Vici Properties Posts Q4 Revenue Growth, Eyes 2025 Investments

Vici Properties closed out last year on a  strong note and began 2025 with an ace up its sleeve.

The real estate investment trust (REIT), which is focused heavily on casino and entertainment properties, reported fourth-quarter revenue Friday of $976.1 million, up 4.7 percent year-over-year. The earnings announcement came two days after the REIT  announced a $300 million investment in the 17.6-acre One Beverly Hills project as part of a new strategic partnership with Cain International and Eldridge Industries.

“We believe multi-generational, multinational demand for the differentiated experience within the differentiated place will create abundant opportunities for Cain and Eldridge in the coming decades,” Vici CEO Edward Pitoniak said Friday during the REIT’s earnings call. “This announcement of our new partnership with Cain and Eldridge represents our first new venture in what we hope will be a year of new investment ventures in both gaming and non-gaming.”

Vici’s net income for 2024 rose to $2.68 billion, up from $2.51 billion in 2023. However, its fourth-quarter profits fell to $614.5 million, compared to $747.8 million in the final three months of 2023.

Adjusted funds from operations rose 5.4 percent in the fourth quarter to $601.3 million compared to $570.4 million in the 2023 fourth quarter. 

At year-end 2024, Vici had $17.1 billion in total debt outstanding and liquidity of $3.3 billion, which includes $524.6 million of cash on hand, according to the earnings report. 

The REIT announced it received roughly $1.1 billion of capital commitments for 2024 at a weighted average initial yield of 8.1 percent.

One of Vici’s biggest investments of 2024 involved agreeing to provide up to $700 million of capital to The Venetian Resort Las Vegas through its Partner Property Growth Fund. The money will fund hotel renovations and enhancements to the property’s convention center. 

John Payne, Vici’s president and chief operating officer, said the REIT benefits from strong operators who are “proactively investing” in their properties. Those properties include an MGM Grand, which recently announced a $300 million remodel of all of its 4,200 hotel rooms slated for completion in December 2025. 

“Since the fourth quarter, our operators have announced nearly $1 billion of investment in our real estate that is reflective of our shared conviction around the value of high-quality experiences at high-quality properties,” Payne said during Friday’s earnings call. “Vici believes that the quality and scale of investment opportunity in our existing properties as well as our ability to cultivate and maintain deep relationships with our partners, will provide springboards for future growth.”

Andrew Coen can be reached at acoen@commercialobserver.com.