H&R Real Estate Investment Trust (H&R REIT) is a prominent Canadian open-ended real estate investment trust that owns and manages a diversified portfolio of commercial and residential properties across Canada and the United States. The trust generates revenue primarily through long-term leasing arrangements, collecting rental income from a diverse tenant base that includes major corporations, grocers, and residential tenants.
Historically a highly diversified landlord, H&R REIT is actively executing a strategic repositioning plan to streamline its portfolio. As of late 2024, the trust's asset mix is weighted heavily toward residential properties (approximately 49%), which are primarily operated in the U.S. Sunbelt under its Lantower Residential subsidiary. Industrial properties account for roughly 18% of the portfolio, with a strong concentration in the Greater Toronto Area. The remainder of the portfolio consists of office (18%) and retail (15%) properties, which the company is systematically divesting to fund its residential and industrial development pipeline.
Geographically, H&R has increasingly shifted its focus south of the border, with approximately 70% of its real estate asset value now located in the United States. The trust's competitive position is supported by its substantial scale, an internal development platform that allows it to build new residential and industrial assets, and a high-quality tenant roster that provides stable cash flows during its strategic transition.
