FAR Property to add Gumare project to portfolio
The FAR Property Company (FPC) says it anticipates to complete its Gumare retail development and Hospital Way Day Clinic this year.
The company’s director, Ramachandran Ottapathu said the two projects pose better rental yields that will contribute to the group’s portfolio. “We are seriously considering investing in properties with better and stable yields,” Ottapathu said when presenting the group’s financial results for the six months ended December 31, 2020.
The Gumare retail development and Hospital Way Day Clinic will cost P20 million.
The Botswana Stock Exchange listed property investment and real estate firm currently has portfolio value of P1.3 billion of which 53% is industrial, 37% commercial while 10% is residential all backed by long term leases.
“About 78 % are national and international brands and retailers, local tenants with established businesses, 19% is local tenants and medium sized business, three percent is new start-up companies and small business operations,” Ottapathu added.
However, FAR stated there are no plans for regional expansion. The latest results showed the group has recorded a 15% increase in profit before tax of P59.9 million compared to P47.9 million that was recorded in December 2019 on the corresponding period.
According to the directors, the company, whose properties have a wide geopolitical spread in Botswana and South Africa, is backed by long-term leases. The majority of its properties are located in urban and semi-urban areas.
Far Property was formed in June 2010 after the founders realised the need to establish a portfolio of companies that could answer the property requirements of the Choppies Group.n 2019.