Dream Industrial Real Estate Investment Trust (DIR-UN) Q2 2026 earnings summary

Executive summary

• Achieved 10.3% year-over-year comparative properties NOI growth and 7.8% FFO per unit growth, driven by strong leasing activity and occupancy.

• FFO per unit grew nearly 8% year-over-year; distribution increased by 2.5%, first since 2013, now $0.7175 annualized per unit starting September 2026.

• Over CAD 550 million in acquisitions and $370 million in asset dispositions year-to-date, including entry into the U.K. multi-let industrial sector and expansion of European private ventures.

• Over 3 million sq. ft. leased year-to-date at a 21% weighted average rental spread.

• Strong operational performance and robust acquisition pipeline support a positive outlook.

Financial highlights

• Comparative properties NOI growth: 14.6% in Canada, 5.6% in Europe, 10.3% overall year-over-year.

• Diluted FFO per unit reached CAD 0.28, up 7.8% from prior year quarter.

• Net asset value per unit at quarter end: CAD 16.76 as of June 30, 2026.

• Available liquidity of approximately CAD 750 million; leverage at 35.8%; net debt to EBITDA at 6.6x.

• FFO payout ratio at 63% for the quarter, improved from 68.7% year-over-year; annualized distribution rate now CAD 0.7175 per unit.

Outlook and guidance

• Full-year 2026 comparative properties NOI growth guidance raised to 7%-8%, above 2025’s 5.7%.

• Average in-place occupancy expected in the high 94%-low 96% range for 2026.

• Full-year FFO per unit expected slightly above midpoint of CAD 1.08–1.10 range.

• Chancerygate assets to contribute to FFO as they stabilize over next 6–18 months.

• Management expects continued recurring distribution increases and ongoing focus on deploying capital to accretive opportunities.