Operating cost increases continue to have a negative effect on income growth in the commercial property sector.
South Africa’s listed property sector gained 1.4% during the week ended 15 February 2013. Since the start of the year, both the listed property sector and the FTSE/JSE All Share Index have returned 3.7%, while the bond market has returned just 0.6%.
The sudden resignation of Redefine Properties joint CEO and director Wolf Cesman for 'personal reasons' has caught the market off guard.
Although there is likely to be corporate activity in the form of mergers, even they will be affected by the pricing of units
The listed property sector lost 7,4% of its value over the past week as a weak rand and surging oil price weighed heavily on sentiment in the bond market
The listed property sector has bounced back from its low in the middle of last month, rising 7,5% in value
The plunge in the prices of listed property in the UK and Europe since the beginning of the year offers opportunities for South African listed property companies looking for offshore investments
JSE-listed property funds - managed portfolios of shopping centres, offices and industrial property - show no sign of peaking, as some analysts started warning over a year ago that they would. Their combined market capitalisation has doubled to R46-billion in five years, and should reach R50-billion this year.
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