Broadstone Net Lease Increases 2025 AFFO Per Share Forecast to $1.49-$1.50 Driven by Strong Build-to-Suit Activity
Management Insights: CEO John Moragne reported a strong Q3 2025 with $204 million in investments, full rent collection, and a 5.7% increase in quarterly AFFO per share, raising the full-year guidance to $1.49-$1.50 per share.
Investment and Financial Performance: The company made $552.6 million in year-to-date investments, with a weighted average initial cash capitalization rate of 7.1% for new acquisitions, and reported 99.5% occupancy with 100% rent collection.
Outlook and Strategy: Broadstone anticipates investment volumes between $650 million and $750 million for 2025, focusing on industrial growth driven by e-commerce and reshoring, while maintaining confidence in their build-to-suit program.
Analyst Sentiment: Analysts expressed a slightly positive tone regarding capital recycling and tenant credit, with management emphasizing strong execution and growth visibility, despite challenges in the competitive acquisition environment.
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Broadstone Net Lease Expands Growth Strategy with Almost $700 Million in Investments for 2025
Year-End Update and 2026 Guidance: Broadstone Net Lease Inc. reported stable investment activity and a strong pipeline, reaffirming its 2025 adjusted funds from operations (AFFO) targets and projecting growth for 2026.
Investment and Capital Deployment: The company invested approximately $697 million in 2023, focusing on property acquisitions and development, while also making improvements to existing tenant properties.
Future Projections: BNL expects its 2026 AFFO to be between $1.53 and $1.57 per diluted share, with planned property investments and asset sales contributing to its financial outlook.
Market Performance: As of the latest publication, Broadstone Net Lease shares remained stable at $17.57, reflecting the company's ongoing strategic positioning in the real estate market.
