Johannesburg, South Africa – 04 November 2019 – Listed real estate investment trust (REIT) Redefine Properties (JSE: RDF) has lifted its full year distributable income by 4% to 101 cents per share for the year ended 31 August 2019, with total group assets exceeding R100 billion for the first time. It is also the first time that full year distribution per share has breached the R1 level. Redefine continues to benefit from a well-diversified portfolio and expansive geographic footprint, with the contribution from international property investments rising to 26.8% this financial year from 24.0% of distributable income last year. The company, which manages a diversified property asset platform of local and international investments, expanded property assets under management to R95.4 billion from R91.3 billion during the previous year, while international real estate investments now make up 23.7% of the portfolio, from 20.7% before. Redefine expects property fundamentals to remain weak over the medium term, with risk events like load shedding adding to the uncertainty. “Interesting and volatile times are here to stay, and we need to make the most of the resultant opportunities. We are living in a world of costly capital and Redefine is therefore focusing on reducing balance sheet risk while still delivering sustainable quality earnings,” says Redefine Chief executive officer Andrew Konig. During the year, Redefine managed to improve total tenant retention to 93.3% from 90.4% in 2018, while its active portfolio occupancy was maintained at 94.9%. According to Konig, the focus for 2020 will be on asset quality, offshore expansion through development activity – notably through expanding the group’s European Logistics Platform – while taking action to restore the value of under-performing assets. “We have to still grow where we see opportunities and not halt investment. However, we need to be more discerning and selective with our capital allocation and pro-actively seek out recycling opportunities for our non-core assets,” he says. In a move to build a sustainable capital structure, Redefine has introduced a dividend pay-out policy to add another source of funding, which aligns to international REIT best practice and is pitched at a level that poses no tax leakage. With a 6-month dividend of 48.1 cents a share being declared, the pay-out policy amounts to 93% of distributable income, which is a retention of around R200 million in cash to fund operational capital expenditure. “This goes to the heart of sustainability as there is no distress on the business and the cash will fund capital expenditure to maintain operations, giving us an efficient additional source of funding, while also preventing potential tax leakage which could occur in the hands of shareholders if this amount was rather declared as part of the dividend and re-invested as equity,” explains Redefine Financial Director Leon Kok. During the year, R6.9 billion was deployed into property assets, with local development activity totalling R2.4 billion. Offshore expansion totalled R4.3 billion, with R3.6 billion invested in Poland. At the same time, 17 properties with gross leasable area of 160 076sqm, which no longer served Redefine’s investment criteria, were disposed of to various buyers for an aggregate consideration of R1.0 billion, at an average yield of 8.2%. According to Kok, the average cost of debt is now 5.8% from 6.3% a year ago, while interest rates are hedged on 87.3% (FY18: 81.2%) of total borrowings for an average period of 2.9 years. Environmental impact remains a key theme, and during the year carbon emissions savings from Redefine’s solar installations equated to taking around 6,300 passenger cars off the road. Despite the challenging trading environment, Redefine expects to deliver distributable income per share similar to that of 2019 for the 2020 financial year, and anticipates the pay-out policy to be maintained at a similar level. While Redefine’s legendary founder Marc Wainer retired in August, Redefine has also zeroed in on improving board independence, with the appointment of Daisy Naidoo as an independent non-executive director adding to its diversity and skills base. 50% of the board is now female and 88% of the non-executive directors are independent. “We are living our values to protect and grow our reputation in pursuit of living our purpose to create and manage spaces in a way that changes lives. We continue to place people at heart of everything we do, which will stand us in good stead when the cycle does turn” concludes Konig.
Rosebank, South Africa – 22 October 2019: JSE-listed diversified Real Estate Investment Trust (REIT) Redefine Properties has announced that its recently renovated Centurion Mall, and its newest retail property, Kyalami Corner, both won Gold at the Footprint Marketing Awards 2019. Centurion Mall’s efforts in digital marketing and the latter’s sales promotions and events won the accolades for Redefine.Redefine also took home one Silver and eight Bronze medals across categories like Community Relations, Public Relations and Category Integration, amongst others, ending the evening with a rich haul of 11 medals.An initiative of the South African Council of Shopping Centres (SACSC), the awards recognise exceptional shopping centre marketing, innovation, creative achievements, with economic success and excellent customer service. This year the awards were held at the Cape Town International Convention Centre.All Gold SACSC Footprint Marketing Awards are automatically entered into the International Council of Shopping Centres’ VIVA Awards.“Our properties are more than just shopping centres; they are avenues for meaningful conversations with the communities. We remain committed to leveraging the spaces we manage, to change the lives and the future of the people and communities around them. The awards demonstrate our continued passion to find ways to engage and build audiences for our retail properties,” says Marijke Coetzee, Head of marketing and communications, Redefine Properties.Centurion Mall, which took Gold for its chatbot, recently underwent a comprehensive R1.06 billion refurbishment and, at a gross lettable area (GLA) of 130 000sqm, is Redefine’s biggest retail property. In line with trends of offering experiences over shopping trips, the Mall’s new open-air design concept, comfortable interiors, additional retailers and revamped movie theatres are among the many changes that are contributing to the growing number of loyal fans.The chatbot is an automated online assistant which helps consumers resolve queries on the centre’s website. Centurion Mall is the first mall to implement this in line with future trends.The trendy Kyalami Corner shopping centre, which opened in April 2017, perfectly responds to the retail, lifestyle and social requirements and aspirations of the Kyalami neighbourhood and surrounds. The elegant, energy-efficient design also complements the natural, equestrian environment and character of the area.The centre took Gold for its initiative, “Where we make traffic fun.” The roadworks in the vicinity of the mall caused heavy delays and slow-moving traffic. Redefine decided to make it fun for motorists sitting in traffic and handed out gifts on a weekly basis to motorists whilst entertaining them in traffic. Motorists were encouraged to post their gifts and pictures on social media to stand a chance to win additional vouchers to redeem at the various stores at the centre.
