Tuesday, 15 November 2016 07:59

Indluplace Properties upbeat as dividend increases

Written by
Rate this item
(0 votes)

Indluplace manages to perform well in a difficult environment in the year to August, say company.

 Carel_de_Wit_CEO_Indluplace

Residential real estate investment trust (Reit) Indluplace Properties, managed to perform well in a difficult environment in the year to August.

The company declared a dividend of 92.61c per share in the year to August, up 10.5% on its pre-listing forecast. Its investment property portfolio grew 40%.

Indluplace had changed remarkably since its prior comparable reporting period.

The company acquired properties consisting of 1,757 units valued at more than R630m during the reporting period, increasing its residential units to 5,447 valued at R2.4bn.

“We remain upbeat about the growth opportunities for Indluplace. We have strong prospects in our pipeline and will continue to pursue the acquisition of yield accretive properties and portfolios that provide income from the day of acquisition,” said Indluplace CEO Carel de Wit.

“The first acquisition for the year is a building with 64 units in Randburg, an area that is showing strong rental demand,”

An analyst said Indluplace offered a strong investment case. “Operationally, Indluplace continues to deliver strong growth; the company achieved 10.5% distribution growth at their year-end which is strong given the economic environment. Portfolio occupancies continue to improve to a new high of 96.6% at year-end with minimal bad debts or arrears.

The company’s balance sheet remained very strong with only 6.3% gearing,” said Stanlib listed property analyst, Chloe Ma.

She said this provided the company with more than sufficient debt capacity to partake in future acquisitions. But Indluplace might acquire properties at a slower rate than before, given its cost of capital, Ma said.

source: Business Day

Last modified on Tuesday, 15 November 2016 08:09

Most Popular

Introducing cutting edge tech to the property industry

Feb 28, 2017
Virtual Reality Technology
Positioning ourselves at the cutting edge, Fieldspace Property Group is transforming the…

Calling all Cape Town owners and managers of commercial buildings and operations: Let’s talk energy and water

Mar 04, 2017
CoCT Energy Efficiency Forum
Join us for the Energy Efficiency Forum on 16 March at 8:30 for 9:00 until 12:30 followed…

The Polofields development launch met with great excitement

Feb 27, 2017
The Polofields apartment block
Balwin, South Africa’s largest homebuilder focusing on large scale sectional-title…

REBOSA opposes racist property advertisement in the strongest terms

Mar 02, 2017
Jan le Roux REBOSA
The real estate industry has been placed under an uncomfortable spotlight yet again with…

Making green affordable housing a reality

Mar 07, 2017
Belhar Gardens
Nedbank Corporate and Investment Banking (NCIB) today announced that is has made the…