Greenoaks Office Park

Bekker Road | Vorna Valley | Midrand |1686

Price on Application

LETTER OF INTEREST DEADLINE 07 OCTOBER 2021

PRIVATE TENDER CLOSED

Investment highlights

  • An attractive and well-positioned office park in the Vorna Valley area  with a GLA of c.5,000 sqm

  • B-Grade buildings offering an attractive opportunity to conversion specialists or office investors with access to small and medium sized occupiers 

  • Currently 20% occupied with scope to let up vacant space or convert to residential use 

  • The building is located close to the Midrand CBD and there is good access onto the N1 highway via the Allandale Road on and off ramps

  • Projected Net Operating income for the period 1 March 2022 to 28 February 2023 of approximately R2,9 million

654a5425

Location

The building is well-positioned at the corner of Bekker and Gregory Roads in Vorna Valley, close to The Mall of Africa in Waterfall City. The Office Park is in reach of public transport as well as being on the Gautrain bus route and is situated close to the new Allandale off ramp. 

Description

The property comprises 3 mirror image double storey blocks (A, B and C blocks) of face brick construction with balconies and terraces along with sufficient basement covered and open parking bays. Each block has individual offices and amenities (kitchen, male and female bathrooms) on each level.

654a5285
654a5318-hdr

Title Deed Information

Erf: 2023

Title Deed Number: T033721/2011

Registered Owner: Government Employees Pension Fund Local Authority:           

Extent: 12 000 sqm

Zoning: Special

Height Restriction: 10m along all boundaries

Coverage: 30%

F.A.R: 0.4

Building Lines: 4 parking bays per 100 sqm

Parking: 2 storeys

Rentable Areas

The property has the following Gross Internal floor areas:

Description

Size (Sqm)

Office

4,146

Store

618

Other

220

Total                            

4,984

 

Parking

No. of Bays

Open

45

Shade port

95

Basement

70

Total                            

210

 

654a5343

Tenancy and covenant

The buildings are currently let to a number of smaller tenants. The section below provides a summary of the commercial terms of these leases.

 Tenant: TECHTISA PTY(LTD)

  • Area: 290 sqm
  • Lease term: 01 March 2021 to 28 February 2023
  • Rent: R12,552 per month
  • Escalation: 8% per annum

 Tenant: Pac telecommunication

  • Area: 275 sqm
  • Lease term:01 March 2021 to 28 February 2023
  • Rent: R24,057 per month
  • Escalation: 8% per annum

 Tenant: CMT Efficient

  • Area: 252 sqm
  • Lease term: 01 August 2020 to 31 July 2023
  • Rent: R19,893 per month
  • Escalation: 7,5% per annum

  Tenant: FASHS BUSINESS CONSULTING

  • Area: 259 sqm
  • Lease term: 01 July 2021 to 30 June 2024
  • Rent: R26 101 per month
  • Escalation: 8% per annum

 Tenant:  UMNOTHO CASH MANAGEMENT.

  • Area: 145 sqm
  • Lease term: 01 January 2019 to 31 December 2021
  • Rent: R14,613 per month
  • Escalation: 8% per annum

 Tenant: THO SOLUTIONS

  • Area:125 sqm
  • Lease term: 01 December 2018 to 30 November 2021
  • Rent: R13, 070 per month
  • Escalation: 8% per annum

 Tenant: TIPUBLEX (PTY) LTD.

  • Area: 136,77 sqm
  • Lease term: 01 October 2020 to 30 September 2021
  • Rent: R 13 369 per month
  • Escalation: 9% per annum

 Tenant: Kwening operations

  • Area: 113,9 sqm
  • Lease term: 01 February to 31 January
  • Rent: R 12 196 per month
  • Escalation: 8% per annum

 Tenant: Gudunkomo investment.

  • Area:123 sqm
  • Lease term: 01 November 2018 to 01 October 2021
  • Rent: R12,887  per month
  • Escalation: 8%. per annum

 Tenant: Credix debt management

  • Area: 125sqm
  • Lease term: 01 January 2021 to 31 December 2022
  • Rent: R 7,208 per month
  • Escalation: 8% per annum

 Tenant: Chase Everit International property

  • Area: 70,74 sqm
  • Lease term: 01 January 2021 to 31 December 2022
  • Rent: R6434 per month
  • Escalation: 7% per annum

 Tenant: DMK CONSULTING

  • Area: 181,77sqm
  • Lease term: 1 March 2016 to 31 December 2019. Currently on a month to month basis. Lease renewal in progress.
  • Rent: R 15,301 per month
  • Escalation: 9% per annum

Fachs Business consulting and Training (PTY) LTD 

A management consulting solutions provider, founded to aid business management practices for their clients. They provide corporate solutions and consult businesses to the private and public sector clients. They aid corporate companies manage their overall profitability performance and the creation of value for their various stakeholders.

