Property acquisitions

28 Mar 2007 07:01

South African Property Opps PLC28 March 2007 28 March 2007 SOUTH AFRICAN PROPERTY OPPORTUNITIES PLC ("SAPRO" or the "Company") Property Acquisitions The Board of Directors of SAPRO are pleased to announce that it has exchangedcontracts in respect of two investments in South African real estate, comprisingan industrial park in Hughes, Johannesburg, and an industrial park site inWaltloo, Pretoria. The Johannesburg development is an existing joint venture with a local listedproperty fund, a local contractor, and a private consortium which includesinterests of Richard Currie and Ed Raubenheimer, both directors of ProteusProperty Advisors (Pty) Limited, investment adviser to the Company's investmentmanager (Proteus Property Partners Limited). SAPRO has committed to subscribefor a 30 per cent. interest in the development, which comprises 3.8 hectares ofindustrial land close to the international airport in Johannesburg. It isenvisaged that 20,500 sqm of sectional title industrial premises will bedeveloped on the site. There does, however, remain one condition to besatisfied by the seller (a deceased person's estate) relating to the perfectionof title of the land. Should this condition not be satisfied, the joint venture(and accordingly SAPRO) will be released from its commitment and the transactionwill not proceed. The Pretoria development comprises a 4.4 hectare site located east of thePretoria CBD, and is a 50% joint venture with a local contractor. It isenvisaged that sectional title industrial premises catering to small businessesand freehold warehouse premises will be developed on the site, which comprises21,948 sqm of gross developable area. The acquisitions were funded entirely out of the Company's cash resources andinvolve an initial equity investment by SAPRO of just under £1 million. Brian Myerson, a director of SAPRO, commented: "I am pleased to see furtherinvestments being made. We have now invested £9.6m, representing one-third ofthe net issue proceeds from last October's launch. Given the status of currentinvestments in the feasibility stage, we fully expect the remaining capitalavailable to be substantially invested in the very short term." END Further enquiries: SAPROJames Peggie+44 20 7240 3222 Teather & GreenwoodPaul Fincham+44 207 426 9000 This information is provided by RNS The company news service from the London Stock Exchange