Megaworld’s MREIT lands ₱27B asset infusion in biggest REIT deal on PSE this year

The property trust adds malls, hotel, and office assets as it diversifies its portfolio and moves closer to its 1-million-square-meter target.

Megaworld’s real estate investment trust, MREIT, is set to receive a ₱27-billion asset infusion, marking the biggest REIT property deal on the Philippine Stock Exchange this year.

Once approved by the Securities and Exchange Commission, the transaction will raise MREIT’s assets under management to ₱122 billion and expand its gross leasable area to more than 950,000 square meters, bringing it closer to its goal of reaching one million square meters by 2027.

The asset infusion will also diversify MREIT’s portfolio, which has been largely concentrated on office properties. The new assets will bring the portfolio mix closer to 77% office, 20% retail, and 3% hotel, giving investors exposure to more sources of rental income.

Among the properties being added are five Megaworld lifestyle malls, including Eastwood Mall, Venice Grand Canal Mall, Lucky Chinatown Mall, Festive Walk Mall, and Southwoods Mall. The transaction also includes the 737-room Holiday Inn Express Manila Newport City and six office properties across Megaworld townships.

The additional assets have a blended occupancy rate of 91% and a weighted average lease expiry of 5.3 years, supporting visibility for recurring rental income.

The deal will also expand MREIT’s presence from five to nine Megaworld townships, strengthening its footprint in mixed-use developments where retail, hospitality, and office demand converge.

MREIT President and CEO Jose Arnulfo Batac said the larger portfolio is expected to improve operating efficiencies and support dividend growth for shareholders.

For investors, the move gives MREIT a broader income base, while the property sector gains another example of how diversified developments are becoming key drivers of long-term commercial demand.

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