Growthpoint Properties Limited has successfully leased both 11 Adderley Street and The Estuaries Office Park to blue-chip local and global tenants, bringing the fund’s Cape Town office portfolio vacancy rate to less than five percent.

“Actively focusing on the office portfolio throughout South Africa is a key strategic goal for us,” explains Gregg Huntingford of Growthpoint Properties. “The fact that both properties are now fully let is in line with that goal, and represents a secure income stream for our unitholders.”

Indeed, SAPOA Office Vacancy Q2 2011 data shows that Cape Town CBD currently has vacancies of 10.2 percent, while the high-demand nodes of Century City and the V&A Waterfront display vacancies of 8.7 percent and 5.7 percent, respectively.

The revamped 11 Adderley Street was acquired by Growthpoint as part of its 2007 Paramount deal.

“Growthpoint acquired the property, as part of the portfolio, with no tenants, during a period of uncertain economic growth,” says Huntingford. “Nonetheless, its location and quality ensured successful leasing to blue-chip tenants.”

Situated in the heart of Cape Town’s vibrant and historical CBD, the building offers Manhattan-inspired style and proximity to restaurants, shopping and transit.

As part of the larger Grand Parade redevelopment – which saw 10,000m² of retail and 22,500m² of office space rejuvenated – the building took two years to re-develop and two years to lease.

Key tenants are MIH Internet Africa, a division of the Naspers Group, which took up 7,000m²; and leading global outsourced contact centre provider Teleperformance, which occupies 3,500m².

Growthpoint has also successfully leased its six office blocks at The Estuaries Office Park in mixed–use Century City.
 
Listed business and IT solutions provider EOH has 2,500m² of space, along with international financial services provider S1, which occupies 3,200m². Other major tenants include global insurance specialist Chartris with 1,000m² and IT solutions firm Paracon’s 900m² local office.

“One of the major selling points was the flexibility of space available,” adds Huntingford.

“We were able to offer space between 500m² and 3,500m² and even combine or link individual premises where needed.”

In addition to a superb location within one of Cape Town’s fastest growing office nodes, The Estuaries offers occupants a seamless connection with both the urban and natural environment, exceptional security and ample parking at four bays per 100m².