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Growthpoint’s Canopy overall winner at prestigious property awards

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Growthpoint’s Canopy by Hilton Cape Town Longkloof development named overall winner at prestigious property awards

Growthpoint Properties (JSE:GRT) excelled at this year’s South African Property Owners Association (SAPOA) Property Development Awards for Innovative Excellence, taking home three prestigious wins, including top honours. The recognition highlights Growthpoint’s leadership in shaping South Africa’s built environment through transformative, high-impact developments.

Two of Growthpoint’s recent projects were celebrated. Canopy by Hilton Cape Town Longkloof, situated in its distinctive Longkloof mixed-use development, won the Overall Best Development Award along with Best Mixed-Use Project. Thrive @ Crescent Studios in Johannesburg, won Best Student Accommodation Project.

Excellence in property development

The SAPOA Awards for Innovative Excellence recognise projects that redefine South Africa’s property landscape through design, sustainability, functionality, and positive social impact. Developments are judged across a range of categories, with winners representing the very best of the sector.

Growthpoint’s success at this year’s awards demonstrated the company’s ability to deliver projects that balance commercial value with broader contributions to their communities.

Canopy by Hilton Cape Town Longkloof: a landmark in mixed-use urban renewal

In Cape Town, Growthpoint’s Canopy by Hilton Cape Town Longkloof is a gem in the mixed-use historic Longkloof precinct on the edge of the CBD. Covering 16,500m², the project involved refurbishing five heritage buildings, selective demolitions and the addition of a new 154-key five-star hotel.

Working with dhk Architects, the development has transformed the once landlocked Longkloof site into a vibrant, mixed-use destination that integrates office, retail and hospitality. Public spaces, pedestrian walkways, retail outlets, cafés and Longkloof Square now enliven the Longkloof precinct’s street life and enhance connectivity to the city.

Growthpoint replaced surface parking with three levels of underground parking, freeing up space for urban activity and seamlessly linking the different uses in Longkloof. The project is a model of how heritage preservation and modern development can work in harmony to deliver urban renewal at scale.

The SAPOA judges recognised its complexity, design quality and catalytic impact on Cape Town’s city centre.

Thrive @ Crescent Studios: redefining student living

Located just a minute’s walk from the University of the Witwatersrand, Thrive @ Crescent Studios represents a new benchmark in student accommodation. The twelve-storey, purpose-built residence offers 871 beds across 351 well-designed apartments, providing studio, two- and three-bedroom options. Each unit features private kitchens and bathrooms, giving students apartment-style living with the comforts of independence.

Beyond its scale, the project is distinguished by the comprehensive lifestyle it offers. Students benefit from dedicated study zones on every floor, a fully equipped computer lab, and collaboration rooms to support academic focus and peer connection. Social and wellness amenities include a rooftop entertainment area, gym, laundry facilities, games room, braai areas and a multi-sport court.

The building’s thoughtfully designed interiors create a warm, modern environment where students can live, learn and grow. By integrating academic, social and lifestyle facilities, Thrive @ Crescent Studios delivers a holistic campus experience that is supportive and empowering.

A proud moment for Growthpoint

Estienne de Klerk, SA CEO of Growthpoint Properties, expressed his pride in the recognition. “Winning three awards at this year’s SAPOA Awards is a tremendous honour for Growthpoint. Canopy by Hilton Cape Town Longkloof and Thrive @ Crescent Studios both demonstrate our commitment to creating developments that add real value – not just for investors and tenants, but for the people and communities who use them every day.”

Reflecting on the Longkloof project’s dual awards, he added “The recognition of Canopy by Hilton Cape Town Longkloof as Overall Best Development is especially meaningful. The Longkloof mixed-use precinct was a complex undertaking that required balancing heritage preservation with bold urban renewal. The result is a development that invests in the heart of Cape Town, celebrates its history and creates a vibrant destination for the future.”

As South Africa’s leading real estate investment trust (REIT), Growthpoint has built a reputation for innovation, quality and sustainability. The company’s strong showing at the SAPOA Awards reaffirms its position as a leader in shaping the country’s-built environment.

De Klerk concluded “These awards inspire us to keep raising the bar in everything we do. We are committed to developing properties that respond to South Africa’s evolving needs and meet our strategic priorities, while contributing to more liveable, sustainable and inclusive cities.”

 

Growthpoint exceeds upper end of distributable income per share

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Growthpoint exceeds upper end of distributable income per share forecast and sees stronger growth ahead

Growthpoint Properties Limited (JSE: GRT) delivered results exceeding the top-end of its guidance for the financial year ended 30 June 2025, reporting distributable income per share (DIPS) of 146.3cps, up 3.1% from the prior financial year, and a total dividend per share (DPS) of 124.3cps, an increase of 6.1%.

Growthpoint’s return to growth comes a full year earlier than initially expected.

Growthpoint entered the 2025 financial year (FY25) forecasting an earnings contraction of -2.0% to -5.0%. Better-than-expected half-year results, driven mainly by improved performance from the South African portfolio, better finance cost expectations and outperformance from the V&A Waterfront, marked a turnaround and Growthpoint upgraded its guidance to positive growth of between 1.0% and 3.0%. A further upgrade in June 2025 tightened the guidance range at the upper end of between 2.0% and 3.0%.