Johannesburg, South Africa, 14 October 2019: JSE-listed diversified Real Estate Investment Trust (REIT) Redefine Properties today announced that its Chief Operating Officer, David Rice, will retire on 31 August 2020, after more than a decade of service. A veteran with over 30 years of experience in the property sector, Rice joined Redefine in 2009, becoming its COO in 2011. His current responsibilities include all aspects of asset management and general administration of the property portfolio. Rice, a senior member of the executive team, has also been responsible for helping to drive leasing and asset improvement goals for the company. Prior to this, he was the Managing Director of ApexHi Properties Limited from 2006 until the merger of Redefine, ApexHi and Madison Property Fund Managers Holdings Limited. To ensure business and operational continuity, and enable a structured handover, the search for his replacement has begun in earnest. Rice's voluntary retirement date gives Redefine sufficient time to have the ideal candidate in office who pairs well with the company's culture and future priorities. "I have had the privilege of working alongside many incredibly talented people at Redefine, and I am proud of what we, as a leadership team, have accomplished together," says Rice. "Our unrelenting focus on building a domestic asset platform that sustains organic growth through continuous improvement, expansion and protection of our portfolio, as well as driving value from active asset management opportunities has positioned Redefine for success well into the future." The announcement clears the path for the succession processes to unfold as well as allow Rice to hand over responsibilities once the new COO has been appointed. The transitional period will help ensure that the transition is seamless. Redefine's succession processes are formulated in advance of an executive's departure to allow for a rigorous assessment of potential candidates. "Over the past decade or so, David has been integral to Redefine's success story. The board and the management team are grateful for his contributions and wish him well as he enjoys his retirement," says Andrew Konig, CEO, Redefine Properties. "A passionate advocate of using our spaces in a way that changes lives, David's strong leadership has helped shape our portfolio across all our sectors. David will continue to work with key partners and the leadership team until his retirement in 2020. We value his dedication to Redefine and its future." "I am excited about Redefine's future and committed to using the coming months to ensure a smooth transition, and to support this great team as they take the company forward," concludes Rice. "I have been fortunate during my career at Redefine to have worked with a highly motivated and professional team for whom I have great respect. I find reward in knowing that collectively, we have a built a solid foundation for the company's future."
JSE-listed diversified real estate investment trust Redefine Properties' Innovation Challenge was an honouree in the CSI category at the recently concluded International Council of Shopping Centers' Solal Marketing Awards 2019 in London. The awards showcase the very best of retail marketing across Europe and South Africa, recognising best practice, and rewarding the most effective campaigns in the industry. The Innovation Challenge which was launched at Maponya Mall in Soweto was the only South African campaign honoured this year. The Solal Awards are recognised as a benchmark of quality throughout the industry and in 2019 welcomed 164 entries from 22 different countries. Launched in October 2018, the Innovation Challenge is a national competition developed by Redefine Properties inviting the general public to submit innovative ideas relevant to the property industry. Ideas with potential to revolutionise either retail, commercial or industrial space, enhance business opportunities and customer experiences, uplift communities and their integration in respect of any of the spaces and that embraced technology were considered. In its first year, the competition attracted over 1250 entries from across the country. Marijke Coetzee, Head of Marketing and Communications, Redefine Properties says, "In an ever-changing business environment further accelerated by the advent of the 4th Industrial Revolution, we realise that, in order to remain relevant, we need to embrace change. The Innovation Challenge helps us to identify young individuals who have the ideas that will future-proof our malls and to uplift and support them to become our future tenants, suppliers or even employees". "We are looking for ideas which have the ability to fundamentally improve people's lives." Cash4Trash, an income generating recycling concept powered by vending machines won the first prize at the Innovation Challenge. Entrepreneur Mary-Ann Mandishona who floated the idea won R1 million in prize money for her efforts and an opportunity to negotiate start-up support to the value of up to R9 million in the form of either monetary support, education, commercial space or concept acquisition. "The Innovation Challenge at the core is an endeavour to build a bridge to the communities that surround us. It encourages engagement, helps our efforts to manage spaces in a way that changes lives and most importantly provides a platform to boost entrepreneurship," says Coetzee in conclusion.
Johannesburg, South Africa, 30 August 2019: JSE-listed diversified Real Estate Investment Trust (REIT) Redefine Properties today announced that its legendary founder and pioneering property investor and developer Marc Wainer retires from the company at the end of August 2019. An astute deal maker, Wainer held sway on the markets and the city’s skyline, taking Redefine Properties from humble beginnings to a listing, and building it into one of SA’s largest, and most respected, real estate companies. Today, Redefine has a market capitalisation of R46 billion and is included in the JSE Top 40 Index. In line with Redefine’s stated intention to create value through good governance practices and as part of its board succession plan Wainer, 70, had stepped down as Redefine's executive Chairman in May, handing the chairmanship of the company he founded in 1999 to businessman Sipho Pityana. Wainer has been instrumental in transforming Redefine Properties into a global REIT with interests in commercial property diversifying into new markets such as Poland, United Kingdom, Germany and Australia and alternative investments such as student accommodation. Under Wainer’s tutelage, Redefine’s asset platform surged from a modest R1 billion in 1999 to almost R100 billion today thanks to a string of major deals, innovative developments and active asset management initiatives. "Looking back, I’m proud of what we have accomplished as a team. I am confident that Andrew Konig, CEO, and the executive leadership team will be able to navigate Redefine in the current environment," says Wainer. "My time at Redefine has encompassed some of the most rewarding experiences of my life. One of the things I am going to continue to do is be involved in mentoring. Corporate SA is missing the greatest opportunity in building the next generation of leaders. The Mentorship Challenge showed that mentoring is one of the greatest gifts you can give people and I will make sure I am available to those who need me.""Following the loss of my beloved wife, Lesley, I have reassessed my priorities and want to give-back by playing a broader, independent role in the property sector but will be available to Andrew and the team at Redefine in an advisory capacity". Wainer served in various roles, including CEO, executive chairman and more recently executive director, as-well-as serving as a director on several listed local and international property company boards. Going forward, Wainer plans to pursue outside interests including a private property fund to take advantage of trading opportunities in Europe, particularly eastern Europe. Wainer is also keen to share his experience in the sector by consulting widely on property matters to the broader industry as well as be available as a speaker to forums that will benefit from his insights. “Marc’s guidance, instincts and inspiration lifted Redefine as a team to achieve what we have and who we are today. We stand on Marc’s giant shoulders to take Redefine forward. We are privileged to have had Marc as a leader and a mentor, but more importantly as a friend and we look forward to being part of Marc’s new journey,” adds Andrew Konig, CEO. Despite a challenging environment, Redefine has continued to progress its strategy to build a quality, diversified asset platform that will create sustained value for all its stakeholders over the long-term. "I would like to take this opportunity to thank everyone at Redefine Properties, both current and ex-employees, our shareholders, the executive leadership team and the board for their confidence and continued support in our mission to be one of the best performing REITs. Your selfless contribution to our success and particularly mine remains a high point of my career. I look forward to continuing to see the company grow and lead the market," says Wainer in conclusion.
Johannesburg, 30 August 2019 - In line with its stated intention of strengthening governance and board independence, broadening diversity and improving female representation on its board, JSE-listed diversified Real Estate Investment Trust (REIT) Redefine Properties (JSE:RDF) has appointed Daisy Naidoo as an independent non-executive director to the board of directors of Redefine (“the board”), with effect from 28 August 2019.A qualified Chartered Accountant (SA) with a Master’s in Accounting (Taxation), Ms Naidoo started her career at Ernst & Young in Durban and has subsequently held various positions at South African Breweries, Deloitte and Sanlam Capital Markets, where she headed up the debt structuring unit between 2008 and 2010. Ms Naidoo is currently an independent non-executive director of Strate Proprietary Limited, Hudaco Industries Limited, Mr Price Group Limited, Anglo American Platinum Limited, and Absa Group Limited. She is a facilitator for board evaluations performed by the Institute of Directors Southern Africa and is the chief risk advisor in respect of various mezzanine and renewable energy funds at Vantage Capital. Redefine’s gender diversity policy promotes a voluntary target of 40% female representation on the board over a three-year period, while the racial diversity policy promotes a voluntary target of 50% black representation on the board over the same period. Ms Naidoo’s appointment takes Redefine’s female representation on the board to 45% and black representation to over 60%. The board of directors of Redefine welcomes Ms Naidoo, and firmly believes her addition to the board broadens its skills-base and enriches its diversity. The board looks forward to her valuable perspectives and contribution.
