The sector is expected to post a muted performance because of increasing vacancies across the property industry. Retail and office properties in particular have been hit by oversupply.

Paramount is budgeting for an 8% improvement on the back of an expanded portfolio, good quality properties and a wide geographical and sectorial spread.

The group recently concluded acquisition transactions valued at R220m, which boosted its portfolio close to the R600m mark.

The acquisitions left the portfolio with a 40% exposure in the office sector, 34% in industrial property, 19% in retail, and 6% in parking.

'We are not resting, but are continuing with our acquisitions drive,' said Paramount executive director Bruce Kerswill.

The latest acquisitions include industrial properties near Cape Town and Johannesburg international airports. Kerswill said exports were growing in importance and the group was targeting modern, airport-oriented industrial properties and multi-purpose business parks.