– Approximately 82% of Annual Base Rent from Industrial Properties –
– Acquires 23
– Completes Sale of 12 Non-Core Assets for
“We have successfully transformed One Liberty into a predominantly industrial-focused platform, comprising 82% of our annual base rent, after completing
Recent Events, Fourth Quarter and Full Year 2025 Highlights:
- Net income of
$0.10 per diluted share in the fourth quarter and$1.15 per diluted share for 2025. - FFO1 of
$0.50 per diluted share in the fourth quarter and$1.80 per diluted share for 2025. - AFFO of
$0.48 per diluted share in the fourth quarter and$1.91 per diluted share for 2025. - Extended or renewed leases for 116,000 square feet in the fourth quarter and 888,000 square feet for 2025.
- Portfolio occupancy of 98.5% as of year end.
- Acquired 13 industrial properties for
$188.8 million in 2025. - In 2025, sold 10 wholly owned properties for
$58.9 million of net proceeds and an$18.7 million gain, and two properties owned by unconsolidated JVs for$2.4 million of net proceeds and a$991,000 gain. - In 2025 and early 2026, entered into contracts to sell a vacant retail property for
$6.0 million and a retail property for$4.2 million , respectively. - Subsequent to year end, acquired ten industrial properties for
$56.7 million and entered into a contract to acquire an additional 14 acres of land adjacent to one of such properties for$800,000 . - Approximately 82% of portfolio annual base rent, or ABR, generated by industrial properties, including acquisitions closed subsequent to year end.
_________________
1 A reconciliation of GAAP amounts to non-GAAP amounts (i.e., FFO and AFFO) is presented with the financial information included in this release.
Rental income increased by
Total operating expenses increased by
During the quarter, the Company recognized
The improvement in FFO is due primarily to litigation settlement income and an increase in rental income, offset by higher interest expense. The change in AFFO is due primarily to the same factors, excluding the litigation settlement income.
Diluted per share net income, FFO and AFFO were impacted in the quarter ended
| Fourth Quarter Results | Three Months Ended | ||||||||
| Key Metrics | 2025 | 2024 | % Change | ||||||
| (Amounts in thousands, Except Per Share Data) | |||||||||
| Net income attributable to OLP | $ | 2,410 | $ | 10,532 | (77.1 | )% | |||
| Net income / share attributable to common stockholders - diluted | $ | 0.10 | $ | 0.49 | (79.6 | )% | |||
| FFO | $ | 10,847 | $ | 10,029 | 8.2 | % | |||
| FFO / share - diluted | $ | 0.50 | $ | 0.46 | 8.7 | % | |||
| AFFO | $ | 10,354 | $ | 10,819 | (4.3 | )% | |||
| AFFO / share - diluted | $ | 0.48 | $ | 0.50 | (4.0 | )% | |||
Rental income increased by
Total operating expenses increased by
During the year, the Company recognized an
The improvement in FFO is due primarily to increases in rental income and litigation settlement income, offset by higher interest expense and real estate expenses. The increase in AFFO is due to the same factors, excluding the litigation settlement income and non-cash equity compensation awards.
Diluted per share net income, FFO and AFFO were impacted in 2025 compared to 2024 by an average increase of approximately 204,000 in the weighted average number of shares of common stock outstanding as a result of stock issuances in connection with the non-cash equity incentive and dividend reinvestment programs.
| Full Year 2025 Results | Year Ended | ||||||||
| Key Metrics | 2025 | 2024 | % Change | ||||||
| (Amounts in thousands, Except Per Share Data) | |||||||||
| Net income attributable to OLP | $ | 25,474 | $ | 30,417 | (16.3 | )% | |||
| Net income / share attributable to common stockholders - diluted | $ | 1.15 | $ | 1.40 | (17.9 | )% | |||
| FFO | $ | 39,171 | $ | 38,027 | 3.0 | % | |||
| FFO / share - diluted | $ | 1.80 | $ | 1.77 | 1.7 | % | |||
| AFFO | $ | 41,556 | $ | 41,157 | 1.0 | % | |||
| AFFO / share - diluted | $ | 1.91 | $ | 1.91 | - | ||||
Balance Sheet:
At
At
2025 Transaction Activity:
The Company acquired 13 industrial properties for
The Company sold ten properties (seven retail, a restaurant, a veterinary hospital and a property ground leased to a multi-unit apartment complex owner/operator) for aggregate net sales proceeds of
The Company sold two joint venture properties; its 50% share of the net sales proceeds and gain were
The Company entered into a contract in
Subsequent Events:
The Company completed, in
The Company entered into a contract in
Non-GAAP Financial Measures:
One Liberty computes FFO in accordance with the “White Paper on Funds from Operations” issued by the
One Liberty computes adjusted funds from operations, or AFFO, by adjusting from FFO for its straight-line rent accruals and amortization of lease intangibles, deducting from income additional rent from ground lease tenant, income on settlement of litigation, income on insurance recoveries from casualties, lease termination and assignment fees, and adding back amortization of restricted stock and restricted stock unit compensation expense, amortization of costs in connection with its financing activities (including its share of its unconsolidated joint ventures), debt prepayment costs and amortization of lease incentives and mortgage intangible assets. Since the NAREIT White Paper does not provide guidelines for computing AFFO, the computation of AFFO may vary from one REIT to another.
