Highlights

  • GDI Property Group delivered FY26 FFO of $44.5 million, up 25%, with strong leasing and asset sales driving the result.
  • NTA per security rose to $1.21, while distributions of 5.00 cents per security were maintained for the full year overall.
  • Perth office vacancy was forecast to tighten, with no new Supply expected before 2030 and possible rental growth of 39%.
  • GDI announced a 5% security buyback funded by asset sale proceeds as a Capital management initiative post-FY26 during the year.

GDI Property Group (ASX:GDI), a stapled property group comprising GDI Property Group Limited and GDI Property Trust with a Market Capitalisation of approximately $332 million, reported its FY26 results on 24 August 2026. Funds From Operations grew 25.0% to $44.5 million, driven by strong leasing performance and strategic property sales. Net tangible Assets per security rose to $1.21, up from $1.20 in FY25. Distributions of 5.00 cents per security were maintained for FY26, consistent with the prior year, representing a 60.7% Payout Ratio — an improvement from 75.6% in FY25. Revenue from ordinary activities was $77.0 million (down 6.4%), while net profit after tax was $34.6 million (down 2.8%), reflecting the impact of asset disposals offsetting strong operational Earnings growth.

Perth Office Market and Leasing Performance

The highlight of GDI Property Group's FY26 results was the continued strengthening of the Perth CBD office market, in which GDI is primarily invested. Perth office vacancy is tightening as Demand from resources, government and professional services tenants outpaces available stock. With no new supply expected to reach the Perth CBD until 2030 or later, GDI's pipeline points to rental growth of up to 39% over five years — a material tailwind for the company's property assets and FFO trajectory. During FY26, GDI leased over 32,000 square metres of office space and completed significant Lease renewals and new lettings, contributing to meaningful Property Division FFO growth. The company also made progress on its GDI Co-living joint venture, which contributed 37% growth in FFO from the prior corresponding period.

Asset Recycling and Capital Management

GDI Property Group actively recycled capital during FY26, completing property sales that generated proceeds deployed into Debt reduction. These disposals reduced gearing to 33% (from 34% in FY25), maintaining a sound balance sheet. Post FY26, GDI announced a buyback of up to 5% of securities on issue — funded by asset sale proceeds — as a capital management initiative to return value to investors at a discount to NTA. The payout ratio fell from 75.6% to 60.7% in FY26, reflecting the significant FFO growth relative to the maintained distribution, and providing increasing Retained Earnings to support future capital deployment or buyback activity.

Co-Living JV and Outlook

GDI's Co-living joint venture continued to deliver strong returns in FY26, contributing approximately 20% return on initial capital and experiencing 37% year-on-year FFO growth. This non-traditional property segment adds Diversification to GDI's earnings profile alongside its dominant Perth CBD office exposure. Looking ahead, GDI anticipated continued FFO growth in FY27, underpinned by a tightening Perth office market, ongoing leasing momentum, and potential for performance fees from asset management mandates. Management noted Acquisition opportunities for both the funds management Business and the Co-living JV are under consideration.

Stock Price Information

GDI Property Group (ASX:GDI) shares were trading at $0.615 on 6 November 2026, representing a gain of 1.65% for the day. The stock has declined approximately 5% over the past 12 months.