Johannesburg, 26 August 2019 – Redefine Properties, which manages a diversified property asset platform of local and international investments, is relentlessly pursuing strengthening its balance sheet with a primary priority on right-sizing its asset footprint to its capital base in volatile global and local financial markets.Reducing the loan-to-value ratio to below 40% is in progress and will continue during 2020, as a number of initiatives are implemented.Redefine believes it can reduce the loan-to-value ratio without damaging the income earning base as it recalibrates to an environment of “scarce and costly capital”.“In order to drive sustained value for all stakeholders, Redefine will position its balance sheet to withstand the prevailing environment, as well as to conserve cash generated by operations for defensive capital expenditure, while at the same time driving innovative business projects to achieve a ‘future-proof’ property platform,” according to Redefine CEO, Andrew Konig ahead of the start of a pre-close investor roadshow.Redefine does not expect the recovery of the local economy to be a swift process. “We can expect it to take at least as much time to fix the economy as it took to damage it,” says Konig.Measures to strengthen the balance sheet include local property disposals in progress totaling R3.9 billion (with R3.3 billion closing in 2020), recycling of capital from non-core assets as opposed to raising expensive equity, introducing an equity investor into the European Logistics Platform, contemplating the introduction of a dividend pay-out ratio policy and generally taking action on destroyers of value.Redefine’s investment in UK-focused RDI REIT, the loan to Cornwall (Delta) and Oanda Wings are all in the crosshairs in the drive to eliminate any value destruction in the future.The measures being taken are not expected to have a negative impact on distributable income and Redefine remains on track to deliver distributable income growth per share in line with market guidance.Konig says introducing a distribution pay-out policy will align Redefine to international REIT norms, where distribution pay-outs generally range between 90% and 100% of distributable income. "To guide us on the proposed policy, an exercise is underway to establish the percentage of distributions that can be safely withheld before tax leakage is suffered," he says.At the same time, Redefine continues to build an asset platform that sustains organic growth through continuously improving, expanding and protecting its domestic portfolio, while recycling capital through the sale of assets at the end of their investment life cycle. Value will also be unlocked through active asset management opportunities in offshore markets."As the property sector recalibrates to an environment of costly capital, we believe that our purpose-driven strategic approach becomes increasingly relevant," concludes Konig.Redefine’s closed period commences on 1 September 2019 and its 2019 annual results will be released on 4 November.
Rosebank, Johannesburg – 20 August 2019: JSE-listed diversified Real Estate Investment Trust, Redefine Properties, has earmarked R2 million towards beautifying and upgrading the Library Park infrastructure in a major way. As part of Johannesburg City Parks and Zoo’s (JCPZ) commitment to maintaining Rosebank’s green beltways, Redefine Properties kickstarted work on the park in June 2019 and anticipates that the work will be completed over a period of three months. This unique public private partnership with JCPZ will see Park Central’s Body Corporate maintaining the Library Park for a period of five years. The park lies in the shadows of Park Central, Redefine’s residential development in Rosebank. The beautification efforts include the removal of dying and damaged trees, planting of new trees, establishment of lawns and indigenous shrubbery, new irrigation systems, pedestrian walkways and additional lighting to enhance security. “Having a park in [the] midst of communities enriches lives. This blend of partnership, where we will continue to look after the park dovetails into our purpose of creating and managing spaces in a way that changes lives,” says Mike Ruttell, development director, Redefine Properties.“Rosebank is one of the fastest growing suburbs in the city attracting a large number of corporates as well as new residents due to its accessibility, well-developed transit network as well as the quality of life it affords. Once completed, the revamped Library Park will stimulate the local economy, enhance property values, instil a sense of civic pride and help attract new businesses.” Rosebank’s proximity to Sandton, Illovo as well as Melrose adds to the suburb’s appeal which is already an established landmark for its lifestyle opportunities. The Library Park adds to Rosebank’s growing reputation and will give the public access to park amenities.Improvements also include a new boundary fence along Keyes Avenue and the conversion of a redundant parking area to green landscaping. Picnic tables and benches are also being added. A new pedestrian link to Rosebank Mall is being established via the southern end of the park. This aligns with JCPZ’s vision to pedestrianise Rosebank and to encourage the use of public open spaces by all who live, work and visit Rosebank.“This public private partnership with Redefine Properties is a win-win as it alleviates the pressure on JCPZ. There are a number of parks that need such level of investment and corporate commitment, and we are confident once the Library Park is opened it will serve as another good case study of what can be achieved though like-mindedness,” says Louise Gordon, executive manager of business development, Johannesburg City Parks and Zoo. "This partnership will not only restore the park infrastructure but also enhance our environment, introduce people to an outdoor and active life, while assisting the local economy.”
02 August 2019: Our steadfast commitment to report our journey to deliver sustained value creation to all our stakeholders through a purpose driven strategy in a transparent and accessible way continues to receive recognition. After consistently placing in the top 10 in the EY Excellence in Integrated Reporting Awards since 2015, Redefine was awarded third place in the latest EY rankings of the top 100 JSE listed companies for excellence in integrated reporting.Our consistent achievement underscores the high value we place on monitoring, measuring and reporting on our environmental, social and governance obligations, demonstrating our integrated approach to making strategic choices to position Redefine to stay on course in our mission to deliver sustainable value. Redefine was the only REIT in the top 10. The purpose of the rankings is to encourage and benchmark standards of excellence in the quality of integrated reporting to investors and other stakeholders in South Africa’s listed company sector. The rankings are based on how well companies explain to stakeholders how they create value over time.For Redefine, the integrated report represents a necessary and useful tool to inform all our stakeholders about our economic, environmental and social performance. We are delighted that our efforts have resulted in this recognition which assures us that we are on the right track in realising our purpose, which is to create and manage spaces in a way that changes lives.By managing our ESG risks and opportunities we create value in the short, medium and long term and through our award-winning report, investors and stakeholders can easily assess our full impact, as-well-as get insight into what lies ahead. The accolade endorses Redefine’s leadership in sustainability reporting. Our commitment to a strong framework of corporate governance and accountability has allowed us to be at the forefront of sustainable development and the adoption of progressive practices reflected in our social interventions like The Challenge Convention. According to the adjudicators, the best reports need to provide an understanding of short- to long-term risks while providing an excellent description of the group’s business model, including primary business activities as well as the outcomes. The integrated report provides a window to our holistic approach to sustainable value creation to all stakeholders.
