Redefine Properties announces new acquisition
Over the past few months property giant Redefine has made significant progress on its acquisition and disposal strategy that is aimed at repositioning its portfolio of properties.
Redefine Properties recently announced that it will acquire fourteen high quality office and industrial properties from the Zenprop Group. The purchase price of R1 804 226 626 is payable in cash.
In a statement on the JSE's news service, Sens, the company says the acquisitions are in line with its strategy to improve the quality of its core property portfolio through an investment focus on larger, well-located high-grade investment properties, which are mostly single tenanted.
The acquisition includes several properties, one of them superb office space in Fredman Drive, Sandton with a rentable area of 10 974 m² that will be purchased for R230 million.
The transaction also include the acquisition of several properties in Fourways, just around the corner from Sandton. These properties are generally either office space or retail space.
According to the terms of the acquisition, Redefine will acquire the properties with effect from the date of registration of transfer of ownership of each property into the name of the company.
“Each of the agreements governing the acquisitions contain warranties normal for acquisitions of that nature and each remains subject to the unconditional approval of the acquisition concerned by the Competition Tribunal by 28 February 2012,” the company noted.
According to Marc Wainer, CEO of Redefine, the recent acquisitions, including the acquisition of the Discovery Life building in Sandton which was acquired for R510 million, together with the proposed unbundling of Arrowhead Properties Limited and the earlier disposal of a portfolio to Dipula Income Fund Limited, represent significant progress in the implementation of their strategy.