One Liberty believes that FFO and AFFO are useful and standard supplemental measures of the operating performance for equity REITs and are used frequently by securities analysts, investors and other interested parties in evaluating equity REITs, many of which present FFO and AFFO when reporting their operating results. FFO and AFFO are intended to exclude GAAP historical cost depreciation and amortization of real estate assets, which assumes that the value of real estate assets diminish predictability over time. In fact, real estate values have historically risen and fallen with market conditions. As a result, management believes that FFO and AFFO provide a performance measure that when compared period-over-period, should reflect the impact to operations from trends in, among other things, occupancy rates, rental rates, operating costs and interest costs, without the inclusion of depreciation and amortization, providing a perspective that may not be necessarily apparent from net income. Management also considers FFO and AFFO to be useful in evaluating potential property acquisitions.
FFO and AFFO do not represent net income or cash flows from operating, investing or financing activities as defined by GAAP. FFO and AFFO are not alternatives to net income as a reliable measure of One Liberty’s operating performance nor an alternative to cash flows as measures of liquidity. FFO and AFFO do not measure whether cash flow is sufficient to fund all of our cash needs, including principal amortization, capital improvements and distributions to stockholders. Management recognizes that there are limitations in the use of FFO and AFFO. In evaluating our performance, management is careful to examine GAAP measures such as net income and cash flows from operating, investing and financing activities.
Operating Measure:
Annual base rent, or ABR, generally represents the cash base rent payable to OLP during the twelve months ending
Forward Looking Statement:
Certain information contained in this press release, together with other statements and information publicly disseminated by
About
One Liberty is an industrial-focused real estate investment trust organized in
Contact:
Investor Relations
Phone: (516) 466-3100
www.1liberty.com
| CONDENSED BALANCE SHEETS | ||||||||
| (Amounts in Thousands) | ||||||||
| 2025 | 2024 | |||||||
| ASSETS | ||||||||
| Real estate investments, at cost | $ | 972,257 | $ | 860,752 | ||||
| Accumulated depreciation | (194,663 | ) | (188,447 | ) | ||||
| Real estate investments, net | 777,594 | 672,305 | ||||||
| Investment in unconsolidated joint ventures | 203 | 2,101 | ||||||
| Cash and cash equivalents | 14,434 | 42,315 | ||||||
| Unbilled rent receivable | 17,269 | 16,988 | ||||||
| Unamortized intangible lease assets, net | 25,501 | 13,649 | ||||||
| Other assets | 22,569 | 19,596 | ||||||
| Total assets | $ | 857,570 | $ | 766,954 | ||||
| LIABILITIES AND EQUITY | ||||||||
| Liabilities: | ||||||||
| Mortgages payable, net | $ | 517,342 | $ | 420,555 | ||||
| Line of credit | — | — | ||||||
| Unamortized intangible lease liabilities, net | 12,946 | 11,752 | ||||||
| Other liabilities | 27,485 | 26,072 | ||||||
| Total liabilities | 557,773 | 458,379 | ||||||
| 299,603 | 307,425 | |||||||
| Non-controlling interests in consolidated joint ventures | 194 | 1,150 | ||||||
| Total equity | 299,797 | 308,575 | ||||||
| Total liabilities and equity | $ | 857,570 | $ | 766,954 | ||||
| (Amounts in Thousands, Except Per Share Data) | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Revenues: | ||||||||||||||||
