Growthpoint Properties

Corporate Social Investment


Growthpoint supports corporate social investment (CSI) projects that promote skills development and empowerment among disadvantaged communities. We also use retail centres that we own or manage to support local schools, communities and charities. In 2008/09, we donated R4 million to CSI projects.

Social, economic and environmental risk management

In its broadest sense, risk management requires an organisation to identify future events that could create uncertainty and therefore affect its sustainability, and to respond so as to reduce the likelihood of the adverse consequences of such events.

The board has delegated this responsibility to a Risk Management Committee, which meets quarterly to discuss strategies to minimise the effects of the risks identified and to monitor Key Performance Indicators (KPIs) used to measure the effectiveness of such strategies.

Our strategies and measurements encompass the social, economic and environmental components of sustainability. Examples of such strategies and their related KPIs at Growthpoint are:

Social: A Transformation Committee promotes the achievement of targets for procurement from black empowered enterprises, employment equity, and investment in socially responsible projects. KPIs include preferential procurement spend and black employees as a % of total employees
Economic: Interest rate swap contracts are used in respect of a significant proportion of borrowings. KPIs include the proportion of fixed to floating borrowings
Environmental: Ongoing reviews of facilities are conducted to identify non-compliance with the Occupational Health and Safety Act. KPIs include the number of independent facility reviews, and the number and % of outstanding risk improvement items as identified by insurers"

CSI projects

Zikhuliseni skills development project

To date, we have contributed R4.8 million to the Zikhuliseni skills development project on the Bophelong property in Diepsloot, near Fourways, Gauteng. The project involves construction of a centre to house proficiency development initiatives and provide community training in skills ranging from computers through to sewing and crafts, bricklaying, welding and ironwork, and growing of cash vegetable crops.

Projects that will all be accommodated in the new Zikhuliseni centre, expected to be complete by September 2009, include:

Equip, which provides sewing and craft skills training to more than 100 women. The project, initiated in 2003, aims to enable every Diepsloot resident to become self-sufficient through skills training (on graduation, where possible, trainees are given equipment to start their own businesses). Products made are sold, with 75% of profits being retained by the women and 25% by Equip to purchase materials and pay for operating costs. As a result of the project, more than R300 000 was provided to Diepsloot homes in 2007. The objective is to increase the number of trainees to 300 by the end of 2009

The Vegetable Garden School, which trains Diepsloot residents to grow cash crops all year round. Training is certified by AgriSeta. A further 20 trainees will join after each 30 weeks

A Computer Training Centre, which will train Microsoft certified programmes to about 20 trainees every three months.

Workshop space where welding, bricklaying and ironwork skills training will take place. The first intake will be 20 trainees who will complete a six month training programme. Upon completion the trainees will be awarded a certificate of competence and it is hoped that opportunities will be granted with certain companies to provide them with employment. A further intake of 20 trainees will then begin

Contributions through retail centres
We contribute to community upliftment projects through retail centres that we own or manage. During the year, such retail centres that supported CSI projects included:

Game City in Durban, which hosted an event in support of the Robin Hood Foundation in Inchanga
Middestad Mall's monthly donation to Metro Evangelical Care, a project assisting the homeless
Constantia Village in Cape Town, which supported the South African Riding for the Disabled Association (SARDA) through an annual donation, hosting promotions in the centre, and free advertising and marketing
Northgate in Johannesburg, which provides ongoing support to Honeydew Child Protection and Honeydew Police Station and donates clothing and food to Oasis Haven of Love Foundation
Kolonnade in Pretoria, which provided Christmas gift wrapping for the Montana charities, hosted promotions for local government schools and trauma and legal counselling for the community, and conducted a blanket collection for the needy
La Lucia Mall, near Durban, which hosted events in support of CHOC (Childrens Cancer Foundation of SA), the SPCA and CANSA
Waterfall Mall/Value Mart in Rustenburg, which supported Rustenburg Charities United, Hospice and the SPCA through various initiatives

Halo staff charity project

Halo ("Helping and Loving Others") is a charitable project run by a committee of Growthpoint staff members. These staff give of their personal time to assist charities and people in need, usually those that are lesser known and supported. Growthpoint contributes R9 000 a month from the CSI budget to the Halo project and these funds are used to buy items for the charities being assisted.