GROWTH STRATEGY
Portfolio acquisition boosts Dipula asset value
Dipula Income Fund, the diversified black economic empowered property group, has grown its asset value beyond R8bn for the first time, following the acquisition of a mixed portfolio worth R1.25bn. Dipula said in November 2017 it would buy the portfolio. CEO Izak Petersen said that he chose to be especially cautious over the past couple of years while he focused on finding well-suited South African assets. This was amid many South African property investors who were spending capital abroad. The pre-emptive rights regarding certain properties in the R1.25bn acquisition have now either been waived or exercised. The portfolio was acquired with a forward yield of 11.8%. "This yield-enhancing acquisition is in line with our strategy of acquiring quality enhancing properties which offer opportunities to extract additional value through redevelopments and refurbishments," said Petersen. The portfolio was bought from Setso Holdco and Rec Group Property Trust. To complete the deal, Dipula acq...
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