The same factors contributing to Growthpoint’s half-year outperformance, cemented its positive performance in the second half.

Norbert Sasse, Group CEO of Growthpoint Properties, comments, “This strong set of results shows that Growthpoint has done well to exceed expectations and deliver solid earnings growth while executing our strategic priorities. The progress made in further strengthening our SA portfolio is evident in its improved performance. The V&A Waterfront once again delivered stand-out results. Streamlining our international investments has simplified our capital structure and equity story, and disciplined treasury management kept finance costs below expectations.”

 The watershed year also resulted in Growthpoint upgrading its payout ratio to 87.5% for the second half. Together with the 82.5% payout ratio for the first half, Growthpoint’s payout ratio for the full year is 85.0%.

Shifting its outlook from cautious to optimistic, Growthpoint will maintain its payout ratio at 87.5% for the 2026 financial year (FY26). The reset to the higher payout ratio reflects Growthpoint’s strong balance sheet, effective strategy execution and disciplined capital management leading to positive momentum in SA property values and operations and a simpler international investment capital structure. Growthpoint’s strong position is further reinforced by the tailwinds of decreasing interest rates and a growth phase taking shape in the property cycle.

FINANCIAL PERFORMANCE

 Growthpoint delivered rewarding financial results in the face of ongoing external pressures. Total property assets stand at R155.8bn compared to R166.2bn for the 2024 financial year (FY24), with strategic disposals to optimise the international investment portfolio being the main factor contributing to the 6.3% decrease. The Group SA REIT loan-to-value (LTV) ratio decreased to a conservative 40.1% from 42.3% at FY24, while the interest cover ratio (ICR) improved to 2.5x. Growthpoint retains strong liquidity, with R0.9bn in cash and R4.7bn in unutilised committed debt facilities and enjoys excellent access to funding at attractive margins.

Finance costs in SA decreased, stemming from lower average borrowings compared to FY24 and a lower weighted average cost of debt in FY25 of 8.9% (FY24: 9.6%), and 6.9% (FY24: 7.2%) when including foreign exchange instruments.

“LTV ratios, linked to valuations, have now stabilised. Growthpoint remains committed to balance sheet resilience and liquidity for the long term, underpinning our continuing access to competitive funding and maintaining financial flexibility,” notes Sasse.

STRATEGIC PRIORITIES

 Growthpoint has a diversified portfolio and defensive income streams. It successfully advanced its strategic initiatives to improve the quality of its SA portfolio including driving sustainability initiatives towards the goal of carbon neutrality by 2050, and to optimise its international investments.

Improving the quality of the directly held SA portfolio of logistics and industrial, office and retail properties, Growthpoint is focused on disposals, developments and targeted investments.

Over the past decade, it has trimmed asset numbers in the portfolio from 471 to 328, reducing gross lettable area by 18.9%. While the property count has reduced, the core SA portfolio has been significantly improved with quality income streams. In FY25, Growthpoint disposed of 25 non-core (including trading and development) properties for R2.5bn at a R37.9m profit to book value and invested R1.6bn in value-adding development and capital expenditure.

As a result of its portfolio enhancement over the past decade (from 1 July 2016), Growthpoint has strategically grown its logistics and industrial assets from 15.0% to 20.0% of the total SA portfolio value. To achieve this, it reduced property numbers from 247 properties totalling 2.2m square metres gross lettable area (GLA) to 143 properties just shy of 1.8m square metres, selling primarily older industrial and manufacturing facilities while increasing its exposure to modern logistics warehouses, which are now nearly half of the portfolio, and to better performing nodes.

It also reduced its office exposure from 46.0% to 40.0% of portfolio value, streamlining the portfolio from 186 properties to 146 or 1.6m square metres of GLA, by reducing exposure to B‑ and C‑grade assets and those in non-core business nodes and aligning its office assets more closely with modern business aspirations and operational needs.

Retail property assets remained a steady 39.0% of the total portfolio value, but the number of retail properties has nearly halved from 61 to 32 and now spans 1.1m square metres of GLA. The shift has seen Growthpoint exiting non‑core retail in declining nodes and central business districts, and smaller, niche segments such as motor dealerships. At the same time, extensive redevelopments and upgrades at all its long-hold shopping centres have resulted in a more focused, modern and relevant retail portfolio.

Optimising its international investments, Growthpoint simplified and enhanced its capital structure and equity story by disposing of its entire stake in C&R to NewRiver REIT (NRR) in December 2024, receiving R1.16bn cash and a 14.2% stake in NRR, using proceeds to reduce debt. Post-year-end, Growthpoint disposed of its entire NRR stake at a market premium price of 75.0pps raising gross sale proceeds of R1.3bn thereby exiting its investment in the UK while bolstering its balance sheet and liquidity position.

Growthpoint continues to evaluate options to maximise value from its 29.6% stake in Globalworth Real Estate Investments (GWI), where it is supporting value-unlock initiatives. Progress is being made with constructive discussions amongst the shareholders in respect of the future strategy for the company.

The 63.6% stake in Growthpoint Properties Australia (GOZ) remains core.

