Growthpoint Properties has reported a meaningful turnaround in its half-year results for the period ended 31 December 2025, with distributable income per share rising 2.3% to 75.7 cents and the dividend per share climbing 8.5% to 66.2 cents following a lift in the payout ratio from 82.5% to 87.5%. The results place the group firmly on track to meet its full-year guidance of 3% to 5% distributable income growth and 6% to 8% dividend growth.
The South African portfolio, valued at R66.8bn, was the primary driver of the improvement. Vacancies fell to 7.2% from 8.3% a year earlier, like-for-like net property income grew 6%, and the lease renewal success rate jumped to 79.5% from 68.8%. The retail portfolio delivered its lowest vacancy rate in over a decade at 3.2%, while the logistics and industrial book maintained near-full occupancy at 3.3%. The office portfolio extended a consecutive run of positive net property income growth, with vacancies declining to 13.7% from 15.9%.
The V&A Waterfront, in which Growthpoint holds a 50% stake, drew 25 million visitors in 2025 and posted retail sales exceeding R11bn for the year, with December alone setting a record of R1.4bn. Luxury brand expansion at the new Lux Mall — with Louis Vuitton, Gucci and Versace set to open by September 2026 — signals further upside ahead.
On sustainability, Growthpoint’s renewable energy penetration nearly doubled during the period from 7.9% to 14.5%, supported by the activation of its 195GWh power purchase agreement with Etana Energy and cumulative solar investment of R1bn across 84 installations.
Looking ahead, the group has a R578m logistics development underway in Montague Gardens, a R262.6m retail upgrade at Paarl Mall, and a near-R2bn Discovery buildings transaction in Sandton that will reduce debt and rebalance office exposure. Total South African asset sales of R3.5bn are targeted for the full financial year. Group CEO Norbert Sasse described the business as being in its strongest position in years, with strategic momentum now clearly reflected in the portfolio’s financial metrics.