WYOMISSING, PA — Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) posted another quarter of record financial results, with the gaming real estate investment trust reporting strong year-over-year gains across key metrics and highlighting a robust pipeline of development and financing activity.
For the second quarter ended June 30, GLPI reported total revenue of $394.9 million, up 3.8% from a year ago. Adjusted EBITDA rose 6.2% to $379.4 million, and adjusted funds from operations (AFFO) increased 4.4% to $276.1 million.
Chairman and CEO Peter Carlino credited the company’s performance to a combination of recent acquisitions, lease escalators, and growing partnerships with top-tier regional gaming operators. “Our solid second quarter results reflect GLPI’s recent acquisitions and financing arrangements, contractual escalators and percentage rent adjustments, and our growing base of leading regional gaming operator tenants,” said Carlino.
Key Drivers of Growth
GLPI’s growth strategy continues to hinge on creative financing arrangements and long-term lease partnerships. The company cited several recent moves that are expected to fuel second-half performance:
- Bally’s Master Lease II: Effective July 1, GLPI transferred DraftKings at Casino Queen and The Queen Baton Rouge properties to the new Bally’s Master Lease II, reallocating $28.9 million in annual rent under a new lease backed by multiple Bally’s entities.
- Hollywood Casino Joliet Relocation: GLPI expects to fund $130 million for the project’s relocation, set to open August 11, at a 7.75% cap rate.
- Bally’s Belle of Baton Rouge Conversion: GLPI continues funding for the landside conversion, now partially completed with the hotel open and full completion anticipated in Q4 2025.
- Boyd Gaming Lease Extension: Boyd exercised a five-year renewal on both its Master Lease and the Belterra Park Lease, extending both through April 2031.
- Acorn Ridge Casino Tribal Financing: GLPI has funded $25.8 million of a $110 million commitment to the Ione Band of Miwok Indians, marking a first-of-its-kind financing deal between a REIT and a federally recognized tribe. The five-year loan carries an 11% interest rate.
Broader Expansion and Development
Beyond individual property investments, GLPI continues to support major development initiatives:
- Bally’s Chicago Casino Resort: Construction is progressing on a large-scale casino and entertainment complex in Chicago featuring more than 3,300 slots, 170 table games, a 500-room hotel, and a 3,000-seat theater. GLPI is providing project financing and development expertise.
- Ameristar Casino Council Bluffs: PENN Entertainment may access up to $150 million in construction funding for property improvements, either as a loan or through direct capital investment. GLPI will retain ownership of the land and potentially the redeveloped site.
- New York Casino Projects: GLPI is financially backing two proposals for downstate casino licenses in Brooklyn’s Coney Island and the Bronx’s Ferry Point. If approved, GLPI will provide capital support for certain development costs.
- Las Vegas Parcel and MLB Stadium: GLPI owns a 35-acre site on the Las Vegas Strip, 9 acres of which are being dedicated for the Oakland Athletics’ planned MLB stadium. Bally’s is advancing design plans for an integrated casino adjacent to the ballpark. GLPI has not yet finalized its potential funding contribution.
Updated Guidance and Capital Strategy
GLPI raised the lower end of its 2025 AFFO guidance and now projects full-year AFFO between $1.112 billion and $1.118 billion, or $3.85 to $3.87 per diluted share. The company’s previous forecast ranged from $1.109 billion to $1.118 billion.
Recent capital activity includes a $404 million equity settlement related to a forward share sale, the launch of a new $1.25 billion continuous equity offering program, and interest rate hedges tied to future debt issuance.
GLPI’s Board declared a quarterly dividend of $0.78 per share in May, which was paid on June 27.
Diversified National Portfolio
As of June 30, GLPI’s portfolio includes 68 gaming and related facilities across 20 states. Its properties are operated by a range of tenants including PENN Entertainment, Bally’s, Caesars, Boyd, and others. The company’s triple-net lease structure and tenant diversification continue to support predictable cash flows and long-term growth.
Carlino said the company remains focused on expanding its portfolio in a disciplined manner. “With our pipeline of announced growth opportunities, disciplined approach to portfolio expansion, the proven long-term resiliency of our tenants’ revenue streams, and comfortable rent coverage ratios, we expect to continue to deliver strong capital returns and yields for our shareholders,” he said.
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