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Investments in real estate | 9 Months Ended
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Sep. 30, 2025
Real Estate [Abstract] |
Investments in real estate | Our consolidated investments in real estate consisted of the following as of September 30, 2025 and December 31, 2024 (in thousands):
|  | September 30, 2025 |  | December 31, 2024
Rental properties: |  |  |  |
Land (related to rental properties) |  | $3,242,824 |  | $3,863,027
Buildings and building improvements |  | 20,715,991 |  | 20,377,935
Other improvements |  | 4,609,447 |  | 4,354,785
Rental properties |  | 28,568,262 |  | 28,595,747
Current and future development and redevelopment projects |  | 8,596,264 |  | 8,618,727
Gross investments in real estate |  | 37,164,526 |  | 37,214,474
Less: accumulated depreciation |  | (6,120,878) |  | (5,477,082)
Investments in real estate assets held for sale(1) |  | 700,269 |  | 372,647
Investments in real estate |  | $31,743,917 |  | $32,110,039
(1)Refer to “Assets held for sale” below. Assets held for sale As of September 30, 2025, we had 14 operating properties aggregating 1.8 million RS F and land parcels aggregating 939,756 SF that were classified as held for sale. The disposal of properties classified as held for sale does not represent a strategic shift that has (or will have) a major effect on our operations or financial results and therefore does not meet the criteria for classification as a discontinued operation. We cease depreciation of our properties upon their classification as held for sale. The following is a summary of net assets as of September 30, 2025 and December 31, 2024 for our real estate investments that were classified as held for sale as of each respective date (in thousands):
| September 30, 2025 |  | December 31, 2024
Investments in real estate | $700,269 |  | $372,647
Other assets | 84,515 |  | 9,488
Total assets | 784,784 |  | 382,135
Total liabilities | (20,028) |  | (13,462)
Total accumulated other comprehensive income | 1,877 |  | 2,584
Net assets classified as held for sale | $766,633 |  | $371,257
For additional information, refer to “Real estate sales” in Note 2 – “Summary of significant accounting policies” to our unaudited consolidated financial statements. Sales of real estate assets and impairment of real estate Our completed dispositions of real estate assets during the nine months ended September 30, 2025 consisted of the following (dollars in thousands):
|  |  |  |  |  |  |  | Square Footage |  |  |  | Gain on Sales of Real Estate |
Property |  | Submarket/Market |  | Date of Sale |  | Interest Sold |  | Operating |  | Land and Future |  | Sales Price |  |
Costa Verde by Alexandria |  | University Town Center/San Diego |  | 1/31/25 |  | 100% |  | 8,730 |  | 537,000 |  | $124,000 | (1) | $— |
Pacific Technology Park(2) |  | Sorrento Mesa/San Diego |  | 9/9/25 |  | 50% |  | 544,352 |  | — |  | 96,000 | (2) | 9,290 |
5505 Morehouse Drive |  | Sorrento Mesa/San Diego |  | 8/26/25 |  | 100% |  | 79,945 |  | — |  | 45,000 |  | — |
2425 Garcia Avenue and 2400/2450 Bayshore Parkway |  | Greater Stanford/San Francisco Bay Area |  | 6/30/25 |  | 100% |  | 95,901 |  | — |  | 11,000 |  | — |
Land parcel |  | Texas |  | 5/7/25 |  | 100% |  | — |  | 1,350,000 |  | 73,287 |  | — |
Other |  | Various |  |  |  |  |  |  |  |  |  | 87,584 |  | 13,241 |
|  |  |  |  |  |  |  |  |  |  |  | $436,871 | (3) | $22,531 |
(1)A s part of the transaction, we provided $91.0 million o f seller financing during the three months ended March 31, 2025. This note receivable is classified within “Other assets” in our consolidated balance sheet. Refer to Note 8 – “Other assets” to our unaudited consolidated financial statements for additional information. (2)$94.4 million of the sales price represents non-cash consideratio n. Refer to “Pacific Technology Park and 199 East Blaine Street” in Note 4 – “Consolidated and unconsolidated real estate joint ventures” to our unaudited consolidated financial statements for additional information regarding this sale. (3)Represents the aggregate contractual sales price of our dispositions, which differs from the sum of amounts disclosed in our consolidated statement of cash flows under “Investing activities” (proceeds from sales of real estate), “Financing activities” (contributions from and sales of noncontrolling interests), and “Supplemental disclosure and non-cash investing and financing activities" (non-cash sales) primarily due to the timing of payment, closing costs, and other sales adjustments such as prorations of rents and expenses. Impairment of real estate D uring the nine months ended September 30, 2025, we recognized impairment charges aggre gating $485.6 million, cl assified in impairment of real estate in our consolidated statement of operations, primarily related to the following assets: •Impairment charge of $206.2 million was recognized to reduce the carrying amount of a non-Megacampus property aggregating 179,100 RSF in Long Island City, a non-core location within our New York City submarket, to its estimated fair value less costs to sell of approximately $31.1 million upon meeting the criteria for classification as held for sale. This property met the held for sale criteria in September 2025, when we committed to dispose of it following our reevaluation of its alignment with our Megacampus strategy and decided to allocate sales proceeds toward other projects with higher value-creation opportunities. As of September 30, 2025, the property is 52% occupied. We expect to complete the sale of this property within the next 12 months. •Impairment charge of $43.4 million was recognized to reduce the carrying amount of a retail shopping center aggregating 249,275 RSF with a future development opportunity aggregating 281,592 SF in our Cambridge/Inner Suburbs submarket of Greater Boston to its estimated fair value less costs to sell of approximately $96.3 million upon meeting the criteria for classification as held for sale.This property met the held for sale criteria in September 2025 upon our commitment to dispose of this asset and allocate sales proceeds toward other projects with higher value-creation opportunities and our obtaining of all required approvals to sell. In October 2025, we completed the sale of this asset, with no gain or loss recognized upon sale. •Impairment charge of $47.3 million was recognized to reduce the carrying amount of land parcels aggregating 374,349 SF in a non-cluster/other market to its estimated fair value less costs to sell of approximately $28.9 million upon meeting the criteria for classification as held for sale. The held for sale criteria were met in June 2025 upon our decision to dispose of this asset. In September 2025, we completed the sale, with no gain or loss recognized upon sale. •Impairment