Here are 1-3 brief analogies to describe Franklin Street Properties (FSP):

• A smaller, suburban-focused Boston Properties.

• Vornado Realty Trust, but specializing in multi-tenant office buildings often in suburban growth markets.

• Office Space Leasing: Franklin Street Properties provides leasable office properties to various tenants, generating rental income from these assets.

Franklin Street Properties (symbol: FSP) is an equity real estate investment trust (REIT) that specializes in owning and operating high-quality office properties across the United States.

Therefore, FSP's customers are primarily other companies that lease office space from them.

According to FSP's public filings, including their most recent 10-K, the company does not have any single major customer that represents a significant concentration of its revenue. Specifically, FSP reported that no single tenant accounted for more than 10% of its total rental revenue for the year ended December 31, 2023.

This indicates that FSP serves a diversified base of corporate tenants across various industries, rather than relying on a few dominant customers.

George J. Carter, CEO and Chairman of the Board

Mr. Carter has been Chief Executive Officer and Chairman of the Board of Directors of Franklin Street Properties since 2002. He was also the President of the Company from 2002 to May 2016. Mr. Carter is responsible for all aspects of the business, with special emphasis on the evaluation, acquisition, and structuring of real estate investments. Prior to the conversion of Franklin Street Partners Limited Partnership into the Company in 2002, he was President of the general partner of the FSP Partnership. From 1992 through 1996, he served as President of Boston Financial Securities, Inc. Prior to joining Boston Financial, Mr. Carter was the owner and developer of Gloucester Dry Dock, a commercial shipyard in Gloucester, Massachusetts. From 1979 to 1988, he was Managing Director in charge of marketing at First Winthrop Corporation, a national real estate and investment banking firm. Before that, he held positions in the brokerage industry with Merrill Lynch & Co. and Loeb Rhodes & Co.

John G. Demeritt, Executive Vice President, Chief Financial Officer and Treasurer

Mr. Demeritt is Executive Vice President and Chief Financial Officer of the Company and has held the Chief Financial Officer position since March 2005. He previously served as Senior Vice President, Finance and Principal Accounting Officer from September 2004 to March 2005. Prior to September 2004, Mr. Demeritt was a Manager with Caturano & Company, an independent accounting firm (which later merged with McGladrey), where he focused on Sarbanes Oxley compliance.

Jeffrey B. Carter, President and Chief Investment Officer

Mr. Carter is President and Chief Investment Officer of the Company. He served as Executive Vice President and Chief Investment Officer from February 2012 until May 2016, when he was appointed President in addition to his Chief Investment Officer role. Previously, Mr. Carter served as Senior Vice President and Director of Acquisitions from 2005 to 2012 and as Vice President – Acquisitions from 2003 to 2005. He oversees the day-to-day execution of the Company's strategic objectives and business plan.

Scott H. Carter, Executive Vice President, General Counsel and Secretary

Mr. Carter serves as Executive Vice President, General Counsel, and Secretary of the Company. Before joining Franklin Street Properties, Mr. Carter worked at Nixon Peabody LLP, where he focused on real estate syndication, acquisitions, and finance.

Eriel Anchondo, Executive Vice President, Chief Operating Officer

Mr. Anchondo is Executive Vice President and Chief Operating Officer of the Company and has held those positions since May 2016. Mr. Anchondo joined the Company in 2015 as Senior Vice President of Operations. From May 2005 to May 2007, he was a Communications Consultant at New York Life Investment Management, and from December 2002 to May 2005, he worked in the Preferred Client Services Group at Putnam Investments.

The key risks to Franklin Street Properties (FSP) business are:

