Granite REIT reported fourth‑quarter 2025 revenue of $161.8 million, a 9.6% year‑over‑year increase from $148.0 million in Q4 2024. Net operating income rose to $133.3 million, up 9.4% from $121.2 million, while funds from operations climbed to $96.6 million, a 9.8% gain over the prior year’s $92.7 million. Adjusted funds from operations reached $79.3 million, up 6.4% from $78.8 million. The company maintained a 98.0% occupancy rate across 141 income‑producing properties and declared a monthly distribution of $0.2958 per unit, which annualizes to $3.55 per unit.
The growth in revenue, NOI, FFO and AFFO was driven by contractual rent adjustments, consumer price index‑based increases, robust leasing activity, and the acquisition of eight new income‑producing properties in the United States and the United Kingdom during the second quarter of 2025. “With our fourth quarter results, we achieved another record year for Granite,” said Kyle Larkin, President and Chief Executive Officer.
Granite raised its 2026 outlook, forecasting funds from operations per unit between $6.25 and $6.40, an increase of approximately 6% to 8% over 2025, and adjusted funds from operations per unit between $5.40 and $5.55, a rise of roughly 4% to 7% over 2025. The guidance assumes an $81 million disposition of assets held for sale by early Q4 2026 and no new acquisitions, while maintaining a net leverage ratio of 35% and a net debt‑to‑EBITDA of 7×. “For 2026, Granite forecasts FFO per unit within a range of $6.25 to $6.40, representing an approximate 6% to 8% increase over 2025, and forecasts AFFO per unit to be within a range of $5.40 to $5.55, representing an increase of approximately 4% to 7% over 2025,” the company added.
Capital recycling remained a key focus: Granite acquired properties worth $292.3 million and disposed of assets for $189.5 million during the quarter, and it renewed its $250 million at‑the‑market equity program to preserve flexibility for future growth. The board was refreshed with the appointments of Ms. Amber Choudhry, an expert in debt capital markets, and Mr. Jonathan Kelly, a seasoned infrastructure investment professional.
The results underscore Granite’s strong position in the logistics and industrial real estate sector, with high occupancy and solid cash‑flow generation. The raised guidance signals management confidence in continued demand, while the disciplined capital allocation strategy and enhanced board expertise position the company to navigate future market dynamics and pursue selective growth opportunities.
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