Malaysia’s Hotel And REIT Industry Poised To Get A Lift (The Star)
March 29, 2022 – The reopening of international borders this Friday is set to be a boon especially for hotel and retail real estate investment trusts (REITs) players, which has been hit hard by the pandemic.
MIDF Research in a report yesterday said the reopening of country borders, which have remained closed for two years, is expected to stimulate tourism activities in Malaysia.
“As a result, we expect the hotel industry to see the light at the end of the tunnel, as this segment has been heavily reliant on tourism activities.
“In this context, we expect REITs with exposure to the hotel industry, namely Sunway REIT and KLCCP Stapled Group, to see a turnaround in the hotel segment in the second half of 2022.”
Additionally, the research house said malls that are tourist hotspots such as Pavilion KL and Suria KLCC should also benefit from the reopening of country borders, as shopper footfall at malls is expected to improve.
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