Strawberry Fields REIT 2025 FFO Jumps to $79.6M, Rental Income Up 32%
Strawberry Fields REIT reported 2025 FFO of $79.6M ($1.43/share) up from $60.2M and AFFO of $72.5M ($1.30/share), driving rental income to $155M, a 32.4% increase. Growth was fueled by a new Kentucky master lease providing $23.3M in annual base rent and Kansas acquisitions adding $2.4M in rents on ten-year terms.
1. Robust FFO and AFFO Growth
Strawberry Fields REIT reported Funds From Operations of $79.6M ($1.43/share) and AFFO of $72.5M ($1.30/share) for 2025, representing year-over-year increases of 32.3% and 29.9% respectively. Total rental income rose 32.4% to $155.0M, reflecting strong occupancy and contractual rent escalations.
2. Strategic Master Leases and Acquisitions
On January 1, 2025 the REIT secured a new master lease for 10 Kentucky properties with $23.3M in annual base rent and CPI-based increases of at least 2.50%. Subsequent acquisitions included six Kansas facilities for $24.0M adding $2.4M in annual rents on ten-year terms, plus multiple skilled nursing facilities in Missouri and Oklahoma.
3. Series B Bond Issuance
In June 2025 the company issued 312.0M NIS (approximately $89.5M) of unsecured Series B bonds at a fixed 6.70% rate. Principal repayments of 4% annually occur from 2026 through 2028, with the remaining 88% due in June 2029, and interest paid semi-annually.
4. Outlook and Valuation Focus
Management plans to pursue further accretive acquisition opportunities while maintaining disciplined underwriting standards. Leadership emphasized expectations that renewed investor focus on senior housing fundamentals will help close the REIT’s valuation gap with peers.