- REIT Stocks had their share of jerks triggered by the coronavirus pandemic; however, with the opening of economies, investors are now looking forward to investing again.
- Asset Plus announced revaluation gains in its six-month portfolio valuation update.
- Precinct Properties New Zealand will sell its balance 50% interest in ANZ Centre.
- Property for Industry acquires Wiri-based property for NZ$91.68 million and declares Q1 dividend.
The ongoing coronavirus pandemic has had catastrophic impacts across the globe. Numerous nations witnessed a series of lockdowns and restrictions, as the governments tried their level best to contain the spread of the virus. Many sectors, including REIT, were reeling under the impacts of COVID-19 as malls, shopping centres, offices, retail spaces, etc., were closed during the entire period.
However, with the roll-out of the COVID-19 vaccine worldwide, economies have started to open and trying to reach the level of pre-COVID-19 era.
Akin to many other countries, the New Zealand government too announced numerous relief packages and stimuli, as well as low interest rates because of which, households and companies again are brimming with confidence and demand for REITs is again picking up.
Housing demand continues to soar with demand for rental commercial properties and construction works on the rise.
Moreover, New Zealand’s GDP for rental, hiring, and the real estate services industry for the year ended March 2020 was estimated to be about NZ$33.6 billion.
Source: Copyright © 2021 Kalkine Media Pty Ltd
Let us now look at the 5 NZX-listed REIT stocks that are worth considering by the investors in May 2021.
Asset Plus Limited
Established in 1994, involved in property-related activities, New Zealand-based Asset Plus Limited (NZX:APL) notified the market that its portfolio is valued at NZ$172.3 million as on 31 March this year.
The valuation gains at 35 Graham Street and Stoddard Road counterbalanced the revaluation loss of Eastgate suffered by the Company, which resulted in a steady NTA of 44.7 cps.
It is expected that APL would announce its yearly financial statements on 27 May 2021.
At the time of writing on 10 May, Asset Plus was trading down by 3.08% at NZ$0.315.
Precinct Properties New Zealand Limited
Precinct Properties New Zealand Limited (NZX:PCT) revealed that following its announcement in February 2021, regarding the selling of 50% of its interest in ANZ Centre based in Auckland for NZ$177 million, the condition for the sale of the remaining 50% interest in the property has been met and the proposed settlement will occur in mid-May 2021.
At the time of writing on May 10, Precinct Properties New Zealand was trading down by 0.60% at NZ$1.670.
Property for Industry Limited
Property for Industry Limited (NZX:PFI) declared about acquiring an industrial property based in Wiri, Auckland, for NZ$91.68 million, settlement of which would take place towards May 2021 end.
PFT has announced 1.800 cps as the first-quarter dividend to be paid on 24 May 2021.
Further, because of the above-mentioned acquisition, its board is likely to declare a cash dividend of minimum of 7.90 cps for FY21.
Further, its annual meeting is scheduled to be held on 19 May 2021.
At the time of writing on 10 May, Property for Industry was trading up by 0.17% at NZ$2.875.
Stride Property Ltd & Stride Investment Management Ltd
Stride Property Ltd & Stride Investment Management Ltd (NZX:SPG) provided an update that the Company anticipated increased earnings for FY21, with distributable profits between 11.30 cps to 11.50 cps. This is attributed to the Company’s continuously growing investment business and acquisitions.
The combined cash dividend for the group is expected to be 9.91 cps for FY21.
The Company’s annual financial results are likely to be released on 27 May 2021.
At the time of writing on May 10, Stride Property Ltd & Stride Investment Management was trading flat at NZ$2.360.
Investore Property Limited
Investore Property Limited (NZX:IPL) is set to notify the market on its annual shareholders’ meeting on 8 July 2021.
Further, nominations for the Company's directorship can be sent by 10 May 2021.
At the time of writing on May 10, Investore Property was trading flat at NZ$2.110.