Granite REIT Boosts Distribution, Acquires Properties

Granite Real Estate Investment Trust (TSX: GRT.UN) reported its third quarter 2026 financial results, highlighting a notable increase in net operating income (NOI) to $136.0 million, up $8.9 million from the previous year. This growth was attributed to strong leasing activity and recent property acquisitions in Canada and the United States, partially offset by property dispositions.

The Trust's funds from operations (FFO) reached $99.5 million ($1.60 per unit), and adjusted funds from operations (AFFO) were $90.3 million ($1.45 per unit), both showing substantial year-over-year gains. Consequently, Granite declared a 4.23% increase in its targeted annualized distribution to $3.70 per unit, effective December 2026.

During the quarter, Granite acquired two income-producing properties in Houston, Texas, for a total of $137.9 million. Subsequent to quarter-end, the Trust completed additional acquisitions in the United Kingdom, totaling $133.1 million, and also disposed of a property in Plainfield, Indiana.

Granite maintained its 2026 financial guidance, anticipating a stable year despite ongoing foreign exchange fluctuations. The REIT also highlighted its strong performance in corporate sustainability, ranking third in its peer group for GRESB Real Estate Assessment.