| Rental income, net | $ | 24,741 | $ | 23,856 | $ | 97,161 | $ | 90,313 | ||||||||
| Lease termination fees | — | — | 66 | 250 | ||||||||||||
| Total revenues | 24,741 | 23,856 | 97,227 | 90,563 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Depreciation and amortization | 7,126 | 6,172 | 27,196 | 24,291 | ||||||||||||
| Real estate expenses | 5,125 | 5,227 | 19,878 | 17,904 | ||||||||||||
| General and administrative | 4,031 | 3,803 | 16,267 | 15,388 | ||||||||||||
| Impairment losses | 3,293 | — | 4,593 | 1,086 | ||||||||||||
| State taxes | 71 | (183 | ) | 73 | 1 | |||||||||||
| Total operating expenses | 19,646 | 15,019 | 68,007 | 58,670 | ||||||||||||
| Other operating income | ||||||||||||||||
| Gain on sale of real estate, net | 1,977 | 6,660 | 18,689 | 18,007 | ||||||||||||
| Operating income | 7,072 | 15,497 | 47,909 | 49,900 | ||||||||||||
| Other income and expenses: | ||||||||||||||||
| Equity in earnings of unconsolidated joint ventures | 1 | 56 | 101 | 143 | ||||||||||||
| Equity in earnings from sale of unconsolidated joint venture properties | — | — | 991 | — | ||||||||||||
| Income on settlement of litigation | 1,300 | — | 1,300 | — | ||||||||||||
| Other income | 198 | 290 | 609 | 1,186 | ||||||||||||
| Interest: | ||||||||||||||||
| Expense | (5,902 | ) | (5,064 | ) | (22,798 | ) | (19,463 | ) | ||||||||
| Amortization and write-off of deferred financing costs | (254 | ) | (227 | ) | (1,005 | ) | (968 | ) | ||||||||
| Net income | 2,415 | 10,552 | 27,107 | 30,798 | ||||||||||||
| Net income attributable to non-controlling interests | (5 | ) | (20 | ) | (1,633 | ) | (381 | ) | ||||||||
| Net income attributable to | $ | 2,410 | $ | 10,532 | $ | 25,474 | $ | 30,417 | ||||||||
| Net income per share attributable to common stockholders - diluted | $ | 0.10 | $ | 0.49 | $ | 1.15 | $ | 1.40 | ||||||||
| Funds from operations - Note 1 | $ | 10,847 | $ | 10,029 | $ | 39,171 | $ | 38,027 | ||||||||
| Funds from operations per common share - diluted - Note 2 | $ | 0.50 | $ | 0.46 | $ | 1.80 | $ | 1.77 | ||||||||
| Adjusted funds from operations - Note 1 | $ | 10,354 | $ | 10,819 | $ | 41,556 | $ | 41,157 | ||||||||
| Adjusted funds from operations per common share - diluted - Note 2 | $ | 0.48 | $ | 0.50 | $ | 1.91 | $ | 1.91 | ||||||||
| Weighted average number of common shares outstanding: | ||||||||||||||||
| Basic | 20,906 | 20,666 | 20,866 | 20,600 | ||||||||||||
| Diluted | 20,918 | 20,796 | 20,912 | 20,722 | ||||||||||||
| (Amounts in Thousands, Except Per Share Data) | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| Note 1: | 2025 | 2024 | 2025 | 2024 | ||||||||||||
| NAREIT funds from operations is summarized in the following table: | ||||||||||||||||
| GAAP net income attributable to | $ | 2,410 | $ | 10,532 | $ | 25,474 | $ | 30,417 | ||||||||
| Add: depreciation and amortization of properties | 6,917 | 5,971 | 26,354 | 23,495 | ||||||||||||
| Add: our share of depreciation and amortization of unconsolidated joint ventures | — | 5 | 18 | 22 | ||||||||||||
| Add: impairment losses | 3,293 | — | 4,593 | 1,086 | ||||||||||||
| Add: amortization of deferred leasing costs | 209 | 201 | 842 | 796 | ||||||||||||
| Add: our share of amortization of deferred leasing costs of unconsolidated joint ventures | — | — | 3 | 12 | ||||||||||||
| Deduct: gain on sale of real estate, net | (1,977 | ) | (6,660 | ) | (18,689 | ) | (18,007 | ) | ||||||||
| Deduct: equity in earnings from sale of unconsolidated joint venture properties | — | — | (991 | ) | — | |||||||||||
| Adjustments for non-controlling interests | (5 | ) | (20 | ) | 1,567 | 206 | ||||||||||