Growthpoint owns 15.7% of Lango Real Estate Limited (Lango) which internalised its asset management function and was redomiciled to the UK during the year. Growthpoint now classifies its investment in Lango as an international investment, and no longer as part of Growthpoint Investment Partners (GIP).

SOUTH AFRICAN PORTFOLIO

 In SA, Growthpoint owns and manages a R66.7bn diversified core portfolio of retail, office, logistics and industrial, and trading and development properties, representing 50.1% of Growthpoint’s total asset book value. This portfolio contributed 51.2% of DIPS.

Rental renewal growth improved materially while vacancies reduced moderately, and like-for-like net property income (NPI) grew at 5.9%. Arrears remain firmly in check. Together, these improving metrics signal positive momentum, and all three of the portfolios are showing like‑for‑like growth. The SA balance sheet is robust, with conservative leverage at 34.5% (FY24: 35.4%) providing capacity to grow decisively.

The SA portfolio value increased 2.2% or R1.4bn, driven by disciplined capital recycling with proceeds from its R2.5bn in assets sales (R2.7bn including R120.0m for Fountains View sold to Growthpoint Student Accommodation Holdings) fuelling reinvestment and targeted development to improve the portfolio quality.

The office portfolio delivered the most pronounced improvement in the SA portfolio, achieving a meaningful turnaround in like-for-like NPI from -1.0% to +6.8%, driven by steady letting and disciplined cost and recovery management. Vacancies reduced to 14.6% with a sharp improvement in rental renewal growth from -14.8% to -3.2%, and over half of leases were signed at equal or higher rentals. For the second year, the office portfolio printed positive valuation growth of 1.9%.

While oversupply persists in the broader office market, Growthpoint’s results signal a clear positive trend and more improvement ahead, although potentially uneven as significant offices leases were renewed post year-end with negative reversions which will have an impact on the sector’s FY26 renewal growth rate. Growthpoint curates its office portfolio to accommodate modern businesses and concentrates its assets in high-demand areas. It completed the Longkloof mixed-use precinct development in Cape Town, including the Canopy by Hilton hotel. Growthpoint’s net-zero carbon redevelopment at 36 Hans Strydom for Ninety One on a 15-year lease, is well progressed and set for completion later this year.

 The logistics and industrial portfolio delivered the strongest performance. Vacancies reduced and were contained to only a few properties. The two vacancies at new speculative developments at year-end are now fully let. Encouraging demand signals vacancies are likely to decrease even further. Like-for-like NPI increased 5.5% and the portfolio value, which remains conservative, grew by 3.1%. Rental escalations, both in-force and on renewal, are trending upwards, with 59.0% of new and renewed leases signed at the same or higher rentals. High-quality developments have strengthened the portfolio, including new units at Centralpoint and the second phase of Arterial Industrial Estate.

With fewer properties of better quality, nearly half of which are logistics and warehouse properties, this portfolio has evolved into a more focused, higher-performing selection of assets. The portfolio metamorphosis is set to continue, with a strong pipeline of demand-aligned speculative developments.

The retail portfolio delivered a solid performance, marked by like-for-like NPI growth of 5.3% and consistently low core vacancies of 4.4%. Portfolio value increased 2.2%, supported by value-adding upgrades improving the portfolio quality through expansions, redevelopments, tenant mix enhancements, consumer-focused updates and solar installations, as part of the ongoing portfolio repositioning supported by recycling capital. These highly targeted asset management interventions are driving rental upside.

Retail fundamentals in the portfolio continued to improve, with footfall growing and trading density increasing at 4.8%, outperforming the Clur benchmark. Community centres led annual trading density growth by type (7.6%) while Western Cape shopping centres outperformed by region (5.3%). Top-performing retail categories for trading density growth included non-discretionary food (8.2%), department stores (6.8%) and homeware, furniture, and interiors (7.0%).

SA trading and development is delivered by the in-house Growthpoint Trading & Development division, which creates value through internal delivery of new developments for Growthpoint’s balance sheet and has an external mandate to earn third-party development fees and trading profits. This year it concentrated on industrial and retail developments that strengthen long-term portfolio quality while third-party projects played a smaller role. The division earned R51.6m (FY24: R42.2m) of trading profits and R3.1m (FY24: R25.4m) of NPI, but no development fees (FY24: R9.8m). FY26 represents a new cycle of third-party developments commencing when the landmark Olympus Sandton residential towers, which is being undertaken in partnership with Tricolt within Growthpoint’s Sandton Summit mixed-use precinct, breaks ground later this month.

Sustainability is integrated across Growthpoint’s business. As an innovator in this space, Growthpoint is making measurable progress against its goal to achieve net-zero carbon emissions across its portfolio by 2050.

Scaling practical and smart solutions for energy saving while expanding renewable energy generation, Growthpoint has cumulatively spent R1bn on installed solar, with 80 plants and a PV capacity of 61.2MWp placing it on par with a commercial-scale renewable utility.

Growthpoint’s innovative e-co₂ solution will deliver certified green electricity at cost-saving fixed escalations directly to its tenants at 10 of its Sandton office buildings next month (October 2025). It is anchored by a 195GWh power purchase agreement with Etana Energy, signed in 2023, drawing on hydro, wind, and solar supply equal to 32.0% of Growthpoint’s energy consumption for its 2023 financial year.

