ApexHi, the third-biggest listed property fund on the JSE, also raised its market capitalisation 52% to R4,1bn on the back of an aggressive property acquisition drive and a 37% rise in its combined unit price.

ApexHi CEO Gerald Leissner attributed the good performance to an improvement in fundamentals in its underlying properties.

"Growth in rentals, a reduction in vacancies and lower inflationary growth in operating costs, coupled with continuously reducing interest rates on borrowings, have produced growing income distribution per unit," said Leissner.

Another contributing factor to the positive results was the company’s reduction in exposure to inner city offices in its portfolio in favour of more retail properties.

ApexHi’s unique unit structure offers investors the opportunity to invest in two separate unit structures, its "A" and "B" units, offering different returns with different risks.

The company’s "A" unitholders are guaranteed a minimum distribution of 25,5c a quarter, or 45% of the distributable income when the total distribution a year comes to R2,27. Meanwhile, "B" unitholders are exposed to all the risk, but get all the additional income up until the total distributions reach R2,27.

ApexHi announced a distribution of R1,02 for each of its "A" units for the year to June. Leissner said next year ApexHi was expecting a total distribution of R2,35 to R2,40.

This meant the "A" unitholders would now participate in the growth in distributions and get 45% of the distribution. "‘A’ unitholders have done well so far with a fixed income with nice capital growth and now they will get part of the distribution growth," said Leissner.

ApexHi’s post-balance sheet acquisition of property unit trust Prima’s entire property portfolio would increase the retail exposure to 43% of the entire portfolio.