BNL · Broadstone Net Lease, Inc.

Broadstone Net Lease, Inc. reported strong Q1 2026 results, with AFFO growing 5.6% year-over-year to $0.38 per diluted share, supported by 2.8% same-store rental revenue growth from contractual escalators and prior leasing, plus 100% base rent collection. CEO John Moragne highlighted diligent execution, including over $60 million in high-yielding stabilized acquisitions and no lost rent. Revenues rose to $121.4 million from $108.7 million YoY, while net income surged to $46.4 million or $0.24 per share. Investment activity was robust at $171.9 million, featuring $61.2 million in acquisitions like a 60-acre industrial campus leased to Charles River Laboratories at a 9.0% blended initial cash cap rate, and $99.4 million in build-to-suit developments. The company bolstered its pipeline with $179.8 million remaining commitments and a new $30.4 million Tesla battery recycling facility post-quarter. Dispositions included $12.1 million in Q1 and $54.8 million subsequently. Balance sheet remains solid with $2.7 billion debt, 6.1x Net Debt to Annualized Adjusted EBITDAre, and $591.9 million revolver capacity. Guidance for 2026 AFFO of $1.53-$1.57 per share is unchanged, assuming $500-$625 million investments, $75-$100 million dispositions, and $30-$31 million core G&A. A $0.2925 quarterly dividend was declared, payable July 15 to June 30 record holders. Portfolio stands at 773 properties, 99.8% leased, 9.5-year WALT, and 2.1% rent escalations.