Seaport Entertainment’s $163M Cash Hoard, $22M EBITDA Boost Forecast
Seaport Entertainment’s interest expense rose by $3.3 million in Q4 2025 after suspending capitalization on 250 Water Street and the sale of that asset experienced delays. The firm holds $163 million in cash and expects a Lux Entertainment lease to boost annual pro forma EBITDA by over $22 million.
1. Interest Expense Surge
Interest expense increased by $3.3 million in Q4 2025 as SEG suspended interest capitalization on the 250 Water Street project, reflecting higher financing costs.
2. Asset Sale Delays and Repositioning
The closure of the Tin Building underscores operational challenges while the finalization of the 250 Water Street sale took longer than expected, indicating potential execution hurdles.
3. Strong Cash Liquidity
SEG held $163 million in cash and cash equivalents at quarter end, planning to allocate $70 million to $90 million for ongoing Seaport projects and exploring hospitality and entertainment investments.
4. Lease Deal Enhancing EBITDA
The new Lux Entertainment lease for the Balloon Museum is projected to add more than $22 million to SEG’s pro forma annual EBITDA, improving profitability metrics.