Fortress REIT Secures Vodacom as Tenant at New Louwlardia Logistics Park Development
Vodacom to take occupancy of state-of-the-art 17 000m2 which will be used to store equipment needed to support and maintain its network.
Fortress REIT Limited, the diversified property group, has secured Vodacom as a major new tenant at its Louwlardia Logistics Park development in Centurion for a period of five-years, a major coup for the company, which also has We Buy Cars and Goldwagen Car Parts as tenants at the same facility.
Vodacom will take occupancy of a brand new 17 000m2 warehouse at Louwlardia on 1 November, which it will use as a central storage facility for the equipment used to support and maintain its mobile network. The state-of-the art warehouse has a 15m eaves height and an ultra-flat FM2 floor, which provides the ideal platform for smooth and efficient movement of mechanised logistics machinery as well as Vodacom’s substantial racking needs.
“It’s certainly a major accolade to have secured a blue chip tenant of Vodacom’s stature and proves to us that our investment in the Louwlardia facility was an astute move,” said Nico Prinsloo, Development Manager at Fortress. “We’ve managed to secure Vodacom for a period of five years with an option to renew for a further five years if they are satisfied with the site, which we are very confident will not only meet, but exceed, their expectations.”
Fortress purchased the 16.8ha Louwlardia site, situated on the corner of Olievenhoutbosch road and Nellmapius drive, in 2015 and has since developed three large warehouses while still retaining space for a possible fourth development. These include a 33 000m2 warehouse facility (currently used by Goldwagen); a 23 600m2 facility with We Buy Cars as a tenant; and the soon-to-be completed warehouse to be occupied by Vodacom. Prinsloo says the site still has enough vacant land to comfortably accommodate another 14 000m2 facility should Fortress decide to proceed with additional warehouse development.
“One of the big attractions of the Louwlardia Logistics Park is its location in Centurion, which puts it right at the nexus of the highway network in central Gauteng and allows for quick and easy access to either Sandton, Johannesburg, Midrand, Pretoria or beyond,” said Prinsloo. “It is also located in a secure business park with perimeter fencing that is monitored by security and 24-hour access control, making it a particularly desirable location for corporates with large scale warehousing requirements.”
Fortress is currently developing six new logistics properties and one retail facility with a combined total gross lettable area (GLA) in excess of 154 000m2 at a cost of R1.5 billion. This forms part of a deliberate strategy to expand its logistics-focussed asset base to approximately two thirds of its total portfolio by 2020, a rebalancing process designed to capitalise on where it sees greater growth opportunities in the foreseeable future. The Johannesburg-based REIT currently owns 100 logistics-focussed properties, comprising about 42% of its total portfolio. The remainder includes retail (35%), industrial (13%) and office (10%) properties. Its post-2020 ambition is to have an overall portfolio mix comprising two-thirds logistics and one-third commuter-focussed, rural retail properties.