Leading by example

During his keynote address on the opening day of the convention, Minister Macpherson announced that the Department of Public Works and Infrastructure (DPWI) has formally joined the Green Building Council South Africa as part of its wider reform programme, marking a pivotal shift in how government approaches its role as the country’s largest landlord. This move signals a new era of accountability and leadership in sustainable building practices across thousands of state-owned properties.

“As the largest landlord in South Africa, responsible for thousands of state-owned buildings, we recognise both the burden and the opportunity of our portfolio,” stated Minister Macpherson. “We have a duty to lead by example. Our goal is not only to transform our buildings but also to redefine how we operate as a public institution, by innovating, setting new standards and creating markets that support a sustainable economy.”

The announcement comes at a critical juncture for South Africa’s built environment. With buildings accounting for nearly 40% of global carbon emissions, the minister’s commitment underscores the urgent need to transform how structures are designed, constructed and operated.

Creating markets and economic opportunity

The economic implications of this policy shift are substantial. Minister Macpherson highlighted that the construction sector created 130 000 new jobs in the third quarter of 2025. This represented just over half of all net new jobs created in the quarter. The commitment to pursue 4-star and higher green certifications for new government building projects and precinct developments under DPWI’s control is expected to accelerate job creation while establishing green building as the new standard.

“Imagine how many more could be created if every government building were energy efficient and all new projects met at least a 4-star green rating,” the minister challenged the audience, emphasising that sustainability represents not just an environmental imperative but a powerful economic driver.

Professional development and capacity building

In a move that demonstrates genuine commitment, Minister Macpherson announced that departmental professionals across the property and infrastructure portfolio are being trained as GBCSA accredited green building practitioners. Notably, the minister himself will personally enrol in the GBCSA programme.

“If we want a credible green public sector, we must start with knowledge and accountability,” he emphasised.

From policy to performance: Measurable action

The minister acknowledged that while the 2018 Public Works Green Building Policy laid the foundation, implementation has lagged. Under his leadership, this is set to change with concrete, measurable commitments:

• A new Property Performance Report will measure space utilisation, efficiency and resource use.
• An annual State of Public Works Green Building Report will cover energy, water, waste management and socioeconomic impacts, including job creation.
• The measures announced aim to integrate sustainability into project design from the outset.
• Existing properties will be certified under GBCSA’s Existing Building Performance programme and prioritised for green upgrades.
• Solar panels will be installed on suitable government building roofs.
• Time-of-use meters will be introduced to track and manage water and energy consumption.

“What we don’t measure, we can’t manage,” stated Minister Macpherson.

Implications for the REIT sector

The government’s green building commitment creates significant implications for South Africa’s real estate investment trust (REIT) sector. As government sets new standards, it raises the bar for the entire property industry.

Joanne Solomon, CEO of the SA REIT Association and a GBCSA board member, noted the alignment between this government initiative and the sector’s existing trajectory. “In November 2024, in partnership with Nedbank Corporate and Investment Banking, we launched the SA REIT Sustainability Disclosure Guide aimed at establishing sustainability standards and best practice benchmarks for the real estate sector in South Africa,” Solomon reflected. “Minister Macpherson’s announcement reinforces the critical importance of the sustainability journey our members have undertaken and validates the leadership role that REITs have played in advancing green building practices.”

REITs have already made substantial investments in solar power and water supply infrastructure, continually enhancing their buildings to reduce carbon footprints.

Building South Africa’s sustainable future

Minister Macpherson specifically highlighted partnership with the private sector as essential to unlocking the potential of underutilised government properties. “Many government-owned buildings across cities are vacant or underutilised, missed opportunities that we intend to unlock through redevelopment models that combine green design, social inclusion and economic return,” he stated.

The minister’s vision extends beyond individual buildings to encompass broader economic transformation. “For every 1% of GDP invested in infrastructure, we can unlock up to 1.5% in economic growth, higher still if the infrastructure is green and future-ready,” he noted.

Minister Macpherson acknowledged the GBCSA for its leadership, calling the initiative “not just a technical exercise, it’s a national mission.”

“Together, we can reimagine our buildings not as static structures but as symbols of progress, inclusion and sustainability,” Minister Macpherson concluded. “Let’s build a South Africa that is more sustainable, more resilient and more hopeful. That is how we win.”

The 18th Green Building Convention took place from 11-13 November 2025 at the Century City Conference Centre in Cape Town, under the theme “Stepping up to next”. Macpherson’s address formed part of a wider programme of thought leadership that included Dr Adenike Akinsemolu, founder of The Green Institute and Urban Surfer eco entrepreneur Sifiso Gumbi.

