Strategic property transfer elevates Enyuka to prominent position in unlisted retail real estate

Enyuka Prop Holdings – a dedicated community retail fund co-owned by ONE Property Holdings, Mpande Property Fund and Trinitas Private Equity – has more than doubled in value following the successful transfer of six established shopping centres from ONE Eighty Holdings, an unlisted vehicle in the ONE Property Holdings group. The transaction forms part of a strategic alignment of assets within Enyuka, designed to strengthen the fund’s position and elevate it to become a leading player in the country’s convenience retail sector.

The move increases the fund’s gross asset value from approximately R1.8 billion to R3.5 billion, positioning it among South Africa’s largest unlisted retail real estate funds.

All six properties moved across to Enyuka are stable, income-generating centres located in high-footfall areas, with loyal customer bases. In preparation for the transfer, and as part of ongoing asset management, ONE Property Holdings has already invested in upgrades and modernisation, further improving the shopper experience and ensuring long-term sustainability.

Strategic realignment strengthens Enyuka’s position

“The transaction is a major step forward in positioning Enyuka Prop Holdings as an investment-grade fund specialising in quality, grocery-led community retail centres,” said Chris van Reenen, Group CEO of ONE Property Holdings. “It also reflects our commitment to the underserved value market in towns and peri-urban areas across South Africa, where our centres provide both convenience and a strong tenant offering to local communities.”

The centres within the fund have been curated with this in mind, offering a blend of national retailers, local businesses and essential service providers. “Our centres are not only places to shop, but community assets,” added Van Reenen. “We are investing in them for the long term — not just in terms of bricks and mortar, but in their ability to serve the communities they exist in.”

Underpinning the Enyuka’s growth is a robust asset management strategy that aims to continue building a portfolio of institutional-grade, community and convenience centres anchored by grocery retailers.

To enable the transaction, R2.1 billion in debt financing was arranged from a syndicate of leading financial institutions comprising Nedbank Corporate and Investment Banking (CIB), RMB, Futuregrowth, Absa and Taquanta Asset Managers, with Nedbank CIB acting as the syndication lead. “The management team would like to express our gratitude to our shareholders in Enyuka and our financiers for their support in concluding the deal,” said Joshua Medalie, Head of Group Finance for ONE Property Holdings. He noted that the transaction has also enabled a reduction in the fund’s cost of capital, further strengthening its financial position.

“This transaction demonstrates our confidence in the growth potential of community and convenience retail in underserved areas. We are proud to support Enyuka in delivering high-quality, income-generating assets that meet both investor and community needs. Nedbank are thrilled to have arranged and syndicated the transaction in our capacity as sole Mandated Lead Arranger, and Bookrunner. The syndication garnered significant market appetite, underscoring the market’s confidence in Enyuka’s strategy.” said Sandi Mda, Principal: Syndications and Distribution. 

Sbu Luthuli, CEO of Mpande Property Fund, commented: “This deal reinforces Enyuka’s strategy of building a focused and resilient retail portfolio. The fund now has both the scale and the strategic clarity to align with that. These are mature assets with sustainable income streams that have already seen significant reinvestment, and we believe there is further upside ahead.”

Selwyn Smith, Chairman of ONE Property Holdings, noted: “As a group, we are continually refining our portfolio through both acquisition and disposal. This transaction is a clear example of how we intend to reshape our holdings — consolidating similar assets under a single, clearly defined fund to improve transparency, efficiency and access to capital.” This disciplined capital recycling strategy includes selling off non-core assets and reinvesting the proceeds into stronger-performing centres aligned with the fund’s profile. The ultimate objective is to deliver improved yields and long-term income growth for investors.

Sustainability and long-term community investment

As part of its ongoing commitment to environmental, social and governance (ESG) priorities, the asset management team has installed solar photovoltaic systems at approximately two-thirds of the shopping centres in Enyuka, with further installations to follow. These efforts are complemented by water sustainability initiatives, including the development of boreholes and on-site treatment facilities, which provide clean drinking water to the surrounding communities through collection points at selected centres.

Promise of continued growth

Looking ahead, Enyuka Prop Holdings is expected to continue its growth trajectory, leveraging its increased scale and focused mandate to attract further interest from the investor community. The fund is in the market to purchase additional select shopping centres which fit into its acquisition strategy.

John Stipinovich, co-founder of Trinitas Private Equity, concluded: “This is an important milestone in the evolution of Enyuka, and we are proud of what the team has achieved. With the right assets, the right structure and the right strategy, the fund is now well positioned to grow into one of South Africa’s leading names in unlisted retail real estate.”