VICI Properties (NYSE:VICI) executives highlighted portfolio growth, tenant operating performance, and balance sheet positioning during the company’s fourth-quarter and full-year 2025 earnings call on Feb. 26, 2026, while also outlining 2026 AFFO guidance and discussing recent transactions and leasing updates.
Management emphasizes tenant operations and long-term relevance
CEO Ed Pitoniak opened the call by underscoring the importance of tenant execution to VICI’s triple-net lease model. While noting that VICI does not participate in operating decisions, Pitoniak said the company pays close attention to how tenants generate results, particularly in service-intensive gaming, leisure, and hospitality businesses.
Later in the Q&A, Pitoniak also discussed the risk of obsolescence across real estate categories, saying relevance over 20 to 30 years is a key consideration as VICI evaluates investments in new experiential sectors such as sports and live entertainment.
2025 deal activity and new partnerships
President and COO John Payne described 2025 as a year of new partnerships and committed capital, stating that VICI formed relationships with several operators and counterparties it views as aligned with the company’s experiential real estate strategy.
- A $450 million mezzanine loan investment tied to One Beverly Hills with Cain and Eldridge Industries.
- A $510 million delayed draw term loan with Red Rock Resorts for the development of North Fork.
- Clairvest as a future tenant following its pending acquisition of operations at MGM Northfield Park.
- A $1.16 billion sale-leaseback involving seven Nevada casino properties with Golden Entertainment and Blake Sartini, expected to add a fifteenth tenant when it closes later in 2026, subject to shareholder vote and customary conditions.
Payne said these announcements represented $2.1 billion of committed capital in 2025 at a weighted average initial yield of 8.9%.
On the Golden transaction, Payne said VICI was attracted to the opportunity to gain exposure to the Las Vegas locals market and emphasized Nevada’s regulatory environment and protections around land-based gaming. He also cited demographic and income growth figures for the Las Vegas locals market, including a stated 10-year median household income CAGR of 5.5% versus 1.9% nationally.
Payne acknowledged the Las Vegas Strip saw a “relatively softer” 2025 compared to prior years, but characterized it as normalization rather than a pullback, noting that Harry Reid International Airport still recorded its third busiest year even with a year-over-year decline tied largely to reduced Canadian visitation. He also pointed to the 2026 convention calendar, including CES in January and CONEXPO-CON/AGG in March, as supportive to Strip demand in the first half of 2026.
Fourth-quarter and full-year results; 2026 AFFO guidance
CFO David Kieske reported fourth-quarter AFFO of $642.5 million, up 6.8% year over year, with AFFO per share of $0.60, up 5.6%. For full-year 2025, he said AFFO increased 6.6% to $2.5 billion, with AFFO per share of $2.38, up 5.1%.
Kieske attributed per-share growth primarily to reinvestment of free cash flow and noted that VICI increased its share count by 1% during 2025. He also highlighted operating efficiency, stating G&A expense was $19.3 million in the quarter and $65.1 million for the year, representing 1.9% and 1.6% of total revenues, respectively. He said VICI’s net income margin for the year was approximately 69%.
For 2026, VICI initiated AFFO guidance of $2.59 billion to $2.625 billion, or $2.42 to $2.45 per diluted common share. Management emphasized that guidance excludes unclosed transactions, interest income from loans without finalized draw structures, potential future acquisitions or dispositions and related capital markets activity, and other non-recurring items.
Balance sheet, maturities, and liquidity
Kieske said total debt was $17.1 billion and net debt to annualized fourth-quarter adjusted EBITDA was approximately 5x, which he described as the low end of VICI’s target leverage range of 5x to 5.5x. He reported a weighted average interest rate of 4.46% (adjusted for hedge activity) and a weighted average six years to maturity.
As of Dec. 31, VICI had approximately $3.2 billion of liquidity, including about $608 million in cash, $243 million of proceeds available under outstanding forwards, and $2.4 billion of revolver availability.
Addressing upcoming debt maturities, Kieske discussed a September maturity of $500 million and a December maturity of $1.25 billion, as well as $1.5 billion coming due in early 2027. He said the company expects to access the bond market later in 2026 ahead of maturities. On expected pricing, he referenced an estimate of roughly “$1.25, $1.30 over the 10-year,” translating to an “all in coupon” in the low 5% range, while noting market conditions can change.
Lease updates, lending disclosures, and strategic priorities
In response to analyst questions, management addressed several portfolio topics:
- Caesars master lease discussions: Pitoniak confirmed preliminary discussions with Caesars but declined to provide details or timing. He said any solutions will be evaluated in the context of broader portfolio and risk management goals, including optimizing exposure by tenant, category, and geography. He also noted VICI began with 100% rent exposure to Caesars and is now in the “high 30s” as a percentage of annual rent roll.
- Non-accrual loan collateralized by a golf development: Management said the loan moved to non-accrual due to the borrower’s working capital issue. Pitoniak said VICI made a tactical decision intended to help preserve property value while the borrower focuses on recapitalization. Chief Accounting Officer Gabe Wasserman said income from the loan is not included in 2026 guidance.
- Greektown/Margaritaville lease combination: Payne said VICI combined two leases to simplify escalations and remove volatility by eliminating percentage rent. He said it enhanced credit protections by cross-collateralizing two assets in a master lease with a corporate guarantee and did not change rent collected “this year,” while management acknowledged the change reduces potential escalation upside going forward in exchange for a cleaner structure.
- External growth and capital allocation: Management reiterated it prioritizes real estate ownership while using lending to develop relationships. Pitoniak said share repurchases are “highly unlikely,” arguing retained cash and incremental capital are better deployed into experiential assets for long-term returns.
- Experiential pipeline focus areas: Payne said VICI is in discussions with sports operators, teams, leagues, and universities and is also evaluating opportunities tied to live entertainment venues, citing data indicating strong spending appetite among Millennials and Gen Z. He said the company has approached “50, 60, 70” universities regarding sports infrastructure needs.
- One Beverly Hills/Cain loan maturity: Kieske said an initial maturity next month is unlikely to be repaid and is expected to be rolled into a broader construction syndicate, with timing to be determined.
- New York casino development: Payne said VICI is monitoring opportunities to participate in New York capital stacks and is evaluating projections and partner fit, calling it “wait and see.”
VICI concluded the call by reiterating its focus on relationship-based underwriting and portfolio optimization, with management pointing to its history of reducing single-tenant concentration and seeking growth across gaming and broader experiential real estate.
About VICI Properties (NYSE:VICI)
VICI Properties (NYSE: VICI) is a publicly traded real estate investment trust (REIT) that specializes in experiential real estate, with a primary focus on gaming, hospitality and entertainment assets. The company acquires, owns and manages a portfolio of destination properties and leases those assets to operators under long-term agreements, generating rental income and partnering on property development and capital projects. VICI was formed in connection with the restructuring of Caesars Entertainment and has since grown through acquisitions and strategic transactions to expand its footprint in the gaming and leisure sector.
The company’s portfolio is concentrated in major U.S.
