- CRR-UN.TO
- CRR-UN.NE
Key Points
-
Interested in Crombie Real Estate Investment Trust? Here are five stocks we like better.
-
Operating performance remained solid: Commercial same-asset cash NOI rose 3.2% year over year, supported by 11.3% first-year renewal spreads and near-record committed occupancy of 97.5%.
-
Financial flexibility improved: Crombie ended the quarter with C$478.7 million in available liquidity, 42.6% debt-to-gross fair value, and approximately 90% fixed-rate debt. It subsequently issued C$300 million of 2033 senior notes at a record-low 124-basis-point spread.
-
Growth remains selective: The REIT acquired a Safeway property for C$12.7 million, invested in modernizations and intensification projects, and plans to advance development entitlements without starting a major new construction project soon. The Marlstone residential project exceeded 30% occupancy by late July and remains targeted for stabilization in the second half of 2027.
Crombie Real Estate Investment Trust (TSE:CRR.UN) reported second-quarter results marked by continued leasing growth, near-record occupancy and a strengthened balance sheet, as the grocery-anchored retail landlord continued to pursue acquisitions, property modernizations and selected development entitlements.
President and Chief Executive Officer Mark Holly said the company’s necessity-based retail portfolio continued to provide stable performance in a changing economic environment. Commercial same-asset property cash net operating income increased 3.2% from a year earlier, supported by leasing activity and contractual rent increases.
→ <a href="https://www.marketbeat.com/articles/no-hangover-revisiting-microsoft-one-week-after-earnings/” rel=”nofollow noopener” target=”_blank”>No Hangover: Revisiting Microsoft One Week After Earnings
“Our coast-to-coast grocery anchored retail assets sit at the heart of vibrant communities, generating consistent traffic and strong tenant demand,” Holly said.
Leasing Activity Supports NOI Growth
Crombie completed 121,000 square feet of lease renewals during the quarter at a first-year rental-rate increase of 11.3% over expiring rates. The result represented its seventh consecutive quarter of double-digit renewal spreads. When measured against the weighted-average rental rate over the full renewal term, rates increased 12.7%.
→ MarketBeat Week in Review – 08/03 – 08/07
The company also signed 33,000 square feet of new commercial leases during the quarter. For the first half of 2026, new commercial leases added 63,000 square feet of occupancy at an average first-year rate of C$26.26 per square foot.
Committed occupancy ended the quarter at 97.5%, while economic occupancy was 96.6%. Chief Financial Officer Kara Cameron said the slight sequential decline in economic occupancy reflected normal lease expirations and early terminations. Crombie had 160,000 square feet of committed space at quarter-end, with tenants expected to take possession through 2026 and 2027.