Centurion, South Africa, 24 July 2019: The JSE-listed diversified real estate investment trust Redefine Properties today announced the completion of the comprehensive R1.06 billion refurbishment of its retail property in Centurion CBD. The Centurion Mall’s footprint now sits at a gross lettable area (GLA) of 130 000 sqm making it Redefine’s biggest retail property in its portfolio. The total number of tenants at the mall is 216 anchored by Woolworths, Pick n Pay, Game, Dis-Chem and Checkers among fashion and home goods retailers. The super-regional mall is also lending its name to the office building formerly Lakeside Building A, which underwent renovations to the lobby and common areas. A new open air design concept, comfortable interiors, additional retailers and revamped movie theatres are among the many changes’ customers will experience at the refurbished Centurion Mall. The food and entertainment retailers, who occupy almost 10% of the mall’s total sales area will provide varied options besides shopping, making the mall a special attraction beyond usual shopping hours.The redevelopment spread over three phases saw the upgrading of the Checkers mall, which includes a Blue Label Checkers of 7 300 sqm in the final phase with a new H&M anchor store created at the Checkers entrance. The closure of Gordon Hood Road alongside the new entrance will add more parking in the future. The lower ground floor mall area nearest to the lake has been redesigned to incorporate a new food court anchored by established restaurants like O’Galitos, Spur, Ocean Basket and Mochachos with Fortune Dragon opening in September. The ground floor features a new Mugg & Bean and a new model Exclusive Books. “People want malls to be more than just convenience. It’s not just about shopping, people by nature are social and consumer habits are changing resulting in a need to integrate their lives with a modern lifestyle. Similarly, people demand differentiation. Centurion Mall’s refurbishment was guided by these strategic insights which also informed our decision around the tenant mix,” says Nashil Chotoki, National Asset Manager, Retail, Redefine Properties.“Moreover, when you bring additional food and entertainment, shoppers want to spend more time at the mall and when they reward you with their time, it is only prudent that we give them a unique experience.” The enhancements include upgrades to the walk ways which allow shoppers to access their favourite brands with ease with plans in place to add more plants and a shade structure for more comfort. A children’s play area, a sculpture park and the Planet Fitness gym rounds off the varied offerings.Centurion has quickly established itself as a prominent node and today ranks as one of the fastest growing urban areas in South Africa. Many of the country’s large blue chip corporates have presence in the node with residential property developments having mushroomed, expanding the city limits. Residents and office goers have the convenience of easy access to the N1, N14 and R21, OR Tambo International Airport as well as the Lanseria Airport. Furthermore, Centurion benefits from the Gautrain station stop making commuting relatively easy. The Centurion Mall Offices are situated within close walking distance of the Gautrain Centurion station, just off Gordon Hood Road, and easily accessible from both the N1 and N14 highways, using either John Vorster or Botha off-ramps. A bridge connecting the Centurion Mall and the Gautrain station is also under consideration.“We see a significant upside to adding the office component and believe the newly-renovated premises will offer the absolute best location for corporates to experience the tremendous growth of the node as well as the rich amenities offered by the Centurion Mall,” says Chotoki.Earlier this month, Redefine and the City of Tshwane announced the start of the construction of the multi-million rand state-of-the-art taxi rank in the shadows of Centurion Mall. The taxi rank, funded by Redefine as part of its contribution to upgrading the mall’s immediate surrounds, will cover an area of approximately 10 000 sqm accommodating ranking facilities for 55 taxis as well as a holding area for an additional 100 taxis. The rank will be jointly operated by the Centurion Taxi Association and managed by City of Tshwane, Centurion Mall and the association. “Centurion Mall has established itself as a leading shopping and leisure destination with approximately 14.4 million visitors annually. The catchment area has an above-average purchasing power, including Pretoria which according to a report from the Brookings Metropolitan Policy Program is the fastest growing South African metro economy,” says Chotoki in conclusion. “Customers will find both, a good shopping experience and entertainment, thanks to the ideal and high quality tenant mix and the location’s easy accessibility. Furthermore, this refurbishment afforded us the luxury of opening up the space. The open air design now allows us to connect our shoppers to the natural green spaces around them.”Redefine will also look to create and manage a park like area adjacent to the lake.
Johannesburg, South Africa – 18 June 2019: The multi-million rand refurbishment of JSE listed diversified real estate investment trust Redefine Properties’ 155 West Street in Sandton has been completed. The R133 million refurbishment commenced during May 2018 and was completed on schedule in March 2019 representing the only refurbished A Grade office building of its scale to be delivered to the market in 2019 by Redefine. Centrally located with easy access to major roads, 155 West Street offers tenants a prominent business address, central meeting facilities and open plan permitting high degree of space flexibility. The site is situated in close proximity to the Gautrain station, Benmore Centre, Virgin Active and Alice Lane Piazza all within a short walking distance. Pieter Strydom, Asset Manager for Office, Redefine Properties says, “The property represented an excellent opportunity for Redefine to redevelop the premises to ensure it remains relevant in a challenging market where tenants are spoilt for choice. We believe we have succeeded in this goal due to the strong leasing interest. Combined with Redefine’s adaptability and ability to evolve to meet occupiers’ requirements, the building in a sought after node, should perform as expected.” “The refurbishment embodies the quality which is the hallmark of Redefine’s approach to office developments.” The property is already 60% let with WeWork, the global community company with operations in over 400 locations across 100 cities committing to 10 800 sqm while Jempster and specialist recruiter Robert Walters having signed leases for approximately 4 550sqm. WeWork forayed into Africa with Redefine’s Rosebank Link where it is set to open in July this year. 155 West Street’s new entrance is a striking lightbox doorway affording it a futuristic feel with the overhead roof garden completing the look. On entry into the building, tenants and visitors are greeted by an expansive, elegant atrium, where reception and waiting areas merge seamlessly with the surrounding landscape bringing serene green spaces to the doorstep of the building. The green spaces integrate naturally with the cycle paths and Gautrain bus routes that run past the building. A trendy street-side café separates the public and the office spaces. The interior space is contemporary with new aluminium finish giving it a sleek look, further accentuated by natural daylight and unobstructed views on all four sides. Over the five storeys, the building provides for a multitude of tenant options from as small as 400 sqms of space that can be customised to requirements. The available space is further maximised through a shared reception and on demand executive boardrooms which can be booked through a central system. Tenant access is through a centralised circulation and service core that is separated from visitor access. This split access, with separate entrances and elevators, presents a dual benefit – tenants gain direct access to their offices, and security is heightened. The 26 500 sqm property in the heart of Sandton has dual access points, from Alice Lane and West Streets. The 1 024 parking bays, spread over four and a half levels of parking, provide five bays for every 100 sqm of usable space. Smart-traffic flow design enables the intuitive flow of traffic, from the moment of entry into the parkade, right through to the various entrances of the building, through a split access system. “Our intention with this refurbishment has been to deliver a fully customisable and intelligently integrated workspace with world-class business facilities and amenities that will appeal to all sectors of the office market. This strategic focus has created a truly unique product in lower Sandton’s office market and something we are excited to offer,” says Strydom in conclusion.
