Discovery parts with R280m rent annually for Sandton office
DURBAN – Discovery Group will be paying around R280 million per annum or R23 million a month to rent their new offices in Sandton as reported by Business Insider.
According to NetWerk24, the company has a 15-year rental contract with Growthpoint. Growthpoint developed the building for more than R3 billion. Growthpoint is not only the developer of the building but they are the majority shareholder in the building.
In the next three years, 2022, Discovery expects that they will be paying R400 million a year and R600 million in 2028. After 15 years a new rental agreement will be drawn up.
According to Discovery, R23 million rent per month covers all of the space that Discovery units require and extra space for two of the newer units including Discovery Insure and Discovery Bank.
The building can hold 1000 employees per floor.
Discovery Group's much anticipated Discovery Bank is expected to to be rolled out next month. The bank was initially launched last year November for beta testing and in March 2018 it will be available to the public.
According to Discovery, an estimated R90 million will be spent on the build until it is rolled out to the public and R180 million will be spent on test and run.
BUSINESS REPORT ONLINE