Canadian Halal Investor.

TSX Shariah screener · September 2026

Is Slate Grocery REIT (SGR.UN) Halal?

FAIL

Slate Grocery REIT · TSX: SGR.UN · Retail REIT

⚠️ Pending take-private: a Brixmor Property Group / Everview Partners joint venture agreed on ~September 28, 2026 to acquire all units at US$13.00 cash (~US$2.3B enterprise value); distributions were suspended and the units may delist on close.

The short answer

Slate Grocery REIT (SGR.UN) is a FAIL. The business gate passes: it is an Ontario open-ended trust owning and operating grocery-anchored retail properties in the United States, with rental income from real estate as its revenue line and no prohibited business lines. The debt gate fails decisively: about US$1.3B of interest-bearing debt at June 30, 2026 is roughly 173% of the ~US$753M September 2026 market cap, against a ~33% ceiling. The income gate passes: US$81k of interest income was about 0.14% of US$57,932k of second-quarter 2026 rental revenue, against a ~5% ceiling. Musaffa independently rates SGR.UN not halal. As with every screener here, this is a rules-based screening of published figures, not a religious ruling - consult a qualified scholar for personal guidance.

Gate 1 — Business activity: PASS

Slate Grocery REIT is an Ontario open-ended trust owning and operating grocery-anchored retail properties in the United States - 115 properties totalling 15.2M sq ft across 23 states, ~93.6% occupied at June 30, 2026, with a portfolio valued at ~US$2.4B. Its revenue is 100% rental income from real estate. Tenant industry mix includes incidental ~4% financial institutions and ~1% liquor stores, but that is tenant mix, not the REIT's own revenue lines, and grocery anchors selling alcohol incidentally is not attributed to the REIT. No prohibited business lines were found. The business-activity gate passes under this screen's AAOIFI-style criteria. Facts only, no fatwa.

Gate 2 — Debt: FAIL

The Q2 2026 MD&A reports a carrying amount of debt of about US$1.3B at June 30, 2026 (revolver US$245,821k + term loan US$275,000k + term loan 2 US$225,000k + mortgages US$660,401k on a proportionate contractual basis, US$1,406.2M). Against a market capitalization of about C$1.07B (60.453M class U equivalent units at ~C$17.69, post-acquisition-announcement trading), converted at ~1.42 USD/CAD to ~US$753M, the debt-to-market-cap ratio is roughly 173% on the carrying amount - about 187% on contractual principal - against a ~33% ceiling. The gate fails by a wide margin; this is the normal profile of a leveraged property owner, but the screen's ceiling does not bend for it.

Gate 3 — Non-compliant income: PASS

The Q2 2026 MD&A's interest and finance costs table discloses interest income of US$81k for the second quarter of 2026 against rental revenue of US$57,932k - a ratio of about 0.14%, against a ~5% ceiling. First-half 2026 shows the same pattern: US$168k of interest income against US$117,254k of rental revenue (~0.14%). The income gate passes comfortably.

Key figures used

Frequently asked questions

Is Slate Grocery REIT (SGR.UN) halal?

Our September 2026 screen gives Slate Grocery REIT (TSX: SGR.UN) a FAIL. The business gate passes: it is an Ontario open-ended trust owning and operating grocery-anchored retail properties in the United States - 115 properties, 15.2M sq ft across 23 states - with rental income from real estate as its revenue line. The debt gate fails decisively: about US$1.3B of interest-bearing debt (carrying amount at June 30, 2026) is roughly 173% of the ~US$753M September 2026 market cap, against a ~33% ceiling. The income gate passes: US$81k of interest income was about 0.14% of US$57,932k of second-quarter 2026 rental revenue, against a ~5% ceiling. Musaffa independently rates SGR.UN not halal. IMPORTANT: a Brixmor Property Group/Everview Partners joint venture agreed on ~September 28, 2026 to acquire all units at US$13.00 cash (~US$2.3B enterprise value) and distributions were suspended; the units may delist when the deal closes. This is a rules-based screening of published figures, not a religious ruling.

What business is Slate Grocery REIT in?

Slate Grocery REIT is an Ontario open-ended trust owning and operating grocery-anchored retail properties in the United States - 115 properties totalling 15.2M sq ft across 23 states, ~93.6% occupied at June 30, 2026, with a portfolio valued at ~US$2.4B. Its revenue is 100% rental income from real estate. Tenant industry mix includes incidental ~4% financial institutions and ~1% liquor stores per the Q2 2026 MD&A, but that is tenant mix, not the REIT's own revenue lines, and grocery anchors selling alcohol incidentally is not attributed to the REIT. No prohibited business lines were found, so the business gate passes under this screen's AAOIFI-style criteria.

How leveraged is SGR.UN on the debt gate?

The Q2 2026 MD&A reports a carrying amount of debt of about US$1.3B at June 30, 2026 - revolver US$245,821k + term loan US$275,000k + term loan 2 US$225,000k + mortgages US$660,401k on a proportionate contractual basis (US$1,406.2M). Against a market cap of about C$1.07B (60.453M class U equivalent units at ~C$17.69, post-acquisition-announcement trading), converted at ~1.42 USD/CAD to ~US$753M, the debt-to-market-cap ratio is roughly 173% on the carrying amount - about 187% on contractual principal - versus a ~33% ceiling. The gate fails by a wide margin.

How much interest income does SGR.UN earn?

The Q2 2026 MD&A's interest and finance costs table discloses interest income of US$81k for the second quarter of 2026 against rental revenue of US$57,932k - about 0.14%, against a ~5% ceiling. First-half 2026 shows the same pattern: US$168k of interest income against US$117,254k of rental revenue (~0.14%). The income gate passes comfortably.

What do Zoya, Musaffa or ShariaPortfolio say about SGR.UN?

Musaffa covers SGR.UN.TO and rates it not halal (as of September 2026). No Zoya or ShariaPortfolio coverage was found for SGR.UN. Other grocery and retail REIT screeners on this site - RioCan (REI.UN), SmartCentres (SRU.UN) and Choice Properties (CHP.UN) - all screen FAIL for their own reasons.

Sources

Screened September 30, 2026 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.