Nick Wilson

METBOARD Properties, the industrial-focused listed property loan stock company, says it has undertaken two client-driven developments totalling R16m for tenants Scania SA and Grundfos.

Metboard says that Scania SA approached it to provide premises on which it could operate a truck-servicing facility, in addition to its existing assembly facility in Aeroton, which is owned by Metboard.

The company says that it identified premises within its portfolio that could be redeveloped to meet Scania’s needs, and asked Investec Property Group’s property projects division to manage the development.

The site is part of the Hilltop Industrial Park in Elandsfontein.

Tyrone Govender, executive director of Metboard Properties, says the R12m development will unlock value from Metboard’s existing portfolio, and contribute to growing rental streams at Hilltop Industrial Park.

Hilltop Industrial Park is about 137000m², and has a gross lettable area of 63000m². The new premises will cover 5000m², which includes a workshop and an office, with the remainder forming a functional yard.

Demolition of the original site will begin next month. Occupation is expected in October.

Scania will have exclusive use of the entire premises on an initial five-year lease, with two five-year renewal options.

Metboard says Grundfos approached it to extend its existing premises to accommodate offices and a training facility. The 1000m² extension has already begun, and is expected to be completed in May.

Grundfos is an existing tenant of Metboard with a 2866m² building adjacent to the N12 highway in Meadowbrook.