A transaction of R1,5-billion that will make Growthpoint properties the largest property loan stock company on the JSE Securities Exchange is expected to start a trend to convert direct ownership of property portfolios into property listings.

The market capitalisation of the listed property stocks sector has more than doubled in the past six months.

TWO events shook the listed property sector of the JSE Securities Exchange SA last week: the merger between Grayprop and Grayvest, and Primegro's acquisition of Richway's retail properties.

PARAMOUNT Property Fund on the Acquisition Trail Paramount Property Fund (Paraprop), listed on the JSE Securities exchange earlier this year and rated one of South Africa's top property funds, is on the acquisition trail to boost its portfolio of properties to R1-billion by end October.

Choice between unit trust or loan stock could reshape property sector IF GRAYPROP and Grayvest merge they will have to choose whether to house the newly created entity either in a property loan stock company or a property unit trust.

MARRIOTT Property Services is listing SA Retail Properties, the 19th property loan stock company on the JSE Securities Exchange SA, on Friday. The fund will be a focused fund a departure from the trend of diversified portfolios in the local listed property sector.

ALL pointers suggest that the property loan stock sector of the JSE Securities Exchange SA will see an unprecedented scale of growth in the next few years.

Emerging retail communities are to be represented for the first time in the JSE property sector with the joining of Shops for Africa Ltd.

LISTED property group Gold Edge and property loan stock company Octodec Investments announced yesterday the acquisition of Killarney Mall, a prime shopping centre north of Johannesburg, for R235m.

The operations of Allan Gray Property Trust (Grayprop) and Allan Gray Property Investments (Grayvest) are to be merged, it was announced on Friday.