Liberty Holdings Limited has announced a proposed strategic partnering of its Property Management Services business, within Liberty Group Properties (Pty) Limited, with the retail management division of JHI Properties (Pty) Limited and its parent company Excellerate Holdings Limited (JHI). The proposed partnership will result in the formation of a new property management services company in which JHI will own 51% and Liberty 49%.
The newly formed company will constitute the businesses of Liberty’s property management services and JHI’s retail management division.
“This partnership will not only create additional capacity and strengthen existing capabilities to realise value, but will also enhance Liberty’s ability to deliver world class property management services. In developing our strategy we have taken stock of our strengths and are now sharpening our focus on the areas that present the best opportunities for our business to create future value,” said Thabo Dloti, Group Chief Executive of Liberty.
Established over four decades ago, property management services have been an intrinsic part of Liberty’s heritage. The partnership will build on this, unlocking value while providing credibility and capability to attract third party mandates in South Africa and other territories through a customer centric approach aligned to Liberty’s strategy.
The Liberty Property Portfolio remains a core part of Liberty’s offering to its customers and this transaction aims to enhance the service experience and efficient management of the current portfolio of properties. The property asset management function currently undertaken by STANLIB will be expanded to include the property development arm.
Marna van der Walt, CEO of Excellerate Property Services on behalf of JHI, said: “Our group is excited to develop this prestigious and strategic partnership into a best in class retail management service offering.”
“This partnership will enable Liberty to provide a better service to its retail properties through a business solely focused on property management services, enabling Liberty’s internal resources to focus on growth and opportunities in property asset management and development,” concluded Mr Dloti.
The transaction is subject to all regulatory approvals.