MREIT Inc., the real estate investment trust (REIT) of Andrew Tan-led Megaworld Corp., has secured the Securities and Exchange Commission’s (SEC) approval for the fourth wave of its property-for-share swap transaction worth ₱16.2 billion.

This paves the way for MREIT to proceed with the acquisition of nine grade A office buildings located in McKinley Hill, Taguig City, from its sponsor, Megaworld, as the latest phase of its portfolio expansion strategy.

The assets are set to contribute to MREIT’s income retroactively from Jan. 1 this year, enabling investors to immediately benefit from the acquisition.

The Wave 4 transaction involves the infusion of nine office buildings with a combined gross leasable area (GLA) of about 165,500 square meters (sqm), all located within Megaworld’s fully integrated McKinley Hill township.

The transaction will be carried out through a property-for-share swap amounting to ₱16.03 billion, with the remaining balance of ₱187.5 million in cash.

These assets are anchored by high-quality multinational tenants and feature a strong occupancy rate of 97 percent as of end-2025.

More than 80 percent of the portfolio is leased to global capability center (GCC) tenants, which are typically characterized by long-term mandates, deeper operational integration, and lower relocation risk.

The acquisition will significantly expand MREIT’s portfolio scale, increasing its GLA by approximately 34 percent to around 647,000 sqm, while further strengthening the quality and stability of its tenant base.

“This approval marks another important milestone in MREIT’s growth journey. Wave 4 represents a key step in scaling the platform while maintaining our focus on disciplined and accretive expansion,” said MREIT Chairman Kevin L. Tan.

The Wave 4 transaction was announced in December 2025 and was executed at a 15-percent premium to MREIT shares’ 30-day volume-weighted average price (VWAP), reflecting the quality of the assets and the strength of the underlying tenant profile.

This structure minimizes dilution to existing shareholders and provides additional room for MREIT to grow its dividends per share.

Following the completion of Wave 4, MREIT is preparing for its next round of asset infusions, Wave 5, which is expected to begin the company’s diversification into retail properties, starting with several mall assets targeted for the second half of the year.

Subject to due diligence, valuation, and regulatory approvals, this next wave of acquisitions is expected to further expand the company’s portfolio and broaden its asset mix beyond offices.

Wave 5 is targeted to bring MREIT’s portfolio scale to approximately 750,000 sqm of GLA, marking another step toward the company’s target of one million sqm of GLA by 2027.

MREIT’s visible expansion pipeline is supported by Megaworld’s extensive portfolio of stabilized, income-generating properties and reinforced by the broader property portfolio within Alliance Global Group, providing the company with a strong sponsor-backed platform for continued growth.