Oasis Crescent Property Fund concludes deal to build McDonald outlet

Posted On Wednesday, 14 August 2013 07:38 Published by Commercial Property News
Rate this item
(0 votes)

SHARIA-compliant Oasis Crescent Property Fund has entered into a lease agreement with McDonald’s South Africa for a new-build McDonald’s restaurant, McCafe and Drive-Thru to be constructed in KwaZulu-Natal.

mcdonaldsConstruction of the new McDonald’s site was expected to start during the latter part of the year, "with operations commencing in the first quarter of 2014", the fund said on Tuesday.

Located at the fund’s primary retail property, The Ridge @ Shallcross centre, which is between Chatsworth and Shallcross, the lease will run for an initial period of 10 years with the option for two further 10-year renewal periods.

Oasis Crescent Property Fund, which qualified as a real estate investment trust (Reit) with effect from the start of its current financial year on April 1, was established to provide an alternative to conventional South African property companies and unit trusts for Sharia-compliant investors.

It is managed by Oasis Crescent Property Fund Managers, which is part of Oasis Group Holdings.

The fund said the lease agreement "results in The Ridge @ Shallcross further adding to its food offering, becoming the premium food destination centre within the greater Chatsworth area".

The Ridge @ Shallcross is the largest retail asset in the fund, and Oasis Crescent Property Fund has focused in previous periods on the continued development of the centre.

The fund has reported strong improvements in turnover, trading density and footfall numbers at the centre.

Oasis Crescent Property Fund is among the smallest listed property funds in South Africa. The fund’s property portfolio was valued at R398.4m at the end of March, while its investment portfolio was valued at R285.4m.

For the year ended March, the fund reported its distribution per unit excluding nonpermissible income had decreased by 2.6% to 88.7c, while the fund had delivered a total shareholder return of 10.7%.

The fund said in May it expected trading conditions to "remain competitive in the foreseeable future".

It said at the time it had identified "further potential to increase the income earned on the direct portfolio by maximising the returns on existing assets which will significantly improve the yield for investors".

Source: BD 

Last modified on Wednesday, 14 August 2013 08:08

Most Popular

Redefine delivers sustained value through operational efficiencies and executing its strategy to protect and expand its property portfolio

May 07, 2018
Rosebank Link FINAL
Operating conditions may remain challenging but JSE-listed diversified Real Estate…

Park Square to benefit communities and investors in thriving uMhlanga ridge

Apr 26, 2018
PARK SQUARE RENDER_1
uMhlanga’s most significant new commercial and retail development is just seven months…

Equites' logistics focus proves its mettle

May 10, 2018
Andrea Taverna Turisan CEO Equites Property Fund
Equites Property Fund Limited today announced growth in distribution per share for the…

Growthpoint Properties maiden USD425 million Eurobond issue advances its international investment

Apr 25, 2018
Norbert Sasse Growthpoint Properties
Leading JSE-listed international REIT Growthpoint Properties has successfully priced its…

Andile Mazwai vacates Rebosis CEO position with immediate effect

Apr 24, 2018
Sisa Ngebulana
Changes of board of directors, postponement on interim financial results release date.

Please publish modules in offcanvas position.