Mackey’s heck of a job to fix SA Corporate Real Estate
Given a year to sell R913m worth of offices to listed or private entities while SA is experiencing high vacancies
Rory Mackey has been given a year to fix SA Corporate Real Estate (https://www.sharenet.co.za/v3/quickshare.php?scode=SAC), having returned to the role of MD in August after resigning in May, but this is optimistic at best.
To bring dividend growth back to the company, he needs to sell the real estate investment trust’s weaker assets while there are few buyers. Mackey said he wants to exit the office sector and focus on convenience retail and light industrial assets. He and his team thus need to sell R913m worth of offices to listed or private entities while SA is experiencing high vacancies.
According to the SA Property Owners Association, the national office vacancy rate is about 11.3%, while a healthy rate would be about 7%...