Triple-Net Retail REIT Update – October 2025

October 29, 2025

Inflation, Volatility, and the REITs That Keep Delivering: Inside Capright’s Triple-Net Retail Update – October 2025

The triple-net retail REIT sector continues to prove its resilience in 2025, balancing inflationary pressures, cautious consumer sentiment, and tighter capital markets with steady fundamentals and disciplined portfolio management.

The sector remains a defensive anchor in CRE portfolios, supported by high occupancy, stable rent growth, and robust liquidity across leading institutional players.

📊 Key Performance Indicators

• Average Revenue Growth: 12.16%
• Same-Store Rent Growth: 1.63%
• AFFO per Share Growth: 2.72%
• Average WALT: 10.3 years
• Average Occupancy: 98.6%
• Average Acquisitions: 59 properties
• Sector Transaction Volume: +9% YoY, totaling $2.3B in 2Q25

Capright’s analysis highlights how tenant diversification, long-term leases, and disciplined acquisitions continue to buffer against market volatility. Even as inflation and rate uncertainty persist, leading REITs are strategically deploying capital into essential retail categories while recycling non-core assets to strengthen balance sheets.

Tenant Insight: Starbucks Restructuring

Starbucks’ $1B restructuring plan is reshaping its real estate footprint, shifting focus from new store growth to remodeling existing locations. With cap rates expanding from 4.75% (2022) to 6.40% (mid-2025), the report examines how REITs are leveraging scale and tenant relationships to navigate these shifts and maintain stable income growth.

Looking Ahead

Net-leased retail REITs remain a core defensive and income-focused component of CRE portfolios. With stable cap rates, high occupancy, and disciplined acquisition strategies, the sector is well-positioned to sustain durable cash flows and long-term value creation heading into 2026.

📬 Let’s Talk

At Capright, we are uniquely positioned to support institutional investors, operators, and developers navigating this evolving environment. As an independent valuation and advisory firm, we provide clarity, accuracy, and confidence, especially where the stakes are highest.

If you’d like to discuss the findings or need support with your Triple-Net Retail valuation or strategy, reach out to: