Rebosis Property Fund sells six properties to black-owned property developers

The deal is valued up to R2.2 billion.

Real estate company Rebosis Property Fund announced on Monday that it plans to sell six office properties to various 100 percent black-owned property developers for up to R2.2 billion.

Rebosis said the sale of its properties forms part of its strategy to be a retail-focused real estate company and to reduce the company’s exposure to office properties. The company said the sale is also part of its efforts to reduce debt as the proceeds from the sale will be used to pay off existing debt.

Rebosis will sell two properties in Marshalls Town to Aventro Properties for R894 million, or 9.75 percent yield on the 12 months’ forward net income of the market-related rental on lease renewals achieved with the tenant.

Endless Fortune will buy two properties in Marshalls Town and Pretoria for R588 million, or 9.75 percent yield on the 12 months’ forward net income of the market-related rental on lease renewables achieved with the tenant.

Rebosis will sell three properties in Johannesburg to Lunar Stone for R551 million, or 9.75 percent yield on the 12 months’ forward net income of the market-related rental on lease renewals achieved with the tenant.