Argan Records a 7% Increase in Rental Income in 2025
The company specializing in logistics warehouses reported rental income of 212.0 million euros for the full year 2025, compared to 198.3 million euros the previous year, according to the statement released on Monday.
According to the group, the growth in rental income primarily stems from the full-year effect of the eight deliveries made in 2024 and the indexed rent revision on January 1, 2025, which was set at 3.45%. In the fourth quarter of 2025, revenues reached 53.3 million euros, up 9% compared to the same period in 2024. The built portfolio now represents 3,770,000 square meters spread over more than one hundred warehouses. The occupancy rate of the portfolio remains at over 99%, continuing a historical trend observed over the last ten years, the company indicates. The average firm residual duration of leases stands at 5.0 years as of December 31, 2025, compared to 5.3 years a year earlier.
The value of the built portfolio reached 4.07 billion euros excluding rights at the end of December 2025, compared to 3.91 billion euros at the end of 2024. According to the statement, this 4% increase primarily reflects a rise in the fair value of the portfolio, driven by the growth in market rents for the warehouse park. The capitalization rate excluding rights stands at 5.25% at the end of December 2025, or 4.95% including rights, compared to 5.20% and 4.90% a year earlier, indicating a near-stabilization of this indicator. The weighted average age of the warehouse park is 12.4 years, compared to 11.6 years on December 31, 2024. The company notes that it completed 55 million euros of delivered investments in 2025, corresponding to nearly 70,000 square meters of new surfaces generating 4 million euros in annual rent, representing a yield of 7.2%.
The group announces having secured about 165 million euros in investments for 2026, with 140 million euros to be delivered before June 30. Acquisitions represent nearly 120 million euros of this program, with an overall average yield exceeding 6%, according to the company. Eight deliveries are planned for the fiscal year, specifically for Puma near Strasbourg (42,000 square meters), Celio in Amblainville with an extension of 12,000 square meters, Ferrero in Normandy at two sites totaling 54,000 square meters, and Danone in Sorigny near Tours (8,200 square meters). According to the statement, four new significant signings thus join the client portfolio of the company. The 2026 objectives related to rental income as well as the overall balance sheet and results will be announced on January 22, 2026, during the publication of the annual results for 2025, the group indicates.
