Owners, ApexHi Properties Limited, says the take up of the centre by national retailers and restaurateurs has been good. ApexHi MD David Rice says the modern design of the centre and its good location have attracted retail rentals which have met and in some cases exceeded budget, and the development is expected to deliver on its target yield of 12%.

The anchor tenants secured to date include Checkers, Woolworths, First National Bank and Clicks, and negotiations are underway with a major hardware retailer.

“All the small line shops have also been let, and there are only a few stores of between 150m2 and 500m2 still vacant where prospective mid-size retailers are currently going through the process of securing capital,” he says.

The centre will also have a good variety of restaurants, with Keg, Nandos and Butchers Block signed up, while negotiations with a seafood restaurant are also nearing completion.

The South African Revenue Services (SARS) will be vacating 3 000m2 in the office component of the centre on 31 December and the office block will then be refurbished. Negotiations with potential office tenants are also underway for this space.

Rice says the redevelopment and refurbishment of existing centres is core to ApexHi’s strategy. “We are continuously improving the quality of our portfolio by upgrading, adding bulk to existing schemes and sweating the assets.

“In the current economic environment, it is proving difficult to purchase yield-enhancing properties, but the refurbishment programme is currently targeting a total yield of about 12%,” he says.

Demolition of the original centre commenced late last year, and earthworks for the new-look centre commenced in April 2008. The construction is already at roof height in sections, and the contractors are currently ahead of schedule.