Tuesday, 26 June 2012

Positive Outlook for Malaysia’s Real Estate Investment Trusts


KUALA LUMPUR: The outlook for Malaysia’s real estate investment trusts (M-REITs) continues to be positive, with plenty of room for further growth, according to speakers at the two-day REITs conference at Hotel Istana.
Sunway REIT Management Sdn Bhd chief executive officer Datuk Jeffrey Ng said M-REITs were considered to be at the “infancy stage.”
He pointed out that the market capitalisation of M-REITs was expected to rise 30% to around RM20bil this year, from RM15bil in 2011.
“This is because of the expected listing of the IGB REIT this year, which may have a market capitalisation of between RM3.5bil and RM4.5bil.”
A recent AmResearch report had said IGB Corp Bhd would benefit handsomely from the listing of its two malls –- MidValley Megamall and Gardens Mall – via a REIT.

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