1. Challenges in the Office Real Estate Market: Franklin Street Properties is significantly impacted by the challenging conditions in the office real estate sector. The company is contending with rising vacancy rates, dwindling leasing activity, and declining occupancy across its portfolio, a trend exacerbated by the aftermath of the pandemic and the shift to hybrid work. This has led to slipping revenue and occupancy, with occupancy rates reportedly dropping to around 69.1%. The widening divide between high-end properties and older, less desirable buildings also presents a hurdle, as many companies opt to relocate to nicer spaces, leaving FSP's properties with higher vacancies. If the company is unable to re-lease space promptly or on favorable terms, it could lead to reduced distributions to stockholders.
2. Financial Performance and Liquidity Concerns: FSP has reported significant financial headwinds, including recurring net losses and declining revenue. The company experienced a net loss of over $21 million in one quarter and has paused future guidance due to continued economic uncertainty. There are also concerns regarding dividend sustainability due to ongoing losses and a "significant lack of liquidity" which hinders the company's plans to optimize its portfolio through property dispositions. The company's debt profile also remains a concern, with a rising debt-to-total market capitalization ratio.
3. Interest Rate Risk: An increase in interest rates poses a significant risk to Franklin Street Properties due to its variable-rate debt. Higher interest rates would lead to increased interest costs, which could adversely affect the company's ability to refinance existing debt or sell assets at desirable prices. Approximately half of FSP's debt is floating rate, making it particularly sensitive to interest rate fluctuations.

Franklin Street Properties (FSP) operates as a real estate investment trust (REIT) primarily focused on the investment and management of urban office buildings and central business district (CBD) properties within the United States. Their main products and services revolve around office real estate operations, including property acquisitions and dispositions, short-term financing, leasing, development, and asset management.

The addressable market for Franklin Street Properties' main products and services is the U.S. office real estate market.

The U.S. office real estate market size is estimated at approximately USD 369.58 billion in 2025. This market is projected to grow to about USD 436.81 billion by 2030, demonstrating a compound annual growth rate (CAGR) of 3.40% during the forecast period (2025-2030).

Here are 3 expected drivers of future revenue growth for Franklin Street Properties (FSP) over the next 2-3 years:

1. Improved Leasing and Occupancy Rates: Franklin Street Properties is actively focused on increasing leasing and occupancy across its portfolio. Despite modest leasing volume in the first nine months of 2025, the company has observed improved tenant activity and is competing for a greater number of larger potential lease transactions. There is also an increasing trend of prospective tenants seeking to expand their office space footprints.
2. Rent Growth from Increased Pricing Power: The company has demonstrated an ability to achieve higher rental rates. The weighted average GAAP base rent per square foot on leasing activity during the first nine months of 2025 was 6.0% higher than average rents in the respective properties for the year ended December 31, 2024. This trend is supported by national office vacancy rates declining slightly and a reduced supply of office space due to a lack of new development and inventory removal, which can lead to increased demand and pricing power.
3. Strategic Focus on Key Growth Markets: FSP’s portfolio is concentrated in infill and central business district (CBD) office properties within the U.S. Sunbelt and Mountain West regions, as well as select opportunistic markets. These areas are targeted for their potential to generate above-average employment and population growth over time, which is expected to drive long-term demand for office space and contribute to revenue growth.

Share Repurchases

• Franklin Street Properties (FSP) authorized a share buyback program of up to $50 million in June 2021.
• As of the first quarter of 2022, the company had repurchased 847,000 shares.
• The company's management has indicated a belief that the stock price does not accurately reflect the value of underlying real estate assets and aims to increase shareholder value, with potential proceeds from property dispositions being allocated for buybacks.

Share Issuance

• As of February 10, 2023, there were 103,235,914 shares of common stock outstanding.
• The number of shares issued and outstanding increased to approximately 103,690,340 as of September 30, 2025.

Inbound Investments

• FSP initiated a strategic review in May 2025 to explore opportunities to maximize shareholder value, which includes potential strategic alternatives such as a sale of the company or a sale of assets.

Outbound Investments

• Since December 2020, property dispositions have generated aggregate gross proceeds of approximately $1.1 billion.
• In 2021, FSP sold ten properties for approximately $603 million.
• The company's strategy involves the selective sale of properties to take advantage of value creation and demand, or for geographic or property-specific reasons, with proceeds primarily intended for debt repayment.

Capital Expenditures

• Capital expenditures and lease incentives were elevated, impacting Adjusted Funds From Operations (AFFO) in Q2 2025.
• The primary focus of recent capital expenditures has been on tenant improvements, leasing commissions, and non-investment capital expenditures, which are costs related to re-tenanting space after a tenant vacates.
• Capital expenditures are expected to potentially decrease in the short term as the company executes its strategy of select property dispositions and leasing vacant space.