ApexHi Properties Limited
News Release
ApexHi Properties Limited has acquired a further 74 high-yielding properties
for R496,4-million, boosting the portfolio value to more than R1,6-billion.
The properties, which include 41 commercial and retail properties from
Nedcor Bank, were acquired for a combination of R185-million in cash and the
issue of 25 536 673 'A' units and the equivalent number of 'B' units.
ApexHi CEO Gerald Leissner says the new acquisitions will enhance earnings,
with the total property portfolio expected to yield a net income of R288-
million per annum.
The portfolio now comprises 181 buildings, covering a total GLA of more than
1,2-million square meters, with office space making up 54% of the total
space, retail 27%, and industrial space comprising 19% of the total space.
The acquisitions will enhance the lease expiry profile, with the average
length of office lease improving from three years to four years. In
addition, the risk profile of the portfolio has been reduced by further
reducing the exposure of the portfolio to any one property.
More than 70% of the income will accrue from leases with A-grade tenants
such as government departments, major listed companies and professional
firms, further reducing risk.
The additional borrowings increases the company's debt to R545,7-milion,
which has been fixed for two and three year periods. The borrowings after
the acquisitions equates to 33% of the cost of ApexHi's property portfolio.
It is the objective of the company to achieve its stated earnings and
continue to grow the size of the portfolio.
Ends
For further information:
Gerald Leissner / Brian Azizollahoff
ApexHi
(011) 442-3111
Issued by:
Sandra Mason
DiagonalStreet Communications
(011) 880-2271
Date: 20 February 2002
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