Screened September 29, 2026 · TSX: FCR.UN · Q2 2026 filings

Is First Capital REIT (FCR.UN) halal?

First Capital REIT (TSX: FCR.UN) owns grocery-anchored shopping centres across Canada — a clean business — but its C$4.12 billion of debt is about 85% of market cap, a decisive FAIL on the debt gate.

The two-gate Shariah screen

Every screener on this site runs the same two gates: first, the business must be halal (no conventional insurance, banking, alcohol, gambling, weapons manufacturing, and the like); second, the financial ratios must clear (debt under roughly 33% of market cap, non-compliant income under roughly 5%).

Gate one: the business — no haram lines identified

First Capital REIT 'owns and operates, acquires, and develops open-air grocery-anchored shopping centres in neighbourhoods with the strongest demographics in Canada' (Q2 2026 results press release). Loblaw is the largest tenant, at about 10.9% of annualized minimum rent (Q1 2026 interim financial statements, risk-management note). The reviewed releases disclose no alcohol, cannabis, or conventional-bank tenancy as separate revenue segments. The screen covers the REIT's own business lines; individual tenant activities are not imputed to it.

Gate two: the ratios — the debt ceiling fails by a wide margin

At June 30, 2026 (Q2 2026 results, First Capital's proportionate interest, C$ millions): bank indebtedness of C$9.6 million, mortgages of C$1,149.6 million, credit facilities of C$659.9 million, and senior unsecured debentures of C$2,300.0 million — about C$4.12 billion of interest-bearing debt in total. Cash and cash equivalents were C$38.9 million. With 212.6 million units at the September 29, 2026 TMX quote of C$22.83, market cap is about C$4.85 billion, so debt-to-market-cap is about 85% — roughly two and a half times the ~33% ceiling. (First Capital itself reports net debt to total assets of 44.0% — a different denominator, and the same leverage story.) On the income gate, the Q2 2026 release discloses only the year-over-year change in 'interest and other income', not the quarter's absolute figure, so the latest quarter's ratio is not verifiable; the Q1 2026 interim statements show interest and dividend/distribution income from investments of C$0.61 million plus interest income from loans and mortgages receivable of C$2.54 million — about C$3.15 million against C$189.7 million of property rental revenue, or about 1.66%, under the ~5% ceiling. The debt ratio, not interest income, drives this screener's FAIL.

What other screeners say

We could not verify any public FCR.UN rating from the three screeners this page tracks: no FCR/First Capital REIT page or rating surfaced for Zoya or Musaffa in searches (a Zoya result for 'FCAP, First Capital Inc.' is an unrelated US company and must not be conflated), and ShariaPortfolio's public screener is an interactive tool with no verifiable ticker-specific FCR result. No third-party rating is claimed for FCR.UN here.

The bottom line

This screener gives First Capital REIT (TSX: FCR.UN) a FAIL. The business is clean — grocery-anchored shopping centres with no haram segments disclosed — but about C$4.12 billion of debt is roughly 85% of the ~C$4.85 billion market cap, far over the ~33% ceiling. Substantial debt paydown or a much higher market cap would be needed to change this. Snapshot dated September 29, 2026; re-checked quarterly after earnings.

Sources

• Q2 2026 results press release (First Capital REIT)
• Q1 2026 interim financial statements (SEDAR+)
• FCR.UN quote (TMX Money)

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