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Unaudited Interim Consolidated Condensed Financial Results for the six-month period ended 30 September 2025
ACCELERATE PROPERTY FUND LIMITED
(Incorporated in the Republic of South Africa)
(Registration No 2005/015057/06)
LEI: 378900D514788C447E45
JSE code: APF ISIN code: ZAE000185815
Bond company code: APFE
(REIT status approved)
("Accelerate" or "the Company" or "the Fund")
Unaudited Interim Consolidated Condensed Financial Results
for the six-month period ended 30 September 2025
Key indicators
Indicator 6 months 6 months
30 Sep 2025 30 Sep 2024
Revenue (excl straight-line effect of leases) (R'000) 452 236 392 748
Basic and diluted earnings/(loss) per share (cents)* 2,59 (14,11)
Basic and diluted headline earnings/(loss) per share (cents)* 5,01 (5,67)
Vacancies by GLA 15,1% 21,7%
Weighted average lease expiry (years) 4,5 4,1
Interest cover ratio (times) 1,5 1,3
SA REIT Loan-to-value (%) 47,1 46,7
SA REIT Net asset value per share (R) 1,86 2,60
% Interest bearing debt hedged 68,1 53,6
Funds from operations/distributable earnings (R'000) 57 497 (11,089)
* The rights offer was concluded at 40 cents per share which was less than the ruling price on
the day of 43 cents per share. As a result, a bonus factor was calculated (in terms of IAS 33) resulting in
an adjustment in the comparative information previously issued.
Progress on Key Focus Areas
During the past six months, the Company has made significant progress on its key focus areas which
include:
• asset disposals,
• improving the loan-to-value ratio by reducing debt,
• implementing a fully underwritten rights issue of R100 million confirming the largest
shareholder's commitment and support by increasing their shareholding from 46,7% to over
50,7% of shares in issue (net of treasury shares),
• significant improvement in the performance of Fourways Mall with reduction in vacancy,
• settlement of the insurance claim,
• full write-off of the related party debt following various legal actions implemented against the
related party,
• successful amendment of undertaking conditions with funders.
To date, significant progress was made in Fourways Mall with 10,544.5m² of vacant space being filled
and 17,182.2m² of renewal leases concluded.
Results overview
The financial results for the six months under review reflect the restructuring initiatives that have been
implemented and that are currently in progress. Revenue increased by R59,4 million as a result of the
R82,5 million insurance settlement, increased commercial rent and parking income. Retail rent
decreased overall by R29,4 million mainly due to the disposal of Eden Meander in June 2024, Cherry
Lane in February 2025 and increased vacancies in 73 Hertzog Boulevard. This was partially offset by the
reduction in vacancies in Fourways Mall. Recoveries of R113,9 million were on par with that of the prior
period of R113,8 million. On a like-for-like basis, 68,2% of tenants had an average of 8,6% positive rental
growth and 31,8% of tenants had an average of 26,2% negative reversion. The like-for-like comparison
for Fourways Mall reflect a positive rental growth for 54,5% of tenants at an average of 9,4% and 45,5%
of tenants had an average of 27,7% negative rental reversion.
Property expenses decreased by R15,5 million between September 2024 and September 2025, driven
by lower electricity costs of R8,8 million and reduced rates charges of R10,7 million following the
disposal of Eden Meander and the contribution of solar generation at Cedar Square. Repairs and
maintenance costs rose by R3,6 million over the period.
Other operating expenses declined by R8,4 million, reflecting reductions in staff costs, directors' fees
and audit fees.
The fair value adjustment relates to the revaluation of properties and swaps. The Expected Credit Loss
(ECL) line includes both the impairment of bad debtors as well as bad debts written off. At 31 March
2025, the full outstanding related party debt (including VAT) was impaired. At 30 September 2025, the
impairment was reversed and replaced with the write-off of the related party debt. The positive ECL
movement represent the VAT included in the impairment, now reversed.
Finance costs reduced significantly by R28,4 million due to the settlement of debt through the disposal
of assets and the raising of capital through a fully underwritten rights issue. The amortisation of debt
fees decreased by R7,9 million. Swap settlement income decreased significantly from the prior
comparative period due to the termination of the remaining swaps in the prior period. Subsequently,
Accelerate entered into new swaps to stabilize the interest on the debt book by hedging 68.1% of the
debt book. Finance income reduced from R2,3 million to R1,8 million.
