NOVA PROPERTY GROEP - KOMMUNIKASIE AAN AANDEELHOUERS / SKULDBRIEFHOUERS	Desember 2013
AANDEELHOUERS / NOVA PROPERTY GROUP HOLDINGS BEPERK
SKULDBRIEFHOUERS / NOVA PROPERTY GROUP INVESTMENTS EIENDOMS BEPERK
Desember 2013 Die Direksie van Nova Property Group Holdings Beperk (“Nova Holdings”) en Nova Property Group Investments Eiendoms Beperk (“Nova Investments”) doen as volg verslag.
BESTE AANDEELHOUERS EN SKULDBRIEFHOUERS
Die afgelope jaar kan sekerlik as ‘n gebeurvolle een vir die Nova Groep beskryf word. Indien daar teruggekyk word na die tydperk sedert die Groep uit die herstruktureringsproses tot stand gekom het en toegetree het tot die kommersiële eiendomswêreld, voel dit na ‘n kort periode, maar twee jaar het in werklikheid al reeds verstryk.
Die afgelope jaar was nie sonder uitdagings en probleme nie, veral in ag genome die voortdurende moeilike besigheidsomstandighede waaronder die Groep moes fungeer.
Ons wil graag u aandag vestig op sekere hoogtepunte van die boekjaar wat op einde Februarie 2013 ge-eindig het soos vervat word in die Februarie 2013 Gekonsolideerde Jaarlikse Finansiële State van die Groep. Die Finansiële State en die finansiële prestasies van die Groep was goed ontvang tydens die Algemene Jaarvergadering van die Groep wat suksesvol op 26 November 2013 plaasgevind het.
Sommige van die suksesse wat gedurende die boekjaar eindigend Februarie 2013 behaal was is as volg:
· Bereiking van ‘n positiewe bedryfswins. Hierdie neiging word op voortgebou en sal die Groep se vermoë om eksterne befondsing te bekom verbeter, iets wat tans ‘n uitdaging bly. Hierdie uitdaging bly, en blyk ook onteenseglik gekoppel te wees aan voortdurende negatiewe pers verslagdoening oor die Groep, iets wat deur kwaadwillige joernalisme op die finansiële diense industrie opgedring word. Hierdie uitdaging word egter spesifiek by die horings geneem en ons is vasbeslote dat dit oorkom sal word.
· Die suksesvolle skikking met geërfde historiese krediteure wat ‘n vermindering in laste teen die Groep met R65 Miljoen teweegebring het.
· Bereiking van ‘n 8.6% opbrengs op bates en ‘n bategroei van 10%.
Sedert die Februarie 2013 jaareinde is daar verdere noemenswaardige groei in bates bewerkstellig deur opgraderings en nuwe bate-aanskaffings met die daaruitvoortvloeiende kapitaalgroei.
Die suksesvolle herbemarking en weer van stapel stuur van Zambezi Sentrum soos reeds voorheen vermeld gaan voort en word as ‘n betekenisvolle mylpaal vir die Groep beskou.
Hierdie prestasies is rasse skrede op die pad wat die Groep ingeslaan het om, tot die beste voordeel van ons Aandeelhouers en Skuldbriefhouers, die Groep as ‘n vername rolspeler in die eiendomsektor te vestig.
Die bestuur sal voortgaan om op die implementering van die herstruktureringsproses te fokus met die doel om optimal beleggingsterugbetalings in die toekoms te kan doen. Hierdie beleid sal op die kort termyn ‘n negatiewe invloed hê op die maandelikse beleggingsopbrengste aan skuldbriefhouers en in sommige gevalle ook veroorsaak dat geen maandelikse betalings gemaak sal kan word nie. Ons is egter hoopvol dat dié toedrag van sake binne die volgende 12 tot 18 maande sal stabiliseer.
Gedetailleerde opdaterings oor die spesifieke eiendomme sal vroeg in die nuwe jaar beskikbaar gemaak word.
Die Nova Direksie wens u en u gesin ‘n Geseënde Kersfees en ‘n Voorspedige Nuwe Jaar toe.
Skuldbriefhouers en Aandeelhouers sal op die hoogte van sake van enige noemenswaardige verdere ontwikkelings gehou word.
Neem kennis dat hierdie inligting op die Maatskappy Sekretariële Diensteverskaffer, Frontier, se webtuiste www.frontieram.co.za beskikbaar sal wees. U is welkom om dié webtuiste te besoek vir opdaterings en agtergrond inligting.
Skuldbriefhouers en Aandeelhouers sal direk per sms ingelig word van inligting wat op die webtuiste geplaas word. Neem kennis dat die Nova Groep van voorneme is om op ‘n kwartaalikse basis, naamlik April, Augustus en November van elke jaar, te kommunikeer. (Siende dat ons die goeie nuus oor Zambezi Inkopiesentrum wou insluit, is daar nie in Augustus 2013 gekommunikeer nie, maar wel in Oktober 2013)
Indien u as Skuldbriefhouer van Nova Investments of Aandeelhouer van Nova Holdings nie sulke kommmunikasiestukke vanaf ons ontvang nie, tree asseblief met Frontier in aanraking, soos hieronder aangedui, ten einde te verseker dat u korrekte inligting op Frontier se databasis verskyn.
Navrae kan direk aan die Frontier Kliëntediensafdeling gerig word by 0860 77 77 22 of (012) 425 5000 of per e-pos aan admin@frontieram.co.za Die uwe,
Die Nova Groep Direksie
NOVA PROPERTY GROUP - COMMUNICATION TO SHAREHOLDERS / DEBENTURE HOLDERS	December 2013
SHAREHOLDERS / NOVA PROPERTY GROUP HOLDINGS LIMITED
DEBENTURE HOLDERS / NOVA PROPERTY GROUP INVESTMENTS PROPRIETARY LIMITED
The Board of Directors of Nova Property Group Holdings Limited (“Nova Holdings”) and Nova Property Group Investments Proprietary Limited (“Nova Investments”) report as follows.
DEAR SHAREHOLDERS AND DEBENTURE HOLDERS
The past year has been an eventful one for the Nova Property Group. It seems such a short time ago when the Group emerged from the restructuring process which saw its entry into the commercial property world, whilst, in fact, already nearly two years have passed. The year was not without its difficulties and challenges, especially having regard to the continuing tough business environment in which the Group functions.
We draw your attention to certain specific highlights of the financial year ending February 2013 as contained in the February 2013 Consolidated Annual Financial Statements of the Group. The Financial Statements and the financial achievements of the Group were well received at the Annual General Meeting of the Group which successfully took place on 26 November 2013.
Some of the successes achieved during the financial year to ending February 2013, entailed the following
· attaining a positive operating profit. This trend is ongoing and should improve the Group’s ability to raise external funding, which has proved to be a challenge. This challenge remains, and appears undoubtedly to be linked to the continued negative press reporting pertaining to the Group, foisted upon the financial services industry by ill intending journalism. This challenge is specifically being taken head on by the Group and we are confident that we will succeed.
· successfully concluding final settlements with inherited historical creditors, resulting in a reduction of liabilities to the Group by some R65 Million. · achieving a total return on assets of 8.6% and asset growth of almost 10%.
Since the February 2013 year end, further significant asset growth has been achieved in regard to revamp and new asset acquisition activities and capital growth emanating therefrom. The successful rebranding and re-launching of the Zambezi Mall as reported recently, continues and is significant milestone achieved by the Group. These achievements are great strides in the road embarked upon by the Group, in the best interests of our Shareholders and Debenture Holders, to establish the Group as a notable player in the property sector.
Management will continue to focus on the implementation of the restructuring process with the aim of achieving optimal investment repayments in future. This policy will negatively impact on monthly investment returns to debenture holders in the short term and in some instances lead to the non-payment of investment returns. We are, however, hopeful that the situation will stabilise in the next 12 to 18 months.
Detailed property updates will follow early in the New Year.
The Nova Board wishes each one of you and your loved ones a Merry Christmas and a very prosperous New Year.
Debenture Holders and Shareholders will be kept advised of any significant further developments.
Please note that this information will be available on the Company secretarial services Provider Frontier, website www.frontieram.co.za. You are welcome to visit this website for regular updates and background information.
Debenture Holders and Shareholders will be informed directly via sms of any communication placed onto the web.
Kindly take note that the Nova Group intends communicating on a quarterly basis namely April, August and December of every year. (Due to us wishing to include the good news relating to the Zambezi Mall, we did not communicate in August but in October)
If you, as a Debenture Holder of Nova Investments and/or Shareholder of Nova Holdings, do not receive such communication from us, please contact Frontier, as invited below, and ensure your correct details are reflected on their system.
Queries may be directly addressed by contacting the Frontier Client Services at 0860 77 7722 or on (012) 425 5000 or emailing admin@frontieram.co.za.
The Nova Group Board
NOVA PROPERTY GROEP - KOMMUNIKASIE AAN AANDEELHOUERS / SKULDBRIEFHOUERS	27 APRIL 2013
Dokument kan afgelaai word vanaf PRESS RELEASES
AANDEELHOUERS / NOVA PROPERTY GROUP HOLDINGS BEPERK en SKULDBRIEFHOUERS / NOVA PROPERTY GROUP INVESTMENTS EIENDOMS BEPERK 27 April 2013
Die Raad van Direkteure van Nova Property Group Holdings Beperk (“Nova Holdings”) en Nova Property Group Investments Eiendoms Beperk (“Nova Investments”) doen as volg verslag.
BESTE AANDEELHOUERS EN SKULDBRIEFHOUERS 1. Eerste Jaar
Die 1ste bestaansjaar van die Nova Groep het verbygesnel. Dit volg op die bekragtiging van die Reëlingskemas deur die Hooggeregshof ten opsigte van die historiese “Sharemax Groep” van maatskappye (“die Skemas”) op 20 Januarie 2012. Die Direksie het u in die Desember 2012 kommunikasiestuk ingelig aangaande die vernaamste mylpale wat bereik was.
2. Tarentaal Terugbetaling
2.1 Die Direksie kan met trots aankondig dat al die Tarentaal verwante Skuldbriefhouers, wat hulle geprojekteerde historiese beleggingsbedrae op 20 Januarie 2013 moes terugontvang volgens die Inkomsteplanne verwante Skema, op 18 Januarie 2013 hulle volle historiese beleggingskapitaal (volle sindikasiewaarde) terug ontvang het. Die finale pro rata inkomste betaling vir Januarie 2013 is op die laaste dag van Januarie 2013 aan die Tarentaal verwante Skuldbriefhouers oorbetaal. 2.2 Die Tarentaal verwante Skuldbriewe is gekanselleer.
2.3 Ons sê dankie aan al die Tarentaal verwante Skuldbriefhouers asook die groot aantal ander Skuldbriefhouers wat hulle steun en waardering uitgespreek het en die buitengewone goeie reaksie op die suksesvolle implementering van die eerste terugbetalingsproses ooreenkomstig die Inkomsteplanne verwante Skema. 3. Nuwe Aandeelhouers
3.1 Alle Aandeelsertifikate van die vroeëre beleggers/beleggers wat verkies het om Aandeelhouers van Nova Holdings (“Aandeelhouers”) te word, is sedert Desember 2012 op die webtuiste van Frontier Asset Management and Investments Eiendoms Beperk (“Frontier”) geplaas en Aandeelhouers kan toegang daartoe verkry deur die betrokke instruksie op die webtuiste te volg en soos elke Aandeelhouer per sms en/of per e-pos deur Frontier ingelig was.
3.2 Neem asseblief ook kennis dat afskrifte van die Aandeelsertifikate gerieflikheidshalwe ook deur Frontier aan alle nuutgekose Aandeelhouers van Nova Holdings gepos was. 4. Eerste Fase Befondsing/Algemene Ontwikkelingsvordering
4.1 Ter uitvoering van die Nova Groep se strategie vir verskeie eiendomsopgraderings en ander waardetoevoegingsuitbreidings van die Groep se bestaande Inkopiesentrum eiendomsportefeulje en eiendomsaanskaffingsaksies, kan die Groep met trots aankondig dat dit suksesvol was in die verkryging van eerste fase herstruktureringsbefondsing vanaf een van die vernaamste Handelsbanke in Suid-Afrika, met betrekking tot fondse benodig vir herstruktureering en opgradering soos in die Skemas voorskryf word. 4.2 Dié befondsing was teen gunstige voorwaardes verkry.
4.3 Dit is belangrik om kennis te neem dat een van die belangrikste doelwitte van die Skemas en dus een van die Direksie se belangrikste pligte, is om te verseker dat die huidige Inkopiesentra suksesvol opgegradeer word. 4.4 Skuldbriefhouers word weereens daarop atent gemaak van die feit dat, alhoewel hierdie opgraderings ‘n negatiewe impak op maandelikse inkomste mag hê, die opgraderingsaktiwiteite uiteindelik waarde sal toevoeg tot die eiendomme wat sal lei na hoër beleggingsopbrengste, verhoogde kapitaalgroei en ‘n hoër beleggingsterugbetaling daar te stel in ‘n poging om maksimum beleggingsterugbetalings te bewerkstellig, soos in die Skemas geprojekteer.
4.5 ‘n Grootse poging word tans aangewend om verdere befondsing te verkry en beskikbare befondsing te ontsluit wat benodig word vir die verdere ontwikkeling van die Groeiplan verwante projekte en om die Villa en die Zambezi sentrum Projekte voort te sit en verder to ontwikkel.
4.6 Verdere inligting aangaande die Groeiplan, Zambezi en Villa projekte word in paragraaf 8 hieronder en spesifiek op bladsye 20 tot en met 22 van die kommunikasiestuk verskaf. 4.7 Mark- en sosio-ekonomiese toestande sal egter die spoed waarteen die bogenoemde doelwitte rakende die Groeiplanprojekte bereik kan word, bepaal.
4.8 Soortgelyk sal marktoestande en sosio-ekonomiese toestande, interaksies met wetlike instansies ten opsigte van ontwikkelingsregte en die invloed van derde partye (veral soos die Capicol Groep, in die geval van die Villa en Zambezi projekte) ‘n invloed hê op die tydskale waarbinne die bogenoemde doelstellings rakende die Zambezi en Villa projekte bereik kan word.
