MREIT Inc., the real estate investment trust of Megaworld Corp., expects higher dividends this year as additional property infusions and improving occupancy continue to support growth despite elevated interest rates.
Andy Dela Cruz, head of investor relations at Megaworld and MREIT, said the company’s annualized dividend per share (DPS), which rose five percent to P2.263 following a fourth wave of asset infusions, should be maintained through the remaining quarters of 2026.
“The full-year benefit is already in the run rate for this year,” he said, noting that the infused assets had already been recognized retroactively from Jan. 1.
Dela Cruz said the REIT’s current occupancy level of around 90 percent could still improve further and translate to higher earnings and dividends.
MREIT said it was preparing for a fifth round of property infusions, targeted for the second half of the year, which would be structured to immediately enhance shareholder returns.
“The principle is non-negotiable,” Dela Cruz said, referring to the company’s policy of ensuring that acquisitions are accretive on a per-share basis.
“Directionally, we believe 2026 will look like a meaningfully better year than 2025,” he added.
The company said persistent high interest rates remain a challenge for the broader REIT sector as investors continue to compare REIT yields with fixed-income instruments and government securities.
Dela Cruz highlighted that MREIT was continuing outperform many of its listed peers because of its relatively higher dividend yield and visible growth pipeline.
He noted that future property infusions from its sponsor Megaworld, including assets in Uptown Bonifacio, could further boost the company’s long-term growth prospects.
“These are properties that have very high occupancies,” Dela Cruz said, adding that some office assets continue to post positive rental reversions and strong lease renewals.
“These contracts are already long-term contracts,” he said.
Further, he said MREIT’s transition to 100-percent clean energy for its offices, malls and company-owned buildings helped cushion the impact of rising electricity costs.
The company expressed confidence that continued asset infusions and market capitalization growth could eventually pave the way for its inclusion in the Philippine Stock Exchange index.
MREIT's property portfolio currently consists of 24 mixed-use buildings located in Taguig City, Quezon City, Iloilo City, and Davao City leased out to various entities as office, retail, and hotel.
All of the properties are owned by MREIT and stand on land leased from the sponsor for an aggregate period of 50 years.
On Friday, the company’s shares added P0.06, or 0.43 percent, to close at P14.04 each. NAZYLEN JOY MABANGLO