AREIT, Inc. Reported Q12024 Revenues of P2.11 Billion, EBITDA of P1.51 Billion, Declared Highest Dividends at P0.56 Per Share

The first Philippine Real Estate Investment Trust (REIT) and Ayala Group Arm, AREIT Inc. reported P2.11 billion in total revenues and P1.51 billion in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA)—a 43% and 45% increase over the previous year, respectively. A 45% increase in net income from the previous year, or P1.47 billion, was recorded when the net fair value change in investment properties was taken out. 96% overall occupancy for AREIT was higher than the industry average.

The highest cash dividend since its first public offering in 2020, P0.56 per outstanding common share, was declared by AREIT during its Board of Directors meeting for the first quarter of 2024. Since AREIT's inception, dividends have increased twofold due to the steady growth of new, larger assets and the excellent performance of its existing properties. Dividends will be payable on June 13, 2024, to shareholders on record as of May 28, 2024.
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Acquisitions like the new One Ayala Avenue East and West Office Towers, Glorietta 1 and 2 Mall and Office complexes at Ayala Center Makati, MarQuee Mall in Pampanga, and the Seda Hotel in Lio, El Nido, contributed to AREIT's first quarter income. The P88.6 billion in assets under management (AUM) of AREIT is made up of a variety of properties, including offices, shopping centers, lodging facilities, and industrial property.
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The company and Ayala Land, Inc. (ALI) and its subsidiaries, Greenhaven Property Ventures, Inc. and Cebu Insular Hotel Co., Inc., as well as Buendia Christiana Holdings Corp. (BCHC), executed a Deed of Exchange on March 19, 2024, wherein 841,259,412 primary common shares at a price of P34 per share were issued in exchange for assets valued at P28.6 billion. The assets consist of the 276-hectare plot of land in Zambales designated for the operations of a solar power plant, as well as Ayala Triangle Gardens Tower Two, Greenbelt 3 and 5, Holiday Inn in Ayala Center Makati, and Seda Ayala Center Cebu. After the relevant regulatory bodies give their approval, this deal should increase AREIT's AUM to P117 billion, quadrupling its size since its IPO.