Core Insights - European Residential Real Estate Investment Trust (TSE:ERE.UN) is focusing on portfolio disposition, debt reduction, and winding down its business as discussed in the fourth-quarter 2025 results conference call led by CEO Mark Kenney and CFO Jenny Chou [2] Asset Sales and Capital Return in 2025 - In 2025, the REIT sold nearly 2,000 residential suites in the Netherlands and approximately 300,000 square feet of commercial gross leasable area (GLA) in Belgium and Germany for a total consideration of EUR 490 million [3] - The net proceeds of EUR 245 million were utilized to repay mortgage debt, resulting in a leverage ratio reduction to a record low of 30.5% at year-end [3][5] - A special cash distribution of EUR 0.90 per unit was paid to unitholders, aligning with management's commitment to return capital [3][5] Additional Dispositions and Remaining Portfolio - Disposition activities continued into 2026, with an additional 410 suites sold or under agreement for EUR 89 million [4] - The portfolio has decreased from approximately 3,000 units at the beginning of 2025 to 619 residential suites and just over 100,000 square feet of ancillary retail space remaining in the Netherlands [4][5] - The remaining assets are characterized as "an attractive integrated portfolio for sale" [4] Operating and Balance-Sheet Position - Same-property occupied average monthly rent (AMR) increased by 5.9% to EUR 1,458, with a net operating income (NOI) margin of 72.3% and residential occupancy at 90.6%, reflecting deliberate vacancies [5] - Year-end liquidity stood at EUR 37 million, with no mortgages maturing in 2026 [5]