Accelerate Property Fund to sell Edcon warehouse
In a deal worth R94 million.
South Africa-based real estate company Accelerate Property Fund said on Friday it would sell an Edcon warehouse for R94 million as it proceeds with disposals, to reduce debt. Edcon owns and operate retail brands such as Edgars, Jet and CNA.
The disposal of the warehouse in the Western Cape comes as the company seeks to sell off R2.5 billion in assets, and some of the proceeds may be used to buy back shares.
Since the end of March, the company had sold properties to the value of R500 million, saying on Friday sales of a further R460 million worth of assets was well advanced.
In September, the company warned that rental reversions and additional costs at its newly upgraded Fourways Mall would have a material effect on its payments to shareholders.
The company’s dividend could fall as much as 15 percent in its year to end-March 2020, it said at the time.