Attacq CEO Jackie van Niekerk: A city within a city
Real estate investment trust Attacq, which counts the mixeduse Waterfall City precinct in its portfolio, is celebrating 10 years as a JSE-listed company.
Other assets include Lynnwood Bridge in Pretoria, MooiRivier Mall in Potchefstroom and Eikestad Mall in Stellenbosch. It also has investments in Central and Eastern Europe through its holdings in JSE-listed MAS Real Estate.
In 2008, the Attacq Waterfall Investment Company (AWIC), a wholly owned subsidiary, bought the commercial Waterfall City development rights.
Attacq listed in 2013, and in 2016 opened its flagship asset Mall of Africa at Waterfall City, the largest retail development constructed in a single phase.
With development rights in place, Attacq launched Ellipse in 2020, the first residential development at Waterfall City.
As with many property companies Attacq keeps a close eye on sustainability. To that end it completed Nexus 1 head office in 2022 — the first building to achieve net-zero status. It also signed its first power-purchase agreement to ensure the area remains fully functional during load-shedding.
Attacq has undertaken joint ventures for the development of Waterfall City, including the
Waterfall Corporate Campus with
Zenprop, Cotton On’s head office and distribution centre with JSE-listed Equites Property Fund, and the Vantage data centre.
In 2023 Attacq and the Government Employees Pension Fund (GEPF) represented by the Public Investment Corporation (PIC) closed a R2.7bn deal to fund the Waterfall City development pipeline in Midrand.
The GEPF acquired a 30% stake in AWIC, and Attacq will continue to provide asset, property, development and fund management services to AWIC.
Attacq CEO Jackie van Niekerk spoke to Business Day about the past decade and the company’s future.
What have you achieved in the past 10 years?
Acquiring the development rights of Waterfall City enabled us to unlock numerous opportunities and turn it into what it is today, with a vision of how it might look in the future. It gave us the opportunity to think outside the box in terms of urban design to create our own unique city within a city.
We transitioned into a Reit in 2018, having matured as a business through making difficult decisions to preserve shareholder value and the sustainability of the business. It has been a rewarding journey and one grounded on being in touch at grassroots level of what happens in the business.
We have had big transactions like the Deloitte one and, more recently, the R2.7bn deal with the GEPF. Attacq will have a strong balance sheet to pursue development opportunities at Waterfall City.
As our business strategy evolved, we have been able to change our logo from Waterfall to Waterfall City. We now have a more energised and approachable brand that is all about commerce, care and community. We have built a company culture with a deep purpose, making it easy for our teams to understand the company vision and strategy.
What about the challenges?
SA’s macroeconomic factors, coupled with slow economic growth, make it difficult to do business. We need a growing economy to stimulate demand for and growth in the commercial property sector.
Retail sales will increase if there is growth in the economy, and consumers have money to shop. Collapsing infrastructure and dysfunctional state-owned entities (SOEs) like Eskom and Transnet increase the cost of doing business. Business needs confidence, clear mandates and execution from government on what will happen with those key SOEs.
Inconsistencies in local councils and a lack of strong leadership is a huge concern, especially for developers because we rely on their co-operation to kick off a development. I see a mayor as a CEO
— a commercially minded leader able to mobilise their teams to ensure the council operates efficiently while cutting corruption and red tape in the process. Attracting and retaining skilled talent is becoming a challenge, as people are “semigrating” in search of better opportunities and lifestyles.
Tell us about your precinctfocused approach.
We decided a few years ago that we could not be everything to everyone. We needed focus and wanted to create community spaces in established nodes like Waterfall City. Here, our unique selling point is infrastructure — it is a city that works.
Our focus on purpose, people and assets has resulted in a precinct that continues to deliver strong operational performance. We have the right skill set with the ability to bring strategy to life. It takes a lot of meticulous planning but success lies in the execution.
What’s the secret to the Mall of Africa’s success?
Having the right team, which empowers our people to constantly innovate. Retail is about experiences and solving pain points for tenants and consumers alike — and our team understands this. In October, we launched Sook, an innovative retail space for entrepreneurs who traditionally have never been in a formal retail environment.
What is your main message to shareholders?
We are a well-capitalised business. Our approach is very focused in looking after shareholders’ interest and the assets as if they were our own. We will continue to make tough yet conservative decisions to build sound and long-term sustainable investments.