AREIT first-half bottom line rose 45% to P4.3B

Fresh gains from new assets obtained last year fueled the 45-percent profit surge of AREIT Inc. to P4.3 billion in the first semester.

The country’s first listed real estate investment said in a disclosure on Wednesday its properties had a 99-percent overall occupancy in the January to June period.

Its positive performance in the first half was due to gains from infused assets in 2024. These include the Ayala Triangle Gardens Tower 2 office building, Greenbelt 3 and 5 mall, Holiday Inn & Suites Makati, Seda Ayala Center Cebu and an industrial land in Zambales.

Contributions from these properties started flowing in in July 2024.

Additionally, AREIT declared cash dividends of P0.59 per outstanding common share. These are payable on Sept. 12 to shareholders on record as of Aug. 29.

This brought the total dividends in the first semester to P1.17 per share, up by 4 percent.

In July, AREIT filed with the Securities and Exchange Commission the deed of exchange on a P21-billion planned asset infusion.

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This involves eight commercial assets in the Visayas and Mindanao. These include the Central Bloc Corporate Center 1 and 2, Ayala Malls Central Bloc and Seda Hotel Central Bloc in Cebu. Also included are Ayala Malls Abreeza and Abreeza Corporate Center in Davao; and Ayala Malls Centrio and Centrio Corporate Center in Cagayan de Oro.

Once the company has secured regulatory approvals, AREIT’s gross leasable area will expand to 4.3 million square meters. Its assets under management will also reach P138 billion.

AREIT likewise announced Ayala Corp. chief financial officer Alberto de Larrazabal’s appointment as its president and CEO effective on Wednesday. He replaced Jose Eduardo Quimpo II, who had occupied these seats for a year.