RioCan Core FFO Per Diluted Unit Rises 5.1% as Retail Occupancy Sets Record

RioCan Real Estate Investment Trust’s Core FFO per diluted unit rose 5.1% in the third quarter, while retail committed occupancy reached 98.9%, a record for its commercial portfolio.

Core funds from operations totaled C$118.7 million for the three months ended Sept. 30, compared with C$115.9 million a year earlier. Per diluted unit, Core FFO increased to C$0.41 from C$0.39. All figures are in Canadian dollars. Core FFO is a non-IFRS measure without a standardized definition and may not be comparable across issuers.

Net income was C$122.6 million, or C$0.42 per diluted unit, compared with a net loss of C$120.3 million, or C$0.41 per diluted unit, in the year-earlier quarter. The swing reflected fair-value gains on investment properties, compared with losses a year earlier, and losses from equity-accounted investments in the prior-year period.

Retail committed occupancy was 98.9% as of Sept. 30, up from 98.4% a year earlier. The occupancy figure excludes income-producing properties held through equity-accounted joint ventures. Commercial same-property net operating income rose 4.2% to C$162.2 million from C$155.7 million.

Quarterly revenue declined to C$304.8 million from C$371.2 million. Residential inventory sales fell to C$3.1 million from C$74.9 million, while rental revenue increased to C$300.2 million from C$293.4 million.

RioCan expects 2026 Core FFO per diluted unit to be toward the high end of its C$1.60 to C$1.62 outlook. It reaffirmed its forecast for commercial same-property net operating income growth of 4% to 4.5%. The trust lowered its 2026 development-spending outlook to C$35 million to C$45 million from C$45 million to C$55 million, reflecting lower expected spending on residential inventory.