MONTRÉAL, March 17, 2026 (GLOBE NEWSWIRE) -- Canadian Net Real Estate Investment Trust (“Canadian Net” or the “REIT”) (TSX-V: NET.UN) today reported its results for the quarter ended December 31st, 2025 (“Q4 2025”) and distributions for April, May and June 2026 (“Q2 2026”). “2025 was a milestone year for Canadian Net. We delivered 9% growth in Normalized FFO per unit, setting a new all-time high, while maintaining 100% occupancy across the portfolio,” said Kevin Henley, President and CEO. “These results are ...

Financial Data and Key Metrics Changes - The company reported a Normalized FFO per share growth of 8.9% year-over-year for Q4 2025, with a full-year growth of 10.6% [4][22] - Total FAD increased by 13.7% year-over-year, reaching $232.1 million for the full year [23] - Net income per share for Q4 was $0.80, a decrease of 15.8% from the prior year, primarily due to prior year gains from derivative accounting [21] Business Line Data and Key Metrics Changes - The Seniors Housing Operating Portfolio (SHOP) platform saw a total NOI increase of 125% year-over-year, with same-store growth of 7.6% [4][5] - Cash rental income from the triple net portfolio increased by approximately 7% year-over-year [4] - SHOP NOI for Q4 increased by 124.9% to $7.3 million compared to the prior year [24] Market Data and Key Metrics Changes - There were fewer than 25,000 units under construction in Q4, representing just 2.2% of total inventory, the lowest level since 2012 [7] - Demand for senior housing is accelerating as the first baby boomers turn 80 this year, indicating favorable industry tailwinds [7] Company Strategy and Development Direction - The company plans to allocate 70% of its investment activity in 2026 to SHOP, targeting need-driven senior living communities in secondary suburban markets [9] - The company is focusing on partnerships with operators that demonstrate high resident satisfaction and is expanding its SHOP capabilities [8][9] - A new Board member, Lilly Donohue, was welcomed, bringing extensive experience in senior living operations [12][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth potential of FFO per share and the attractiveness of senior housing industry fundamentals [12] - The company anticipates a 1.2% growth in Normalized FFO per share for 2026, with an adjusted growth rate estimated at 5%-6% [11] - Management highlighted the importance of maintaining a strong balance sheet and a lower leverage policy to support growth [28] Other Important Information - The company announced a dividend of $0.92 per share for shareholders of record on March 31, 2026 [28] - The company has a robust liquidity position with approximately $875 million available, including cash and revolver capacity [27] Q&A Session Summary Question: Same-store SHOP guidance for 2026 - Management indicated that the guidance reflects current expectations and future plans for corrective measures, with potential for upside [32][34] Question: NHC lease negotiations - Management described the current posture as being in a quiet period regarding NHC lease negotiations [40] Question: SHOP growth and performance - Management noted that the new SHOP portfolio is expected to perform well, with double-digit growth anticipated [53] Question: Pricing power in secondary markets - Management emphasized that pricing power varies by market, but they expect to achieve 7%-8% growth through effective rate increases [57] Question: Dispositions and capital recycling - Management explained that the higher volume of dispositions is driven by reallocating resources to more strategic relationships [61]

Financial Data and Key Metrics Changes - For Q4 2025, normalized FFO was $27.5 million or $0.17 per share, flat compared to the prior year quarter [20] - Adjusted EBITDAre decreased by $5 million year-over-year to $125.6 million, primarily impacted by an $11.8 million decline in hotel EBITDA [20] - RevPAR for 94 comparable hotels increased by 70 basis points year-over-year, while gross operating profit margin percentage declined by 370 basis points to 20.5% [21] Business Line Data and Key Metrics Changes - The hotel portfolio generated adjusted hotel EBITDA of $21.3 million, a decline of 35% from the prior year due to elevated labor costs and higher overhead costs [21] - The remaining 77 hotels delivered RevPAR of $106, an increase of 170 basis points year-over-year, with adjusted hotel EBITDA of $25 million during the quarter [21] - Annualized base rent for the net lease portfolio increased by 2.4%, largely due to recent acquisition activity, with a portfolio consisting of 760 properties across 42 states [18] Market Data and Key Metrics Changes - The U.S. lodging industry experienced a RevPAR decline of 1.1% year-over-year, with SVC's portfolio outpacing the industry by 180 basis points [11] - The luxury and upper upscale segments were the only segments to post growth, while the business transient segment remained muted due to a prolonged government shutdown [11] Company Strategy and Development Direction - The company is focused on optimizing its portfolio, strengthening its financial profile, and repositioning for long-term growth, including selling additional hotels and improving cash flows [5][7] - In 2026, the company plans to reduce net lease acquisition activity to approximately $25 million, funded through sales of select net lease assets [10][16] - The company is targeting staggered closings for hotel sales in the back half of 2026, estimating total proceeds of $175 million-$200 million for debt reduction [9] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for 2026, anticipating improvements in lodging market conditions and stabilization of demand, particularly with large events like the World Cup [14] - The company expects continued improvement in its net lease portfolio through ongoing leasing and sales of non-core assets [15] - Management noted that the new leadership at Sonesta is expected to drive operational discipline and efficiencies across the SVC-owned portfolio [14] Other Important Information - The company completed the sale of 66 hotels for $534 million in Q4 2025, increasing total dispositions for the year to 112 hotels for nearly $860 million [6][7] - The company has $5.2 billion of debt outstanding with a weighted average interest rate of 5.95% [22] - Capital expenditures for Q4 2025 totaled $106 million, bringing the full-year spend to $238 million [24] Q&A Session Summary Question: Can you share how RevPAR has trended in the first quarter to date? - Management indicated that RevPAR is tracking in line with or exceeding projections for the full year guidance [29] Question: Can you walk through the strategy shift regarding net lease acquisition guidance? - Management explained that the $25 million guidance will be supported by sales of net lease properties, reflecting a healthy outlook based on performance [31] Question: What does your guidance assume for expense growth at the midpoint? - Management noted an expectation of over 4% top-line growth, with labor costs being a significant factor impacting margins [32] Question: How might the changes at Sonesta impact SVC? - Management views the new management team at Sonesta positively, expecting incremental benefits but noted that 2026 guidance is based on existing forecasts [33] Question: Can you provide details on the hotel dispositions for 2026? - Management confirmed that the dispositions reflect previously communicated assets and expect a total drag of about $10 million from the sales [55]

Financial Data and Key Metrics Changes - Normalized FFO for Q4 2025 was $0.24 per share, unchanged from the prior year, while for the full year, it increased by 2% to $0.95 per share compared to $0.93 in 2024 [6][16] - Gross Normalized FFO increased by 7% for the quarter and 15% for the year [7] - Total revenue, including home sales, reached $261.8 million for the year, a 9% increase over the previous year [10] Business Line Data and Key Metrics Changes - Rental and related income grew to $226.7 million for the year, representing a 10% increase from $207 million in 2024 [9][17] - Same-property revenue growth was 8.2% for the year, with same-property NOI growth of 9% [10][18] - Home sales generated gross revenue of $36.4 million for the year, a 9% increase from $33.5 million in 2024 [12] Market Data and Key Metrics Changes - The company added 717 new rental homes, bringing total rental home inventory to approximately 11,000 units with a 93.8% occupancy rate [11] - The average occupancy in newly acquired communities was 78% at acquisition, providing immediate upside potential [13] Company Strategy and Development Direction - The company aims to continue growing through acquisitions, community development, and enhancing the profitability of its sales operations [28][30] - Investments in communities have improved living conditions and generated strong demand, resulting in waiting lists for rental homes [29] - The company is exploring the expansion of communities and other uses for its vacant land, which holds substantial value [30] Management's Comments on Operating Environment and Future Outlook - The affordable housing crisis is a national concern, and the company positions factory-built homes as a solution [6] - Management anticipates strong growth prospects for 2026, supported by positive industry fundamentals and high demand for affordable housing [31][32] - The company expects to achieve normalized FFO guidance of $0.97 to $1.05 per share for 2026, reflecting a 2%-10% increase [8][27] Other Important Information - The company ended the year with $72 million in cash and cash equivalents and $260 million available on its credit facility [19] - Total debt at year-end was approximately $761 million, with 99% being fixed rate [20][21] - The company repurchased 320,000 shares of common stock at an average price of $15.06 per share, reflecting confidence in its undervaluation [24] Q&A Session Summary Question: What is the strategy between rental and home sales? - Management emphasizes the importance of rentals for short-term housing needs, which helps convert renters into buyers [36] Question: What is the expected same-store NOI growth without weather-related expenses? - Management indicated that without elevated snow removal costs, same-store NOI growth would have approached 10% [42][43] Question: What are the dynamics affecting home prices and supply chain issues? - Management noted that prices for homes remain stable, with no significant delays in obtaining homes [44][45] Question: What is the outlook for rental homes and acquisition opportunities? - Management expects rental home growth to be weighted towards the spring and summer months, with ongoing competitive acquisition opportunities [56][59]

