VKE
VKE
VKE-Vukile- Increases distribution again, continues to enhance portfolio quality
VUKILE PROPERTY FUND LIMITED
(Incorporated in the Republic of South Africa)
(Reg no. 2002/027194/06)
JSE code: VKE
ISIN: ZAE000056370
VUKILE INCREASES DISTRIBUTION AGAIN, CONTINUES TO ENHANCE PORTFOLIO QUALITY
Johannesburg, 25 May 2007 - Property loan stock company Vukile today reported
a 16% increase to R214.8 million in net profit available for distribution for
the year to 31 March and posted a 14% rise to 41 cents per linked unit in the
final distribution for the last six months, making the total for the year 76.75
cents per linked unit, an increase of 12% over the previous year.
Net asset value increased by 20% to 803 cents per linked unit year on year while
the valuation of the company`s property portfolio rose by 14% to R3.86 billion
over the latter half of the year. The company said it had enhanced the quality
of its portfolio in the course of the year through acquisitions and developments
totalling some R300 million and the disposal of non-core properties to the value
of R400 million. The vacancy level in the portfolio has been reduced from 4.4%
a year ago to 2.9%.
A highlight of the last quarter was the final acquisition of 100% of MICC,
despite a rearguard action by an individual objector, and that company`s
subsequent delisting. The cost and synergy benefits envisaged when the
acquisition process started two years ago can now be fully realised.
Chief executive Gerhard van Zyl said the fundamentals for the property sector
remained strong, as evidenced by low vacancy levels, robust distribution growth
and the general buoyancy of the economy. While interest rates had increased
they were still relatively low and with demand remaining strong, it was likely
that the upward pressure on rentals would be sustained.
"Given this positive trading environment, Vukile`s own plans for growth through
new acquisitions and the further upgrading and expansion of existing properties,
and our various cost-cutting initiatives, we are budgeting for growth in
distribution broadly in line with that achieved for the past year," he said.
For further information call Gerhard van Zyl, CEO Vukile Property Fund Limited
on (011) 288 1002
Issued by du Plessis Associates on behalf of Vukile Property Fund Limited.
dPA contact Helen McKane Tel : +27 11 728 4701, Fax: +27 11 728 2547, Mobile:
082 330 2034 or e-mail: vukile@dpapr.com www.vukileprops.co.za
Date: 25/05/2007 13:28:01 Produced by the JSE SENS Department.
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