4.9. Die Direksie is egter vol vertroue dat die huidige mark- en sosio-ekonomiese toestande oor die mediumtermyn sal verbeter en dat die uitdagings rakende ontwikkelingsregte en die invloed van derde-partye suksesvol oorkom sal word.
5. Rol van Frontier / Verwarring rakende Sharemax Investments en Frontier
5.1 Dit blyk vir die Direksie dat daar nogsteeds verwarring bestaan aangaande die verskil tussen die Regsentiteite wat as Sharemax Investments Eiendoms Beperk (“Sharemax Investments”) en Frontier bekend staan.
5.2 Sharemax Investments en Frontier is twee onafhanklike en afsondelike Regsentiteite wat niks met mekaar te doen het nie, soos duidelik sal blyk uit dit wat hieronder gemeld word. 5.3 Hierdie nie-bestaande verwantskap tussen Sharemax Investments en Frontier is in detail in die dokumentasie wat met die Skemas verband hou, hanteer. 5.4 Op geen manier of in geen opsig is Frontier “‘n verlenging van” óf “‘n plaasvervanger” vir Sharemax Investments nie. 5.5 Frontier was spesifiek, in samewerking met en met die goedkeuring van die Suid-Afrikaanse Reserwebank (“SARB”) gestig vir die doeleindes van die herstruktureringsproses van die historiese “Sharemax Groep”, soos hieronder na verwys, alleenlik en vir die spesifieke doel vir Frontier om die Sekretariële Diensverskaffer vir die doeleindes van die Skemas te wees en om ná die bekragtiging van die Skemas, Administratiewe funksies vir die Nova Groep te verrig, soos hieronder genoem.
5.6 Ingevolge nuut daargestelde ooreenkomste in dié verband, (welke ooreenkomste verduidelik word in die Skema dokumentasie) het die besigheid van Frontier, in die verskaffing van Administratiewe funksies sedert die stigting daarvan gedurende September 2010 en sedertdien, uit slegs 2 (twee) funksies bestaan. Hierdie funksies is - 5.6.1 die verskaffing van Administratiewe en Sekretariële funksies aan die Nova Groep en sy Skuldbriefhouers en Aandeelhouers, insluitend die funksies as Sekretariële Diensverskaffer ooreenkomstig die Skemas soos na verwys word in 5.5; en
5.6.2 die verskaffing van Eiendomsadministrasie verwante dienste namens die Nova Groep wat betrekking het op die verskeie eiendomme wat aan die Nova Groep behoort ná die implementering van die Skemas. 5.7 Die besigheid wat Sharemax Investments histories bedryf het, is reeds gedurende Augustus 2010, selfs voor die uitreiking van die Direktiewe deur die SARB gedurende September 2010, gestaak en het sedertien slegs uit daardie aktiwiteite waarna in 5.10 verwys word, bestaan. 5.8. Voordat Sharemax Investments sy besigheidsaktiwiteite gestaak het soos hierbo genoem, het dit suiwer as die promotor van die historiese “Sharemax Groep” Eiendomsindikasie Projekte opgetree en ook Sekretariële- en Eiendom Bestuursdienste aan die historiese “Sharemax Groep” gelewer.
5.9. Hierdie Sekretariële- en Eiendom Bestuursdienste aktiwiteite was ooreenkomstig spesifieke ooreenkomste gelewer. Hierdie ooreenkomste was, in die proses waardeur Sharemax Investments die historiese besigheidsaktiwiteite gestaak het, gekanselleer.
5.10. Sedert Maart 2011 bestaan die besigheidsaktiwiteite van Sharemax Investments slegs uit Sharemax Investments se betrokkenheid by die implementering van een ooreenkoms wat in Maart 2011 gesluit is, met die uitsluiting van enige ander besigheidsaktiwiteite. Hierdie ooreenkoms word na verwys in 6.2.2. 5.11 Hiérdie nuwe bedeling wat met Sharemax Investments verband hou, was uitdruklik deur die die SARB goedgekeur en in die herstruktureringsproses van die historiese “Sharemax Groep”, soos na verwys word in meer detail in 6.2 en die daaropvolgende paragrawe, by wyse van Hofbevele van die Hoogeregshof van Suid-Afrika, bekragtig.
5.12 Ter opsomming en soos in detail in 6.2 verduidelik word, het Sharemax Investments sedert die bekragtiging van die Skemas geen besigheid soortgelyk aan of selfs verwant aan, die besigheid wat dit histories bedryf het voor die herstruktureringsproses van die historiese “Sharemax Groep” kragtens die Skemas, bedryf nie.
5.13. Die Nova Groep wil graag dat alle betrokke partye kennis neem van die bostaande feitelike en regstegniese status rakende en dat daar geen verwantskap tussen Sharemax Investments en Frontier bestaan nie, asook van die rol wat Frontier speel as die Administratiewe Funksionaris vir die Nova Groep vir die doel van die implementering van die Skemas met die spesifieke uitsluiting dat Frontier geen funksies namens Sharemax verrig nie en dat die rol en funksies van Frontier vêr verwyder is en heeltemal afsonderlik is van enige historiese of huidige aktiwiteite van Sharemax Investments.
6. Belangrike Opmerkings
6.1 Aktiwiteite wat verband hou met “klagtes en/of eise”
6.1.1 Die Nova Groep het kennis geneem van sekere aktiwiteite betreffende beweerde “klagtes” en/of “eise” deur sekere vroeëre aandeelhouers/beleggers (“vroeëre beleggers”) teen sekere Finansiële Adviseurs wat na bewering histories beleggingsprodukte bemark het wat verband hou met die historiese “Sharemax Groep” Eiendomsindikasiemaatskappye en in sekere gevalle met implisering van historiese Sharemax Investments direkteure.
6.1.2 Die Nova Groep distansieër homself van hierdie bogenoemde aktiwiteite en ook van die persone wat daarby betrokke is. 6.1.3 Hierdie aangeleenthede behoort, in soverre dit die Nova Groep aangaan, aan die geskiedenis van die nie meer bestaande sogenaamde “Sharemax Groep”, en aan die geskiedenis van die nie meer ter sake Sharemax Investments, ná die herstruktureringsproses van die historiese “Sharemax Groep”, waarna verwys word in 6.2.
6.1.4 Vroëre beleggers word aangespoor om noulettend op die onderstaande te let.
6.2 Herstrukturering van die historiese “Sharemax Groep”
6.2.1 Met ingang van 20 Januarie 2012 is al die sake van die historiese “Sharemax Groep” geherstruktureer ooreenkomstig die Skemas ná die bekragtiging daarvan deur die Hooggeregshof van Suid-Afrika (“die herstrukturering”).
6.2.2 Sedert die herstrukturering het Sharemax Investments geen sake bedryf nie, behalwe waar dit betrokke was by die implementering van een spesifieke ooreenkoms wat deel gevorm het van die herstruktureringsproses en wat spesifiek deur die SARB goedgekeur was en deur Bevele van die Hoogeregshof van Suid-Afrika bekragtig was. Hierdie ooreenkoms was in detail in die Skema dokumentasie hanteer. 6.2.3 Na die herstrukturering -
6.2.3.1 het die historiese Publieke Maatskappye (wat deel gevorm het van die historiese “Sharemax Groep”) geen besigheid bedryf nie en sal ook nie in die toekoms bedryf nie. Die staking van besigheidsaktiwiteite van hierdie maatskappye word voor voorsiening gemaak in en in die implementeringsproses van die Skemas aangespreek; en
6.2.3.2 is die historiese besigheidsaktiwiteite van die historiese Privaat Maatskappy filiale van die historiese Publieke Maatskappye, waarna in 6.2.3.1 verwys word, met die implementeringsproses van die Skemas, wat gefinaliseer was, in die besigheidsaktiwiteite van Nova Beleggings geabsorbeer.
6.2.4 Wat belangrik is om van kennis te neem is dat vroeëre beleggers (in die historiese “Sharemax Groep”) in Desember 2011 oorweldigend tydens Statutêre Vergaderings van vroeëre beleggers, wat vir hierdie spesifieke doel belê is deur Bevele van die Hooggeregshof, die Skemas aanvaar en ten gunste van die goedkeuring daarvan gestem het. 6.2.5 Voortvloeiend uit dié stemmery het die Hoogeregshof die Skemas bekragtig en het die SARB gevolglik die Direktiewe wat gedurende September 2010 uitgereik was teen die historiese “Sharemax Groep” (en Sharemax Investments), onvoorwaardelik teruggetrek.
6.2.6 Met die terugtrek van die Direktiewe en op grond van die Bekragtigingsbevel van die Hooggeregshof wat die Skemas bekragtig het soos reeds genoem, het alle vroeëre beleggers sonder uitsondering outomaties, onvoorwaardelik en onomkeerbaar Skuldbriefhouers in Nova Investments geword. 6.2.7 Verder en ter gelyke tyd met die word van Skuldbriefhouers deur vroeëre beleggers soos hierbo genoem, is al die historiese aandele en gekoppelde beleggings wat voor die bekragtiging van die Skemas deur die vroeëre beleggers in die historiese Publieke Maatskappye soos na verwys word in 6.2.3.1, besit/gehou was, outomaties, onvoorvaardelik en onomkeerbaar vervreem en gekanselleer deur die vroeëre beleggers in plaasvervanging vir die ontvangs van die nuut geskepte Skuldbriewe in Nova Investments.
6.2.8 Hiérdie plaasvervanging is ‘n Geregtelike (Wettige) Skuldvernuwing, kragtens Hooggeregshofbevele, van al die historiese belange, regte en/of eise (d.i. aandele wat besit was en gekoppelde beleggings wat gemaak was) in die nie meer bestaande historiese “Sharemax Groep” (“historiese beleggers belange”) van vroeëre beleggers.
6.2.9 Die effek van hierdie Geregtelike Skuldvernuwing is dat die historiese beleggers belange, van al die vroeëre beleggers hetsy regtens of feitelik, nie meer bestaan nie.
6.2.10 As ‘n uitvloeisel hiervan en soos spesifiek bepaal in die Skemas, het vroeëre beleggers, sedert die bekragtiging van die Skemas, geen regte nie en het hulle nie enige regte en/of eise oorgehou, van watter aard ookal en wat die bron daarvan ook al mag wees, teen enige historiese “Sharemax Groep” verwante Openbare en/of Private Maatskappye waarna verwys word in 6.2.3.1 en 6.2.3.2 en/of enige bates van daardie historiese Openbare of Privaat Maatskappye wat deel gevorm het van die nie meer bestaande historiese “Sharemax Groep”, nie.
6.2.11 Die enigste regte en/of eise wat die vroeëre beleggers ná die bekragtiging van die Skemas het, is daardie soos spesifiek voor voorsiening gemaak in die Skemas en meer spesifiek, slegs sulke regte wat voortvloei uit en omvat is in die Skuldbriewe wat verkry is deur die vroeëre beleggers ná die bekragtiging van die Skemas, soos gemeld in 6.2.6 en 6.2.7.
6.3 Effek van herstrukturering ten opsigte van “klagtes” en/of “eise”
6.3.1 Die slotsom van bostaande, onder andere, is dat die regte van die vroeëre beleggers om “klagtes” en/of “eise” in te dien soos na verwys in 6.1.1, onderhewig is aan en beperk is tot slegs die regte wat bestaan (in die mate waartoe die regte bestaan) ná die bogemelde herstruktureringsproses van die historiese “Sharemax Groep” en onderhewig aan die spesifieke wysigings en die Geregtelike Skuldvernuwing van die vroeëre beleggers se historiese beleggers belange voorvloeiend uit die genoemde herstruktureringsproses soos hierbo na verwys met die belangrikste wat in 6.3.2 aangedui word. 6.3.2 Ná die bekragtiging van die Skemas en die terugtrekking van die Direktiewe - 6.3.2.1 bestaan die historiese regte van vroeëre beleggers ten opsigte van die betaling van historiese beleggingsinkomstes en/of terugbetaling van historiese beleggingsbedrae, insluitend die betaling van enige agterstallige rentes wat mag bestaan het voor die bekragtiging van die Skemas, nie meer nie; 6.3.2.1 het vroeëre beleggers nie die reg om “klagtes” en/of “eise” teen enige van die historiese “Sharemax Groep” verwante Publieke- of Privaatmaatskappye waarna in 6.2.3.1 en 6.2.3.2 verwys word, in te dien nie;
6.3.2.2 is alle historiese regte van vroeëre beleggers onvoorwaardelik en onomkeerbaar ingevolge die Skemas geherstruktureer en vervang met hulle regte as Skuldbriefhouers om geprojekteerde beleggingsopbrengste en geprojekteerde belegging terugbetalings te ontvang ooreenkomstig die bepalings, voorwaardes, formules en geprojekteerde kwantum van beleggingsopbrengste en beleggings terugbetalings, en slegs, binne die geprojekteerde tydskale van toepassing op die geprojekteerde belegging terugbetalings soos spesifiek bepaal in en gereguleer word deur die Skemas, tot uitsluiting van alle historiese beleggers belange van vroeëre beleggers; en 6.3.2.3 het vroeëre beleggers spesifiek ingestem tot ‘n heeltemal nuwe dispensasie en metodiek waarvolgens die nuut geskepte geprojekteerde opbrengs- en beleggingsterugbetalings sal geskied, insluitend die nuutbepaalde geprojekteerde kwantums en tydskale vir die ontvangs van sulke geprojekteerde betalings ooreenkomstig spesifieke vooruitskattings wat deel vorm van die inhoud van die Skemas, in die proses van die onvoorwaardelike en onomkeerbare vervanging van al die historiese beleggers belange van vroeëre beleggers met sulke nuutgeskepte regte soos na verwys word in 6.2.6 en 6.2.7. 6.3.3 Nieteenstaande die feit dat die Nova Groep homself distansieer van die optredes genoem in 6.1.1, bleik dit vir die Direksie gepas om, in die beste belang van Aandeelhouers en Skuldbriefhouers, waar te neem dat -
6.3.3.1 dit blyk dat die FAIS Ombud ongelukkig sommige van die kwessies wat verband hou met die beweerde “klagtes” na verwys in paragraaf 6.1.1, op ‘n manier hanteer wat nie die Skemas, hul bekragtiging deur die Hoogeregshof, die terugtrekking van die Direktiewe deur die SARB en die duidelike regseffek op die historiese beleggersbelange en huidige regte, eise en belange van die vroeëre beleggers ná die bekragtiging en implementering van die Skemas, in ag neem nie;
6.3.3.1 volgens onlangse wyd gepubliseerde waarnemings deur die media, die sienings, stellings en verklarings van die Fais Ombud rakende die historiese “Sharemax Groep”, Sharemax Investments, historiese Sharemax Investments direkteure en hul beweerde besigheidsaktiwiteite en optrede, deur skynbaar alle partye wat deur die optrede van die Fais Ombus geaffekteer word, op Appèl geneem word;
6.3.3.2 die Finansiële Diensteraad (“FDR”), wat verantwoordelikheid het om enige Appèlle wat ingedien word teen bevindinge en optredes van die Fais Ombud te hanteer, skynbaar nie met al die sienings van die FAIS Ombus saamstem nie. Ingesluit hierby is ‘n onlangse Gesamentlike Persvrystelling gedateer 14 Maart 2013 deur die FDR wat in verskeie koerante op 15 Maart 2013 verskyn het, wat skynbaar die bogemelde posisie van die FDR reflekteer; 6.3.3.3 vroeëre beleggers ingestem het tot en ‘n nuwe bedeling (soos omskryf in 6.3.2.3 en 6.3.2.4 ) aanvaar het ter vervanging van hulle historiese dispensasie ten opsigte van hulle historiese beleggers belange, wat nie meer bestaan nie. Hierdie plaasvervanging is ten volle geïmplementeer deur die Hooggeregshofbevele na die bekragtiging van die Skemas en die terugtrekking van die Direktiewe deur die SARB; en
6.3.3.4 die bekragting van die Skemas en die terugtrekking van die Direktiewe deur die SARB het onder andere die gevolg gehad dat die Publike- en Privaatmaatskappye waarna vewys word in 6.2.3.1 en 6.2.3.2, wat die historiese “Sharemax Groep” daargestel het, insluitend Sharemax Investments, nie meer enige verpligting het om historiese beleggings wat deur die vroeëre beleggers gemaak is in die historiese Sharemax Groep, “terug te betaal” (soos beoog was met die Direktiewe) nie, in aggenome die omstandighede waaronder die Direktiewe deur die SARB teruggetrek is soos vermeld in 6.5.7 tot en met 6.5.13.
