Spear Reit, a Western Cape–focused retail property fund, has acquired Maynard Mall in Cape Town for R455m as it continues to expand its presence in the region’s retail market.
The transaction will be funded through a mix of debt and proceeds from a recent R749m capital raise. It remains subject to regulatory approvals, the group said in a Sens announcement.
The latest purchase comes after Spear recently announced the acquisition of Consani Industrial Park for R437m. After the implementation of both transactions, the group’s footprint in the Western Cape will be strengthened.
“This acquisition extends our retail footprint in Wynberg, deepens our exposure to defensive consumer retail and supports income stability with a weighted average lease expiry of 57 months,” said Spear Reit CEO Quintin Rossi.
The centre houses public services, including a department of home affairs office, alongside a strong mix of national banks and retailers such as Capitec, Clicks, KFC and Zone Fitness. The 25,969m² property, located in Wynberg is anchored by Shoprite and draws an estimated 6-million visitors annually.
According to Spear, the deal is set to close in January 2026, with an initial yield of 9.55%. Spear is backing it with R20m over the next five years to upgrade solar power, lifts and heating, ventilation and air conditioning systems. After those improvements, the fund is expecting a stabilised yield of 9.15%-9.3%.
“Spear has actively pursued growth opportunities in Cape Town’s convenience retail sector on terms that aligned with its strategic and financial criteria, requiring management to remain patient, selective and firmly committed to its investment strategy. Today’s announcement gives credence to our approach,” Rossi said.
Once implemented, Spear’s retail portfolio will increase to about R1.4bn in value, comprising 81,205m² in gross lettable area.
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