The portfolio includes the recently completed iconic office building, valued at R352 million, at 30 Jellicoe Avenue in Rosebank, which is strategically located in the heart of Rosebank, close to the Gautrain. The building boasts a strong tenant mix with Fluxmans Attorneys, as the major tenant, with another key tenant being Standard & Poor's. This boosts the fund's existing presence in the strategically important Rosebank business node, as it already owns The Firs retail and offices. The second office property is 34 Ingersol Road, Menlyn, Pretoria, leased to ADvTECH, a leading listed education and recruitment group.
An exciting addition to the Fund's retail portfolio is the recently refurbished Fleurdal Mall, a well-established retail mall that is dominant in the southern suburbs of Bloemfontein. The centre is fully let with a total GLA of 24,370m2 and is easily accessible from the N1 highway. The mall is anchored by Checkers Hyper and has an attractive tenant mix with 85% of tenants comprising national retail chains including the Pepkor Group, Mr Price Group and Foschini Group.
The two industrial properties are 52 Jakaranda Road, Hennopspark (Centurion) tenanted by RMD Kwikform, a subsidiary of the FTSE listed Interserve and Caterpillar's premises at the corner of Diesel Road and Industrial Roads, Isando.
Sam Leon, CEO of the Investec Property Fund said, "This significant portfolio acquisition underscores the Fund's consistency in investing in long term sustainable real estate with capacity for growth while at the same time being defensive to economic headwinds. The acquisitions also reinforce the value to the Fund of the Investec connection."
The transaction will see Investec Bank's shareholding increase to from 29% to 34.9%. This is a show of support to the Fund as the Bank had recently sold down its shareholding from 50% in order to create capacity to support future growth.
