Gladstone Commercial Corporation

Gladstone Commercial Corporation reported mid-year business developments including the acquisition of a 153,890 square foot industrial property in Newport News, Virginia for $22.75 million. The facility is fully leased to a subsidiary of Huntington Ingalls Industries, America's largest shipbuilder, on a long-term net lease. The company also acquired adjacent land in Clintonville, Wisconsin for $0.7 million to support an 86,000 square foot expansion. Leasing activity across eight properties covered over 966,000 square feet, resulting in a $0.3 million net increase in GAAP rent, while portfolio occupancy held at 98.7% as of June 30, 2026. Industrial concentration rose to 69% of annualized straight line rent, up from 63% at the end of 2024, and available liquidity stood at $80.8 million.

Gladstone Commercial has signed a 10-year, five-month lease with Ohio Life Sciences for 34,361 square feet at its office and R&D property in New Albany, Ohio, bringing the 86,301-square-foot building to full occupancy. Ohio Life Sciences, which represents nearly 5,000 life sciences establishments in the state, plans to use the space for a biomanufacturing workforce initiative of up to $30 million, including a training center with simulated labs and clean rooms. The lease aligns with Gladstone Commercial's active portfolio management, as the REIT owned 151 properties across 27 states totaling about 17.7 million square feet at the end of the first quarter of 2026, with a lease rate of 98.7%. While the company collected 100% of cash rents in the first quarter and April, total operating revenues fell 3.6% from the prior quarter and core FFO declined 4.7% to $17.0 million, or 35 cents per share. Shares of Gladstone Commercial have gained 15.2% over the past six months, outperforming the industry's 11.4% growth.