Canadian Apartment Properties Real Estate Investment Trust

Latest Results (16.05.2026):

Canadian Apartment Properties Real Estate Investment Trust (CAPREIT) reported results for the three months and year ended December 31, 2025 (Q4 2025 and full‑year 2025). The quarter showed lower total operating revenues and NOI versus Q4 2024 due largely to dispositions, while same‑property performance improved (same‑property NOI and margins up). Diluted FFO per unit was $0.632 in Q4 2025 (year 2025: $2.541), net income for Q4 was $88.4 million, and management continued portfolio reshaping through sizable disposals, targeted Canadian acquisitions and NCIB unit repurchases.

Key financial snapshot (Q4 2025 / Year 2025)

Q4 2025 operating revenues were $243.3M (down from $276.4M Q4 2024) and NOI was $158.1M (vs. $177.9M). Net income in Q4 was $88.4M (prior Q4 loss). Diluted FFO per unit was $0.632 in Q4 and $2.541 for the year; distributions per unit in Q4 were $0.388 and the FFO payout ratio was 61.3% (Q4) and 60.8% (year).

Same‑property operating strength

Same‑property NOI grew 5.0% in Q4 and 4.7% for the year; same‑property NOI margin expanded to 64.4% in Q4 and 64.7% for the year (a 50 bps year‑over‑year margin improvement), driven by leasing/retention initiatives and controllable cost reductions.

Portfolio composition and rents

As at Dec 31, 2025 CAPREIT reported ~45,905 suites/sites (versus 48,696 a year earlier). Occupied AMR for the Canadian residential portfolio was $1,718 (up from $1,636) with Canadian occupancy ~97.3%; Netherlands occupancy declined to 90.6% (from 94.6%) largely due to ERES disposition activity holding suites vacant for sale.

Transactions and capital allocation

Q4 acquisitions: 7 Canadian properties (969 suites) for $348.7M. Year 2025 acquisitions: 15 properties (1,891 suites) for $658.6M. Dispositions for the year: 4,600 suites/sites for ~$1.2B (Canada and Europe). CAPREIT repurchased ~2.5M Trust Units in Q4 for $94.1M (7.2M units / $294.1M for the year) under the NCIB.

Balance sheet, liquidity and leverage

Total debt to gross book value was 39.3% at Dec 31, 2025. Cash and cash equivalents were $33.2M and available capacity on the Acquisition & Operating Facility was ~$182.0M (Canadian liquidity ~ $188.2M including cash), which includes a temporary $100M increase maturing April 30, 2026. Diluted NAV per unit rose to $56.41 (from $55.50).

Financing activity and interest

CAPREIT completed financings totaling $428.6M in 2025 with a weighted average interest rate of 3.57% and weighted average term of 5.3 years. The weighted average mortgage effective interest rate on the portfolio was 3.30% and weighted average mortgage term was ~4.4 years.

Drivers of FFO and near‑term headwinds

FFO per unit benefited from lower interest expense on credit facilities and accretive unit buybacks, but growth was offset by lost NOI from dispositions and higher vacancies (notably in the Netherlands due to ERES sale program). Management expects to maintain current strategy until supply‑demand dynamics improve.

Other notable items

CAPREIT declared a special non‑cash distribution of $0.90 per Trust Unit (paid in units with a subsequent consolidation) to distribute net capital gains from 2025 transactions. Subsequent to year end CAPREIT completed an additional Netherlands disposition (33 suites, ~$16.3M gross sale).