Equites to dispose of its UK portfolio and focus on better growth opportunities in South Africa

“I DON’T think the UK has had as good a property portfolio for sale in several years,” is how Equites Property Fund CEO Andrea Taverna-Turisan described the market where the REIT plans to dispose of its seven large logistics facilities.

- EDWARD WEST

“The level of interest so far has been astounding. These are 100% highest quality logistics facilities, and we will certainly get our asking price and hopefully do better than that,” he said in an interview at the release of the annual results of the JSE’s only logistics-focused REIT.

The group delivered a distribution per share of 133.92 cents for the year to February 28, at the upper end of its previous guidance, after focusing on like-for-like rental growth in South Africa and the UK, limited vacancies, and the ability to generate revenue from renewable energy.

Equites’ UK portfolio delivered “exceptional rental growth” in the past year, with three assets undergoing rent reviews, resulting in uplifts of between 19% and 69%. The valuations have remained reasonably flat, showing a 1% uplift in terms of UK pounds.