Canada's SmartCentres REIT Q4 net rental income rises

Overview

• Canada real estate REIT's Q4 net rental income rose 1.4% yr/yr

• FFO per Unit for Q4 increased slightly to C$0.54

• Q4 net income decreased due to fair value adjustments

Outlook

• SmartCentres expects Montreal and Laval E self-storage facilities to open in Q2 2026

• Company plans to commence construction at Toronto Premium Outlets this summer

Result Drivers

• LEASING MOMENTUM - Strong leasing activity in retail categories drove a high occupancy rate of 98.6% at year-end

• DEVELOPMENT PIPELINE - Completion of three self-storage facilities and a new Walmart store contributed to growth

• LEASE EXTENSIONS - Strong rent growth of 6.3% on lease extensions supported financial results

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the commercial reits peer group is "buy."

• Wall Street's median 12-month price target for SmartCentres Real Estate Investment Trust is C$27.05, about 0.4% below its February 11 closing price of C$27.17

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nBw2rbJJ2a

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