daniel chigunwe
Business Writer
The Tigere Real Estate Investment Trust (REIT) unit holders approved the investments trust’s request to acquire Highland Park Phase 2 at an Extraordinary General Meeting (EGM) which was held recently in Harare.
The acquisition is set to significantly expand the REIT’s property portfolio, contributing to its growth strategy in Zimbabwe’s real estate market.
The vote sought approval from eligible unit holders to acquire Highland Park Phase 2, a property poised to enhance the REIT’s asset base. Notably, Frontier Real Estate Development (Private) Limited and Terrace Africa Staff Incentive Scheme were excluded from the vote due to their status as related parties, ensuring the integrity and fairness of the voting process.
A substantial 83,76 percent of eligible unit holders participated in the vote, either by submitting proxy forms or attending the virtual EGM. This high turnout reflects strong investor interest in the REIT’s strategic direction.
The acquisition of Highland Park Phase 2 was put to a Special Vote resolution, wherein unit holders authorised the Tigere REIT and its advisory board to acquire the property through a unit placement.
Specifically, the REIT will issue 351 282 000 new units to Modern Touch Investments (Private) Limited, the seller, in exchange for Highland Park Phase 2. The resolution passed overwhelmingly, with 99,85 percent of votes in favour and a mere 0,15 percent against.
Additionally, unit holders voted on a resolution granting the REIT’s Advisory Board, Trustee, and Investment Committee the authority to take all necessary actions to effect the acquisition.
This resolution also saw strong support, with 99,85 percent of votes in favour and 0,15 percent against.
The successful approval of these resolutions marks a significant milestone for Tigere REIT, paving the way for the inclusion of Highland Park Phase 2 in its portfolio.
This move is expected to enhance the REIT’s income-generating potential and solidify its position in Zimbabwe’s real estate sector.
This purchase approval of Highland Park Phase 2 comes as the REIT has solidified its position as a leading player in Zimbabwe’s property market by securing first purchase agreements on several significant development projects.
These agreements underscore Tigere REIT’s strategic collaboration with Frontier Real Estate Development, which serves as a key partner, taking on development risks and ensuring a robust project pipeline.
The REIT has secured the first right to purchase a range of upcoming developments, reinforcing its growth trajectory. Notable projects include the Greenfields Retail Centre at Harare Showgrounds, slated for completion in November 2024, and the Kadoma Shopping Centre, with land finalisation expected by 2025.
Additionally, the REIT has its sights set on the Highland Park Precinct, a major development projected to commence in 2025 and beyond.
Further opportunities in Ruwa’s Zimre Park are in the pipeline, with the land transfer currently pending, while potential developments in Bulawayo and other locations are in the planning stages.
Business Weekly resident economist and analyst Tapiwanashe Mangwiro said these strategic acquisitions and development rights position Tigere REIT for sustained expansion, offering investors exposure to high-growth real estate assets.
“By partnering with Frontier, Tigere REIT not only gains access to premium development projects but also mitigates risks associated with new ventures.
“This collaboration ensures that Tigere REIT remains at the forefront of Zimbabwe’s evolving real estate landscape, providing a diversified and promising portfolio for its investors,” Mangwiro said.
Bongani Ndlovu