Property Flash


October 23 2023

Shopping centre owner Hyprop Investments, which owns blue chip malls such as Hyde Park Corner, Canal Walk, Clearwater and The Glen, is buying Table Bay Mall, in Sunningdale, Cape Town for R1.6bn.

Hyprop which has a market capitalisation of R10.1bn, will acquire the mall from the Table Bay Mall Property Trust in a cash deal. Hyprop has not bought a new mall for a number of years. The group actually tried to sell Hyde Park Corner and The Glen in recent years.

Table Bay Mall was built in 2018. It lies in area that is becoming popular to live in for numerous people who have moved to Cape Town from Gauteng and KZN. With a gross lettable area (GLA) of 67,588m², the mall generated R108.6m in net property income in the financial year to end-February.

“The centre is located in a high-growth node and the majority of Table Bay Mall’s shoppers are medium- to high-income earners,” Hyprop said.

Hyprop will pay R23.3m for the solar panels being installed at the mall. The acquisition will bring Hyprop’s loan-to-value (LTV) to just over 40%. LTV measures the ratio of a company’s debt and its assets and can be seen as a measure of a company’s financial health. SA fund managers tend to prefer property companies’ LTVs to stay between 30% and 40% or it can appear that the company is in distress.

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