| Wed 24 Oct 2007, 9:48 | | SAC - SA Corporate Real Estate Fund Buys 25% Stake |
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SAC
SAC
SAC - SA Corporate Real Estate Fund Buys 25% Stake In Namibia`s ORYX
Properties Limited
SA Corporate Real Estate Fund
(formerly Martprop Property Fund)
(Incorporated in the Republic of South Africa)
Share Code: SAC & ISIN Code: ZAE000083614
A Collective Investment Scheme in property registered in terms of the
Collective Investment Schemes Control Act, No. 45 of 2002 and managed by SA
Corporate Real Estate Fund Managers Limited
(formerly Marriott Property Fund Managers Limited)
(Registration number 1994/009895/06)
("SA Corporate")
SA CORPORATE REAL ESTATE FUND BUYS 25% STAKE IN NAMIBIA`S ORYX PROPERTIES
LIMITED
SA Corporate Real Estate Fund has acquired a 25% stake in Oryx Properties
Limited, the second biggest primary listing on the Namibian Stock Exchange.
The acquisition of 14 109 055 Oryx units has been funded by the issue of 43
135 554 SA Corporate units to the vendors, says Craig Ewin, CEO of SA
Corporate and head of listed real estate at Old Mutual Investment Group
Property Investments.
He says the acquisition follows approval by the SA Corporate board in August
of a strategy to invest up to 5% of the portfolio value in property assets
elsewhere in Africa which offer acceptable returns and sovereign and property
risk levels.
"The opportunity to invest in Oryx arose recently and matched these criteria
perfectly. The deal, which will be earnings neutral for SA Corporate in year
one, provides a platform for further expansion into Africa".
A property loan stock company, Oryx holds a N$727 million portfolio of 19
Namibian properties.
Ewin says Oryx has shown solid growth in distributions since its listing in
December 2002 and has sound fundamentals for the future, with 93% of its debt
fixed at low rates and an excellent 99% tenancy level.
Ewin says most of the portfolio is located in Windhoek, the engine room of the
stable Namibian economy. Retail at 62% constitutes the bulk of the portfolio,
with industrial warehousing and showrooms accounting for 26% and a small
office component for 12%.
The portfolio flagship is Maerua Mall, a 48 027m2 regional shopping centre
which is the dominant retail offering in Windhoek.
SA Corporate is underweight in regional shopping centres and this provides an
increased exposure through a top quality mall. Ewin says Maerua Mall, where
more than 80% of the tenants are South African national brands, has performed
well in recent years.
"There is further interest from South African retailers for a presence there."
Ends
Durban
24 October 2007
Sponsor
Nedbank Capital
Date: 24/10/2007 09:48:52 Produced by the JSE SENS Department.
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