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Initiative Aims to Celebrate Nicole’s Legacy through Community Action and Compassion for Animals.

The Hyprop Foundation’s Warm Woodrock charity drive is currently underway, calling on the public to support animal welfare in loving memory of Nicole Greenstone. Nicole, a cherished colleague and friend, passed away in August 2024. She is remembered not only for her professionalism and warmth but for her profound compassion for animals, which has shaped her life.

This initiative, established by the Hyprop Foundation, was created to keep Nicole’s legacy alive by supporting animal shelters that reflect her values. With this in mind the foundation’s Warm Woodrock project will support Woodrock Animal Rescue, a Gauteng-based shelter known for its hands-on approach to animal care, rehabilitation, and rehoming.

Running until the end of August, the drive invites the public to donate blankets, pet food and essential supplies for dogs, and cats. Branded collection bins are located at five Hyprop shopping centres: Hyde Park Corner, Clearwater Mall, Woodlands Shopping Centre, The Glen Shopping Centre, and Rosebank Mall.

“Our goal is simple,” says Leonie Prinsloo from the Hyprop Foundation. “We honour Nicole by championing a cause she held close to her heart, giving vulnerable animals a second chance at life. Nicole’s compassion was a beacon of hope for both people and pets. By participating in this initiative, you can turn her legacy of kindness into real, life-saving action.”

Each centre is also hosting a live caricature artist on select weekends. Visitors who drop off donations receive a free, personalised sketch of themselves and their pet, a small thank you for helping make a difference. Upcoming caricature artist appearances include 16 August at Clearwater Mall and 23 August at The Glen Shopping Centre.

“Nicole poured her heart into helping those who needed it most, especially animals with no voice of their own, adds Prinsloo. “By supporting Warm Woodrock, you honour Nicole’s legacy and give hope and a future to animals in desperate need. Help us give animals the love and care Nicole gave so freely. Your support truly makes a difference.”

Woodrock Animal Rescue, established in 1992, is one of South Africa’s oldest independent pro-life animal shelters. It is home to hundreds of rescued animals and relies entirely on public support to operate. The partnership with the Hyprop Foundation brings much-needed supplies, awareness, and funding to its mission.

Donation guidelines and a QR code linking directly to Woodrock’s website are available at each collection point, offering digital options for those unable to donate items in person.

The Hyprop Foundation, Hyprop Investments’ Corporate Social Investment arm, is committed to making a meaningful impact in the communities surrounding its shopping centres. The Hyprop Foundation focuses on education and skills development, community upliftment, and enterprise development, and strongly believes in building a better future by investing in people, places, and the planet. Warm Woodrock is a testament to the Hyprop Foundation’s commitment to making a real difference. Partnering with Woodrock Animal Rescue brings its value of compassion and community to life.

Join us in honouring Nicole’s legacy and making a real difference for animals in need. Visit any participating Hyprop retail centre or scan the QR code at donation bins to find out how you can support Warm Woodrock.

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 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.

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Spear REIT Limited (JSE: SEA), South Africa’s only regionally focused REIT, has announced the acquisition of Maynard Mall, a 25,969m² convenience shopping centre located in Wynberg, Cape Town. The R455 million transaction further reinforces Spear’s hyper-local investment strategy, targeting high-growth nodes across the Western Cape.

The acquisition aligns with Spear’s objective to grow its portfolio of well-located, high-quality convenience retail assets within the Western Cape. Maynard Mall, centrally located in Wynberg, Cape Town, is a convenience-orientated community shopping centre anchored by Shoprite, with a strong tenant mix comprising 70% national retailers — including Ackermans, Absa Bank, Clicks, Capitec Bank, KFC, Hungry Lion, Nedbank, Pep, Sportscene, and Zone Fitness — as well as essential services such as the Department of Home Affairs and local traders. The centre caters to both daily and weekly shopping needs, drawing from a broad residential catchment area and the commuter market, with an annualised footfall of 6 million shoppers.

“This acquisition is a pivotal extension of our retail footprint in Cape Town’s established Wynberg node,” said Quintin Rossi, CEO of Spear REIT. “It deepens our exposure to resilient consumer retail trade and enhances our income stability profile, supported by a weighted average lease expiry of 57 months.”

