Oct 31 (Reuters) - Federal Realty Investment Trust ( FRT )

on Friday posted third-quarter revenue above estimates,

helped by higher rents and resilient tenant demand for its

grocery-anchored shopping centers.

Real estate investment trusts like Federal Realty have

benefited from leasing to necessity-based tenants, as inflation

prompts consumers to prioritize essential purchases.

Federal Realty, whose portfolio includes grocers such as

Trader Joe's, Whole Foods and Safeway, has weathered economic

uncertainty like shifting tariff policies helped by the

concentration of its shopping centers in densely populated

metropolitan areas.

With the availability of retail spaces shrinking, commercial

real estate firms have been able to raise rents.

Peer Regency Centers ( REG ) raised its annual FFO target

this week, citing strong leasing demand.

The company's total revenue rose to $322.3 million in the

quarter ended September 30, from $303.6 million a year ago.

Analysts had expected revenue of $315 million, according to data

compiled by LSEG.

Federal Realty reported FFO, or funds from operations - a

key REIT metric, of $1.77 per share, in line with analysts'

estimates.

The company also raised the lower end of its annual FFO

forecast, now sees FFO per share between $7.20 and $7.26,

compared with its previous target of $7.16 to $7.26.

It also narrowed its annual profit forecast to between $3.93

per share and $3.99 per share, compared to previous expectations

of $3.91 to $4.01.