Some 45% of the total acquisitions this financial year have been industrial properties, increasing the industrial sector of the ApexHi portfolio from 17% in July 2006 to 21% today. The industrial sector of the portfolio boasts a low vacancy level of only 2,5%.

The three Investec properties, which are situated in Pinetown, Durban and Pretoria, are occupied by Premier Milling with leases that run through to 2012. The properties were acquired on a 12% yield.

In addition to these properties, ApexHi has acquired Fabric Park in Midrand, the Pepsi building in Johannesburg, Denver Industrial Park in Denver, two warehouses in Spartan, one in Olifantsfontein and one in Eastgate.

ApexHi CEO, Gerald Leissner, says industrial space is in high demand in most areas across the country, due to increased economic activity. “The buoyant performance of the retail market has made retail properties more expensive to acquire, while the industrial market is providing good value purchases at high yields,” he says.

Leissner says ApexHi’s strategy is to maintain a good balance of industrial, retail and office properties to minimise risk. “Over the past few years, the significant acquisition drive has resulted in a decrease in the office sector from 53% in 2003 to 36% and a significant increase in retail properties from 25% in 2002 to 43% - which was well timed for the retail boom. The industrial sector initially declined from 23% in 2002 to 16% in 2005, but has now increased to 21% today,” he says.