RCR Expands Portfolio With Infusion Of P5.9B Asset In Ortigas CBD
RL Commercial REIT Inc. (RCR), the Philippines’ largest REIT, has finalized the infusion of Robinsons Cyberscape Gamma from its Sponsor, Robinsons Land Corporation (RLC). The property-for-share swap transaction is now subject to the approval of pertinent regulatory bodies.
Photo Insert: Cyberspace Gamma
Robinsons Cyberscape Gamma is valued at Php5.9 billion as validated by a third-party fairness opinion. RLC will get 777,807,133 shares in exchange for the infusion to RCR. This yield-accretive infusion is ahead of the target expansion timeline previously set by the Company.
Robinsons Cyberscape Gamma is a 37-storey, Grade-A, PEZA-registered building with a total gross leasable area of 44,797 sqm. Its occupancy is over 90% and is predominantly occupied by BPO companies.
This prime commercial development is strategically located within the Ortigas CBD and is the 16th asset to be infused into RCR. Its addition to the RCR portfolio increases the REIT’s asset size by 10.3% to 480,500 sqm. The infusion comes shortly after the acquisition of Robinsons Cybergate Bacolod last March 8, 2022.
Robinsons Cyberscape Gamma has a projected dividend yield of 5.64%. Following the infusion of Cybergate Bacolod and Cyberscape Gamma, RCR’s projected annual dividend yield for 2022 is 6.06% at an IPO Price of Php6.45 per share.
“Our goal has always been to grow and diversify the portfolio of RCR through the acquisition of yield-accretive assets. We have been consistent and in line with our target plans as disclosed in our REIT plan, which solidifies our strong commitment to our shareholders,” RCR President and CEO Jericho Go said.
The transaction was subjected to the fund manager’s recommendations, approval of the related party transactions committee, fund management board, and RCR board.
RCR debuted in the Philippines Stock Exchange on 14 September 2021. In less than a year since its IPO listing, RCR has already acquired two (2) assets to increase its GLA by 13%, expanded its geographical reach to 10 key cities, and distributed dividends higher than projected based on its REIT plan.
Furthermore, RCR was included in the FTSE Global Equity Index Series for AsiaPacific and was named the Best REIT in the Philippines during the Assets’ Triple A awards in Hongkong held last month for its Php23.5-billion initial public offering.