At a value of R437.3m, Spear has acquired Consani Industrial Park in Elsie's River Industria as part of a strategic move to expand its Western Cape industrial property portfolio.
Source: Supplied.
Announced through the Stock Exchange News Service (Sens), the acquisition adds meaningful scale, long-dated income profiles and quality to this well-known Real Estate Investment Trust's portfolio and reaffirms its ongoing commitment to the industrial sector.
Quintin Rossi, chief executive officer of Spear, highlighted that the Western Cape's strong economic fundamentals are aligned with the company's aim to build a resilient and high-growth portfolio of industrial assets within the region.
"The Western Cape is the essence of our long-term growth strategy. We remain highly selective in our acquisitions, and Consani Industrial Park offers a prime location with a proven track record of stability and future growth potential.
Defensive portfolio expansion
The addition of Consani Industrial Park reinforces this strategic footprint given the robust demand for the Western Cape and its resilient real estate fundamentals.
“Spear remains committed to building a defensive portfolio that delivers both stability and future growth. Through measured expansion and active asset management, with a focus on retail, commercial, and industrial assets that align with our long-term investment criteria, we aim to create sustainable value," Rossi said.
"With the forthcoming addition of Berg River Business Park in Paarl in addition to that of Consani Industrial Park in Elsies River Industria - both subject to competition commission approvals - we are confident that Spear's continued investments across the Western Cape will deliver strong returns for our shareholders."
Enhancing long-term value
Consani Industrial Park, situated on a 10.64-hectare erf, comprises a total gross lettable area (GLA) of 80,657m² and is multi-let to a diverse range of industrial tenants, underpinned by long-term lease tenures.
The property is strategically situated within a secure and established industrial precinct that continues to attract large-format occupiers, due to its proximity to key transport routes, reliable energy infrastructure, and organic growth potential.
The transaction supports Spear's broader strategy of acquiring income-producing assets in proven nodes, offering both yield enhancement and long-term value creation. The acquisition was concluded at an initial yield of 9.71%, with additional value to be unlocked through a planned R34m capital investment programme over the next five years, focused on operational optimisation and strategic enhancements.
According to Rossi, Spear's regional focus has been instrumental in identifying and executing this strategic acquisition.
"We have a hands-on, laser-focused team dedicated to driving our growth strategy. Our approach is to be patient and selective when choosing assets that align with our investment objectives. We are committed to ensuring that each acquisition is the right fit, delivering long-term sustainable income and value for our shareholders."
The acquisition will be funded through a combination of debt facilities and available cash reserves, following Spear's successful private placement, which was concluded in June 2025.
