MREIT Inc. said profit for the first nine months of the year grew 13 percent to P2.1 billion from P1.9 billion.
“This was primarily due to the income contribution beginning this year of the four newly-acquired Grade-A office towers worth P5.3 billion,” the company said.
Revenues grew 15 percent to P3.1 billion from the P2.7 billion.
“Aside from the new assets which drove majority of the revenue growth, continued rental escalations of existing tenants also supported MREIT’s revenue growth,” the real estate investment trust (REIT) of the realty Megaworld Group of companies.
MREIT said that its“high quality portfolio” allowed it to maintain an impressive average occupancy rate of 95 percent as of end-September 2023, above the office industry’s average occupancy rate of around 81-82 percent in Metro Manila.
“Of MREIT’s occupied space, 94 percent is composed of reputable BPO and traditional office tenants with long-term commitment to their leases and operations,” it said.
In June 2023, MREIT and Megaworld signed a memorandum of understanding (MOU) for the potential acquisition of seven grade A office assets with a total gross leasable area (GLA) of around 150,500 square meters. These include buildings located in Megaworld townships McKinley Hill, McKinley West, Iloilo Business Park, and Davao Park District.
“Once the acquisition is completed, this will increase MREIT’s total portfolio GLA by 46 percent to 475,500 sqm. MREIT remains committed to its target portfolio of 500,000 sqm of GLA by end-2024,” the company said.
Megaworld is declaring a P687.77 million cash dividend covering its declarable divided for the third quarter of the year, equivalent to P0.246 per share.