Agree Realty Raises 2026 AFFO Floor After a Quieter Buying Quarter

The Tip Desk · October 22, 2026 · 3 min read

The net-lease REIT lifted its 2026 AFFO-per-share range to $4.58 to $4.59 and ended September with about $2.0 billion of liquidity.

Agree Realty Corporation (ADC) raised the floor of its 2026 adjusted funds from operations guidance to $4.58 a share from $4.57, leaving the top of the range at $4.59, after a third quarter in which external buying slowed from a company record.

The publicly traded retail net-lease REIT invested about $357.7 million in 94 properties in the three months ended September 30, 2026, down from a record $502 million across 102 properties in the second quarter. President and Chief Executive Officer Joey Agree said the company invested approximately $1.3 billion across all three external growth platforms in the first nine months of the year.

Acquisition volume was about $308.6 million, covering 68 properties at a 7.3% weighted-average capitalization rate and a 14.5-year weighted-average lease term. About 52.1% of annualized base rents acquired came from investment-grade retail tenants. The company also commenced six development or Developer Funding Platform projects with about $57.4 million of anticipated costs, versus five projects and about $88 million of committed capital in the second quarter. It sold 11 properties for about $26.9 million of gross proceeds at a 6.5% weighted-average cap rate.

Core FFO per share rose 4.9% to $1.15, after a 7.5% increase to $1.13 in the prior quarter. AFFO per share rose 4.9% to $1.15. Net income attributable to common stockholders was $66.5 million, or $0.53 a share, up 18.5% from $0.45 a year earlier.

The company cut 2026 investment-volume guidance to approximately $1.6 billion from $1.6 billion to $1.8 billion. It raised disposition-volume guidance to $100 million to $150 million from $50 million to $100 million and lowered treasury-stock-method dilution guidance to $0.01 to $0.02 from $0.02 to $0.04. General and administrative expenses and non-reimbursable real estate expenses were left unchanged.

In September the company completed a $400 million public offering of 5.65% senior unsecured notes due 2036. After terminating $300 million of related swaps, the all-in rate was 5.36%. It settled 5.7 million shares of outstanding forward equity for $425.7 million of net proceeds.

Liquidity was approximately $2.0 billion at September 30, including $1.25 billion of availability on the revolving credit facility, $657.1 million of outstanding forward equity, and $91.5 million of cash. Proforma net debt to recurring EBITDA was 3.9 times, versus 3.7 times at June 30; excluding unsettled forward equity the ratio was 4.8 times. Net debt was about $3.7 billion.

The monthly common dividend remained $0.267 a share in the third quarter, an annualized $3.204 and a 4.3% year-over-year increase. Subsequent to quarter-end the company declared $0.271 for October 2026, an annualized $3.252.

As of September 30 the portfolio comprised 2,888 properties and about 61.1 million square feet of gross leasable area, approximately 99.8% leased, with a weighted-average lease term of about 7.8 years and about 65.1% of annualized base rents from investment-grade tenants. 2026 lease maturities represented 0.2% of annualized base rents.