LINDSAY WILLIAMS: Gary, can you tell us about the CBS listing?

GARY FISHER: Yes, it’s an exciting times for CBS. We’re a bunch of Capies essentially - the portfolio was historically in the Western Cape, and we’ve really built it up over the past 12 years through the syndication model - in other words we had separately held properties that we consolidated some two years ago into an unlisted property loan stock, shares traded over the counter with Barnard Jacobs Mellett.

LINDSAY WILLIAMS: Now I understand why it’s taken you so long to come to the market - because you’re from Cape Town, and you’re dragging your heels down there!

GARY FISHER: Tell us about the portfolio - you say initially it was mainly based in the Western Cape, what does it consist of now?

GARY FISHER: Probably the major weighting is still in the Western Cape - we’ve got about just under 50% there, and the balance is between Gauteng and KwaZulu-Natal. We’ve recently got together with Martin Ettin and Derek Greenberg that are well-known local operators, having previously listed Primegro, and having been instrumental in the merger of Growthpoint - they have a bunch of well-appointed office blocks in the Bryanston area, a nice retail property, and we’re also picking up some nice stuff in KwaZulu-Natal.

LINDSAY WILLIAMS: The CBS initial public offering (IPO) - can we still get in?

GARY FISHER: It’s a private placing, I’m afraid.

LINDSAY WILLIAMS: How is the private placing going amongst the institutions that you’ve targeted?

GARY FISHER: It’s been very successful by all accounts - the placing only officially opens tomorrow, but we did do a road show last week, and it sounds as though there’s plenty of money looking for a home in property. We’re not used to the institutional investors - it was a first for us, and very nice to be introduced to them. Previously it’s been strictly private clients for us - so it’s a nice change, and a breath of fresh air.

LINDSAY WILLIAMS: Can you tell us about your projected yields?

GARY FISHER: We’re coming into the market at a very attractive yield - one that leaves something on the table for the next person, and that’s 10.25%. You’ll probably know that that represents quite a decent yield gap - between that and the market average - so we expect that to adjust a bit. BJM released an independent research report on us just this morning that indicated a 32% total return to investors in year one.