The Gokongwei Group has joined the REIT or real estate investment trust bandwagon.
RL Commercial REIT Inc. or RLC REIT, has filed with the Securities and Exchange Commission (SEC) on Wednesday, a registration statement for a REIT offering of up to P26.6 billion.
Its sponsor is Robinsons Land Corp., the listed property developer of Gokongwei-owned JG Summit Holdings, the listed conglomerate of the Gokongwei Group.
According to its registration statement, RLC REIT plans to offer secondary shares of up to 3.3 billion common shares under a firm offer, with an over-allotment option of up to 305.1 million common shares at an offer price of up to P7.31 per share.
Proceeds would be used for its real estate projects in the country in accordance with its reinvestment plan.
RLC REIT’s portfolio is composed of 14 PEZA-accredited assets with over 400,000 square meters of gross leasable area across key Metro Manila cities.
This includes the Exxa-Zeta Towers in Quezon City, Robinsons Summit Center in Makati City, Robinsons Cyberscape Alpha and Robinsons Cyberscape Beta in Pasig City and Robinsons Cybergate Center 2 and 3 in Mandaluyong City.
The company tapped UBS AG, Singapore Branch as the lead international bookrunner for the offer, with CLSA limited and Merrill Lynch (Singapore) Pte. Ltd. also serving as international bookrunners.
BPI Capital Corp. is the lead local underwriter, with China Bank Capital Corp., First Metro Investment Corp., and PNB Capital and Investment Corp. as local underwriters.
REIT companies can list and trade its shares of stock in the stock market as an alternative means to raise funds for property development and expansion initiatives.
Companies that own and operate income-generating real estate assets are considered REIT companies. These companies include offices, apartment buildings, hotels, warehouses, shopping centers and highways.
RLC REIT plans to list in the second half of the year, and will be joining Ayala-led AREIT Inc. and Double Dragon’s DDMP REIT in the roster of REITs listed on the exchange.