STAG Industrial is positioned to deliver approximately 9% annual AFFO/share growth through three primary levers. First, mark-to-market lease rolls on its same-store portfolio should drive 3.5% NOI growth in 2026, equating to roughly $22 million of incremental annual cash NOI (about $0.12 AFFO per share). Second, with cap rates rising into the mid-6% range, the REIT expects to deploy roughly $700 million in acquisitions next year—on par with its five-year average—generating an estimated $11 million ($0.06 per share) of immediate AFFO accretion via a 75 basis-point spread over its 5.86% cost of equity. Third, its development pipeline of $158 million, targeting a 7% stabilized yield, should add about $2 million ($0.01 per share) of AFFO in 2026, for a total run-rate accretion of $0.19 per share.

Trading at 17X forward AFFO, STAG offers a significant discount to its sector peers and to consensus NAV of $44.24, while its recently raised 4% dividend yield enhances total return potential. Assuming flat trading multiples, the combination of 9% organic AFFO growth and the 4% yield implies a 13% annual return. With a conservative leverage profile of 5X debt-to-EBITDA, an S&P credit rating of BBB, and over $100 million in free cash flow after dividends, the balance sheet supports both continued dividend safety and further accretive acquisitions.

On January 20, 2026, STAG disclosed the tax characterization of its 2025 common stock distributions. Total distributions for the year amounted to $1.499297 per share, comprised of $1.385009 in ordinary taxable dividends treated as qualified REIT dividends under Section 199A and $0.114288 in capital gain distributions (including $0.030187 of unrecaptured Section 1250 gains). No portion of the distributions was classified as return of capital, and shareholders should consult personal tax advisors regarding the impact on individual tax filings.