United Hampshire US REIT posted distributable income of US$26.9 million for the year ended Dec 31 2025, up 5.7% year-on-year, as positive leasing momentum and contributions from a newly acquired asset offset the loss of income from earlier divestments.
Full-year gross revenue slipped 1.7% YoY to US$72.0 million, weighed by the absence of three properties sold between August 2024 and January 2025. Net property income eased 1.7% to US$49.0 million.
The trust declared a full-year distribution per unit of 4.39 US cents, 8.1% higher YoY. For the second half, DPU rose 12.1% YoY to 2.30 US cents. Payment dates were not disclosed in the filing.
Grocery & Necessity properties—comprising 20 predominantly freehold assets—continued to underpin performance, ending the year with a 97.7% committed occupancy rate and a weighted average lease expiry of 7.7 years. Thirty new and renewal leases covering 422,032 sq ft were executed during the year with tenants such as Walmart, Dollar Tree and HomeGoods. Same-store revenue excluding divested assets and the Dover Marketplace acquisition would have grown 0.8% in the second half.
On the self-storage front, the Carteret and Millburn facilities in the New York metropolitan area recorded higher rental rates despite occupancy moderating to 85.9% and 91.2%, respectively.
The drop in headline revenue was largely attributed to the disposal of assets at Hudson Valley Plaza and Albany Supermarket. These divestments, however, funded partial debt repayments and the US$36 million purchase of Dover Marketplace in August 2025, which boosted second-half income.
The manager continued to recycle capital into higher-yielding properties, completing the acquisition of Wallingford Fair Shopping Center in January 2026. A November 2025 refinancing extended the REIT’s weighted average debt maturity to 3.4 years from 1.6 years, leaving no refinancing needs until February 2028. Aggregate leverage stood at 38.6% at end-December, while the trailing 12-month average interest rate eased to 5.01%; interest coverage was 2.4 times.
Chief executive officer Gerard Yuen said the third consecutive annual increase in DPU reflected successful leasing, portfolio optimisation and lower financing costs, noting that recent tenant additions such as Trader Joe’s and Dick’s Sporting Goods had begun contributing for a full year. He added that proceeds from recent divestments were redeployed into the yield-accretive acquisitions of Dover Marketplace and, more recently, Wallingford Fair Shopping Center, which are expected to lift earnings resilience.
Looking ahead, the manager will sustain its capital-recycling strategy and evaluate further accretive acquisitions, supported by a lower U.S. interest-rate environment. The REIT expects demand for grocery-anchored strip centres to stay firm amid limited new supply of just 0.3% per annum through 2030, while self-storage assets in the New York Metro area should benefit from continued undersupply.