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

Redefine Properties sells Delta stake to women-led BEE consortium

Jul 04, 2017
Phumzile Langeni
JSE-listed diversified real estate investment trust Redefine Properties has sold its…

Vukile acquires R2,8bn Spanish retail portfolio, boosting its offshore exposure to 21%

Jul 04, 2017
Parque Oeste -Alcorcon
Vukile Property Fund announced its trailblazing acquisition of a portfolio of nine…

Bridge City's bold affordable housing vision becomes reality

Jul 04, 2017
Bridge City Affordable Housing
Construction of a landmark affordable housing project at Bridge City is due to start…

Dairybelle properties sold to Giant Sweets for R66 million

Jun 29, 2017
Dairy Belle CT Aerial
Following the liquidation order of Dairybelle, two Epping properties belonging to the…

Attacq receives prestigious SAPOA awards for two developments in its property portfolio

Jun 28, 2017
Attacq CEO Morne Wilken
Attacq is pleased to announce that two developments in its quality property portfolio in…