A R2 billion property deal is reshaping South Africa’s retail landscape, bringing nine shopping centres across four provinces under new ownership and signalling a stronger focus on accessible retail spaces in township, rural and urban communities.
JSE-listed real estate investment trust (REIT) Dipula Properties has acquired nine shopping centres from the Moolman Group and its co-investors in a transaction valued at R2 billion. The deal adds almost 90,000 square metres of retail space to Dipula’s portfolio across Limpopo, the Free State, Gauteng and the North West.
The acquisition includes four centres in Limpopo: a 50% stake in Lephalale Mall, Checkers Centre Polokwane, City Centre Polokwane and Great North Plaza in Musina. In the Free State, Dipula has acquired a 50% stake in Sasolburg Mall, formerly Sasolburg Junction, as well as Bloemfontein Makro.
The Gauteng portfolio includes Kaalfontein Corner in Tembisa and Rand Steam Shopping Centre in Richmond, while Game Centre Vryburg represents the North West asset. The centres accommodate well-known retailers including Checkers, Game, Makro, Shoprite and Cashbuild, reinforcing their importance as everyday shopping destinations.
The largest asset in the transaction is the 50% stake in Lephalale Mall, which accounts for approximately a quarter of the deal’s total value.
Dipula is funding the acquisition through a combination of investor funding and debt facilities. The company raised R1.1 billion by issuing new shares to private investors, with the shares scheduled to begin trading on the Johannesburg Stock Exchange on 1 September 2026. The remaining funding will come from existing debt facilities, while Dipula’s debt-to-property value ratio is expected to remain between 35% and 40%.
Importantly, the acquisition is described as “accretive from day one”, meaning the rental income generated by the properties is expected to immediately contribute positively to earnings per share.The transaction also represents a significant shift in Dipula’s portfolio strategy. Following the acquisition, retail income is expected to account for nearly 80% of the company’s total income, while exposure to the office sector will decline to approximately 10%.
Dipula Properties CEO Izak Petersen said the acquisition reflects the company’s strategy of selectively expanding its portfolio with well-located convenience, township and rural retail assets.The acquired shopping centres are expected to generate an annual rental return of 9.3% based on their purchase price. Dipula also plans to strengthen income through active asset management and operational efficiencies supported by its internal property management platform.
Over the past year, Dipula has acquired properties worth approximately R3 billion, highlighting its continued expansion and growing emphasis on retail property.
