With the release of FY24 results, we maintain our buy recommendation on Redefine Properties Limited (RDF) and upgrade our intrinsic value from R4.60 to R5.50. In the results, the following was highlighted:

• The South African Real Estate Investment Trust Net Asset Value (SA REIT NAV) increased from 766 to 788 cents per share primarily driven by property valuation uplifts.
• Distributable Income Per Share (DIPS) was down 2.90% to 50.02 cents per share, at the midpoint of FY24’s guidance (-7% to +1%). The main driver was funding costs.
• The SA REIT loan-to-value (LTV) increased from 41.1% to 42.3% with the main drivers being capex and acquisitions in the year.

Our research supports a buy recommendation.