REAL ESTATE CAPITAL

The IKG Property Fund Investment Objective and Philosophy.

In line with the investment opportunity, the Fund’s objective is to identify and build an attractive portfolio of investments in the targeted sectors and make successful exits to create value for its investors over its life span. The realisation of this objective will rest upon the Fund’s investment philosophy which will guide the Manager’s investment process at all times.

Capital Appreciation – The Fund intends to create value for investors through participating in projects with high capital appreciation potential. This objective is in line with the long-term investment tenure.
Dividend Yield – The Fund’s strategy of ‘Buy-Build-and-Let Out’ is intended to generate above average investment returns which will be made up of periodic rental income distributions and asset value appreciation. The Fund will use the 8.5% REIT yield as a benchmark.
Core Values – And lastly, the Manager will at all times adhere to the core values of its main sponsors, that is integrity, honesty and teamwork. Such principles are perfectly in line with the Group’s main mission as described below.

Focus Areas:

IKG Real Estate Capital is a diversified real estate investment company investing in existing portfolios, and in brownfield and greenfield projects.

Investments are targeted in the affordable housing, education and healthcare sectors.

The fund pursues attractive investment opportunities in the affordable rental housing; education infrastructure developments and in the development of affordable healthcare buildings.

REAL ESTATE FUND

The IKG Real Estate Fund will take a very opportunistic and targeted approach towards providing alternative rental accommodation options for individuals and households falling into the ever growing emerging core middle and affordable income groupings.

Affordable Housing     

Comprising almost 85% of South Africa’s population, the affordable housing segment presents a lucrative investment case for a large scale variable income portfolio into a growing market that has shown steady, strong and proven return and capital appreciation over the last 5 to 10 years. To this end, the Fund will invest in affordable rental housing projects as well as develop and build residential rental property portfolio across major cities, towns and economic centres throughout South Africa.

Education Real Estate     

Enrolment in education and Quality of education in South Africa and other African countries remain a key challenge, which impact the future labour force.


Through our education fund we partner with various private businesses in the education sector to provide affordable primary and education real estate in the low-middle income markets.

Healthcare Real Estate     

Our strategy is to build a network of primary healthcare facilities that will be operated through management contracts with healthcare operators. The private-hospital sector is well resourced & caters to a population that tends to be wealthier, urban & more likely to be formally employed. The public-hospital sector, catering to the majority of South Africans, faces lower human-resourcing ratios, financial constraints & ageing infrastructure. Creating a further demand for innovation models to healthcare sector.

For more infomation visit www.ikgrealestatecapital.co.za