REITs and Share Prices
Real estate is still one of the most popular asset classes. Investing in shares and REITs is an easy and exciting way to be a part of property investment. These are some of the more popular REITs, specifically those with an exposure to the industrial market. You will also find REIT share prices which are constantly updated and accurate to within a few minutes.
Growthpoint is South Africa’s largest REIT with a market capitalisation of nearly R53 billion and over 500 property assets. The company has operated as a REIT since 2013 and owns in excess of R153 billion worth of property in South Africa, the UK, Poland, Romania and Australia. They are also the 38th largest company in the FTSE/JSE Top 40 Index with their biggest shareholder as the PIC (Public Investment Corporation). They were the first South African listed property company to be included on the JSE ALSI 40 Index.
Fortress Income Fund
Fortress was initially listed on the JSE in October 2009 as a property loan stock company but today is listed as a REIT with a market capitalisation of R18 billion. They are currently the third largest REIT with their main focus on the development of logistics parks offering state of the art logistics warehouses and distribution centres. Their property portfolio is valued at R29.6 billion. In addition to their property portfolio they also hold a 23.6% interest in NEPI Rockcastle valued at R15.3 billion. The capital structure comprises two classes of ordinary shares with equal voting rights but different entitlements to distributions and capital participation on redemption. “Fortress A ordinary shares have a preferential right to capital participation upon redemption, which are calculated as the 60-day volume-weighted average price on the JSE subject to a floor of R8,11 if redeemed. Fortress B ordinary shares have entitlement to the residual distribution of capital upon winding up. FFA shares have an entitlement to receive the FFA benchmark prior to any distributions of income to the FFB share, provided the distributable earnings for the income period are in excess of the benchmark. Failing this, no distribution of income is payable to either share class.”
Redefine is a South African REIT with assets currently valued at R72 billion. Their portfolio is predominantly comprised of retail, office and industrial properties held in SA and Poland. Redefine’s local assets are valued at R60 billion and their foreign assets at R12 billion. In 2021 they achieved the largest bulk Green Star existing building performance certification for 40 buildings.
Equites Property Fund
Equites listed on the JSE as a REIT in 2014 with a property value of R1 billion. Their portfolio is currently valued at just over R21 billion. Their prime focus is on acquiring and developing A-grade logistics assets let to blue chip tenants on long term leases in both South Africa and the UK. Their South African portfolio is valued at R13.2 billion with 54 income producing properties and their UK portfolio is valued at R8 billion with 10 income producing properties.
SA Corporate Real Estate Fund
SA Corp is one of the oldest property holding companies in South Africa, initially established as Ukhozi, a property unit trust in 1995. The trust later went on to register on the JSE as a REIT and currently owns 165 industrial, commercial, retail and residential properties located predominantly in South Africa with a small exposure to Zambia. Their portfolio is currently valued at just over R16 billion.
Attacq is a South African based REIT listed on the JSE in 2013 with over R17 billion assets in fixed property in South Africa, including Waterfall City which comprises retail, residential, commercial, and logistics developments. The balance of its assets comprise other real estate in South Africa and its investment in MAS Real Estate Inc. who specialise in the development, owning and management of real estate assets in Central and Eastern Europe, primarily in Romania, Bulgaria and Poland.
Investec Property Fund
Investec Property Fund reached REIT status in October 2013 and holds just over R22 billion in real estate assets. The fund currently owns 90 properties, 70% of which are located locally and the balance in Europe. The fund currently has a market capitalisation of R9.9 billion. The fund is owned and managed by Investec Property (Pty) Ltd.
Emira Property Fund
Emira listed on the JSE in November 2003 and converted to a RIT in 2015 with real estate assets including office, retail and industrial as well as residential. The fund currently owns 78 properties with a value of nearly R10 billion and a market capitalisation of just over R10 billion.