MANILA, Philippines — The real estate investment trust (REIT) of Megaworld Corp. plans to amass a portfolio of one million square meters of gross leasable area (GLA) by the end of 2030 as it sets a three-year investment strategy aimed at increasing its shareholder value.
In a regulatory filing yesterday, MREIT disclosed its three-year investment strategy prepared by MREIT Fund Managers Inc. (MFMI), which aims, among others, to reach a portfolio of one million sqm in GLA by the end of 2030.
“MFMI maintains its accelerated growth plan to increase the company’s portfolio of high-quality, income-generating assets with GLA of 100,000 sqm each year to reach one million sqm by the end of 2030,” the company said.
Currently, MREIT has a portfolio of 24 buildings with a GLA of 482,056 sqm. This is composed of buildings in Eastwood in Quezon City, McKinley Hill and McKinley West in Taguig City, as well as Iloilo Business Park and the Davao Park District.
Another investment objective of the company is to diversify its portfolio by investing in other townships and other real estate properties.
“As opportunities arise, the company may choose to diversify to other high-growth geographic areas like Cebu, Bacolod and Pampanga, and other growth areas in the country where the sponsor’s townships are located,” MREIT said.
It added that diversification plans also include investment in other types of real estate properties such as retail, hospitality, industrial, logistics, warehouse and other real property sectors that meet the company’s investment criteria for Grade A, centrally located, stably occupied and income-producing properties.
Additionally, MREIT is also targeting to achieve an annual total shareholder return of at least 10 percent through organic growth and new acquisitions.
To achieve its primary objective of increasing shareholder value, MREIT has set key strategies to be implemented in the next three years.
Among the strategies is to drive organic growth through proactive asset management and enhancement, as well as preserving tenant loyalty through enhanced, reliable and consistent service and support.
“To maintain the company’s reputation as the partner choice in the Philippines for the BPO industry and traditional tenants, the property manager and fund manager will work collectively to ensure that tenants in the properties receive continued and dedicated service to drive high retention rates,” MREIT said.