Financial Data and Key Metrics Changes - Normalized FFO was $0.24 per share in Q4 2025, unchanged from the prior year, while for the full year, it increased to $0.95 per share from $0.93, a 2% increase [6][16] - Gross Normalized FFO increased by 7% for the quarter and 15% for the year [7] - Total revenue, including home sales, was $261.8 million for the year, a 9% increase from the previous year [10] Business Line Data and Key Metrics Changes - Rental and related income grew to $226.7 million for the year, a 10% increase from $207 million in 2024 [9][17] - Same-property revenue growth was 8.2% for the year, with same-property NOI growth of 9% [10][18] - Home sales generated gross revenue of $36.4 million for the year, a 9% increase from $33.5 million in 2024 [12] Market Data and Key Metrics Changes - The company added 717 new homes across its portfolio, achieving a total rental home inventory of approximately 11,000 units with a 93.8% occupancy rate [11] - The average occupancy in newly acquired communities was 78% at acquisition, providing immediate upside potential [13] Company Strategy and Development Direction - The company aims to continue growing through acquisitions, community development, and enhancing the profitability of its sales operations [28][30] - Investments in communities have improved living conditions and generated strong demand, resulting in waiting lists for rental homes [29] - The company is positioned to benefit from legislative changes that may encourage the development of manufactured housing communities [30][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong earnings growth for 2026, with guidance of $0.97 to $1.05 per share, reflecting a 2%-10% increase [8][27] - The affordable housing crisis is a significant focus, with the company positioning itself as a solution through factory-built homes [6][30] - Management noted that demand for affordable housing remains high, supported by favorable demographics and limited new supply [32] Other Important Information - The company ended the year with $72 million in cash and cash equivalents and $260 million available on its credit facility [19] - The total market capitalization was approximately $2.4 billion at year-end, down from $2.5 billion the previous year [23] Q&A Session Summary Question: What is the strategy between rental and home sales? - Management emphasized the importance of rentals as a driver for growth, creating buyers and filling sites more quickly than selling homes [35][36] Question: What is the expected same-store NOI growth without weather-related expenses? - Management indicated that without elevated snow removal costs, same-store NOI growth would have approached 10% [44][45] Question: What are the dynamics affecting home prices and supply chain issues? - Management noted favorable conditions with no dramatic waits for houses and prices remaining stable [46][48] Question: What is the outlook for rental homes and acquisition opportunities? - Management expects 700-800 new rental homes this year, with growth primarily in the spring and summer months [60][62] - The acquisition market remains competitive, with a focus on high-quality assets [63][66] Question: What is the contribution expected from new home sales in 2026? - Management anticipates an improvement in home sales, with potential sales reaching $40 million [71][75] Question: How is the delinquency and bad debt outlook? - Collections remain strong at 98.5%, with write-offs around 1% of rental income [76][78]

Financial Data and Key Metrics Changes - Normalized FFO for Q4 2025 was $0.24 per share, unchanged from the prior year, while for the full year, it increased by 2% to $0.95 per share compared to $0.93 in 2024 [5][15] - Gross Normalized FFO increased by 7% for the quarter and 15% for the year [5] - Total revenue, including home sales, was $261.8 million for the year, representing a 9% increase over the previous year [9] Business Line Data and Key Metrics Changes - Rental and related income grew to $226.7 million for the year, a 10% increase from $207 million in 2024 [8][16] - Same-property revenue growth was 8.2% for the year, with same-property NOI growth of 9% [9][17] - Home sales generated gross revenue of $36.4 million for the year, an increase of 9% from $33.5 million in 2024 [11] Market Data and Key Metrics Changes - The company added 717 new homes across its portfolio, achieving a total rental home inventory of approximately 11,000 units with a 93.8% occupancy rate [10] - The average occupancy in newly acquired communities was 78% at acquisition, providing immediate upside potential [12] Company Strategy and Development Direction - The company aims to continue growing through acquisitions, community development, and enhancing the profitability of its sales operations [27] - Investments in communities have improved living conditions, leading to strong demand and waiting lists for