Empowerment companies will improve their share of expenditure by Old Mutual Properties on services for buildings in the company’s portfolios to 56% in 2004.

The value of successful tenders for cleaning, pest control, waste management, hygiene, security and landscaping services for the portfolios in 2004 totalled R49,8 million,  says Richard Murphy, head of the facilities management division of Old Mutual Properties.

“Of that total, R28,1 million will accrue to empowerment companies.  This will be for services required for commercial, industrial and retail properties in Gauteng, KwaZulu/Natal and the Eastern and Western Cape,“ he says.

“The largest percentage increases in BEE spend were achieved in KwaZulu/Natal and Western Cape, with a virtual doubling of expenditure.  There was a 27% increase in BEE spend in Gauteng, the largest of the portfolios.”

Murphy says the increased spend has resulted in the creation of 1 213 jobs across all regions on contracts. The biggest items on the services budget in the portfolios are cleaning and security and empowerment companies had significantly increased their share of these categories with latest tenders.

“There was also a notable increase in the share of landscaping services in Gauteng, where BEE spend in 2004 will treble to more than R1 million.”

ends

ISSUED FOR Old Mutual Properties

BY   Michael Kerkhoff & Associates

INQUIRIES Richard Murphy 021-530-4547

                    Mike Kerkhoff 021-424-5280