Martprop buys more in Gauteng

Posted On Wednesday, 04 October 2006 02:00 Published by eProp Commercial Property News
Rate this item
(0 votes)

Listed property unit trust Martprop Fund said on Tuesday it had acquired both an office and an industrial property in Gauteng for a total outlay of R65,5m. 


Property-Housing-ResidentialMD Roger Perkin said both properties were earnings-enhancing "in terms of their initial yield. "We see the office sector starting to show good opportunity in terms of rental growth and capital growth. With all the supply (of offices in Gauteng) being absorbed, we are going to see good rental growth in the office sector and believe there are good opportunities."

He said the industrial property bought had strong leases and low rentals. "We believe the contractual rentals in place are below market rentals and there will be upside when we renew the leases or sign new leases," said Perkin.

Martprop, which has a property portfolio worth R2,6bn, said the larger of the two acquisitions was an industrial property in Pretoria.

The 28,538m? property is occupied by Nampak Tissue and Biddulphs Removals & Storage SA on five-year leases extending to 2010 and 2011, respectively. Perkin said the Nampak premises covered 25,149m? of warehouse, factory and office space and was used for the manufacturing and distribution of tissues, hygiene and foil products, as well as baby nappies.

Biddulphs uses its portion of the premises for storage and distribution.

The total acquisition price for the property was R32,5m. The office property, acquired for R33m, is occupied by Absa Bank in Midrand and covers 3000m?.

Perkin said the industrial property acquisition would boost its exposure to industrial property in Gauteng. About 60% of Martprop's industrial portfolio is based in Durban and about 35% in Gauteng.

Last modified on Monday, 05 May 2014 10:05

Most Popular

GMI Property Group adds a New Mall to its Stable: Bronkhorstspruit Mall

Jul 21, 2022
GMI Properties Group announces the development of the much-anticipated Bronkhorstspruit…

Equites Property Fund and Mabel conclude B-BBEE transaction

Jul 21, 2022
Andrea Taverna-Turisan
The JSE listed specialist logistics property fund, Equites, today officially announced…

The growing take-away and fast food, and food delivery, culture

Jul 20, 2022
Restaurant and Take-Aways data for May 2022
Restaurant and Take-Aways data for May 2022 points to “solid but slowing” growth in…

The rapidly rising cost of living is reflecting in residential rentals

Jul 21, 2022
TPN Graph-Rental Demand
Demand for residential rental properties saw some recovery in the first quarter of 2022…

Despite hike, interest rate remains below pre-Covid levels, says Dr Andrew Golding

Jul 21, 2022
Dr Andrew Golding
With the inflation outlook deteriorating since the previous Monetary Policy Committee…

Please publish modules in offcanvas position.