Investec Property Fund on Tuesday agreed to buy a portfolio of 26 properties for an aggregate acquisition value of R7.1-billion from developer Zenprop.
The portfolio consists of 12 office properties‚ 11 industrial properties and three retail properties.
The acquisition almost doubles the size of the fund’s existing portfolio‚ resulting in an increase in the asset base from R9.7-billion (post the Griffin acquisition which is expected to complete later this month) to R16.4-billion.
With a gross lettable area of 397‚273 square meters‚ the portfolio acquisition increases the fund’s total lettable area by 42%.
Investec Property Fund CEO Nick Riley said‚ “The Zenprop transaction presented a rare opportunity for the fund to acquire an iconic property portfolio that is unique in terms of location‚ quality and scale‚ underpinned by high quality tenants with very strong lease covenants and long term leases.”
The portfolio includes several iconic office buildings‚ including Protea Place in Sandton and Sandown Valley Crescent.
The acquisition also brings in an industrial portfolio that includes several properties located within the highly sought after Riverhorse area‚ and industrial properties in Elandsfontein‚ with close proximity to OR Tambo International Airport.
The three retail centres acquired as part of the portfolio include the Newcastle Mall‚ a regional shopping centre in KwaZulu-Natal’s third most populous city‚ and Zevenwacht Village centre‚ situated between Stellenbosch and Cape Town.
The transaction is subject to shareholder and Competition Commission approvals.
Investec Property Fund acquires Zenprop portfolio for R7.1-billion
Investec Property Fund on Tuesday agreed to buy a portfolio of 26 properties for an aggregate acquisition value of R7.1-billion from developer Zenprop.
The portfolio consists of 12 office properties‚ 11 industrial properties and three retail properties.
The acquisition almost doubles the size of the fund’s existing portfolio‚ resulting in an increase in the asset base from R9.7-billion (post the Griffin acquisition which is expected to complete later this month) to R16.4-billion.
With a gross lettable area of 397‚273 square meters‚ the portfolio acquisition increases the fund’s total lettable area by 42%.
Investec Property Fund CEO Nick Riley said‚ “The Zenprop transaction presented a rare opportunity for the fund to acquire an iconic property portfolio that is unique in terms of location‚ quality and scale‚ underpinned by high quality tenants with very strong lease covenants and long term leases.”
The portfolio includes several iconic office buildings‚ including Protea Place in Sandton and Sandown Valley Crescent.
The acquisition also brings in an industrial portfolio that includes several properties located within the highly sought after Riverhorse area‚ and industrial properties in Elandsfontein‚ with close proximity to OR Tambo International Airport.
The three retail centres acquired as part of the portfolio include the Newcastle Mall‚ a regional shopping centre in KwaZulu-Natal’s third most populous city‚ and Zevenwacht Village centre‚ situated between Stellenbosch and Cape Town.
The transaction is subject to shareholder and Competition Commission approvals.
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