ZIMBABWE’s first Real Estate Investment Trust (REIT), Tigere Property Fund has hailed authorities for implementing timely measures which have eased inflationary pressures amid an announcement to set aside US$255 202 for dividends payouts.
During the year’s first half, the country’s exchange rates which are a major determinant of inflation deteriorated rapidly forcing annual inflation to reach 176% in June 2023 on the back of high inflation expectations which worsened the situation further.
In response, the Treasury employed a raft of measures which included cutting back on money supply sources, widening the ZWL acceptance through wider usage, scrapping duty payments on basic commodities and strengthening the Dutch Auction System among other measures.
Presenting the group’s performance for the period ended June 30, 2022, TIGERE said despite the economy experiencing considerable inflationary pressures during the first six months of 2023 on the back of the continued decline of the ZWL against the US$, timely interventions saved the situation.
“However, the economic measures implemented by economic authorities over Q2 2023, have managed to stabilise forex rates through liquidity management.
“Commodity and agricultural prices remain relatively high which has provided a strong source of USD into the economy. A general slowdown towards the end of Q2 has been attributed to upcoming elections and monetary policy tightening,” the company said.
Meanwhile, the REIT revealed it set aside US$255 202 for the payment of shareholders’ dividends being 0.03 United States cents Per unit as well as an additional ZWL167 651 585 being ZWL23,30 in respect of the quarter ended 30 June 2023.
TIGERE said Highland Park and Chinamano Corner portfolios have experienced increased customer traffic during the period under review. New tenants, among them restaurants have opened for trade underpinning the strong performance of the two assets.
The surrounding areas continue to benefit from having high-quality retail shopping experiences.
Occupancy reached 100% during the period under review due to an upsurge in demand for space at assets. There is also a strong waiting list of potential tenants.
Significant construction progress is being made on Highland Park Phase 2 and the project is expected to be completed in Q4 2023. The Tigere REIT holds a pre-emptive right to acquire Phase 2 on completion. – Newzim