Soweto, South Africa – 18 June 2019: A few months after JSE listed diversified real estate investment trust Redefine Properties started conversing with the community members surrounding Maponya Mall in Soweto, it managed to create 15 permanent jobs and gave entrepreneurs in the community access to valuable space worth over R1 million to showcase services and products at no cost.These efforts are part of Redefine’s commitment to asset based community development approach (ABCD) which seeks to recognise communities as partners possessing the agency and skills to develop and support solutions that will deliver sustainable transformation.The community engagement programme at Maponya Mall, is being rolled out by Redefine together with FNB Philanthropy, which it commissioned to develop and host a series of community-centred conversations in Soweto, specifically in the immediate vicinity of mall.The approach involves full and meaningful engagement with the communities around the buildings it owns and manages, with the objective of achieving sustainable transformation through impactful partnerships with key role players in the community.Marijke Coetzee, Head of Marketing and Communications, Redefine Properties says, “In finding ways to be meaningfully involved, we quickly realised that the communities surrounding our properties have a better understanding of their needs and combined with new and creative thinking can guide and inform the best way forward. We recognised that we could deliver a far greater impact by investing with the communities rather than trying to invest for them."“We wanted then to create a platform for people and communities to come together to achieve positive change using their own knowledge and lived experiences of the issues they encounter in their daily lives.”In its initial phase, the process involved an extensive engagement with over 1 000 community members, community-based organisations, local NGOs, political representatives and local businesses and entrepreneurs.This was followed by a Challenge Convention late last year during which the community and other key stakeholders were invited to highlight the real challenges they face and identify existing community assets that could be leveraged to help address these challenges. Using #ifihaditmyway to lead discussions; innovative solutions emerged which are now being developed further for implementation.“Social change will only occur when people and communities mobilise to use available assets, skills and strengths, to create opportunities and build their own solutions that have long-term impact. We recognise that asset-based community development will not immediately alleviate all the social challenges prevalent but rather view it as a vitally important approach, aligned to our philosophy of using our spaces to change lives,” says Coetzee.Prince Siluma, Head of Philanthropy at FNB Fiduciary says, “Such approaches work well if the communities are involved. The way community members mobilised and contributed to the solutions provided great insights to the Redefine social investment proposition; and confirms that this approach is very likely to deliver maximum positive impact."From these crucial engagements, Redefine will prioritise its activities in favour of working with the youth, SMMEs and the NGOs active in the vicinity of the mall.These groups identified a number of issues that prevented them from fully optimising their potential and Redefine will engage them further to agree on interventions to support capacity building. With an approach as simple as ABCD, the needs of employment, entrepreneurship and empowerment will be met through the efforts’ the community has invested in framing their needs and acting to advance quality of life.“The asset based approach will seek to find a balance between meeting needs and nurturing the strengths and resources of people and communities. It is also a journey of self-discovery, in that identifying our own strengths, capacities and abilities to be able to deliver tangible and positive outcomes,” adds Coetzee in conclusion.
Johannesburg, 05 June 2019 – The Abcon Group Foundation (AGF) is pleased to announce the donation of four new containers which will serve as classrooms and additional ablution facilities for the learners at Hawk Academy in Primrose, Germiston, at a ribbon cutting ceremony earlier today.The Hawk Academy (English medium) school was founded in 2015 by the Mkhonto Family and registered with the Department of Education in 2016. The school started their operations in a mine office building situated along Main Reef Road in Primrose, and it became evident that it needed to be formalised further by developing a suitable school facility.Redefine in partnership with Abland, one of South Africa’s leading property developers for over 30 years, donated 6.5 hectors of land towards the development of the school that now accommodates 1 200 learners from Grade R up to Grade 12. JSE listed Redefine is part of the FTSE/JSE Top 40 index, making it one of the 40 largest listed companies in South Africa by market capitalisation.AGF was introduced to the school in 2017 and has since fully committed most of its socio-economic development proceeds towards the school. This has included the provision of a fully equipped library, a 20 000 litre water tank, in partnership with Redefine 36 toilets and two additional classrooms in the past two years. It has also doubled the existing area of the school providing more space for the additional classrooms, ablution facilities and play areas for the children.“Children in the area who had nowhere to go for any schooling have found a new home to go to, not only for schooling, but to play in the open school premises. Most of the families residing in the Delport and Marathon informal settlement rely on government grants and cannot afford the price of education and transport, while some are not documented and therefore do not qualify for grants. The school has become a haven of hope for the community,” said Londiwe Mthembu, Managing Director, Abcon Group Foundation.Marijke Coetzee, Head of Marketing and Communications, Redefine Properties says, “We recognise the unique social responsibility that comes with being a leading South African REIT. Our aim is to manage and create spaces in a way that changes lives and contributes to the development of more collaborative communities in and around our buildings.” Through the funds raised by AGF, it assists Hawk Academy with infrastructure development and maintenance, and continues to be actively involved with various programmes at the school and in the community. These include donating stationery, toys and toiletries, feeding schemes, painting and cleaning of the facilities, book drives, as well as various employee volunteer programmes. Media ContactsFor more information, please contact:Michelle Samrajmichelle.email@example.com+27 11 480 8526ABOUT ABCON GROUP FOUNDATIONTHE Abcon Group Foundation (AGF) was founded by the Abcon Group of Companies in 2013. The AGF is a well-established and reputable group that operates in the property and built environment industry.The AGF has the ability to raise money through the Abcon Group’s BEE spend. The strategic partners of the Abcon Group, directly and indirectly, support the AGF. The Abcon Group and its strategic partners support the AGF through various fundraising initiatives such as potjiekos competitions and golf days.The AGF has been set up to drive the transformation strategy of the Abcon Group by the provision of B-BBEE advisory services and the facilitation of opportunities to invest in skills development and training, enterprise and supplier development and socio-economic development. These opportunities are not limited to the Abcon Group but are available to our strategic partners.
