Growthpoint reports Watercrest Mall and City View as two worst hit assets in KZN

Estienne de Klerk, CEO of Growthpoint South Africa.
Estienne de Klerk, CEO of Growthpoint South Africa.

Growthpoint Properties have reported that seven of its assets in KwaZulu-Natal, representing 2.3% of the company’s total South African gross lettable area (GLA), have been damaged over the past week.

While none of the REIT’s other assets (in any other provinces) suffered damage, two of its retail properties – Watercrest Mall and City View – which represent 4.64% of its total GLA, were impacted by extensive looting and related damage

50% co-owned, Watercrest Mall has a total GLA of 45 318m2 (50% – 22 659m2) and all its common areas and tenants’ premises were looted with extensive damage to shop fronts and air conditioning with vertical reticulation still to be assessed. However, there was no structural damage to the building.

Looters attempted to burn down the delivery area of City View (100% owned) and the road facing tenants on multiple occasions, but the fires were quickly extinguished with some damage causes to the air conditioning system and electrical reticulation. With a total GLA of 40 362m2, the common areas and the tenants’ premises were looted.

In a SENS announcement, Growthpoint advised shareholders that a professional team has been engaged to quantify the damage to both sites.

Five of the company’s industrial properties (representing 2.73% of total industrial GLA) were impacted to varying degrees:

  • The 12 160m2 Runway park facility was breached and looted with access to the pharmaceutical facility restricted and the damage still needs to be assessed.
  • The adjacent 50% co-owned Runway Park joint venture which measures a total of 28 886m2 was breached with severe looting and fire damage to the offices.
  • The multi-tenanted 5 816m2 Inanda Road was partly looted with minor damage to the property.
  • Lanner Place, the 14 446m2 multi-tenanted facility was severely looted with minor property damage.
  • The 9 886m2 Fiscus Place facility suffered minimal looting with damage to the perimeter fence.
  • The 5 314m2 Goodwood Road (previously African Gabions) was severely looted with minor property damage.