"2025 was an instrumental year for Automotive Properties REIT. We acquired 13 automotive properties, including our first three properties in the United States, for an aggregate purchase price of approximately $200 million. These acquisitions contributed to our significant growth in rental revenue, cash NOI and AFFO per Unit in 2025. In addition, we increased our cash distributions 2.2% in 2025 while still reducing our AFFO payout ratio compared to the prior year, demonstrating the positive impact of our acquisitions and contractual annual rent increases on our cash flows," said Milton Lamb, CEO of Automotive Properties REIT.
"We further strengthened our momentum for 2026 with our recent acquisition of a Hyundai dealership property in Québec City at the start of the year and our announcement today of our agreement to acquire a Rivian-tenanted property in Vista, San Diego County, California," continued Mr. Lamb. "We are well positioned to continue advancing our growth strategy to build value for unitholders."
Q4 2025 Highlights
The REIT generated AFFO per Unit1 of $0.251 (diluted) and paid regular cash distributions of $0.206 per Unit (as defined below) in Q4 2025, representing an AFFO payout ratio1 of approximately 82.1%. For the comparable three-month period ended December 31, 2024 ("Q4 2024"), the REIT generated AFFO per Unit of $0.232 (diluted) and paid regular cash distributions of $0.201 per Unit, representing an AFFO payout ratio of approximately 86.6%.
The REIT had a Debt to Gross Book Value ("Debt to GBV")2 ratio of 45.9% as at December 31, 2025, and had $73.3 million of undrawn capacity under its revolving credit facilities, $0.7 million of cash on hand, and nine unencumbered properties with an aggregate value of approximately $117.0 million. As at the date of this news release, the REIT has approximately $102.3 million of undrawn capacity under its revolving credit facilities and 10 unencumbered properties with an aggregate value of approximately $130.2 million.
On October 16, 2025, the REIT completed the acquisition of a portfolio of three automotive dealership properties located in Dorval, Québec, a suburb of Montreal (the "Des Sources Properties"), for a purchase price of approximately $52.5 million. The REIT funded the purchase price for the acquisition of the Des Sources Properties through an interest-only $31.5 million vendor take-back mortgage with an affiliate of the vendor at an interest rate of 4.5% for a term of five years, with the balance funded by the REIT's credit facilities.
On October 23, 2025, REIT completed a "bought deal" public offering (the "Public Offering") of 3,070,000 units of the REIT ("REIT Units" and, together with the Class B LP Units, the "Units") at a price of $11.11 per REIT Unit (the "Offering Price") to a syndicate of underwriters for gross proceeds of approximately $34.1 million. Concurrently, the REIT completed a private placement of 1,442,844 REIT Units at the Offering Price to a member of the Dilawri Group (the "Dilawri Subscriber") for gross proceeds of approximately $16.0 million (together with the Public Offering, the "Offering").
On October 28, 2025, the REIT completed the sale of an additional 428,200 REIT Units at the Offering Price to the syndicate of underwriters pursuant to the partial exercise of an over-allotment option granted to the underwriters. Concurrently, the REIT also completed the sale of an additional 201,247 REIT Units at the Offering Price to the Dilawri Subscriber pursuant to the exercise of an option granted to the Dilawri Subscriber. The exercise of these options increased the total gross proceeds from the Offering to approximately $57.1 million.
On October 29, 2025, the REIT acquired a Honda dealership property located in Île-Perrot, Québec (the "Honda Île-Perrot Property") for a purchase price of approximately $4.8 million. The REIT funded the purchase price for the acquisition of the Honda Île-Perrot Property with cash on hand.
____________________
1 AFFO per Unit is a non-IFRS measure and AFFO payout ratio is a non-IFRS ratio. See "Non-IFRS Financial Measures" at the end of this news release.
2 Debt to GBV is a supplementary financial measure. See "Non-IFRS Financial Measures" at the end of this news release.
Subsequent Events, Property Acquisitions
On January 1, 2026, the REIT acquired a Hyundai dealership property located at 300 Boulevard Louis-XIV in Québec City (the "Québec City Hyundai Property") for a purchase price of approximately $13.25 million. The REIT funded the acquisition of the Québec City Hyundai Property by drawing on its revolving credit facilities.
Today, the REIT announced an agreement to purchase an automotive and service property located at 3280 Corporate View in Vista, San Diego County, California (the "Vista Property") from a third party for a purchase price of US$16.0 million. The Vista Property is tenanted by Rivian LLC under a mid-term, net lease that includes contractual fixed annual rent increases with renewal options. The Vista Property consists of an approximately 59,828 square-foot Rivian sales, delivery and service facility that is situated on approximately 3.75 acres of land. The acquisition of the Vista Property is expected to close during the first half of 2026. The REIT expects to fund the purchase price for the acquisition of the Vista Property by drawing on its revolving credit facilities.
Financial Results Summary
Three months endedDecember 31,
12 months endedDecember 31,
($000s, except per Unit amounts)
2025
2024
Change
2025
2024
Change
Rental revenue (1)
$27,935
$23,415
19.3 %
$101,835
$93,876
8.5 %
NOI (2)
23,674
19,765
19.8 %
85,880
79,329
8.3 %
Cash NOI (2)
23,235
19,585
18.6 %
84,846
78,269
8.4 %
Same Property Cash NOI (1) (2)
19,772
19,401
1.9 %
78,367
76,749
2.1 %
Net Income (3)
14,923
12,046
23.9 %
44,579
72,001
-38.1 %
Net Income and Other Comprehensive Income (3)
13,928
12,046
15.6 %
43,226
72,001
-40.0 %
FFO (2)
14,302
11,874
20.4 %
52,632
47,879
9.9 %
AFFO (2)
13,845
11,682
18.5 %
51,569
46,810
10.2 %
Distributions per Unit
0.206
0.201
0.005
0.813
0.804
0.009
FFO per Unit - basic (2) (4)
0.266
0.242
0.024
1.046
0.976
0.070
FFO per Unit - diluted (2) (5)
0.259
0.236
0.023
1.019
0.953
0.066
AFFO per Unit - basic (2) (4)
0.257
0.238
0.019
1.025
0.954
0.071
AFFO per Unit - diluted (2) (5)
0.251
0.232
0.019
0.998
0.932
0.066
Ratios (%)
FFO payout ratio (2)
79.4 %
85.2 %
-5.8 %
79.8 %
84.4 %
-4.6 %
AFFO payout ratio (2)
82.1 %
86.6 %
-4.5 %
81.5 %
86.3 %
-4.8 %
Debt to GBV (6)
45.9 %
42.4 %
3.5 %
45.9 %
42.4 %
3.5 %
(1)
