Unveiling its final results on Tuesday, SA Retail attributed the increase to the net rental growth derived from its portfolio of properties, comprising retail shopping centres anchored by primary national retailers.

Net rental income rose to R109.2 million from R92.6 million a year earlier.

Total revenue was higher at R162.7 million versus R130.8 million previously.

The group said its higher turnover rental generated from national tenants within its portfolio was due to increased consumer confidence as a consequence of lower interest rates and a buoyant retail sector.

Net profit attributable to linked unitholders was reported at R29.4 million, while headline earnings per linked unit were higher at 62.63 cents versus

62.27 cents a year earlier. Earnings per linked unit came in at 82.96 cents, up from 62.27 cents in 2003.

During the year the group acquired three shopping centres for a total of

R160.5 million - Westwood Village in Boksburg, Town Square in Constantia Kloof, and half of Sanlam Centre, Pinetown.

Negotiations were proceeding on additional retail property investment opportunities that satisfy the group's investment criteria, it said. It had also agreed to dispose of two properties not meeting its investment criteria - The Circle in Somerset West and Witbank Centre in Witbank - which would realise a total of R44.4 million.

The vacancy factor in SA Retail's portfolio at March 31 was 4.6%, while the income ratio at year-end was 29.9%. The total portfolio was revalued at

R1.08 billion at year-end, it added, representing a 4% or 35.3 million rise in carrying value after providing for deferred capital gains tax.

The group said the outlook for the retail property industry remained favourable, and it was well placed to benefit form the expected consumer confidence in the new year.