Union Homes Real Estate Investment Trust (UH R.E.I.T) has recorded a 44.5 per cent growth, leading to a significant increase in dividend payment to its stakeholders.

The growth, according to the firm, serves as a testament to the company’s strong performance and commitment to delivering value to its investors.

The Managing Director and Chief Executive Officer, SFS Capital Nigeria Limited, Mr. Patrick Ilodianya, stated this at the 2024 UH Real Estate Investment Trust (UH REIT) Annual General Meeting held at the Art Hotel, Victoria Island in Lagos on Friday.

The firm also announced the forthcoming launch of an innovative REIT structure, the SFS Convertible REIT, which would offer investors the option to convert their holdings directly into physical real estate properties.
He said that the initiative underscored the firm’s commitment to innovation, diversification, and adding value to investors.

Ilodianya, while delivering his address at the event, stated that the company achieved a significant income growth of 44.5 per cent, reaching N1.2 billion.

“The year 2024 has been exceptionally strong for the UH REIT, marking significant growth and commendable financial performance for us. Our total income increased by 44.5 per cent, reaching N1.2 billion, which demonstrates the robustness of our property management strategy and market positioning.

“Furthermore, our profit before tax experienced substantial growth of approximately 56.2 per cent, totalling N1billion as compared to previous years. Earnings per share increase impressively to N5.56, up from N3.49 in 2023.”
He emphasised that the growth became possible following the firm’s effectiveness in strategic initiatives and prudent financial management.

Following the high performance rate, the firm proposed a dividend payout of N5.05 per unit for 2024, higher than the N3.15 per unit distributed last year.

According to the annual report, the non-oil sector contributed 95.4 per cent to Nigeria’s GDP in Q4 2024, marginally higher than the 95.30 per cent recorded in Q4, with growth mainly driven by financial services, information and communication, agriculture, trade, transportation, and manufacturing.

Significantly, the oil sector contributed 4.60 per cent to the GDP in Q4 2024 and expanded by 1.48 per cent year-on-year in Q4 2024; down 10.64 per cent compared to Q4 2023.

However, growth also declined by 3.70 per cent compared to Q3 2024. Over the quarter, Nigeria’s oil production averaged 1.53 million barrel per day (mbpd) compared to 1.56mbpd in Q4 2023.

Inflation remained in the ascendancy in 2024 with the Consumer Price Index logged growth of 34.8 per cent in December 2024, compared to a 12-month low of 32.15 per cent, making food inflation a key driver of inflation in 2024, accompanied by housing, water, electricity, gas and other fuel as well as clothing and footwear.

On fund performance, the UH Real Estate Investment Trust Fund generated gross revenue of N1.28 billion in 2024 as compared to N884.28 million in 2023, attributable to higher rental income, property disposal and interest income.

Following the performance, the REIT declared a N5.05 dividend for the year ended 2024 as compared to 2023 with N3.15. The Net Asset Value of the fund grew by 4.42 per cent in 2024, to close the year N10.69 billion.