Growthpoint Properties Limited - Acquisition Of The Healthcare Park Office Park,

Growthpoint Properties Limited - Acquisition Of The Healthcare Park Office Park,
Woodmead, Johannesburg ("Healthcare Park")                                      
GROWTHPOINT PROPERTIES LIMITED                                                  
(Incorporated in the Republic of South Africa)                                  
(Registration number 1987/004988/06)                                            
Share code: GRT      ISIN: ZAE000037669                                         
("Growthpoint")                                                                 
ACQUISITION OF THE HEALTHCARE PARK OFFICE PARK, WOODMEAD, JOHANNESBURG          
("HEALTHCARE PARK")                                                             
1. INTRODUCTION                                                                 
Investec Bank Limited is authorised to announce that Growthpoint has concluded  
an agreement with Investec Property Group Limited ("IPG"), in terms of which    
Growthpoint will acquire Healthcare Park for a total purchase consideration of  
R65 million ("the acquisition").                                                
The effective date of the acquisition will be the date of transfer of           
Healthcare Park, which is subject to Competition Commission approval.  The      
anticipated date of transfer is expected to be before the end of December 2005  
("the transfer date").                                                          
2. TERMS OF THE ACQUISITION                                                     
2.1 Acquisition consideration                                                   
Growthpoint will acquire Healthcare Park for a total purchase consideration of  
R65 million, which will be settled in cash on date of transfer and              
registration of Healthcare Park into the name of Growthpoint, by utilising      
Growthpoint"s existing debt facilities.                                         
2.2 Healthcare Park                                                             
Healthcare Park comprises a high quality office park with a gross lettable      
area of 14 575m2, situated in Woodmead, Johannesburg, which is an established   
office node with easy access to the M1 Freeway.                                 
The improvements consist of 16 stand alone buildings set in a park-like         
environment adjacent to the Johannesburg Country Club and golf courses. The     
office buildings are all low-rise and range between 400m2 to 1 300m2 gross      
lettable area per building. A communal building that complements the offices    
accommodates a restaurant, canteen, meeting rooms, boardrooms and auditorium    
facilities.                                                                     
The buildings, six of which are double storey and the remaining single storey,  
are flexible and can accommodate single or multiple tenants and are capable of  
alternative use in its present condition.                                       
Healthcare Park is underpinned by solid income streams and quality tenants.     
Aspen Pharmacare Holdings Limited is the largest tenant with a five-year        
lease.                                                                          
2.3 Rationale for the acquisition                                               
Growthpoint management continues to seek acquisition opportunities which will   
enhance the quality of the Growthpoint direct property portfolio as well as     
the quality, long-term sustainability and growth of the income stream           
available to Growthpoint linked unitholders.                                    
Growthpoint also seeks to offer its linked unit holders exposure to a           
sectorally well-balanced, geographically diversified, quality direct property   
portfolio and the directors are of the opinion that Healthcare Park fits the    
above investment criteria whilst improving Growthpoint"s exposure to the        
buoyant office property market in Woodmead.                                     
The estimated initial annual forward yield of the acquisition is 10.25% from    
the transfer date.                                                              
3. FINANCIAL EFFECTS                                                            
The acquisition will not have a material effect on the earnings per             
Growthpoint linked unit, distribution per Growthpoint linked unit or net asset  
value per Growthpoint linked unit.                                              
4. RELATED PARTY TRANSACTION                                                    
In terms of Section 10.7 of the Listings Requirements of the JSE Limited        
("JSE") the transaction is regarded as a small related party transaction as     
IPG are the managers of Growthpoint and are responsible for the asset           
management and property administration of the Growthpoint property portfolio.   
Accordingly, Growthpoint has provided the JSE with written confirmation ("the   
fair and reasonable opinion") from an independent professional expert that the  
terms of the acquisition are fair and reasonable to Growthpoint linked          
unitholders.  The fair and reasonable opinion will lie open for inspection at   
the registered office of Growthpoint, Ground Floor, Investec Building, 100      
Grayston Drive, Sandton for a period of 28 days from the date of publication    
of this announcement.                                                           
For and on behalf of the board                                                  
Growthpoint Properties Limited                                                  
Sandton                                                                         
21 September 2005                                                               
Merchant bank                                                                   
Investec Corporate Finance                                                      
Investec Bank Limited                                                           
(Registration number 1969/004763/06)                                            
Sponsor                                                                         
Investec Bank Limited                                                           
(Registration number 1969/004763/06)                                            
Independent advisor                                                             
ERNST & YOUNG                                                                   
EY Corporate Finance (Pty Ltd)                                                  
(Registration number 2000/031575/07)                                            
Date: 21/09/2005 11:37:35 AM Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department