Ravelin Properties (RPR.UN) Q3 2025 earnings summary

Executive summary

• Internalized asset management and Chicago property management in 2025, targeting significant G&A and OpEx savings.

• Achieved highest quarterly gross rental revenue and NOI since Q3 2024, despite prior asset sales.

• Recapitalization underway with $600M in secured debt purchased by G2S2, strengthening financial position.

• Signed 235,163 sq. ft. of new leases and renewals in Q3 2025 at a weighted average net rental rate of $18.29 per sq. ft., with new deals 20.5% above prior rates (excluding previously vacant space).

• Focus on leasing momentum, cost control, and operational improvements to drive recovery and future growth.

Financial highlights

• Portfolio occupancy at 74.5% as of September 30, 2025, with management targeting a return to pre-COVID levels (86.4% in 2019).

• Rental revenue for Q3 2025 was $47.5 million, down 5.2% year-over-year.

• NOI for 2024 was $95M, with potential to recover to prior peak of $121M, a $26M upside.

• Net loss for Q3 2025 was $17.4 million, a significant improvement from a $182.1 million loss in Q3 2024.

• 236,000 SF of signed leases for vacant space will commence rent in late 2025 and 2026, adding ~$8.1M in annualized gross rent.

Outlook and guidance

• Management expects occupancy to return to pre-pandemic levels within 24–36 months, driven by leasing momentum and operational improvements.

• Management expects further reduction in net debt to Adjusted EBITDA ratio following the full impact of a recent acquisition.

• Active discussions are ongoing with senior lenders to extend forbearance agreements, with no extension reached as of the report date.

• Additional funding is being sought to support leasing and deferred maintenance as part of the recapitalization plan.

• Data centre and Atlantic Canada assets positioned for growth, leveraging energy and connectivity advantages.