Dipula plans to make acquisitions
CEO Izak Petersen says the company has been patient and can now take advantage of challenges facing other funds
Dipula Income Fund, a landlord that focuses largely on Gauteng, says it plans to take advantage of low commercial property prices and make acquisitions later in 2019.
Dipula CEO Izak Petersen said that many funds are struggling in a difficult operating environment that has created opportunities. “We have stuck to our knitting and focused on getting our assets to perform adequately over the past few months. We haven’t gone abroad and taken on new risks but rather kept our strategy in SA. Now we are in a position where we can make plays in the local market again,” he said after the release of results for the six months. Dipula is actively looking for acquisition opportunities that includes buying portfolios or taking over other property funds, he said. JSE-listed property companies are under pressure to decrease their relative debt levels, also known as loan-to-value (LTV), as weak rental growth persists in SA. To lower LTVs some funds have to sell assets and Dipula may be a...
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