Opportunity rank #83 (cash-flow board) · South Africa

South Africa's listed REIT basket: 5.9–8.1% of filing-grade distributions — buying property plumbing, betting on the rand

Our take: Do, with conditions
5.9–8.1% South Africa listed REIT basket distribution yields (three names, SENS filings) · Verified range · Data as of: 2026-11-06

Composite-board score: 6.2 · Where it is strong: Net cash flow, Evidence strength · methodology

Data updated: 2026-11-08

South Africa's listed REITs are the standard specimen of this site's high-yield frontier: all three large names' distributions come from SENS filings. Growthpoint (the largest, a R139.4B portfolio): FY26 DPS of 133.5c, up 7.4%, at an 87.5% payout — 8.1% at the 1,640c price, at about a 23% discount to NAV. Redefine: DPS of 49.06c, up 7.0% — 7.6%, at about a 25% discount, with LTV of 38.8% and occupancy of 94.8%. Hyprop (retail, the quality name): DPS of 351.9c, up 14.4%, with the payout ratio raised from 80% to 82.5% — 5.9%, at a discount of only about 9%: the market charges less yield for quality, in plain figures. All three DPS figures are payouts of distributable income with no return-of-capital component (South African distributable income is a non-IFRS measure, so DPS above IFRS EPS is not principal coming back). The tax shape must be stated first: SA REIT distributions are not dividends and bear no 20% dividends tax — they are taxed as the investor's SA-source ordinary income; the collection mechanics for non-residents and the Singapore treaty rate were not verified to a primary source by this site, so in-hand figures are printed only as a scenario at an illustrative 20% effective rate (about 4.7–6.5%), never as a treaty number. The macro backdrop prints both halves: exiting the FATF grey list is an institutional positive; two 2026 rate hikes (prime at 10.75%) and public debt of about 78% of GDP are the other half of the pricing. Verdict: do, on conditions — size it as a currency position; the DPS growth (all three names up 7–14%) is real, and the rand is this entry's true risk subject.

In short: four lines first

What it costs to get in

Listed shares, from any amount (JSE access)

Roughly what it earns

5.9–8.1%(South Africa listed REIT basket distribution yields (three names, SENS filings))

How much work for you

Fairly hands-off (listed route; non-resident tax filing has friction)

The biggest catch

The rand and the rate cycle press in the same direction: the central bank hiked twice with inflation at 4.5% against a new 3% target — further hikes would squeeze valuations and tenants together, worsening the discount backdrop for distributions.

The numbers that matter

South Africa listed REIT basket distribution yields (three names, SENS filings)
5.9–8.1%

Why we think it makes money

The distributions' evidence grade is filing-grade: SENS-disclosed DPS, payout ratios and NAVs in a complete set, with all three names growing in the same year — among high-yield sectors, 'the numerator is rising' specimens are rare, and South Africa is one.

The discount gradient carries information: Growthpoint at 23%, Redefine at 25%, Hyprop at only 9% — the market has written the office-exposure versus retail-quality spread into the discounts, so readers can choose their seat inside the basket by risk appetite.

The tax characterisation is a lesson in itself: REIT distributions are not dividends (ordinary-income treatment) — computing South African in-hand figures with '20% dividends tax' is wrong, and computing them with 'no withholding' is also wrong; this site prints the unverified part as a scenario, which is how the lesson is taught.

How to actually get in

  1. Listed route: buy the three names (GRT/RDF/HYP) through an international broker with JSE access — non-residents are unrestricted and proceeds are freely remittable (exchange control binds residents). Tax execution: distributions are treated as SA-source income — before a large position, have a tax adviser confirm the non-resident filing/withholding mechanics; this site gives scenario figures only.

