Collins REIT grows DIPS 16% amid strong asset performance

Key Takeaways

• Distributable income per share (DIPS) increased 16% year-on-year, rising from 94c to R1.09.
• Vacancy rate slashed from 3.9% to just 1.8%, showcasing strong tenant retention and demand.
• Geographic expansion underway with developments in the Western Cape and growing interest in Western Europe.

REIT Snapshot

• Company: Collins Property Group
• REIT Type: Industrial-focused Real Estate Investment Trust
• Financial Year-End: February 2025
• Portfolio Focus: Industrial, logistics, and convenience retail centres
• Geographic Spread: Gauteng, KwaZulu-Natal, Western Cape (SA); Netherlands, Austria (EU)

MD Commentary - Kevin Searle, Managing Director

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“This was our first full year as a REIT, and the results reflect our commitment to sustainable, predictable income growth. Success in this environment depends on asset quality and secure income streams and our portfolio continues to deliver on both fronts.”

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“We’ve strengthened our balance sheet, reduced vacancies, and enhanced our NAV. As we continue diversifying into new regions, especially Western Europe, our disciplined approach to capital allocation and asset rotation will support long-term growth.”

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Performance Highlights

• Distributable Income rose from R311m (2024) to R361m (2025)
• DIPS increased from R0.94 to R1.09 per share
• Final Dividend declared at 50c, total dividend for year: R1.00 (vs R0.90 in 2024)
• Total Assets stable at R12.2 billion
• Vacancy Rate dropped to 1.8% (from 3.9%)
• Loan-to-Value Ratio improved to 49.8% (from 51%)
• Net Asset Value per share up 7% to R16.15
• R452m in potential capital to be raised from non-core property disposals

Strategic Outlook

Collins is positioning for long-term resilience and scale. The Western Cape will see increased development of high-demand convenience retail centres, while the group seeks to deepen its European exposure, particularly in the Netherlands and Austria.

With over R450 million in planned asset disposals, the business is freeing up capital to fund international growth without over-leveraging.

Searle remains upbeat, citing potential interest rate relief and improving inflation trends as positive indicators for investor sentiment and property sector momentum.

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