{"id":848854,"date":"2026-01-27T07:00:00","date_gmt":"2026-01-27T05:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=848854"},"modified":"2026-01-26T16:28:55","modified_gmt":"2026-01-26T14:28:55","slug":"two-shopping-malls-in-south-africa-selling-for-r674-million","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/848854\/two-shopping-malls-in-south-africa-selling-for-r674-million\/","title":{"rendered":"Two shopping malls in South Africa selling for R674 million"},"content":{"rendered":"\n

The Competition Commission has greenlit the deal where Fairvest acquire Jozini Mall and Tugela Ferry Mall in KwaZulu-Natal for R674 million.\u00a0<\/p>\n\n\n\n

The commission has recommended that the Competition Tribunal approve the transaction where Fairvest acquires the two malls. <\/p>\n\n\n\n

In October, Fairvest said the total purchase consideration reached R674 million, with a blended yield of 10.17%.\u00a0<\/p>\n\n\n\n

The two commuter-centric leasehold retail properties are located across KZN and are managed by Muller Group Invest Proprietary Limited. <\/p>\n\n\n\n

Fairvest previously said that the transaction aligns with its strategy of investing in retail assets that service previously underserved communities and near community centres and transportation services. <\/p>\n\n\n\n

The rights, titles and interests of Jozini Mall and Tugela Ferry Mall are currently held by Greater Atlantic Properties Proprietary Limited and Copperzone 163 Proprietary Limited, respectively. <\/p>\n\n\n\n

Miller Group owns a 51.7% beneficial interest in Greater Atlantic Properties and a 41% beneficial interest in Copperzone 163 through private companies affiliated with the Muller Family.<\/p>\n\n\n\n

Just under R400 million is being paid for Jozini Mall. The mall has 19,188 sqm of gross lettable area (GLA) and is anchored by a Shoprite. <\/p>\n\n\n\n

Tugela Ferry Mall is being sold for R275 million, which has 14,853 sqm of GLA and is anchored by Shoprite. <\/p>\n\n\n\n

The purchase price will be payable in cash, funded by third-party financing, and is subject to several conditions. <\/p>\n\n\n\n

Fairvest said that the purchase price will escalate at a rate of 0.5% per month from 1 November 2025 until the Registration date, which was previously expected to be the end of January 2026.<\/p>\n\n\n\n

Fairvest said that the malls should reach around R120 million for the 12 months ending 30 September 2025, with profit from operations sitting at R73 million.<\/p>\n\n\n\n

Fairvest expects the malls to reach R119 million in revenue for the 12 months ending 30 September 2025, with property from operations sitting at R73 million.<\/p>\n\n\n\n

When including finance charges, taxation and straight-line rental accru<\/span>als, the malls are set to generate a total distributable income of just under R12 million <\/p>\n\n\n\n

\n\n\n\n

Mall Details and Financial Expectations<\/h2>\n\n\n\n
Property name<\/strong><\/td>Geographical location<\/strong><\/td>GLA (m2)<\/strong><\/td>Weighted average rental per m2 per month (R\/m2)<\/strong><\/td>Purchase price (R)<\/strong><\/td>Anchor tenants<\/strong><\/td><\/tr><\/thead>
Jozini Mall<\/strong><\/td>Jozini, KwaZulu-Natal<\/td>19,188<\/td>R181.29<\/td>R399,104,834<\/td>Shoprite<\/td><\/tr>
Tugela Ferry Mall<\/strong><\/td>Tugela Ferry, KwaZulu-Natal<\/td>14,853<\/td>R165.77<\/td>R274,867,061<\/td>Shoprite<\/td><\/tr>
<\/td><\/td>34,041<\/strong><\/td><\/td>R673,971,895<\/strong><\/td><\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n

<\/h2>\n\n\n\n
Item<\/strong><\/th>Forecast for the 8 months ending 30 September 2026 (R)<\/strong><\/th>Forecast for the 12 months ending 30 September 2027 (R)<\/strong><\/th><\/tr><\/thead>
Revenue<\/td>R75,839,571<\/td>R119,177,404<\/td><\/tr>
Straight-line rental income accrual<\/td>R2,132,281<\/td>R1,367,209<\/td><\/tr>
Property income<\/strong><\/td>R77,971,852<\/strong><\/td>R120,544,613<\/strong><\/td><\/tr>
Operating cost<\/td>(R29,875,051)<\/td>(R47,451,735)<\/td><\/tr>
Profit from operation<\/strong>s<\/td>R48,096,801<\/strong><\/td>R73,092,878<\/strong><\/td><\/tr>
Finance charges<\/td>(R39,904,753)<\/td>(R59,857,129)<\/td><\/tr>
Profit before taxation<\/strong><\/td>R8,192,048<\/strong><\/td>R13,235,749<\/strong><\/td><\/tr>
Income tax expense<\/td>\u2013<\/td>\u2013<\/td><\/tr>
Total comprehensive income<\/strong><\/td>R8,192,048<\/strong><\/td>R13,235,749<\/strong><\/td><\/tr>
<\/td><\/td><\/td><\/tr>
Adjusted for:<\/strong><\/td><\/td><\/td><\/tr>
Straight-line rental income accrual<\/td>(R2,132,281)<\/td>(R1,367,209)<\/td><\/tr>
Distributable profit<\/strong><\/td>R6,059,767<\/strong><\/td>R11,868,540<\/strong><\/td><\/tr>
<\/td><\/td><\/td><\/tr>
Contracted rental income %<\/td>83.2%<\/td>58.6%<\/td><\/tr>
Near Contracted rental income %<\/td>16.8%<\/td>41.4%<\/td><\/tr>
Uncontracted rental income %<\/td>0%<\/td>0%<\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n
\n\n\n\n

Mall Images<\/h2>\n\n\n
\n
\"\"<\/a>
Jozini Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Jozini Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Jozini Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Jozini Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Jozini Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Tugela Ferry Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Tugela Ferry Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Tugela Ferry Mall<\/figcaption><\/figure><\/div>\n\n
\n
\"\"<\/a>
Tugela Ferry Mall<\/figcaption><\/figure><\/div>\n\n\n
\n","protected":false},"excerpt":{"rendered":"

Fairvest has received the go-ahead to acquire two major shopping malls in KwaZulu-Natal. <\/p>\n","protected":false},"author":95,"featured_media":841425,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[22776],"class_list":["post-848854","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-fairvest"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/848854","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=848854"}],"version-history":[{"count":3,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/848854\/revisions"}],"predecessor-version":[{"id":848864,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/848854\/revisions\/848864"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/841425"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=848854"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=848854"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=848854"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}