When people talk about REITs in the Philippines, AREIT Inc. almost always comes up first. That’s because it’s the very first Real Estate Investment Trust listed on the Philippine Stock Exchange (PSE), launched back in August 2020. Backed by the Ayala brand, AREIT has quickly become one of the most talked-about REITs for investors who want a steady source of dividends.
But is AREIT worth investing in for 2025 and beyond? Let’s break it down.
What is AREIT?
AREIT Inc. is a Real Estate Investment Trust sponsored by Ayala Land, Inc. It owns and manages a portfolio of Grade A office buildings, malls, and commercial spaces, mostly located in key business districts like Makati, Taguig, and Cebu.
In simple terms, when you buy shares of AREIT, you’re indirectly investing in Ayala Land’s rental properties and earning a share of the income from tenants.
AREIT’s Portfolio
As of 2025, AREIT’s portfolio includes:
- Ayala North Exchange (Makati)
- McKinley Exchange Corporate Center (Taguig)
- Vertis North Corporate Center (Quezon City)
- Several Cebu properties through recent acquisitions
The portfolio continues to expand as Ayala Land transfers more income-generating properties into AREIT, which helps support dividend growth.
Dividend Performance
One of the main reasons investors love AREIT is its consistent dividend payouts. By law, REITs are required to distribute at least 90% of their distributable income to shareholders.
For AREIT, that has translated to:
- Regular quarterly dividends
- Dividend yields ranging around 5%–6% annually, depending on the share price
This makes AREIT attractive to investors who are looking for passive income, especially retirees or those who want stable cash flow.
Pros of Investing in AREIT
- Strong backing from Ayala Land, one of the biggest developers in the Philippines
- Diversified portfolio of office and commercial properties in prime locations
- Consistent dividends since listing
- Potential for growth as more properties are infused into the trust
Risks to Consider
Of course, no investment is risk-free. For AREIT, some things to watch out for are:
- Market volatility – The stock price can go up and down depending on investor sentiment.
- Office demand changes – With hybrid work setups, the demand for office spaces may fluctuate.
- Interest rate environment – Higher interest rates can make REITs less attractive compared to bonds.
How to Invest in AREIT
You can buy shares of AREIT (PSE: AREIT) through any online stockbroker in the Philippines, such as COL Financial, BDO Securities, or First Metro Sec. The minimum investment is usually 1 share, but many investors prefer to buy in lots of 100 shares to make it worthwhile.
Should You Invest in AREIT?
If you’re looking for steady dividend income backed by one of the most reputable property developers in the country, AREIT is definitely worth considering. It may not give you explosive growth like speculative stocks, but it offers stability and regular cash flow—which is exactly what many investors want.
Blogger’s Corner
Personally, I see AREIT as a core REIT holding for Filipino investors. It’s backed by the Ayala brand, has a growing portfolio, and pays consistent dividends. If you’re new to REIT investing, AREIT is a good place to start.
If you want to explore other REIT options, check out my full guide here: Best REITs in the Philippines to Invest In (2025 Edition)