Northview Residential REIT Reports Q4 and Full-Year 2025 Results With Exceptional FFO Growth, Solid AMR Growth Leading to Same Door NOI Expansion and Gains From Interest Savings

Executive Summary

• Northview Residential REIT reported a 31.7% increase in FFO per basic unit to $2.37 for FY 2025, driven by interest‑expense savings, same‑door NOI growth and insurance proceeds.
• The FFO payout ratio improved to 56.6% (down from 64.9% YoY), while the debt‑to‑gross book value fell 240 bps to 62.4%, reflecting aggressive debt reduction via non‑core asset sales and refinancing.
• Completed $164 million of non‑core asset dispositions in 2025, exceeding its $100‑$150 million target, with $76 million used to pay down variable‑rate credit facilities.

Key Details

• Financial Performance
• Revenue: $278.0 M (up from $276.0 M YoY)
• NOI: $164.1 M (+2.1% YoY)
• Same‑door NOI: $160.2 M (+4.2% YoY)
• Net & comprehensive income: $54.9 M (↑ 308%)

• Cash flow from operations: $100.3 M (↑ 39%)

• FFO / AFFO

• FFO FY 2025: $85.4 M; basic per unit $2.37 (↑ 31.7% YoY)
• AFFO FY 2025: $72.3 M; basic per unit $1.57 (↑ 21.6%)

• Ex‑insurance FFO: $69.6 M; basic per unit $1.93 (↑ 15.2%)

• Payouts

• Distributions declared FY 2025: $39.4 M (unchanged YoY)
• Distribution per unit: $1.0938 (steady)

• FFO payout ratio – basic: 56.6% (improved from 64.9%)

• Debt & Credit Facilities

• Variable‑rate credit facilities balance reduced to $148.7 M (down $118.3 M YoY).
• Weighted average credit facility rate fell to 5.69% (from 8.19%).

• Debt‑to‑adjusted EBITDA improved to 10.8× (from 12.0×).

• Non‑Core Asset Sales

• Total disposals FY 2025: $164 M (target exceeded)
• Q4 2025 sale of a multi‑family portfolio in Moncton for $40 M completed.

• Proceeds applied: $76 M to reduce variable‑rate debt; remainder used for general corporate purposes.

• Operating Metrics

• Same‑door occupancy FY 2025: 95.4% (down 0.8 pts YoY).
• Average Monthly Rent (AMR): $1,515 (↑ 6.2%).

• Same‑door NOI growth of 4.2% driven by multi‑residential markets in Western and Atlantic Canada (+9.2% / +8.6%).

• Interest Expense

• FY 2025 interest expense: $69.0 M (↓ $12.5 M YoY) due to lower debt balances, a 95 bps spread reduction, and favorable rate environment.

• Capital Expenditures & Expenses

• Same‑door expenses rose 2.7% YoY, reflecting inflationary pressures, higher property taxes and insurance premiums, plus one‑time remediation projects.

• Maintenance capex reserve (multi‑residential) used: $(12.3 M).

• Outlook / Forward‑Looking Statements

• Management expects secondary‑market exposure to partially offset rent/occupancy pressure from new supply.
• Continued focus on debt optimization, disciplined capital allocation and strategic asset disposals.

Notable Quotes

“Strong same door NOI growth driven by AMR growth across all regions and interest savings from active debt management led Northview to another year of exceptional FFO growth,” – Todd Cook, President & CEO.

“Northview’s solid financial foundation and diversified portfolio in secondary markets leaves it well positioned to continue delivering strong results and long‑term unitholder value.” – Todd Cook, President & CEO.