Page 31 - Integrated Annual Report

The Palms
Dentsu
properties under management; Rand Daily Mail, Solly Sachs House and Shell House with a combined 1 080 residential apartments and upwards of 60 retail and office spaces.
Our decision to internalise the management of these properties was timely as we were able to respond much more actively to the extraordinary requirements of the COVID-19 pandemic than we would have been with an external manager. We put various measures in place to support our tenants through the pandemic and enjoyed great support from our suppliers. Residential vacancies rose as the effects of lockdown were felt but these improved significantly in the 6 months to June 2021. We were able to maintain strong collection rates for both residential and retail. Our buildings are well positioned for recovery.
Gallagher Convention Centre:
As expected, the COVID-19 pandemic restrictions have had a devastating effect on large events and exhibitions, fundamentally impacting our ability to do business. This did not only apply to the Convention Centre but also our associated organisers and suppliers.
Solly Sachs House
Kalahari Village Mall
the portfolio as tenants attempt to pivot and survive, which will place continued pressure on rental rates in the short to medium term. That said, our vacancy levels have remained stable and above the respective nodal averages.
Industrial:
The industrial and logistics sub-sector is enjoying an attractive investment claim. The HCIP industrial assets remains 100% let with a weighted average lease term of 4.5 years. The outlook for the asset type remains strong.
Mixed-Use:
The Point building has been a consistent performer as it has matured, fortifying its dominance within the Sea Point node. It provides a quality convenience shopping experience coupled with modern commercial suites. The retail is fully let with only two commercial vacancies. The Palms Centre in Woodstock has seen numerous retail tenants close their doors due to the pandemic.
Inner City Housing and Student Accommodation:
Live The City launched on the 1 April 2020 as an in- house property management business for HCI Property’s Inner-City portfolio in Johannesburg. The three historic
ICH Occupancies %
100% 80% 60% 40% 20%
Total Vacancies %
16% 600 14% 500
12%
10% 400
8% 300
6% 200
4% 100 2%
0%
Revenue Stack
(by Property Type)
% of Contractual Rent Collected
0%
0
100% 80% 60% 40% 20%
0%
(by Property Type)
97%
95%
96%
91%
82%
HOSKEN CONSOLIDATED INVESTMENTS LIMITED
INTEGRATED ANNUAL REPORT 2021
29
Rental collected
Rental Relief
Million Rands
HCI Solly Sachs House
Rand DailyMail
Shell House
Industrial Mixed-Use
Office Retail
Retail
Convention Business
Mixed-Use Office
Inner city Industrial
Live the City Other
F2020 Revenue
Industrial
Inner City
Mixed-Use Office
Retail