OLD Mutual Properties' announcement that it is experiencing an industrial letting spree in Gauteng confirms the prophecy of an industrial property market turnaround is coming true.

Old Mutual Properties said yesterday it had sealed three property deals. The largest was a R15m contract with MTN, which has signed a five-year lease at R21/m² for a 9828m² A-grade warehouse in Midrand. It is situated off the N1 motorway.

DrostePark, an industrial park situated off the M2, southeast of Johannesburg's inner city, was the site for two other deals concluded with Grinaker-LTA and Bearing Man. Grinaker-LTA has taken a 3845m² warehouse at the park on a three-year lease at R13/m², while Bearing Man has moved into a 2776m² facility, also at R13/m², over five years.

Colliers Broking CEO Lin Strauss-Minenza , said the industrial market in Gauteng was very strong at the moment.

She said should any large industrial facility become available now, the owners would not have a problem letting it provided it was a modern facility.

Stan Garrun , MD of Investment Property Databank SA, said the sector had shown a strong turnaround in fundamental statistics recorded by the IPD over the past two years.

Sep 05 2003 07:39:59:000AM Nick Wilson Business Day 1st Edition