The FTSE/JSE SA Listed Property Index (SAPY) realised a return of 0.58% during the fourth quarter of 2019, underperforming the FTSE/JSE All Share Index (ALSI), which returned 4.63%. On a year-to-date basis, SA equities were the best performers with returns of (12.05%), followed by SA bonds (10.32%), SA cash (7.29%) and SA property (1.92%).

The best performing shares in the SAPY for the last quarter included Stenprop (25%), Sirius (16%) and Storage Property (10%). By contrast, the worst performers were Fortress B (-15%), Fortress A (-6%), and Investec Australia (-5%).

A key theme prevalent in the retail sector, both locally and offshore, is the need to consistently invest in retail assets in order to attract the best tenants with their flagship offering, especially in an environment of oversupply and high mobility of consumers who are spoilt for choice.