Growthpoint in R52m warehousing deal
Growthpoint Properties has concluded a lease deal valued at R 52 million with Bidvest Panalpina Logistics (BPL) in Rossburgh, KwaZulu Natal. This ranks as one of the biggest warehousing leasing deals in the Durban port area.
This deal has now empowered BPL to consolidate all of its operations (previously in two facilities based in Rossburgh and Mobeni) into a single property owned by Growthpoint, achieving operational and economic efficiencies.
BPL is a specialist in warehousing, transport and distribution and handles both global and national traffic.
Growthpoint Properties is the largest South African listed property company with property assets valued in excess of R35 billion located throughout South Africa. Its industrial properties in KwaZulu-Natal are valued at nearly R1.3 billion with its entire portfolio in the province totalling some R4.2 billion in value.
The property was upgraded and reconfigured with finance from Growthpoint (R25 m investment) and BPL. To create new and improved warehousing flow, major alterations included repositioning and removal of internal walls to create a better thoroughfare, raising of roof height and upgrading of floors. A number of older buildings were demolished to enlarge current yard and parking space.
Greg de Klerk, KwaZulu-Natal Regional Head of Growthpoint Properties. comments “Refurbishments can be undertaken to tenant requirements, providing a facility which meets their specialised criteria while enhancing the value of the property. Working together, Bidvest Panalpina Logistics and Growthpoint have maximised this opportunity”.
David Leisegang who managed the project for BPL, says "A lot of our business is port-based. In addition to the consolidation of our facilities providing economies of scale, the Rossborough site has good access to the Durban container terminal - especially with the Khangela Bridge, which now connects Bayhead Road to Rossborough,"
The total project took a period of 9 months and is expected to be fully operational in November 2011.

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