Stonegate Capital Partners Updates Coverage on Gladstone Commercial Corp. (GOOD) 2025 Q4

Rhea-AI Summary

Gladstone Commercial (NASDAQ: GOOD) reported Q4 2025 operational and capital‑markets activity focused on portfolio recycling and liquidity. The company closed the quarter with 151 properties totaling 17.7M sq ft.

FY25 activity included sales of non‑core assets for an aggregate of $26.5M (two properties for $8.0M and one industrial property for $18.5M), acquisition of 19 fully‑occupied properties (~1.57M sq ft) for $206.7M at a 8.88% cap rate, generated Q4 revenue of $43.5M, FFO of $0.37 per share and AFFO of $0.25 per share, and upsized its credit facility while establishing a new term loan to enhance liquidity.

Positive

• Acquired 19 fully-occupied properties for $206.7M
• Added ~1.57M sq ft through FY25 acquisitions
• Completed non-core asset sales totaling $26.5M
• Quarterly revenue of $43.5M, FFO $0.37, AFFO $0.25
• Upsized credit facility and established a new term loan to boost liquidity

Negative

• None.

News Market Reaction – GOOD

+4.16%

17 alerts

+4.16% News Effect

+$24M Valuation Impact

$613M Market Cap

1.4x Rel. Volume

On the day this news was published, GOOD gained 4.16%, reflecting a moderate positive market reaction. Our momentum scanner triggered 17 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $24M to the company's valuation, bringing the market cap to $613M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Properties: 151 properties Rentable space: 17.7M square feet Non-core sales: $8.0M +5 more

8 metrics

Properties 151 properties Portfolio size at end of Q4 2025

Rentable space 17.7M square feet Total rentable space across 27 states

Non-core sales $8.0M Aggregate amount from two non-core property sales in FY25

Industrial sale $18.5M Sale of one non-core industrial property in FY25

Acquisition volume $206.7M 19 fully occupied properties (~1.57M sq ft) acquired in FY25

Acquisition cap rate 8.88% Cap rate on FY25 property acquisitions

Quarterly revenue $43.5M Revenue in Q4 2025 per coverage update

FFO per share $0.37 per share Q4 2025 FFO per share

Market Reality Check

Price: $12.55 Vol: Volume 1,244,979 is 2.41x...

high vol

$12.55 Last Close

Volume Volume 1,244,979 is 2.41x the 20-day average of 517,466, signaling elevated interest into this update. high

Technical Shares at 12.01 are trading below the 200-day MA of 12.49, despite today’s gain of 4.98%.

Peers on Argus

GOOD gained 4.98% with elevated volume, while key peer CTO appeared in momentum ...

1 Up

GOOD gained 4.98% with elevated volume, while key peer CTO appeared in momentum scanners, up about 4.64% without news. Other peers showed smaller mixed moves, suggesting a mainly stock-specific response rather than a broad REIT rotation.

Historical Context

5 past events · Latest: Feb 18 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 18	Q4/FY2025 earnings	Positive	-2.4%	Reported higher Q4 and full-year 2025 FFO and revenue growth.
Feb 17	Earnings call notice	Neutral	+0.4%	Announced timing and access details for Q4 2025 earnings call.
Jan 22	2025 business update	Positive	-0.7%	Summarized 2025 acquisitions, financing actions, leasing, and liquidity.
Jan 20	Lease extensions	Positive	+0.1%	Executed 444,000 SF of lease extensions with key industrial tenant.
Jan 13	Distributions & call dates	Positive	+1.9%	Declared Q1 2026 monthly distributions and set Q4 2025 earnings dates.

Pattern Detected

Recent fundamentally positive updates (earnings and 2025 business summary) have sometimes seen flat or negative next-day moves, indicating a tendency for the stock to underreact or fade good news.

Recent Company History

Over the last several months, Gladstone Commercial has highlighted steady growth, balance sheet actions, and portfolio optimization. The company reported stronger Q4/FY2025 FFO and higher operating revenue, expanded and upsized credit facilities, and executed new industrial acquisitions and lease extensions. It also maintained monthly common and preferred distributions with a long payment history. Today’s coverage update reiterates many of these 2025 achievements, framing the current portfolio size, capital recycling, and acquisition metrics in the context of continued operational stability and liquidity.

Market Pulse Summary

This announcement reiterates Gladstone Commercial’s disciplined portfolio management in Q4 2025, hig...

Analysis

This announcement reiterates Gladstone Commercial’s disciplined portfolio management in Q4 2025, highlighting 151 properties across 27 states and 17.7M square feet, plus non-core sales totaling $8.0M and $18.5M. It emphasizes $43.5M in quarterly revenue, FFO of $0.37 per share, and AFFO of $0.25 per share, alongside $206.7M of fully occupied acquisitions at an 8.88% cap rate. Investors may monitor future leasing, acquisition cap rates, and financing activity for signs of continued operational stability and industrial tilt.

