The Tembisa Mega Mart, a neighbourhood shopping centre in a township located east of Johannesburg, has been long coming.
New word is, the shopping centre will be ready for launch in the fourth quarter of this year and will come with interesting changes in key drivers.
It would seem that Nedbank Property Finance and Dipula Income Fund have been kicked out of the Tembisa deal. It would seem Delta Property Fund, a BEE styled listed property investor, has stolen the march to Tembisa. Delta announced yesterday on the JSE that it has reached an agreement to acquire the Tembisa development for R240 million at completion later this year.
It was Nedbank and Dipula who brought news of the Tembisa Mega Mart to the market early last year. A statement fashioned by Nedbank last year announced that the bank was providing R238 in funding to Dipula to acquire Tembisa Mega Mart from a developer. The shopping centre was to be ready late last year.
Yesterday’s announcement by Delta changes the players in the Tembisa deal. Delta said it has concluded an agreement for the acquisition of the turnkey development, Tembisa Mega Mart, from Realty Dynamix 107.
Delta said the effective date of the acquisition, subject to a number of conditions, will be 1 September 2014. The property is expected to be completed and 80% let by August.
Delta added that the property presents an attractive investment as it is tenanted with 81% national tenants which include Pick ‘n Pay, Pep and Buildrite. The property provides Delta with diversification in terms of sectorial spread and is in line with Delta’s strategy of actively pursuing investment opportunities that will enhance the overall quality and value of its portfolio.
Delta said “The Purchase Consideration will be settled in cash upon registration of transfer of the Property Development into the name of Delta.”