The Fairvest property portfolio consists of 39 properties, with 185 937m² of gross lettable area (“GLA”) and valued at R1 925.1 million.
The portfolio is predominantly focused in the retail sector (92.4%), with selective exposure to office properties (7.6%). Fairvest is well diversified across the main provinces of South Africa, with a regional income split of KwaZulu-Natal (24.0%), Western Cape (19.1%), Gauteng (16.1%), Free State (14.9%), Northern Cape (11.7%), Limpopo (7.0%), Eastern Cape (3.7%) and Mpumalanga (3.6%).
Our vision is to be a dynamic Real Estate Investments Trust listed on the JSE, investing in quality retail assets with sustainable income streams and thereby maximising stakeholder value. We are committed to enhancing our built environment by collaborating with the communities we operate in and we strive to be the landlord of choice, treating our tenants with respect and understanding.
We seek out mutually beneficial, strategic partnerships to gain critical mass and reduce operating costs by sharing excellent resources and the latest technology. We also aim to create a work environment that is conducive to innovative thinking, efficiency and growth.
We have an experienced driven team, who brings fresh thinking to our deal making, always geared to maximising profits and enhancing our built environment and in so doing, generate superior sustainable returns for our stakeholders.
We are an experienced driven team, relationship focused, Real Estate Investment Fund who bring fresh thinking to our deal making geared to maximising profits and enhancing our built environment and in doing so generate superior sustainable returns for our stakeholders.
- Wherever we are, we enhance our built environment and provide tangible benefits to the communities in which we operate.
- Know your game is our mantra – research and understanding our market and clients enables us to deliver a quality service.
- We build relationships by being honest in our dealings, respectful in our engagements and collaborative in our approach.
- We have a creative, solution orientated approach in all our dealings. We are proactive in our approach.
- We strive to maximise profits by being operationally efficient and financially disciplined.
- Our well qualified team is passionate, committed to service excellence with a strong focus on honesty, accountability and responsibility.
Portfolio growth and enhancements
- Acquire assets within our sector which contributes to the sustainable growth of distributions. Asset price range of between R30 million and R120 million.
- Develop relationships with developers and private landlords in order to bring new assets to the listed sector.
- Look to develop strategic partnerships to maximise deal flow.
- Dispose of non-core assets in order to align the fund to retail only assets
Asset management focused areas
- Extracting value from vacancies within the portfolio, through various leasing initiatives.
- Increasing the focus on tenant retention by communicating with tenants effectively and engaging at least six months before the expiry of leases
- Continue to build on strategic relationship with national tenants.
- Debtor management. Ensuring that at least 75% of all monthly billings are collected by the 7th of each month and by communicating with tenants regularly on arrears.
- Maximising municipal recoveries and monitoring rates valuations by appointing specialist to monitor the recovery process.
- Implementing strategic redevelopments to extract maximum value and position our properties correctly.
Broaden shareholder base
- Increase exposure to wider shareholder base and communicating of investment case in order to increase liquidity in our shares.
Active treasury management
- Minimise exposure to interest rate risk by entering into fixed debt agreements and swaps. New acquisitions will be utilised to increase the fixed component of our debt to at least 70%.
- Extend sources of funding by exploring opportunities to access the capital markets.