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Apexhi Invests R452-Million in Refurbishments

Posted On Wednesday, 05 September 2007 02:00 Published by eProp Commercial Property News
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ApexHi Properties Limited has spent R225-million on refurbishments in the year to end June 2007, and a further R226,5-million has been approved for refurbishments during 2008

David RiceApexHi MD David Rice says the company is increasingly investing in refurbishments of existing buildings in the portfolio. “It is intended to maintain and improve the quality of the buildings and these refurbishments are often undertaken in conjunction with the signing of new leases or the renewal of leases,” he says.

The majority of the refurbishments are in the retail portfolio, and includes Durban’s Berea Centre, where work on the R40-million upgrade is now complete. The project includes a refurbished Pick ‘n Pay store and Woolworths food store, which is scheduled to open in April 2008.

“The revamp introduced 30 new retailers and all have attended a retail training course to ensure the new mall kicks off with momentum,” he says. The conversion of the office block to 133 residential units is complete with the opening of the sectional title register expected before year end.

In addition, ApexHi has approved a R100-million extension and revamp of the largest retail centre in the portfolio, Golden Walk in Germiston. The extensions, which are due to commence in September 2007, include more than 30 new retailers with a flagship Mr Price and Truworths Emporium store, new Ackermans Baby store, several national furniture retailers and a 2500m2 Jet Mart store as well as a refurbished Pick ‘n Pay store and banking court, incorporating a new First National Bank, extended Standard Bank and ABSA.

“Golden Walk serves the commuter market, and new taxi facilities are being developed on site, which will commence in November 2007. The mall showed record footfalls for July, approaching 800,000 shoppers and the demand for space in the new extensions has been good, with 75% of the space already pre-let,” he says.

The Golden Walk revamp should be complete in October 2008 and is expected to generate a return of 12%.

In Ermelo, a R38-million revamp of the existing Ermelo Mall is in the late planning stages and will commence as soon as pre-letting parameters are achieved. The letting is well underway with a refurbished Shoprite store, PEP and Dunns, large National liquor store, Mega Builders Store, medical facilities and 25 new retailers which will make this the CBD’s primary retail destination. This project is expected to be complete in November 2008.

The R18-million upgrade to Kempton Square phase 1 will be completed by 30 September 2007. An additional 6000m2 is planned for phase 2 at a cost of R52-million with letting underway. Construction is expected to commence in October 2007.

Moreleta Plaza in eastern Pretoria, will undergo a R20-million extension and refurbishment of the existing mall with an improved entrance and easier access and egress from the property.

Pine Parkade in Durban will receive an additional parking deck at a cost of R8-million. An additional 166 parking bays are to be erected to support office letting at 320 West Street.

Poyntons in Pretoria is receiving an R8,4-million upgrade including entrance foyers, security, gardens, lift foyers, external and internal painting.

Rice says a further R310-million worth of potential refurbishments are currently being considered, and will be undertaken if they are yield enhancing and substantially pre-let to approved tenants.

Last modified on Wednesday, 23 April 2014 13:29

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