JSE-listed Tower Property Fund has acquired the Link Hills Shopping Centre, in Waterfall, KwaZulu-Natal for R160.9-million from The Sabre Trust and Matlu Family Trust.
The shopping centre, on Inanda road, was situated in an upper-high-growth residential area, next to the newly established Watercrest Mall. The road was also recently upgraded to a dual carriageway, providing easy access to the area, increasing its attractiveness to potential shoppers.
“The centre will benefit from the establishment of the regional mall, as shoppers who previously travelled to other areas are being drawn to this retail node,” the fund said in a statement.
Link Hills was anchored by Pick n Pay, Mica Hardware and a Ford dealership.
The purchase consideration would be paid in an initial cash deposit of R10.2-million to law firm Cliffe Dekker Hofmeyr and held in escrow until the sellers fulfilled their obligations in respect of, besides others, the rental guarantee, any net current liability adjustment and the distribution payment.
R20.5-million would be paid in cash to the sellers, while the remaining R130.2-million would be paid by way of the allotment and issue of 13.4-million Tower shares at an issue price of R9.70 apiece.
The acquisition remained conditional subject to approval by the competition authorities.