FrontView Acquires $41.3M at 7.5% Cap Rate, Posts 99% Occupancy, Raises AFFO Guidance
FrontView acquired seven Q4 properties for $41.3M at a 7.5% cap rate and ended the period with 99% occupancy and a 13.1-year WALT. The REIT sold 11 assets for $20.4M at a 6.82% cap rate, delivered rent uplifts up to 92%, and raised 2026 AFFO guidance.
1. Q4 Acquisitions and Portfolio Metrics
In Q4, FrontView acquired seven properties for $41.3M at a 7.5% cap rate, boosting its 2025 acquisitions to 32 assets totaling $124.1M at a 7.74% cash cap rate. The portfolio closed the quarter with 99% occupancy and a 13.1-year weighted average lease term.
2. Dispositions and Rent Uplifts
The REIT sold 11 properties for $20.4M at a 6.82% cash cap rate with a 6.9-year WALT. Management highlighted a Twin Peaks sale at a 5.8% cap rate and re-leasing to Panda Express and Jagger’s for a combined 92% rent increase over prior rents.
3. Tenant Credit and Lease Upgrades
Two tenants in bankruptcy represented just 0.56% of annual base rent at quarter end. FrontView repositioned a Tricolor auto dealership by securing Avis under lease within the quarter, delivering a 24% value uplift and a substantial credit quality upgrade.
4. Financials and Raised 2026 Guidance
Q4 run-rate cash revenue reached $16M quarterly and $64M annualized, with adjusted cash NOI of $61.3M at a 96% margin. The company cut borrowing spreads, lowered term loan rates to 4.81%, and raised 2026 AFFO per-share guidance on a refined, high-occupancy portfolio.