Shoprite sells major shopping mall in South Africa

 ·21 Jan 2025

South Africa’s biggest retailer Shoprite is selling Brookside Mall in Pietermaritzburg, KwaZulu-Natal.

The Competition Commission has suggested that the sale to Imperial Red Properties should go ahead as long as certain conditions are met to help the public.

Brookside Mall is a popular shopping centre with over 700 parking spaces and 20 stores that sell everything from groceries and clothes to furniture and banking services.

It even has the first Checkers Hyper FreshX store in the province, offering top brands at affordable prices.

The buyer, Imperial Red Properties, already owns two shopping centres in Pietermaritzburg: Woodburn Square and Arbour Arch.

The company focuses on building and managing retail properties, so adding Brookside Mall fits well with its plans to grow in the area.

The Competition Commission has looked into the sale and believes it won’t hurt competition in the market.

To help the local community, Imperial Red has agreed to hire companies owned by historically disadvantaged people (HDPs) for property maintenance.

Brookside Mall is a symbol of resilience for the Pietermaritzburg community. After being destroyed during the 2021 riots, its reopening brought hope and renewed activity to the area.

The mall’s wide range of stores and services makes it a convenient destination for shoppers. It’s also a significant contributor to the local economy, creating jobs and attracting visitors to the area.

The sale of Brookside Mall is an important step forward for both the mall and Shoprite.

Under its new owners, the mall is expected to continue being a favourite spot for shoppers while also boosting the local economy.

These moves reflect a broader strategy to streamline operations and stay competitive in a tough economic environment.

South African retailer SPAR also announced plans to sell its headquarters and other ‘non-core’ properties to raise upwards of R200 million to help pay off its mountain of debt.

Other properties it is considering selling are the Knowles Shopping Centre and the group’s West Rand property.

This, it said, will allow it to free up capital to be used to reduce debt. The sales are projected to rise to R200 million.

SPAR group CEO Angelo Swartz pointed out that the head office is attached to the Knowles Shopping Centre, and when the group decided to sell the shopping centre, it made sense to also sell the HQ to maximise value from the sale.

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