Listed Real Estate Investment Trust (REIT) Tigere Property Fund through its first quarter trading update said it has seen occupancy levels across its properties rise to 100 percent.
“Both Highland Park and Chinamano Corner have grown their customer counts during the period as new restaurants and tenants opened for trade. The increased activity has been visible in the tenant turnovers and fuel volumes recorded. These retail assets continue to attract strong tenants who are willing to invest in quality store fitouts,” the Fund said.
Tigere owns two properties in Highland Mall and Chinamano Corner, where the rental is US$17.02 per square meter, with an occupancy ratio of 100 percent, and a property expense ratio percentage of 19,2 percent.
In the period under review, the REIT realized a net property income of US$381 569 leaving it with a total comprehensive income of US$221 262. The REIT has a net asset value of US$22 409 383.
The REIT declared an interim dividend for the quarter of US$219 839 consisting of US$101 325 as well as an additional $110 050 700 in respect of the period ended March 31, 2023.
By March 2023, the portfolio had reduced its ZWL revenue exposure to below 20 percent and the Asset Manager expects increased hard currency collections which will result in a higher proportion of USD dividends payable to unitholders, Tigere noted.
According to the Fund, the property market has provided proven stability during the period and well located real estate continues to attract high quality tenants to deliver premium yields and cashflows.
“During the quarter we have continued to see the real estate and construction sectors expand as more participants seek to secure long term hard currency value,” it said
The REIT’s Highland Park Phase 2 is currently under construction and is expected to open in the fourth quarter of this year.
Tigere said, “The additional lifestyle and food related tenants will further entrench Highland Park as a premier lifestyle and shopping venue within Harare and the Tigere REIT holds a pre-emptive right to acquire Phase 2 on completion.”
According to the first quarter update, pipeline projects are also progressing and updates will be provided in the next quarterly report – Harare