Estienne de Klerk is a qualified Chartered Accountant with 25 years’ experience in the listed property sector. During the 25 years, he has been involved in various corporate action such as take-overs, mergers and acquisitions, transformation deals and capital raises. De Klerk started his career at Eskom Durban Distribution in a marketing role. In 2002, he joined the Investec Property Group’s property fund management business where he was appointed Fund Manager and Executive Director of Metboard. Later on, he became Executive Director and Group Managing Director of Growthpoint before being appointed Chief Executive Officer (SA). Estienne is Chairman of the SA REIT Association and a longstanding member where he served as Chairman of the Taxation and Regulatory Committee since SAREIT’s inception. He is a former President of the South African Property Owners Association (SAPOA) and represented the industry in the Property Sector Charter negotiations.
Here are some key features of REITs according to JSE listing regulations:
- Dividend Distribution: REITs must distribute at least 75% of their taxable earnings to investors as dividends, providing certainty that net income will be returned to shareholders.
- Stable Income Stream: They generate income primarily from property leases, resulting in a relatively stable revenue stream that is adjusted annually to keep pace with inflation.
- Long Lease Periods: Income is typically derived from commercial properties with long lease agreements, further enhancing income stability.
- Risk Monitoring: REITs are required to have a committee dedicated to monitoring risks associated with their operations.
- Market Risks: Investors should be aware of potential risks due to unpredictable economic and social conditions that may affect rental income and REIT prices.
- Dividend Withholding Tax: Foreign shareholders of South African REITs are subject to a dividend withholding tax, set at 15% since 1 January, 2014, or the applicable rate from a double tax agreement.
- Tax Efficiency: This structure offers enhanced tax efficiency, as taxes are paid by the end investor rather than the REIT itself.

























