| NAREIT funds from operations applicable to common stock | 10,847 | 10,029 | 39,171 | 38,027 | ||||||||||||
| Deduct: straight-line rent accruals and amortization of lease intangibles | (767 | ) | (740 | ) | (2,675 | ) | (2,745 | ) | ||||||||
| Adjust: our share of straight-line rent accruals and amortization of lease intangibles of unconsolidated joint ventures | — | (8 | ) | (32 | ) | 19 | ||||||||||
| Deduct: lease termination fees | — | — | (66 | ) | (250 | ) | ||||||||||
| Deduct: other income and income on settlement of litigation | (1,327 | ) | (27 | ) | (1,410 | ) | (110 | ) | ||||||||
| Add: amortization of restricted stock and RSU compensation | 1,292 | 1,275 | 5,333 | 4,962 | ||||||||||||
| Add: amortization and write-off of deferred financing costs | 254 | 227 | 1,005 | 968 | ||||||||||||
| Add: amortization of lease incentives | 24 | 30 | 107 | 119 | ||||||||||||
| Add: amortization of mortgage intangible assets | 34 | 34 | 137 | 137 | ||||||||||||
| Adjustments for non-controlling interests | (3 | ) | (1 | ) | (14 | ) | 30 | |||||||||
| Adjusted funds from operations applicable to common stock | $ | 10,354 | $ | 10,819 | $ | 41,556 | $ | 41,157 | ||||||||
| Note 2: | ||||||||||||||||
| NAREIT funds from operations is summarized in the following table: | ||||||||||||||||
| GAAP net income attributable to | $ | 0.10 | $ | 0.49 | $ | 1.15 | $ | 1.40 | ||||||||
| Add: depreciation and amortization of properties | 0.33 | 0.27 | 1.23 | 1.10 | ||||||||||||
| Add: our share of depreciation and amortization of unconsolidated joint ventures | — | — | — | — | ||||||||||||
| Add: impairment losses | 0.15 | — | 0.21 | 0.05 | ||||||||||||
| Add: amortization of deferred leasing costs | 0.01 | 0.01 | 0.04 | 0.04 | ||||||||||||
| Add: our share of amortization of deferred leasing costs of unconsolidated joint ventures | — | — | — | — | ||||||||||||
| Deduct: gain on sale of real estate, net | (0.09 | ) | (0.31 | ) | (0.86 | ) | (0.84 | ) | ||||||||
| Deduct: equity in earnings from sale of unconsolidated joint venture properties | — | — | (0.05 | ) | — | |||||||||||
| Adjustments for non-controlling interests | — | — | 0.08 | 0.02 | ||||||||||||
| NAREIT funds from operations per share of common stock - diluted (a) | 0.50 | 0.46 | 1.80 | 1.77 | ||||||||||||
| Deduct: straight-line rent accruals and amortization of lease intangibles | (0.03 | ) | (0.03 | ) | (0.13 | ) | (0.13 | ) | ||||||||
| Adjust: our share of straight-line rent accruals and amortization of lease intangibles of unconsolidated joint ventures | — | — | — | — | ||||||||||||
| Deduct: lease termination fees | — | — | — | (0.01 | ) | |||||||||||
| Deduct: other income and income on settlement of litigation | (0.06 | ) | — | (0.06 | ) | (0.01 | ) | |||||||||
| Add: amortization of restricted stock and RSU compensation | 0.06 | 0.06 | 0.24 | 0.23 | ||||||||||||
| Add: amortization and write-off of deferred financing costs | 0.01 | 0.01 | 0.05 | 0.04 | ||||||||||||
| Add: amortization of lease incentives | — | — | — | 0.01 | ||||||||||||
| Add: amortization of mortgage intangible assets | — | — | 0.01 | 0.01 | ||||||||||||
| Adjustments for non-controlling interests | — | — | — | — | ||||||||||||
| Adjusted funds from operations per share of common stock - diluted (a) | $ | 0.48 | $ | 0.50 | $ | 1.91 | $ | 1.91 | ||||||||
| (a) The weighted average number of diluted common shares used to compute FFO and AFFO applicable to common stock includes unvested restricted shares that are excluded from the computation of diluted EPS. | ||||||||||||||||
