TPL Properties sees quicker completion for Mangrove project

TPL Properties Limited’s (TPLP) flagship Mangrove project remains on schedule with no major delays and could be completed faster than initially planned, its management told analysts during a corporate briefing on Tuesday.

The company said the mixed-use Mangrove development was originally planned over a 10-12 year horizon but could now be executed within 7-9 years following a partnership with a well-known Karachi-based developer aimed at leveraging local expertise and accelerating timelines.

The management said master planning for the project has been completed, while construction of the first tower, Lagoon Views-1, began with piling work in late 2025.

The company also highlighted significant land value appreciation at the site, with prices rising to PKR 35,000 per square yard, from PKR 13,000 in December 2021, attributing the increase to TPL’s presence and development activity in the area.

On infrastructure, the management said ongoing and proposed road developments are expected to materially reduce travel time and improve connectivity to key locations, including the KPT Interchange, DHA and the Malir Expressway. These upgrades are also expected to ease congestion over the longer term, the company said.

TPL Properties held the briefing to discuss its FY25 financial results and outlook. The company reported a consolidated loss of PKR 1.9 billion, or a loss per share of PKR 3.45, for the year.

The company said its investment strategy is primarily executed through real estate investment trust (REIT) funds managed by its wholly owned subsidiary, TPL REIT Management Company Limited, while development activities are carried out by another wholly owned subsidiary, TPL Developments (Pvt.) Limited.

Looking ahead, management said dividends are expected in FY26 from the sale of the One Hoshang project, with recurring payouts anticipated from joint developments and asset disposals through 2035. Additional sizeable dividends are expected upon the completion and handover of towers under the Mangrove project.

Proceeds from land sales, including One Hoshang, will first be received by the special purpose vehicle of TPL REIT Fund 1, the company said. The fund will then declare dividends, which will flow to its shareholders, including TPL Properties.