6.3.4 Dit bleik verder gepas te wees vir die Direksie om, in die beste belang van die Aandeelhouers en Skuldbriefhouers op te merk, dat vroeëre beleggers (nou Skuldbriefhouers of Aandeelhouers) wat besluit het om deel te neem aan die proses om “klagtes” en/of “eise” in te dien op grond van hulle historiese beleggers belange, soos na verwys word in 6.1.1, skynbaar verkies het om -
6.3.4.1 voldoening na te streef vir hulle persoonlik waargenome beweerde “verliese” hetsy “verlies van inkomste” of “verlies van kapitaal”, gebaseer op historiese belange, regte en/of eise verteenwoordig deur historiese beleggers belange van vroeëre beleggers, gedefinieer in 6.2.8, wat Geregtiglik Skuldvernuut is en wat nie meer bestaan nie;
6.3.4.2 die voldoening wat deur hul na gestreef word te beperk, sodat dit buite die omvang van die bekragtigde Skemas val;
6.3.4.3 sulke voldoening na te streef deur ‘n ander “regsproses”, as die regsproses waartoe hulle spesifiek toegestem het (soos na verwys word in 6.3.2.4) en wat ten volle effektief en bindend op hulle geword het met die bekragtiging van die Skemas; en
6.3.4.4 vergoeding te soek vir hulle waargenome “verlies van inkomste” of “verlies van kapitaal” as billike vergoeding vir hul waargenome finansiële benadeling of skade wat voortvloei uit hul historiese beleggings belange, deur die ander “regsproses” soos na verwys word in 6.3.4.3. 6.3.5 ‘n Moonlike uiteinde van dit wat in 6.3.4.1 tot 6.3.4.4 genoem word is dat dit moontlik bevind kan word dat vroeëre beleggers (wat nou Skuldbriefhouers of Aandeelhouers is) deur te besluit om op te tree soos in 6.3.4 omskryf, moontlik afstand gedoen het van of hulle belange, regte en/of of eise soos voorsiening voor gemaak in die Skemas, mag gerepudieer het.
6.4 Persepsies rakende “verlies van inkomste” en/of “verlies van kapitaal”
6.4.1 Vroeëre beleggers word spesifiek gemaan -
6.4.1.1 ten opsigte van bewerings rakende “verlies van inkomste” en/of “ verlies van kapitaal” in ag genome die nuut daargestelde en behoorlik aanvaarde dispensasie ten opsigte van historiese aandeelhouding en/of beleggings in die historiese, nie meer bestaande “Sharemax Groep”, ná die bekragtiging van die Skemas en die Geregtilike Skuldvernuwing van hul historiese beleggers belange soos na verwys word in 6.2.8;
6.4.1.2 om verantwoordelike advies in te win rakende die bogenoemde aangeleenthede, voordat daar begewe word in aktiwiteite soortgelyk aan dit wat in 6.1.1 genoem word.
6.5 Perspesie rakende “oortredings van die Bankwet” en “onwettigheid”
6.5.1 Die strukturering, stemproses ten opsigte en die bekragtiging van die Skemas het in konsultasie en in samewerking met die SARB plaasgevind. 6.5.2 Nadat die SARB die Direktiewe wat in September 2011 uitgereik is deur die SARB, aan die einde van Januarie 2012 teruggetrek het, het die SARB ‘n amtelike publieke verklaring uitgereik met die strekking dat die Kantoor van die Registrateur van die SARB sy mandaat uitgevoer het met betrekking tot die historiese “Sharemax Groep” en die groep se besigheidsaktiwiteite, en nog belangriker, to die effek dat die Registrateur seker gemaak het dat Sharemax Investments en die Eiendom Sindikasiemaatskappye (“die Publieke en Privaatmaatskappye”) wat die historiese “Sharemax Groep” daargestel het, aan die Bankwet voldoen. 6.5.3 Die SARB het verder bevestig dat die Direktiewe, waarvolgens “beleggers terugbetaal moes word”, wat aan Sharemax Investments en die Publieke en Privaatmaatskappye uitgereik was, teruggetrek is. 6.5.4 Die SARB het gemeld dat die terugtrekking van die Direktiewe van die SARB gevolg het op die goedkeuring van die Reëlingskemas deur die Hoogeregshof op 20 Januarie 2012 en die daaropvolgende registrasie van die Hofbevele wat die Skemas bekragtig het by die “Companies and Intellectual Property Commision”.
6.5.5 In dieselfde formele publieke verklaring stel die SARB dit dat sy bevinding rakende die befondsingsmodelle van Sharemax Investments en die Publieke en Privaatmaatskappye, nie neerkom op ‘n bevinding van kriminaliteit van die betrokke persone nie.
6.5.6 Die bewoording wat in die Engelse weergawe van hierdie kommunikasie in paragrawe 6.5.2, 6.5.3, 6.5.4 en 6.5.5 beklemtoon word, kom woordeliks uit die genoemde publieke verklaring.
6.5.7 Inagenome dit wat vermeld word in hierdie paragraaf 6.5, is dit belangrik dat daar gelet word daarop dat Sharemax Investments en al die Publieke en Privaatmaatskappye, direk nadat die Direktiewe in September 2010 uitgereik is, formeel Aansoeke om Hersiening van die besluit van die Registrateur van die SARB om die Direktiewe uit te reik, ingedien het.
6.5.8 Al die Maatskappye wat aan die Direktiewe onderhewig was by tye van die uitreiking van die Direktiewe in September 2010 het dus formele Hersieningsstappe geneem teen die Direktiewe en die Administratiewe besluit van die Registrateur van die SARB om die Direktiewe uit te reik.
6.5.9 Die prosesse met betrekking tot - 6.5.9.1 die opvolg van die Hersieningsproses; en 6.5.9.2 die implementeing van die Direktiewe, was, soos spesifiek ooreengekom tussen die SARB, Sharemax Investments en die Publieke- en Privaatmaatskappye wat die Hersieningsprosesse ingedien het, spesifiek laat oorstaan terwyl aandag geskenk was aan die herstruktureringsproses van die historiese Sharemax Groep vanaf Oktober 2010 tot Januarie 2012 en wat tot gevolg gehad het die bekragtiging van die Skemas deur die Hooggeregshof en die terugtrekking van die Direktiewe deur die SARB soos reeds genoem, welke terugtrekking gevolg was deur die amptelike publieke verklaring soos na verwys word in 6.5.2.
6.5.10 Terwyl die Direktiewe gebaseer was op die Administratiewe siening van die Registrateur van die SARB dat die “befondsingsmodelle” van, vermoedelik, die historiese “Sharemax Groep” oortredings van die Bankwet daargestel het, het die Hersieningsproses die spesifieke doelwit gehad om te bewys dat die Publieke en Privaatmaatskappye en Sharemax Investments (wat aan die Direktiewe en die Hersienings onderworpe was), nie enige bepalings van die Bankwet oortree het nie, soos op daardie tydstip deur die Registrateur van die SARB beweer. 6.5.11 Die gevolg van die oorstaan van die implementering van die Hersiening- en die Direktiefprosesse soos hierbo omskryf, gevolg deur die bekragtiging van die Skemas en die terugtrekking van die Direktiewe, (alles wat gevolg het ná spesifieke reëlings en samewerking in dié verband tussen die SARB en die Publieke en Privaatmaatskappye en Sharemax Investments) was dat die teenstrydige sienings van die SARB enersyds, en dievan die historiese Publieke en Privaatmaatskappye en Sharemax Investments andersyds, nooit getoets of uitspraak oor gedoen was deur enige instansie soos ‘n Hersienings- of Appélraad of ‘n Hof nie, insluitend of die uitreiking van die Direktiewe of die instelling van die Hersienings korrek was al dan nie. 6.5.12 Die bekragting van die Skemas en die terugtrekking van die Direktiewe deur die SARB het, onder andere, die gevolg gehad dat die Publieke en Privaatmaatskappye nie verder, in watter mate ookal, teenstrydig met die Bankwet opgetree het nie (tot enige mate waartoe hulle moontlik teenstrydig met die Bankwet sou opgetree het), en verder nie meer die verpligting gehad het om historiese beleggings wat deur die vroeëre beleggers in die historiese “Sharemax Groep” gemaak is, terug te betaal nie, soos beoog was met die Direktiewe in aggenome die omstandighede waaronder die Direktiewe deur die SARB teruggetrek is soos vermeld in hierdie paragraf 6.5.
6.5.13 As ‘n uitvloeisel van dit wat in 6.5.1 tot 6.5.12 genoem word -
6.5.13.1 moet enige verwysing na “onwettigheid” of “oortreding van die Bankwet” of iets soortgelyks, gesien word as moontlike oningeligte en ondeurdagte opmerkings deur diegene wat sulke bewerings maak; 6.5.13.2 is enige mening dat Sharemax Investments en/of enige van die Publieke of Privaatmaatskappye verplig is om enige historiese belegging wat deur vroeëre beleggers in die historiese “Sharemax Groep” gemaak is, feitelik en regtens verkeerd. 6.5.14 Die redes vir dit wat in 6.5.13.1 en 6.5.13.2 vermeld word is die terugtrekking van die Direktiewe deur die SARB onder die omstandighede hierbo na verwys, met die spesifieke effek dat die SARB sy Direktiewe aan Sharemax Investments en die Publieke en Privaatmaatskappye om historiese beleggings wat gemaak was, “terug te betaal”, teruggetrek het, en die bekragtiging en implementering van die Skemas met die volle samewerking, ondersteuning en goedkeuring van die SARB. 6.5.15 Skuldbriefhouers word gemaan met betrekking tot die aangeleenthede en die gevolge van dit wat in 6.5 bespeek is. 7. Jaarlikse Finansiële State en Algemene Jaarvergaderings
7.1 Die eerste Jaarlikse Finansiële State (“JFS”) van Nova Property Group Holdings Beperk (“Nova Holdings”) en sy Filiale vir die tydperk geëindig 29 Februarie 2012 is op versoek via die kantore van Frontier beskikbaar vir Aandeelhouers van Nova Holdings (”Aandeelhouers”), na die indiening van die nodige Statutêre Vorm.
7.2 Die Eerste Algemene Jaarvergadering (“AJV”) ten opsigte van die bedrywighede van Nova Holdings vir die tydperk geëindig 29 Februarie 2012 het op 31 Januarie 2013 plaasgevind.
7.3 Aandag word daarop gevestig dat die Direksie in die belang van die Skuldbriefhouers die 90 (negentig) dae tydperk waarin hulle hul spesifieke keuse om Aandeelhouers in Nova Holding te word, kon uitoeffen, verleng het tot 31 Augustus 2012, waarna diegene wat die keuse gemaak het Aandeelhouers in Nova Holdings geword het en waarna hulle Aandeelhouerstatus in werking getree het soos na verwys in vorige omsendskrywes en ook in 3 hierbo.
7.4 Die tweede AJV van Nova Holdings sal gedurende die tweede helfte van 2013 gehou word en Aandeelhouers sal hul AJV verwante Kennisgewings en verwante dokumente voor die datum van die Tweede AJV ontvang.
7.5 Tydens die Tweede AJV sal die JFS verwante inligting volledig hanteer word.
8. Eiendom Spesifieke Opdaterings
8.1 Gedetailleerde opdaterings oor vordering met toekomstige Inkopiesentra verwante eiendomsopgraderings met betrekking tot die Nova Groep se residensiële (Groeiplan verwante) ontwikkelings en die Zambezi en Villa projekte sal in toekomstige kommunikasiestukke vervat word.
8.2 Een van die oogmerke van die Skemas was dat die Direksie individuele opgraderingsprogramme aanpak wat gerig is op die verhoging van beleggingsopbrengste, kapitaalgroei en beleggingsterugbetalings wanneer terugbetaling gemaak moet word ooreenkomstig die Skemas.
