- Occupancy levels stood at 77%
- Rental collections closed the period at 90%
- The Group grew its third-party business portfolio during the period
Harare – Mashonaland Holdings’ occupancy levels remained steady in the half year ended 31 March 2020 (HY2020) in spite of the harsh operating environment.
The Group Chairman, Mr. Ronald Mutandagayi said the Group managed to maintain occupancy levels at 77% in the period under review, the same levels which occupancies stood at in the prior comparable period.
He added that the periodic maintenance of buildings, coupled with the Group’s superior customer management saw some of its strategic tenants increasing space uptake within the portfolio while some left the portfolio due to business closures.
Rental collections in the period closed at 90%, up from 84% in the same period last year as the optimization of the business operational processes continues to pay-off.
The growth reflects the trend in rental collections in the local property market as a whole during the period under review.
Mr Mutandagayi stated that the Group’s management will continue to ensure a rigorous tenant on-boarding process to achieve quality growth going forward.
“In line with its strategic focus area on income streams diversification, the Group grew its third-party business portfolio during the period”, he added.
Revenue in the period was up by 44% to ZWL$30.1 million, reflecting the positive impact of rent reviews.
The Group is set to commence its Bluff Hill cluster housing project soon after the COVID-19 induced lockdown while the Charter House reconfiguration design works are said to complete.
In addition, feasibility studies are on-going to determine the viability of a co-working hub in order to optimize the Group’s CBD portfolio.
A mixed-use development permit for the 42-hectare site in Ruwa has also been secured by the Group.
Going forward, Mr Mutandagayi said the Group will continue with its portfolio performance optimization, diversification and governance strategic focus areas with well-defined risk parameters.
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