Roger Perkin, executive director of SA Corporate, said that The Ridge Shopping Centre, which is in rapidly expanding Honey Dew Ridge west of Johannesburg, was bought on an initial income yield of 9,1% and presented sound rental growth prospects.

He says the 4 800 m2 centre, which was built in 2003, is 100% let and is anchored by a 1 944m² Spar and Tops outlet, with the balance of the line shops providing convenience and restaurant services.

“It is located in a strong residential node with a large number of new residential schemes being developed in the primary catchment area.  This will be a highly concentrated residential node in the short to medium term, catering for the 6-10 LSM market.  The trading densities of the anchor tenant, as well as the level of market rentals being achieved on renewal of existing leases, give us every reason to believe that the investment will deliver positive earnings growth.”