Turnstar Rentals on the Rise
Group says its Botswana properties and retail mall in Tanzania were well tenanted
Rentals accrued by Turnstar Holdings Limited, the operators of the swanky Game City Mall in Gaborone, continue to rise, the group financial results for the six-month period ended 31 July 2019, reveal.
The group consists of Turnstar Holdings Limited (Botswana), Island View (Proprietary) Limited (Botswana), Mlimani Holdings Limited (Tanzania), Turnstar Investments Limited (UAE) and Palazzo Venezia Holdings Limited (UAE). According to Managing Director (MD), Gulaam Abdoola, the group recorded a total rental revenue of P134 million, for the half-year ended 31 July 2019, which is an increase of 6.75 percent over the corresponding prior half-year.
Sadly for the group, operational expenses increased by 6.18 percent to P58.3 million, compared to the previous corresponding period. The profit from operations is P77.6 million, a 7.81 percent increase over the prior half-year. Profit after finance costs increased by P4.78 million, (8.54 percent) to P60.78 million.
Abdoola said the US Dollar appreciated against the Botswana Pula during the half-year ended 31 July 2019. “However the US Dollar appreciation against the Botswana Pula during the corresponding previous half-year ended 31 July 2018 was significantly higher,” he added. As such, the group net forex gain and the translation gains were less than that reported for the previous half-year ended 31 July 2018.
“These foreign exchange translation gains are unrealised and dependant on the USD/BWP exchange rate at the accounting date. The Botswana properties were well tenanted during the reporting half-year, with vacancy rates being approx. 1 percent. The retail mall in Tanzania was fully tenanted and the conference centre enjoyed increased patronage.”
However, the Mlimani commercial office space experienced significant vacancies while the Dubai property continues to perform well.