Johannesburg - The JSE-listed real estate counter Fairvest says its property portfolio increased 41.4 percent to R1.92 billion for the year to June. The company said the increase came mainly from acquisitions during the year.
The company said its revenue surged 48.9 percent to R279.7 million from income growth as well as recent acquisitions. Net profit property operations increased by 44.3 percent to R176.3 million, while corporate administration expenses increased by 37.4 percent to R16.7 million, which resulted in distributable earnings increasing by 28.8 percent to R109.7 million.
Revenue for the period surged 48.9 percent to R279.7 million, thanks to income growth in its historic portfolio, as well as the acquisitions during the period.
Seven new properties were acquired during the period, of which five transferred during the current period and two transferred after year-end.
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Vacancies reduced from 4.4 percent to 3.8 percent during the year under review, mainly as a result of some positive letting at Qualbert centre, Richmond shopping centre and Sassa house.
“This was partially offset by vacancies in some of the newly acquired properties, as well as additional GLA [gross leasable area] created in St George square”, the company said in a statement. The company paid about R56m for four properties in Yeoville, Johannesburg.
The company said, despite the weak economic outlook, its portfolio is well positioned, with a low-risk tenant base and improved portfolio quality to continue to achieve strong growth in distributions.
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