8.3 Die Direksie het reeds met hierdie programme begin.
8.4 Dit blyk vir die Direksie dat die oogmerke van verhoogde beleggingsopbrengste en belegging terugbetalingsvermoë ná die opgraderingsprojekte bereik behoort te word. 8.5 Marktoestande en sosio-ekonomiese omstandighede (insluitend die optredes van derde partye soos die Capicol Groep) mag egter ‘n impak hê op en die mate waartoe hierdie oogmerke bereikbaar is, beïnvloed.
8.6 Die Direksie wil u vervolgens inlig aangaande die huidige stand van sommige van die Nova Groep Inkopiesentra, die residensiële (Groeiplan verwante) en die Zambezi en Villa Projekte. Leeuwpoort Street Investments
Die Suid-Afrikaanse Inkomstediens (SAID) is tans die enigste huurder in dié gebou en beset oor die afgelope 6 (ses) jaar die gebou op ‘n maand-tot-maand grondslag. Skuldbriefhouers se aandag word op die risikos verbonde aan so ‘n huurkontrak gevestig veral die feit dat die huurder te enige tyd kennis kan gee dat die huur opgesê word.
Hierdie eiendom het ‘n gemiddelde opbrengs van 7,68% per jaar oor die afgelope 13 maande aan die betrokke Skuldbriefhouers gelewer.
Een van die hysbakke in die gebou sal, soos beplan word, binne die volgende 8 weke hersien en opgeknap word. Hierdie is ‘n groot koste vir die eiendom en sal uit huidige kontantreserwes van Leewpoort Street Investments gefinansier word.
Athlone Park Inkopiesentrum
Die huidige leegstaanoppervlakte bly onveranderd op 2 679m² (43,72%) in Athlone Sentrum en 620m² (14,42%) in Die Meent. Die begrote maandelikse verlies van inkomste as gevolg van hierdie onbesette oppervlakte is R370 110 en het ‘n effek van 4,74%, op ‘n jaarbasis bereken, op skuldbriefhouers se opbrengdte gehad. Bogenoemde leegstaansyfers sluit die persele in wat deur Intercare opgeneem is nie. Dié persele is nog nie in ag geneem nie, aangesien sekere formaliteite nog nie afgehandel is nie. Hierdie formaliteite sal, na verwagting, volgende maand gefinaliseer word.
Neem ook in ag dat daar nou min beweging in die vul van vakante persele is en dat dit eers weer teen die einde van Mei 2013 ‘n oplewing sal toon.
Soos reeds voorheen oor verslag gedoen is, is daar ‘n merkbare styging in die aanvraag na persele vanaf die mediese sektor, met bykans 2 000m² (bo en behalwe die Intercare persele) wat tans oor onderhandel word. Hierdie aanvraag, tesame met die Intercare persele, kom op nagenoeg 3 000m² vakante oppervlakte te staan wat óf bevestig is óf oor onderhandel word. Skuldbriefhouers moet egter in gedagte hou dat die plasing van medies verwante huurders ‘n uitgerekte proses is, hoofsaaklik as gevolg van die statutêre vereistes verbonde aan die mediese sektor.
Die kleinhandelaars in Athlone Park Inkopiesentrum verkeer tans onder druk en vaar weens huidge onbesette spasies nie goed nie, maar die plasing van die mediese huurders sal voortaan merkbare positiewe invloed op die huidge huurders hê.
Athlone Park Inkopiesentrum sal voor die einde van 2013 kosmeties opgegradeer word ten einde die Inkopiesntrum se voorkoms as ‘n mediese en kleinhandel sentrum te verbeter.
Benoni Hyper word tans onder ‘n hoofhuurder basis verhuur waar die hoofhuurder al die regte en verantwoordelikhede ten opsigte van die eiendom aanvaar. Dié hoofhuurooreenkoms verval op 31 Oktober 2013 en die betrokke huurder het aangedui dat hy nie die hoofhuurooreenkoms sal hernu nie, maar dat hy wel sy huur in die gebou sal hernu, maar volgens ‘n standaard huurooreenkoms basis. Alle regte en verantwoordelikhede val dan terug na die gebou-eienaar wat ‘n negatiewe effek op die Skuldbriefhouers se maandelikse opbrengs hê. Ter voorbereiding hiervoor sal die eiendom opgegradeer moet word ten einde huurders te lok en om lewensvatbaar te bly. Dié opgradering is geskeduleer om in die tweede helfte van 2013 in aanvang te neem, afhangend van die verkryging van alle nodige toestemmings, huurooreenkomste, finansiering ens. Kennis moet geneem word dat daar tydens die opgraderingstydperk, wat moontlik so lank as 12 maande kan neem, nie enige obrengste aan Skuldbriefhouers betaal sal kan word nie Daar was onlangs ‘n marknavorsing gedoen om die eiendom se ontwikkelingspotensiaal te bepaal. Die voorgenome ontwikkeling het ‘n liggingtaksering van 70% behaal vir kleinhandel en kantoor ontwikkeling. Dit impliseer dat die ligging wel ontwikkelingspotensiaal het en dat die belangrikste voorvereistes vir ‘n suksesvolle herontwikkeling teenwoordig is.
Neem kennis dat hierdie eiendom ‘n gemiddelde opbrengs van 6,18% per jaar oor die afgelope 13 maande aan Skuldbriefhouers gelewer het.
Die leegstaanfaktor by hierdie eiendom bly onveranderd. ‘n Herontwikkeling van dié eiendom word beplan en huidige onbesette ruimtes sal so bly (of selfs vergroot) tot tyd en wyl die herontwikkeling afgehandel is.
Hierdie eiendom het ‘n gemiddelde opbrengs van 3.08% per jaar oor die afgelope 13 maande aan Skuldbriefhouers gelewer.
Carletonville Sentrum het die potensiaal om ten volle verhuur te word siende dat dit die enigste inkopiesentrum wat in die voorstedelike gebied van die dorp geleë is en nie in die sakesentrum van Carletonville is nie. Hierdie eiendom moet ook herontwikkel word ten einde huurders te lok en om lewensvatbaar te bly. Dié herontwikkeling word vir die eerste helfte van 2014 beplan afhangend van die verkryging van alle nodige toestemmings, huurooreenkomste, finansiering ens.
‘n Onlangse marknavorsing is gedoen om te bepaal of die eiendom heronwikkelingspotensiaal het en die beplande heronwikkeling het ‘n liggingswaardering van 70,2% vir kleinhandelontwikkeling behaal. Dit impliseer dat die ligging van die eiendom herontwikkelingspotensiaal het en dat die belangrikste voorvereistes vir ‘n suksesvolle herontwikkeling teenwoordig is.
De Marionette Inkopiesentrum & Shoprite Secunda
Die huidige leegstaanoppervlakte, wat spasie is vir die ankerhuurder, bly onveranderd op 1 860m² (36,33%) in De Marionette Inkopiesentrum en 271m² (3,15%) in Shoprite Secunda. Die begrote maandelikse inkomste vir hierdie onbesette oppervlakte is R176 297 en het ‘n effek van 2,46%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. ‘n Herontwikkeling van De Marionette Inkopiesentrum word beplan en leë ruimtes sal voorkom (en selfs verhoog) tot tyd en wyl die herontwikkeling voltooi is. Hierdie eiendomme het ‘n gemiddelde opbrengs van 4,34% per jaar oor die afgelope 13 maande aan Skuldbriefhouers gelewer.
De Marionette Inkopiesentrum moet herontwikkel word ten einde huurders te lok en om dit lewensvatbaar te maak. Daar is reeds suksesvol met ‘n nasionale voedsel ankerhuurder onderhandel wat 3 300 m² sal opneem as deel van die herontwikkeling en die finale goedkeuring deur die die nasionale groep se direksie is reeds gegee. Die opgradering is geskeduleer om in die tweede helfte van 2013 in aanvang te neem, afhangend van die verkryging van verder toestemmings, huurooreenkomste, finansiering ens.
‘n Marknavorsing is onlangse gedoen om te bepaal of die eiendom heronwikkelings- potensiaal het en die beplande heronwikkeling het ‘n liggingswaardering van 71% behaal vir kleinhandelontwikkeling. Dit impliseer dat die ligging van die eiendom herontwikkelingspotensiaal het en dat die belangrikste voorvereistes vir ‘n suksesvolle ontwikkeling teenwoordig is.
Homemakers Village & Shoprite Virginia
Die huidige leegstaanoppervlakte bly onveranderd op 1 771m² (40,33%) in Homemakers Village en geen in Shoprite Virginia nie wat ‘n hoofhuur ooreenkoms met die Shoprite groep het. Die begrote maandelikse verlies vir hierdie onbesette oppervlakte is R101 130 en het ‘n effek van 2,43%, op ‘n jaarbasis bereken, op skuldbriefhouers se inkomste. Die verkryging en kontraktering van huurders in Homemakers Village bly ‘n uitdaging weens die sosiale agteruitgang van die omliggende gebiede. Hierdie eiendomme het ‘n gemiddelde opbrengs van 3,07% per jaar oor die afgelope 13 maande aan Skuldbriefhouers gelewer.
Op hierdie tydstip van die jaar is daar min beweging in die vul van vakante persele en dit sal eers weer teen die einde van Mei 2013 ‘n oplewing toon.
Homemakers Village sal ‘n uitdaging bly en daar sal na alternatiewe aanwending of die verkoop van die eiendom gekyk moet word.
Die leegstaanfaktor by hierdie eiendom het verminder tot 10 270m² (67,70%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R1 000 427 en het ‘n negatiewe effek van 5,98%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Dié eiendom het tans nie ‘n ankerhuurder nie as gevolg van egdars wat na die Goldfields Inkopiesentrum in Welkom geskuif het en tot tyd en wyl ‘n ander ankerhuurder bekom word, is dit onwaarskynlik dat die leegstaansituasie sal verbeter. Daar word tans met twee groot huurders wat as ankerhuurders gesien kan word onderhandel en daar word gehoop dat dié onderhandelings binnekort gefinaliseer sal word. Die finale argitekstekeninge en die ingenieursverslag vir die voornemende plasing van diè huurders is onlangs ontvang. Die finale voorstelle vir die plasing van hierdie twee huurders sal binne die volgende maand gefinaliseer en voorgelê word. Tot tyd en wyl ‘n ankerhuurder geplaas word, sal die Skuldbriefhouers nie maandelikse inkomstes ontvang nie.
‘n Marknavorsing is onlangs gedoen om as inset te dien vir strategiese beplanning- en huurbesluite betreffende die huidige en toekomstige ontwikkelingspotensiaal, optimale huurdersamestelling en markindringing. Die kleinhandel markliggingsraming het 75% behaal en dit toon dat die belangrikste voorvereistes vir ‘n suksesvolle kleinhandelsentrum teenwoordig is.
Die leegstaanfaktor by hierdie eiendom het verminder tot 396m² (11,69%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R47 085 en het ‘n effek van 1,89%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Die grootste gedeelte van die leë spasie is een groot oppervlakte wat nie onderverdeel kan word nie en wat tans baie moeilik verhuurbaar is.
Hierdie eiendom het ‘n gemiddelde opbrengs van 4,30% per jaar oor die afgelope 13 maande aan Skuldbriefhouers gelewer.
Die ankerhuurder, Woolworths Food, sal nie sy huurooreenkoms wat in Junie 2014 verstryk hernu nie en toepaslike optredes word reeds geneem om ‘n geskikte plaasvervanger te kry. Skuldbriefhouers moet egter nou reeds kennis neem van ‘n moontlike negatiewe impak op hulle inkomstes.
Magalieskruin Inkopiesentrum word tans en ook die afgelope 30 jaar, goed deur die plaaslike gemeenskap ondersteun. Die inkopiesentrum sal egter kosmeties opgegradeer moet word ten einde huidige huurders te behou, veral gesien in die lig daarvan dat ‘n nuwe inkopiesentrum vir die onmiddelike omgewing beplan word.
Nelspruit Pick ‘n Pay Hyper
Die leegstaanfaktor by hierdie eiendom het onveranderd gebly.
Daar word aktief gepoog om huurders vir hierdie leë spasies te bekom en sekere huurders is reeds ge-identifiseer om hierdie vakante persele te huur.
Hierdie eiendom het ‘n gemiddelde opbrengs van 4,16% per jaar oor die afgelope 13 maande aan skuldbriefhouers gelewer.
Huidige huurders van ongeveer 80m² het gedurende verlede maand hul huurooreenkomste hernu.
Baie van die inkopiesentra in Nelspruit herstel nog van die verhoogde mededinging in die omliggende gebiede, sowel as uit Mosambiek waarvandaan baie van die winkelbesoekers kom. Nelspruit Pick ‘n Pay het ‘n baie sterk ankerhuurder en word ook goed ondersteun deur die gemeenskap. Die leë spasies behoort binnekort gevul te word, maar dit is duidelik dat die kleinhandelaars katvoet is en stadig is om hulleself in die huidige ekonomiese omstandighede te verplig.
Die gebou word tans geverf in ‘n poging om huidige huurders te behou asook om nuwe huurders te bekom.
Die leegstaanfaktor by hierdie eiendom het onveranderd gebly op 2 732m² (71,62%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R176 500 en het ‘n effek van 7,56%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Die twee blokke is reeds omskep in deeltitel eenhede met die doel om dit mettertyd, soos die mark dit toelaat, individueel as enkeleenhede te verkoop. Die groter blok word tans opgegradeer om moontlike huurders of kopers te lok.
Parkside Inkopiesentrum & Secunda Plaza
Die leegstaanfaktor by hierdie eiendom het na 506m² (12,86%) by Parkside Inkopiesentrum met geen onverhuurde spasie by Secunda Plaza nie. Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R59 501 en het ‘n effek van 0,98%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Verskeie van die huidige huurders by Parkside het aangedui dat hulle hul bestaande persele wil uitbrei en daar word verwag dat baie van die huidige leë ruimtes deur bestaande huurders opgeneem sal word. Belangstelling van nuwe huurders is maar middelmatig.
Hierdie eiendomme het oor die afgelope 13 maande ‘n gemiddelde opbrengs van 4,47% per jaar aan Skuldbriefhouers gelewer.
Nuwe huurders het gedurende verlede maand ongeveer 75m² opgeneem.
Die huidige ankerhuurder in Parkside Inkopiesentrum het die afgelope paar maande gebuk gegaan onder ‘n afname in sy omset wat die vermoë om betyds en volledig te betaal nadelig beïnvloed het.
