Medalist Diversified REIT Reports 19.2% Revenue Growth to $2.79 Million in Q3 2025

Medalist Diversified REIT, Inc. reported a total revenue of $2.79 million for the third quarter of 2025, reflecting a 19.2% increase from $2.34 million in the same period last year. The growth was driven by a significant rise in single-tenant net lease (STNL) property revenues, which surged to $507,928 from $94,275, attributed to the acquisitions of the Buffalo Wild Wings and United Rentals properties. Retail center property revenues remained relatively stable, increasing slightly to $1.57 million, while flex center property revenues rose to $710,885, up from $676,754.

Despite the revenue growth, the company reported a net loss of $166,738 for the quarter, an improvement from a loss of $517,949 in the prior year. The loss attributable to common stockholders was $395,948, compared to $526,996 in the same quarter of 2024. The decrease in net loss was primarily due to reduced bad debt expenses and lower depreciation and amortization costs, following the transfer of certain properties to assets held for sale. However, total operating expenses increased to $2.34 million, up from $2.03 million, driven by higher legal, accounting, and professional fees.

In terms of strategic developments, Medalist completed the acquisition of the Tesla Pensacola Property in July 2025 for $14.54 million, funded through a $14.7 million line of credit. The company has also committed to contributing this property to a newly formed Delaware Statutory Trust (DST) as part of its strategy to raise capital through private placements. As of September 30, 2025, the company owned 13 developed properties and two undeveloped parcels, with a total asset value of $92.1 million, up from $75.1 million at the end of 2024.

Operationally, the company reported a total of 1,112,405 shares of common stock outstanding as of November 6, 2025, down from 1,345,260 shares at the end of 2024. The company’s total liabilities increased to $67.1 million, compared to $54.1 million at the end of the previous year, largely due to the new debt incurred for property acquisitions. The company’s cash and cash equivalents decreased to $1.89 million from $4.78 million, reflecting the cash used in investing activities.

Looking ahead, Medalist Diversified REIT, Inc. anticipates continued challenges in the current economic environment, particularly with rising interest rates and inflation impacting operational costs and tenant performance. The company is focused on enhancing its portfolio through strategic acquisitions and the successful launch of its DST program, which it believes will provide additional avenues for growth and capital generation. However, the company acknowledges the inherent risks associated with its strategic initiatives and the broader economic landscape.