The anticipated transfer date is 1 January 2026, with the acquisition being funded through a combination of cash from Spear’s recent R 749 million capital raise and secured debt facilities. The transaction is set to deliver an initial yield of 9.55%, with an additional R20 million earmarked for medium-term capital expenditure. Spear has identified asset enhancement capital expenditure measures of up to R 20 million to be carried out over a three to five-year period to enhance the value proposition of Maynard Mall. These items include the potential increase in the self-storage offering, future expansion of the PV solar installation, modernisation of selected lifts, escalators, HVAC equipment and mechanical installations. Assuming the full asset enhancement capital expenditure is accounted for on the transfer date, the post capex, stabilised yield would be 9.15% – 9.3%.

“Spear has actively pursued growth opportunities in Cape Town’s convenience retail sector — on terms that aligned with its strategic and financial criteria; requiring management to remain patient, selective, and firmly committed to its investment strategy,” Rossi continued. “Today’s announcement gives credence to our approach.”

The transaction is subject to the approval by the Competition Commission. Once implemented, Spear’s retail portfolio will increase to approximately R1.4 billion in value, comprising 81,205m² in gross lettable area.

In addition to Maynard Mall, Spear recently announced the acquisition of Consani Industrial Park for R437 million. Following the implementation of both transactions, Spear’s loan-to-value (LTV) ratio is projected to be 28%, well below the company’s target range of 38%–43%, providing sufficient capacity for future growth opportunities.

These recent transactions follow the successful integration of Spear’s R1.15 billion Western Cape portfolio acquisition in October 2024, which expanded the group’s asset base to R5.5 billion and delivered 97% occupancy at FY2025 year-end. Following the implementation of the Maynard Mall and Consani Industrial Park acquisitions, Spear’s total asset base is expected to increase to R6.6 billion. Notably, Maynard Mall also includes a 924 kWp solar plant, supporting Spear’s sustainability strategy by contributing to energy efficiency and reducing environmental impact.

“Building on our strong FY2025 performance and positive momentum into FY2026, we remain focused on executing our Western Cape strategy — targeting high quality assets in established nodes underpinned by robust leasing and real estate fundamentals,” concluded Rossi.

Spear will continue to focus on measured growth across the Western Cape, with a focus on retail, commercial, and industrial assets that align with its long-term investment strategy.

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Quintin Rossi, CEO of Spear, highlighted that the acquisition aligns with the company’s strategy to build a resilient and high-growth portfolio of industrial assets within the Western Cape, a region that continues to demonstrate strong economic fundamentals. “The Western Cape is the essence of our long-term growth strategy. We remain highly selective in our acquisitions, and Consani Industrial Park offers a prime location with a proven track record of stability and future growth potential. This asset adds meaningful scale, long-dated income profiles and quality to our portfolio and reaffirms our ongoing commitment to the industrial sector.”

Consani Industrial Park, situated on a 10.64-hectare erf, comprises a total gross lettable area (GLA) of 80,657 m² and is multi-let to a diverse range of industrial tenants, underpinned by long-term lease tenures. The property is strategically situated within a secure and established industrial precinct that continues to attract large-format occupiers, due to its proximity to key transport routes, reliable energy infrastructure, and organic growth potential.

The transaction supports Spear’s broader strategy of acquiring income-producing assets in proven nodes, offering both yield enhancement and long-term value creation. The acquisition was concluded at an initial yield of 9.71%, with additional value to be unlocked through a planned R34 million capital investment program over the next five years, focused on operational optimisation and strategic enhancements.

According to Rossi, Spear’s regional focus has been instrumental in identifying and executing this strategic acquisition. “We have a hands-on, laser-focused team dedicated to driving our growth strategy. Our approach is to be patient and selective when choosing assets that align with our investment objectives. We are committed to ensuring that each acquisition is the right fit, delivering long-term sustainable income and value for our shareholders.”

The acquisition will be funded through a combination of debt facilities and available cash reserves, following Spear’s successful private placement, which was concluded in June 2025.

The addition of Consani Industrial Park further reinforces Spear’s strategic footprint in the Western Cape, a region characterised by robust demand, positive economic drivers and resilient real estate fundamentals.

“Spear remains committed to building a defensive portfolio that delivers both stability and future growth. Through measured expansion and active asset management, with a focus on retail, commercial, and industrial assets that align with our long-term investment criteria, we aim to create sustainable value. With the forthcoming addition of Berg River Business Park in Paarl and Consani Industrial Park in Elsies River Industria, both subject to competition commission approvals, we are confident that Spear’s continued investments across the Western Cape will deliver strong returns for our shareholders,” concluded Rossi.