Johannesburg, South Africa – 4 June 2019: Two-time Governor of California, actor and former bodybuilder, Arnold Schwarzenegger will bring his widely imitated heavy teutonic accent to South African television in a celebrity turn when he features on the popular The Mentorship Challenge, with Marc Wainer on eNCA and e.tv.The episode shot on the sidelines of the Arnold Classic Africa will be broadcast on eNCA (DSTV channel 403) and e.tv (DSTV channel 194) on 29 June 2019.The Arnold Classic Africa takes place in Johannesburg every May and is held under the aegis of the annual Arnold Sport Festival hosted globally across six continents. The events feature professional bodybuilding and related contests, amateur bodybuilding, strength and combat sports, a large health and fitness expo and youth events that vary from continent to continent.Host Marc Wainer says, “Arnold is a legend, he is an epitome of what one can achieve with some help. It is a matter of simply asking for it.”“Born to humble beginnings, he became a champion body-builder winning Mr Universe five times and then reinvented himself to become an A-list movie star, moving then into politics to be the Governor of one of the richest states in the US, California, twice. The state’s economy rivals the United Kingdom’s and if it were a country, it would be ranked 5th in the biggest economises.”By his own admission, Schwarzenegger has been very vocal about the help he received on his entrepreneurial journey. In the foreword for Tim Ferris’ book Tools of Titan, the self-effacing Schwarzenegger writes, “I am not a self-made man. I got a lot of help.”“Like everyone, to get to where I am, I stood on the shoulders of giants. My life was built on a foundation of parents, coaches, and teachers; of kind souls who lent couches or gym back rooms where I could sleep; of mentors who shared wisdom and advice; of idols who motivated me from the pages of magazines (and, as my life grew, from personal interaction).”“There cannot be a better endorsement and ambassador for mentorship. Arnold has simply achieved what many of us would take more than one lifetime to accomplish,” adds Wainer.Now in its second season, The Mentorship Challenge is a weekly television show that unpacks the notion of social upliftment through mentorship. The programme provides an enabling platform for top business leaders in the country to create a legacy through shaping the journeys of the budding business trailblazers of tomorrow.The show seeks to entrench a culture of mentorship in a skills-scarce South Africa by challenging business leaders to pledge personal time to mentor budding entrepreneurs. The show’s online platform provides the real estate for the mentors and mentees to engage and schedule time together.The show expected a modest outcome - 100 mentors pledging a total of 500 hours to a base of 1 000 mentees. At the end of season one, just shy of 210 mentors had signed up exceeding the initial target, collectively pledging over 5 930 hours between them.“We are extremely thrilled to have someone of Arnold’s stature on the show who openly and single handledly has bust the myth of a self-made man. It is our hope that viewers are not only entertained by Arnold but also inspired by his success. That said, it is also a clarion call for all business leaders to recognise the potential of all South Africans,’ says Wainer in conclusion.Having grown from humble origins himself, Wainer built JSE listed diversified real estate investment trust Redefine Properties. He is currently the Executive Director and recently stepped down as Executive Chairman.
Johannesburg – 6 May 2019 – Redefine Properties (JSE: RDF), which has increased its distribution for the six months ended 28 February 2019 by 4.0% to 49.2 cents, continues to build a solid platform for sustained growth and value creation despite ongoing economic and political uncertainty.Internationally held assets contributed 25.4% to income during the review period, with total assets under management increasing by R500m to R99.2 billion. Offshore expansion of R1.9 billion was achieved, of which R0.5 billion was invested into the exciting Polish logistics platform. The local portfolio also received a significant portion of the development spend at R1.3 billion.“We continue to focus on improving the quality of earnings delivered organically and our diversified asset platform is capable of absorbing shocks and providing a springboard for sustained growth,” says Redefine CEO Andrew Konig.While the build-up to South Africa’s election on Wednesday “has been quite smooth”, Konig says confidence needs to return in SA to encourage future growth.“Business and consumer confidence are low and this places strain in certain areas, such as the office and retail markets. Confidence will return once there is improved policy certainty. However, if there is any benefit from the election outcome it will probably only be evident in 2020/21 as opposed to the 2019 financial year,” says Konig.Redefine’s market guidance is that the distribution for the full year will be similar to first half growth of 4% subject to conditions not deteriorating any further than they already have.“Maintaining operating margins is challenging in current conditions and improving quality of earnings is an ongoing theme. However, we managed to maintain our active portfolio margin at 82% in very competitive trading conditions, with tenant retention remaining at a high at 96.6% of leases renewed,” says Konig.Installing renewable energy interventions is one area in which Redefine is sees scope for growth, notably to alleviate some of the pressure caused by Eskom blackouts and tariff increases. During the reporting period, total solar PV capacity increased to 23.5 MWp. Another move to calibrate to the “new normal” has been a move into flexible workspaces. WeWork, the global community company with operations in over 400 locations across 100 cities, will be leasing six floors at Redefine’s iconic Rosebank Link. This extends WeWork’s global presence to Africa, with Rosebank Link being its first site on the continent.A highlight was Moody’s reaffirmation of Redefine’s investment credit grade rating.CFO Leon Kok says the loan to value ratio – the ratio of its loans to property related assets – increased to 42.3% in the first half and in order to reduce this, Redefine will be considering equity funded asset acquisitions on a nondilutive earnings basis, while also actively managing recycling activities to fund the development pipeline.He says interest rates were hedged on 79.2% of total debt and refinance terms for all near- term debt maturities had been agreed. “Our funding strategy has focused on protecting our balance sheet and optimising cost of capital. Responsible balance sheet management remains a top priority,” says Kok.In a move to bolster corporate governance and enhance diversity, the highly respected Sipho Pityana joins the Redefine board as independent non-executive chairman to replace Marc Wainer.“We have been working on a smooth transition and succession plan for more than a year and are truly delighted to welcome someone of Sipho’s caliber to our board. At the same time, we are fortunate to retain Marc Wainer as an executive director as we continue to tap into his vast knowledge, having been through a number of property cycles, and his deal-making skills,” says Konig. Pityana took over as president of Business Unity South Africa (BUSA) in June last year and has held board positions at companies listed on the New York, London and Johannesburg stock exchanges, as well as on unlisted companies.“With a purpose driven strategy, we are well positioned to take advantage of opportunities, which could arise as a consequence of uncertainty. The key is not to get caught out in the headlights of risk. The cycle will not turn for some time and we hope with the elections out of the way strong leadership will provide direction to lift confidence,” says Konig.“We strive to look beyond the current cycle and have a diversified portfolio to absorb headwinds and provide sustained growth. Our expansion into Poland buffers domestic headwinds and through a purpose-driven strategy Redefine is well-positioned to take advantage of the resultant opportunities,” concludes Konig.
In line with its stated intention of strengthening governance, broadening diversity and improving board independence, JSE listed diversified Real Estate Investment Trust (REIT) Redefine Properties (JSE: RDF) has appointed Sipho Pityana as its independent non-executive chairperson. The appointment is effective from 3 May 2019. Sipho (BA (hons) (Essex), MSc (London)), is the founder and chairman of Izingwe Capital (Pty) Ltd, a privately held investment company. He is also chairperson of the board of directors of public listed companies AngloGold Ashanti Limited and Onelogix Group Limited, and an independent director of Absa Bank Limited. Sipho is also a member of the World Economic Forum’s Community of Chairperson of global companies and the chairperson of the Council of the University of Cape Town. He is the president of Business Unity South Africa and a director of Business Leadership South Africa. Previously Sipho served on several boards of private sector companies in both executive and non-executive capacities and in senior roles in the public sector. He takes over from Marc Wainer who will remain an executive director of Redefine. The board of directors of Redefine welcomes Sipho and looks forward to his contribution to the company. The board thanks Marc for his valuable contribution, unstinting leadership and guidance since founding Redefine in 1999, and wishes him well in his new role.
