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For many years, property has been considered a
key asset class in global investment markets. The volatility of the general
equities market, has encouraged the
South African investor market to re-evaluate the listed property sector as
an investment alternative that provides annuity income and capital growth.
The South African listed property market has
recently experienced a significant amount of investment activity, with
institutional investors indicating their preference for high quality
property funds combined with conservative gearing policies.
In keeping with international trends, South
African institutional property owners have increasingly looked to the
"Financial – Real Estate" sector on the JSE as a means of
unitising their property portfolios and converting direct property holdings.
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Vukile’s principal objective is to
acquire properties with strong contractual cash flows, in order to achieve
meaningful capital appreciation, long-term sustainability and growth of the
income distributions to Vukile linked unitholders.
Where appropriate,Vukile will purchase
additional investment properties that will complement the existing portfolio
in terms of property classification and geographic spread, while at all
times striving to enhance the overall quality of Vukile’s property
portfolio. Vukile’s investment strategy will be implemented in a
structured manner maintaining a conservative loan to value ratio not
exceeding 45%.
Vukile will continually reassess its
investment strategy taking into consideration unitholder requirements and
prevailing market conditions.
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