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“Emira is a business with strong fundamentals, a clear strategy and a highly capable incumbent executive team. It is positioned for continued, sustainable value creation,” says Day.

Day joins Emira’s leadership team alongside long-serving executives Ulana van Biljon, Chief Operating Officer, and Greg Booyens, Chief Financial Officer.

A Chartered Accountant with a strong foundation in finance and real assets, Day brings extensive local and international experience to the role. As a CA(SA), his career began in audit and finance with BDO/Grant Thornton in South Africa and the United States, and went on to include roles at Brookfield Asset Management and Elanor Investors Group in Australia.

Cape Town-born and bred, he returned to South Africa to work in the property sector, including as CFO of Botswanan-listed RDC Properties, which secured the successful takeover of Tower Property Fund during his tenure. Most recently, he served as Financial Director at Castleview Property Fund.

Outside the boardroom, Day enjoys the outdoors, travelling and long-distance running.

With an agile mindset and a focus on outcomes, Day brings a practical, adaptable and long-term approach to his new role. A systems thinker, he values foresight and risk mitigation, and works to cut through complexity and unlock performance efficiently and enduringly.

“What excites me about Emira is the strength of the team, the quality of the platform and the opportunity to keep delivering value by doing the foundational things right and sharpening our strategic edge where it matters most,” says Day. “Emira’s strategy remains consistent: keeping our capital productive through diligent asset management, disciplined capital recycling and continued value-accretive investment with the goal of meaningful stakeholder value creation.”

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“Our sturdy performance during the period reflects the dominance and resilience of our portfolios in South Africa and Eastern Europe despite geopolitical challenges,” CEO Morné Wilken said. “We continue to look beyond the short term for organic and new growth opportunities to deliver value for all our stakeholders.

“In line with our growth and diversification strategy, we recently announced our intention to make a voluntary offer for a controlling stake in MAS plc to expand our footprint in the Eastern European market, for which we have raised R808 million via a book build. We believe the MAS plc transaction could be a game changer for Hyprop and will give us access to new countries in the region, namely Romania and Poland. However, before proceeding with the transaction, we must meet certain conditions, with one key condition being approval from our shareholders.

“If this transaction does not proceed, we can effectively deploy these funds into reducing debt in the short term, as well as for asset management initiatives, organic growth opportunities, further solar-PV projects and new investments within Hyprop’s expansion strategy.”

Hyprop is strongly positioned to make investments, with R1.2 billion of cash and R2.2 billion in available bank facilities, after receipt of the capital raise proceeds. The cash injection took the LTV ratio down from 36.3% at 31 December 2024 to 34.2%.

Since the Group embarked on its new strategic journey in 2019, it has made significant progress, including optimising its EE portfolio, settling dollar equity debt in the sub-Saharan Africa portfolio, and selling the sub-Saharan Africa portfolio in return for shares in Lango, a pan-African real estate investment company. In the same period, Hyprop reduced its LTV from a peak of 52%, shaved its euro equity debt from €403 million to €87 million, simplified its structure, improved its credit rating, and continuously invested in enhancing the attractiveness and sustainability of its centres in South Africa and Eastern Europe.

SA and EE centres maintain attractiveness

In the South African portfolio, tenant turnover rose 7% in the five months ended 31 May 2025 compared with the same period in 2024 while trading density increased by 10.2%. At 31 May 2025, retail vacancies were 3.9%, primarily due to Edgars’ rightsizing its stores in the portfolio, which provides flexibility to secure new tenancies to meet shoppers’ demands. The weighted average reversion rate remains in positive territory at 2.9%, and the retail new deal reversion rate was very pleasing at 13.5%.

All the centres have made good progress with letting and projects. Here are some of the highlights:

In the Western Cape, Canal Walk is pleased to see that Edgars is performing well in the new rightsized space, which includes a world-class fragrance and cosmetics offering. Overall, leasing activity has been positive, with office demand increasing significantly. At Somerset Mall, the Phase 2 expansion of the centre is progressing well, and terms have been agreed with several stores which will occupy the expanded area, including Game, Computer Mania, Total Sports, a variety of athleisure and affordable luxury brands such as New Balance, Burnt, Curve Gear, and Napapijri, an international outdoor apparel brand. At CapeGate, the development of satellite offices around the centre on a leasehold basis is still in the early stages, but it is gaining traction and already attracting potential tenants.

