OTTAWA, ON, May 4, 2026 /CNW/ - InterRent Real Estate Investment Trust (TSX:IIP) ("InterRent" or the "REIT") today reported financial results for the first quarter 2026 ended March 31, 2026.
Q1 2026 Highlights:
Delivered 2.6% year-over-year ("YoY") growth in total portfolio average monthly rent ("AMR") to $1,767 in March. Same-property March AMR increased 1.5% YoY to $1,767.
Total portfolio and same-property occupancy were 96.3% in March, down 50 basis points YoY.
Achieved an average gain-on-lease of 3.1% on 414 new leases executed during the quarter, representing $0.2 million in annualized gain-on-lease.
Same-property proportionate Net Operating Income ("NOI") increased 1.0% YoY to $38.9 million. Total portfolio proportionate NOI of $39.3 million declined 2.9% YoY, primarily reflecting a 5.6% YoY decrease in total suite count.
Same-property proportionate NOI margin remained stable YoY at 64.1%. Total portfolio proportionate NOI margin increased 10 basis points to 64.2%.
Funds from Operations ("FFO") of $7.0 million, or $0.050 per diluted unit, and Adjusted Funds from Operations ("AFFO") of $3.8 million, or $0.027 per diluted unit, reflecting $13.3 million in one-time transaction costs during the quarter related to the Arrangement Agreement.
Adjusting for $13.3 million transaction-related costs, Normalized FFO ("NFFO") decreased by 6.9% to $20.3 million, with NFFO per diluted unit decreasing 3.3% YoY to $0.145.
Normalized AFFO ("NAFFO") decreased 7.3% YoY to $17.2 million, with NAFFO per diluted unit of $0.123 down 3.1% YoY.
As at March 31, 2026, the REIT's Debt-to-GBV improved by 60 basis points QoQ to 41.1%.
Completed the disposition of two properties totalling 224 suites in Montreal, generating gross proceeds of $55.0 million, or approximately $245,500 per suite.
Substantial completion achieved at the 360 Laurier development in Ottawa by the end of the quarter.
Dave Nevins, Interim Chief Executive Officer of InterRent, commented on the results:
"Our focus in Q1 was on maintaining operational discipline and stability across the portfolio while navigating a more competitive operating environment and positioning the portfolio for the spring leasing season. We remain confident in the fundamentals of our markets and in our team's ability to execute long term portfolio performance. I would like to thank our team for their continued commitment to delivering consistent operations and resident service, as we advance toward the completion of the proposed transaction."
Financial Highlights:
Selected Consolidated InformationIn $000's, except per Unit amounts and other non-financial data
3 Months Ended
March 31, 2026
3 Months Ended
March 31, 2025
Change
Total suites
11,449(1)
12,133(1)
-5.6 %
Average rent per suite (March)
$ 1,767
$ 1,723
+2.6 %
Occupancy rate (March)
96.3 %
96.8 %
-50 bps
Proportionate operating revenues
$ 61,259
$ 63,130
-3.0 %
Proportionate net operating income (NOI)
$ 39,310
$ 40,465
-2.9 %
NOI %
64.2 %
64.1 %
+10 bps
Same Property average rent per suite (March)
$ 1,767
$ 1,741
+1.5 %
Same Property occupancy rate (March)
96.3 %
96.8 %
-50 bps
