Texton Property Fund, the diversified real estate group which has struggled over the past couple of years, has been placed on a better footing by CEO Nic Morris. In the past six months to a year, Morris and his team have managed to internalise the fund’s external management company, sell many of the smaller tail assets which did not suit the fund’s investment profile, and have established a presence in the UK. Many market commentators have been critical of listed property groups having external management companies. This was because the external management company earned fees for every property deal done. This could create a conflict of interest as external managers may be motivated to grow the fund regardless of the quality of potential acquisitions. This prompted Morris and Texton to internalise the management of the group. Texton listed on JSE in 2011 with a total portfolio value of R943m. It now has a portfolio valued at R5.63bn. Of this, R3.3bn is in SA and R2.2bn is in the UK....

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