Boardwalk REIT reported another stable quarter in Q2 2026, underscoring the continued resilience of Canada’s affordable rental segment and the strength of the Trust’s vertically integrated operating model. Funds From Operations reached $1.19 per unit, up 2.6 per cent year‑over‑year, while Net Operating Income rose 2.9 per cent to $107.2 million. Same‑property occupancy remained high at 97.0 per cent, supported by Boardwalk’s focus on retention and operational efficiency.
“These results reflect the resilience of affordable housing across all points in the housing cycle, the irreplaceable value of our vertically integrated operating platform, and our team’s focus on retention and ability to maintain occupancy above market-wide levels,” said Sam Kolias, Chairman and CEO.
Alberta continues to anchor performance, buoyed by strong population growth, economic momentum and moderated construction starts that are expected to limit new supply over the medium term. Boardwalk noted that the province’s affordability advantage and lifestyle appeal remain key long‑term fundamentals for well‑located rental housing.
Capital discipline remained a priority in the quarter. The Trust improved its Debt‑to‑EBITDA ratio to 9.3x, down from 10.0x at year‑end 2025, supported by active capital recycling and asset sales. The newly formed co‑ownership with DGAM Real Estate Fund adds another channel for growth, while unit repurchases under the Normal Course Issuer Bid continue at discounted price levels.
“We remain committed to disciplined capital allocation and maintaining a strong and flexible balance sheet,” the Trust stated, highlighting ongoing unit buybacks and the strategic use of co‑ownership capital to support accretive growth. “We are well positioned for the remainder of 2026 and remain focused on delivering strong operating results, preserving financial flexibility, further compounding cash flow per unit growth for unitholders, and creating long-term value for all our stakeholders.”
Same‑property operating margin dipped slightly as rental revenue and expenses grew at similar rates, both below inflation. Boardwalk maintained high occupancy by moderating renewal rates in select markets, reducing incentives, and adjusting rents based on local supply conditions. Revenue rose 1.7 per cent year‑over‑year, offset by a 1.9 per cent increase in expenses.
Regional performance varied. Edmonton posted 2.2 per cent same‑property NOI growth, driven by higher rents and lower insurance costs. Calgary saw a 1.2 per cent decline due to higher vacancy loss. Saskatchewan’s NOI was flat, while Ontario led growth at 5.1 per cent, supported by mark‑to‑market turnover gains and lower utilities. Quebec delivered 4.9 per cent NOI growth. British Columbia lagged, with NOI down 6.3 per cent as higher taxes, utilities and commercial leasing costs outpaced revenue.
Boardwalk renewed $111.5 million in mortgages at an average rate of 3.71 per cent and extended terms by 3.2 years. Year‑to‑date, the Trust paid out $59.5 million in mortgages with an average rate of 4.74 per cent.
