Hardware Warehouse subsidiary sells property

Hardware Warehouse, a provider of materials for the building industry, on Wednesday advised that its wholly-owned subsidiary, Senar Investments, had agreed to sell a property in Butterworth in the Eastern Cape to Nvest Properties for R10.65 million.

The commercial property comprised land with a total area of 2,123 square metres and a building with a total area of 2,102 square metres. 

"The directors' of Hardware Warehouse's strategy is to utilise the assets of the company for trading purposes and to apply these assets to the core business of Hardware Retailing. The sale of the property will generate substantial cash flows that will be utilised to settle debt obligations which are due in May 2012," Hardware Warehouse said in a statement. 

The disposal, settled in cash, was unconditional as all the conditions precedent were fulfilled.