Hudson Pacific Properties Inc 2025年度报告

DEAR FELLOWSHAREHOLDERS, 2025 marked an important inflection point for Hudson Pacific. We strengthened ourbalance sheet, improved our cost structure, and delivered our strongest leasingperformance since 2019. Through a series of strategic capital transactions andoperational initiatives, we significantly enhanced the company’s financial flexibilityand positioned our portfolio to capture improving tenant demand across our coremarkets. These achievements were particularly notable given the challenges of the pastfive years. The combination of a global pandemic, disruption in the media andentertainment industry, and a sharp rise in interest rates created an operatingenvironment that challenged much of our sector. Victor J. ColemanChairman and Chief Executive Officer While these forces were outside of our control, we recognize their impact onshareholders who placed their confidence in Hudson Pacific. That experience hasreinforced our commitment to accountability, disciplined capital allocation, andthoughtful decision-making as we work to restore momentum. We remain committedto realigning the market’s valuation of Hudson Pacific with our fundamental trajectory. “2025 marked animportant inflectionpoint for HudsonPacific as westrengthened ourbalance sheet,improved our coststructure, anddelivered ourstrongest leasingperformancesince 2019.” Against this backdrop, our actions in 2025 were focused on positioning thecompany for the next phase of the cycle. The year demanded focus, discipline,and difficult but necessary decisions, guided by clear priorities: executeon what we can control and position Hudson Pacific to benefit as marketconditions improve. This discipline was evident across the organization—fromleasing execution to portfolio and balance sheet management—and will remaincentral as we work to drive sustained earnings growth. 2025 KEY ACHIEVEMENTS 22%HPP’s sharenet debt reduction $2B+capitaltransactions $26MG&A and interestexpense savings $2.2M+sq ftleased $328Massetsales $25MQuixote annualizedcost savings “AI is acceleratinginnovation in ourmarkets—but it’s thebroader technologyecosystem thatcontinues todrive demandfor high-qualityworkspace.” Positioned for Long-Term Growth in Innovation-Driven Markets 2025 LEASINGACCOMPLISHMENTS One of the most significant structural drivers shaping our markets is thecontinued expansion of technology and other innovation-led industries.While artificial intelligence, or AI, is a major catalyst—attracting significantcapital, accelerating company formation, and driving hiring—it is partof a broader and well-established ecosystem that includes a wide arrayof growth-oriented companies, as well as the professional services firmsand other infrastructure necessary to support them. 2.2M+sq ft leased 2.3M+sq ft leasingpipeline The Bay Area, where we are the largest public REIT office landlord,remains one of the most diverse and resilient innovation economiesin the world. AI is accelerating this activity, but the region’s strengthultimately comes from its depth of talent, research institutions, venturecapital, and entrepreneurial culture across a multitude of industries.Throughout 2025, AI and other tech remained a solid contributor to ourleasing activity, pipeline and tours with no signs of abating. 40%tour increase(compared to 2024) Hudson Pacific’s portfolio is intentionally concentrated in these innovationhubs. Our strategy is built around markets where strong technology, ancillarysupport and other creative industries drive long-term economic growth.Furthermore, our focus on well-located, high-quality buildings with numerouson-site amenities remains central to supporting these dynamic companies asthey recruit talent, collaborate, and scale. NOTABLENEW LEASES Office Leasing Momentum Builds Across Our Markets In 2025, we signed more than 2.2 million square feet of office leases,representing our strongest leasing performance since 2019 and underscoringgrowing tenant engagement across our West Coast markets. As a result,we achieved occupancy gains within our in-service office portfolio in boththe third and fourth quarter of last year. 232Ksq ftCity & County ofSan Francisco1455 Market20-year term Encouragingly, the broader office market environment also began to showtangible improvement. San Francisco recorded more than 2.5 million squarefeet of positive net absorption, the third highest annual total on record.Silicon Valley delivered 2.9 million square feet of positive net absorptionand five consecutive quarters of occupancy gains, while the Puget Soundregion posted its first positive net absorption quarter in three years.Within our own portfolio, these trends were further reflected in a growingleasing pipeline that exceeded 2.3 million square feet by year-end, supportedby a significant increase in tours and expanding space requirements from 106Ksq ftxAIPage Mill Center5-year term 77Ksq ftQualysMetro Center8-year term “Companies areengaging earlier inthe le