The Mall of Africa
Real estate investment trust (Reit) Attacq, which is celebrating its tenth year as a JSE-listed company, exceeded its distributable income per share (DIPS) guidance of between 8% and 10% for the financial year ended June 30, posting growth in DIPS of 14.5% to 71.9c.
However, despite describing its business as robust and sustainable, the company warned on September 28 that muted economic activity, high interest rates, growing pressures within the retail environment and ongoing loadshedding would persist throughout the 2024 financial year, prompting Attacq to retain its DIPS guidance at 8% to 10% for the year ahead.
The company achieved dividend growth of 16% to 58c for the 2023 financial year and reported high occupancy and collection rates of 92.5% and 100.7%, respectively.
Positive retail trade in Mall of Africa resulted in 10.8% growth in rental income for the year, supported by 21 new brands being introduced. This resulted in a 91.6% increase in turnover rental and a 71.4% increase in third-party income at Mall of Africa.
“This year has been transformative for Attacq on so many fronts – from building and growing community partnerships to presenting and delivering a landmark equity transaction with our partners at the Government Employee Pension Fund, and achieving key environment, social and governance milestones.
"As a purpose-led business, we think differently about real estate, and this is evident in the successful execution of our strategy this year,” CEO Jackie van Niekerk commented.
Waterfall City, the group’s flagship retail, residential, logistics and office precinct, continues to perform well against all metrics, and bears testament to the success of Attacq’s precinct focus strategy, where Attacq has uniquely created a smart, safe and sustainable city. The ability to roll out reliable infrastructure has assisted in mitigating local government service delivery challenges, and Waterfall City has continued to attract local and global blue-chip industrial and office tenants including Cisco, Sage, Cotton On, Vantage Data Centres, Dimension Data, Accenture, Pfizer, Cummins and Dis-Chem.
Development completed at Waterfall City during the year under review totalled 30 586 m2 of gross lettable area at a cost of R543.3-million.