RMB Properties has had a presence in Botswana and Zambia for the past year or so and is now actively involved in property developments of various kinds in both these countries.

In Botswana planning is well advanced on two office and one retail development in the capital city, Gaborone, which are being built at a cost of around R450m. Director of Property Development for RMB Properties, Barend de Loor, says they are hoping to break ground on all three developments before the end of the year or early next year.

He says RMB Properties’ association with its local partner, Botswana Investment Fund Managers, has led to this success. The proposed shopping centre, of approximately 20 000m², is already substantially pre-let.  An office development of approximately 12 000m² is being planned for a corporate user and a further office development of approximately 7 400m² is being developed speculatively. However, De Loor feels quite confident that the offices will let without any problem.

Says De Loor:

“The Botswana economy is strengthening and the spin off from the robust South African economy seems to be filtering through to the local property market. The signs of commercial space take up are very encouraging.”

According to De Loor, RMB Properties is now actively looking to expand its footprint in Botswana.

Meanwhile, in Zambia, RMB Properties has formed a joint venture company with African Life Financial Services, Sinyuka Property Development and Management Company, with the purpose of embarking on property development and acquisitions in that country.

Work has already started on a R56m, 4 070m² office development in Lusaka that will comprise basement parking and three storeys of office space. The development, know as Lusaka Circle, is already partially let and the developers say that they have identified potential tenants that will take up the remaining space.

According to RMB Properties’ Development Manager, Henri Staub, who has responsibility for the Zambian operations, Sinyuka is also currently looking at other property investment opportunities, mainly in retail and commercial property, in Zambia.

“Our long term vision is to be able to provide a one-stop service for the property industry in Zambia much along the lines that we do in South Africa and Botswana. It is also part of our strategy to diversify and bring development to Central Africa. However, trading conditions are difficult and margins are thin so one has to proceed with caution.”

Staub says the Zambian economy is booming – largely on the back of increased commodity and metal prices, copper in particular. The increased mining activity and the start up of new mines is giving a substantial boost to the economy. There has been new investment in the development of the country’s nickel, uranium and gas resources, located in the north west of the country.

“In addition,” says Staub “democracy is firmly planted in Zambia which now has its third democratically elected President, the country’s infrastructure is good, it has a sound education system and the agricultural sector is coming back strongly – all auspicious signs for a vibrant future property market.”