Die eiendom benodig ‘n kosmetiese opgradering en daar word beplan om voor die einde van 2013 die gebou te verf en ook om die parkeerterrein en die tuine op te gradeer. Range View Inkopiesentrum
Die uitbreiding van die aangrensende inkopiesentrum en die groot veranderings aan die omliggende padnetwerk het tot gevolg gehad dat daar redelike belangstelling in Range View Inkopiesentrum is. Die plasing van nuwehuurders moet egter met omsigtigheid gedoen word met die langtermyn vooruitsigte vir die eindom in ag genome.
‘n Komplimetêre marknavorsing is onlangs gedoen om as inset te dien vir strategiese beplanning- en herposisioneringsbesluite betreffende die sentrum. Die ligging evaluasie het 71% behaal wat toon dat die belangrikste voorvereistes vir ‘n suksesvolle kleinhandelsentrum teenwoordig is. ‘n Aanvulingshuurstrategie met Mall@Carnival sal gevolg word met ’n primêre fokus op spesialiteit- en destinasie kleinhandelwinkels.
Die leegstaanfaktor by hierdie eiendom het verminder na 466m² (4,87%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R41 523 en het ‘n effek van 2,12%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Die grootste gedeelte van die leë spasie is een groot oppervlakte wat nie onderverdeel kan word nie en wat tans baie moeilik is om verhuur te kry. Ten einde hierdie sentrum meer aantreklik vir voornemende huurders te maak, sal daar veranderings aan die parkeerarea aangebring moet wotd.
Hierdie eiendom het oor die afgelope 13 maande ‘n gemiddelde opbrengs van 4,16% per jaar aan Skuldbriefhouers gelewer.
Huidige huurders wat 164m² beset het verlede maand hulle huurooreenkomste hernu.
Nasionale huurders maak tans ‘n groot persentasie uit van die huidige huurders in Silverwater Crossing en die sentrum word goed deur die plaaslike gemeenskap ondersteun. Daar is egter afwaartse druk op huurtariewe en dit mag ‘n negatiewe invloed op toekomstige inkomstes hê.
The Village Inkopiesentrum
Die leegstaanfaktor by hierdie eiendom het verminder na 710m² (14,29%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R71 617 en het ‘n effek van 2,92%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Die huidige ankerhuurder, Spar, het reeds aangedui dat hy die grootte van sy huidige perseel met ongeveer 600m² wil vergroot. Om dit tot uitvoering te bring sal sekere huidige huurders geskuif moet word om aan Spar se versoek te voldoen. Die vergroting van die Spar se perseel sal uit die gebou se inkomste gefinasier moet word, wat die Skuldbriefhouers se maandelkikse inkomste nagatief sal beïnvloed.
Hierdie eiendom het oor die afgelope 13 maande ‘n gemiddelde opbrengs van 7,04% per jaar aan Skuldbriefhouers gelewer.
Die leegstaanfaktor by hierdie eiendom het verhoog na 2 245m² (18,27%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R141 523 en het ‘n effek van 2,12%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste. Die verhoging van die leegstaanfaktor is weens die kantoorverwante huurders se huurkontrakte nie verleng is nie ten eind gereed te maak vir die beplande herontwikkeling van die eiendom.
‘n Groot herontwikkeling van dié eiendom word beplan wat kan veroorsaak dat die leë spasie daar sal bly en selfs kan vergroot tot tyd en wyl die herontwikkeling voltooi is.
Huidige huurders wat 482m² beset, het gedurende verlede maand hulle huurooreenkomste hernu.
Hierdie eiendom het oor die afgelope 13 maande ‘n gemiddelde opbrengs van 4,83% per jaar aan skuldbriefhouers gelewer.
Die eindom sal herontwikkel moet word ten einde nuwe huurders te trek en om kompeterend te bly. Dié herontwikkeling is geskeduleer om in die tweede helfte van 2013 of die eerste helfte van 2014 in aanvang te neem, onderhewig daaraan dat die nodige goedkeurings, huurkontrakte, finansiering ens in plek is. Dié herontwikkeling sal, onder andere, die uitbreiding van die huidige ankerhuurder, Pick ‘n Pay, se perseel vanaf 1 200m² tot nagenoeg 3 000m² asook die uitbreiding van die parkeerarea insluit.
‘n Onafhanklike marknavorsingsmaatskappy is getaak om ‘n spesialis markstudie te doen vir Waterglen Sentrum. Die marknavorsing is gedoen om as inset te dien vir strategiese beplanning- en huurbesluite betreffende die huidige en toekomstige ontwikkelingspotensiaal, optimale huurdersamestelling en markindringing. Die markligging evaluasie vir kleinhandel het 80,2% behaal wat toon dat die belangrikste voorvereistes vir ‘n suksesvolle kleinhandelsentrum teenwoordig is.
Witbank Sentrum Die leegstaanfaktor by hierdie eiendom het verminder na 3 538m² (17,33%). Die begrote maandelikse verlies van inkomste vir hierdie onbesette oppervlakte is R334 247 en het ‘n effek van 3,96%, op ‘n jaarbasis bereken, op Skuldbriefhouers se opbrengste.
Hierdie eiendom het oor die afgelope 13 maande ‘n gemiddelde opbrengs van 4,18% per jaar aan Skuldbriefhouers gelewer.
Witbank Sentrum word tans goed deur die plaaslike gemeenskap ondersteun en ondervind ook ‘n goeie aanvraag vanaf plaaslike kleinhandelaars. Die sentrum is egter oud en moet opgegradeer word om huidige huurders te behou en om nuwes te trek. Daar is reeds met die eerste fase van die sentrum se opgradering begin en die tweede is geskeduleer om gedurende 2014 tye begin. Daar word verwag dat die belangstelling in die sentrum sal styg sodra daar met dié opgradering begin word.
Deel van die eerste fase van die opgradering is ‘n nuwe Nando’s deurrit watd tans gebou word en wat teen Junie 2013 in gebruik wees. Die perseel van die ankerhuurder, Checkers Hyper, sal gedurende die volgende paar maande van 2013 met 540m² vergroot word en die hele parkeerterrein word tans opgegradeer. Bogenoemde opgraderings en uitbreidings sal ‘n negatiewe effek op die inkomste van die Skuldbriefhouers oor die volgende paar maande hê aangesien dit uit die gebou se inkomste gefinansier sal word.
Die waardetoevoeging van sulke opgraderings sal uiteindelik bydra tot hoër beleggingsopbrengste, verhoogde kapitaalgroei en verhoogde beleggingsterugbetalings soos geprojekteer.
‘n Onafhanklik marknavorsingsmaatskappye is getaak om ‘n diepgaande marknavorsing te doen oor die demografiese profiel, verbruikersvoorkeure en- persepsies en die groeipotensiaal met betrekking tot die beoogde opknapping van die eiendom. Die beoogde ontwikkeling het 72% behaal vir kleinhandelontwikkeling en dit toon dat die belangrikste voorvereistes vir die suksesvolle opknapping van die eiendom teenwoordig is. Flora Sentrum
Die opknapping van die eiendom is feitlik voltooi en ‘n intydse diepgaande marknavorsing was uitgevoer wat as basis gebruik kon word vir strategiese beplannings- en huurdersamestellingsbesluite aangaande huidige en toekomstige ontwikkelingspotensiaal, die optimum huurdersamestelling, markindringingskoers, verbruikersvoorkeure en –persepsies, supplementêre aanwendings ens. Die eiendom het ‘n liggingstaksering van 70,2% vir kleinhandel, 72% vir residensieël en 73% vir kantore behaal wat aandui dat die ligging huidige en toekomstige ontwikkelingsptensiaal het en dat al die voorvereistes vir ‘n gemengde gebruik ontwikkeling teenwoordig is.
Gebaseer op die positiewe marknavorsingsverslag sal ‘n optimum huurdersamestelling verkry kan word en om dit te bereik sal dit langer nee mom die huidige leë spasies te vul aangesien die regte huurders tans geteiken word ten einde langtermyn volhoudbaarheid en sekerheid te bekom.
Daar was ook vir die historiese Groeiplanprojekte verskeie marknavorsings gedurende die afgelope 6 (ses) maande gedoen ten einde begrip te kry van die huidige markte vir hierdie projekte en om die huidige en toekomstige ontwikkelingspotensiaal te bevestig om uiteindelik die optimum aktiwiteitsmengsels en maksimum jaarlikse opname van eenhede, tipe eenhede en bereikbare pryse in die huidige ekonomiese klimaat te bepaal. Die laagste liggingstaksering wat vir hierdie projekte behaal was is 75% en die hoogste 85%. ‘n Taksering van 80% en hoër dui op ‘n uitsonderlike taksering.
‘n Taksering van tussen 70% en 80% dui daarop dat die belangrikste voorvereistes vir ‘n suksesvolle residensiële ontwikkeling teenwoordig is.
Dié positiewe takserings herbevestig die hoë kwaliteit van dié projekte.
In aggenome die feit dat hierdie inkopiesentrum as ‘n splinternuwe sentrum hanteer word, het die leegstaanfaktor onveranderd gebly teen 18 458m² (70,89%).
‘n Onafhanklike marknavorsingsmaatskappy is ook hier getaak om marknavorsing oor die mark potensiaal vir die alternatiewe aanwending van dié eiendom te doen. Hierdie marknavorsing was benodig om as inset te dien vir die strategiese beplanning en beleggingsbesluite betreffende die beoogde transformasie van die Zambezi Inkopiesentrum. Die ontwikkelingskonsep is die transformasie van die eiendom om alternatiewe kleinhandel, mediese fasiliteite en kantore in te sluit en die navorsingbevindings sal bydra tot die identifikasie van gapings in die mark wat die aanvraag na die bogenoemde alternatiewe kleinhandel, mediese fasiliteite en kantore sal stimuleer.
Die liggingsevaluasie assesering vir alternatiewe kleinhandel het 74% behaal, mediese fasiliteite 80,8% en kantore 70%. Hierdie uitslae dui aan dat die voorvereistes vir ‘n suksesvolle gemengde gebruik ontwikkeling teenwoordig is. Met hierdie navorsing se positiewe bevindings as basis, kan die strategiese beplanning om die Zambezi Sentrum weer van stapel te stuur, gefinaliseer word.
Die Direksie is reeds in ‘n gevorderde stadium om die aanbevole huurdersamestelling vir die eiendom te verkry. Hierdie goeie nuus vir die betrokke Skuldbriefhouers sal verseker dat hulle reeds in die medium termyn, eerder as in die verre toekoms, sal begin om weer ‘n maandelikse obrengs te kry.
Die herontwikkeling en die verkryging van die nuwe huurdersamestelling sal ook die beleggingsterugbetalingvermoë van die eiendom verbeter.
Ongelukkig gaan die geskil en litigasie met Capicol Eiendoms Beperk, die historiese ontwikkelaar van die Zambezi Inkopiesentrum voort. Soos voorheen vermeld het Zambezi Retail by Capicol aangedring, soos dit geregtig is, dat die 50% (vyftig persentasiepunte) onverdeelde aandeel, wat steeds deur Capicol in die Zambezi Sentrum eiendom besit word, oorgedra word. Capicol staan die oordrag onregmatig teen.
Die Direksie is seker dat Zambezi Retail susksesvol sal wees in die oordrag van die oorblywende 50% deur die regsproses. Detail inligting aangaande die Zambezi Sentrum projek sal ter geleë tyd beskikbaar gemaak word.
The Villa Retail Park
Demacon Market Studies (Edms) Beperk was deur die Nova Groep aangestel om ‘n deeglike marknavorsing te doen ten einde die demografiese profiel, verbruikersvoorkeure en persepsies, groeipotensiaal betreffende die voorgestelde huurdersamestelling sowel as ‘n ondersoek na die alternatiewe aanwending van die Villa ontwikkeling met inagneming van die huidige struktuur en samestelling, te bepaal. Die geografiese omgewing waarin The Villa geleë is was as ‘n opkomende node ge-identifiseer en het gemengde gebruikspotensiaal vir toekomstige ontwikkeling. Hierdie moontlikhede is vir kleinhandel, privaat mediese fasiliteite, en tersiëre opvoedkundige fasiliteite. Die liggingsevaluasie toon dat hoë tellings verkry is vir gemengde aanwendingsmoontlikhede vir toekomstige ontwikkeling, synde 75,1% vir tersiëre opvoedkundige fasiliteite, 74,9 vir privaat mediese fasiliteite, 72,9 vir kantore en 72,8% vir kleinhandel. Dit is dus duidelik dat al die voorvereistes vir ‘n suksesvolle gemengde gebruik ontwikkeling teenwoordig is. ‘n Deel van die marknavorsing was ook gedoen om te bepaal wat die optimum tyd is om die mark te betree, wat bepaal is as 2014/2015, en wat die netto effektiewe aanvraag vir die onderskeie gebruiksmoontlikhede is. Hierdie herbevestiging van The Villa se positiewe ligging beaam positiewe geleentheid om die Villa ontwikkeling te omskep na die voormelde gemengde gebruik. Huidige en toekomstige marktoestande sal die finale uitkoms bepaal. Soos in die geval met die Zambezi Mall projek is daar ongelukkig voortslepende geskille en litigasie met Capicol 1 Eiendoms Beperk, die historiese ontwikkelaar van die Villa ontwikkeling.
Soos voorheen vermeld het Villa Retail by Capicol aangedring dat ‘n verdere 50% (vyftig persentasiepunte) onverdeelde aandel wat steeds deur Capicol in die Villa eiendom besit word, oorgedra word na Villa Retail. Capicol staan die oordrag onregmatig teen.
Die Direksie is seker dat Villa Retail susksesvol sal wees in die oordrag van die addisionele 50% deur die regsproses. Skuldbriefhouers en Aandeelhouers sal op hoogte van sake gehou word van enige noemenswaardige verdere ontwikkelings.
Skuldbriefhouers en Aandeelhouers sal direk per sms ingelig word van inligting wat op die webtuiste geplaas word. Neem kennis dat die Nova Groep van voorneme is om op ‘n kwartaalikse basis, naamlik April, Augustus en November van elke jaar, te kommunikeer. Indien u as Skuldbriefhouer van Nova Investments of Aandeelhouer van Nova Holdings nie sulke kommmunikasiestukke vanaf ons ontvang nie, tree asseblief met Frontier in aanraking, soos hieronder aangedui, ten einde te verseker dat u korrekte inligting op Frontier se databasis verskyn.
