AT TA C Q
ATTACQ
Results Sky-High
as Waterfall Takes Shape PRODUCTION: Timothy Reeder
Attacq is among South Africa’s premier REITs, and has been responsible for some of the major projects in the country in recent years. Phase one of the iconic Waterfall City precinct has just been launched, to great fanfare, and has contributed hugely to results which continue to defy the prevailing economic mood in the country. 2 / www.enterprise-africa.net
INDUSTRY FOCUS: FINANCE
// WATERFALL FEATURES EVERYTHING YOU WOULD EXPECT IN A VIBRANT, MODERN DESTINATION AND EMBRACES URBAN LIVING TO THE FULLEST //
Attacq MAF Woolworths pan
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//
“Attacq is a premier property company that delivers exceptional and sustainable growth,” outlines the South African giant of its overarching mission. Targeting exceptional and sustainable growth, the business has two focus areas: investments and developments. Investments are made up of completed buildings held directly or indirectly while its properties, propertyrelated rights and land encompass office, mixed use, and light industrial properties and developments. Focussing on its four key market sectors of retail, office, industrial and hotel, Attacq has amassed an enviable portfolio which numbers such landmark constructions as Lynnwood Bridge Precinct and Glenfair Boulevard in Pretoria, Garden Route Mall in George and the MooiRivier Mall in Potchefstroom, all having received glowing reviews and caused reverberations throughout the country. WATERFALL CITY PROGRESS The headline-grabber in the Attacq armoury though is, without question, the immense Waterfall City and Logistics Hub set between Pretoria and Johannesburg. “Waterfall is a signature mixed-use development located in Gauteng, South Africa’s commercial centre,” Attacq explains. “It features everything you would expect in a vibrant, modern destination. It embraces urban living to the fullest with offices, residential, retail, a logistics hub, schools, hotels, a hospital, parks, restaurants, entertainment and more.” Having acquired the development rights to Waterfall City in 2008, Attacq has never wavered in its quest to create a leading Central Business District (CBD) for Gauteng. “The Waterfall development consists of Waterfall City, an integrated city that works, alongside Waterfall Logistics Hub; this is Gauteng’s logistics hub of choice, and includes light industrial and warehousing,” the company explains. “It is a truly connected hub, a fully-integrated
ATTACQ
lifestyle which offers a complete worklife package. “The design is inspired by the contemporary principles of walkable, energised, mixed-use environments to create a truly first-class city.” Rapidly progressing from being ambitious plans on paper to a worldclass reality, last month brought news of real progress in the high-rise residential aspect of Waterfall City with the launch of the Ellipse Waterfall. This aspect will consist of 590 apartments across four towers, namely Newton, Kepler, Da Vinci and Galileo, and with work is set to be completed in 18 months’ time, there are forecast to be 10,000 people installed at completion. “The breath-taking architectural design at Ellipse Waterfall complements the beautiful modernity of Waterfall City,” Attacq says. “Each striking
apartment features ultra-indulgent modern finishes, eco-friendly features, high ceilings and airy windows that bestow unparalleled vistas of the Gauteng skyline.” Giles Pendleton, Chief Development Officer at Attacq, described the importance of breaking ground on this aspect of the overall project, as the full vision begins to really take shape. “We believe that Ellipse is poised to redefine the live, work, play ethos in Gauteng,” he outlined. “Based on the premise of excellence in infrastructure, safety and sustainability, Waterfall is a fully contained, mixed-use node that encompasses a variety of lifestyle, residential and commercial needs. “Ellipse is at the heart of this exciting new metropolis offering the only luxury high-rise apartments in the precinct.”
Phase two of the development will involve construction of the flagship 16-storey Cassini towers, while the third will entail the construction of the 12-storey Galileo tower and will be completed nine months after Cassini. “Waterfall’s location is unparalleled,” Melt Hamman, Chief Executive Officer of Attacq, added, going on to detail the finer points of the precinct’s draw for a diverse crowd of clients. “Not only is it situated on the business corridor between Johannesburg and Pretoria, but it is supported by two Gautrain bus routes, private schools, a private hospital and features world-class lifestyle and leisure amenities on its doorstep. This makes Ellipse a compelling proposition to discerning investors looking for long term capital growth and secure rental yields.”
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INDUSTRY FOCUS: FINANCE
EXTRAORDINARY RETURNS Predictably, the Ellipse Waterfall development has smashed market sales expectation, in spite of the prevailing economic challenges which continue to dog the country. Over 80% of the 272 apartments in the Newton and Kepler towers have already been sold and a waiting list for the final two towers is steadily growing, marking a total value of R550 million in sales to date. The progress at Ellipse has been a key driver to Attacq’s ability
// ATTACQ IS A PREMIER PROPERTY COMPANY THAT DELIVERS EXCEPTIONAL AND SUSTAINABLE GROWTH //
Waterfall City & PwC Aerial
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to report thriving performance throughout this year. Attacq’s first taste of financial success was the interim dividend it reported of 40.5 cents per share for the six months ended on the 31st of December 2018, well in line with guidance. At the same time, the group’s distributable earnings per share were revealed to
have increased by 9.5% to 45 cents per share, largely as a result of the substantial additional income and growth in the dividend sparked by the completed developments. “We are very pleased with our half year results and the progress made in the transition from a capital growth business model
ATTACQ
We execute each project, regardless of its size, with the same meticulous attention, endeavouring to high quality workmanship through careful selection of skilled artisans and specialized contractors and since its inception our company is well renowned for its commitment to quality.
Hotels, Leisure & Casino’s • Sports Facilities Warehouses & Production Centres • Civil Works Shopping Centres & Off ices • Education Buildings Education & Residential Buildings • Cross Boarder Contracts • Heritage & Public-Art Projects
Witkoppie 64-Ir, Boksburg • 011 323 2800 • thusangm@akhane.co.za • www.akhane.co.za
// WE REMAIN FOCUSED ON WATERFALL AS IT IS ATTACQ’S UNIQUE ENABLER FOR DELIVERING FUTURE GROWTH // into a REIT,” said Hamman. “Our focus remains on the four key value drivers underpinning our business model, namely the South African portfolio, developments in Waterfall, investment in MAS and our Rest of Africa retail investments. “We remain focused on Waterfall as it is Attacq’s unique enabler for delivering future growth,” Hamman underlined. These encouraging signs at the turn of the year were converted into quite remarkable double-digit growth six months down the line, seeing this foremost South African
REIT lift its full-year dividend per share to 81.5 cents for the year ended June 30, 2019. It represents year-onyear growth of a phenomenal 10.1%, and comfortably exceeds the market guidance provided in September 2018 of between 7.5% and 9.5%. “By combining living, working and lifestyle spaces, we have achieved a winning formula at Waterfall, the success of which is evident in the 13.1% increase in trading densities for the Mall of Africa as well as the exceptional interest from buyers for our first high-rise residential development, Ellipse
Waterfall,” summed up Melt Hamman, as he explained how bringing Waterfall City closer to completion have impacted Attacq’s entire bottom-line. “Overall retail trading densities in Attacq’s SA portfolio were up 6.8%, which is great given the tough consumer and retail market locally. We are pleased with the results and are excited about the future of Waterfall.”
WWW.ATTACQ.CO.ZA
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