NEPI Rockcastle NV, Europe’s third largest listed retail real estate company by portfolio value (€8.2 billion), achieved its highest-ever distributable earnings of €441 million, up 6.7 percent on the prior year, and net operating income (NOI) of €618 million, an 11.2 percent increase. The record results were driven by the large Polish shopping centres acquisitions made at the end of 2024, reduced vacancy, indexation, rental uplifts and higher basket spend, all while keeping a firm control of costs. The Company’s portfolio has risen to a new high of €8.2 billion, reinforcing its standing as one of Europe’s fastest growing retail real estate platforms and the largest owner, operator and developer of shopping centres across CEE markets.
NEPI Rockcastle’s performance was at the top end of revised guidance provided to the market in August 2025 and demonstrates the fundamental strength of its business model. Guidance for 2026 is that distributable earnings per share are expected to be approximately 3 percent higher than the 2025 distributable earnings per share of 62.03 euro cents, with no change in the Company’s current 90 percent dividend payout ratio.
Rüdiger Dany, NEPI Rockcastle’s CEO, said: “This is my final commentary as CEO. Over the past four years, I’ve had the privilege of leading a business that has gone from strength to strength. During my tenure, we’ve stayed disciplined in executing our growth strategy – actively recycling capital through acquisitions and disposals, optimising our assets, delivering developments at scale, unlocking new income streams through our renewable energy programme, and maintaining a strong balance sheet. This strategy has delivered substantial value for shareholders and business partners, as the CEE region continues to record higher economic growth and household disposable income than Western Europe. I’m confident the Company is in excellent hands going forward. My colleague Marek Noetzel takes over as CEO on 1 April 2026, and his deep knowledge of the business and relentless focus on operational excellence make him the right person to lead NEPI Rockcastle into its next chapter.”
Consumer spending across NEPI Rockcastle’s malls kept climbing in 2025, demonstrating the resilience of shoppers in the CEE region. Tenant turnover grew 3.6 percent on a like-for-like basis, and average spend per visit rose again. Retailer demand for space at our shopping centres remained strong, pushing overall occupancy to 98.8 percent.
International brands continue to spearhead their entry and expansion into CEE markets through NEPI Rockcastle’s properties, accounting for 63 percent of the around 500 new leases agreed in 2025. These agreements covered 113,000 sqm of space, representing 4.7 percent of NEPI Rockcastle’s total GLA. In addition, 951 leases were successfully renewed in 2025.
Debut stores which opened for the first time in countries where NEPI Rockcastle is present included: Notino in Arena Centar (Croatia), Rituals in Mammut Shopping Centre (Hungary), TOUS in Paradise Center (Bulgaria), BIPA and Tatuum in Mega Mall (Romania). Other notable openings in 2025 included flagship stores for Half Price in Magnolia Park (Poland), Zara and Nike in Arena Centar (Croatia), Zara and Reserved in Arena Mall (Hungary), and Sports Direct in Promenada Craiova (Romania).
NEPI Rockcastle is also growing its partnerships across the region, with leading global brands opening multiple store openings in various locations throughout the portfolio. These include Popeyes (six locations signed in 2025), dm drogerie markt (five stores opened), Adidas (five locations signed), Rituals (four new stores opened), and Skechers (four new stores opened). The Group’s prime locations continue to attract unique concepts, such as the Influcenter in Bonarka City Center (Poland), which combines digital and physical experiences run by popular internet influencers.
NEPI Rockcastle has an over €840 million pipeline of development projects – extensions, refurbishments and other value-enhancing work. Key projects under construction include the extension of Promenada Bucharest (Romania) – the biggest mixed-use development underway in CEE by investment value, the redevelopment of Bonarka City Center (Poland) and the refurbishment of Arena Mall Budapest (Hungary). The extension of Pogoria Shopping Centre in Upper Silesia in Poland opened on 5 February 2026.
Projects under permitting include the development of a large shopping centre in Plovdiv (Bulgaria), a retail park in Galati (Romania), and an extension to the Karolinka Shopping Centre in Opole, Poland.
A growing renewable energy programme is delivering on NEPI Rockcastle’s sustainability targets. Photovoltaic installations now cover 6 percent of the Company’s electricity needs, and the second phase of the renewable energy programme is progressing with 22 new on-site plants outside Romania in different stages of installation. The third phase, involving greenfield photovoltaic plants in Romania, is advancing well: the Chisineu-Cris plant (54 MW) is expected to commence commercial operations in Q1 2026, and the Aricestii Rahtivani plant (60 MW) is expected to start commercial operations by the end of 2026.
The Group’s balance sheet is strong with total liquidity exceeding €1 billion and a prudent level of gearing. The Company issued a €500 million green bond in September and expanded its revolving credit facilities to €740 million. Disciplined management has resulted in conservative leverage with a loan-to-value ratio (LTV) of 32.8 percent, well below the long-term strategic threshold of 35 percent.
Dany concluded: “These results speak to the calibre of our business model, the quality of our retail destinations across Central and Eastern Europe and the lasting attractiveness of well-managed, leading shopping centres in the region. I extend my gratitude to our shareholders, partners and colleagues for their support over the last few years and look forward to watching the Group’s future progress.”
