The property unit was founded and listed in 1995 and focuses on prime industrial and commercial property. The fund has R1,2bn invested in properties and a debt capacity of 30% of the portfolio, while market capitalisation was R1,24bn by close of business yesterday.

Perkin said that the fund managers were pursuing an aggressive acquisition trail while good value existed in the market ahead of interest rate declines and climbing prices.

The properties currently being considered were located in Cape Town and Johannesburg with details on the Johannesburg deal expected within a fortnight and the Cape Town one within a month.

Perkin said Martprop marginally raised its distribution for the six months to January to 12c (2002: 11,3c) on an 8,2% hike in headline earnings to R76,9m.

He said the industrial sector recovery had produced better than expected rentals on renewals. This part of the portfolio had performed well. The property portfolio had been actively traded with the acquisition of nine properties for R109m and the sale of 10 that realised R27,8m.

The joint acquisition with SA Retail Properties of a portfolio of six community shopping centres had brought Martprop's retail exposure up to 16% (9%) in line with the strategy to acquire wellestablished retail properties that offered sustainable growth.