Transnet has obtained government approval to dispose of its residential properties via public auctions.
The ports and rail operator said on Thursday that the decision was “a strategic imperative” positioning Transnet Property to focus on its mandate of commercialising the portfolio and maximising returns through best practice asset management principles.
“The decision to disinvest from the residential portfolio, with the exception of employee accommodation in remote operational areas, is informed by recent loss-making performance and heightened risk exposure.”
To action this Transnet said it had adopted a dual approach, which included a self-funding component, realised through the completion of several disposal transactions for non-core properties, particularly within the residential portfolio, including residential houses, hostels, lodges and line camps.
“Transnet Property has taken a strategic decision to urgently exit this portfolio, and the non-core properties will be disposed of through several transactions. The auctioneering process will be handled by independent auctioneers to ensure transparency and good governance,” the ports and rail operator said.
For more information about the auctions, contact Peter.Mugagadeli@transnet.net
