• Tigere REIT targets US$100 million NAV by 2026, representing a projected 100% increase from the US$50 million target set for 2025
• Strong operational performance in 2025 saw rental revenue surge 58.9% to US$2.64 million
• Pipeline developments and strategic acquisitions including Greenfields Retail Centre and Zimre Park Drive-Thru, alongside projects such as Design Quarter and Zumari Park, are expected to drive long-term expansion toward a US$200 million NAV target by 2028

Harare  - Tigere Real Estate Investment Trust (REIT), a leading Zimbabwe Stock Exchange-listed entity, has projected a 100% growth in Net Asset Value (NAV) to US$100 million in full year 2026 from US$50 million targeted in 2025 according to the company Chief Executive Officer Brett Abrahams in his analyst briefing presentation.

The REIT  closed the year 2025 with An NAV of US$59.49 million, surpassing earlier internal projections that had anticipated US$50 million for 2025 a significant leap from US$34.03 million at the end of 2024.

The growth is attributed to strategic acquisitions, resilient tenant performance, disciplined operational execution, ongoing pipeline delivery, and favourable market conditions.

Looking even further ahead, the REIT's longer-term ambition is to scale its NAV to US$200 million by 2028, capitalising on Zimbabwe's urbanisation trends, diaspora inflows, and infrastructure-driven demand that contributed to roughly 5% property market growth in 2025.

The foundation for this ambitious trajectory lies in Tigere's proven ability to deliver consistent, USD-denominated returns to unitholders amid economic complexities, including currency regime shifts and inflationary pressures.

In 2025, rental revenue surged 58.9% to US$2.64 million from US$1.66 million the prior year, driven by the full-year contribution from Highland Park Phase 2, in-force lease escalations typically tied to US CPI with a minimum 5% floor and positive rental reversions at core assets like Highland Park Phase 1 and Chinamano Corner.

Utilities income rose to US$0.77 million from US$0.43 million, though this remains largely a pass-through mechanism to cover contingencies such as backup power and water supply issues.Net property income climbed 61.1% to US$2.73 million, bolstered by improved margins as the expense ratio declined sharply to 16.5% from 23.2% in 2024, highlighting effective cost controls and scale benefits.

Total comprehensive income nearly doubled to US$2.68 million from US$1.35 million, while distributable income per unit increased 23.2% and dividends per unit rose 28.2%.

Occupancy averaged 97% for the year, a minor dip from 100% due to strategic tenant rotations in Q4, but all new assets integrated at full occupancy. Tenant quality stayed strong, with approximately 80% of income from stable base rents and 20% from turnover kickers, particularly from high-performing anchors and food outlets.

The portfolio benefited from yield-accretive Q4 acquisitions Greenfields Retail Centre at a 9.2% net initial yield and Zimre Park Drive-Thru in Ruwa at 7.74%, adding US$25.13 million in value and lifting the combined net initial yield to 7.15% well above prior levels.

Investment property value expanded 75.6% to US$58.41 million, with cash reserves growing to US$1.75 million for liquidity. NAV per unit rose modestly to US3.23 cents, balancing accretion from acquisitions with unit issuance for funding.

As Tigere enters 2026, guidance points to a distributable income yield on NAV of 6.8% to 7.1%, with management aiming for the upper end and targeting at least US$1 million in quarterly dividends.

NAV per unit is projected in the range of US$0.0325 to US$0.0327, prioritizing per-unit value creation alongside portfolio growth. Payout ratios are expected to normalize between 95% and 100%.

Growth will be propelled by an active pipeline of developments and acquisitions, increasingly incorporating third-party opportunities to diversify beyond sponsor-led projects. Key projects include Design Quarter in Harare's Highlands Precinct, on track for Q1 2026 completion as a mixed-use hub with showrooms, offices, a rooftop venue, and a 450-bay parking structure slated for September 2026 opening, leasing has progressed strongly to 90–93% with quality international covenants.

Zumari Park (Zimre Park Phase 2) in Ruwa has seen accelerated timelines, with site works underway and an anticipated opening in 12–14 months, anchored by proven brands like Steers and KFC to drive traffic on a major arterial road.

In Bulawayo, Fair grounds a compact 5,000–6,000 square meter development at the Zimbabwe International Trade Fair showgrounds features a Greenfields-inspired design with greenery and wooden elements, pre-letting stands at around 85%, with construction imminent.

Further prospects encompass Kadoma Retail Phase 1, Gweru Phase 1, Cardinals Corner, and additional commercial properties, enhancing geographic spread and counterparty diversity while maintaining focus on quality assets with long leases and low maintenance.

Tigere continues to prioritise unitholder interests through rising NAV per unit, liquidity improvements evidenced by growing trading volumes and free float expansion and diversification, with the top five shareholders' stake reduced to 65% from 75% and individual unitholders expected to surpass 1,000 by year end.

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