Heriot REIT Limited lists on the AltX Board of the JSE

Posted On Tuesday, 25 July 2017 19:24 Published by
Rate this item
(0 votes)

Heriot REIT Limited (JSE:HET) listed in the Real Estate sector on the JSE’s AltX board as a Real Estate Investment Trust.

Heriot is a property holding and investment company that is invested in industrial, retail, residential, specialised and cproperties in South Africa. Heriot is the 11th company to list on the JSE this year.

Prejelin Naggan, Head of Primary Markets, at the JSE says the South African listed property sector has shown strong growth over the past few years as property funds with both local and foreign portfolios entered the market. “The introduction of REITs has helped to encourage new entrants into the listed space and also made it more attractive to local investors. The JSE is proud to welcome Heriot to the exchange to join the already diverse group of real estate companies represented here.”

The REIT structure, which was introduced on the JSE in 2013, gives property companies enhanced tax efficiency as tax is payable by the end investor. REITs must also pay at least 75% of their taxable earnings available for distribution out to investors as dividends, which gives investors certainty that net income will be paid out them.

Steven Herring, CEO of Heriot, says the listing creates a platform which the company can grow its portfolio and shareholder base. “After 20 years in the property market, I am looking forward to Heriot’s next chapter as a listed entity and to the wave of opportunities the listed space may bring us. We are ready to become a more corporate company, but at the same time Heriot will always retain its entrepreneurial spirit.”

Herring says the company also anticipates that listing will allow Heriot to attain better funding rates and wider access to the capital market. “We will continue to focus on Heriot’s key strengths to grow the company and unlock value for our shareholders. In particular, we have identified new sectors within the property market and we expect to grow our presence in these sectors.”

Heriot brings the number of companies listed on the Real Estate sector of the JSE to 61 and 37 of these companies are Real Estate Investment Trusts (REITs). The sector has a market capitalisation of over R813 billion and constitutes 5.8% of the JSE’s total market capitalisation.

Last modified on Tuesday, 25 July 2017 19:38

Most Popular

Mall of Africa Celebrates Launch of New Generation Pick n Pay Store

Sep 23, 2019
 MOA PNP  1
Today Mall of Africa welcomed one of South Africa's biggest grocery retailers to the…

Exemplar REITail Acquires Katale Square Shopping Centre

Sep 23, 2019
 JASON MCCORMICK
Real estate investment trust, Exemplar REITail, has acquired Katale Square shopping…

City of Joburg Housing Development wins UN award

Sep 17, 2019
 MESHACK VAN WYK
The City of Johannesburg’s Housing department has won a Sustainable Cities and Human…

Mixed-use is the key to funding hotel development in Africa

Sep 17, 2019
 XANDER NIJNENS
JLL’s research into global property transactions reveals that in the first half of 2019,…

Grit Real Estate financial results for the year-ended 30 June 2019

Sep 30, 2019
 BRONWNY CORBETT
London Stock Exchange listed Grit, the only listed Africa-focused income distribution…

Please publish modules in offcanvas position.