Capital expenditure of R69,0 million was spent on Fourways Mall during the period.
Trade debtors decreased by R59,1 million, mainly due to bad debts written off at Fourways Mall. The
related party debtors, which were all provided for at year-end, were written off following the various
legal actions instituted against the related party entities by third parties.
Share capital increased following the rights offer of R100,0 million. R50,0 million will be used for further
capex draws at Fourways Mall, R45,0 million for working capital purposes and the remaining balance
paid towards costs incurred regarding the rights offer.
Interest-bearing borrowings decreased following the disposal of the assets mentioned above as well as
through capital raised by way of a fully underwritten rights offer. All debt matures on 31 March 2027.
Disposal update
During the interim period, two assets, Erf 7 Roggebaai and 1 Charles Crescent were successfully
transferred on 19 May 2025 and 23 May 2025 respectfully, reducing debt by R62,4 million.
After the period end, Competition Commission and shareholder approval was obtained to dispose of
Portside with the transfer of the asset expected to take place by the end of December 2025. The
transfer of Pri-movie park, Beacon Isle and Valleyview and 73 Hertzog Boulevard is also expected to
take place between December 2025 and the end of January 2026, which will reduce debt in total by
R719,1 million.
Leasing update
The Fund's overall vacancies decreased from 21,7% in September 2024 to 19,4% in March 2025 and
subsequently to 15,1% for the period under review. Significant progress was made in Fourways Mall
(the largest asset) by decreasing the vacancy from 17,9% in September 2024 to 13,7% in March 2025
and to 10,7% in September 2025. Fourways Mall saw 10 544,5m² of vacant space being filled (new lets)
and 17 182,2m² of renewals being concluded. This represents 100,0% of the leasing activity at Fourways
Mall, not the 50% attributable to Accelerate.
Vacancies overall decreased by 14 767m² from a total of 57 266m² to 42 499m². Vacancies decreased
by 15 547m² due to the disposal of 1 Charles Crescent but general vacancies increased by 780m². The
total GLA decreased from 294 970m² to 281 730m² representing a reduction of 13 240m². The
reduction of 13 240m² is made of the disposal of GLA of 15 547m² (1 Charles Crescent) and the increase
in GLA at Fourways Mall by 2 307m² (Accelerate's 50% portion) due to additional space becoming
available. Post the interim period, 5,396m² of vacancies were filled at Fourways Mall and 164m² of
vacant space for the remainder of the portfolio was filled. Following the expected transfers of Portside,
Pri-Movie Park, Beacon Isle, Valleyview and 73 Hertzog, the vacancy will decrease further to 10,3% with
an expected LTV of 41,8%. On 28 November 2025, Walmart opened in Fourways mall. The opening was
a huge success with Fourways Mall attracting many shoppers to enjoy this new offering.
Capital Commitments
In terms of Accelerate's budgeting process, R120,2 million (2024: R178,9 million) was allocated to
Accelerate's planned capital expenditure. As such, Accelerate views this amount as authorised and not
contracted.
Subsequent Events
Subsequent to the interim period ending, shareholders voted in favour of the disposal of Portside which
is expected to transfer by the end of December 2025. No other matter that is material to the financial
affairs of Accelerate has occurred between the reporting date and the date of publication.
Dividends
To improve the Fund's financial position, no dividend has been declared for the period ended
30 September 2025.
General
This short-form announcement is the responsibility of the directors of Accelerate. The announcement
is only a summary of the full announcement and does not contain full or complete details.
Any investment decisions by investors and/or shareholders should be based on consideration of the full
announcement published on the Company's website
(www.acceleratepf.co.za/investorcentre/#Financials) and on SENS:
https://senspdf.jse.co.za/documents/2025/jse/isse/apf/HY2025.pdf
Copies of the full announcement may also be requested from the registered office of Accelerate by
emailing Margi Pinto at margi@acceleratepf.co.za, or the Company's debt and equity sponsor at
sponsor@questco.co.za at no charge during office hours.
Any forward-looking statements included in this announcement have not been reviewed or reported
on by the Fund's external auditors.
Fourways
01 December 2025
Equity and Debt Sponsor
Questco Corporate Advisory
Date: 01-12-2025 02:50:00
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