Steven’s View


We recently released our interim results for the period ending December 2020. In my view, it is an exceptionally good set of results, given the economic circumstances and the Covid lockdown. For me, the most exciting highlight of these results is that since the end of June 2020, we have let and secured tenants for 340,000m² of our 1 million square metre logistics real estate pipeline.


Out of this 340,000m² already let, we’re in negotiation on a large super distribution centre at our Eastport site which we’re hoping to conclude within the next month or two.


This growth is being driven by people looking for efficient supply chains in our secure logistics parks. The strategy that we embarked on several years ago of 2/3 logistics, 1/3 retail, it is starting to pay off.


We’re well on our way to our 1 million square metre target:
• We’ve rolled out completed, developed, let and sold 250,000 m²
• We’ve got just over 300,000 m² under development, including the large distribution centre at Eastport
• This leaves us with about 450,000 m² to go.


As many of you will know, we have a defensive convenience and commuter-orientated retail real estate portfolio that has shown that retail is by no means dead. Our trading density growth from 2019 to 2020 for the last six months of the year, was marginally up by 0.4%, which is a fantastic achievement, given the economic climate and the macro conditions in South Africa. Convenience / value centres which deliver the basic goods to a large majority of the population in South Africa are performing very well.


Other highlights from our interim results include our disposals. We have approximately R6 billion worth of non-core assets on hand. These include great properties that don’t meet the criteria for our prime logistics and retail strategy. As such, we’ve sold just over R1 billion worth of properties in the past six months. Additionally, we’ve got about R480 million worth of properties being held for sale and awaiting transfer. If you are interested in buying properties -small office blocks or industrial units or smaller retail assets – please contact Anthony Joannides or Marc Saks.



We’re back in the office, so you’re welcome to engage with us about any of your logistics and retail requirements. Thank you for your continued support!


Download our Interim Results presentation


Highlights from our Interim Results presentation:
• Completed and received offers for 340 000m2 of our 1.0 million m2 GLA logistics development pipeline in South Africa
• Disposed of R1.1bn of properties at above our book value with R371m held for sale
• Strong balance sheet with sufficient liquidity and LTV ratio of 38.1%
• Acquired two logistics parks in Poland with development pipeline
• Maintained the trading densities in our retail portfolio at the same level as in 2019
• Reduced our vacancies from 8.9% to 6.9% of GLA
• Solar photovoltaic installations of 3,585mWp compared to 2,808mWp as at 30 June 2020