Dipula announces strategic shift towards retail and industrial sectors

DIPULA Properties is on the hunt for additional retail properties, ideally convenience, rural or township shopping centres north of the Orange River, CEO Izak Pieterse said Wednesday.

- EDWARD WEST

Dipula, the black-managed property group that celebrates two decades of operation this month and which has 61 retail, office, industrial and residential properties mainly in Gauteng, intends to sell its residential rental units, which represent 4% of income. This is to re-allocate capital to the retail and industrial sectors that are core to its business, he said.

Speaking at the release of results for the six months to February 29, Pieterse said a few opportunities may close in the short term.

The property portfolio’s value increased by 5% to R10.3 billion. Distributable earnings a share (DPS) increased 4.2%, on track with full-year guidance of 4% to 6%. The dividend a share was raised to 25.60 cents from 24.58 cents a share.

He said the strength of the balance sheet and loan-to-value ratio put them in a good position for additional acquisitions, despite the high-interest rate environment.