UPDC Real Estate Investment Trust Extraordinary General Meeting to confirm SFS Capital Nigeria Limited as Fund Manager, held at the Art Hotel, Victoria Island, Lagos on Wednesday.
SFS Capital has been appointed as the new fund manager for UPDC Real Estate Investment Trust (REIT) Plc, in a move aimed at strengthening the real estate investment trust’s portfolio performance and unlocking new capital opportunities.
This appointment positions SFS Capital, a Security Exchange Commission-licensed asset management firm, at the helm of UPDC’s fund operations as the company seeks to revive investor confidence and scale growth across its property assets.
Speaking on the appointment, at a general meeting held in Lagos on Wednesday to present unitholders with the opportunity to formally ratify the appointment, the Managing Director/Chief Executive Officer, SFS Capital Nigeria Limited, Mr. Patrick Ilodianya said the firm’s priority is to instill discipline, integrity and transparency in how UPDC’s capital is deployed while upholding unitholder’s interest.
Ilodianya revealed that having took over the funds, the rental income revenue grew by 82.8% year on year reflecting the underlying contractual rent dynamic and improved performance across the portfolio.
He said, SFS Capital has built a reputation for managing fixed income, equity, and real estate-linked funds with a focus on risk-adjusted returns, adding that, the firm’s approach combines data-driven investment analysis with active portfolio management, a model that UPDC is banking on to navigate the current economic climate.
While upholding the appointment, the CEO said, “this appointment is the outcome of deliberate and rigorous process led by the Trustees. Following the resignation of Stanbic IBTC Asset Management, six fund managers applied and were assessed against SEC-mandated criteria, including track record and forward strategy for UPDC REIT, but SFS Capital emerged as the preferred candidate.”
Ilodianya, highlighted the fund’s extraordinary performance. He emphasised the unprecedented dividend payout, which has surged as compared to previous figures, adding that, “such growth remains one of the strongest first quarter result since inception.”
Detailing the financial triumph, Ilodianya explained that, “we effectively took over this fund on the Ist of January 2026. In the first quarter alone, a total revenue reached N1.027billion, one of the highest quarterly revenues in UPDC Trust’s history. Rental income grew by 82.8% year on year, reflecting the underlying contractual rent dynamics and improved performance across the portfolio.
“Net distributable income rose 36.4%. in March 2026, our GCR credit rating was upgraded to A(NG), with a positive outlook, an independent endorsement of the Trust’s underlying strength. NAV per unit close the quarter at N13.58, reflecting the underlying asset value independently determined by the trust’s valuers,” Ilodianya explained.
He added that, “Our capital active expenditure programme across all six properties, designed to unlock the full rental potential of each asset is projected to grow distributions to unitholders in a consistent, continuous and compounding manner year after year to sustain its peak value with no foreseeable decline.”
SFS Capital is expected to oversee the management of UPDC’s investment portfolio, including property acquisitions, disposals, and development projects. The goal is to improve asset yields, enhance liquidity, and attract institutional and retail investors looking for stable, long-term exposure to Nigeria’s real estate sector.
The Managing Director, however, underscored the need for every investment platform to have a Real Estate Fund Management Specialists.
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He said, “Real estate in Nigeria has fundamentals that remain strong, but you need active management and rigorous analysis to convert that into consistent returns. Anyone who wants to bring real estate into the capital markets whether as a REIT, a fund, or a pension-eligible investment vehicle needs a specialist.”
He commended the SEC for its guidance, the trustees for their confidence, the outgoing fund managers, Stanbic IBTC Asset Management for the professional handover and unitholders for their continued confidence.
Earlier, the Head, Trust Finance, United Capital Trustees, Mr. Ezekiel Folahan, said the development reflects a broader shift towards professional and performance-oriented asset management in the capital markets
He said, “The move for SFS Capital PLC is a positive step for the industry and it will promote new innovation in how real estate funds are structured and managed while also fostering sustainable growth for investors and enhance transparency, improve regulatory standard and encourage more discipline capital allocation within UPDC’S Portfolio. United Capital Trustees, oversees trust arrangements for several listed and private funds, and plays a key role in safeguarding investor interests.”
“We are looking at the growth of the fund. Over the years the fund has been recording profits and making good returns to the units’ holders. We are ensuring that the regulatory body did not sanction the REITs and fund managers; the reason for our effective monitoring,” he added.
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