JOHANNESBURG, May 21 – Property investment fund Texton said on Monday it had concluded agreements with Equites Property Fund and various wholly-owned subsidiaries for the acquisition of a portfolio of logistics properties for an aggregate purchase consideration of R205.3 million.
Texton said the acquisition was consistent with its investment strategy of acquiring portfolio enhancing industrial properties which offer long-term, sustainable income streams and provide an attractive, risk adjusted return profile.
“This investment also improves Texton’s tenant and sectorial profiles by reducing its exposure to office properties whilst improving the percentage of large national tenancies underpinned by strong tenant covenants,” it added.
The company said the acquisition was subject to unconditional approval by competition authorities in terms of the Competition Act, or conditional approval on terms and conditions which the purchaser and seller confirmed in writing to the other to be acceptable.
The acquisition will be funded through third party funding, Texton added.