Another REIT is on the way. This time its from Cosco Capital, the holding company behind retailers Puregold and S&R. While we don’t have details, its quite obvious that the properties will be related to the supermarket business.

It will be good for investors to have another non office REIT for diversification. The other candidate was SM Prime although they have deferred their IPO due to weak market conditions. I will be looking forward to reading Cosco’s REIT prospectus and see what’s on offer. Given that Puregold has more than 400 locations, this REIT could have a strong growth potential. We may also see the inclusion of logistics and industrial related properties in this REIT given that Cosco also owns Keepers Holdings, a listed liquor distributor and Pure Petroleum, a fuel terminal in Subic Bay.