NOVA PROPERTY GROUP - COMMUNICATION TO SHAREHOLDERS / DEBENTURE HOLDERS	27 APRIL 2013
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DEBENTURE HOLDERS / NOVA PROPERTY GROUP INVESTMENTS PROPRIETARY LIMITED 27 April 2013
The Board of Directors of Nova Property Group Holdings Limited (“Nova Holdings”) and Nova Property Group Investments Proprietary Limited (“Nova Investments”) report as follows. DEAR SHAREHOLDERS AND DEBENTURE HOLDERS 1. First Year
The 1st year of the existence of the Nova Group, has come and gone. This follows the sanctioning by the High Court on 20 January 2012 of the Schemes of Arrangement in respect of the historical so-called “Sharemax Group” of companies (“the Schemes”). 2. Tarentaal Repayment
2.1 The Board is pleased to advise that all Tarentaal related Debenture Holders, whose projected investment repayments were due by 20 January 2013 in terms of the Income Plans related Scheme, received payment of their full historically invested capital on 18 January 2013 (full syndication value). The final pro-rata investment return payments, for January 2013, were made to the Tarentaal related Debenture Holders on the last day of January 2013. 2.2 The Tarentaal related Debentures have been cancelled.
2.3 We thank all the Tarentaal related Debenture Holders and the numerous other Debenture Holders who expressed their appreciation, support and exceptionally positive response to the successful implementation of the first repayment process in terms of the Income Plans related Scheme.
3. New Shareholders
3.1 All Share Certificates of erstwhile shareholders/investors having elected to become Shareholders of Nova Holdings (“Shareholders”) have, since December 2012, been published on the website of Frontier Asset Management and Investments Proprietary Limited (“Frontier”), and are accessible by such Shareholders in accordance with the relevant instructions which appear on the website and which information was also communicated by Frontier to each Shareholder via sms and/or e-mail.
3.2 Please also note that for convenience sake, copies of Share Certificates have been posted by Frontier to all newly elected Shareholders.
4. First Phase Funding / General Development Progress
4.1 In pursuing the Nova Group’s strategy in regard to various property upgrading and other value add expansion activities in respect of the Group’s existing Shopping Mall property portfolio and property acquisition actions, the Group is proud to announce that it has been successful in obtaining first phase restructuring and upgrading funding from one of the leading Commercial Banks in South Africa, as prescribed by the Schemes.
4.2 The funding has been obtained on favourable terms.
4.3 It is important to note that it is one of the main purposes of the Schemes, and therefore one of the Board’s main duties, to procure the successful upgrading of existing Shopping Mall properties of the Nova Group. 4.4 Shareholders and Debenture Holders are therefore again made aware of the fact that although this may have a direct negative impact on monthly investment returns, upgrading activities’ add value to the properties leading to higher investment returns, increased capital growth and increased investment repayments, in an endeavour to reach maximum investment repayment levels, as projected in the Schemes.
4.5 Best efforts are underway to secure, unlock and obtain further funding required to commence development of the Growth Plan related projects and to further develop the Zambezi Mall and Villa Mall projects.
4.6 More information regarding the Growth Plans, Zambezi and Villa projects are provided under paragraph 8 below and in particular on pages 22 up to and including 24 of this communication.
4.7 Market and socio-economic conditions will however dictate the speed at which the aforesaid aims in regard to the Growth Plan projects will be achievable. 4.8 Similarly, market and socio-economic conditions, interaction with Regulatory Authorities in respect of development rights and third party influence (particularly in the form of the Capicol Group in respect of the Zambezi and Villa projects), will however influence the timeframes within which the aforesaid aims in regard to the Zambezi and Villa projects will be achievable.
4.9 The Bond is however confident that market and socio-economic conditions will improve in the medium term and that the challenges in respect of development rights and third party influence will be successfully overcome.
5. Role of Frontier / Confusion regarding Sharemax Investments and Frontier
5.1 It has occurred to the Board that there still appears to be confusion in regard to the difference between the Legal Entities known as Sharemax Investments Proprietary Limited (“Sharemax Investments”) and Frontier.
5.2 Sharemax Investments and Frontier are two independent and discrete Legal Entities which have nothing to do with one another, as will appear from what is stated below. 5.3 This non-existing relationship between Sharemax Investments and Frontier was dealt with in detail in the documentation pertaining to the Schemes. 5.4 In no manner and in no sense of the word is Frontier “an extension” of or “a replacement” for Sharemax Investments. 5.5 Frontier was specifically created, in conjunction and with the approval of the South African Reserve Bank (“SARB”), for purposes of the restructuring process of the historical ”Sharemax Group”, and for the specific purposes of Frontier becoming the Secretarial Services Provider for purposes of the Schemes, and after the sanctioning of the Schemes, to provide Administrative functions for the Nova Group, as referred to below. 5.6 In terms of newly constituted agreements in this regard (such agreements having been explained in the documentation pertaining to the Schemes) the business of Frontier, in providing Administrative functions, commenced from Frontier’s establishment during September 2010 and continues to consist of 2 (two) functions, only. These functions are -
5.6.1 the providing of Administrative and Secretarial functions to the Nova Group and its Debenture Holders and Shareholders, including its functions as Secretarial Services Provider in terms of the Schemes as referred to in 5.5; and 5.6.2 the providing of Property Administrative related services on behalf of the Nova Group, pertaining to the Management and Administration of the various properties owned by the Nova Group subsequent to the implementation of the Schemes. 5.7 The business activities historically conducted by Sharemax Investments ceased during August 2010, even prior to the issuing of the Directives by the SARB during September 2010, from those activities conducted by Sharemax Investments at any time prior to the issue of the Directives and continued solely to be those activities referred to in 5.10. 5.8 Prior to Sharemax Investments ceasing its business activities as aforesaid, it acted, as promoter of the historical “Sharemax Group” Property Syndication Projects and provided Secretarial and Property Management Services to the historical “Sharemax Group”. 5.9 Such Secretarial and Property Management activities were conducted in terms of specific agreements in this regard. These agreements were cancelled in the process of Sharemax Investments ceasing to conduct its historical business activities.
5.10 Since March 2011, the business activities of Sharemax Investments consisted, solely, of the involvement of Sharemax Investments in the implementation of one agreement, being an agreement entered into during March 2011, to the exclusion of any other business activities. This agreement is referred to in 6.2.2.
5.11 The aforesaid new dispensation pertaining to Sharemax Investments was specifically approved of by the SARB and sanctioned by Orders of the High Court of South Africa, in the restructuring process of the historical “Sharemax Group”, as referred to in more detail in 6.2 and the paragraphs following.
5.12 In summary, and as explained in 6.2, following the sanctioning and implementation of the Schemes, Sharemax Investments has conducted no business in the nature of or remotely similar to the business historically conducted by it prior to the restructuring process of the historical “Sharemax Group”, by virtue of the Schemes.
5.13 The Nova Group expresses its wish that all interested parties take note of the aforesaid factual and legal position pertaining to the non-existing relationship between Sharemax Investments and Frontier, and the role played by Frontier as Administrative Functionary for the Nova Group and for purposes of the implementation of the Schemes, to the specific exclusion of Frontier performing any functions for Sharemax Investments, and which role and business activities of Frontier are totally removed and distinct from any historical or current business activities of Sharemax Investments.
6. Notable Observations
6.1 Activities pertaining to “complaints” and/or “claims”
6.1.1 The Nova Group has taken note of certain activities involving alleged “complaints” and/or “claims” by certain erstwhile shareholders/investors (“erstwhile investors”) against certain Financial Advisors who were allegedly historically involved in marketing investment products related to the historical “Sharemax Group” Property Syndication Companies and, in some instances, implicating historical Sharemax Investments directors.
6.1.2 The Nova Group distances itself from the aforesaid activities and from the persons involved therein. 6.1.3 These matters belong to the history of the no longer existing so-called “Sharemax Group” and to the history of the no longer relevant Sharemax Investments, as far as the Nova Group is concerned, following the restructuring of the historical “Sharemax Group” referred to in 6.2.
6.1.4 Erstwhile investors are urged to carefully note what is stated below.
6.2 Restructuring of historical “Sharemax Group”
6.2.1 With effect from 20 January 2012 all the affairs of the historical “Sharemax Group” were restructured in terms of the Schemes after the sanctioning of the Schemes by the High Court of South Africa (“the restructuring”).
6.2.2 Since the restructuring, Sharemax Investments has not conducted any business save for being involved in the implementation of one specific agreement, which agreement formed part of the restructuring process and as specifically approved by the SARB and sanctioned by Orders of the High Court. This agreement was dealt with in detail in the documentation pertaining to the Schemes.
6.2.3 Following the restructuring -
6.2.3.1 the historical Public Companies (having formed part of the historical “Sharemax Group”) have conducted and will be conducting no further business, the cessation of business activities of these companies having been provided for and attended to in the process of the implementation of the Schemes; and
6.2.3.2 the historical business activities of the historical Private Company subsidiaries of the historical Public Companies referred to in 6.2.3.1 have been absorbed into the business activities of Nova Investments, in the process of the implementation of the Schemes, which process has been finalised. 6.2.4 It is important to note that erstwhile investors (in the historical “Sharemax Group”) voted overwhelmingly in favour of acceptance and approval of the Schemes in December 2011, at formal Statutory Meetings of erstwhile investors, convened for this specific purpose by Orders of the High Court. 6.2.5 Following such voting, the High Court sanctioned the Schemes and, consequent upon such sanctioning, the SARB unconditionally withdrew the Directives it had issued during September 2010 in respect of the historical “Sharemax Group” (and Sharemax Investments). 6.2.6 Upon the withdrawal of the Directives, all erstwhile investors, without exception, by virtue of the Orders of the High Court, automatically, unconditionally and irreversibly, became Debenture Holders of Nova Investments. 6.2.7 In addition and simultaneously with erstwhile investors becoming Debenture Holders, all historical shares and linked investments having been owned/held by erstwhile investors in the historical Public Companies referred to in 6.2.3.1 prior to the sanctioning of the Schemes, were automatically, unconditionally and irreversibly, disposed of and cancelled by erstwhile investors in substitution for the acquiring of newly constituted Debentures in Nova Investments.
6.2.8 Such substitution constitutes a Judicial (Legal) Novation, by virtue of Orders of the High Court, of all historical interests, rights and/or claims (i.e. shares owned and linked investments made) in the no longer existing historical “Sharemax Group” (“historical investors’ interests”) of erstwhile investors. 6.2.9 The effect of such Judicial Novation is that the historical investors’ interests of all erstwhile investors no longer exist, in law or in fact.
6.2.10 As a consequence of the above and as specifically provided for by the Schemes, erstwhile investors, since the sanctioning of the Schemes, have had no and have not retained any rights and/or claims, of whatsoever nature and howsoever arising, against any of the historical “Sharemax Group” related Public and/or Private Companies referred to in 6.2.3.1 and 6.2.3.2 and/or any of the assets of such historical Public and/or Private Companies having formed part of the no longer existing historical “Sharemax Group”. 6.2.11 The only rights and/or claims which erstwhile investors have, after the sanctioning of the Schemes, are those as specifically provided for in the Schemes, and more specifically, only such rights as flow from and as embodied in the Debentures having been acquired by erstwhile investors as referred to in 6.2.6 and 6.2.7. 6.3 Effect of restructuring in respect of “complaints” and/or “claims”
6.3.1 The result of the aforesaid is, inter alia, that the rights of erstwhile investors to have recourse, or to lodge, “complaints” and/or “claims” as referred to in 6.1.1, are limited, only, to such rights as may have remained (to the extent to which such rights remained) after the aforesaid restructuring process of the historical “Sharemax Group” and subject to the specific changes to and Judicial Novation of the historical investors’ interests of erstwhile investors, eventuating from such restructuring process, the most notable of which are recorded in 6.3.2. 6.3.2 Following the sanctioning of the Schemes and the withdrawal of the Directives -
6.3.2.1 the historical rights of erstwhile investors to payment of historical investment income and/or repayment of historical investments, have ceased to exist, inclusive of any historical rights in respect of any arrear interest that may have existed at any time prior to the sanctioning of the Schemes; 6.3.2.2 erstwhile investors do not have the right to lodge “complaints” and/or “claims” against any of the historical “Sharemax Group” related Public or Private Companies referred to in 6.2.3.1 and 6.2.3.2;
6.3.2.3 all historical rights of erstwhile investors have been unconditionally and irreversibly restructured in terms of the Schemes, in substitution for their rights as Debenture Holders to receive projected investment returns and projected investment repayments in accordance with the terms, conditions, formulae and projected quantum of investment return payments and investment repayments and, only, within the projected time frames applicable to projected investment repayments as specifically stated and regulated by the Schemes and the newly issued Debentures, to the exclusion of all historical investors’ interests of erstwhile investors; and
6.3.2.4 in particular, erstwhile investors have specifically agreed to and unconditionally accepted an entirely new dispensation and methodology of newly constituted projected investment returns and investment repayments, inclusive of newly constituted projected quantums in respect of and time frames for the receipt of such projected payments, in accordance with specific projections forming the subject matter of the Schemes, in the process of the unconditional and irreversible substitution of such newly created rights for all historical investors’ interests of erstwhile investors as referred to in 6.2.6 and 6.2.7. 6.3.3 Despite the Nova Group distancing itself from the matters referred to in 6.1.1, it appears to the Board to be competent, in the best interests of Shareholders and Debenture Holders, to observe that –
6.3.3.1 the FAIS Ombud appears, unfortunately, to be dealing with certain matters pertaining to alleged “complaints” as referred to in 6.1.1, without taking due cognisance of the Schemes, their sanctioning by the High Court, the withdrawal of the Directives by the SARB, and the clear legal effects on the historical investors’ interests and current rights, claims and interests of erstwhile investors, following the sanctioning and implementation of the Schemes;
6.3.3.2 according to recent widely publicised observations by the media, the views, statements and declarations by the FAIS Ombud in regard to the historical “Sharemax Group”, Sharemax Investments, historical Sharemax Investments directors and their alleged business affairs and conduct, are being taken on Appeal by seemingly all parties affected by the actions of the FAIS Ombud; 6.3.3.3 the Financial Services Board (“FSB”), who is vested with the duty to deal with Appeals lodged against any decisions and actions of the FAIS Ombud, does not appear to share all the views of the FAIS Ombud. Attached hereto, is a Joint Press Release by the FSB as recently as 14 March 2013 and published by various media outlets on 15 March 2013, which appears to reflect the aforesaid position of the FSB;
6.3.3.4 erstwhile investors have agreed to and have accepted a new dispensation (as detailed in 6.3.2.3 and 6.3.2.4), in substitution for their historical, no longer existing dispensation pertaining to their historical investors’ interests, which substitution has been fully implemented by Orders of the High Court following the sanctioning of the Schemes and the withdrawal of the Directives by the SARB;
6.3.3.5 the sanctioning of the Schemes and the withdrawal of the Directives by the SARB, had, inter alia, the effect of the Public and Private Companies referred to in 6.2.3.1 and 6.2.3.2, having historically formed part of the historical “Sharemax Group”, and Sharemax Investments, no longer being obligated to “repay” (by virtue of the Directives) historical investments made by erstwhile investors in the historical Public Companies having formed part of the historical “Sharemax Group”, as was envisaged by the Directives, having specific regard to the circumstances under which the Directives were withdrawn by the SARB as recorded in 6.5.7 up to and including 6.5.13.
