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I am a qualified Attorney. I specialise in Property Law, Commercial Law, Corporate Law and Trusts.
 
Please visit our website at www.prop-law.co.za for more details.
 
I am an elected Committee Member of the Property Committee of the Association of Pretoria Attorneys and through my involvement, I like to ensure that I am constantly at the "sharp-end" of Conveyancing Practice.

I am the elected Chairman on the Gauteng Council of SAPOA. The South African Property Owners Association (SAPOA) is the biggest and most influential institution in the property industry. SAPOA members control about 90% of commercial property in SA, with a combined portfolio in excess of R150 Billion (about $22 Billion). I am also on the National Council and the National Legal Committee of SAPOA.
 
Member of the Institute of Directors South Africa and Member of the Sirdar Governance Panel.

14 November 2011

Vukile acquires R1.5 billion portfolio from Sanlam

Vukile acquires R1.5bn portfolio from Sanlam

And the PIC will acquire 70.2m Vukile linked units from Sanlam.


Johannesburg, Nov 14 (I-Net Bridge) - Property loan stock company Vukile Property Fund (VKE) is to acquire a portfolio of 20 properties, worth nearly R1.5 billion, from Sanlam Life Insurance.

The acquisition is expected to be effective in June next year, once a number of conditions precedent have been fulfilled, and will be funded through a combination of debt and the issue of new linked units. It said on Monday.

Vukile chief executive Laurence Rapp said the acquisition is in line with Vukile's new strategy of growing a quality portfolio of properties with strong contractual cash flows in order to achieve meaningful capital appreciation and sustainable growth in distributions.

"It will enhance the quality of our current property portfolio and will strengthen our presence in the Western Cape."

Rapp said Vukile has been managing this portfolio on behalf of Sanlam for some time and, therefore, has an in-depth understanding of the properties being acquired, making this a low risk acquisition opportunity for the company.

"The buildings being acquired are well located with good quality specifications," he said.

At the same time, the Public Investment Corporation (PIC) has reached an agreement with Sanlam, in terms of which it will acquire 70.2 million Vukile linked units from Sanlam.

Following the transaction between Sanlam and the PIC, Sanlam's holding in Vukile would decrease to 13.6%, of which 7.6% would be held by Sanlam policy holder funds and, as such, constitutes an institutional holding. The PIC's stake in Vukile will be around 20%, it said.

The introduction of the PIC as an investor is a positive development for Vukile as it will broaden its shareholder base and should lead to an increased JSE free float, it said.

"The PIC is one of the largest property investors in South Africa and the introduction of such an esteemed property investor is an affirmation of Vukile's new strategy," said Rapp.

The properties being acquired are: Bassonia Office Park, Bellville Barons, Bellville Santyger, Bellville Tijger Park 1, Bellville Tijger Park 2, Bellville Tijger Park 3, Bellville Tijger Park 4, Bellville Tijger Park 5, Bloemfontein Trador Cash & Carry, Durban Westville Surrey Park, Durban Workshop, Johannesburg Empire Road Offices, Johannesburg Houghton, Pretoria Sanlynn, Midrand IBG, Pretoria Rosslyn Joshua Doore Warehouse, Pretoria Sancardia, Sandton Ascot Offices, Sandton Rivonia Tuscany and Sandton Sunninghill Park.

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