Accelerate Property Fund aims to list on JSE in December
Accelerate Property Fund CEO Michael Georgiou says the timing of the listing places Accelerate in an ideal position to capitalise on the future development of the Fourways Node - one of the fastest growing and most densely populated areas in Johannesburg.
Accelerate Property Fund‚ a newly formed retail-focused property fund‚ yesterday announced its plans to list on the Johannesburg Stock Exchange (JSE) under the real estate holdings and development sector.
The company is expected to list on December 12, 2013.
The offer comprises a private placing by Accelerate by way of an offer for subscription of up to 480-million shares‚ subject to a minimum subscription of R2.048bn being achieved‚ of which R1.81bn has already been secured from irrevocable subscription commitments. A further R300m has been underwritten.
“We are excited by the listing on the JSE and have been extremely encouraged by the interest and support shown by investors. Accelerate presents a unique opportunity for investors to gain exposure to the highly defensive retail sector‚” Accelerate nonexecutive chairman Tito Mboweni said.
Accelerate‚ which will be classified as a real estate investment trust (Reit) on listing‚ has a portfolio of 51 high-quality properties across SA‚ including ownership of two prominent regional shopping centres.
Exciting growth prospects include the right to own 50% in a super-regional centre on completion.
Accelerate’s portfolio has been valued independently at more than R5.9bn and comprises a total gross lettable area (GLA) of 440‚520 square metres‚ consisting of 67% retail space‚ 22% office space‚ 7% industrial and a 4% specialised car dealership component.
The company said it intended to maintain a strong retail bias and the fund offered investors direct exposure to high-quality retail centres and other prime properties in SA.
“The funds we raise through the listing will provide us with the resources we need to continue to strengthen our balance sheet and make investments in new development opportunities‚ refurbish existing locations and uplift certain properties‚” said CEO Michael Georgiou.
"The timing of the listing places Accelerate in an ideal position to capitalise on the future development of the Fourways node — one of the fastest-growing and most densely populated areas in Johannesburg. These are all key components that will drive our future growth and allow us to enhance value and support longer-term income and capital growth‚” said Mr Georgiou.
