Renewed positivity in South Africa’s listed property sector: what investors need to know

After a period of economic pressure and subdued investor sentiment, renewed positivity is emerging in South Africa’s listed property sector. 

Signs of stabilisation in valuations, improving operational performance by leading real estate investment trusts (REITs) and a sharper focus on governance and transparency are helping to rebuild confidence, says SA REIT Association CEO Joanne Solomon.

“At the same time, international investors are showing a cautious but growing interest in South African assets, particularly as the local market aligns itself more closely with global REIT trends.” 

The SA REIT Association says it promotes South Africa as an investment class both locally and internationally, while addressing issues and meeting challenges within the sector.

Upcoming SA REIT Conference 2026 to Spotlight Global REIT Trends

The timing of the Global REIT Alliance's expansion aligns with a major upcoming industry gathering in South Africa.

The SA REIT Association will host its biennial SA REIT Conference 2026 on 12 February 2026 at The Houghton Hotel in Johannesburg, sponsored by Nedbank Corporate and Investment Banking’s Property Finance division. 

This event will convene REIT executives, investors, asset managers, policymakers and market experts from across the country and beyond, to debate the most pressing forces shaping the future of listed real estate.

The SA REIT Association has confirmed that Peter Verwer, Executive Chairman of Futurefy and long-time global REIT ambassador, will deliver the keynote address at the Conference.

The biennial conference is described as South Africa’s most influential gathering of listed property leaders, investors, policymakers and market experts. Against a backdrop of shifting global and local real estate dynamics, Verwer’s address will set the tone for a forward-looking exploration of how the REIT model is evolving worldwide.

Solomon says the SA REIT Conference 2026 will capture this mood of guarded optimism, convening executives, asset managers and policymakers to debate how the sector can consolidate its recovery and unlock future growth.

“By combining a global perspective, underscored by Peter Verwer’s keynote, with a local focus on practical strategies, the event will highlight how South Africa’s REITs are adapting to change and reasserting their relevance as a trusted investment class.”

Verwer’s keynote presentation, titled “Global REIT Dynamics: Innovation, Influence and Opportunity”, will examine how REITs across continents are adapting to investor demands, digital transformation, sustainability imperatives and their growing role in infrastructure and nation building.

His insights will provide a rare global perspective for South African delegates, connecting local challenges to broader trends in capital flows, governance and long-term investment.

Solomon says crucially, his speech follows the relaunch of the Global REIT Alliance at the EPRA Conference in Stockholm last month.

Originally established in 2006 as the Real Estate Equity Securitization Alliance (REESA), the Alliance has been revitalised under its new identity to strengthen international collaboration, knowledge sharing and industry advocacy. 

Today, it represents 24 countries and regions across North America, Europe, Asia-Pacific, Latin America and Africa, with the SA REIT Association included as South Africa’s voice in this global coalition.

Verwer underscores the significance of this expansion: “The Global REIT Alliance brings together 24 countries and regions, creating a unified voice for REIT advocacy and a platform for knowledge-sharing and standard-setting.

"Our shared vision is to broaden investor participation, improve transparency and strengthen trust in REITs as a credible global asset class.”

For South Africa, Alliance membership is said to provide a direct line to international peers and policymakers. It allows local REITs and property leaders to learn from global best practices and, at the same time, contribute perspectives from an emerging market grappling with unique economic and regulatory challenges.

As Verwer notes: “Together, we aim to strengthen the global REIT ecosystem and promote REITs as a trusted and transparent asset class worldwide.”

The 2026 SA REIT Conference will tackle urgent themes shaping the sector, including global market volatility, access to capital, technological innovation, sustainability, local government risks and the shifting policy environment.

With credibility and long-term investor relevance at the centre of discussions, the agenda is designed to provide strategic insight and practical direction for REIT executives and investors.

Verwer’s keynote will frame these issues within an international context, exploring how markets from the United States and Europe to Asia and Africa are positioning themselves for resilience.

For South Africa's REITs, which collectively represent a significant portion of the Johannesburg Stock Exchange (JSE) and hold assets across retail, office, industrial and residential segments, his outlook will offer both inspiration and direction at a crucial juncture.

According to Anchor Capital’s strategy and asset allocation report for the fourth quarter of this year, the SA-listed property sector has recovered materially over the past two years, even though the domestic-focused counters are well off their all-time highs.

Nolan Wapenaar and Peter Armitage, Chief Investment Officers at the investment company, said property companies are in a much better place now, and the rental reductions initiated by the Covid-19 pandemic are now largely out of the base.

They said conservative management has also seen balance sheets improve, and the valuations are now at levels where capital raising is again a possibility.

“The earnings base of the sector is back to a sustainable level, and growth from here forward is likely to be closer to 5% than 10%. At forward dividend yields of around 8.5% for local counters, property companies look fairly valued relative to recently re-rated bond yields.

"So, it is a case of comparing an 8.5% property dividend yield growing at 5%, with a 10-year bond yield of 9.5% which is not increasing.” 

The company said its 12-month forward total return projection for the sector is 11%, which comprises a slight capital increase in addition to the 8.5% dividend yield.

It said net portfolio growth is starting to return, and the interest cost will begin to decline further as interest rate cuts continue.

“Offshore portfolios are performing better, and growth prospects look reasonable. A reasonable portfolio with a dividend yield of 7%-9% and growth of 3%-5% can be constructed.” 

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