interest rate cap of $6,563,000.

Net cash provided by operating activities of $23,296,000 was comprised of (i) net income of $31,167,000 and (ii) adjustments for non-cash items of $45,349,000, partially offset by (iii) the net change in operating assets and liabilities of $53,220,000. The adjustments for non-cash items were comprised of (i) depreciation and amortization (including amortization of debt issuance costs) of $28,470,000, (ii) straight-lining of rents of $11,880,000, (iii) interest rate cap premium amortization of $6,213,000 and (iv) stock-based compensation expense of $450,000, partially offset by (v) other non-cash adjustments of $1,664,000.

Liquidity and Capital Resources - continued

Commitments and Contingencies

Insurance

Other

Funds from Operations (“FFO”) (non-GAAP)

FFO is computed in accordance with the definition adopted by the Board of Governors of the National Association of Real Estate Investment Trusts (“NAREIT”). NAREIT defines FFO as GAAP net income or loss adjusted to exclude net gains from sales of certain real estate assets, real estate impairment losses, depreciation and amortization expense from real estate assets and other specified items, including the pro rata share of such adjustments of unconsolidated subsidiaries. FFO and FFO per diluted share are non-GAAP financial measures used by management, investors and analysts to facilitate meaningful comparisons of operating performance between periods and among our peers because it excludes the effect of real estate depreciation and amortization and net gains on sales, which are based on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions. FFO does not represent cash generated from operating activities and is not necessarily indicative of cash available to fund cash requirements and should not be considered as an alternative to net income as a performance measure or cash flow as a liquidity measure. FFO may not be comparable to similarly titled measures employed by other companies. A reconciliation of our net income to FFO is provided below.

FFO (non-GAAP) for the three and nine months ended September 30, 2025 and 2024

FFO (non-GAAP) for the three months ended September 30, 2025 was $14,920,000, or $2.91 per diluted share, compared to $14,582,000, or $2.84 per diluted share in the prior year’s three months.

FFO (non-GAAP) for the nine months ended September 30, 2025 was $50,524,000, or $9.84 per diluted share, compared to $57,123,000, or $11.13 per diluted share in the prior year’s nine months.

The following table reconciles our net income to FFO (non-GAAP):


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,

(Amounts in thousands, except share and per share amounts)	2025		2024		2025		2024
Net income	$	5,968	$	6,678	$	24,400	$	31,167
Depreciation and amortization of real property	8,952		7,904		26,124		25,956

FFO (non-GAAP)	$	14,920	$	14,582	$	50,524	$	57,123

FFO per diluted share (non-GAAP)	$	2.91	$	2.84	$	9.84	$	11.13

Weighted average shares used in computing FFO per diluted share	5,135,956		5,133,534		5,134,705		5,132,043

Item 3.Quantitative and Qualitative Disclosures About Market Risk

We have exposure to fluctuations in interest rates, which are sensitive to many factors that are beyond our control. Our exposure to a change in interest rates is summarized in the table below.


	2025					2024
(Amounts in thousands, except per share amounts)	September 30, Balance		Weighted Average Interest Rate	Effect of 1% Change in Base Rates		December 31, Balance		Weighted Average Interest Rate
Variable Rate	$	499,355	5.70%	$	4,994	$	202,544	5.60%
Fixed Rate	494,000		4.59%	—		794,000		3.52%
	$	993,355	5.15%	$	4,994	$	996,544	3.94%

Total effect on diluted earnings per share				$	0.97

We have an interest rate cap relating to the mortgage loan on Rego Park II shopping center with a notional amount of $199,355,000 that caps SOFR at 4.15% through December 2025.

Fair Value of Debt

The fair value of our consolidated debt is calculated by discounting the future contractual cash flows of these instruments using current risk-adjusted rates available to borrowers with similar credit ratings, which are provided by a third-party specialist. As of September 30, 2025 and December 31, 2024, the estimated fair value of our consolidated debt was $983,675,000 and $967,941,000, respectively. Our fair value estimates, which are made at the end of the reporting period, may be different from the amounts that may ultimately be realized upon the disposition of our financial instruments.

Item 4.Controls and Procedures

(a) Disclosure Controls and Procedures: Our management, with the participation of our Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of our disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended) as of the end of the period covered by this Quarterly Report on Form 10-Q. Based on such evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that, as of the end of such period, our disclosure controls and procedures are effective.

(b) Internal Control Over Financial Reporting: There have not been any changes in our internal control over financial reporting during the fiscal quarter to which this Quarterly Report on Form 10-Q relates that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II.OTHER INFORMATION

Item 1.Legal Proceedings

We are from time-to-time involved in legal actions arising in the ordinary course of business. In our opinion, the outcome of such matters in the aggregate will not have a material effect on our financial condition, results of operations or cash flows.

Item 1A.Risk Factors

There have been no material changes in our “Risk Factors” as previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2024.

Item 2.Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3.Defaults Upon Senior Securities

None.

Item 4.Mine Safety Disclosures

Not applicable.

Item 5.Other Information

During the three months ended September 30, 2025, none of our directors or officers (as defined in Rule 16a-1(f) of the Securities Exchange Act) adopted, terminated, or modified a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement (as such terms are defined in item 408 of Regulation S-K of the Securities Act of 1933, as amended).

Item 6.Exhibits

Exhibits required by Item 601 of Regulation S-K are filed herewith and are listed in the attached Exhibit Index.

EXHIBIT INDEX


Exhibit No.

10.1		-	Letter Agreement dated as of August 1, 2025 between 731 Retail One LLC and 731 Commercial LLC as Borrower, and JPMorgan Chase Bank, N.A. as Administrative Agent for the Lenders.	***

15.1		-	Letter regarding unaudited interim financial information	***

31.1		-	Rule 13a-14 (a) Certification of the Chief Executive Officer	***

31.2		-	Rule 13a-14 (a) Certification of the Chief Financial Officer	***

32.1		-	Section 1350 Certification of the Chief Executive Officer	***

32.2		-	Section 1350 Certification of the Chief Financial Officer	***

101		-	The following financial information from the Alexander’s, Inc. Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 formatted in Inline Extensible Business Reporting Language (iXBRL) includes: (i) consolidated balance sheets, (ii) consolidated statements of income, (iii) consolidated statements of comprehensive income, (iv) consolidated statements of changes in equity, (v) consolidated statements of cash flows and (vi) the notes to the consolidated financial statements

104		-	The cover page from the Alexander’s, Inc. Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 formatted as iXBRL and contained in Exhibit 101
			__________________
	***		Filed herewith.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


		ALEXANDER’S, INC.
		(Registrant)

Date: November 3, 2025	By:	/s/ Gary Hansen
		Gary Hansen
		Chief Financial Officer (duly authorized officer and principal financial and accounting officer)

SEC Form 10-Q filed by Alexander's Inc.