Tenant Partnership Model:
Africrest Properties will partner with you to purchase your existing or new building.
Africrest will find, fund and manage your perfect property.
Some of our partners have included:
Benefits to the tenant include:
- Zero cash investment – the tenant receives a free stake in the building without affecting their cash flow. This allows the tenant to rather put money into their own business than into the building.
- Hassle-free property acquisition – the tenant does not have to deal with the raising of finance for the building or spend time identifying a suitable building.
- Hassle-free property ownership – the tenant does not have to deal with the issues of owning a property (council issues, zoning issues, structural issues, leasing issues, property management issues, etc).
- Partner with property experts.
- Receive the benefits of in-house property management.
- Africrest’s established property network will increase chances of acquiring the best building at the best price.
Why we offer this:
Over the years we have seen that many tenants want to have ownership in their property but prefer to put free cashflow back into growing their business which will often grow at a faster rate than a property investment- our model gives the tenant the best of both worlds.
Africrest would rather have a full building with a stable tenant and to achieve this, we share in the upside of the property with the tenant.
Deals will be entered into according to the following guidelines:
The tenant signs a market related, long-term lease, the exact qualifying amount of space depends on the area in which the building is located. The tenant must occupy a substantial portion of the building (but does not need to occupy the entire property).
- Africrest will find a suitable building (if one has not already been found).
- Africrest will fund the deal, the tenant’s relocation costs and the tenant fit out costs.
- The tenant will receive up to 30% free equity in the building. This could be increased up to 50% if the tenants wishes to put in their own capital.
- Deal dependant factors to consider are: the length of the lease, financial strength of the tenant, quality of the building and area, the funding structure.
- The minimum deal size is where the tenant’s rental equates to R150,000.00 per month (before VAT and utilities). There is no maximum.
Below are testimonials from some of our Tenant Partners.
"WFP and Africrest liaise closely on various building management matters including but not limited to general maintenance, upkeep, leasehold improvements and construction-related. Africrest has a dedicated site manager available to provide support at all times. WFP has found Africrest to be very accommodating in trying to fulfil our requirements. They act quickly and give matters arising the full attention deserved. We have no reservations or hesitation in recommending Africrest Properties"
Donna Favorito, Senior Regional Finance and Administration Officer
“Africrest and their management team spent time understanding our business and property needs while negotiating on our new premises. This allowed them to tailor make a rental solution that worked with our long-term plans and current financial situation. Under very tight deadlines, they made sure we could find a fair and workable solution for both parties for all challenges that presented themselves during the negotiations.”
Ricky Treger, Joint Group Managing Director
"Our offices are an extension of who we are as a company and how we represent ourselves in the physical world. Africrest understand this ethos and have been very accommodating in ensuring that the smallest details are attended to."
Tony Koutakis, CEO of Ignite
"Working with Africrest has been a fruitful and seamless experience. We were attracted by the tenant partnership model which has allowed Sorbet to continue growing our business without constraining our capital while, at the same time, enjoying the benefits of having partial ownership in our property"
Ian Fuhr, Founder and CEO of Sorbet
"We are pleased to be in a central creative space close to all the amenities of Rosebank, including hotels and the Gautrain. The environment is perfect for a business of our nature."
Alessandro Tucci, Senior Vice-President and GM of Fox International Channels Africa
“We have occupied one of Africrest’s properties for more than five years and have had an excellent working relationship with them for the entire duration. They have always been honest and fair in their dealings with us and they have also really cared about our needs and acted with speed to fulfil them.”
Craig Salit, Executive Director of Sunpac
"Our relationship with Africrest has been excellent and they really came to the party in helping us fulfil our needs. Africrest were very easy going and offered a lot of very useful advice"
Rael Lasarow, Joint MD of Thirst
"We have been looking for a home for our growing business together with Africrest and we believe that 132 Jan Smuts offers what we need in terms of location, functionality of space and easy access for both clients and staff."
Guy Brooks, CEO and Founder of CSS
"It is energising to (be in) a building where all your neighbouring tenants are in a creative space, music, television, fashion. Working with Africrest Properties has been a pleasure and the move has gone smoothly considering the very tight time frames and the building’s revamp."
Randall Abrahams, MD of Universal Music
"SYNAQ has grown exponentially and we required new offices for our expansion plans. The Africrest team assisted with the sourcing, negotiation and integration into our new home. We are thrilled to have created a unique innovative space that will further help us shake up the cloud service industry in South Africa."
David Jacobson, Managing Director of SYNAQ
"New Africa Control Engineering (Pty) Ltd first introduction to Africrest Properties was in 2014. During this time we have found them to be very amicable and reasonable in all matters but our appreciation of them grew substantially when our property needs drastically altered and even though we were tied into a lease, their ability to aid and accommodate our new requirements went above and beyond our expectations. We confidently recommend Africrest Properties to anyone as an ethical and professional property company. Their genuine interest in helping us was a welcome change in today’s times."
Alan Taylor, Director of New Africa Control Engineering (Pty) Ltd’s
“One of the things that have impressed me most about Africrest is how responsive they are to our queries. We always receive a reply promptly and they actually care about making us feel comfortable in our home. Unlike most landlords, we are treated like a valued resident, rather than just another tenant.”
Zinhle Jacobs
