Fairvest beats inflation again with 8% distribution growth

Fairvest, which focuses on shopping centres in smaller towns and rural areas, has once again beaten inflation with its 8.1% growth in distribution for the six months to end-June.

Fairvest warned four large long-term leases that expire during 2020, with the company saying that it expected the rental would be reduced upon renewal or re-letting. As a result, it was expecting distribution growth to fall to between 4% and 6%. The company, which has a portfolio of 42 properties worth R3.16bn, saw its net asset value per share rise 0.7% to 229.38c per share during its first half. Revenue increased 21.1% to R490m.Fairvest had been in the news recently due to its mooted merger with low-income shopping centre focused peer Safari through a share swap. This deal was was called in August off after it became clear the deal had failed to get sufficient support from Safari's shareholders.

The share price has, over the short term, lagged peers, possibly due to illiquidity and perception of the Fairvest and Safari merger that did not materialise, Catalyst Fund Managers investment manager Paul Duncan said.

South Africa Latest News, South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Hyprop only expects distribution growth in 2021 as it battles debt mountainGroup says its SA operations saw solid revenue growth, though a poor performance in the rest of Africa trimmed its distribution 1.5%
Source: BDliveSA - 🏆 12. / 63 Read more »

ISS Today: Growth, distribution and race: the future of South AfricaNew complex policies are not what SA needs. The priority is growth and fixing the basics of government.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: South Africa’s Q2 growth beats expectations as mining recoversPRETORIA, Sept 3 (Reuters) - South African GDP grew more than expected in the second quarter thanks to a recovery in mining and manufacturing, official data showed on Tuesday, in a reprieve for President Cyril Ramaphosa as the economy looks set to dodge recession this year.
Source: dailymaverick - 🏆 3. / 84 Read more »

BUSINESS MAVERICK: GDP growth beats expectations in Q2 as a recession is avoidedAn unexpected spurt in mining helped SA’s economy grow faster than expected in Q2, thus avoiding a recession. According to StatsSA, the economy grew 3.1% in the quarter after contracting to a revised 3.1% in Q1. The data lifts some of the sense of impending doom around the economy but plenty of gloom remains.
Source: dailymaverick - 🏆 3. / 84 Read more »

SA can add 1.2 million jobs by 2030, McKinsey saysTechnology-related gains could triple South Africa’s productivity growth, more than double growth in per-capita income, the group has said in a new report.
Source: News24 - 🏆 4. / 80 Read more »

SA Corporate cuts interim distribution 6% on rental pressureThe property company's share price has almost halved since its 2017 high, due to negative rental reversions and rising municipal costs
Source: BDliveSA - 🏆 12. / 63 Read more »