Galetti Corporate Real Estate, who are swiftly becoming renowned for being appointed on this type of high profile disposal, have brought one of the most desirable warehouses in KwaZulu-Natal, to market, giving Investors in South Africa the opportunity to own premium industrial space..
The property, which is 28 000 m2 in size is owned by listed top-end logistics landlord, Equites Property Fund, and currently is home to national retailer Pick ‘n Pay. It is being sold by Equites as the fund reallocates its capital into it’s primary nodes being Johannesburg, Cape Town and the UK and is a very exciting buying opportunity for a purchaser wanting to enhance their portfolio. The building boasts an office component of over 4 000 m2 . It has a full ring road reticulation and multi-docking.
“Buildings of this quality don’t come to market very often at all. They are rare to acquire and very expensive to build. It was previously owned by Investec and then sold to Equites. Equites focuses on the Western Cape and Gauteng which is why they have chosen to sell this asset which is a win for corporate SA. It is a real opportunity for prospective tenants who want to operate from a well-managed, perfectly located warehouse in Kwazulu-Natal,” says Justin Thom, a director at Galetti.
Thom’s focus is on investment opportunities, and he has played a pivotal role in growing Galetti’s nationwide footprint for numerous years. Galetti enjoyed a phenomenal 2022 and has started 2023 on a high note with this opportunity and its team is incredibly proud of the work it is doing for businesses across the country.
Galetti is accepting non-binding offers for the building with a February 2023 deadline. The building is likely to attract offers from owner occupiers, pension funds and other private buyers.
The warehouse which serves as a distribution centre is conveniently located in New Germany, easily accessible from Josiah Gumede Road and the M19 freeway and offers the perfect opportunity for any investor.
It has a 5-year lease with a 7% escalation, with Pick ‘n Pay, which began on January 1, and will attract another world class tenant afterwards should they not extend their option period. Equites recently spent nearly R20m on refurbing the warehouse through its capital allocation programme.
It’s also noticeable that the warehouse is located near Durban and Pietermaritzburg, which is ideal for businesses looking to expand their operations in the region.
A deposit of R500 000 is payable on submission of the final binding offer to vet the serious bidders.
The deposit is refundable should the prospective bidder be unsuccessful in securing the highest bid. Should the prospective bidder be successful, the registration deposit will be deducted from the total purchase consideration.
“This is a genuine win for whoever buys this beautiful, well-designed, made and managed world class warehouse. We are driven to clinch the best deal possible for whoever buys this phenomenal asset,” says Thom.
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