MREIT, Inc. is set to acquire four prime, grade A, office properties in PEZA-accredited zones with a total value of P5.3-billion, ramping up the company's portfolio value to P65-billion. This only makes up the initial tranche of the company's P20-billion property for shares acquisition plan for 2022. The new acquisitions will have a total gross leasable area of 44,567 square meters, which will increase the company's asset portfolio by 16% to 325,000 square meters GLA from the current portfolio of 280,000 square meters.

The property infusions include Festive Walk 1B and Two Global Center in Iloilo Business Park, and One West Campus and Five West Campus in McKinley West, Taguig City. With these acquisitions, MREIT will have 100% ownership of the two Iloilo Business Park properties, and 80% economic interest in the two McKinley West office towers. At present, the four prime office properties have an average occupancy rate of 96%, way higher than the industry level of between 81% to 84%.

The transaction is priced at cap rates of 6.0% and 5.4% for the Iloilo Business Park and McKinley West properties respectively, both above the prevailing forward yield of the company. On a blended basis, the resulting cap rate is 5.7%.