Shopping malls under the hammer
Following the liquidation of the group of companies owned by the Theodosiou brothers Tony, Dimitri and Sedrick, two major Johannesburg shopping malls, previously valued at R700 million, will go on auction on 30 March 2011 at The Hilton Hotel, where bidders from around the world are expected to attend what is being billed as the largest auction in South African property history.
Bel Air Mall
According to auctioneers, Auction Alliance, there is significant interest in the two cash-generating centres, the 30 000m² Lonehill Shopping Centre and the 20 000m² Bel Air Mall in North Riding, and since the liquidation application, the centres have in fact appreciated in value due, in part, to lower interest rates and the liquidators, who have taken control of tenants and rental income.
"The Bel Air Mall, which was constructed for over R300 million, lost tenants, particularly on its upper floor, but it is a modern and attractive centre on a busy corner intersection and is anchored by a large Superspar, a Clicks and other national tenants," says Auction Alliance director, Shaie Zindel.
It is also rumoured that Virgin Active, which rents a site in the Lonehill Mall, will be opening in the newly built North Riding centre but that has been neither denied nor confirmed by the liquidators.
The Lonehill Mall is well let and enjoys massive local demand with many national tenants including Pick n Pay, Woolworths, CNA and the Virgin Active. "The centre has been extensively renovated since 1999 and may include an adjacent office block complex," adds Zindel.
