Property punters are no doubt still reeling from last year’s value destruction when the SA listed property index (Sapy) tumbled 30% in what was the sector’s worst performance in more than 20 years. For some, the losses were far more pronounced — backers of Rebosis Property Fund B, Resilient Reit, Fortress Reit B, Intu Properties, Nepi Rockcastle, Tradehold, Capital & Regional, Delta Property Fund and Balwin Properties suffered capital losses of between 40% and 70%. The upside of last year’s decline is that it has created cheap buying opportunities for investors who are underweight in property, particularly those looking for a high and growing income stream. At least a dozen SA-focused real estate investment trusts (Reits) are now trading at juicy dividend yields exceeding 11%. The sector as a whole — comprising about 60 counters — is trading at a record 9.3% dividend yield. Though offshore property counters typically trade at lower initial dividend yields than their SA-focused count...

Subscribe now to unlock this article.

Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).

There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.

Cancel anytime.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.