In Gauteng, Rosebank Mall enhanced its tenant mix by adding six new stores: Cannafrica, One Stop Travel & Tours, Drip4Life (IV drip experts), Glow Theory (Korean beauty store), John Craig and Cajees (a watch and accessories retailer). Hyde Park Corner will be significantly enhanced in August with the opening of a new Checkers FreshX store. At Woodlands, the Pick n Pay supermarket has rightsized from 5 600m² to 3 636m² and a new lease agreement has been signed with a franchisee. The Glen completed its egress and ingress project in April and is currently refurbishing its exterior signage.

In Eastern Europe, tenant turnover increased by 3.5% and trading density rose by 4.0%, despite a decline in foot count of -3.3% mainly due to non-trading Sundays in Croatia and recent store boycotts related to rising food prices. Despite these challenges, tenant demand remains robust, as reflected in the modest 0.1% vacancy rate at 31 May 2025.

In Croatia, City Center one East and City Center one West continued to broaden their retail offerings. At The Mall in Bulgaria, various projects have been completed to enhance the sustainability and efficiency of the centre: upgrading the lighting system, replacing the water meters to enable remote reading, and replacing the roof structures over the parking ramps with more durable material. Recent highlights at Skopje City Mall include the grand openings of Ehoreca, the official Nespresso reseller in North Macedonia, and the new Gerry Weber mono-brand store that opened in February 2025.

Enhancing energy, water and waste resilience

Hyprop is focusing on solar-PV installations at its centres and is taking the necessary steps to add a further phase at The Glen. Meanwhile, CapeGate, Somerset Mall and Canal Walk are beginning their initial phases of solar projects. In June 2025, the Group will issue a request for proposals to the energy wheeling market to enhance both existing and new solar-PV installations. Once these solar-PV and wheeling energy projects are completed, they are expected to supply more than 60% of the SA portfolio’s energy requirements. Additionally, the total carbon emissions of the SA portfolio, relative to the 2019 baseline which was aligned with Science-Based Targets, will be below the carbon reduction targets set for 2030.

The three-day backup tanks and pumps for potable water have been installed at all Gauteng centres, with similar initiatives set to start soon in the Western Cape. The organic waste recycling initiatives have proven highly effective, with five centres (Canal Walk, CapeGate, Somerset Mall, The Glen and Woodlands) achieving net zero waste status.

Looking ahead

“Our focus is on creating retail spaces that connect people by providing excellent retail experiences for our tenants and shoppers while unlocking value through initiatives within our existing portfolios in South Africa and Eastern Europe,” Wilken said.

“We will continue to pursue both new and organic growth opportunities in our preferred geographies (being the Western Cape and Eastern Europe), reposition the SA and EE portfolios to maintain their dominance and retain and grow market share, annually review our portfolios and recycle capital where appropriate, implement sustainable solutions to reduce the impact of the infrastructure challenges we face in South Africa, and ensure our balance sheet remains robust.

“Hyprop is confident of delivering strong growth in the coming financial year through improved operational performance of its portfolios, including benefits from solar and other energy projects anticipated to come on stream, a reduction in interest costs and the benefits from deploying the additional R808 million of capital, even in the absence of the MAS transaction,” Wilken added.

Hyprop expects to release its results for the six months to 30 June 2025 on or about 16 September 2025.

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Empowering young futures through staff-led community engagement

Growthpoint Properties (JSE: GRT), in collaboration with the non-profit organisation Threads for iKasi Foundation and on behalf of its employees, has donated 50 full winter school uniforms to learners at Ikusasa Comprehensive School in Tembisa, Kempton Park. The handover ceremony, held at the school on Friday 23 May 2025, showed the spirit of employee-driven social impact.

Each complete uniform package includes a jersey, drymac, trousers with shirt, shoes, socks and a winter beanie. These donations are part of Growthpoint’s G² (Growthpoint Gives) programme, which enables the company’s team members to actively participate in upliftment efforts in their own communities.

Ikusasa Comprehensive School is a beacon of resilience and academic ambition in the Tembisa community. With a consistent rise in matric pass rate, increasing from 77.1% in 2021 to an outstanding 95.8% in 2024, the school aims to achieve a 100% pass rate and a 75% Bachelor’s pass this year. Together with its strong academic programme, Ikusasa promotes holistic development through arts, sports, culture and active social awareness campaigns around bullying, substance abuse and health.

The school currently supports many vulnerable learners, including eight child-headed households and 47 orphans. It faces infrastructure challenges and requires greater access to educational resources, technology, and classroom upgrades.

