Construction at Trustco Industrial Park nearing completion
Bulk service infrastructure development of the first phase of the Trustco Industrial Park is at an advanced stage and is expected to be completed during April 2012.
The industrial park, which is situated in the northern industrial area, comprises 49 fully serviced, vacant industrial erven. So far about 75% of the available erven have been sold even though servicing of the land is yet to be completed.
Trustco attributes the huge interest in the erven to an acute shortage of vacant developed industrial land in the capital.
According to the company, buyer interest is further being fuelled by attractive financing options available through its subsidiary, Trustco Capital.
The company said: “Currently, conventional commercial banks will not finance more than 75% of the purchase price of vacant industrial land. For the purchaser, this means significant capital expenses upfront. With Trustco Capital, purchasers can structure a financing solution to suit their needs by means of the following: No deposit required; up to 100% financing; competitive interest rates offered; no capital outflow upfront and a negotiable loan term of up to 20 years, among other factors.”
In 2004, Trustco acquired 360 hectares (3.6 million square meters) of undeveloped land towards the north of Windhoek. As part of the first phase, 49 heavy industrial erven ranging from 2 000 to 11 000 square meters in size are on sale. The industrial development is strategically situated and is in close proximity to the B1 Western Bypass, with easy access from Monte Christo Road and Holstein Street. Features like a surfacing width of 10 meters with 5 meter wide gravel-surfaced side walks will ensure more than enough space to manoeuvre the heavy vehicles expected in the area.
In the 2010/11 financial year property sales contributed around 10% to the group’s turnover and about 22% to profit. For the current financial year revenue from property sales is expected to double. Trustco said property development will remain a significant contributor to its growth as the group will continue to deliver serviced land to the market in order to fully optimise its value for shareholders.
Trustco says future projects on the land will not only be limited to industrial development but will also cater for the ever-growing residential property demand in the local market.