Total standing portfolio rental increased by 7.3% due to solid lease escalations, improved tenant retentions and reduced vacancies. Vacancy as % of rental income reduced to 2.9%

Industrial standing portfolio rental growth was 8.2%. Retail rental income for the standing portfolio increased by 7.3% whilst the commercial standing portfolio income growth was 4.5%.

Property expenses increased by 6.6% compared to June 2013 due to acquisitions, with the standing portfolio expenses, accounting for 93.3% of total property expenses, increasing by 3.6%.

Change in property manager from 1 July 2013 led to savings in property management fees during the first half of 2014 of 21.0%.

Property expenses, excluding property management fees, increased by 5.7%. Overall NPI increased by 16.3% largely attributed to an increase in gross income (including turnover and recoveries) of 7.8% with a 3.6% increase in expenses.

SA Corporate Real Estate Fund boosted its portfolio by acquiring 4 properties for R277,6m. The fund is contracted to acquire 2 properties and 1 portfolio for R1,1bn.

The value of the Fund's independently valued property portfolio increased by R539,7m (6.1%) to R9,4bn as at June 2014 (December 2013: R8,9bn). The standing portfolio, representing properties not under development, held for the full 12 months to June 2014, increased by R235,8m (2.8%) from December 2013 and R582,6m (7.2%) from June 2013.