AIP Realty Trust Announces Third Quarter 2025 Results

Core Viewpoint - AIP Realty Trust reported its financial results for Q3 and the first nine months of 2025, showing mixed performance with increased revenue but a net loss due to high trust expenses and fair value adjustments on investment properties [1][4]. Financial Performance - Investment property revenue for Q3 2025 was $122,118, up from $116,741 in Q3 2024, reflecting a 5% increase driven by higher suite rents and parking rents [3][4]. - Investment property operating expenses decreased to $43,678 in Q3 2025 from $49,769 in Q3 2024, a reduction of 12% attributed to lower maintenance and repair costs [3][4]. - Net rental income for Q3 2025 was $78,440, an increase of 17% from $66,972 in Q3 2024 [3][4]. - Total trust expenses for Q3 2025 were $653,692, down 4% from $681,575 in Q3 2024, mainly due to reduced trustee fees and professional fees [3][4]. Investment and Financing Activities - The Trust initiated a fifth tranche of a non-brokered private placement, issuing 1,070,000 Preferred Units for gross proceeds of $535,000, with plans to continue this financing into Q4 2025 [4][8]. - Cumulatively, the fifth tranche has resulted in the issuance of 9,894,000 Preferred Units for total gross proceeds of $4,947,000 [9]. Assets and Liabilities - As of September 30, 2025, total investment property was valued at $6,105,637, compared to $5,992,598 at the end of 2024 [5]. - Cash reserves decreased significantly to $54,506 from $569,601 at the end of 2024 [5]. - Project debt net of discounts was $2,848,940, slightly down from $2,920,352 at the end of 2024 [5]. Strategic Outlook - The Trust has secured exclusive rights to purchase AllTrades' completed and leased facilities, including 11 properties in development, funded by equity capital from AllTrades and Trinity Investors [7]. - The Trust anticipates closing the AllTrades Transaction by the end of Q1 2026, which is expected to enhance its portfolio and operational capabilities [10].