Morguard Real Estate Investment Trust Reports Strong Q2 Performance
Morguard Real Estate Investment Trust (TSE:MRT.UN) reported second-quarter results that exceeded expectations, with net operating income rising to $27.1 million from $25.7 million a year ago due to strong retail performance and same-asset growth of 7.5%. The REIT's community strip portfolio showed robust same-store growth at 5.9%, while enclosed malls posted 2.5% quarter-over-quarter gains. The trust is advancing its Saint Laurent redevelopment project, having invested $6 million so far with an expected total investment between $25 million and $30 million. The development includes new tenants like Uniqlo, Sport Chek, and Splitsville, as well as the activation of former Sears space. Morguard also noted improved occupancy rates at 85.2% and maintained a liquidity position of $61 million. Despite challenges from office vacancies due to tenant departures in Ottawa and Vancouver, overall leasing trends are improving. The REIT plans to use its full $35 million operating capital reserve for the year.