Tigere Real Estate Investment Trust (REIT) plans to expand its property portfolio through a proposed acquisition of a $1.4 million property in the Midlands via a sale-and-leaseback arrangement.
The trust has given unitholders the option to receive their latest quarterly dividend either in cash or in additional units, with proceeds from the scrip alternative earmarked for the acquisition.
According to a circular to investors, Tigere is negotiating to acquire the Electrosales Zvishavane property on a sale and leaseback arrangement valued at about US$1.42 million, including transaction costs.
“As previously communicated during the Tigere REIT analyst briefing held on Thursday 16 July 2026, the REIT Manager is engaged in ongoing negotiations with a third party to acquire Electrosales Zvishavane on a sale and leaseback basis,” the circular said.
The property will generate annual rental income of US$135 000 under a 10-year triple net lease with annual rental escalations of three percent if the transaction proceeds.
Tigere said the acquisition would strengthen its geographic footprint while adding a long-term income-producing asset.
“The asset is positioned within a burgeoning town supported by surrounding mining and agricultural activities,” the REIT said.
“Additionally, exposure to Zvishavane further enhances the portfolio’s geographical footprint into the Midlands Province.”
The REIT added that the triple net lease structure would shift operating responsibilities to the tenant, limiting property management costs while securing stable rental income over the lease period.
However, Tigere said the acquisition remains subject to due diligence and regulatory approvals, with a further update expected in its third-quarter trading report.
Tigere, managed by Terrace Africa Asset Management, became Zimbabwe’s second listed REIT after listing on the Zimbabwe Stock Exchange in late 2022.
The fund invests primarily in income-generating commercial property and distributes a substantial portion of its earnings to unitholders, as required under Zimbabwe’s REIT framework.
In recent years, it has steadily expanded its portfolio through acquisitions designed to increase rental income and diversify assets across different sectors and locations.