Loyiso Sibali
Property Reporter
Making its first foray into the African market, listed property loan stock company Redefine Income Fund is to develop a large R2bn mixed-use development in Namibia.
Brian Azizollahoff, CEO of Redefine, said the project was an opportunity to expand its investments into Namibia. “We are confident that it will enhance our property portfolio and contribute to growing income returns for our investors,” said Azizollahoff.
The development project, which will be undertaken with its asset manager Madison Property Fund Managers, will involve South African and Namibian partners.
The project will see the development of a mixed-use precinct in Windhoek, the capital city.
It will include retail, residential, hotel, entertainment and offices. Redefine, the major shareholder, and partners — one of which is Namibian company United Africa Group — will be spending R2bn to construct the 80 000m² development called Freedom Plaza.
The project will be developed by Madison Property Fund Managers together with Swish Properties. Mike Flax, an executive director at Madison Property Fund Managers, said this was probably going to be the biggest development scheme in Namibia in a number of years.
He also said Madison had been looking at expanding into Africa for a while and this was the first step.
Flax said Namibia was a natural first step for South African companies wishing to grow beyond the border of SA because of its close proximity, political stability and growing economy.
The Namibian economy is closely linked to SA’s with the Namibian dollar pegged one-to one to the rand. Last year Namibia’s gross domestic product growth was 4,4% and is estimated to be 4,7% this year.
Freedom Plaza will include four premium grade office towers, a six star boutique African Pride Hotel and a four star hotel for the Arabella Starwood Group. The hotels have 350 rooms between them.
The development will include three residential apartment blocks including lofts and penthouses, and an 8000m² retail component.
Flax said that early next year the company would break ground on a $1bn mixed-use project in Luanda, Angola.
Source: Business Day
Publisher: I-Net Bridge
Source: I-Net Bridge