6.3.4 It appears furthermore to be competent, in the best interests of Shareholders and Debenture Holders, for the Board to observe that erstwhile investors (now Debenture Holders or Shareholders) who chose to participate in the process of lodging “complaints” and/or “claims” as referred to in 6.1.1, based on their historical investors’ interests, seem to have chosen to -
6.3.4.1 seek satisfaction for their personally perceived alleged “losses”, be it “losses of income” or “losses of capital”, on the basis of no longer existing and Judicially Novated historical interests, “rights and/or claims” represented by historical investors’ interests, of erstwhile investors, as defined in 6.2.8;
6.3.4.2 limit the extent of their satisfaction sought, to fall outside of the ambit of the sanctioned Schemes;
6.3.4.3 seek such satisfaction through a different “legal process” from the legal process to which they had specifically agreed to (as referred to in 6.3.2.4) and which has become fully effective and binding on them following the sanctioning of the Schemes;
6.3.4.4 seek to be compensated for their perceived “losses of income” and/or “losses of capital”, as fair compensation for their perceived financial prejudice or damages flowing from their historical investors’ interests, through the different “legal process” referred to in 6.3.4.3.
6.3.5 The possible result of what is stated in 6.3.4.1 to 6.3.4.4, is that erstwhile investors –(now Debenture Holders or Shareholders), in the process of choosing to act as recorded in this paragraph 6.3.4, may be found to have abandoned or repudiated their interests, rights, and/or claims as provided for and regulated in the Schemes and the Debentures.
6.4 Perceptions pertaining to “loss of income” and/or “loss of capital
6.4.1 Erstwhile investors are specifically cautioned -
6.4.1.1 in respect of allegations pertaining to “loss of income” and/or “loss of capital”, bearing in mind the newly created and duly accepted dispensation in respect of historical shareholding and/or investments in the historical, no longer existing “Sharemax Group”, following the sanctioning of the Schemes and the Judicial Novation of their historical investors’ interests as referred to in 6.2.8; and
6.4.1.2 to obtain responsible advice in regard to all the aforesaid matters, prior to embarking upon or participating in activities similar to those referred to in 6.1.1.
6.5 Perceptions pertaining to “contraventions of the Banks Act” and “illegality”
6.5.1 The structuring, voting in respect of, and the sanctioning of the Schemes took place in consultation and in conjunction with the SARB. 6.5.2 After the withdrawal at the end of January 2012 of the Directives issued by the SARB in September 2010, the SARB made a formal public announcement, to the effect that the Office of the Registrar of the SARB had carried out its mandate in regard to the historical “Sharemax Group” and its business activities, and most notably, to the effect that the Registrar had ensured compliance with the Banks Act by Sharemax Investments and the Property Syndication Companies (“the Public and Private Companies”) having constituted the historical “Sharemax Group”. 6.5.3 The SARB furthermore stated that it had withdrawn the Directives “to repay investors”, issued to Sharemax Investments and the Public and Private Companies.
6.5.4 The SARB furthermore advised that the withdrawal of the Directives of the SARB follows the approval of the Schemes of Arrangement by the High Court on 20 January 2012 and the subsequent registration of the Court Orders having sanctioned the Schemes with the Companies and Intellectual Property Commission.
6.5.5 In the same formal public announcement the SARB records that its finding in regard to the funding models of Sharemax Investments and the Public and Private Companies, “is not a conviction of criminality of the persons involved”. 6.5.6 The words highlighted in 6.5.2, 6.5.3, 6.5.4 and 6.5.5, attributed to the Registrar of or the SARB, are the actual words used by the Registrar or the SARB in its aforesaid formal public announcement.
6.5.7 Having regard to what is stated above in this paragraph 6.5, it is furthermore of importance to note that, immediately after the issuing of the Directives in September 2010, Sharemax Investments and all the Public and Private Companies formally filed Applications for the Review of the decision of the Registrar of the SARB to have issued the Directives. 6.5.8 All the Companies having been subject to the Directives at the time of the issuing of the Directives in September 2010, therefore formally instituted Review proceedings against the Directives and the Administrative decision of the Registrar of the SARB to have issued the Directives.
6.5.9 The processes of -
6.5.9.1 pursuing the Reviews; and
6.5.9.2 implementing the Directives, were, by arrangement between the SARB and Sharemax Investments and the Public and Private Companies having lodged the Review proceedings, specifically pended, whilst the restructuring process of the historical “Sharemax Group” was being attended to from October 2010 to January 2012, culminating in the sanctioning by the High Court of the Schemes and the withdrawal of the Directives by the SARB, which withdrawal of the Directives were followed by the formal public announcement referred to in 6.5.2. 6.5.10 Whilst the Directives were based on the Administrative view of the Registrar of the SARB that the “funding models” of, presumably, the historical “Sharemax Group”, were in contravention of the Banks Act, the Review processes had the specific purpose of proving that the Public and Private Companies and Sharemax Investments (having been subject to the Directives and the Reviews) had not contravened any provisions of the Banks Act, as alleged by the Registrar of the SARB at any relevant time.
6.5.11 The consequence of the pending of the implementation of the Review and Directives processes, followed by the sanctioning of the Schemes, the withdrawal of the Reviews and the withdrawal of the Directives (all following specific arrangements and co-operation in this regard between the SARB and the Public and Private Companies and Sharemax Investments) was that the conflicting views of the SARB on the one hand and the Public and Private Companies and Sharemax Investments on the other hand, were never tested and/or adjudicated upon by any authority in the nature of an Appeal or a Review Board or a Court of Law, including the correctness or not of the issuing of the Directives, nor the instituting of the Reviews.
6.5.12 The sanctioning of the Schemes and the withdrawal of the Directives by the SARB therefore appears to have had, inter alia, the effect of the Public and Private Companies and Sharemax Investments, (to any extent to which they may not have been “in compliance with the Banks Act”) were no longer in any way contravening the Banks Act, and in addition, were no longer obligated to “repay” historical investments made by erstwhile investors in the historical Public Companies having formed part of the historical “Sharemax Group”, as was envisaged by the Directives, having specific regard to the circumstances under which the Directives were withdrawn by the SARB as recorded in this paragraph 6.5. 6.5.13 Following from what is stated in 6.5.1 up to 6.5.12 -
6.5.13.1 references to “illegality” or “contraventions of the Banks Act” and the like, are to be considered as possibly uninformed and ill-advised observations, by whoever makes such observations;
6.5.13.2 any notion to the effect that Sharemax Investments and/or any of the Public or Private companies, are obliged to “repay” any historical investments made into the historical “Sharemax Group” by erstwhile investors, is patently incorrect in fact and in law. 6.5.14 The reason for what is stated in 6.5.13.1 and 6.5.13.2 is the withdrawal of the Directives by the SARB under the circumstance referred to above, with the specific effect that the SARB withdrew its Directives to Sharemax Investments and the Public and Private Companies to “repay” any investments historically made, and the sanctioning of the Schemes and their implementation with the full cooperation, support and approval of the SARB. 6.5.15 Debenture Holders are cautioned in regard to the matters and the implications of the matters dealt with in this paragraph 6.5.
7. Annual Financial Statements and Annual General Meetings
7.1 The First Annual Financial Statements (“AFS”) of Nova Property Group Holdings Limited (“Nova Holdings”) and its Subsidiary Companies for the period ending 29 February 2012 are available to Shareholders of Nova Holdings (“Shareholders”), on request from the offices of Frontier, upon completion of the required Statutory Form.
7.2 The First Annual General Meeting (“AGM”) in respect of the affairs of Nova Holdings for the period ending 29 February 2012 took place on 31 January 2013.
7.3 Attention is drawn to the fact that, in the best interests of Debenture Holders, the Board extended the period of 90 (ninety) days as provided for in the Schemes for Debenture Holders to exercise their specific election to become Shareholders of Nova Holdings to 31 August 2012, only after which date they became Shareholders of Nova Holdings, and after which date their Shareholding status was processed, as referred to in previous communiques and as referred to in 3 above. 7.4 The Second AGM of Nova Holdings will be held during the latter part of 2013 and Shareholders will receive their AGM related Notices and relevant documentation prior to the date of the Second AGM.
7.5 At the Second AGM the relevant AFS related information will be dealt with fully.
8. Property Specific Updates
8.1 Detailed updates on future individual Shopping Mall related property upgrades, progress in respect of the Nova Group’s residential (Growth Plan related) developments and the Zambezi and Villa projects, will form part of future communiqués.
8.2 One of the purposes of the Schemes was for the Board to embark upon individual upgrading programmes, aimed at enhancing investment returns, capital growth, and investment repayments when same fall due in terms of the Schemes.
8.3 The Board has embarked on these programmes.
8.4 It appears to the Board that the aims of enhancing investment return and investment repayment capabilities following the upgrading programmes should be achieved. 8.5 Market conditions and socio-economic circumstances (including activities of third parties such as the Capicol Group) may however impact on and influence the extent to which these aims are achievable.
8.6 The Board provides the following current updates in regard to certain of the Nova Group Shopping Malls, the residential (Growth Plan related) projects and the Zambezi and Villa projects.
Leeuwpoort Street Investment
The South African Revenue Service (SARS) is currently the only tenant in the building and occupies the building on a month to month basis for the past 6 (six) years. Debenture Holders need to remain aware of the risks associated with month to month leases, particularly that the tenant could give notice to vacate at any time.
Please note that this property has realised an average return to relevant Debenture Holders of 7,68% over the past 13 months.
An overhaul and refurbishment of one of the elevators servicing the building is scheduled to take place within the next 8 weeks. This represents a major cost to the property, which will be financed through existing cash reserves of Leeuwpoort Street Investment.
Current vacancies have remained unchanged at 2 679m² (43,72%) for Athlone Park Shopping Centre and 620m² (14,42%) for Die Meent. The budgeted monthly loss of income as a result of these vacancies totals R370 110, which resulted in Debenture Holders’ returns of 4,74% (annualised).
The abovementioned figures include premises which have been taken up by Intercare. These premises have not been excluded from the vacancies, as certain formalities have not been finalised. These formalities are expected to be finalised within the next month.
Kindly note that we are currently in a period where the take up of premises is expected to be slow, and may only pick up towards the end of May 2013.
As previously reported, there has been a notable increase in demand for premises from the medical sector, with nearly 2,000m² currently under negotiation (in addition to the Intercare premises). This, together with the Intercare premises, totals over 3,000m² of vacant premises, either secured or under negotiation. Debenture Holders need to note that the placement of these medical related tenants is a drawn out process, largely due to Statutory Requirements related to the medical sector.
Retailers at Athlone Park Shopping Centre are under pressure and are not performing well due to existing vacancies, but the placement of the medical tenants will have a major positive impact on all existing tenants going forward. Athlone Park Shopping Centre will be receiving a cosmetic upgrade before the end of 2013 to improve the Shopping Centre image as a medical and retail centre. Benoni Hyper
Benoni Hyper is currently occupied under a head lease and all rights and obligations connected to the property rest with the lessee. The head lease expires on 31 October 2013 and the lessee has indicated that it will not renew the head lease, but will remain in occupation of the premises on a standard lease basis. All rights and obligations will pass over to the lessor at this time and this will have a negative effect on Debenture Holders’ monthly returns. In anticipation thereof, the property will need to be redeveloped in order to attract new tenants and remain viable. The redevelopment is scheduled to commence within the second half of 2013, subject to all approvals, leases, finance, etc, being secured. Please note that there will be no monthly returns to Debenture Holders during the period of the revamp, which could take as long as 12 months.
A recent market research was conducted to verify whether the property has redevelopment potential and the proposed redevelopment scored a site rating of 70% for retail and office development. This implies that the site does have redevelopment potential and that the most important fundamentals for successful redevelopment are in place.
Please note that this property has realised an average return to relevant Debenture Holders of 6,18% over the past 13 months.
Carletonville Shopping Centre
Current vacancies remained unchanged. .
There is a planned redevelopment of this property and vacancies will persist (and may increase) until such time as the redevelopment is completed. Please note that this property has realised an average return to relevant Debenture Holders of 3,08% over the past 13 months.
Carletonville Shopping Centre has the potential to reach a fully occupied status, especially since it is the only shopping centre in Carletonville, which is located in the suburbs and not in the CBD. The property needs to be redeveloped in order to attract new tenants and remain viable. The redevelopment is scheduled to commence within the first half of 2014, subject to all approvals, leases, finance, etc, being secured.
A recent market research was conducted to verify whether the property has redevelopment potential and the proposed redevelopment scored a site rating of 70,2% for retail development. This implies that the site does have redevelopment potential and that the most important fundamentals for successful redevelopment are in place.
De Marionette Shopping Centre & Shoprite Secunda
Current vacancies have remained unchanged at 1 860m² (36,33%), for De Marionette Shopping Centre and vacancies for the anchor tenant premises, 271m² (3,15%), for Shoprite Secunda. The budgeted monthly loss of income for these vacancies totals R176 297, which has an effect on Debenture Holders’ return of 2.46% (annualised).