What it costs, what it earns

Entry amount: Listed shares, from any amount (JSE access)
How much work for you: Fairly hands-off (listed route; non-resident tax filing has friction)

Costs & taxes, item by item:

Basis: this site uses full-cost net returns only — income minus vacancy, management, maintenance, taxes and insurance, then financing interest, with entry costs in the denominator. See the methodology。

Identity & tax

Status (residency / citizenship)

金融独立许可(Financially Independent Permit,移民法 §27(f))

This asset does not count toward the channel This asset leads to no status

Threshold: 经认证净资产 ≥R1,200 万;批准时一次性向内政部缴 R120,000

买房(上市或直投)不给任何居留权。南非的钱通道与房产无关:§27(f) 金融独立许可直接给永居——净资产 ≥R1,200 万(须认证)、批准时另缴 R120,000,不要求投资、甚至不要求把钱汇入南非;审理慢(业界口径 1–3 年)。退休路线:§20 退休签证(临时、最长 4 年可续)要求养老金/年金或资产产生的保证收入 ≥R37,000/月、无工作权;另有 §27(e) 退休永居。2026 年 4 月内阁通过的移民白皮书拟以投资挂钩签证取代 §27(f)——是提案、不是法律。

Source: Intergate Immigration;南非驻外使团退休许可清单

Tax (investor level)

南非 REIT 分派不算股息:不扣 20% 股息税,而是按投资者在南非的普通(来源)收入计税——REIT 本身是导管(分派 ≥应税收入 75% 可在公司层扣除)。

  • 居民个人按边际税率申报(来源代码 4238);普通 JSE 股息则另有 20% 股息税——两个制度不要混。
  • 非居民的征收机制(SARS 登记申报 vs 中介预扣)与星南协定税率本站本轮未核实到一手来源:到手数按约 20% 有效税率的情景印(约 4.7–6.5%),不印单一协定数字(与菲律宾 REIT 页同一纪律)。

Double-tax treaties: 南非与新加坡有税收协定,但 REIT 分派的所得定性(普通收入而非股息)使协定股息条款的适用性需逐案确认——本站不预支。

Source: SARS 股息税与 REIT 税务说明(经 Moneyweb/TradeAnswers 汇编)

This section is general information only — not immigration or tax advice. Program rules change frequently; before acting, rely on the official texts and a licensed adviser.

Risks: what could go wrong

The rand and the rate cycle press in the same direction: the central bank hiked twice with inflation at 4.5% against a new 3% target — further hikes would squeeze valuations and tenants together, worsening the discount backdrop for distributions. If these happen, our take changes: Checked against the SARB's rate path and the three names' annual DPS prints.
The sovereign balance sheet: public debt of about 78% of GDP and SOE contingent risk are the common discount source for all South African assets — they explain the discount and cap its repair. If these happen, our take changes: Reviewed annually against the National Treasury's debt path and rating actions.
The payout paradigm has shifted down permanently: 82.5–87.5% is the new normal (retention funds capex) — models extrapolating the old 100% payouts are void in full. If these happen, our take changes: None (institutional fact).

What we have not verified yet

The following key figures have not yet been verified; the reason is noted for each item.

FAQ

Growthpoint at 8.1% — is it the site's best value?
Only if the currency is removed. It works like Brazil's papel funds: the high nominal distribution is the market's price for rand and rate risk, not a gift. The differences sit in evidence and numerator trend: South Africa's DPS is rising (+7.4%) while Brazilian papel payouts float with the CDI and need their indexation split. The same 'high yield plus currency bet' shape, with a more solid property part in South Africa — and the same sizing discipline: by currency position, not by yield.
Why is the in-hand figure only a scenario, not a number?
Because the tax on SA REIT distributions is not a flat source withholding; it is progressive assessment on the investor's total SA-source income — your in-hand outcome depends on your South African income scale and the collection mechanics, so no single rate exists to print. Printing an invented 'treaty rate of X%' is exactly the failure this site legislated against on its Philippines page: an honestly labelled scenario beats an unverified number. The 20% effective-rate scenario is the reference; a large position should clear a tax adviser first.
Hyprop yields only 5.9% — why is it in the basket?
It is the basket's quality pole: retail assets, low LTV of 28.5%, a payout ratio still rising (80% to 82.5%) and the basket's fastest DPS growth (+14.4%), for which the market charges only a 9% NAV discount — 5.9% buys certainty. The basket's point is the gradient: GRT/RDF for yield, HYP for steadiness, weighted by the reader's own risk budget rather than held equally by decree.

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Data dates are marked per metric; page updated 2026-11-08. This site publishes information and is not investment advice; the corrections channel is in the Disclaimer。