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UPDC REIT rewards unit holders with N1.4bn interim dividend

By on November 17, 2014

The Fund Managers of UPDC Real Estate Investment Trust (REIT), FSDH Asset Management Limited, has announced that unit holders in the fund will be rewarded with N1.4 billion interim dividend for the period ended June 30, 2014.
Managing Director of FSDH Asset Management, Mrs. Olumayowa Ogunwemimo, told THISDAY that the interim distribution of 56 kobo will be made to the unit holders who are on the register of the UPDC REIT on November 20, 2014, adding that the payment will be made on December 4.
The pay-out, she stated, represents 90 per cent of the distributable income for the period ended June 30, 2014.
She added, “The full year audit of the UPDC REIT has commenced and the final dividend for the year ending December 31, 2014 will be paid as soon as the SEC approves the audited accounts. This implies that the unit holders of the UPDC REIT should expect to receive additional income on their investment early in 2015.”
The UPDC REIT, she said, is a unique investment because it allows its investors to benefit from the returns earned on choice real estate properties.
“In addition, the average vacancy rate on all the real estate assets of the UPDC REIT is less than 3 per cent. This low vacancy rate is largely as a result of the quality of the real estate assets in the REITs and the calibre of tenants occupying the properties.
“The tenants of the REIT are a mix of corporate clients and high net worth individuals, with long leases and most of them have a very high tendency of renewing their leases. Some of the corporate tenants have remained tenants in the properties for almost 20 years. This assures investors of the ability of the REIT to consistently earn and distribute income to its unit holders, “she stated.
Ogunwemimo said the fund provides stable and regular income to investors, as REITs typically pay out 90 per cent of the total income realised on an annual basis.
“In order to ensure that the UPDC REIT provides investors with regular income, the Trustees and the Investment Committee have approved the payment of an interim distribution to its unit holders to be paid on December 4. The distribution represents 90 per cent of the realised income earned for the period ended June 30, 2014.

 

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