The first electrons of e-co₂ renewable electricity will be wheeled from October 2025 via the national grid from the Boston Hydroelectric Plant in the Lesotho Highlands Water Scheme, developed in partnership with Serengeti Energy. E-co₂ provides tenants with three benefits: certified zero-carbon electricity, blockchain registered Renewable Energy Certificates (RECs) that can be used as verified proof of Scope 2 carbon emission reductions or traded on global renewable energy markets, and cost-saving fixed escalations.

Growthpoint is driving water resilience and waste reduction through targeted programmes designed to cut intensity across the portfolio. Over the next three years, it projects saving 89.4 megalitres of water. This year, it diverted 43.0% of waste from its properties from landfill and is on track to reach 50.0% next year. Its water resilience infrastructure continues to grow, with 40 registered boreholes and 162 backup facilities providing nearly 10,000 kilolitres of storage capacity.

Growthpoint is a Level 1 B-BBEE contributor and invested R58 million in corporate social responsibility during the year, with a strong focus on its flagship education projects. Its social investment directly benefitted 7,316 individuals, while enterprise development initiative Property Point sustained 216 jobs.

“With deep specialist expertise and our significant portfolio, Growthpoint is advancing our ESG commitments and reshaping how real estate investment delivers environmental and social returns,” says Sasse.

V&A WATERFRONT

Growthpoint’s 50.0% interest in the V&A Waterfront in Cape Town has a property value of R13.3bn, which makes up 10.0% of Growthpoint’s total asset book value and contributed 16.3% to DIPS. Once again, the V&A delivered excellent performance. NPI increased 10.4% even with the Lux Mall and The Table Bay hotel temporarily undergoing value-adding redevelopment. Growth was driven by a full year of trading from newly introduced operational businesses in the hotel sector as well as those that opened during the year, the income activation of the Union Castle building in December 2024 and a strong cruise season. Vacancy is negligible, holding steady at 0.3%. Like-for-like NPI grew 12.7%.

NPI from operating businesses, where the V&A enjoys both the rewards and risks of a revenue-sharing model versus the traditional pure-rental model, increased to 16.0% of NPI from 10.0% in FY24. The V&A now has three hotels with nearly 600 keys under operating agreements. The Radisson Red Hotel delivered standout growth. Increased tourism, reflected in 6.0% more international visitors arriving at Cape Town International Airport in FY25, drove turnover rental gains across hotels, attractions and retail. The V&A drew 24 million visitors.

Retail sales increased by 5.8% reaching over R10.0bn, with further upside ahead as the new 3,759m² Lux Mall is set for phased occupation post-completion in December 2025. Office NPI increased by 17.0% and like-for-like by 10.0% on the back of strong demand, near-zero vacancy, high renewal rates and modest rental growth. The marine and industrial segment saw increases across the board in cruise vessels visits, casual birthing and charter boats.

Hotels, residential and leisure increased NPI by 10.0% with like-for-like growth of 27.0%. The V&A’s hotels recorded 23.8% higher average daily rates, steady occupancy and increased overall revenue per available room. A new luxury hotel with branded residences will launch mid-2026. Residential vacancies remain low and construction on the new 5 Dock Road apartments began this year, targeting completion by December 2025.

GROWTHPOINT INVESTMENT PARTNERS

 Growthpoint’s alternative real estate co-investment platform, GIP, is 1.8% of Growthpoint’s total asset book value and contributed 3.8% to DIPS. It includes two funds distinct from Growthpoint’s core assets. Growthpoint Student Accommodation Holdings, operating under the Thrive Student Living brand, attracted R425m in new equity during the year. Growthpoint Healthcare Property Holdings expanded its mandate to include aged living and hospital-linked medical consulting rooms as it continues to drive scale. GIP closed the period with R8.6bn of assets under management, evenly weighted between the two funds.

INTERNATIONAL INVESTMENTS

 Growthpoint continues to optimise its international investment. On 30 June 2025, 38.0% of property assets by book value were located offshore, and 28.7% of its DIPS was generated offshore. Foreign currency income of R1.4bn (FY24: R1.6bn) reflected the streamlined capital structure achieved during the year.

GOZ, which invests in high-quality industrial and office properties in Australia, accounts for 23.2% of Growthpoint’s total assets by book value and contributed 20.4% to its DIPS. Growthpoint received a steady R1.0bn net distribution from GOZ. GOZ’s distribution decreased 5.2% to AUD18.2cps (FY:24: AUD19.3cps) which excludes a special distribution of AUD2.1cps distributed to compensate for the increased dividend withholding tax due to the sale of industrial assets. GOZ’s payout ratio for FY25 was increased to 87.0% from the prior year’s 80.7%.

GOZ maintained a strong balance sheet and reduced gearing from 40.2% to 39.7%. The directly owned GOZ portfolio performed well, with occupancy remaining high at 94.0% (FY24: 95.0%) and a 5.6-year weighted average lease expiry.

The year was marked by strong momentum in GOZ’s funds management business. GOZ divested its non-core holding in Dexus Industria REIT and established the AUD198 million Growthpoint Australia Logistics Partnership with TPG Angelo Gordon owning 80.0%. It also launched the Growthpoint Canberra Office Trust, which acquired a high-yielding, primarily government-leased, A-Grade office building in Canberra’s CBD. Despite this momentum, performance was tempered by increased costs, lower lease surrender fees and high exposure to Melbourne office assets. The local market continues to recover gradually with valuations under pressure due to policy headwinds and delayed interest rate cuts. Cap rates valuations are stabilising. GOZ issued FY26 distribution guidance of AUD18.4cps.

