Vukile’s flagship Spanish shopping centre, El Faro centre in Badajoz, Spain. Picture: SUPPLIED .
Vukile’s flagship Spanish shopping centre, El Faro centre in Badajoz, Spain. Picture: SUPPLIED .

Vukile Property Fund has declared a final dividend of just more than 48.1c per share for its year to end-March, after the JSE announcement that agreement had not been reached on further exemptions for real estate investment trusts (Reits).

The JSE said on Wednesday that the Financial Sector Conduct Authority (FSCA) had indicated it was not in a position to grant further distribution exemptions to Reits.

The FSCA had previously agreed to allow Reits with years ending from February to September to postpone the payment of their dividends for a two-month period as Covid-19 battered markets and the property sector.

The SA Reit Association had, however, sought further temporary exemptions, such as for minimum distribution requirements.

Reits are required to pay out at least 75% of distributable earnings annually.

Vukile said in August a final dividend of just more than 48.1c per share was required to meet minimum requirements, but was waiting for an outcome of the industry consultation. This brings the total dividend for 2020 to 129c per share.

The final dividend equates to a payment of about R460m, from about R988m previously.

After the payment of the final dividend, Vukile will retain its strong solvency and liquidity position, the group said, adding it had a cash balance of about R920m and available undrawn debt facilities of more than R1.8bn.

gernetzkyk@businesslive.co.za

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