rental homes [28] - The company is exploring the potential of its land holdings for future developments, including single-family homes and data centers [28] Management's Comments on Operating Environment and Future Outlook - The company anticipates strong growth prospects in 2026, supported by high demand for affordable housing and favorable demographics [30] - Management expressed confidence in the resilience of their business model, which has proven effective across economic cycles [14] Other Important Information - The company ended the year with $72 million in cash and cash equivalents and $260 million available on its credit facility [18] - The weighted average interest rate on total debt was 4.9% at year-end, compared to 4.38% the previous year [20] Q&A Session Summary Question: What is the strategy between rental and home sales? - Management emphasized the importance of rentals as a driver for growth, noting that rentals create buyers and fill sites more quickly than sales [34][35] Question: What is the expected same-store NOI growth without weather-related expenses? - Management indicated that without elevated snow removal costs, same-store NOI growth would have approached 10% [42][43] Question: How are home prices and supply chain issues affecting costs? - Management reported favorable conditions, with no dramatic waits for homes and prices remaining stable [44][46] Question: What is the outlook for rental homes and acquisition opportunities? - Management expects to add 700-800 rental homes, with growth primarily in the second and third quarters [57] - The acquisition market remains competitive, with a focus on high-quality, well-located assets [60][62]

Financial Data and Key Metrics Changes - In 2025, the company achieved consolidated NOI growth of 31.3% and reduced leverage by over three turns, with no debt maturities until 2028 [6][12] - For Q4 2025, total revenue was $379.6 million, Adjusted EBITDAre was $72.4 million, and Normalized FFO was $21.8 million or $0.09 per share [7][20] - Full year Adjusted EBITDAre was $284 million, at the high end of guidance [20] Business Line Data and Key Metrics Changes - SHOP NOI for Q4 improved 27.6% year-over-year to $38.3 million, with full year SHOP NOI at $139.3 million, towards the high end of guidance [6][7] - Medical office and life science NOI was $108.1 million, just above the midpoint of guidance [21] - Same-property Cash Basis NOI increased 15.4% year-over-year to $70.4 million in Q4 [15] Market Data and Key Metrics Changes - Same-property occupancy for SHOP increased 90 basis points year-over-year to 82.4%, with average monthly rates up 5.8% [7][15] - Consolidated occupancy in the medical office and life science portfolio increased 460 basis points sequentially to 91.2% [11] Company Strategy and Development Direction - The company aims to unlock value through operational performance and is focused on executing property-specific business plans [9][26] - There is a healthy pipeline of ROI projects expected to add approximately 500 SHOP units, with an unlevered mid-teens ROI [10][27] - Future dispositions will be opportunistic, with proceeds used to reduce leverage or redeploy into accretive initiatives [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving 2026 outlook due to robust demand for SHOP communities and a favorable industry outlook [10][14] - The company anticipates continued increases in revenue and occupancy, leading to strong NOI and margin growth in 2026 [15][20] Other Important Information - The company completed the wind down of AlerisLife, transitioning 116 communities to seven operators [5] - G&A expenses for Q4 included a $5.7 million business management incentive fee, driven by a total shareholder return of nearly 113% in 2025 [16] Q&A Session Summary Question: What is the go-forward strategy and opportunities for reopening wings at existing communities? - The main strategy is to grow performance through operations, with potential to add close to 500 units through identified wings at a cost of $125-$175 per unit [26][27] Question: Will external investments focus on renovations or acquisitions? - Renovations are expected to provide better risk-adjusted returns, but acquisitions are not the current focus [28][29] Question: What drove the Q4 margin improvement? - The improvement was a combination of reduced transition noise and core operational gains [30][31] Question: What are the trends for January and February? - January showed promising results in line with expectations, with rent escalators around 4%-6% [33][34] Question: How should NOI growth be expected over the coming quarters? - NOI growth is expected to be back half of the year weighted due to occupancy growth and rate increases [38][40] Question: What are the prospects for renewing or releasing medical office and life science assets? - There are promising prospects for re-leasing, particularly for a building in Fremont, California [44] Question: What implications does the momentum have on the dividend? - The board will consider the dividend, but there are no immediate priorities for addressing it [51]

