Commercial property boom in South Africa
Commercial property in South Africa is rebounding strongly, offering high yields, longer leases, and low vacancies, but experts caution that successful investing involves weighing a number of factors.
Like-for-like sales, which exclude the impact of store openings, closures, conversions, or acquisitions, rose 3.8% during the period, the group said in a trading statement for the 17 weeks ended June 29.
Pick n Pay South Africa recorded 3.6% growth in like-for-like sales despite planned store closures under its Store Estate Reset Plan. Meanwhile, Boxer posted a 12.1% increase in turnover, with like-for-like sales rising 3.9%.
“The Group views this as a creditable performance in the context of a highly constrained consumer and continued subdued food price inflation,” said Pick n Pay, the second-largest grocery retailer in southern Africa by turnover.
Boxer, majority-owned by Pick n Pay, was listed separately on the Johannesburg Stock Exchange in November 2024 and competes with Shoprite's Usave and SPAR's SaveMor in smaller towns, townships, and rural areas.
Separately, Pick n Pay announced the appointment of Grant Pattison as an independent non-executive director designate. Pattison, a former CEO of Edcon and Massmart Holdings, will join the board in 2026 after completing his current commitments.
Pick n Pay continues to navigate challenging economic conditions while focusing on strategic initiatives, including its Store Estate Reset Plan aimed at optimizing profitability.
