Terrace Africa secures US$100m

RYAN CHIGOCHE

Property development and asset management firm Terrace Africa is set to get a cash injection of US$100m from international investors for the development of new projects.

This comes as the company’s Tigere Real Estate Investment Trust (Tigere REIT) became the country’s first ever REIT to list on the Zimbabwe Stock Exchange.

According to experts, REITs are known to strengthen the property investment market by increasing transparency, liquidity, and mandatory dividend distributions.

Currently the Tigere REIT has two properties seeded—the Highlands Park and Chinamano Corner—which together have a combined total of 41 retail tenants

With a long pipeline of new projects, Terrace Africa managing director, Brett Abrahamse said international investors have already committed US$100m to partner in the new projects.

“Through the process of the REIT formation we have been receiving words of encouragement and engaging with international investors who have committed over US$100 million to partner with us in new projects. The regulated REIT structure provides liquidity and transparency for these funds to flow,” Abrahamse said.

“We have an exciting future pipeline, sites that are already purchased and ready for development. This includes projects such as an international hotel, brand new state of the art conference centre with an integrated office park.”

Work on Phase 2 of the Highlands Park which is already underway is expected to be completed by the first quarter of next year.

The mall project in partnership with the Zimbabwe Agricultural Society is expected to commence next year and it’s expected to service customers travelling along Samora Machel to as far as Norton upon its completion.

A month ago, Terrace Africa hinted that it will be looking to develop new properties in other sectors to add to the Tigere REIT portfolio which is currently retail focused.

The property concern is also behind the Village Walk in Borrowdale and Marondera Main Mall.