LOS ANGELES—According to a report from RBC Capital Markets, Macerich Co. just missed its estimated NOI for Q1 2014. FFO/share comes in at $0.81, missing estimates by $0.02 and census by $0.03. The REIT did exceed interest expenses by $0.01, which the report says is offset the $0.02 losses on the NOI line. NOI was driven down by lower other income and lower percentage rents.

Although NOI just missed the mark by RBC Capital's estimates, it did see healthy same store NOI growth this quarter at about 3.5%. Comparatively, the company experienced 3.4% growth in Q1 of 2013 and 4.9% growth in the final quarter of 2013. The REIT also experienced growth in store tenant sales, which were up 0.9% to $565 per square foot; as well as major growth in occupancy, which reached 95.1%. RBC Capital notes this is the highest level on record for Macerich. GlobeSt.com reported, for example, two new tenant signings at Tyson's Tower in Washington DC earlier this year. Along with occupancy, leasing spreads fared well, performing at 14.8% while base rent per square foot continued to grow.

Overall, the REIT showed a strong quarter with minimal losses. The most noticeable loss was in the company's operating margin, which fell from 68.4% in Q4 of 2013 to 65.8%. NOI yields on gross book value also fell to 7.5% from 6.8% in the same quarter last year. Despite the near misses, the company forecasted an FFO/share of $3.50 to $3.60, and RBC Capital is in agreement with the group.

During the quarter, the REIT sold three, non-core assets totaling $34.1 million, but the company has four major developments under construction totaling $900 million. RBC Capital was not able to comment before the publication of this story.