12:02 PM EDT, 09/03/2025 (MT Newswires) -- (Adds National Bank commentary and updates units.)

Boardwalk Real Estate Investment Trust (BEI-UN.TO) said Wednesday it completed the sale of two older communities totaling 134 suites in Edmonton, Alberta, and agreed to acquire the Central Parc 1, 2 and 3 communities in Laval, Quebec, expanding its Greater Montreal presence.

The $273.1 million of transaction activity includes the Edmonton sales, valued at $24.1 million, and the $249.0 million acquisition of Central Parc, consisting of three concrete towers with 541 suites.

The Edmonton properties were sold to a local private buyer, with closing scheduled in September. The Central Parc acquisition is expected to close in late September.

Boardwalk said funds from operations per unit will rise by about $0.02 for the remainder of 2025 as a result of the acquisitions, net of dispositions. For 2026, the trust expects FFO per unit to increase by about $0.07.

Following this announcement, National Bank of Canada confirmed its outperform rating and target price of $82.50 on Boardwalk's units.

"All-in-all we like this transaction for the REIT as it high-grades the Quebec portfolio with modest upside combined with a much lower capex profile by disposing of older vintage assets (there is possibly some margin expansion available as the properties are subject in time to the REIT's expense optimization programs)," said analyst Matt Kornack. "NCIB remains a capital allocation consideration for management and any disposition proceeds could be a funding source if the stock remains around current levels."

Boardwalk units were seen last up $0.89 to $70.12 on the Toronto Stock Exchange.

Price: 70.11, Change: +0.88, Percent Change: +1.27