05:00 PM EDT, 04/24/2024 (MT Newswires) -- Choice Properties Real Estate Investment Trust (CHP-UN.TO) after trade Wednesday said its first-quarter profit fell 47% on non-cash charges.

The REIT reported net income for the first quarter of C$142.3 million, down from C$270.8 million in the first quarter of 2023. It said the change in net income from the prior year was primarily due to non-cash fair-value adjustments.

But it added the unfavorable changes in fair value were partially offset by aa 3.1% rise in net operating income to C$251.63 million from C$244.05 million.

Funds from operations per unit was C$0.26, up 6.1% from C$0.24 the first quarter of 2023.

For 2024, Choice said it will continue to focus on its core business of essential retail and industrial, its growing residential platform and its development pipeline. It is targeting: Stable occupancy across the portfolio, resulting in 2.5% to 3.0% year-over-year growth in Same-Asset NOI, cash basis; and Annual FFO per unit diluted in a range of $1.02 to $1.03, reflecting 2.0% to 3.0% year-over-year growth; and "strong" leverage metrics, targeting Adjusted Debt to EBITDAFV slightly below 7.5 times..

The REIT's units closed down C$0.13 to C$12.95 on the Toronto Stock Exchange.