Gemgrow Properties, a specialist high-yielding property group, says it plans to do deals with large real estate investment trusts (Reits) that are facing structural problems and need to let go of their smaller assets. Gemgrow is trying to attract investors wanting to buy into a company with a South African portfolio as opposed to many larger funds that have invested abroad and now have to manage more risks. “Our strategy is to be a very acquisitive real estate investment trust. “We are a high-yielding, high-growth group and have been buying assets from private buyers but also from large Reits who may be overindebted and sitting with assets worth up to say R100m,” said chief operating officer Alon Kirkel. Releasing financial results for the six months to March, he said Gemgrow would be an aggressive buyer of assets in SA for the rest of 2018, while other funds may be more cautious in a slow growth economy. Gemgrow made acquisitions worth R549m during the first half of its financial y...
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