The listed property sector’s looming results season could show the weakening economy and increasing competition finally making their effects felt. Listed property outshone equity investments in 2016 with a total return of 10.2% compared with the JSE all share’s 2.6%. But commentators believe that weaknesses in the economy and increased competition could start to show in this results season. Real estate investment trusts (Reits) are legislated to pay the majority of their income as dividends or distributions, however, some of the counters that have mustered double-digit growth in the teens and beyond are set for significant moderation in these payouts. "I expect sector growth will moderate somewhat but still be above 8%. The stronger rand will mean that offshore earnings will be a lot lower, while domestic growth is not supportive of strong property fundamentals," Bridge Fund Managers chief investment officer Ian Anderson said. Meago Asset Managers executive director Jay Padayatchi s...
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