Announces distribution increase of 3.0%, a cumulative increase of 42.3% since initial public offering in 2013 TORONTO, May 6, 2024 /CNW/ - CT Real Estate Investment Trust ("CT REIT" or "the REIT") (TSX:CRT) today reported its consolidated financial results for the first quarter ending March 31, 2024. "We are very pleased to announce that for the tenth straight year, CT REIT's Board of Trustees has approved an increase to our monthly distributions," said Kevin Salsberg, President and Chief Executive Officer of CT REIT. "Our track record of consistently returning capital to unitholders over the past decade is a key differentiator for CT REIT, which has been supported by our core strategy that continues to focus on delivering reliable, durable and growing results over time. Our Q1 results are yet another example of how we have successfully executed on these strategic imperatives, and further showcase the stability of our platform, the strength of our balance sheet, and our solid growth to date, despite a challenging economic backdrop." Distribution Increase The Board of Trustees of CT REIT has approved a 3.0% distribution increase that will be effective with the July 15, 2024 payment to unitholders of record on June 28, 2024. Monthly distributions will increase to $0.07710 per unit, or $0.92520 per unit on an annualized basis. New Investment Activity CT REIT announced one new investment, which will require an estimated $11.1 million to complete. This investment is expected to earn a going-in yield of 7.00%. The table below summarizes the new investment and its anticipated completion date: Property Type GLA (sf.)  Timing   Activity Donnacona, QC Intensification 30,000 Q4 2025  Expansion of an existing  Canadian Tire store Financial and Operational Summary Summary of Selected Information (in thousands of Canadian dollars, except unit, per unit and square footage amounts) Three Months Ended March 31, 2024 2023 Change Property revenue $          144,221 $          137,506 4.9 % Net operating income 1 $          113,481 $          107,417 5.6 % Net income $          101,145 $            70,511 43.4 % Net income per unit - basic 2 $              0.429 $              0.300 43.0 % Net income per unit - diluted 3 $              0.345 $              0.265 30.2 % Funds from operations 1 $            78,189 $            75,328 3.8 % Funds from operations per unit - diluted 2,4,5 $              0.331 $              0.320 3.4 % Adjusted funds from operations 1 $            72,630 $            69,231 4.9 % Adjusted funds from operations per unit - diluted 2,4,5 $              0.308 $              0.294 4.8 % Distributions per unit - paid 2 $              0.225 $              0.217 3.5 % AFFO payout ratio 4 73.1 % 73.8 % (0.7) % Cash generated from operating activities $          111,919 $          104,856 6.7 % Weighted average number of units outstanding 2 Basic 235,637,230 234,837,356 0.3 % Diluted 3 339,499,877 326,359,367 4.0 % Diluted (non-GAAP) 5 235,995,265 235,147,397 0.4 % Indebtedness ratio 41.0 % 40.7 % 0.3 % Gross leasable area (square feet) 6 30,625,473 30,040,543 1.9 % Occupancy rate 6,7 99.5 % 99.2 % 0.3 % 1 This is a non-GAAP financial measure. See "Specified Financial Measures" below for more information. 2 Total units means Units and Class B LP Units outstanding. 3 Diluted units determined in accordance with IFRS includes restricted and deferred units issued under various plans and the effect of assuming that all of the Class C LP Units will be settled with Class B LP Units. Refer to section 7.0 of the MD&A. 4 This is a non-GAAP ratio. See "Specified Financial Measures" below for more information. 5 Diluted units used in calculating non-GAAP measures include restricted and deferred units issued under various plans and exclude the effect of assuming that all of the Class C LP Units will be settled with Class B LP Units. Refer to section 7.0 of the MD&A. 6 Refers to retail, mixed-use commercial and industrial properties and excludes Properties Under Development. 7 Occupancy and other leasing key performance measures have been prepared on a committed basis which includes the impact of existing lease agreements contracted on or before March 31, 2024 and March 31, 2023. Financial Highlights Net Income – Net income was $101.1 million for the quarter, an increase of $30.6 million or 43.4%, compared to the same period in the prior year, primarily due to increases in the fair value adjustment on investment properties and net operating income. Net Operating Income (NOI)* – Total property revenue for the quarter was $144.2 million, which was $6.7 million or 4.9% higher compared to the same period in the prior year. In the first quarter, NOI was $113.5 million, which was $6.1 million or 5.6% higher compared to the same period in the prior year. This was primarily due to the intensification and development of income-producing properties completed in 2023, increased recovery of capital expenditures and interest earned on the unrecovered balance, which contributed $1.9 million, and rent escalations from Canadian Tire leases, which also contributed $1.4 million. Same store NOI was $110.1 million and same property NOI was $111.3 million for the quarter, which were $3.2 million or 3.0%, and $4.4 million or 4.1%, respectively, higher when compared to the prior year. Same store NOI increased primarily due to the recovery of capital expenditures and interest earned thereon, and increased revenue derived from contractual rent escalations. Same property NOI increased primarily due to the increase in same store NOI noted, as well as from the intensifications completed in 2023. Funds from Operations (FFO)* – FFO for the quarter was $78.2 million, which was $2.9 million or 3.8% higher than the same period in 2023, primarily due to the impact of NOI variances discussed earlier, partially offset by higher interest expense. FFO per unit - diluted (non-GAAP) for the quarter was $0.331, which was $0.011 or 3.4% higher, compared to the same period in 2023, due to the growth of FFO exceeding the growth in weighted average units outstanding - diluted (non-GAAP). Adjusted Funds from Operations (AFFO)* – AFFO for the quarter was $72.6 million, which was $3.4 million or 4.9% higher than the same period in 2023, primarily due to the impact of NOI variances discussed earlier, partially offset by higher interest expense. AFFO per unit - diluted (non-GAAP) for the quarter was $0.308, which was $0.014 or 4.8% higher, compared to the same period in 2023, due to the growth of AFFO exceeding the growth in weighted average units outstanding - diluted (non-GAAP). Distributions – Distributions per unit in the quarter amounted to $0.225, which was 3.5% higher than the same period in 2023 due to an increase in the ...