BTB Real Estate Investment (BTB-UN) Q4 2025 earnings summary

Executive summary

• Portfolio valued at CAD 1.2 billion, spanning 6.0M sq. ft. across 72 properties, with a focus on industrial assets and densification in Montréal and Ottawa.

• Achieved strong leasing activity in 2025, totaling 742,162 sq. ft., with 473,837 sq. ft. in renewals and 268,325 sq. ft. in new leases.

• Occupancy rate ended at 91.3%, down 140 basis points year-over-year, mainly due to large industrial vacancies and tenant departures.

• Disposed of three non-core properties in 2025 for proceeds of $19.7M, redeploying capital into industrial assets.

• Released second ESG report for 2024 and achieved 13 new BOMA BEST certifications in Quebec.

Financial highlights

• Rental revenue for 2025 was $130.1M, up 0.1% year-over-year, but down 1% from Q4 2024.

• NOI for 2025 was $75.1M, stable year-over-year, but down 4.4% from Q4 2024.

• Cash NOI increased 1.9% year-over-year, but decreased 5.1% from Q4 2024.

• AFFO adjusted per unit was 38.8¢ for 2025, up 0.7¢ year-over-year; payout ratio improved to 77.3%.

• Net income for 2025 was $22.4M, down $16.4M from 2024, mainly due to a $15M non-cash decrease in property fair value.

Outlook and guidance

• Management remains optimistic about leasing prospects for large vacancies and sees opportunities in industrial and necessity-based retail segments.

• Only one significant known non-renewal expected in 2026: a 100,000 sq. ft. federal government lease in Ottawa expiring in August.

• Strategic focus continues on industrial assets, densification, and sustainable value creation.

• Forward-looking statements highlight risks from economic conditions, competition, regulatory changes, and refinancing needs.