The Telkom Retirement Fund is set to dispose 10 fully let commercial buildings comprising a precinct in Pretoria.
The buildings are currently tenanted by Telkom under one head lease and comprise a lettable area of 115,490 square metres.
The telco is moving to a new headquarters in Centurion, and will vacate seven of the buildings by August. The group will continue to occupy two of the buildings for two to three years and a third indefinitely.
The buildings are on two erven registered under one title deed and include 1,870 secure basement parking bays.
They are separated by Johannes Ramokhoase (formerly Proes) Street and linked by an enclosed air bridge.
The sale is being managed by Broll Auctions and Sales, with June 30 as the closing date for offers.
Willem Myburgh, principal officer of the Telkom Retirement Fund, said: “An exit in the next few months fits the Telkom Retirement Fund’s investment profile.
“With Telkom shortly vacating most of the buildings on the CBD campus and with a significant income stream due until January 2019, the fund believes a potential purchaser will make the best use of the opportunity presented by the site.”
Norman Raad, chief executive of Broll Auctions and Sales, said: “The opportunity to acquire an ideally positioned and wellnetworked portfolio of assets of such significant scale in the heart of a major CBD centre is unprecedented.
“As a single acquisition, this portfolio is of unparalleled magnitude and offers huge potential. The security and quantum of the lease income until 2019, coupled with Telkom vacating more than 80 percent of the lettable area in the next few months, will provide the purchaser with a number of letting, redevelopment, disposal and funding options.”
Its lease means Telkom is responsible for all the expenses associated with the property until the lease expires on January 31, 2019.