“We are incredibly touched by the generosity of Growthpoint and Threads for iKasi,” says Principal Gladwell Makhoba of Ikusasa Comprehensive School. “These uniforms mean so much more than just clothing – they restore dignity, boost self-esteem, and remind our learners that they matter. The support we’ve received sends a powerful message: our children are seen, they are valued, and they have a community that believes in their future.”

Threads for iKasi, with its mission to create environments where no child is left behind, has successfully rolled out similar initiatives in over a dozen schools in Tembisa. Its model is grounded in restoring dignity through educational support and ensuring that learners are equipped not just academically, but emotionally and socially.

“For me, a school uniform has always meant more than just clothing — it’s a sense of pride, a feeling of belonging, and a quiet promise of potential,” says Khabo Mnguni, Co-founder of Threads for iKasi. “Growing up in the township, I saw firsthand how something as simple as a uniform could change how a child saw themselves. That’s why this mission is so close to my heart. Our partnership with Growthpoint is a golden thread of care, stitched into the futures of these learners. It’s about more than just warmth and appearance — it’s about dignity, confidence, and showing our children that they are seen, supported, and worthy.”

This contribution reflects the heart of the G² programme, which encourages Growthpoint’s staff to lead with empathy and impact.

Shawn Theunissen, Head of Corporate Social Responsibility at Growthpoint Properties. “A Growthpoint team member introduced Threads for iKasi, which brought Ikusasa’s needs to our attention, and we are proud to support their call. In addition to providing vital warmth for children in winter, the initiative is also affirming dignity and supporting learners to focus on their education without unnecessary hardship.”

Growthpoint Properties’ CSR approach is rooted in its commitment to responsible corporate citizenship. Through G², every employee also receives eight hours annually to participate in volunteer activities, making social impact a shared value across the organisation.

“We believe that corporate responsibility lives not just in boardrooms but in every hand helping,” adds Theunissen. “This donation is one small part of our broader commitment to our employees, their communities and to education. We believe that partnerships with educators will yield positive results towards our shared vision of building a better life for all.”

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Vukile Property Fund (JSE: VKE), the leading specialist retail REIT, reported a standout set of results for the financial year ended 31 March 2025, reflecting a transformative year of dealmaking, ongoing operational excellence, and decisive and disciplined capital deployment. Delivering on its market guidance, Vukile achieved 3% growth in full-year funds from operations (FFO) per share and increased its dividend per share (DPS) by 6%.

Vukile announced upgraded FY26 guidance, forecasting growth of at least 8% in both FFO per share and DPS.

Laurence Rapp, CEO of Vukile Property Fund, comments, “We are pleased to report strong results in a transformative year, distinguished by accretive strategic growth and capital rotation. This outstanding performance validates Vukile’s strategy, expands its earnings base and positions the business for compounding future growth.”

It’s total property assets now exceed R50 billion, reflecting an ambitious yet tightly focused investment strategy. During the year, Vukile grasped a golden window of opportunity that expanded its Iberian direct asset base by nearly 60%, consolidating its footprint across two of Europe’s most resilient consumer economies. Now, 65% of the group’s assets, and an expected 60% of its net property income is derived offshore.

Vukile entered Portugal during the year through its 99.6% held Spanish subsidiary Castellana Properties. The fully-funded multi-asset entry capitalises on Portugal’s strong economic growth and fragmented retail property sector that is ripe for consolidation, mirroring opportunities seized in Spain.

Continuing its creative dealmaking, in Spain Vukile exited its investment in Lar España with a capital profit of €82 million, concurrently redeploying the proceeds into acquiring the Bonaire Shopping Centre in Valencia with a cash-on-cash return exceeding 8% thereby enhancing sustainable earnings.

Vukile closed the year with an investment portfolio of 33 urban, commuter, township and rural malls in South Africa,15 shopping centres and retail parks in Spain and five shopping centres in Portugal.

 “In South Africa, Vukile’s robust operating platform yet again delivered outstanding results,” notes Rapp.

Valued at R16.7 billion, Vukile’s defensive, dominant South African retail portfolio delivered strong performance and growth. The value of its retail portfolio rose by 8.5%, while like-for-like net operating income increased by 6.4%. Vacancies remain exceptionally low at 1.7%, supported by active letting, with positive rental reversions of 2.4%. Notably, 85% of leases were signed at the same or higher rental levels, with tenant retention at 91%. The total portfolio recorded trading density growth of 5.2% – with its township and rural portfolio outperforming at 6.7% – driven by Vukile’s shopper-first approach, which continues to boost footfall and sales. The portfolio’s cost-to-income ratio was 15.3% – its lowest level in a decade – reflecting proactive cost management, with the benefit of solar energy contributing to significant efficiency gains.

