Industrial Logistics Properties Trust boosts 2026 adjusted EBITDAre outlook to $348M-$353M following strong leasing and fixed-rate debt conversion.
Industrial Logistics Properties Trust (NASDAQ:ILPT) reported second-quarter normalized funds from operations of $0.31 per share, a 51% year-over-year increase, driven by 5.4 million square feet of leasing at a 35% GAAP rent spread. The company added $8.2 million in annualized rental revenue, lifting occupancy to 99% and securing a 3.4 million square-foot leasing pipeline with expected rent roll-ups of 20%-30%.
ILPT also refinanced $1.62 billion in debt at a 5.71% fixed rate, eliminating floating-rate exposure and extending maturities to 2029. Despite high leverage at 11.5 times net debt, the company raised its full-year adjusted EBITDAre guidance to $348 million-$353 million and normalized FFO guidance to $1.31-$1.39 per share. The quarterly dividend was doubled to $0.10 per share.
The company’s outlook reflects confidence in sustained leasing momentum and stabilized financing costs, though elevated leverage remains a key risk factor.