07:09 AM EDT, 03/14/2025 (MT Newswires) -- Melcor Real Estate Investment Trust (MR-UN.TO) overnight Thursday said fourth-quarter adjusted funds from operations (AFFO) dropped sharply.

The REIT said AFFO fell 79% to $753,000, or $0.03 per unit, from $3.6 million, or $0.12 per unit, in the prior year period.

Revenue was down 2.1% to $18.1 million, from $18.5 million in the previous corresponding quarter, while net operating income decreased 4% to $11.1 million in the same period. The decline was driven by asset sales, reduced occupancy and lower new and renewing base rents.

In 2024, Melcor REIT prioritized strengthening liquidity and its overall financial position and continued to face "persistent" headwinds in Alberta's real estate market, particularly in the office sector, said chief executive Andrew Melton.