OneLogix: Land bought for vehicle storage unit

OneLogix had concluded an agreement to acquire a portion of land between Durban and Pietermaritzburg from Afroprop Natal for R69.16 million, the listed logistics and transport group said late on Wednesday. The company said it planned to build a major vehicle storage facility for Vehicle Delivery Services and further facilities for general group usage, such as a large workshop, fuel tanks and truck parking areas for subsidiaries on the 14.3 hectare site at a cost of about R52.4m. OneLogix said it had received, in principle, approval from a financial institution for debt funding for the acquisition and the development on a loan-to-value basis of 70 percent. It said the balance of the purchase price for the land and the development cost of about R36.5m would be funded through existing cash resources and short-term facilities. The transaction is subject to a number of conditions but OneLogix expects transfer of the completed development to take place in December. – Roy Cokayne