Topics
The federal government’s tax on income-trust distributions took effect on January 1, 2011. Most trusts have since converted to corporations.


Real estate investment trusts (REITs) were exempted from the income-trust tax. As a result, high-quality REITs should remain attractive to income-seeking investors.
TC ENERGY INC., $71.88 is a buy. The company (Toronto symbol TRP; Shares o/s: 1.0 billion; Market cap: $74.7 billion; TSINetwork Rating: Above Average; Dividend yield: 4.7%; tcenergy.com) now plans to spend $27.7 billion on new projects and upgrades through 2031.


Those projects include the $3.8 billion U.S. Southeast Gateway pipeline. This 715-kilometre offshore pipeline will pump natural gas from existing lines in southeast Mexico.
H&R REIT, $11.91, is a buy. The trust (Toronto symbol HR.UN; Units outstanding: 262.6 million; Market cap: $3.1 billion; TSINetwork Rating: Average; Dividend yield: 5.0%; www.hr-reit.com) has announced the sale of the Canadian Pacific Building. That’s a landmark office property at 69 Yonge Street, Toronto. The price was $20.2 million.

The property, originally constructed in 1913 and designated as a heritage site, will be redeveloped into a 127-unit condominium. Zoning approvals are in place for expansion to a 21-storey mixed-use building, combining residential units and retail space.
BROOKFIELD RENEWABLE PARTNERS L.P., $33.95, is a buy. The partnership (Toronto symbol BEP.UN; Units outstanding: 646.0 million; Market cap: $21.9 billion; TSINetwork Rating: Extra Risk; Dividend yield: 6.0%; www.bep.brookfield.com) will now invest up to $1 billion to increase its equity interest to approximately 38% in Isagen S.A. E.S.P.


Isagen generates contracted cash flows from its large fleet of hydro assets on Colombia. In addition, Isagen also has a pipeline of renewable power projects.
METRO INC., $98.47, is a buy. The company (Toronto symbol MRU; Shares o/s: 217.5 million; Market cap: $21.4 billion; TSINetwork Rating: Average; Dividend yield: 1.5%; www.metro.ca) operates 1,006 grocery stores and 639 drugstores, in Quebec, Ontario and New Brunswick.

In its fiscal 2025 third quarter, ended July 5, 2025, Metro’s overall sales rose 3.3%, to $6.87 billion from $6.65 billion a year earlier. That’s mainly due to the opening of five new food stores.
LOBLAW COMPANIES, $56.79, (Toronto symbol L; Shares o/s: 1.2 billion; Market cap: $67.5 billion; TSINetwork Rating: Above Average; Yield: 1.0%; www.loblaw.ca) is a buy. The company will now welcome 111 new Specsavers locations to its stores across Canada. The eyewear chain will replace the Theodore & Pringle brand, which will cease operations.


The Specsavers locations will provide convenient access to comprehensive eye examinations, prescription eyewear, contact lenses, and specialized eye care services. All locations will be staffed by qualified independent optometrists and opticians.
BCE and CPKC are leading competitors in their respective markets; look for that to cut your ongoing risk. We see both as buys.