Megaworld-sponsored MREIT is planning to grow its office assets size to 1 million square meters within the next five to ten years as it aims to be the ‘country’s fastest growing REIT with the longest expansion pipeline’ amongst listed REITs on the Philippine Stock Exchange.
Next year, MREIT’s sponsor is planning to inject an additional 100,000 square meters of prime office assets that will increase MREIT’s portfolio to around 324,000 square meters by end-2022.
“We are committed to reaching half a million square meters by 2024, and are highly confident of our ability to reach 1 million square meters in the near future so that we can be the largest office REIT in Southeast Asia. Our goal is to put the Philippines and MREIT on the global REIT map because of the size and quality of our REIT portfolio and our world class tenant base. We believe we can easily achieve this because Megaworld already has 1.2mm square meters of existing office buildings and has a robust pipeline of new office development spread across business parks across the country. We remain bullish about the prospects of the Philippine BPO sector and Megaworld expects to maintain its undisputed leadership position as the Philippine office landlord of choice for the world’s leading IT and BPO companies”, says Kevin L. Tan, President and CEO, MREIT, Inc.
MREITs initial portfolio of approximately 224,431 square meters consists of 10 prime office buildings in three of Megaworld’s most established township locations that are popular amongst the biggest BPO companies operating in the Philippines.
These include 1800 Eastwood Avenue, 1880 East Avenue, E-commerce Plaza, One World Square, Two World Square, Three World Square, 8/10 Upper McKinley Building, 18/20 Upper McKinley Building, One Techno Place Iloilo, Richmonde Tower and Richmonde Hotel Iloilo.
MREIT’s initial public offering price was set at P16.10 per share, which translates to a
projected FY2022 (ending June 30, 2022) dividend yield of 5.7%