Industrial
a) Imbonini Services Park (Phase 1): This development is a joint venture with local developers in which SAPRO has a 50% interest. The joint venture vehicle has acquired a 36 hectare site located close to the fast growing residential and leisure node of Ballito, just north of Durban, which is being developed for light industrial use. The site has been platformed and internal services are currently being installed. This process should be complete by the first quarter of 2008, after which buyers wikll be able to take transfer of their stands. Sales have been very strong and the park is currentl substantially sold out. The lack of serviced industrial land in Durban and the proposed relocation of the Durban international airport to a site south of Imbonini have resulted in the very significant uplift (93%) in the Imbonini investment's value since the ivnestment was made.
b) Clayville Industrial Park: This development comprises a 49 hectare site located north west of the Johannesburg international airport. It is intended to service the site for industrial use and sell stands to owner occupiers. A final site layout ahs been submitted to the local authority as part of the township proclamation process. Service installation is expected to commence in the first quarter of 2009. Whilst a small investment, the CB Richard Ellis revaluation attributed an increase in value of 180% over the cost of this investment.
c) Gosforth Business Estate: This is an important strategic property investment for the Company comprising a 42 hectare prominent industrial site with an estimated 150,000 sq. m of NLA. It is situated to the south east of Johannesburg's Central Business District adjacent to the main N3 highway running between Johannesburg and the port at Durban. The development is a joint venture with two partners, one a local contractor and the other a South African listed property fund. SAPRO has a 75% interest in the development vehicle. The Company intends to service the site and build warehouses and distribution facilities for industrial users. The installation of bulk services to the site has commenced, and it is expected that the township should be proclaimed by the second quarter of 2008.
d) Hughes Industrial Park: This development is an existing project in which Richard Currie and Ed Raubenheimer (directors of Proteus Property Advisors (Pty) Limited, the South African investment adviser to SAPRO's investment manager) have an interest alongside a local contractor and a South African listed property fund. SAPRO is subscribing for a 30% interest in the development vehicle. The development comprises a sectional title mini unit development totalling 18,500 sq. m.
e) Waltloo Industrial Park: This development comprises a 4.4 hectare site located east of the Pretoria CBD, and is a 50% joint venture with a local contractor. It is envisaged that sectional title industrial premises catering to small businesses and freehold warehouse premises will be developed on the site, which comprises 21,948 sq. m of GDA. The joint venture is expected to take transfer of the site by the second quarter of 2008. Bulk services have been installed and the township is expected to be proclaimed by the first quarter of 2008.
f) Imbonini Services Park (Phase 2): This is the second phase of the Imbonini development and will comprise a 77.5 hectare industrial park directly north east of and adjoining the Company's current Phase 1 development. The development is a joint venture with the same two partners who invested in Phase 1. SAPRO will have a 50% interest in the development vehicle. The joint venture partners are currently applying for planning rights for approximately 430,589 sq. m of GDA in order to develop an industrial park on the site. It is expected that servicing of the site will commence in 2009 and that the total length of the project will be 4 years.