Financial Data and Key Metrics Changes - The company achieved a record quarterly leasing volume of nearly 4 million sq ft with a weighted average rent roll-up of 25.7%, marking the fifth consecutive quarter of double-digit rent growth [5][9] - Normalized FFO grew 113% year-over-year, reaching $18.9 million or $0.29 per share, which was at the high end of guidance [12] - Same property cash basis NOI increased by 5.2% year-over-year [5] - Total shareholder return exceeded 55% in 2025, ranking the company third among all U.S. REITs [5] Business Line Data and Key Metrics Changes - The company completed 42 new and renewal leases totaling 7.3 million sq ft during 2025, expected to generate an increase of approximately $10.6 million in annualized rental revenue [7] - Renewals represented the majority of leasing activity, with a tenant retention rate of 96% [9] - Significant lease renewals included Amazon (2.3 million sq ft), Restoration Hardware (1.2 million sq ft), and FedEx (152,000 sq ft) [9][10] Market Data and Key Metrics Changes - Consolidated occupancy at year-end was 94.5%, a 40 basis point increase from the previous quarter [7] - The company’s portfolio consists of 409 properties across 39 states, totaling approximately 60 million sq ft, with a weighted average lease term of seven years [6] Company Strategy and Development Direction - The company is focused on improving its balance sheet and positioning for future growth, including refinancing $1.2 billion of floating rate debt into fixed rate debt [6] - The leasing pipeline consists of 6.4 million sq ft, with 3.8 million sq ft in advanced stages of negotiation [10] - The company aims to generate organic cash flow growth and reduce leverage, which has declined from 12.4x to 11.8x over the last year [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong performance and momentum, indicating a focus on leasing priorities in 2026 [8] - The company noted that while construction has slowed, tenant retention remains strong, and there is no significant concern regarding competing supply in core markets [45] Other Important Information - The company ended the quarter with cash on hand of $95 million and restricted cash of $88 million, with a total net debt to total assets ratio of 69% [14] - The company expects interest expense for the first quarter to be $61.5 million, including $57 million of cash interest expense [15] Q&A Session Summary Question: Non-cash interest amount for the quarter - The non-cash interest amount for the quarter is $4.5 million [20] Question: Update on another asset under contract for sale - The company had a property under LOI for about $50 million, but the tenant preferred to engage in a renewal discussion instead of purchasing the property [21] Question: Known move-outs to be aware of - There are no material known move-outs at this point, and progress is being made on expirations [22][23] Question: Changes in marketing process for vacancies - Progress is being made on the Indianapolis property, with lease comments currently being exchanged [24] Question: Interest expense forecast for Q1 - The forecasted interest expense for Q1 is $61.5 million, with a decrease expected in Q2 due to the impact of a cap [26][28] Question: Same store NOI growth drivers - The increase in same store NOI growth is primarily due to leasing activities, with cash impacts expected to hit in the latter half of 2026 and into 2027 [36][38] Question: Thoughts on refinancing the Monmouth JV loan - The company is actively evaluating refinance opportunities and has flexibility due to the extension option [42] Question: Competing supply in core markets - There is currently no significant concern regarding competing supply, as tenant retention remains strong [45]

Financial Data and Key Metrics Changes - The company achieved a record quarterly leasing volume of nearly 4 million sq ft with a weighted average rent roll-up of 25.7%, marking the fifth consecutive quarter of double-digit rent growth [5][9] - Normalized FFO grew 113% year-over-year, reaching $18.9 million or $0.29 per share, which was at the high end of guidance [12][5] - Same property cash basis NOI increased by 5.2% year-over-year [5] - Total shareholder return exceeded 55% in 2025, ranking the company third among all U.S. REITs [5] Business Line Data and Key Metrics Changes - The company completed 42 new and renewal leases and two rent resets totaling 7.3 million sq ft, expected to generate an increase of approximately $10.6 million in annualized rental revenue [7] - Renewals represented the majority of leasing activity, with a tenant retention rate of 96% [9] - Notable lease renewals included Amazon and Restoration Hardware, with significant roll-ups in rent [9][10] Market Data and Key Metrics Changes - Consolidated occupancy at year-end was 94.5%, a 40 basis point increase from Q3 [7] - The company owns 409 properties across 39 states, totaling approximately 60 million sq ft, with a weighted average lease term of seven years [6] Company Strategy and Development Direction - The company is focused on leasing priorities, particularly a 2.2 million sq ft land parcel in Hawaii and a 535,000 sq ft property in Indianapolis [8] - The company aims to generate organic cash flow growth and reduce leverage, which has declined from 12.4x to 11.8x over the last year [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong performance and momentum, positioning the company well for 2026 [8] - The company noted that tenant retention remains strong, and there are no material known move-outs expected [23][25] - Management indicated that while construction has slowed, the company has not seen significant issues with competing supply [45] Other Important Information - The company successfully refinanced $1.2 billion of floating rate debt into fixed rate debt, resulting in annual cash savings of over $8 million [6] - The company ended the quarter with cash on hand of $95 million and restricted cash of $88 million, with a total net debt to total assets ratio of 69% [14] Q&A Session Summary Question: What is the non-cash interest amount for the quarter? - The non-cash interest amount for the quarter is $4.5 million [20] Question: Can you provide an update on another asset that was under contract for sale? - The company had a property under LOI for about $50 million, but the tenant preferred to engage in a renewal discussion instead of purchasing the property [21] Question: Are there any known move-outs we need to be aware of? - There are no material known move-outs at this point, and progress is being made on expirations [22][23] Question: Are there any changes in the marketing process for the Indianapolis and Hawaii vacancies? - Progress is being made in Indianapolis, and discussions are ongoing in Hawaii, but no concessions can be made due to the nature of the ground lease [24][25] Question: How did interest expense change from Q4 to Q1? - The change is primarily due to the number of days in the quarter, with 92 days in Q4 and 90 in Q1 [26] Question: What is the thought process around refinancing the Monmouth JV loan? - The company is actively evaluating refinance opportunities and has flexibility due to the extension option [42]

Financial Data and Key Metrics Changes - The company achieved a record quarterly leasing volume of nearly 4 million sq ft with a weighted average rent roll-up of 25.7%, marking the fifth consecutive quarter of double-digit rent growth [5][10] - Normalized FFO grew 113% year-over-year, reaching $18.9 million or $0.29 per share, which was at the high end of guidance [5][13] - Same property cash basis NOI increased by 5.2% year-over-year, totaling $85.7 million [5][13] - Total shareholder return exceeded 55% in 2025, ranking the company third among all U.S. REITs [5] Business Line Data and Key Metrics Changes - The company completed 42 new and renewal leases and two rent resets, totaling 7.3 million sq ft during 2025 [7] - Notable lease renewals included Amazon for 2.3 million sq ft with a roll-up in rent of 26.8% and Restoration Hardware for 1.2 million sq ft with a roll-up of 29% [10][11] - The tenant retention rate was reported at 96% for the quarter [10] Market Data and Key Metrics Changes - Consolidated occupancy at year-end was 94.5%, a 40 basis point increase from the previous quarter [7] - The company’s portfolio includes 409 properties across 39 states, totaling approximately 60 million sq ft, with a weighted average lease term of seven years [6] Company Strategy and Development Direction - The company is focused on leasing priorities, particularly a 2.2 million sq ft land parcel in Hawaii and a 535,000 sq ft property in Indianapolis [9] - The company aims to generate organic cash flow growth and reduce leverage, which has improved from 12.4x to 11.8x over the last year [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong performance and momentum, positioning the company well for 2026 [9][16] - The company noted that while construction has slowed, tenant retention remains strong, and there is no significant concern regarding competing supply in core markets [45] Other Important Information - The company successfully refinanced $1.2 billion of floating rate debt into fixed rate debt, resulting in annual cash savings of over $8 million [6] - The annualized dividend was increased from $0.04 to $0.20 per share [6] Q&A Session Summary Question: What is the non-cash interest amount for the quarter? - The non-cash interest amount for the quarter is $4.5 million [20] Question: Can you provide an update on another asset that was under contract for sale? - The property was under LOI for about $50 million, but the tenant preferred to engage in a renewal discussion instead of purchasing [21] Question: Are there any known move-outs we need to be aware of? - There are no material move-outs at this point, and progress is being made on expirations for 2026 and 2027 [22] Question: Are there any changes in the marketing process for the Indianapolis and Hawaii vacancies? - Progress is being made in Indianapolis, with lease comments currently being exchanged [24] - In Hawaii, discussions are ongoing, but the complexity of the parcel presents timing delays [25] Question: How did interest expense change from Q4 to Q1? - The interest expense is forecasted to be $61.5 million for Q1, influenced by the number of days in the quarter [26] Question: What is the thought process around refinancing the Monmouth JV loan? - The company is actively evaluating refinance opportunities and has flexibility due to the extension option [42]