JSE looses a key person too

Listed property may be everybody's favourite JSE sector but, like a newly discovered celebrity without table manners, its corporate governance is generally an embarrassment

WHILE some of the better performing listed property loan-stock companies believe that there is room for a positive rerating, commentators say that this has already taken place and if there is another it will be small.

While some large property funds are optimistic about the market, others believe it could stay flat for the time being despite reports of excellent returns.

Durban - SA Retail Properties had outperformed the property loan stock index on a price basis by 10.5 percent since the start of the year, James Templeton, a property analyst at Barnard Jacobs Mellet (BJM), said yesterday.

Property unit trusts can be expected to return to growth in earnings this year and a re-rating of the sector will boost capital values by up to 10%.

Pangbourne Properties' move to increase its holdings of iFour linked units to 34% has sparked speculation that the group is looking to take out iFour's assets.

GROWTHPOINT Properties could become the largest listed property fund on the JSE Securities Exchange SA if speculation that it is vying for the assets of Primegro Properties is true.

Group sees massive scope for growth in listed sector, writes David Jackson.

Sector performs better than equities despite tough conditions in market.