GWI, which invests in offices and mixed-use precincts in Poland and in Romania where it also develops logistics parks, represents 12.2% of Growthpoint’s total assets by book value and a 5.1% contribution to DIPS. GWI displayed fundamental improvement with stronger key metrics. The portfolio value increased by 0.8% to EUR2.6bn. The capital cities of Warsaw and Bucharest continued to outperform regional markets. Like-for-like NPI grew 6.0%, offset by higher interest costs due to the recent Eurobond refinance.

Gearing remains a low 38.0% and liquidity strong with EUR325m of cash on hand and EUR115.0m of undrawn debt. GWI’s improved financial strength is reflected in cash dividends replacing prior scrip payments, although distribution growth has yet to follow, with a 33.3% decrease in distribution per share to EUR14.0cps dampened by higher finance costs and the EUR5.9m impact of a new tax policy in Poland.

GWI continues to invest in its portfolio, including its current refurbishment of the 48,300m² Renoma mixed-use property in Poland. In Romania, it delivered and secured a 20-year lease on 5,900m² of the Craiova Logistics Hub.

Lango, which invests in prime commercial real estate assets in key gateway cities across the African continent (excluding SA), accounts for 1.7% of Growthpoint’s total assets by book value and made a 0.2% contribution to DIPS. Lango finalised the acquisition of USD200m of assets from Hyprop Investments Limited and Attacq Limited, further cementing its position as the premier African real estate investment vehicle north of SA. Growthpoint received R11.0m dividend income from Lango.

Growthpoint has exited its investment in the UK, selling its stakes in C&R and, post FY25, NRR. At year-end the investment in NRR represented 0.9% of total assets by book value, which made a 3.0% contribution to DIPS.

LOOKING AHEAD

 Growthpoint sees the property cycle entering a growth phase. Driving this positive shift are the improving performance from Growthpoint’s SA portfolio driven by strengthening property fundamentals, continued outperformance by the V&A, GOZ’s strong operational fundamentals and reduced interest rates.

Key metrics are improving consistently across all three SA sectors, supported by Growthpoint’s capital recycling strategy into higher-yielding opportunities with non-core SA asset sales of R3.5bn targeted for FY26. The V&A Waterfront is on track for double-digit growth. Reduced finance costs will continue to benefit the business.

On the international front, elevated capital costs domestically and globally, continue to constrain prudent investment growth.

For FY26, Growthpoint guides DIPS growth between 3.0% and 5.0% and DPS growth of between 6.0% and 8.0%, with a payout ratio of 87.5%.

“Growthpoint’s diversified portfolio and income streams, and its embedded sustainability, which are all constantly being improved by skilled leadership and dedicated teams, position it strongly for FY26. The positive momentum across the portfolio is clear, and it is being driven by operational resilience and strategic execution,” concludes Sasse, who will lead the business for one more financial year before handing over the Group CEO role to current SA CEO Estienne de Klerk on 1 July 2026.

 

Growthpoint x Fuel Switch

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Growthpoint x Fuel Switch: a new benchmark in the global green economy that opens REC markets for SA Inc

 Growthpoint Properties (JSE: GRT) is giving a massive boost to Africa’s first open blockchain-enabled Renewable Energy Certificate (REC) exchange, Fuel Switch, while unlocking certified clean energy trading for tenants when its e-co2 green energy initiative goes live on October 2025.

Wheeled green energy is available for daily business in South Africa from October

Growthpoint’s e-co₂ will deliver its first green electrons to 10 Sandton office buildings in October, with hydropower wheeled over the national grid from the Boston Hydroelectric Plant, newly developed in the Lesotho Highlands Water Scheme in partnership with Serengeti Energy. The e-co2 roll-out puts Growthpoint well ahead in bringing certified renewable energy into daily business use. e-co2 wheeled green electricity is cost competitive for Growthpoint tenants and has a zero-carbon footprint, so they can save money and advance their sustainability goals.

Growthpoint has a long-standing track record in sustainable property innovation. For e-co2, the company signed a 195GWh Power Purchase Agreement with Etana Energy in 2023, securing a mix of hydro, wind and solar power. This energy underpins Growthpoint’s pioneering e-co₂ solution, which delivers wheeled renewable electricity directly to commercial buildings and their tenants.

But the real breakthrough lies in how this energy is certified, tracked and monetised for Growthpoint’s tenants. To deliver this capability as part of a growing suite of high-impact business-enabling tenant benefits, Growthpoint partnered with Fuel Switch, a blockchain-based energy tech platform and recent winner of the Agence Française de Développement’s Digital Energy Challenge.

Partnering for innovative green energy certification

Fuel Switch’s platform certifies the electricity as green using IoT, blockchain and AI, providing independent third-party verification in an innovative manner. Once certified, the green energy benefit is recorded on a digital certificate.

Each REC confirms that one megawatt-hour of renewable energy has been generated and supplied to the national grid. The RECs are stored on the blockchain as a digital asset. Each is time-stamped and linked to a renewable energy source.

