Between early 2014 and late 2015, its share price more than trebled, which helped it to win the Financial Mail Top Companies and Sunday Times Top 100 Companies awards in 2016. Its share price has largely gone sideways to down in the past 18 months and its latest results showed a small decline in headline earnings per share, but the basic model appears to be alive and well. It’s painful to see how badly served the low end of the housing market is and how poor people pay exorbitant rents so they can be moderately close to work. Calgro CEO Wikus Lategan describes how a backyard shack in Alexandra commands a rental of between R600 and R1,000 per month, while a postage-stamp 4m² balcony in Hillbrow goes for around R700 a month. That is tragic. It’s little wonder that Calgro’s affordable housing is so attractive. The average value of a mortgage bond is R770,000, while a lower-end Calgro property sells for about R450,000. Lategan also looks at the memorial park division, which should start...

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