Accelerate’s Cedar Square sold for $39 million 11 months after Michael Georgiou’s exit

Accelerate Property Fund, a Real Estate Investment Trust (REIT) listed on the Johannesburg Stock Exchange, has sold Cedar Square shopping centre in Fourways, Sandton, for R630 million ($38.72 million), as it continues to reduce debt and sharpen its focus on Fourways Mall.

The disposal comes exactly eleven (11) months after shareholders overwhelmingly rejected a bid by Michael Georgiou, the property group’s longtime board member and former chief executive, to return to the board at Accelerate’s annual general meeting on October 15, 2025.

More than 97% of shareholders voted against his re-election, closing a chapter for Georgiou, who helped establish Accelerate in 2013 and guided the property group through its listing on the JSE.

Cedar Square sale supports Accelerate’s debt reduction strategy

Accelerate announced on September 15 that it had entered into a sale-of-letting-enterprise agreement with Aristonas, owned by South African private trust Big Apple Trust, for Cedar Square and its associated income stream.

The disposal forms part of Accelerate’s portfolio optimisation strategy as the REIT seeks to reduce debt and concentrate capital on its core assets, particularly Fourways Mall. Located opposite Fourways Mall in Fourways, Sandton, Cedar Square has 44,249 square metres of gross lettable area and generates annual net operating income of R55.1 million ($3.39 million). The lifestyle centre has a convenience-led tenant mix serving retail, dining and entertainment needs. 

The transaction includes Cedar Square, its associated income stream and 40,447 square metres of available development bulk. However, Accelerate will retain the development rights, which it values at R168.78 million ($10.37 million). Aristonas will have the option to acquire those rights if it intends to develop the available bulk, subject to written notice to Accelerate.

Accelerate accelerates portfolio disposals

The Cedar Square transaction follows a series of disposals undertaken by Accelerate as part of its restructuring programme to concentrate its resources on Fourways Mall, its crown jewel asset and one of the largest shopping centres in South Africa.

Fourways Mall has a gross lettable area of 171,586 square metres and has become the central focus of Accelerate’s turnaround strategy as the REIT works to reduce vacancies, increase foot traffic and improve the performance of the property. During its 2026 financial year, the REIT disposed of Erf 7 Roggebaai, 1 Charles Crescent, Pri-Movie Park, 73 Hertzog Boulevard and Portside for aggregate proceeds of R788.5 million ($48.45 million).

Most of the proceeds were used to reduce Accelerate’s interest-bearing borrowings.

At the end of the 2026 financial year, the company’s property portfolio comprised 15 properties valued at approximately R6.6 billion ($405.5 million). Since then, Accelerate has also transferred The Buzz Shopping Centre, Waterford, The Buzz vacant land, Valleyview and Edgars Polokwane for a combined R278.2 million ($17.09 million). The company has additionally agreed to dispose of BMW Fourways for R174 million ($10.69 million).

Smaller portfolio increases focus on core assets

South African real estate investment trust Accelerate Property Fund has acknowledged that its disposal programme involves a trade-off between reducing debt and maintaining the scale and diversity of its property portfolio.

In its 2026 annual report, the REIT said disposals reduce debt and improve financial flexibility while simultaneously reducing the size and diversification of the portfolio.

The company said each disposal is assessed against factors including debt reduction, liquidity, covenant headroom, value preservation and the quality of the assets retained. With the portfolio now smaller and more concentrated, Fourways Mall has become increasingly important to Accelerate’s future performance.

For Accelerate, the R630 million Cedar Square disposal represents another significant step in reshaping its property portfolio, reducing leverage and directing resources toward the assets at the centre of its long-term strategy.