The group recorded headline earnings per combined unit of 399 cents, from 419.7 cents earlier.

Hyprop said its Net Asset Value (NAV) excluding deferred taxation of R53.16 per combined unit was up 7%, and total assets of R10.8 billion, up 14%.

Revenue was up to R923.65 million, from R781.34 million previously, and headline earnings reached R662.82 million, from R697.11 million previously.

Hyprop reported market capitalisation of R7.6 billion, up 9%.

"Based on the board's assessment of current economic conditions, Hyprop's distribution for the financial year ending December 31, 2010 will be between 355 cents and 359 cents per combined unit, an increase of between 8% and 9,5% on the distribution for 2009," the group said.

Countering tough economic conditions Hyprop said its had successfully completed its R633 million expansion plan that saw all new stores in Canal Walk and The Glen Shopping Centre opened for trade, and the opening of the Southern Sun Hyde Park Hotel atop the centre's parkade.

The group also began preparing for its 2010 revitalisation of the Mall of Rosebank through strategic land acquisitions in close proximity to the centre, it said.

CEO Mike Rodel pointed to a like-for-like basis compared to 2008 (excluding Stoneridge and the new retail space at Canal Walk and The Glen) with revenue and earnings at the shopping centres up 11% and 12%, respectively. Total revenue increased 20% year-on-year.

Rodel said that focus on lease renewals and extensions ensured that high occupancy levels were maintained with the portfolio 96% let. "Excluding Stoneridge, vacancies at year-end stood at only 1,9%," said.

The chief executive highlighted Hyprop's strong balance sheet with gearing at only 13% - "still low despite further financing for the completion of the 2009 developments and funding of the acquisitions in the Rosebank node".

Looking ahead Hyprop said it anticipated a boost to its bottom line going forward with cost savings flowing from the re-negotiated relationship with its former asset and property managers, Madison (now Redefine). The new consultancy agreement is on a fixed-fee basis of R1.5 million a month for 18 months from January 2010.

Rodel said Hyprop would continue concentrating on the fundamentals of retail property management to sustain future growth, and concluded that growth in distributions should continue for the 2010 financial year at around 9%.

The group pointed to a cautionary announcement released by Redefine Income Fund on 1 March 2010 advising that Redefine is in negotiations to potentially increase its stake in Hyprop.

Redefine currently owns 55,323,970 Hyprop combined units comprising 33.3% of Hyprop's issued combined units.