Office Portfolio

overview

Within the Office sector, we have 134 properties with a GLA of about 1.18 million m² and a value of about R14 billion (as at 31 December 2011). Overall (including Growthpoint Properties Australia and the V&A Waterfront), Office accounts for 29% of our portfolio by value and 22% by GLA. Most of our Office properties are located in premier office nodes in South Africa, with concentration in Greater Johannesburg, Pretoria and Cape Town.

The table below gives a cross sectional view of the office portfolio as at 31 December 2011.

Office Sub ClassNumber of propertiesGLA m²Value_RmValue /m²(excl. bulk)
High Rise Offices Investec283,7812,174.1325,950
High Rise Office15188,3981,889.6110,030
Low Rise Offices55316,9913,509.5011,071
Office Parks46440,0184,441.3010,059
Office / Warehouse163,656418.706,316
Mixed use: Office and Retail448,871651.7013,321
Hospitals114,022297.7021,230
Hotels15,23683.2015,890
Total Office1341,177,02813,668.6011,472
Vacant Land and Bare Dominiums915,887301.9011,472
A significant proportion of our office properties are located in some of the premier office nodes in South Africa. The location of our properties is biased towards Greater Johannesburg, Pretoria and Cape Town, reflecting on the economic activity available in these regions. The charts below show the geographical location of the office portfolio.
The lease expiry profile of the office portfolio is fairly spread out over a long period with a weighted average lease length of 5.2 years. A result of the economic slowdown, Growthpoint experienced an uptick in vacancies at the end of the 2009 financial year. With the recovery of the global economy expected in the next 2-3 years, the vacancies provide a significant opportunity for income growth for Growthpoint.