Last year, 2018, was an inordinately difficult year for listed property. The sector is taking some time to regain investors' confidence, with analysts pointing out that a revival in business and consumer confidence is needed in SA, as well as positive GDP growth for property fundamentals to recover in 2019 and beyond. In addition, a ruling by the FSCA on its investigation into the Resilient group of companies will help ease investors' concerns. However, industry players have noted that the correction in the sector has been overdone. A number of stocks are very attractively priced, with yields currently the highest in 10 years - making it a good time to buy selected property counters for the long term. Metope CEO Liliane Barnard comments.
Despite all of the pressure seen in 2018, listed property has proved itself once again by delivering a stable income return to investors. While the share prices and capital values of property stocks were hard hit, the companies continue to deliver on their income distributions. It is the stable, sustainable and growing income stream that is the hallmark of listed property and what investors should look for in an investment into the sector. Metope CEO Liliane Barnard outlines her views.