Accelerate to sell its stake in Portside office tower

Accelerate Property Fund Limited (JSE:APF) announced today that it has entered into an agreement to sell its ownership in the Portside office tower in Cape Town to Penalten Investments (Pty) Ltd for a consideration of ZAR580,000,000. The property includes ground floor retail, office floors 9-18, 623 parking bays, and related common areas. This transaction is part of Accelerate’s strategic repositioning to reduce debt and is subject to shareholder and regulatory approvals. The net operating income of the property for the six months ended September 30, 2024, was approximately ZAR22.7 million. The directors' valuation of the property as of September 30, 2024 was ZAR608,850,000. Shareholders will need to approve the Category 1 transaction in the coming months.