MREIT to double portfolio to 1M sqm GLA by 2027

MREIT Inc., the real estate investment trust (REIT) of Megaworld Corp., on Monday announced plans to double its portfolio to 1 million square meters of gross leasable area (GLA) by 2027, in a bid to capture the continued growth in consumer spending and the strength of the mall leasing business.

This comes as MREIT’s sponsor Megaworld still has around 1 million square meters of office GLA and 500,000 square meters of retail GLA that may still be infused over time, as the company seeks to broaden its portfolio.

“Our goal is to diversify our portfolio and expand our revenue base. So while the country is experiencing an impressive growth in consumer activities, we want to tap into these opportunities,” MREIT chairman Kevin Tan said in a regulatory filing.

“This will enable us to deliver both growth and diversification, keeping our portfolio resilient and relevant for the years ahead,” he added.

At present, MREIT’s portfolio covers Megaworld’s townships including properties in Eastwood City, McKinley Hill, McKinley West, Iloilo Business Park, and the Davao Park District, with mall occupancy up to 93% as of end-June.

“This favorable environment underpins MREIT’s strategy to bring in more retail assets in the future, ensuring that its portfolio captures both the growth of business process outsourcing, and the resurgence of consumer spending,” the filing read. — Jon Viktor D. Cabuenas/RSJ, GMA Integrated News