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SEGMENT REPORTING
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
For the year ended December 31, 2025, the CODM for the company was comprised of our President and Chief Executive Officer and our Chief Financial Officer.
Segment information is prepared on the same basis that our management reviews information for operational decision-making purposes. We review operating and financial information for each property on an individual basis and therefore, each property represents an individual operating segment. However, we have aggregated our properties into reportable segments as the properties share similar long-term economic characteristics and have other similarities including the fact that they are operated using consistent business strategies.
We operate in four reportable business segments: the acquisition, redevelopment, ownership and management of retail real estate, office real estate, multifamily real estate and mixed-use real estate. The products for our retail segment primarily include rental of retail space and other tenant services, including tenant reimbursements, parking and storage space rental. The products for our office segment primarily include rental of office space and other tenant services, including tenant reimbursements, parking and storage space rental. The products for our multifamily segment include rental of apartments and other tenant services. The products of our mixed-use segment include rental of retail space and other tenant services, including tenant reimbursements, parking and storage space rental and operation of a 369-room all-suite hotel.
Regular reportable segment updates are provided directly to the CODM. These updates include the performance of our segments based on segment profit which is defined as property revenue less property expenses, and this serves as the profit or loss measure used by the CODM for performance assessment and resource allocation. We consider segment profit to be an appropriate supplemental measure to net income because it assists both investors and the CODM in understanding the core operations of our properties. Segment profit provides a performance measure that, when compared year over year, reflects the revenues and expenses directly associated with owning and operating commercial real estate and the impact to operations from trends in occupancy rates, rental rates, and operating costs, providing a perspective on operations not immediately apparent from net income.
Segment profit is not a measure of operating income or cash flows from operating activities as measured by GAAP, and it is not indicative of cash available to fund cash needs and should not be considered an alternative to cash flows as a measure of liquidity. Not all companies calculate segment profit in the same manner. General and administrative expenses, interest expense, depreciation and amortization expense and other income and expense are not included in segment profit as our internal reporting addresses these items on a corporate level.
A significant segment expense is a category of expenses and amounts regularly provided to the CODM that is included in the calculation of each reported measure of segment profit or loss. Further, the CODM will use this measure to assess segment performance in deciding how to allocate resources. Significant expenses included in the reportable segment profit or loss measure are presented by rental expenses and real estate taxes for each reportable segment. Rental expenses includes facilities service expense, utilities expense, repairs and maintenance expense, insurance expense and other costs.
The following table represents the significant segment expenses and operating activity within our reportable segments (in thousands):
 Year Ended December 31,
 202520242023
Total Office
Property revenue$206,037 $215,778 $207,856 
Rental expenses46,223 43,181 40,627 
Real estate taxes20,675 19,053 20,712 
Property expense66,898 62,234 61,339 
Segment profit139,139 153,544 146,517 
Total Retail
Property revenue95,122 109,040 104,767 
Rental expenses14,823 18,578 18,008 
Real estate taxes11,961 13,930 13,432 
Property expense26,784 32,508 31,440 
Segment profit68,338 76,532 73,327 
Total Multifamily
Property revenue68,961 65,372 61,830 
Rental expenses23,810 21,603 20,788 
Real estate taxes8,141 7,186 7,237 
Property expense31,951 28,789 28,025 
Segment profit37,010 36,583 33,805 
Total Mixed-Use
Property revenue66,084 67,665 66,711 
Rental expenses39,745 40,141 39,378 
Real estate taxes4,217 4,055 3,775 
Property expense43,962 44,196 43,153 
Segment profit22,122 23,469 23,558 
Total segments’ profit$266,609 $290,128 $277,207 

The following table is a reconciliation of segment profit to net income attributable to stockholders (in thousands):
 Year Ended December 31,
 202520242023
Total segments' profit$266,609 $290,128 $277,207 
General and administrative(37,841)(35,468)(35,960)
Depreciation and amortization(127,312)(125,461)(119,500)
Interest expense, net(78,120)(74,527)(64,706)
Gain on sale of real estate44,476 — — 
Other income, net3,558 18,147 7,649 
Net income71,370 72,819 64,690 
Net income attributable to restricted shares(852)(787)(761)
Net income attributable to unitholders in the Operating Partnership
(14,870)(15,234)(13,551)
Net income attributable to American Assets Trust, Inc. stockholders
$55,648 $56,798 $50,378 
The following table shows net real estate and secured note payable balances for each of the reportable segments, along with their capital expenditures for each year (in thousands):
December 31, 2025December 31, 2024
Net real estate
Office$1,587,316 $1,597,458 
Retail (1)
469,733 478,037 
Multifamily406,163 351,016 
Mixed-Use156,156 160,975 
$2,619,368 $2,587,486 
Secured Notes Payable (2)
Office$75,000 $75,000 
Retail— — 
$75,000 $75,000 
Capital Expenditures (3)
Office$61,510 $56,720 
Retail11,510 13,568 
Multifamily5,094 5,637 
Mixed-Use2,306 1,482 
$80,420 $77,407 
(1)Excludes the real estate assets held for sale as of December 31, 2024.
(2)Excludes unamortized debt issuance costs of $0.2 million and $0.2 million as of December 31, 2025 and 2024, respectively.
(3)Capital expenditures represent cash paid for capital expenditures during the year and includes leasing commissions paid.