Fourways mall delays put damper on Accelerate Property Fund’s results
Executive management has staked the company’s future on the success of the Fourways node
Delays in revamping Johannesburg’s Fourways Shopping Centre continue to put pressure on Accelerate Property Fund’s performance, with the company releasing uninspiring results for the six months to September. Since Accelerate’s listing five years ago its executive management has staked its future on the success of the Fourways node, given that its largest assets, including the flagship shopping centre, are there. Upgrades to the mall, Africa’s largest at 178,000m² and worth R9bn, were meant to have been completed by the end of September. The mall, to have about 450 stores including SA’s first KidZania entertainment concept, is now expected to relaunch on April 25 2019. About 64,000m² of the centre is trading.
In releasing financial results for the six months to end-September, COO Andrew Costa said on Monday most of his time was spent on securing quality tenants at the mall and trying to lower Accelerate’s debt. The company’s loan-to-value was 42% at the end of the reporting per...