Growthpoint Properties has acquired the newly developed, income-producing Grand Prix Park in Gosforth Park, Germiston, for R140m.
Early in the industrial park’s development process Growthpoint recognised the potential of the 18,000sqm property and agreed to acquire it from the developer on completion, on condition that the final product was of a suitably high standard and at least 75% let.
The development was completed in late 2019 and two years after discussions began, the property transferred to Growthpoint in June 2020.
The park’s seven different units vary in size, with most ranging between 2,000sqm and 2,800sqm. Each unit is self-contained and has its own entrance, secure yard, parking and landscaping. All units include an office component and feature sprinkler fire protection.
Grand Prix Park’s tenants include Allied Mineral Products SA, which is the park’s biggest tenant across two units, as well as Simmons SA and Consumer Package Goods (a division of Imperial Logistics). Its largest unit, occupied by Gunnebo, is freestanding and measures 3,800sqm.
Errol Taylor, Head of Asset Management: Industrial at Growthpoint Properties, remarks, We felt that this property was well located in a good industrial node with easy access to superior arterial links connecting with the N17, N12 and N3 highways. Its size and location make it especially well-suited for secondary logistics and light industrial users. Growthpoint is highly selective when considering properties to grow our industrial portfolio. We are confident that Grand Prix Park is a good match for our strategy and an asset that will enhance our portfolio.
Besides the quality of the development and its excellent location, an appealing factor for Growthpoint was the wide range of businesses for which the facilities would be well suited because they are industry-agnostic and flexible. The size of the units makes them stand out in the market, being bigger than standard maxi-units yet less expansive than highly-specialised, massive distribution centres.
Growthpoint Properties is significantly invested in industrial property in Germiston and Ekurhuleni. Earlier this year, Growthpoint and Serra Services achieved Gauteng’s first Green Star Existing Building Performance (EBP) rating for an industrial building, with a 5-Star certification for a 7,400sqm facility in Meadowbrook, Germiston. Serra’s premises are directly adjacent to Growthpoint’s award-winning 5-Star Office Design v1 certified Grundfos development.
Growthpoint creates space to thrive with innovative and sustainable property solutions. It is South Africa’s largest primary JSE-listed REIT and is invested in real estate and communities across Africa, Australia, the UK and Eastern Europe.