{"id":4007,"date":"2021-03-08T12:37:16","date_gmt":"2021-03-08T12:37:16","guid":{"rendered":"https:\/\/sareit.co.za.www55.cpt1.host-h.net\/?p=4007"},"modified":"2021-03-08T12:37:16","modified_gmt":"2021-03-08T12:37:16","slug":"covid-19-rental-relief-report","status":"publish","type":"post","link":"https:\/\/muddev.co.za\/sareit\/covid-19-rental-relief-report\/","title":{"rendered":"COVID-19 Rental Relief Report"},"content":{"rendered":"

SAREIT Research Committee\u2019s First Report Reflects the Sector\u2019s Commitment to Tenants\u2019 Sustainability<\/span><\/i><\/p>\n

The SA REIT Association (SAREIT or the Association), a representative umbrella body for South African REITs focused on promoting the sector as an attractive asset class; today released its newly established Research Committee\u2019s maiden report. The report unpacks the extent of the COVID-19 rental relief initiatives provided by REITs to their tenants during the pandemic.\u00a0<\/span><\/p>\n

The REITs’ relief measures were an effort to support tenants, especially SMMEs, to ensure the sustainability of this critical segment of the economy. The rental relief was mainly in the form of discounts or deferrals, of which 80% relates to unrecoverable discounts, intended to sustain tenants\u2019 cashflows and curb business failures.<\/span><\/p>\n

Joanne Solomon, CEO of the SAREIT, commented: <\/span>\u201cThe establishment of the SA REIT Association\u2019s Research Committee was a critical element of our renewed strategy as we identified the need to provide research and insights into relevant topics within the South African listed property sector.<\/i><\/b><\/p>\n

\u201cThe COVID-19 rental relief report is our first and it is encouraging to witness South African REITs\u2019 commitment to sustaining the economy despite the severe pressure they have found themselves under due to unprecedented market conditions.\u201d\u00a0<\/i><\/b><\/p>\n

As part of SAREIT\u2019s repositioning process in 2020, the Association formed the Research Committee aimed at generating and providing access to high quality, independent research related to the listed property sector in South Africa and other relevant markets, as well as act as a trusted research hub for members and the industry at large.<\/span><\/p>\n

\u201cIn addition to support the measures put in place by the government in response to the pandemic, it was important for SAREIT to quantify its members\u2019 contribution towards the sustainability of tenants, many of which are SMMEs playing an important part in economic growth, innovation and job creation. The report provides comprehensive insights on the sector\u2019s prompt reaction to the crisis as demonstrated by the total R3 billion contribution made from April to December 2020, which 69% was provided by August 2020,\u201d<\/i><\/b> said Amelia Beattie, Chairman of the Research Committee.\u00a0<\/span><\/p>\n

This is the initial of two reports, which SAREIT plans to publish on the support provided by its members, each covering the latest available periods disclosed by its membership base.\u00a0<\/span><\/p>\n

This report’s contributors are Pranita Daya, a Real Estate Analyst at Anchor Stockbrokers; Ndivhuho Netshitenzhe, an Economist at Stanlib and Phil Barttram of Philbar Consulting.<\/span><\/p>\n

-END-\u00a0\u00a0<\/span><\/p>\n

CONTACTS<\/b><\/p>\n

SA REIT Association – Joanne Solomon, CEO \u2013 082 888 9975 or <\/span>joannesolomon@sareit.co.za<\/span><\/a>\u00a0<\/span><\/p>\n

Instinctif Partners \u2013 Boitumelo Nkambule \u2013 073 265 0231 or <\/span>SAReit@instinctif.com<\/span><\/a>\u00a0<\/span><\/p>\n

NOTES TO EDITORS<\/b><\/p>\n

About SA REIT Association<\/b><\/p>\n

The SA REIT Association promotes South African REITs as an investment class while addressing issues and meeting challenges within the sector. It is a representative umbrella body comprised of voluntary members of all listed SA REITs. SA REIT was established in 2013 to represent the interests of the sector following the introduction of the REIT structure to South Africa.\u00a0<\/span><\/p>\n

The Association\u2019s current strategic priorities are:<\/span><\/p>\n