Review of H&R Real Estate Investment Trust

DEC 07, 2023 - HR.UN is in the midst of a strategic repositioning plan, as the stock has struggled since COVID-19 due to heavy weighting in the office and retail divisions. HR.UN continues to pay OK distributions and recent quarterly results were solid, but the high debt load is concerning. We have downgraded our rating by two notches to a C+ due to the limited growth outlook but steady distributions. This rating can be considered an ‘own for income’ rating.