TORONTO, April 30, 2024 /CNW/ - First Capital Real Estate Investment Trust ("First Capital", "FCR", or the "Trust") (TSX:FCR), announced financial results for the quarter ended March 31, 2024. The 2024 First Quarter Report is available in the Investors section of the Trust's website at www.fcr.ca and has been filed on SEDAR+ at www.sedarplus.ca. KEY HIGHLIGHTS FROM THE FIRST QUARTER: Operating FFO per unit of $0.36 Strong leasing activity, including lease renewal spreads of 11% Improved Net Debt to EBITDA ratio to 9.3x "The strong fundamentals underpinning First Capital's grocery anchored retail portfolio together with the successful execution of our capital allocation strategy continues to deliver solid operating and financial results," said Adam Paul, President and CEO. "The first quarter of 2024 was characterized by healthy leasing metrics, solid earnings growth and a stronger balance sheet, all of which will serve us well as we look ahead." SELECTED FINANCIAL INFORMATION Three months ended March 31 2024 2023 Operating FFO ($ millions) (1)(2) $78.1 $53.7 FFO ($ millions) (1) $81.6 $53.5 Operating FFO per diluted unit (1)(2) $0.36 $0.25 Other gains and (losses) included in FFO per diluted unit (1) $0.02 $0.00 FFO per diluted unit (1) $0.38 $0.25 Total Same Property NOI growth (1)(3) 7.8 % 4.0 % Total portfolio occupancy (4) 96.2 % 96.2 % Total Same Property occupancy (1)(4) 96.2 % 96.2 % Increase (decrease) in value of investment properties, net (1) $2.1 ($6.6) Net income (loss) attributable to unitholders ($ millions) $74.8 $48.7 Net income (loss) attributable to unitholders per diluted unit $0.35 $0.23 Weighted average diluted units for FFO and net income (000s) 213,988 215,262 (1)  Refer to "Non-IFRS Financial Measures" section of this press release. (2)  For the three months ended March 31, 2024, Operating FFO includes $Nil (March 31, 2023 - approximately $7 million or 3 cents per unit) of non-recurring costs related to the Unitholder activism. (3)  Prior periods as reported; not restated to reflect current period categories. (4)  As at March 31. FIRST QUARTER OPERATIONAL AND FINANCIAL HIGHLIGHTS Same Property NOI Growth: Total Same Property NOI increased 7.8% over the prior year period, inclusive of a $5.5 million settlement with Nordstrom with respect to the early termination of its lease at One Bloor East in June 2023. Same Property NOI excluding bad debt expense (recovery) and lease termination fees increased 2.3%, primarily due to higher base rent in the first quarter of 2024 relative to the first quarter of 2023 and despite the trailing effects of Nordstrom's departure which adversely impacted growth in the quarter by approximately 140 basis points. Notwithstanding this short-term impact, One Bloor East is now 100% leased to an exceptional roster of tenants. Portfolio Occupancy: On a quarter-over-quarter and year-over-year basis, total portfolio occupancy was stable at 96.2%, respectively. Lease Renewal Rate Increase: Net rental rates increased 11.0% on a volume of 466,000 square feet of lease renewals, when comparing the rental rate in the first year of the renewal term to the rental rate in the last year of the expiring term. Net rental rates on leases renewed in the quarter increased 13.5% when comparing the average rental rate over the renewal term to the rental rate in the last year of the expiring term. Average Net Rental Rate: The portfolio average net rental rate increased by 1.2% or $0.28 per square foot over the prior quarter to a record $23.62 per square foot, primarily due to tenant openings, net of closures, rent escalations and renewal lifts. Property Investments: First Capital invested approximately $78 million into its properties during the first quarter, primarily through development, redevelopment and the acquisition of the remaining 50% interest in Seton Gateway. Located in Calgary, Alberta on a 12.4 acre site within the Seton master-planned community, Seton Gateway is a 128,000 square foot open-air shopping centre that is anchored by a 45,000 square foot Save-On-Foods store and a 18,500 square foot Shoppers Drug Mart. Across a strong roster of 25 necessity based tenants, Seton Gateway is 100% occupied and is expected to benefit from continued strong population growth in its trade-area over the foreseeable future. Property Dispositions: Consistent with the capital allocation objective of crystallizing created value in certain development and density sites, and select income properties that are not multi-tenant grocery-anchored shopping centres, First Capital completed approximately $147 million of previously announced property sales during the quarter. Dispositions included (i) the 50% interest in the Royal Orchard development site, located in Thornhill, ON, (ii) Yonge-Davis Centre, located in Newmarket, ON, (iii) Circa Residences (68 residential rental suites), located in Richmond, BC, (iv) a 41.7% interest in 1071 King St. W., located in Toronto, ON (reducing FCR's interest to 25%) and, (v) 71 King St. W., a small medical office building located in Mississauga, ON. $300 Million Series B Senior Unsecured Debenture Offering: On March 1, 2024, First Capital completed the issuance of $300 million aggregate principal amount of Series B senior unsecured debentures (the "Debentures") on a private placement basis. The Debentures were issued at par, bear interest at a rate of 5.572% per annum and mature on March 1, 2031. Inclusive of the benefit of bond forward hedges, the REIT's all-in interest rate on the Debentures is 5.481% per annum. During the quarter, net proceeds from the offering were used to repay $250 million of floating rate unsecured term loans and for general Trust purposes. Balance Sheet and Liquidity: First Capital's March 31, 2024 net debt to Adjusted EBITDA multiple was 9.3x, an improvement from 9.9x at December 31, 2023. First Capital's March 31, 2024 liquidity position was $867 million, including $698 million of availability on revolving credit facilities and $169 million of cash on a proportionate basis. Operating FFO per Diluted Unit of $0.36: Operating Funds from Operations increased $24.3 million, or $0.11 per unit, over the prior year period. Supported by strong operating metrics and higher lease termination income, Operating FFO for the first quarter of 2024 also includes a $9.5 million ($0.04 per unit) assignment fee related to a small development parcel located in Montreal. Prior year Operating FFO for the first quarter of 2023 includes approximately $7 million ($0.03 per unit) of expenses related to unitholder activism. FFO per Diluted Unit of $0.38: Funds From Operations of $81.6 million increased $28.1 million, or $0.13 per unit, over the prior year period. The increase was driven by higher Operating FFO of $24.3 million and a year-over-year increase in other gains (losses) and (expenses) of $3.8 million. Net Income (Loss) Attributable to Unitholders: For the three months ended March 31, 2024, First Capital recognized net income (loss) attributable to Unitholders of