ApexHi, which announced this week that its unitholders had voted in favour of a proposed new C unit structure that paves the way for empowerment partners acquiring 10% of the company, said yesterday that it had concluded a joint venture with black-owned and managed Isivuno Apex Properties (IAP). IAP will initially mange eight properties covering 142000m² in Pretoria.

These include the Poyntons, Zanza, Batho Pele House, Delpen, Shoreburg, Opera Plaza, Fedsure Forum and Embassy House buildings.

ApexHi MD David Rice said these were mainly government-tenanted buildings.

Rice said Isivuno had a relationship with government because its director, Dumisani Nene, was a former employee of the national public works department.

“He (Nene) has an understanding of what government’s needs are and this will assist us in communicating with government on a day-to-day basis.

“It’s not just about leasing. It’s about making sure the buildings are properly managed on a daily basis and that our relationship with government is what it should be,” he said.

Rice said that ApexHi’s intention was to sell these properties to the joint venture between ApexHi and Isivuno. He said ApexHi would also add new properties acquired in Pretoria to this portfolio.

“The idea is that any properties that we would buy in the future in Pretoria, and specifically government buildings, would go into the joint venture,” said Rice. He said the properties in the R400m portfolio were “substantial properties”. Rice said the biggest building was the Poyntons building, which covered about 70000m².

He said ApexHi would also be entering into further transactions, which would be concluded on a similar basis to the one with Isivuno.

ApexHi said the deal demonstrated ApexHi’s commitment to the property sector transformation charter, which “highlights the need to support, facilitate and foster new and existing empowerment enterprises”.