Canada Mortgage and Housing Corp. (CMHC) recently provided its Q4 2015 outlook on the Canadian housing market, in which it expects higher prices and mortgage rates and an increase in the supply of rental units to contribute to a market slowdown. Housing starts are expected to slip in 2016 to a range of between 153,000 and 203,000 units, and further slow in 2017 to between 149,000 and 199,000 units. That being said, the REITs on our list today could see a unit price decrease due to a high price to net book value.
Slate Retail REIT (TSX: SRT.UN) – $13.59
Commercial REITs
Slate Retail REIT (the REIT), formerly Slate U.S. Opportunity (No. 1) Realty Trust, is a Canada-based open?ended real estate investment trust. The Company is engaged in acquiring, owning and leasing a portfolio of commercial real estate properties, primarily grocery anchored retail properties, in the United States. The REIT owns a portfolio of grocery?anchored retail properties consisting of 41 assets and approximately 4,946,842 square feet of gross lettable area, located in 19 states.
- Market Cap: $388,794,735
- Revenues (LTM): $72,716,093
- Operating Income (LTM): $30,554,467
- Dividend Growth (Q/Q): 15.6x
Innvest Real Estate Investment Trust (TSX: INN.UN) – $5.09
Specialized REITs
InnVest Real Estate Investment Trust (InnVest) is an open-ended real estate investment trust, which owns a portfolio of hotels across Canada. As at December 31, 2014, InnVest also held a 50% interest in Choice Hotels Canada Inc., a franchisor of hotels in Canada. As at December 31, 2014, InnVest’s portfolio consisted of 110 hotel properties (14,164 rooms), each operated under franchise brands. InnVest’s hotels are managed by five hotel management companies, Westmont Hospitality Management Canada Limited (Westmont), Delta Hotels Limited (Delta Hotels), Fairmont Hotels & Resorts (Fairmont Hotels), Hilton Canada Co. (Hilton Hotels) and Hyatt Hotels Corporation.
- Market Cap: $682,389,430
- Revenues (LTM): $534,369,000
- Operating Income (LTM): $1,777,000
- Dividend Growth (Q/Q): 3.4x
Chartwell Retirement Residences (TSX: CSH.UN) – $12.66
Residential REITs
Chartwell Retirement Residences (Chartwell) is an unincorporated, open-ended trust. Chartwell indirectly owns and manages a portfolio of seniors housing communities across the complete continuum of care, which are located in Canada and the United States. It operates through three segments: Canadian Retirement Operations, Canadian Long Term Care Operations and U.S. Operations.
- Market Cap: $2,225,752,379
- Revenues (LTM): $761,677,000
- Operating Income (LTM): $82,258,000
- Dividend Growth (Q/Q): 2.9x
WPT Industrial Real Estate Investment Trust (TSX: WIR.U) – $12.06
Commercial REITs
WPT Industrial Real Estate Investment Trust (the REIT) is a Canada-based, open-ended real estate investment trust. The REIT is engaged in the business of acquiring and owning industrial investment properties located in the United States. It is focused on owning and operating a portfolio of institutional-quality properties in the distribution sub-segment of the United States industrial market. The REIT’s portfolio is concentrated in the Midwestern and Southeastern regions of the United States.
- Market Cap: $292,539,323
- Revenues (LTM): $77,701,108
- Operating Income (LTM): -$3,169,498
- Dividend Growth (Q/Q): 1.4x
American Hotel Income Properties REIT LP (TSX: HOT.UN) – $10.14
Specialized REITs
American Hotel Income Properties REIT LP (AHIP) is a Canada-based limited partnership company. The Company invests in hotel real estate properties primarily in the United States. The principal business of the Company is to issue units of AHIP and to acquire and hold shares of the American Hotel Income Properties REIT Inc. It operates in two segments: Oak Tree Inn or Rail Hotels and Branded Hotels.
- Market Cap: $356,356,650
- Revenues (LTM): $141,031,920
- Operating Income (LTM): $16,598,950
- Dividend Growth (Q/Q): 1.2x
