CT Real Estate Investment Trust (CRT-UN) Q1 2025 earnings summary

Executive summary

• Achieved strong Q1 2025 results with net operating income up 4.6% and AFFO per unit up 3.9% year-over-year, maintaining 99.4% occupancy and a 7.5-year weighted average lease term.

• Portfolio consists of 377 properties totaling 31.0M sq. ft. with a fair market value of ~$7.3B as of March 31, 2025.

• 96.3% of annualized base minimum rent is from investment grade tenants, with Canadian Tire Corporation anchoring the majority of the portfolio.

• Board approved a 2.5% increase in distributions effective July 2025, marking the 12th consecutive annual increase since IPO and 45.9% cumulative growth.

Financial highlights

• Same-store NOI increased by 1.5%, same-property NOI by 3.1%, and overall NOI by 4.6% year-over-year, driven by acquisitions, intensifications, and rent escalations.

• AFFO per unit (diluted) was $0.320, up 3.9% year-over-year; FFO per unit (diluted) was $0.342, up 3.3%.

• Q1 2025 net income was $105.7M; FFO was $81.1M; AFFO was $76.1M.

• Distributions per unit paid in Q1 were $0.231, up 3.0% from Q1 2024.

• AFFO payout ratio for Q1 was 72.2%, down from 73.1% last year.

Outlook and guidance

• Development pipeline includes 20 projects at various stages, representing a committed investment of CAD 331 million and 891,000 sq. ft. of incremental GLA, 97% of which is pre-leased.

• Approximately half of the development projects are expected to complete in 2025, with the remainder in 2026 and beyond.

• 14 intensification projects in the pipeline, with over 1.6M sq. ft. of incremental GLA added since IPO.

• Lease negotiations for 2026 are progressing well, reflecting strong retail leasing market conditions.

• Right of first offer on all Canadian Tire Corporation properties and ongoing third-party acquisition opportunities.