Sirius Real Estate (LSE:SRE) told investors that for the year ended 31 March 2026 it delivered an 18.4% year‑on‑year increase in rent roll and 6.4% like‑for‑like rent roll growth, its twelfth consecutive year above 5%, and that it expects to report full‑year results in line with market expectations.
The Group said the rent roll gain reflects a mix of continued asset acquisitions and stronger occupier demand, with like‑for‑like growth accelerating in the second half.
In Germany leasing ended the year strongly, management said, with pricing gains on renewals and a pick‑up in occupier activity in the final quarter more than offsetting earlier move‑outs; Sirius expects this to convert into valuation growth in the German portfolio supported by stable yields. In the U.K. performance was broadly solid but was dented by delayed political clarity around the Chancellor's Autumn Statement, which delayed decisions in late 2025; activity rebounded in early 2026 and the company expects to maintain U.K. property valuations and to record a positive valuation movement at Group level.
During the year, Sirius completed 13 acquisitions for a total of €464 million. Three of those—Bedford, Feldkirchen and Kiel—account for about €155 million of investment and have a significant defence component to their tenant base. The company said these deals are consistent with its strategy of building a portfolio of defence‑related properties in Germany and the U.K., noting recent government commitments to grow defence spending (Germany aiming for 5% of GDP and cited fiscal stimulus of around €400 billion) that it believes will increase demand for the type of industrial space it owns.
Sirius reiterated a strong balance sheet, citing a renewed and enlarged €300 million revolving credit facility supported by existing and new banking partners. The Group also said it is balancing capital raising with selective disposals: it has agreed the sale of Pfungstadt for €30 million (completion due July 2026) and completed the sale of a smaller Sunderland asset for £1.25 million, both at premiums to book.
"Over the past year, our focus on growth and asset management, as well as the quality and occupier appeal of our properties, has enabled us once again to deliver a strong performance on behalf of our shareholders, despite the volatile market backdrop. This has translated into our twelfth year of like-for-like rental growth of above 5%, as well as improving occupancy and expected overall valuations. Our balance sheet remains strong and having shown that the debt and equity markets will continue to support our strategy when we seek new capital, we invested €464 million into primarily resilient, income-generating assets that also offer the opportunity to create value through our platform. Around a third of this by value was invested into business parks that bolster our portfolio of industrial assets let to defence-related businesses, which we expect to continue to benefit from increased government led defence spending across Europe and further afield." Andrew Coombs, Chief Executive Officer, said.
Sirius will publish full year results for the year ended 31 March 2026 on Monday, 1 June.
