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      Men’s U-19 cricket team preps for world cup qualifiers

      Botswana Cricket Gears Up for Int’l Tournaments

      ‘Amos did not communicate with us on his intention to go solo’- BAA

      Doping Cases Surge in Botswana Athletics 

      BoBA readies Team for African Champs

      Debswana’s Exemplary Sponsorship Elevates Botswana Sports

      The Abilities of Coach Dose Speak for Themselves 

      The Abilities of Coach Dose Speak for Themselves 

      BoBA is Grateful to Debswana for Increased Sponsorship – Sec Gen

      BoBA is Grateful to Debswana for Increased Sponsorship – Sec Gen

      Tebogo’s Move to US on Hold

      De Grasse Labels Tebogo a Threat in the World of Athletics 

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      FAR Property resilient despite COVID-19

      The Botswana Stock Exchange Limited (BSE) quoted firm, Far Property Company, has continued to effectively manage a portfolio that showed resilience despite the impact of COVID-19 in all geographies where the Group operates, resulting in a 4 percent increase in revenue for the 6 months ending December 2021.

      mm by Tshepiso Gabotlhomolwe
      March 9, 2022
      in Companies & Markets
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      FAR Property resilient despite COVID-19

      GABORONE 20 January 2021,The chain shop Choppies announces the winners of the Birthday Bonanza competition in gaborone on 20 January 2021. Five Customers wins Toyota Hilux each while each custommer from all branches win P15000 each and ten employees of Choppies win P10000 each through this shopping competition. Choppies chief executive officer Ramachandran Ottapathu officiate the draw. Ottapathu delivering his speech to mark the begining of the draw. (Pic:MONIRUL BHUIYAN/PRESS PHOTO)

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      • Makes P50m profit
      • FAR backed by long term leases
      • Uses land bank for expansions

      Commenting on behalf of the Board of Directors, Vidya Sanooj, one of the directors, says there has been agility in swiftly adapting to changes in consumer behaviour and new ways of thinking and working.

      FAR Property recorded a 4 percent increase in revenue from P67.48 million for the six months to December 2020 to P69.98 million for six months to December 2021. Sanooj says rental yield continues to remain at a stable level of 10 percent despite the negative impact of the COVID-19 pandemic.

      Rental yield is the return a property investor is likely to achieve on a property through rent. It is a percentage figure calculated by taking the yearly rental income of a property and dividing it by the total amount that has been invested in that property. Further, FAR boasts a very healthy yield for the completed projects.

      The company’s net income from operations increased by 6 percent from P47.58 million for the six months to December 2020 to P50.62 million for six months to December 2021. Sanooj says FAR’s vacancy rate is negligible. The vacancies across the portfolio remain below 5 percent, which she says is encouraging, given the tough trading environment. Profit for the year attributable to linked unitholders stood at P50.2 million.

      In order to ensure continued growth and stability, FAR says there are new projects in the pipeline to fund for growth and stability, which is aligned to the company’s future oriented strategies for new Investments. “Four new investments and one acquisition will be completed before the end of the current financial year,” the company announced, adding further that it brags of a very strong commercial land bank at its disposal for strategic growth.

      Currently the value of the company’s portfolio is at P1.37 billion but will increase as a result of planned new investments and acquisitions. FAR says for business continuity, it is backed by long-term leases. According to Sanooj, FAR tenant mix is dominated by Grade A tenants. Under Grade A, the company speaks of premium tenants, including retail tenants with national and international Brands.

      Sanooj says 78 percent of the properties are occupied by Grade A tenants. Moreover, Grade B, which comprises local tenants and medium-sized businesses with well- established business operations, have occupied 19 percent of FAR’s property portfolio.  Grade C tenants, which comprise new start-up companies with small business operations, sit at only 3 percent of the FAR property portfolio.

      FAR also has a balanced property portfolio. At least 53 percent of its portfolio is in the industrial property space, 37 percent in the commercial property space while the remaining 10 percent is in the residential space. However, the largest revenue spinner is the commercial properties which accounts for 50 percent of total revenue. The industrial properties accounts for 42 percent while residential takes a paltry 8 percent.

      FAR has operations in Botswana, South Africa and Zambia. Botswana makes up 86 percent of the company’s total revenue while South Africa and Zambia account for 12 percent and 2 percent respectively.

      Tags: Botswana Stock Exchange Limited (BSE)COVID-19Far Property CompanyVidya Sanooj

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