Think of it like this: when a solar panel generates electricity, it creates two things – actual power, and a certificate that says, “this power came from a clean, renewable source”.

Certified green energy: a valuable new currency for business

 Corporates have come under increasing pressure to meet net-zero and ESG commitments. On top of this, sustainability reporting is increasingly carrying the same weight and scrutiny as financial reporting.

RECs can be redeemed for certified reduction of Scope 2 Carbon emissions. Fuel Switch integrates directly with South Africa’s national REC registry, zaRECs, as well as the global I-REC standard governed by the I-TRACK Foundation. Its blockchain platform provides an immutable record for each REC from issuance to retirement, which ensures auditability aligned with global ESG standards.

What’s more, with South Africa’s constrained economic growth, businesses are under immense pressure to grow and find new revenue streams. RECs can be monetised by selling them on the voluntary REC market where rights to green electricity are sought after.

Large companies — Google, Amazon, Microsoft, Apple, and Meta — are a driving a surging demand for RECS as they seek to reach 100% renewable electricity for their operations.

Until now, Africa’s participation in the voluntary RECs market has been limited. High costs, slow manual processes and opaque trading made it accessible to only the largest-scale projects.

That changes in October 2025.

When e-co2 goes live, Fuel Switch will enable Growthpoint tenants of all sizes to access this new market.

 Green energy trading made simple for Growthpoint tenants

What makes this collaboration unique is the functionality pioneered and developed by the partnership, which integrates Fuel Switch directly into Growthpoint’s property portfolio, green energy data and IT systems. The innovation lies in blockchain smart contracts that use IoT devices and business logic to bring all stakeholders together with a digital handshake.

As e-co2 rolls out from October, participating tenants in select Growthpoint buildings will have their smart electricity meter consumption data automatically sent for verification, and the corresponding RECs will be issued directly into secure digital wallets. These wallets are free for Growthpoint tenants and accessed through the Fuel Switch Exchange platform, allowing tenants to access, manage and deploy their RECs based on business needs. They can redeem them to lower emissions or sell them for additional revenue.

This makes Growthpoint the first to offer a commercial-scale, wheeled renewable electricity solution where renewable energy use is certified at the building level and the benefits are made available to tenants in a verified, auditable format.

Fuel Switch’s elegant innovation behind the scenes

Fuel Switch explains that an elegant system of automated actions executes predetermined smart contract rules embedded a secure blockchain data base. The result? Green energy that is independently certified with the highest level of trust and transparency and direct access to an evolving trading market that is usually inaccessible to all but the biggest players due to high participation costs.

With Fuel Switch, transactions that previously took weeks can now settle virtually instantly. Its smart contract technology is a much more cost-effective way to transact leading to marginal fees. Its infrastructure is capable of handling over 10,000 transactions per second, and it is already trusted by major corporates in South Africa.

Democratising the green economy

Werner van Antwerpen, Growthpoint’s Head: Corporate Advisory, says the platform opens new doors, “It is a game-changer for how businesses can participate in clean energy markets and carbon reduction reporting. By combining our e-co2 wheeled green electricity property portfolio with Fuel Switch’s blockchain technology, we’re opening the green energy market to businesses of all sizes, creating measurable environmental impact and generating real financial value.”

 Gideon Maasz, COO of Fuel Switch, adds: “Our mission is to make participation in the green economy easier, quicker, more cost effect and more transparent. Our partnership with Growthpoint accelerates this goal. With blockchain as the backbone, every REC is verifiable, tradeable, and audit-ready, fully aligned with evolving IFRS sustainability reporting standards.”

 While both e-co2 and the Fuel Switch integration support Growthpoint’s long-term environmental goal to achieve net-zero carbon emissions across its portfolio by 2050, the implications are much, much bigger. These solutions are built around Growthpoint’s tenants — thousands of businesses, big and small, in all sectors of South Africa’s economy.

More than that, understanding that a vibrant and healthy green energy market is crucial for energy security and job creation, the development Fuel Switch has undertaken with Growthpoint will expand the green economy for others too. As an open platform, Fuel Switch can be used by any business or individual, globally.

Growthpoint confirms leadership succession

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Growthpoint confirms leadership succession for

Group Chief Executive Officer and Group Chief Financial Offi

The Board of Directors of Growthpoint Properties Limited (JSE: GRT) is pleased to announce planned leadership appointments as part of the company’s long-term succession strategy. Estienne de Klerk will be appointed as Group Chief Executive Officer, effective 1 July 2026, and José Snyders will step into the role of Group Chief Financial Officer effective 1 January 2026.

Well planned leadership transition

Growthpoint plans leadership changes well in advance to ensure stable, experienced leadership and a strong, embedded culture to deliver sustainable long-term value to its stakeholders.

In 2022, Growthpoint reported that the current Group CEO Norbert Sasse would retire from the role. The Board is pleased to confirm that Estienne de Klerk, currently Growthpoint South Africa CEO, will succeed Sasse as Group CEO effective 1 July 2026. De Klerk’s appointment follows a structured succession planning process overseen by the Board over several years.

