ABOUT VUKILE PROPERTY FUND
📊 The Vukile Property Fund has a wide portfolio of properties located in each of the nine provinces of South Africa, with primary assets including the Boksburg East Rand Mall, Phoenix Plaza in Durban and Gugulethu Square in Cape Town. With the company’s assets valued at R14.8 billion, Vukile has predominantly recorded strong growth and a flourishing share price on the Johannesburg Stock Exchange (JSE), where it trades under the stock symbol –VKE with a market cap of over R19 billion. The company was the first REIT to be listed on the JSE in 2013.
📊 Apart from the company’s primarily retail properties, it is also associated with Fairview Property Holdings, Synergy Income Fund, and Atlantic Leaf, further adding value to its asset portfolio, while Vukile’s growth strategy going forward entails the purchase of further shareholdings in listed REITS.
📊 Vukile Property Fund’s strategy in Southern Africa entails a number of important growth points. The group will continue its focus on its defensive retail sector in line with its high-quality, low-risk portfolio. It will work to identify further investment opportunities in its existing portfolio through expansion and upgrades. The company’s strong operational focus is set to keep delivering solid results with a special focus on further reducing vacancies and lowering operating costs, aided by its consumer analytics and allowing alternative income streams to gain traction.
📊 The company has a strong appetite to expand its investment in South Africa, while recycling non core assets and investments without harming earnings.
📊 All in all, the company aims to retain its opportunistic and entrepreneurial approach while maintaining its retail focus driven by longterm fundamentals. This longterm sustainability will be further attained by increasing focus on changing customer trends as it evolves into a customer-led organization.
VISION & VALUES OF VUKILE PROPERTY FUND
- Vukile Property Fund has reported impressive growth, with financial data for 2016 alone reflecting a net profit growth up to R526 million, subsequently delivering high dividends for its shareholders.
- This growth has been pillared on Vukile’s growth strategy of lucrative acquisitions and property enhancement. The company works to attract high-end tenants to its retail centres, while refurbishing a number of its properties in order to enhance their value, with R654 million invested in improving a number of these assets, including the East Rand Mall, the Randburg Square Tower, the Phoenix Plaza, the Barons VW Building, Tijger Park and Dobsonville Shopping Centre.
- The company has also enhanced value through several transactions with Arrowhead Properties and Synergy Income Fund. Synergy purchased Vukile shares for R155 million, while Vukile bought the retail assets of Synergy for R2.47 billion, repositioning Vukile as a specialist retail fund and further diversifying its portfolio. Added to this, the group earned a further R1.8 billion through the sale of its Sovereign Portfolio, in a move to focus on investing mainly in the retail sector.
- This sound asset management strategy coupled with a number of well-placed acquisitions have served to boost Vukile’s share price on the JSE, making it a strong buy in 2019 and beyond.
MARKET PERFORMANCE OF VUKILE PROPERTY FUND
- The live online stock charts show a steady increase in Vukile’s share price; its high-value portfolio coupled with its projected R610 million in future developments providing positive growth forecasts.
- A historically good share, Vukile Property Fund is set to remain a strong buy today, yielding positive growth for investors on the JSE.