Pacific Telecommunication

A national communications one-stop shop established since 1991, Pacific Telecommunications are a wholesaler and distributor with over 60 years’ experience, specializing in communications products with leading brands such as Uniden, Panasonic, Garmin, Inntech, Pactel and Vertigo as well being a service centre for Uniden, Vertigo and Pactel products.

654a8007_1
654a5353

Net operating income

First Year Cashflow Summary 

Period  1 March 2022 to 28 February 2023

Gross Income (ZAR)

R 5,690 256

Gross Expenses (ZAR)

R 2,711,018

Net Operating Income (ZAR)

R 2,979,238

This assumes the vacancy is fully let at market rentals after 3 months

A full breakdown of the projected NOI is available upon signature of an NDA, along with tenancy schedules, rent rolls and plans where available

 

 

VAT

The Seller has been registered for VAT (Value Added Tax). It is intended that the sale will be treated as a transfer of a going concern, provided that the purchaser is registered for VAT and the requirements for going concern are met in terms of the VAT Act, No. 89 of 1991.

Sales process

Stage 1:

In this stage of the process interested parties are requested to submit a non-binding Letter of Interest / Intent (“LOI”) to the JLL Empact JV by no later than -

12h00 on Thursday 7 October 2021. Bids are to be submitted electronically to the email addresses of the agents provided herein in the template LOI format provided in the Downloads tab below. Please note that late electronic submissions will not be considered by the PIC.

To submit these LOIs the following Stage 1 property information is available under the Downloads tab:

A downloadable Information Memorandum (which is a summary of the information contained in this property information page);

  • A comprehensive Stage 1 Process Letter (setting out the two-stage Private Tender Process in greater detail);  
  • The Seller’s template / standard Letter of Intent / Interest (“LOI”);
  • The Sellers’ standard Non-Disclosure Agreement (“NDA”). The NDA must be completed if the purchasers wants to view a detailed Tenancy Schedule (if applicable and available). 

Bidders will also be allowed to view the Property, provided 48 hours’ notice is given to the JLL Empact JV. 

To download any of these documents you’ll be required to register to become a subscriber to the South African Property Exchange (SAPX).

Stage 2:

Stage 1 LOIs / bids will be assessed by the Seller and thereafter a select number of bidders will be given permission to participate in Stage 2 of the process. In Stage 2, select bidders are given access to a comprehensive Stage 2 due diligence data room to conduct a more extensive due diligence exercise. FICA or KYC verification will be required and submission of binding offers will be done via the ClicktoPurchase functionality on SAPX or via the submission of PDF signed copy of an approved sale and purchase agreement directly to the agents. The agents will provide selected bidders with instructions that outlines how offers are to be submitted via ClicktoPurchase® or direct submission by providing select bidders with a detailed Stage 2 Process Letter.

In Stage 2 bidders have up to 6 weeks to conduct their DD and submit final binding offers.

Bids will be accessed on four main criteria:

  • Price
  • Ability to perform / track record
  • Conditionality (i.e. speed of performance)
  • Timing of electronic submission of offer.

Empact Group

Empact    
PJ Muller PJ.Muller@empactgroup.co.za +27 (0) 82 888 0828
Kedibone Bolofo Kedibone.Bolofo@empactgroup.co.za +27 (0) 83 988 1740

 

 

JLL

JLL    
Pepler Sandri pepler.sandri@eu.jll.com +27 (0) 82 445 5496
Thabiso Malibeng thabiso.malibeng@eu.jll.com +27 (0) 79 183 1153

 

Disclaimer

No information, statement, description, quantity or measurement contained in any sales particulars or given orally or contained in any webpage, brochure, catalogue, email, letter, report, docket or hand out issued by or on behalf of the JLL Empact JV or the vendor in respect of the property shall constitute a representation or a condition or a warranty on behalf of the JLL Empact JV or the vendor. Any information, statement, description, quantity or measurement so given or contained in any such sales particulars, webpage, brochure, catalogue, email, letter, report or hand out issued by or on behalf of the JLL Empact JV or the vendor are for illustration purposes only and are not to be taken as matters of fact. Any mistake, omission, inaccuracy or mis-description given orally or contained in any sales particulars, webpage, brochure, catalogue, email, letter, report or hand out issued by or on behalf of the JLL Empact JV or the vendor shall not give rise to any right of action, claim, entitlement or compensation against JLL Empact JV or the vendor. All bidders must satisfy themselves by carrying out their own independent due diligence, inspections or otherwise as to the correctness of any and all of the information, statements, descriptions, quantity or measurements contained in any such sales particulars, webpage, brochure, catalogue, email, letter, report or hand out issued by or on behalf of the JLL Empact JV or the vendor.