Vukile’s solar PV rollout in South Africa has been highly successful, boosting margins and advancing its path to carbon neutrality. Over the year, solar capacity grew by 67%, with 14.4MWp added to the existing 21.6MWp. Solar power now supplies 27% of the portfolio’s energy needs. Vukile has identified a further 10.6MWp of solar projects for FY26 and is finalising the agreements for two wheeling projects totalling 2MWp.

Adding value to its South African portfolio through acquisitions and developments, Vukile’s R113 million redevelopment of Mall of Mthatha (formerly BT Ngebs), in which Vukile acquired a 50% stake in May 2024, has delivered strong early performance, with the vacancy rate dropping from 16% when acquired to just 2%. The highly accretive project is set for completion in September 2025. The comprehensive R141million Bedworth Centre strategic upgrade in Vanderbijlpark, delivered a high-convenience, community-focused retail destination with enhanced tenant mix, aesthetics, amenities, access and security.

Vukile’s well-established investment in Spain, together with its new investment in Portugal has clearly cemented Castellana’s position as a market leader, capitalising on the advantages of the region’s status as a European growth powerhouse.

The Economist ranked Spain as Europe’s top-performing economy in 2024, with GDP growth of 3.2% and forecasts of 2.3% in 2025. The country’s economic growth is fuelled by strong household spending. Disposable income rose by 8.7%, supported by higher salaries, employment and savings levels. Additionally, tourism hit a record €126 billion with 94 million visitors.

Portugal’s economy outperformed expectations with 1.9% growth in 2024, driven mainly by household consumption, with record-high employment levels, real wages increasing and high disposable income. Private consumption rose 3.2% in 2024. Growth is forecast at 2.3% in 2025. Like Spain, Portugal is benefiting from easing inflation, projected to fall to 2.3% in 2025.

Castellana’s R32.9 billion, 20-asset Iberian portfolio remains effectively fully let, with marginal vacancies of around 1% and 95% of space let to blue-chip international and national tenants. Portfolio like-for-like net operating income grew 6.4%. It achieved high positive rental reversions and new lettings of 17.31%. The portfolio has a weighted average lease expiry of 8.8 years. Excellent trading metrics featured across the portfolio, with footfall up 2.4% and sales increasing by 4.3%.

“Castellana’s on-the-ground presence and expertise has added substantial value to the Iberian portfolio. This year has been one of rapid growth in the region, and our priority is to crystalise potential in our newly acquired assets and deepen value within our existing footprint.” says Rapp.

Vukile’s balance sheet remains exceptionally strong, with a stable LTV of 40.95% and an increased ICR of 2.9-times. The REIT enters FY26 with a well-hedged balance sheet and minimal debt maturities of less than 2% of group debt in FY26, as well as a very healthy liquidity position, with cash and undrawn facilities of R4.6 billion.

Vukile has an AA_(ZA) corporate rating reaffirmed by GCR with a positive outlook. Fitch has awarded Castellana an international investment-grade credit rating of BBB- also with a positive outlook.  Over the year, Vukile increased its green and sustainability-link debt by 69% from R1.3 billion to R2.2 billion, aligning its funding strategy with its continued commitment to ESG goals.

Rapp concludes, “Vukile is in a strong position, underpinned by a clear strategy, a proven operating platform, a strong balance sheet, high-quality assets and disciplined capital management. It is well placed to deliver sustainable real growth by maintaining operational excellence, advancing value-added projects within existing portfolios and pursuing further opportunities in our core markets. We are committed to our proven scalable consumer-led model to create value for all our stakeholders.”

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HIGHLIGHTS

• Earnings: Distributable income per share for the year 123.01 cents, up 4.1%
• Financial performance: Rental income up 8.3%, occupancy up 16 000m² and net investment property value up 6.0% to R12 billion
• Portfolio growth: Number of trading properties increased from 99 to 108, with the total portfolio including developments now exceeding 700 000m² GLA
• Strategic partnerships: Working with Hines, one of the largest privately held real estate investors and managers globally, on five development projects in the UK
• Balance sheet management: Loan-to-value ratio of 31.3% and 84.2% of net debt subject to interest rate hedging
• Future outlook: Forecasting distributable income per share growth of 5 – 6% for FY26

JSE REIT Stor-Age, South Africa’s leading and largest self storage property fund, marked a decade of consistent performance and significant portfolio growth, releasing its tenth annual set of results since listing on the JSE in 2015. Demonstrating resilience, the Group continues to strengthen its market-leading position, delivering another year of robust financial and operational performance.

