…sees revenue growth opportunities
By ETimes
HARARE – Tigere Real Estate Investment Trust (REIT) has announced an interim dividend of USD 247,090, equivalent to 0.03435 United States cents per unit, for the quarter ending June 30, 2024.
This declaration is a testament to the REIT’s consistent performance and commitment to delivering returns to its unitholders.
Brett Abrahamse, the asset manager for Tigere REIT, highlighted the trust’s strategy, stating, “The REIT has remained dedicated to its goal of paying quarterly dividends in line with offering unitholders a combination of equity and fixed-income benefits.”
The REIT’s strong financial performance is underpinned by a robust property market and strategic management.
Mr Abrahamse pointed out that, “The property market remained buoyant in the first half of the year with demand outweighing supply, resulting in stability in values across all sub-segments.”
This ongoing demand has bolstered Tigere REIT’s position as a safe-haven investment, particularly for those looking to preserve value and earn forex.
Occupancy rates at Tigere’s properties have been outstanding, with both Highland Park Phase 1 and Chinamano Corner maintaining 100% occupancy. Tenants have adapted well to the evolving currency environment, ensuring consistent income streams. Looking ahead, the REIT is optimistic about growth prospects.
“Highland Park should further grow its revenue with the provision of additional parking allocation—a project which is being actively pursued for implementation during Q3 of 2024,” Mr Abrahamse revealed.
Additionally, Tigere REIT is on track to complete its yield-accretive acquisition of Highland Park Phase 2 within the third quarter of the current financial year.
Financially, Tigere REIT reported a net property income of USD 769,885 for the period and notably, 91% of revenue collections were in USD, an increase from 72% during the first half of 2023.
Despite challenges faced by Highland Park’s main anchor tenant, which impacted turnover receipts, Abrahamse noted a positive trend, saying, “We have noticed a recovery in trade from May 2024 onwards, which we expect to continue.”
Adverse exchange movements were significantly reduced, decreasing by 94% to USD 3,138, contributing to a half-year bottom-line figure of USD 528,862. The value of investment properties rose by 0.1% to USD 22,381,883, reflecting the completion of enhancement works at Highland Park Phase 1.
The REIT maintained its debt-free policy, reflecting strong financial management, and reported a current ratio of 1.42x, up from 1.40x in the previous period, underscoring its liquidity and effective supplier management.