MEGAWORLD Corp.’s real estate investment trust (REIT) saw a 6% increase in third-quarter revenue to P711.2 million, owing to higher rental income.
In an e-mailed statement, MREIT, Inc. said its rental income for the quarter exceeded the target set in its REIT plan, rising by 5% to P583.7 million.
The company said its financial performance would allow it to distribute dividends in line with its REIT plan this month. It is looking to declare at least 24 centavos per share for its initial tranche of dividends.
“Considering MREIT’s strong performance to date, as well as our improved outlook on office demand and the infusions of additional assets, we are confident of our ability to meet, if not surpass, our dividend projection for the year as indicated in our REIT plan,” said Kevin Andrew L. Tan, president and chief executive of MREIT and chief strategy officer of Megaworld.
MREIT’s initial portfolio currently has 10 office assets located in its townships, namely: Eastwood City in Quezon City, Bonifacio Global City’s (BGC) McKinley Hill, and Iloilo Business Park in Mandurriao, Iloilo City.
It is planning to double its 224,431 square-meter (sq.m.) portfolio by 2024, with a goal of reaching a million sq.m. by 2030.
MREIT is already planning to inject more assets from Uptown Bonifacio in BGC as well as more from Eastwood City, McKinley Hill, and Iloilo Business Park.
“By next year alone, around 100,000 [sq.m.] of prime office assets will be injected into MREIT,” it said.
“Backed by its access to Megaworld’s extensive office portfolio, MREIT aspires to be one of, if not, the largest office REIT in Southeast Asia because of the company’s long runway for growth,” it added.
Shares of MREIT at the stock exchange went up by 3.02% or 52 centavos on Friday, closing at P17.74 apiece. — Keren Concepcion G. Valmonte
