Artis Reit (OTC) ( (ARESF) ) has released its Q4 earnings. Here is a breakdown of the information Artis Reit (OTC) presented to its investors.
Artis Real Estate Investment Trust (REIT) is a diversified Canadian real estate investment trust with a portfolio of industrial, office, and retail properties in Canada and the United States, focused on value investing and asset management.
Artis REIT reported its financial results for the year ending December 31, 2024, highlighting significant progress in reducing leverage and strengthening its balance sheet. The company monetized nearly $973 million in real estate assets, reducing its leverage from 50.9% to 40.2%. Additionally, Artis entered a new three-year senior secured credit facility worth $520 million to refinance debt and improve its risk profile.
Key financial metrics showed improvement, with Funds From Operations (FFO) per unit increasing to $1.05 from $0.89 in 2023, and Adjusted Funds From Operations (AFFO) per unit rising to $0.65 from $0.44. The REIT’s total debt to Gross Book Value (GBV) improved to 40.2%, and its total debt to Adjusted EBITDA ratio decreased to 6.2. Despite a slight drop in portfolio occupancy to 88.2%, the weighted-average rental rate on renewals increased by 2.6%.
Artis’s strategic moves included acquiring additional interests in properties in Canada and the U.S., while disposing of several office, retail, and industrial properties. The REIT also addressed challenges with its investment in Cominar, anticipating resolution in the near term.
Looking ahead, Artis REIT’s management remains optimistic about pursuing opportunities that maximize value for unitholders, supported by a healthy level of liquidity and favorable interest rate movements.
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