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Pretoria - Listed MAS Real Estate has reported significant progress in expanding its acquisition and development pipeline, resulting in the company reaffirming its confidence in achieving close to its target of recurring distributable earnings a share growth of 30 percent a year for this and the next two years.

MAS on Monday also said that it had grown its income generating property portfolio by 67.5 percent in the six months to December to R406.44 million from R242.63 million.

This follows the acquisition of the Nova Park mall in Poland, the Edeka MIHA food retail portfolio, the Munich logistics property in Germany that is let to Volkswagen and the completion of the Adagio Hotel in Edinburgh in the UK.

The development pipeline in Western Europe included the second phase of the New Waverley development, comprising a mix of new offices, retail and residential following the development of three hotels and 22 new retail units in the first phase.

In Central and Eastern Europe (CEE), the development pipeline includes accretive acquisition opportunities with value adding potential and development opportunities in partnership with developers Prime Kapital.

MAS chief executive Lukas Nakos said the group had secured a further large acquisition in CEE in excess of 50m, with significant value add potential.

Nakos said substantial further opportunities were being explored.

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They included the Emonika mixed use retail, office and hotel development in Slovenia; the securing of a 4.1hectare site in Balotesti in Romania with a view to developing a value centre and subsequently an additional neighbouring plot of 3.8ha; securing a 9.5ha site in Ploiesti in Romania with the intention of developing and operating a 25600m² retail value centre; and securing of five plots in various smaller cities across Romania with the intention of developing about 20000m² of convenience value extensions to be integrated with the existing mini hypermarkets of German discount mini hypermarket and supermarket chain Kaufland.

Nakos said that MAS’s income-generating and development joint ventures with Prime Kapital in CEE had unlocked very exciting opportunities in Slovenia, Poland and Romania plus several other CEE countries.

Shares in MAS rose 1.14 percent on the JSE to close at R22.25.

BUSINESS REPORT