Dipula acquires prime Pretoria office buildings for R431 Million

JSE-listed property company Dipula Income Fund announced today that it will acquire three prime Pretoria office buildings for a combined R431 million, continuing to drive its vigorous portfolio growth.

Dipula signed agreements to acquire the 5,048sqm Absa Call Centre building in Arcadia for R82,6 million, the 21,478sqm SAPS VIP building in Sunnyside for R229,86 million and the 7,699sqm SAPS IJS building in Erusmuskloof for R118,54 million, from the developer of the three properties.

Izak Petersen, CEO of Dipula Income Fund says: “The acquisitions enhance Dipula’s office portfolio. They are modern, high-quality, single-tenanted office buildings with A-grade corporate and government tenants.”

He adds: “The acquisitions continue Dipula’s strategy to improve the quality and average size of its portfolio, on a yield enhancing basis. By acquiring these assets, Dipula is also gaining access to the Pretoria office market, improving the geographic diversification of our portfolio.”

This is Dipula’s third major property acquisition transaction since listing on the JSE in August 2011. In this time it has grown its assets from 176 to 185 sectoraly and geographically diverse properties, and its asset value from R2.1 billion to R3.1 billion.

Dipula is finalising the acquisition’s financial effects and, until announced, it advises Dipula linked unitholders to exercise caution when dealing in its linked units. The transaction is subject to various conditions, including Competition Authorities approval.

Dipula Income Fund is a listed property loan stock company formed through the merger of Mergence Africa Property Fund and Dipula Property Fund, two majority black-owned property funds.