De Klerk is a Chartered Accountant and a Harvard Business School alumnus, having recently completed the Advanced Management Programme. He holds a BCom in Industrial Psychology and BCom Honours degrees in Marketing and Accountancy from the University of Johannesburg. He is also a certified Master Practitioner in Real Estate (PPRA).

With three decades of experience across banking and listed property, and nearly 20 years with Growthpoint in a progression of senior executive roles, de Klerk has deep expertise in capital markets, mergers and acquisitions, operations, BBBEE and industry transformation.

He has held numerous leadership roles in the sector, including Chairman of the SA REIT Association, Past President of the South African Property Owners Association and founder of the Property Industry Group, which supported the sector through the Covid-19 pandemic. He also serves on the boards of key Growthpoint investments, including V&A Waterfront Holdings Pty Ltd and Growthpoint Properties Australia Ltd.

The Board also announces that Gerald Völkel is retiring as Group Financial Director on 31 March 2026 and will be succeeded by José Snyders as Group CFO and Executive Director. Snyders is the current CEO of Liberty Two Degrees Ltd (L2D), a role he assumed following a successful tenure as both Commercial Director and Financial Director of that company. He is a Chartered Accountant with a Bachelor of Commerce degree and two honours degrees specialising in financial analysis and portfolio management and financial accounting. With over 22 years of experience spanning financial services, investment banking and listed real estate, he brings with him a deep blend of strategic, operational and capital markets expertise.

A clearly defined handover structure

Marking 22 years at the helm of Growthpoint, Sasse will continue to lead the company for the current financial year to 30 June 2026, when he will hand the reins over to de Klerk for the 2027 financial year. Sasse will remain with the business in an executive capacity for six months until 31 December 2026, to support a smooth and orderly transition. The position of SA CEO will be removed as part of a broader review of the executive leadership operating model.

Völkel and Snyders will work in parallel for three months, from 1 January 2026 to 31 March 2026, to ensure a seamless handover and continuity across the Group’s financial operations. Völkel will retain the responsibility as Group Financial Director for Growthpoint’s FY26 half-year financial reporting and officially hand over to Snyders from 1 April 2026.

Strong, skilled, stable leadership

These appointments reflect Growthpoint’s ongoing commitment to stable, long-term leadership ensuring the company is well positioned to continue delivering strategic and operational performance. This includes its stated objectives of improving its South African portfolio and optimising its international investments.

Chairman of Growthpoint, Rhidwaan Gasant, comments, “This is a natural and timeous transition to new leadership to take Growthpoint into its next chapter. We are pleased to announce Estienne de Klerk’s appointment as Group CEO, which represents strong continuity and deep corporate knowledge, while the appointment of José Snyders as Group CFO injects fresh perspective into the mix.

“The Board is pleased with the implementation of its leadership succession plan and is confident that these appointments will deliver value for shareholders,” concludes Gasant

Growthpoint and FlySafair launch industry-first travel benefit

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Growthpoint and FlySafair launch industry-first travel benefit for Joburg office tenants

 Office space that gets you places — Growthpoint changes the office leasing game

Growthpoint Properties (JSE: GRT), South Africa’s leading listed property company, is revolutionising what tenants can expect from their offices in a pioneering partnership with FlySafair that quite literally helps business take off.

In an unprecedented move for the property sector, Growthpoint has teamed up with leading low-cost passenger airline FlySafair to launch a first-of-its-kind office tenant travel benefit – Growthpoint SmartFlight.

Businesses signing new leases of three years or more in Growthpoint’s Johannesburg office portfolio can now convert up to 30% of their tenant installation allowance into FlySafair flight vouchers.

The vouchers, redeemable through a central digital wallet using the latest blockchain technology (the same technology used in cryptocurrency transactions), offer tenants the opportunity to unlock business travel, whether to attend meetings or conferences, to enable hybrid work strategies, or simply get teams face-to-face where they collaborate best. Using the digital wallet, the tenant can allocate the flight ticket to any employee within their company.

“At Growthpoint, we understand that office space isn’t only measured in square metres, but also in the ways it enables your business to thrive,” says Timothy Irvine, Growthpoint Properties Head of Asset Management: Offices. “We are proud to partner with award-winning FlySafair to take our office tenants to new heights.”

A new kind of office offering

The initiative marks a bold shift in commercial property leasing. Industry-wide, tenant installations allowances are typically limited to fit-outs and furnishings. With Growthpoint’s SmartFlight, its tenant installation allowance now becomes a strategic asset that recognises that in today’s business world connection is as critical as space, and so it assists in the operational growth of tenants’ businesses.

“FlySafair is proud to be part of an innovation that puts real business benefits in the hands of Growthpoint’s tenants,” says Kirby Gordon, FlySafair CMO and Executive Manager.

Growthpoint SmartFlight vouchers are valid for 12 months, redeemable for FlySafair domestic flights and subject to standard FlySafair and Growthpoint terms and conditions.

A pattern of property innovation with intent

This new travel benefit joins a suite of industry-first initiatives that transform what Growthpoint tenants get from their office lease.

Growthpoint’s SmartMove Office programme offers up to 100% of first-year rental back in value, covering rent-free periods, fit-out and relocation costs. UNdeposit replaces traditional security deposits with a once-off fee, freeing up capital for business growth. Work Agility delivers fully furnished, tech-ready, modern office spaces on flexible terms, which are ideal for teams that need to move fast without sacrificing quality.

