ABOUT REDEFINE PROPERTIES
📊 Redefine Properties was first established in 1999 under the Redefine Income Fund, and today the group owns a high-value portfolio of managed office, retail and industrial properties across South Africa, as well as international assets in Australia and Europe. The group owns over 330 properties with a total value of more than R65 billion, and an average property value of approximately R154 million. Though the company enjoys a wide geographical footprint, its South African market remains important, delivering 84.5% of its asset value, while Europe accounts for 7.5 % and Australia for 7.8%
📊 The company functions along a strategy of acquiring high-end properties in sought-after locations to attract top-tier tenants.
📊 Redefine Properties trades on the Johannesburg Stock Exchange (JSE) under the stock symbol –RDF with a market cap of over R52 billion. The company is also listed on the London Stock Exchange under Redefine International PLC, and through Cromwell Property Group on the Australian Stock Exchange.
📊 The company differentiates itself in the market with a four-tiered ethos which dictates that its operations should be brave, ethical, trustworthy and sustainable.
📊 The company strives to be brave through excellence and the pursuit of innovation in order to respond to consumer trends. It aims to be ethical through the integrity of its relationship with its shareholders, remaining fair and consistent. The company strives to earn trust and forge relationships with the communities in which it operates. Finally, the company works sustainably by creating lasting value and considering the long-term impacts of its operations.
VISION & VALUES OF REDEFINE PROPERTIES
- Redefine Properties has been able to weather a tricky economic climate through a number of valuable acquisitions, reporting a strong performance and a solid share price on the JSE, while its industrial property portfolio came through relatively unscathed.
- A particularly prominent acquisition was the purchase of the Fountainhead Property Trust’s portfolio for R14 billion in 2015, as well as the Macsteel portfolio for R2.7 billion and the Western Cape-based Leaf Capital office portfolio for R4.1 billion.
- The Fountainhead acquisition allowed the group to enter a valuable property sector, redirecting lucrative income streams to the group’s own coffers from the well-performing local economy of the Western Cape.
- Financial data reflected an increase in profit of to R5.7 billion in 2015 alone, with shareholders receiving a 7.3% increase in dividends per share for the same year. Building on this solid performance, the group has moved to diversify internationally, notably with the R704 million investment in Germany as well as the increase of its stake in Cromwell in Australia.
- Redefine’s decision in 2016 to enter the Polish property market will prove particularly shrewd, with demand for retail and office property ever increasing in that burgeoning economy. This move was made with a 75% stake in a prominent commercial platform consisting of 18 properties.
- Added to this, Redefine has also set out to broaden its income base by penetrating new market segments, when it made a 51% investment in student housing company Republica.
MARKET PERFORMANCE OF REDEFINE PROPERTIES
- While the live online stock charts show a recent decline in Redefine Properties share price on the JSE, analyst forecasts indicate that its variety of lucrative and shrewd investments will reap rewards for investors down the line.
- The company’s diversification into the Polish property market will prove particularly lucrative, with Eastern European economies indicating strong growth and increasing demand to buy into retail and commercial property. All in all, Redefine shares are considered a good long-term buy for those who choose to purchase them on the JSE in 2019 and beyond.