There is a planned redevelopment of De Marionette Shopping Centre and vacancies will persist (and may increase) until such time as the redevelopment is completed. Please note that these properties have realised an average return to relevant Debenture Holders of 4,34% over the past 13 Months.
De Marionette Shopping Centre needs to be redeveloped in order to attract new tenants and remain viable. Negotiations with a National food anchor to take up 3 300m2 in the centre as part of the redevelopment have been successful and final approval from the National Group has been received. The redevelopment is scheduled to commence within the second half of 2013, subject to further approvals, leases, finance, etc, being secured.
A recent market research was conducted to verify whether the property has redevelopment potential and the proposed redevelopment scored a site rating of 71% for retail development. This implies that the site does have redevelopment potential and the most important fundamentals for successful development are in place.
Current vacancies have remained unchanged at 1 771m² (40,33%) at Homemakers Village, with no vacancies at Shoprite Virginia under a head-lease from the Shoprite Group. The budgeted monthly loss of income for these vacancies totals R101 130, which has an effect on Debenture Holders’ returns of 2,43% (annualised).
The sourcing and securing of tenants for Homemakers Village is challenging, largely due to social decay in the surrounding areas. Please note that these properties have realised an average return to relevant debenture holders of 3,07% over the past 13 months.
Homemakers Village will remain a challenge and alternative uses, or disposal of the property, are being considered.
Current vacancies have reduced to 10 270m² (67,70%). The budgeted monthly loss of income for these vacancies totals R1 000 427, which has an adverse effect on Debenture Holders’ returns of 5,98% (annualised).
The shopping centre does not have an anchor tenant due to Edgars moving to Goldfields Mall in Welkom and until such time as a new anchor tenant is secured it is unlikely that the situation will improve. We are currently dealing with two large tenants, who would act as anchors and hope to reach finalisation within the foreseeable future. We have recently received final drawings from our architects, as well as the engineer’s report related to the proposed placement of these tenants. Final proposals for the placement of these tenants will be finalised and submitted within the next month. Please note that there will be no monthly returns to Debenture Holders until an anchor has been placed.
A recent market research was conducted to inform strategic planning and tenanting decisions regarding the current and future development potential, optimum tenant composition and market penetration rates. The retail market location assessment scored 75% and this indicates that the most important fundamentals for a successful retail centre are in place.
Current vacancies have increased to 396m² (11,69%). The budgeted monthly loss of income for these vacancies totals R47 085, which resulted in Debenture Holders’ returns of 1,89% (annualised).
The bulk of the vacancy is made up of one large premises, which cannot be subdivided and which is proving to be difficult to lease. Please note that this property has realised an average return to relevant Debenture Holders of 4,30% over the past 13 months.
The anchor tenant, Woolworths Food, will not be renewing their lease when it expires in June 2014. Appropriate steps are being taken to secure a suitable replacement. Debenture Holders should take note of the negative impact that this may have on the property’s income.
Magalieskruin Shopping Centre is well supported by the local community and has been for more than 30 years. The shopping centre is however in need of cosmetic upgrades in order to retain existing tenants and attract new tenants, especially now that a new shopping centre is planned to open within close proximity to the property.
Current vacancies remained unchanged.
Appropriate steps are being taken to secure tenants for all vacancies, as certain tenants had been identified to take up these vacant premises. Please note that this property has realised an average return to relevant Debenture Holders of 4,16% over the past 13 months.
Tenants occupying approximately 80m² renewed their leases during in the past month.
Many shopping centres in Nelspruit are still recovering from an increase in competition in surrounding areas, as well as in neighbouring Mozambique where many of its shoppers originate from. Nelspruit Pick ‘n Pay has a very strong anchor tenant and is well supported. Vacancies should be taken up in the foreseeable future, but it is evident that retailers are currently very cautious and slow to commit in view of the current economic environment.
The building is being painted in an attempt to retain existing tenants and attract new tenants. Oxford Gate
Current vacancies have remained unchanged at 2 732m² (71,62%). The budgeted monthly loss of income for these vacancies totals R176 500, which has an effect on Debenture Holders’ returns of 7,56% (annualised). The two blocks have been converted into a sectional title scheme to create 7 units for the purpose of selling the units individually over time and as market demand determines. The large block is currently being upgraded to attract possible tenants or buyers. Parkside Shopping Centre & Secunda Plaza
Current vacancies have decreased to 506m² (12,86%) at Parkside Shopping Centre, with no vacancies at Secunda Plaza. The budgeted monthly loss of income for these vacancies totals R59 501, which has an effect on Debenture Holders’ returns of 0,98% (annualised).
Various existing tenants are interested in expanding their premises and we expect that much of the vacancies will be taken up by existing tenants. Interest from new tenants has been mediocre. Please note that these properties have realised an average return to relevant Debenture Holders of 4,47% over the past 13 months.
New leases for approximately 75m² were received during the past month.
The current anchor at Parkside Shopping Centre has experienced a decline in turnover over the past few months, which has affected its ability to pay rental and other charges in full and on time. The property is in need of a cosmetic upgrade and the plan is to paint the entire building and upgrade the parking and garden areas before end 2013.
Range View Shopping Centre
There has been considerable interest in Range View Shopping Centre, largely brought about by the recent expansion of the adjacent mall as well as major changes to the road network in the immediate vicinity. Great care needs to be taken in placing new tenants and a long term view has to be adopted.
A complimentary recent market research was done to inform strategic planning and repositioning of the centre. The site evaluation scored 71% which indicates that most important fundamentals for a successful retail centre are in place. Complimentary tenanting strategy with mall@carnival with a primary focus on speciality and destination retail stores will be the focus.
Current vacancies have decreased to 466m² (4,87%). The budgeted monthly loss of income for these vacancies totals R41 523, which has an effect on Debenture Holders’ returns of 2,12% (annualised).
The bulk of the vacancy is made up of one large premises, which cannot be subdivided and which is proving to be difficult to lease. Changes will also have to be made to the parking area for these premises to become viable for prospective tenants.
Please note that this property has realised an average return to relevant Debenture Holders of 4,01% over the past 13 months.
Tenants occupying approximately 164m² renewed their leases in the past month.
Silverwater Crossing accommodates a large percentage of National tenants and is very well supported by the local community. There is some downward pressure on rentals, which may impact negatively on income in future.
Current vacancies have decreased to 710m² (14,29%). The budgeted monthly loss of income for these vacancies totals R71 617, which has an effect on Debenture Holders’ returns of 2,92% (annualised).
The anchor tenant, Spar, has already indicated that it wishes to increase its existing shop size by approximately 600m². To achieve this we will have to relocate certain existing tenants to accommodate Spar. The proposed expansion of Spar will be done out of the income of the property and will have a negative impact on Debenture Holders’ monthly returns.
Please note that this property has realised an average return to relevant Debenture Holders of 7,04% over the past 13 months.
Current vacancies have increased to 22 45m² (18,27%). The budgeted monthly loss of income for these vacancies totals R141 523, which has an effect on Debenture Holders’ returns of 2,12% (annualised).
The vacancy increase is a result of non-renewal of office related tenants, in order to gear up for the proposed redevelopment.
There is a major redevelopment planned for this property and vacancies will persist (and may increase) until such time as the redevelopment is completed. Tenants occupying approximately 483m² renewed their leases in the past month.
Please note that this property has realised an average return to relevant Debenture Holders of 4,83% over the past 13 months.
The property needs to be redeveloped in order to attract new tenants and remain competitive. The redevelopment is scheduled to commence within the second half of 2013 or first half of 2014, subject to all approvals, leases, finance, etc, being secured. To mention two items, part of the redevelopment is the increasing of the premises of the anchor tenant, Pick & Pay from 1 200m² to almost 3 000m² and to build more parking for the centre.
An independent market research company was commissioned to conduct empirical market research and compile a specialist market study for the Waterglen Shopping Centre. Market research is required to inform strategic planning and tenanting decisions regarding the current and future development potential, optimum tenant composition and market penetration rates.
The retail market location assessment rated 80,2% and this indicates an exceptional site rating with most important fundamentals for a successful retail centre being in place.
Current vacancies have decreased to 3 538m² (17,33%). The budgeted monthly loss of income for these vacancies totals R333 247, which has an effect on Debenture Holders’ returns of 3,96% (annualised).
Please note that this property has realised an average return to relevant Debenture Holders of 4,18% over the past 13 months.
Witbank Centre is very well supported by the local community and experiences good demand from retailers. The shopping centre is however dated and needs to be upgraded in order to retain existing tenants and attract new tenants. The first phase upgrading of the shopping centre has commenced and the second phase upgrading is scheduled to commence during 2014 and it is expected that interest in the shopping centre will increase once the upgrades have commenced. Part of the first phase upgrading is a new Nando’s drive through which is currently being constructed and will be fully operational by June 2013. The anchor tenant, Checkers Hyper’s premises will be enlarged by 540m² in the following months of 2013 and the entire centre’s parking is being upgraded. These items will have a negative effect on Debenture Holders returns for upcoming months, due to these upgrades and expansions being funded out of the property’s income.
It is important to note that such upgrading activities’ value add will ultimately lead to higher investment returns, increased capital growth and increased investment repayments, as projected.
An independent market research company was commissioned to perform in depth market research to assess the demographic profile, consumer preferences and perceptions, and growth potential regarding the proposed refurbishments of the existing centre. The proposed development scored a site rating of 72% for retail development. This implies that the site does have redevelopment potential and the most important fundamentals for successful refurbishment are in place.
The refurbishment of the centre is nearing completion. To obtain a better understanding of its target market to achieve the optimum tenant mix, up to date in-depth market research was done to inform strategic planning and tenanting decisions regarding current and future development potential, optimum tenant composition, market penetration rates, consumer preferences and perceptions, supplementary uses, etc. The property scored a site rating of 70,2% for retail, 72% for residential and 73% for offices. This implies that the site does have current and future development potential and all important fundamentals are in place for a successful mix use development.
Based on the positive market research an optimum tenant composition can be obtained and to achieve this it will take longer to fill the current vacancies, because the correct tenants are being targeted to provide long term sustainability and security.
Various market researches have been conducted during the past 6 (six) months in respect of the Growth Plan projects, to obtain the best understanding of the current market for these projects and to reconfirm the current and future development potential, to ultimately achieve the optimum mix of activities and maximum annual take up of units, type of units and achievable prices in the current economic environment. The lowest site rating achieved for these projects are 75% and the highest 82%. 80% and higher indicates exceptional site rating. A site rating of 70% – 80% is high and indicates that most important fundamentals for successful residential developments are in place. These positive site ratings reconfirm the quality of the projects going forward.
Bearing in mind that this Mall is being treated as a brand new Mall, current vacancies have remained unchanged at 18 458m² (70,89%). An independent market research company was commissioned to perform in depth market research to assess the market potential for alternative use of Zambezi Mall. The market research is required to inform strategic planning and investment decisions regarding the proposed transformation of the Zambezi Mall. The development concept includes the transformation of the Zambezi Mall to incorporate alternative retail, private medical facilities and office use with complimentary facilities. This will contribute to the identification of gaps in the market area that will stimulate the demand for an alternative retail, medical and office configuration with complimentary services.
The site evaluation assessment for alternative retail scored 74%, medical scored 80.8% and offices scored 70%. This indicates that most important fundamentals for a successful mixed use development are in place. Based on the positive market research, the strategic planning for the centre can be finalized to ultimately re-launch Zambezi Mall in the future.
The Board is far down the line with securing the above recommended tenant mix. This is good news for the Zambezi Debenture Holders, as it will facilitate the flow of investment returns to Zambezi Retail related Debenture Holders in the medium rather than the long term. This process of redevelopment and new tenant mix procuring should furthermore enhance investment repayment ability. Unfortunately the disputes and litigation with Capicol Proprietary Limited, the historical developer of the Zambezi Mall, are ongoing. As advised previously, Zambezi Retail has demanded from Capicol transfer of the 50% (fifty per centum) undivided share still owned by Capicol in the Zambezi Mall property which it is entitled to do. Capicol has been unlawfully resisting such transfer.
The Board is confident that the Zambezi Retail will be successful in obtaining transfer of the remaining 50% through the due process of Law.
Detailed communication in regard to the Zambezi Mall project will follow in due course.
Villa Retail Park
Demacon Market Studies were commissioned by the Nova Group to perform in-depth market research to assess the demographic profile, consumer preferences and perceptions, and growth potential regarding the proposed tenanting, as well as investigation of alternative uses pertaining to The Villa development, taking the existing structure and configuration into consideration. The geographical area within which the Villa Development is situated has been identified as an emerging node and has mixed use potential for future development. The use opportunities are retail, offices, private medical facilities and tertiary educational facilities. The site evaluation scored high for a mixed use development, 75,1% for tertiary educational facilities, 74,9% for private medical facilities, 72,9% for offices and 72,8% for retail. It is therefore evident that all important fundamentals are in place for a successful mixed use development. Part of the market research was done to determine the optimum point of market entry which will be 2014/2015, and also the net effective demand for the different mixed use opportunities. The reconfirmation of the positive site location of The Villa Development underscores the positive opportunity to convert the development into a mix use development. Current and future market conditions will determine the final outcome. As is the position pertaining to the Zambezi Mall project, ongoing disputes and litigation with Capicol 1 Proprietary Limited, the historical developer of the Villa Development is ongoing. Unfortunately the disputes and litigation with Capicol 1 Proprietary Limited, the historical developer of the Villa Mall, is ongoing. As advised previously Villa Retail has demanded from Capicol transfer of a further 50% (fifty per centum) undivided shares still owned by Capicol in Villa Retail. Capicol has been unlawfully resisting such transfer.
The Board is confident that the Villa Retail will be successful in obtaining transfer of the additional 50% through the due process of Law.
Debenture Holders and Shareholders will be informed directly via sms of any communication placed onto the web. Kindly take note that the Nova Group intends communicating on a quarterly basis namely April, August and December of every year. If you, as a Debenture Holder of Nova Investments and/or Shareholder of Nova Holdings, do not receive such communications from us, please contact Frontier, as invited below, and ensure your correct details are reflected on their system.