Soweto, South Africa – 09 April 2019: Mary-Ann Mandishona’s Cash4Trash emerged as the winner in the first ever Redefine Properties’ Innovation Challenge announced at the Challenge Convention at Maponya Mall in Soweto. Mary-Ann Mandishona won the R1 million in prize money for her efforts and an opportunity to negotiate start-up support to the value of up to R9 million in the form of either monetary support, education, commercial space or concept acquisition. Ms Mandishona was selected from a group of five finalists for the prize, which recognises an individual who envisions and creates an implementable social innovation project to help communities around Redefine’s properties.Cash4Trash is an income generating recycling initiative powered by vending machines located in Redefine malls. The vending machines will be strategically located in Green Zones in the mall and the community can bring through their recyclable trash to be converted in usable coupons inside the mall.Launched in October 2018 at the first Challenge Convention, the Innovation Challenge is a national competition developed by JSE listed diversified real estate investment trust Redefine Properties inviting the general public to submit ideas on how the company can better engage with and meet stakeholders’ expectations, integrate community and improve experiences. The Challenge Convention concept is a live forum-style event that brings together all stakeholders around Redefine buildings including business students, entrepreneurial-minded thinkers, community representatives, NGO’s, tenants and shoppers. The collective seeks to elevate conceptual thinking to practical implementation, delivering tangible outcomes for the benefit of the communities.In its first year, the Innovation Challenge attracted 1250 entries from across the country. The challenge looked for innovative ideas relevant to the property industry which had the potential to revolutionise either retail, commercial or industrial space in enhancing business opportunities and customer experiences, uplifting communities and their integration in respect of any of the spaces. Individuals could choose to address any issue the community faced embracing technology.The top fourteen finalists pitched their ideas over the past 2 days to a panel of judges which included Marc Wainer founder and executive chairman of Redefine properties, Vusi Thembekwayo, global speaker, venture capitalist and author, as well as Bridgitte Mathews an independent non-executive and deputy chairperson of Redefine Properties.Receiving the top honours, Mary-Ann Mandishona said, “As exciting as this win is, I cherish the time spent with the mentors and deeply appreciate the guidance from Marc Wainer and Jacques Velleman who helped me to better understand the challenges we were finding solutions to. Redefine provided all the finalists with mentors for pitching and it was really helpful as the feedback was great and criticism constructive.”“We were able to access a lot of resources on this journey from the proof of concept-to-the- prize and I am looking forward to working with Redefine and the mentors I met through the competition to help further develop my idea.”Redefine Properties was particularly impressed by the solutions proposed by the contestants says Andrew Konig, CEO.“Many of the solutions aligned to the objectives we set out to meet. The Innovation Challenge has lived up to its intent of being an informed, targeted initiative to create shared value for us and our stakeholders.”“This is our investment in entrepreneurs all over South Africa, building a unique network to unlock the informal business structures, helping create an entrepreneurial culture and providing critical support for a ‘new generation’ of future tenants, employees and suppliers. It also addresses business issues like transformation, filling the skills gap, remaining relevant and offering better experiences in our spaces,” adds Konig.The next Innovation Challenge will be announced towards the end of 2019.“We aim to create a movement and understanding that innovation and entrepreneurship can be manufactured in our communities all over the country with the right mentors and support. The Innovation Challenge is a celebration of this, and all the contestants and the finalists are the ambassadors of SA’s innovative spirit, my congratulations to them all,” says Konig in conclusion.About Mary-Ann Mandishona: Mary-Ann was born in Westbury, a notorious coloured township in Johannesburg known for gang related violence. A directing graduate from the New York Film Academy (USA) who has attended several international film festival programmes, Mary-Ann is a board member of SWIFT (Sisters Working in Film and Television) and on the steering committee of the South African Film Summit. She also holds a Master’s from Goldsmiths University of London (UK).Her credits include the award winning documentary Portrait of an African Matriarch: Joyce Mujuru”. From 2008 to 2016 she worked for CREET (Centre for Renewable Energy and Environmental Technology) as managing director with her father Dr Gibson Mandishona in initiating innovative environmental projects like the installation of biogas digestors in rural clinics, community centres and homes.
Rosebank, South Africa - 10 April 2019 – In the face of tough economic conditions and ongoing uncertainty in the lead up to the May 8 elections, Redefine Properties (JSE: RDF) is being buoyed by its strong focus on tenant retention. Redefine remains at the leading edge of key trends shaping the sector through deepening tenant and broker relationships, ensuring consistency in customer experiences, and improving operational sustainability.“Tenant retention is our number one priority and we are therefore focusing on improving occupancy by rejuvenating premises to ensure that they remain relevant to the user’s needs. We are also boosting operational sustainability through facilities and utilities management interventions,” says says Pieter Strydom, Commercial Asset Manager, Redefine Properties.Redefine is aware flexible workspaces are quickly becoming the “new normal” in the modern working world, for instance. It already has exposure to four of the larger co-working businesses: Flexible Workspace, The Business Exchange, Regus and more recently WeWork.Strydom says the 15-story multi-faceted architectural icon, Rosebank Link – measuring 20,000 square metres – is now fully let, with We Work as the primary tenant.Increasing the number of Green Star-rated buildings also ranks high on the agenda and Rosebank Link boasts a 4 Star Green Star rating.Investors were told during a site visit today that while Sandton has an over-supply of office space, well located P-grade green buildings remain in demand, keeping vacancy in that market segment low. “While traffic remains the key detractor in the Sandton node, new builds offer amenities, accessibility to transport and efficient green-building designs,” says Strydom.Strydom says nodal demand in Sandton is being driven by proximity to the Gautrain and consolidation and densification, while Redefine has also noticed an increase in residential development in Sandton, with mid-tier accommodation being planned. He told investors that Rosebank remains a high-demand area with a shortage of available P-grade offices.Investors were updated on Pybus, the bespoke chambers for advocates, who are known to be long-term, secure tenants. Showcasing a barista café and boardroom facilities free of use to all, 11 500 square meters are 74% let, with the first tenants moving in earlier this month.Redefine also showed investors how 155 West has been refurbished to an A-grade specification. Although lower Sandton is not showing strong demand, 155 West is bucking the trend with its great value for money proposition translating into good demand for the building. The development, which was completed on April 1, is 60% let.Meanwhile Park Central, the residential development catering to a shift in lifestyle trends, is due for completion on May 31, 2019.“At 20 storeys, this will be one of the tallest residential buildings in Rosebank, and we are making steady progress on bringing these 159 luxury apartments to market. Any unsold units will be rented out and we are excited to be venturing into the residential space in this growth node,” says Redefine CEO Andrew Konig.He cautions however that in Rosebank cognisance must be taken of the future impact on municipal infrastructure and roads that are not being upgraded by council. Notwithstanding the challenges, astute investments based on a deep understanding of the trends shaping the market and the needs of tenants continues to give Redefine a decided edge.“We continue to thrive in a subdued environment marked by low confidence thanks to our strategy of investing where we believe the best market opportunities lie and catering to the evolving demands of tenants,” concludes Konig.