Key Terms

capital recycling strategy, cap rate, ffo, affo, +2 more

6 terms

capital recycling strategy financial

"GOOD executed its capital recycling strategy by selling two non-core properties"

A capital recycling strategy is a company’s plan to sell assets or investments that no longer fit its goals and use the proceeds to fund higher-return projects, pay down debt, or return cash to shareholders. Think of it like selling used items to free money for something that will give you more value; for investors, it signals active portfolio management that can boost future growth, improve financial health, or increase shareholder payouts.

cap rate financial

"properties, with an aggregate of ~1.57M square feet for $206.7M, at a cap rate of 8.88%"

The cap rate is a way to estimate how much money a real estate investment might generate relative to its purchase price. Think of it as a measure of the property's annual income divided by its value, helping investors compare different properties quickly. A higher cap rate generally indicates a potentially higher return but may also come with more risk.

ffo financial

"Generated quarterly revenue, FFO, and AFFO of $43.5M, $0.37 per share"

Funds from operations (FFO) is a performance metric used mainly for real estate companies that measures the cash generated by their core rental and property-management activities, while removing accounting items such as building depreciation and one-time gains or losses from property sales. Investors rely on FFO to assess a real estate firm's ability to pay and sustain dividends and fund growth—similar to checking how much actual rent a landlord collects each month rather than paper profits.

affo financial

"Generated quarterly revenue, FFO, and AFFO of $43.5M, $0.37 per share"

AFFO (Adjusted Funds from Operations) is a measure of how much cash a real estate company or investment trust generates from its core operations after subtracting routine upkeep, leasing costs and other recurring expenses. Investors use it as a rough proxy for the cash available to pay dividends or reinvest, like checking how much money remains in your household budget after paying regular bills to see what you can spend or save.

credit facility financial

"The Company has upsized its credit facility and established a new term loan"

A credit facility is a flexible loan arrangement that allows a borrower to access funds up to a set limit whenever needed, similar to a company having an overdraft option on a bank account. It matters to investors because it indicates how easily a business can secure cash when required, affecting its ability to manage expenses, invest, or respond to financial challenges.

term loan financial

"upsized its credit facility and established a new term loan offering flexibility"

A term loan is a type of loan that is borrowed for a set period of time, with a fixed schedule for repaying the money, usually in regular payments. It matters to investors because it represents a company's borrowing costs and financial stability; reliable repayment of these loans can indicate strong financial health, while difficulties may signal potential risks.

AI-generated analysis. Not financial advice.

Dallas, Texas--(Newsfile Corp. - February 20, 2026) - Gladstone Commercial Corp. (NASDAQ: GOOD): Stonegate Capital Partners Updates Coverage on Gladstone Commercial Corp. (NASDAQ: GOOD). In the fourth quarter of 2025, Gladstone Commercial Corp. maintained its disciplined portfolio management approach. The Company ended the quarter with 151 properties across 27 states, comprised of 17.7M square feet of rentable space. During FY25, GOOD executed its capital recycling strategy by selling two non-core properties, for an aggregate amount of $8.0M and completed the sale transaction on one non-core industrial property for $18.5M. Additionally, the Company expanded its portfolio in FY25 by acquiring 19 fully-occupied properties, with an aggregate of ~1.57M square feet for $206.7M, at a cap rate of 8.88%. These moves underscore GOOD's ongoing emphasis on industrial assets while maintaining liquidity and reducing exposure to non-core properties.

To view the full announcement, including downloadable images, bios, and more, click here.

Key Takeaways:

• Generated quarterly revenue, FFO, and AFFO of $43.5M, $0.37 per share, and $0.25 per share, respectively, reflecting continued operational stability.
• The Company has upsized its credit facility and established a new term loan offering flexibility and liquidity.
• Throughout FY25, the Company acquired 19 fully occupied properties, with an aggregate of ~1.57M square feet for $206.7M.

Click image above to view full announcement.

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About Stonegate

Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking services for public and private companies.

Contacts:

Stonegate Capital Partners
(214) 987-4121
info@stonegateinc.com

Source: Stonegate, Inc.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/284662

FAQ

What portfolio size did Gladstone Commercial (GOOD) report for Q4 2025?

Gladstone Commercial reported 151 properties totaling 17.7 million square feet at quarter end. According to the company, this reflects its maintained portfolio footprint across 27 states and ongoing portfolio management.

How much did GOOD spend on acquisitions in FY25 and what was the cap rate?

GOOD acquired 19 properties for a total of $206.7M at a 8.88% cap rate. According to the company, these were fully‑occupied assets adding ~1.57M square feet to the portfolio.

What non-core asset sales did Gladstone Commercial (GOOD) complete in FY25?

GOOD sold two non-core properties for an aggregate of $8.0M and one non-core industrial property for $18.5M. According to the company, the sales were part of its capital recycling strategy to reduce non-core exposure.

What were Gladstone Commercial's Q4 2025 revenue, FFO, and AFFO (GOOD)?

The company generated Q4 revenue of $43.5M, FFO of $0.37 per share, and AFFO of $0.25 per share. According to the company, these metrics reflect continued operational stability.

Did Gladstone Commercial (GOOD) change its debt facilities in FY25?

Yes. GOOD upsized its credit facility and established a new term loan to increase flexibility and liquidity. According to the company, these moves were intended to support portfolio activity and capital management strategies.