Coming this September, Growthpoint’s e-co₂ will switch on wheeled renewable electricity, delivered through a landmark Power Purchase Agreement with Etana Energy, directly to opted-in tenants at a selection of its office buildings in Sandton, Johannesburg. With fixed green electricity escalation pricing and certified emission reduction certificates, tenants can lock in cost-stable green electricity that also accelerates ESG goals.

Together, these game-changing initiatives signal a fundamental shift for the property industry as Growthpoint continues to find bold and innovative ways to structure offices around business performance, not the other way around.

A partnership elevating possibility for business

Growthpoint’s collaboration with FlySafair – an industry disruptor that reshaped access to air travel in South Africa – is a fitting match. Both have a track record of identifying and unlocking opportunity and value, expanding what it means to thrive in a modern economy.

“SmartFlight builds on a new kind of thinking that is reshaping offices into strategic resources that help South African businesses stay agile, competitive and connected,” says Irvine.

Young achievers shine at the top of the Growthpoint Gems class

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Life-changing internal education programme produces record number of graduates 

Growthpoint Properties recently celebrated the academic excellence of 21 students supported through its internal education programme, Gems, at two awards ceremonies held in Johannesburg and Cape Town. The events recognised the achievements of the programme’s “Class of 2024” – a group of bright young students from around the country who are realising their potential through access to quality education.

Launched in 2016, Gems provides educational support to the children of employees earning below a certain threshold, covering costs such as school fees, uniforms, stationery and other materials. The initiative also offers academic, psychosocial and personal and leadership growth development support. With students supported from Grade 4 through to tertiary level, the programme is unlocking opportunities and shaping future leaders from within Growthpoint’s own community.

Recognising excellence, rewarding potential

Previously, the awards recognised the five highest-performing students in each education phase – primary, secondary, and tertiary – based on academic averages of 70% and above. However, for the 2024 Top Achievers Awards, the number of young achievers recognised increased with higher levels of academic excellence.

Nine of this year’s awardees have consistently held top achiever status since joining the programme, demonstrating commitment to their studies. At the same time, several new achievers emerged, highlighting the transformative power of sustained academic, growth development support.

One student, a Grade 4 learner from Gauteng, earned the national top achiever title with an exceptional 90% average. This clearly demonstrates the value of a programme such as this for smart young learners at the foundational education level.

The achievers received shopping vouchers to be redeemed at various Growthpoint shopping centres and at Exclusive Books.

The awards also celebrated a significant milestone: Gems produced its highest-ever number of tertiary graduates this year, with 11 students completing qualifications in fields ranging from IT and law to hospitality and psychology.

Class of 2024 Gems tertiary graduates:

  • Thato Mmutle: Advanced Diploma in Transport Management
  • Lutho Kula: Bachelor of Arts Honours in Live Performance
  • Jordyn Lewis: Bachelor of Social Science in Psychology & Counselling
  • Lithemba Ngumbela: BBA in Logistics & Supply Chain Management
  • Lesego Maponyane: Bachelor of Laws (LLB)
  • Dilshaad October: National Diploma in Information Technology
  • Keabetswe Moshapo: National Diploma in IT Software Development
  • Rodale du Plessis: National Diploma in Hospitality Management
  • Sebenzile Sangweni: Higher Certificate in Construction & Engineering Drafting
  • Keenen Thwala: Higher Certificate in Information Technology
  • Kamogelo Mashigo: Higher Certificate in Information Technology & Support Services

Among the young achievers is Rodale du Plessis, a long-standing Gems participant grew up in the community of Mannenberg in the Cape Flats and is now employed internationally. After nearly a decade in the programme – which she credits for shaping her academic focus, mental resilience and long-term goals – Rodale recently completed her National Diploma in hospitality management and secured her first job abroad at Nobu by the Beach in Dubai.

“The Gems programme moulded my mind to prioritise my goals. Even when I didn’t meet them, I kept going,” she said. “The support I received, especially the tutoring through high school, helped me believe I could dream big. That’s exactly what I did – and here I am.”

A long-term investment in people and potential

Growthpoint’s leadership attended both award events to congratulate learners and reaffirm the business’s commitment to meaningful transformation.

“Education is one of the greatest gifts we can give. It changes lives and opens doors,” said Norbert Sasse, Growthpoint Group CEO. “Our goal with Gems is to support our employees by investing in their children’s futures. When families thrive, so do our communities and our country does too.”

Gems is one of Growthpoint’s flagship internal programmes and a key part of its broader social responsibility and transformation agenda. It is anchored on three pillars: academic support, psychosocial development, and personal and leadership growth. Growthpoint has invested around R9 million annually in the Gems programme over the past five years, demonstrating the business’s sustained commitment to meaningful impact.

Now nearing its 10-year anniversary, Gems continues to offer real and lasting impact that goes beyond through financial assistanceby helping learners build confidence, explore their aspirations and achieve success on their own terms.

“We’ve seen learners grow, find their voice and reshape their perspectives on life,” said Shawn Theunissen, Head of CSR and Transformation at Growthpoint. “With everything we do, we aim for intentional impact. That’s what makes Gems so powerful.”