Selling of noncore assets more about portfolio optimisation than balance sheets
07 November 2022 - 07:00
After years of focusing on debt reduction and strengthening balance sheets, many SA real estate investment trusts (Reits) are now selling noncore assets to optimise their portfolios and deploy capital elsewhere.
While activity levels have declined from two or three years ago there are still Reits selling to reduce their gearing. “Debt repayment is still a concern for some Reits, but the main driver for selling is to streamline and optimise portfolios,” Craig Smith, head of research at Anchor Stockbrokers, told Business Day...
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