charge of $42.8 million was recognized to reduce the carrying amount of an office property aggregating 182,276 RSF in Carlsbad, San Diego to its estimated fair value less costs to sell. This property met the criteria for classification as held for sale in April 2025 upon our commitment to sell, at which time we recognized an impairment of $35.4 million based on negotiations with a potential buyer at that time. In September 2025, we recognized an additional impairment charge of $7.3 million to adjust the asset’s carrying amount to the currently negotiated reduced sales price less costs to sell of approximately $61.8 million. We expect to complete this sale within the next 12 months. •Impairment charge of $32.2 million was recognized during the three months ended March 31, 2025 related to a ground lease entered into in 2021 for a future development opportunity in the San Francisco Bay Area market. Refer to “Lessee operating costs” in Note 5 – “Leases” to our unaudited consolidated financial statements for additional information. •I mpairment charge of $31.8 million was recognized to reduce the carrying amount of one vacant property aggregating 104,531 RSF in the Research Triangle market to its estimated fair value less costs to sell of approximately $1.2 million upon meeting the criteria for classification as held for sale in September 2025. The held for sale criteria were met upon our decision to sell this asset, due to its noncontiguous location relative to most other properties on the Alexandria Center® for Sustainable Technologies Megacampus, and to allocate the sales proceeds, and other capital necessary to lease the property, toward other projects with greater value-creation opportunities. We expect to complete the sale within the next 12 months. •Impairment charge of $27.8 million was recognized to reduce the carrying amounts of land parcels aggregating 154,308 SF on a non-Megacampus in our Sorrento Mesa submarket of San Diego to their estimated fair values less costs to sell of approximately $13.9 million upon meeting the criteria for classification as held for sale in September 2025. These assets met the criteria for classification as held for sale upon our reevaluation of their alignment with our Megacampus strategy and our decision to reallocate capital toward our other projects with greater value-creation opportunities. We expect to complete the sale of these assets within the next 12 months. •Impairment charge of $17.3 million was recognized to reduce the carrying amounts of two operating properties aggregating 210,481 RSF in our Sorrento Mesa submarket of San Diego to their estimated fair values less costs to sell of approximately $112.3 million upon meeting the criteria for classification as held for sale. The held for sale criteria were met in June 2025 upon our commitment to dispose of these properties. In August 2025, we completed the sale of one of the properties aggregating 79,945 RSF for a sales price of $45.0 million, with no gain or loss recognized upon sale. We expect to complete the sale of the remaining property within the next 12 months. Other In 2006, ARE-East River Science Park, LLC, a subsidiary of Alexandria Real Estate Equities, Inc., was granted an option to incorporate a land parcel adjacent to and north of the Alexandria Center® for Life Science – New York City (“ACLS-NYC”) campus (“Option Parcel”) into the existing ground lease of that campus. The Option Parcel will allow ARE-East River Science Park, LLC to develop a future world-class life science building within the ACLS-NYC campus. ARE-East River Science Park, LLC’s investment in pre- construction costs related to the development of the Option Parcel, including costs related to design, engineering, environmental, survey/title, and permitting and legal costs, aggregated $175.7 million as of September 30, 2025. On August 6, 2024, ARE-East River Science Park, LLC filed a lawsuit in the United States District Court for the Southern District of New York against its landlord, New York City Health + Hospitals Corporation (“H+H”), and the New York City Economic Development Corporation (“EDC”). On January 24, 2025, ARE-East River Science Park, LLC filed a first amended complaint. The lawsuit alleges two principal claims against H+H and EDC: fraud in the inducement, and, in the alternative, breach of contract in violation of the implied covenant of good faith and fair dealing. As alleged in the complaint, ARE-East River Science Park, LLC’s claims arise from H+H’s and EDC’s misrepresentations and concealment of material facts in connection with a floodwall, which H+H and EDC are seeking to require ARE-East River Science Park, LLC to integrate into the development of the Option Parcel. ARE-East River Science Park, LLC alleges that H+H’s and EDC’s misconduct have prevented it from commencing the development of the Option Parcel. In light of the pending litigation, the closing date for our option and thus the commencement date for construction of the third tower at the campus are presently indeterminate. Among other things, ARE-East River Science Park, LLC is seeking significant damages and equitable relief from the court to confirm our understanding that the option is in full force and effect. This matter exposes us to potential losses ranging from zero to the full amount of our investment in the project aggregating $175.7 million as of September 30, 2025, depending on any collection of damages and/or the ability to develop the project. We performed a probability-weighted recoverability analysis based on estimates of various possible outcomes and determined no impairment was present as of September 30, 2025.

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- Definition The entire disclosure for certain real estate investment financial statements, real estate investment trust operating support agreements, real estate owned, retail land sales, time share transactions, as well as other real estate related disclosures. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 974 -SubTopic 720 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477728/974-720-50-1 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 976 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/976/tableOfContent Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 978 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/978/tableOfContent Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 970 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/970/tableOfContent Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 972 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/972/tableOfContent Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 974 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/974/tableOfContent + Details
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