RioCan Real Estate Investment Trust announced Monday its financial and operating results for the three months ended March 31, 2026, saying it demonstrates continued momentum across leasing, Commercial Same Property NOI growth and its capital recycling initiatives, consistent with the strategy and financial framework.
It cited highlights as:
- Blended leasing spreads were a record 25.8% in the First Quarter, driven by new leasing spreads of 58.5%, providing clear visibility into future organic growth and highlighting the impact of the Trust’s strategic independence
- Commercial Same Property NOI growth accelerated to 4.7%, reinforcing the strength of RioCan’s core retail portfolio
- Total Capital Repatriation from RioCan Living – proforma of $1.04 billion reflects continued progress toward the $1.3 billion target outlined at Investor Day
“Our first quarter results underscore the strength and resilience of our retail-focused platform,” said Jonathan Gitlin, President and CEO of RioCan. “We are successfully unlocking embedded growth by leveraging our high-quality assets to capitalize on this leasing supercycle. This has enabled us to capture mark-to-market opportunities that have driven record leasing spreads and amplified SPNOI growth.
“Continued portfolio simplification and disciplined execution of our capital recycling strategy are enhancing balance sheet flexibility, enabling capital allocation aligned with the long-term growth framework we outlined at our Investor Day. Together, this execution underpins our confidence in RioCan’s ability to deliver durable, long-term value for our Unitholders.”
RioCan said it delivered a record high blended leasing spread of 25.8% in the First Quarter, reflecting new and renewal leasing spreads of 58.5% and 20.1%, respectively. Excluding fixed renewals, the average blended leasing spread of 29.5% on new leases and market renewals (comprising 69% of the total square footage of renewed leases) highlights the depth of mark-to-market opportunity across the portfolio, it added.
Mark-to-market gains drove new leasing to $31.25 per square foot, a 33% premium to the $23.49 average net rent per occupied square foot at quarter end, said RioCan, adding that there was 1.1 million square feet of leasing activity in the First Quarter, including 0.8 million square feet of renewals. 1.7 million square feet of lease maturities remaining in 2026 provide continued mark-to-market opportunities.
Committed retail occupancy of 98.6% reflects structurally constrained retail supply across RioCan’s markets and resilient tenant demand, it said.
“A high retention ratio of 92.4% highlights best-in-class tenant relationships and enables efficient organic growth with minimal capital outlay,” said RioCan.
“Commercial Same Property NOI grew 4.7% in the First Quarter, the third consecutive quarter at or above 4.5%, continuing to highlight the strength of our core assets and success of RioCan’s leasing strategy.
“In 2026, RioCan advanced its capital recycling and simplification strategy by closing the previously disclosed sale of The Underwood Apartments, executing two firm agreements to sell FourFifty The Well and Bellevue Phase One and Two, and executing a conditional agreement to sell another residential rental property for total gross sale proceeds of $379.0 million. In conjunction with the sale of Bellevue Phase One and Two, the Trust also terminated its forward purchase agreement to buy Bellevue Phase Three, which was scheduled to close in the first half of 2026. The Trust continues to repatriate capital from the sale of residential inventory. In 2026, the Trust received $30.0 million of proceeds from the closing of residential inventory.”
As at March 31, its portfolio was comprised of 167 properties with an aggregate net leasable area of approximately 32 million square feet (at RioCan’s interest).
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