PRESS OFFICE

Hyprop Acquires Table Bay Mall for R1.625 Billion

...Acquisition is aligned with the Group's focus of increasing its exposure to favourable geographies...

Hyprop, the retail-focused REIT with its South African properties valued at R23 billion and Eastern European portfolio at R12 billion, today announced the conclusion of an agreement to acquire 100% of Table Bay Mall.

The R1.625 billion acquisition of Table Bay Mall is aligned with Hyprop's strategic priorities of increasing its exposure to favourable geographies, evaluating the case for recycling assets and considering new growth opportunities.

Morné Wilken, Hyprop CEO, says "We are pleased to announce the conclusion of the sale agreement of Table Bay Mall. Over the last four years, our focus has been to create a strong balance sheet, whilst repositioning our South African and Eastern European portfolios to improve our trading performance. Following the pleasing growth trajectory since 2022 it is appropriate for us to consider opportunities with strong growth potential such as Table Bay Mall, in preferred geographies."

Developed in 2018, the 64 143 m2 Table Bay Mall is strategically located in Sunningdale, inland from Blouberg and Big Bay, on Cape Town's west coast. It's well positioned in a high-growth node, underpinned by strong residential demand, driven by relocation trends towards the Western Cape. The single-level regional shopping centre with a sophisticated design has anchor tenants such as Checkers, Pick n Pay and Woolworths, and differentiators such as H&M, Virgin Active, and Department of Home Affairs, offering its medium to high-income earning shoppers a unique and holistic experience.

According to an independent nodal study, which supports the growth in the catchment area, Table Bay Mall has an excellent customer loyalty score, with shoppers indicating that they are very satisfied with the centre.

Hyprop will, in light of the ongoing energy crisis in South Africa, continue to prioritise backup power at all its centres, not only to ensure uninterrupted trading during loadshedding but also to drive sustainable environmental benefits. As such, the transaction includes additional costs relating to the installation and commissioning of a solar plant at Table Bay Mall.

Hyprop will fund the acquisition through new and a portion of its existing undrawn borrowing facilities of R2.3 billion.

"The Table Bay Mall acquisition is a unique opportunity for us to obtain a premium retail property at a fair market value, at a relatively early stage of its life cycle. Through the support of our proven retail property management expertise, particularly our active asset management initiatives, including optimising the tenant mix, the centre has great potential to unlock further growth and contribute towards the Group's long-term value", concludes Wilken.