MacKenzie Realty Capital, Inc. (Nasdaq: MKZR) announced its financial results for the fiscal year ended June 30, 2026, and disclosed a temporary suspension of its Preferred Share Repurchase Program. The company reported a net operating loss of $15.61 million for the fiscal year, which represents a 33% improvement compared to a loss of $23.46 million in the prior year. The net loss for the period was $14.13 million, a 41% decrease from the $23.97 million loss recorded in 2025.
Net revenues for the year ended June 30, 2026, totaled $20.01 million, a decline of 9% from the $22.06 million generated in the same period of 2025. The company attributed the revenue decrease primarily to approximately $3.0 million of lease termination income recognized in the 2025 period. Despite the revenue decline, the company stated that the annual results were in line with internal expectations.
In a separate announcement, the company revealed that its Board of Directors has decided to temporarily suspend the Preferred Share Repurchase Program. This decision was made to facilitate the review of strategic alternatives brought to the company by financial advisor Maxim Group LLC. The Board cited the issuance of common stock in exchange for preferred shares as a factor creating additional selling pressure on the company's common stock, which they believe complicates the negotiation of potential strategic transactions.
MacKenzie Realty Capital, founded in 2013, is a West Coast-focused real estate investment trust (REIT) that invests at least 80% of its total assets in real property. The company intends for its real property portfolio to be approximately 50% multifamily and 50% boutique class A office. The current portfolio includes interests in five multifamily properties and eight office properties, plus one multifamily development project.