Stor-Age CEO Gavin Lucas comments, “In 2015 we brought to market a highly specialised self storage REIT, the first self storage REIT to be listed on an emerging market exchange globally and the first, and still only, of the real estate “alternatives” to be listed on the JSE. After a decade of consistent performance, we are pleased to have delivered another strong set of trading results, driven by gains in occupancy and rental rates. While continuing to maintain a conservative balance sheet, we’ve also grown the number of trading properties in our portfolio from 99 to 108.

“Against the backdrop of persistently weak macroeconomic conditions, and including events such as “Nenegate” happening less than a month post our listing, the Financial Services Conduct Authority investigation into high-profile JSE-listed REITs, Covid-19 and a period of rampant inflation and rapidly escalating interest rates, Stor-Age has significantly outperformed both the economic cycle and sector indices over the past decade.

“Assuming R100 was invested on the date of our listing in November 2015 and provided that the full pre-tax dividend was reinvested, an investment in Stor-Age would be worth R329 at the end of May 2025. The same investment in the JSE All Share Index and in the JSE All Property Index would be worth R255 and R112 respectively. The underpin to this stellar performance has been our same-store rental income growth in both SA since 2016 and the UK since 2017, with the compound annual growth rate over the periods in excess of 9% and 8% in SA and the UK respectively, well ahead of the corresponding GDP figure of less than 1% in each market.”

During the past twelve months the South African portfolio delivered another strong performance with same-store rental income and net property operating income increasing by 10.2% and 11.1% respectively compared to the prior year. The UK portfolio delivered an equally pleasing set of results, with same-store rental income and net property operating income increasing by 6.5% and 5.0% respectively.

Stor-Age has a long and successful track record of acquiring, developing and managing self storage properties in prime locations that have delivered high occupancy and rental rate growth. Over the past two years, the Company has completed 12 new developments, six each in South Africa and the UK. Each of these developments were completed in JV structures, where Stor-Age partners with institutional or private equity capital, enabling the Company to acquire, develop, operate and manage assets across multiple locations.

In FY25 the Company opened two new developments in SA, one in Century City in Cape Town and another in Kramerville in Johannesburg, and one development in the UK, located in Leyton in East London. In addition, the Company added four new third-party managed properties in the UK and acquired an existing operator in South Africa, Extra Attic, located near Cape Town Airport.

Post year-end, in June 2025 the Company opened a new £25 million property in Acton, West London in its JV with Moorfield. In addition, following Stor-Age entering into a third-party management agreement with Hines earlier in the year to manage the acquisition of a three-property portfolio in the UK, the two companies have now also partnered on five additional development projects. Hines is a privately owned global real estate investment manager overseeing c. US$90 billion in assets across multiple property sectors. Stor-Age’s development pipeline at year-end consisted of 18 active projects at various stages of planning and completion, amounting to over 83 000m^² GLA.

Comments Lucas, “We continue to evaluate new on-balance sheet developments, including extensions to existing properties, and also exploring opportunities to continue partnering with institutional and private equity capital. These partnerships may take the form of joint ventures or sit within our third-party management platform, which enables us to generate additional revenue with minimal capital outlay. This flexible approach has proven successful in the UK where the portfolio has expanded from 26 properties two years ago to 45 today.”

Concludes Lucas, “Over the past decade we have consistently demonstrated our resilience and the ability to deliver robust financial and operational performance despite encountering challenging macroeconomic headwinds in both markets. We will continue to deploy capital strategically, adding quality and scale to our high-quality portfolio on a select basis and in line with our strict investment criteria.

“In South Africa, an improved inflation outlook, a stabilising political climate and recent interest rate cuts have created a favourable environment for further growth. We expect the UK self storage sector to remain resilient, with moderate revenue growth supported by operational efficiencies. We remain focused on enhancing operational performance and driving growth across both South Africa and the UK, supported by a strong and flexible balance sheet, disciplined capital allocation and robust operating margins.”

Stor-Age is forecasting distributable income per share growth of 5 – 6% in FY26.

The share closed on Friday at R16.45.

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