Major shopping mall in South Africa selling for R545 million
The sale of Bluff Towers Shopping Centre in Durban has received approval from the Competition Commission, subject to certain conditions.
In October, JSE-listed SA Corporate Real Estate announced that it was selling the Bluff Towers Shopping Centre in Durban.
SA Corporate Real Estate, via its wholly owned subsidiary SA Retail Properties Proprietary Limited, will sell the mall to Tinos Consulting and Advisory Proprietary Limited.
The sale has a total cash consideration of around R545 million, subject to the fulfilment or waiver of the conditions precedent.
The Competition Commission has now approved the transaction, as it does not believe that it will substantially lessen or prevent competition in any market.
However, there are certain conditions, including Tinos Consulting procuring cleaning, security and maintenance services from historically disadvantaged persons.
The buyer has already agreed to the terms, which the commission said will help address public interest concerns.
The disposal aligns with SA Corporate’s strategy of reducing its retail exposure to KZN.
Following the redevelopment of Bluff Towers during 2021/2022, the enhancement of such redevelopment has now reached its full maturity.
The sale proceeds will then be applied to recycle capital into assets with greater growth potential.
The mall, which is located at 319 Tara Road, Bluff, Durban, has a rentable area of 23,979 sqm, with the weighted average rental of R206 per sqm.
The net asset value attributable to Bluff Towers was R357 million, with the net property income attributable to Bluff Towers standing at close to R45 million. The mall’s tenants include:
- American Outfitters,
- Capitec,
- Cash Crusaders,
- Cell C,
- Checkers,
- Checkers Liquor,
- Cell Clinix,
- Clicks,
- Dis-Chem,
- Foschini,
- Jet,
- KFC,
- Markham,
- Mr Price,
- MTN,
- Pep,
- Pedro’s
- John Dory’s
- Telkom Direct,
- The Fix,
- Shell Garage,
- The Crazy Store,
- Truworths,
- Vodacom,
- Wimpy,
- Woolworths,
- Verimark,
- Sportscene,
- Pick n Pay Clothing,
- SANBS.
An independent valuation said that the value attributable to the Bluff Towers was just over R545 million, which aligns with the sale price.
An independent valuation said that the value attributable to the Bluff Towers was at just over R545 million, broadly in line with the sale price.
SA Corporate Real Estate previously said that the effective date of the disposal is expected to be 20 December 2025, the date of registration of the transfer of Bluff Towers in the purchaser’s name, but no later than 20 March 2026.
Bluff Towers Shopping Centre Images
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