MREIT, Inc., the real estate investment trust of Megaworld Corp., has received approval from the Securities and Exchange Commission for its Wave 4 property-for-share swap, clearing the way for a major portfolio expansion in McKinley Hill.
The P16.2-billion transaction covers the acquisition of nine Grade A office buildings with a combined gross leasable area of about 165,500 square meters.
Structured primarily as a property-for-share swap worth over P16.0 billion, with a small cash component, the deal allows the assets to contribute income retroactively from January 1, accelerating returns for investors.
The newly infused properties are nearly fully occupied, with a 97 percent occupancy rate as of end-2025. More than 80 percent of tenants are Global Capability Centers, a segment known for long-term leases and lower relocation risk, enhancing income stability.
Once completed, the acquisition will boost MREIT’s total portfolio size by roughly 34 percent to around 647,000 square meters, reinforcing its position as one of the country’s largest office REITs while strengthening tenant quality.
“This approval marks another important milestone in MREIT’s growth journey,” said Kevin L. Tan, Chairman of MREIT, noting that the transaction balances scale with disciplined expansion.
Announced in December 2025, the deal was executed at a 15 percent premium to the company’s 30-day VWAP, signaling confidence in asset quality while limiting dilution and supporting dividend growth.
MREIT is preparing for Wave 5, which is expected to introduce retail assets into its portfolio, potentially lifting total gross leasable area to 750,000 square meters as it advances toward its one-million-square-meter target by 2027.
