Attacq Limited (“ATTACQ”), the JSE- and A2X-listed Real Estate Investment Trust and strategic development partner of Waterfall City, has reported normalised distributable income per share (DIPS) growth of 15.5% to 125.1 cents for the year ended 30 June 2026.
The Board declared a final gross cash dividend of 54 cents per share, bringing the full-year dividend to 102 cents.
Jackie van Niekerk, Attacq CEO, said: “The results reported today are the outcome of our team’s discipline and hard work, and of a business we have deliberately built to be resilient. We are building places where people want to be, and quality spaces across South Africa that meet the evolving needs of our communities. Our purpose at Attacq is to create places that put people first, and everything follows from that: the precincts we develop, the quality infrastructure investments and the culture we protect.”
Normalised DIPS increased by 15.5% to 125.1 cents (June 2025: 108.3 cents), ahead of the group’s previously guided range of 11% to 14%. Gross revenue increased by 9.3% and net operating income rose by 7%, supported by improved letting, contractual rental escalations, income from newly completed buildings and lower funding costs, demonstrating the strength and stability of the group’s underlying property platform.
That portfolio continues to expand through the group’s development programme. Development activity under construction and in the approved pipeline at Waterfall City totals 85 247m² of gross lettable area (GLA) at a total cost of R2.2 billion, with delivery running through to 2028. Attacq’s effective share represents 46 460m² at an effective cost of R1.3 billion, with further committed investment in bulk infrastructure, including roads, water and electricity, of which funds are proportionate. During FY26, the group achieved practical completion of Galileo, the fourth and final tower in the Ellipse Waterfall development, and opened the 11 151m² Vantage data centre.
Gateway East, a premium workspace at the main entrance to Waterfall City with restaurants opening onto the Mall of Africa piazza, is 47% pre-let with a further 33% under offer ahead of full completion in the second quarter of the 2027 financial year. At Waterfall City Junction, a new logistics precinct east of the N1, construction of a 22 142m² warehouse is underway alongside the proposed site for a distribution facility for a national client, which should break ground in the next quarter. The R634 million Waterfall City Conference Centre and Hotel has broken ground and, together with the recently commenced 20-storey Aspire residential tower, will transform the Waterfall skyline upon completion in the first quarter of 2028.
Portfolio performance remained strong through the year as occupancy and collection rates remained high at 94.9% and 99.8% respectively. Across South Africa, Attacq designs and manages the public spaces within its mixed-use precincts around the office workers, shoppers and residents who use them.
The Izinga Transport Hub opened at Mall of Africa in March, consolidating taxi, food and online delivery services into a purpose-built node with enclosed waiting areas, dedicated security, charging stations, free Wi-Fi and ablution facilities. The former transport site will be converted into a Pantry by Marble, a premium street-front convenience store, due to open in the first quarter of 2027. “By turning infrastructure into attractive street-front retail, we help shape our city into a lively, walkable precinct,” said van Niekerk.
Tiger Brands, Boogertman + Partners, iOCO, Novonesis, Huge Group and Sinotile are among the many brands that chose to take up space in Waterfall City’s collaboration hubs during the year, while placemaking initiatives supported client retention of 86.9% at renewal.
That operational performance is underpinned by a robust balance sheet. Attacq Chief Financial Officer Peter de Villiers said the group’s performance reflects disciplined capital management. “The weighted average cost of debt reduced to 8.7% from 9.2%, gearing improved to 25% and the interest cover ratio strengthened to 3.21 times. Our capital structure gives us the headroom to continue developing Waterfall City, allocating capital in a disciplined manner which will flow through to future distributable income.”
Investment into the group’s energy, water and efficiency programme was a strategic focus. Rooftop photovoltaic (PV) capacity across the portfolio reached 18.5 MWp following the installation of a further 1.8 MWp during the year, including a second phase at Garden Route Mall. “Green energy supplied 13.7% of the group’s power needs, up from 9.1% in the prior year,” said van Niekerk.
The municipal recovery ratio improved to 97.8% from 94.4%, supported by real-time monitoring through the group’s Smart Utility Hub, and was the principal driver of the reduction in portfolio operating costs relative to income. Systems commissioned part-way through the year deliver a full year of benefit only in the following period, and this year’s installations will therefore still contribute to FY27 improvements.
Once the group’s power purchase agreement comes online next year, green energy is expected to materially shift the energy mix. New building designs incorporate rooftop solar, rainwater harvesting, backup water and smart metering.
Attacq added 5.3 megalitres of backup water capacity during the year, the majority at building level, with two additional tanks at Mall of Africa providing that precinct with five days of supply and a further three megalitres installed across the logistics hubs. “Helping our tenants keep trading is the difference between a normal business day and a lost one,” said van Niekerk.
On the back of this performance, the full-year dividend of 102 cents represents growth of 17.2% (June 2025: 26.1%). The group expects normalised DIPS to grow by between 6% and 9% in the 2027 financial year, with a dividend payout ratio of 80%.
Reflecting on the group’s performance and the year ahead, van Niekerk said: “Our Horizon 2030 strategic framework is about building precincts that South Africa needs – places that are efficient, resilient and designed around people. This year, we made meaningful progress towards that ambition, with a portfolio now valued at R22.6 billion, an energy and water programme that is lowering the cost of running our buildings, and precincts that continue to create value for tenants, communities and shareholders.”