Johannesburg, 25 February 2019 – While economic conditions remain challenging, Redefine Properties (JSE: RDF) continues to align its strategy to long-term trends and proactively manage liquidity through the recycling of non-core assets.With all eyes turning to the pivotal May 8 elections in South Africa following a national Budget which painted a worsening fiscal picture, Redefine CEO Andrew Konig expects 2019 to be “a tale of two halves”.Today at the start of the pre-close investor roadshow, Konig said the year would be defined by continued adaption to global monetary policy normalisation and domestic politics, with the national election in the first half of the year likely to be “a watershed event”. Konig cautioned that the threat of a downgrade by Moody’s alongside Eskom’s financial unsustainability would “weigh on local asset prices”. Despite persistent complexities, however, the global economy is expected to continue its expansion, albeit at a slower pace. In current conditions, Redefine maintains its previous distribution guidance of growth in distribution per share of 4% to 5%. “Our agile, diversified property portfolio is capable of absorbing shocks and providing a platform for sustainable growth,” says Konig.The company is mitigating interest rate and currency volatility through interest rate and foreign income hedging strategies. At the same time, potential for capital upliftment through active asset management is being harnessed.Ensuring geographic and sectoral diversificationDuring January, Redefine acquired a further 44.3 million EPP shares from Pimco /Oaktree, increasing Redefine’s stake in EPP by 5.3%. Four development projects totalling 199,024 square metres and costing €124 million will increase the Polish logistics platform to 512,535 square metres with a total value of €320 million.The development projects are all expected to be completed by end 2019 and on average have an initial income yield of 7.1% and an average return on equity of 11.9%, assuming in-country gearing of 55%.Creating sustainable recurring income streams to enable the phasing out of non-recurring income remains a key priority. Locally the focus is on attracting and retaining tenants, through tenant experience and active asset management. “While high consumer debt levels are expected to contain retail spending to subdued levels, we continue to remain relevant to the communities in which we operate,” says Konig.Among retail developments, Centurion Lifestyle (R85 million) was completed during the half year period, Centurion Mall is projected for completion in June and Little Falls (R298 million) in May. Further opportunities exist at Maponya Mall and Centurion Lifestyle.“While there has been growth across the retail portfolio, Centurion Mall and Benmore Centre remain under pressure due to development activity,” says Konig.While market dynamics remain challenging in the office space, Redefine still sees demand for well located, high quality space.Capitalising on shared workspace environment trend“The trend is towards spatially efficient, collaborative workspaces, as well as general densification. We are focused on positioning the portfolio to capitalise on the shared workspace environment trend, while we continue to develop and refurbish assets in key nodes,” says Konig.Meanwhile, in the industrial portfolio persistent low economic growth is set to place pressure on rental growth and drive demand for efficient, well-located facilities.“There is growing demand for more efficient building design in well-serviced key nodes. Manufacturing tenants are under increasing pressure due to erratic demand, policy uncertainty and sustained tension in the labour market. While industrial remains a defensive sector, we are growing our market share and improving the quality through development activity,” says Konig.Redefine is diversifying sustainable income streams, with solar projects totalling R17 million largely complete and student accommodation development of Hatfield Square completed with bed capacity at 2,200.Student accommodation in Australia, meanwhile, offers exciting growth potential and Redefine foresees occupancy in the second semester reaching 80-85% at Leicester Street, which was opened successfully during the reporting period."Our strategy of geographic and sectoral diversification continues to bear fruit as we build an asset platform that sustains organic growth, broaden sustainability and invest where we believe the best market opportunities lie,” concludes Konig.
Johannesburg, South Africa, 07 February 2019: JSE-listed diversified real estate investment trust Redefine Properties’ new 15-storey Rosebank Link has been completed on schedule, with all its office space now fully let. The iconic building is located at 173 Oxford Road, in the heart of bustling and cosmopolitan Rosebank, and strategically positioned on the doorstep of the Rosebank Gautrain station.The new tower has an estimated gross lettable area of just over 18 000sqm of office space, with approximately 817sqm of retail on the ground floor.WeWork, the global community company with operations in over 400 locations across 100 cities, will be leasing six floors at Rosebank Link. This extends WeWork’s global presence to Africa, with Rosebank Link being its first site on the continent.WeWork’s 173 Oxford Road will become home to over 2 000 members – who will join the global WeWork community of 400 000 members – and open to all types of businesses: startups, SMEs and large enterprise companies who take up about 30% of WeWork’s global membership.“We are thrilled to announce our expansion to South Africa with Rosebank Link in Johannesburg. Not only are we entering a brand-new city with plentiful opportunities for our members, but expanding here is significant for our company in terms of our global expansion – Africa is the sixth continent for WeWork, so this is a very exciting moment for us.“As we continue our growth, we are also committed to sharing the upside with our landlord partners, so are especially pleased to be partnering with Redefine Properties in a revenue-share agreement that allows both parties to benefit from the revenue WeWork’s presence in the building will generate,” says Patrick Nelson, head of real estate for WeWork EMEA.Some of the office tower’s prestigious new tenants also include Covington SA, Jellyfish, Value Capital, GMG and the unicorn of coworking spaces, amongst others.The most distinguishing feature of Rosebank Link is its proximity to the Gautrain station. At just 30 meters, the transit-oriented building is a stone’s throw away from the Gautrain station and the Gautrain bus stop. The tower’s unique location allows a safe and direct access to the station through a landscaped pedestrianised thoroughfare on the ground level, running under the building.“The highly successful letting of Rosebank Link makes us extremely proud. It underscores the fact that, despite a challenging leasing environment, the combination of a top-quality asset and unique location will always attract premium tenants,” says Pieter Strydom, commercial asset manager, Redefine Properties.“It is our second ground-breaking project, after Rosebank Towers, to be built on risk, and its success is a testament to our strategic insight, commitment and belief that Rosebank is a dynamic growth node with opportunities waiting to be unlocked.”Rosebank features unprecedented amenities, like high-performance fitness centres, restaurants, cafes and gastro-pubs, including a soon-to-be-opened top-end Food Lovers Market. Rosebank Link’s ideal location means one can literally walk anywhere to access these amenities or transit points, without the need to cross a road.“Furthermore, the demand for flexibility makes collaborative workspaces appealing to entrepreneurs, small and medium enterprise, as well as agile corporates looking to stay nimble. Increasingly, a number of innovative teams at leading corporates are also moving to inspiring spaces that are fast become habitats for sharing ideas and co-creation,” adds Strydom.Rosebank Link, with its expressive steel and glass clad shell, provides a high level of environmental control within the office space, maximising available natural light and, as a direct consequence, reducing energy consumption.At the heart of the building is a multi-storey, enclosed north-facing atrium, fashioned to capture the abundant sunlight filtering down to the ground floor thoroughfare. This creates a conduit for a combination of green walls and plants brought to life in executive roof gardens terraces, podium level garden terraces and parkade wall gardens, that allow for a tranquil environment not normally afforded in multi-storey buildings.The building consists of two basement parking levels, with additional parking levels above ground, a ground floor public/retail level, five parkade levels and eight storeys of offices above a podium level. Rosebank Link offers parking at 4.8 bays per 100sqm, in line with a premium-grade property.“We have delivered a building which is not only sustainable, but also high on innovation, and is 4 Star Green Star-rated,” says Strydom in conclusion.