REAL ESTATE INVESTMENT TRUST
Dipula rides the storm on organic growth
The real estate investment trust overcame tough macroeconomic conditions to post an increase in combined dividends per share
Diversified real estate investment trust Dipula Income Fund has overcome tough macroeconomic conditions to post a 5.8% increase in combined dividends per share for the year to August, driven entirely by organic growth, it says. Dipula’s full-year revenue was R1bn. Its property portfolio was valued at R6.9bn at year-end. CEO Izak Petersen has chosen not to make many acquisitions in the past two years, given political uncertainty and a weak economy. Dipula had still managed to make strategic acquisitions totalling R1.5bn post year-end, which complemented its organic growth, Petersen said. Distributable earnings for the year grew 11.3% to R428m. Vacancies in the overall portfolio remained stable year-on-year at 8.5%. Retail vacancies improved from 8.5% to 7.1% and industrial vacancies from 5.9% to 5.4%. Leases worth R631m and covering more than 179,000m² were concluded across all sectors. Rental escalations remained above inflation at 7%. Dipula sold 27 properties during the year for a...