Indluplace Properties: Shares listed in residential sector

INDLUPLACE Properties has become the first residential focused real estate investment trust (Reit) listed on the JSE. The company listed about 176 million ordinary shares in the residential Reit sector of the main board of the JSE on Friday at R10 a share, which put the company’s market capital at listing at R1.76 billion. The share price increased by 5 percent to R10.50 a share shortly after listing and closed at R10.10 on Friday. The listing followed a successful private placement that raised R400 million in an oversubscribed placement, with the proceeds used to extinguish debt. Indluplace has a portfolio comprising 95 properties and more than 3 600 individual rental units valued at about R1.6bn. Gerald Leissner, the chief executive of Indluplace, said by being the first listed focused residential property fund, Indluplace provided a diversification opportunity for traditional property investors and should attract new investors to the listed property sector. – Roy Cokayne