MD Paul Theodosiou said on Friday this year had been a “fairly tough year because of the general stress on the economy”, and that the distribution growth was “in line with earlier expectations”.

A total distribution per linked unit of 244,06c was declared, compared with a distribution of 221,11c the previous year.

Theodosiou said the company’s property vacancy factor was relatively low at just more than 2% across the portfolio. Although this was low, he said Acucap needed to “watch it closely and keep the vacancy low through consistent renewals (of leases)”.

About 70% of Acucap’s property portfolio consists of retail property, while offices make up 28% of the portfolio. Industrial property accounts for only 2% of the portfolio. Acucap’s property portfolio is valued at about R5bn and it has a market capitalisation of just more than R4bn.

It also owns about 18% of listed property unit trust Sycom and still has plans to ultimately merge the fund with Acucap. “We will continue to look at a solution that makes sense for all sets of shareholders,” said Theodosiou. Acucap and listed property loan stock company Hyprop Investments, which owns just under 40% of Sycom, are the major unitholders in the fund.

As far as property acquisitions were concerned during the period under review, Theodosiou said the main acquisition for Acucap had been a further 50% interest in Bayside Mall for R287m. Acucap already owned 50% of the mall.

“It is a good quality asset that we already know, having managed it and it has development potential,” he said. Although many commentators have mentioned the retail downturn and its negative effect on retail property in SA, Acucap’s portfolio appears to be resilient in difficult economic times.