BWP’s Distribution Growth Faces Test as DRP Returns Without Discount

Distribution Estimate Highlights

BWP Property Group, a prominent player in the Australian real estate sector, has released a preliminary distribution estimate of 9.58 cents per stapled security for the six-month period ending 31 December 2025. This figure represents a 4.1% increase over the prior corresponding period, signaling steady income growth for investors in the BWP Trust.

Importantly, the distribution is expected to come solely from the BWP Trust, with no dividend anticipated from BWP Property Group Ltd itself. This distinction underscores the trust’s ongoing role as the primary income-generating vehicle within the stapled security structure.

Reinstatement of the Distribution Reinvestment Plan

Alongside the distribution estimate, BWP has announced the reinstatement of its Distribution Reinvestment Plan (DRP) for this payout. The DRP allows unitholders in Australia and New Zealand to reinvest their distributions into additional stapled securities without any discount, based on the volume weighted average price over a 10-day trading period in January 2026.

This move offers investors a convenient way to compound their holdings and potentially benefit from future capital growth, while also providing BWP with a flexible capital management tool. The absence of a discount on the DRP shares suggests confidence in the security’s valuation and a commitment to shareholder fairness.

Key Dates and Next Steps

Investors should note several important dates – the ex-distribution date is set for 30 December 2025, with the record date following on 31 December 2025. The BWP Board is expected to confirm the distribution on 13 February 2026, with payment scheduled for 27 February 2026. These timelines provide a clear framework for investors planning their portfolio moves around the distribution.

While the announcement is preliminary and subject to final board confirmation, the positive growth in distribution and the reinstatement of the DRP reflect BWP’s stable operational outlook amid a competitive real estate market. Market participants will be watching closely for the final confirmation and any commentary on future distribution guidance.