JSE-listed real estate investment trust Attacq, for the six months ended December 31, 2025, reported gross revenue of R1.6-billion, up 8.9% year-on-year; rental income of R1.5-billion, up 4.9% year-on-year; and an approved pipeline and developments under construction of R2.1-billion, spanning 86 507 m².

Distributable income per share (DIPS) increased to 60.3c for the interim period, up by 9.6% compared with the six-month period to end December 2024.

Attacq declared an interim dividend of 48c a share, up by 9.1% from the 44c a share dividend declared at the end of the six months to end December 2024, which equates to a payout ratio of 79.6%.

It also upgraded its full-year DIPS growth guidance to between 11% and 14%, while maintaining a dividend payout ratio of 80%, said Attacq CEO Jackie van Niekerk during the presentation of the company's interim results on March 10.

Net operating income increased by 5.2% to R936.9-million, up from R890.3-million at the end of December 2024.

Further, total assets increased by 5.7% to R25.2-billion, with the net asset value attributable to equity owners amounting to R13.5-billion, or R19.32 a share.

Earnings a share declined by 10.1% to 90.1c, down from 100.2c in the comparable prior year interim period.

However, headline earnings a share increased by 1.1% to 54.3c, from 53.7c a share in the six-month period to end December 2024.

Occupancy across the real estate portfolio improved to 93.7%, while 92.5% of leases that expired in the period were successfully renewed. This shows strong client demand across the group’s retail, collaboration and logistics hubs, Van Niekerk said.

Collections remained strong at 100.1%, up from 99.6% at the end of December 2024.

Operational efficiencies also improved, with the municipal recovery ratio having increased to 95.3%, supported by the continued rollout of rooftop photovoltaic systems and enhanced real-time utility monitoring.

“We are hard at work containing property costs. Our net cost to income ratio has come down by 33.1% compared to the interim period in the prior financial year owing to an increase in our municipal recovery ratios,” said Attacq asset and property management executive Michael Clampett.

By combining on-site solar generation with real-time monitoring through the group’s digital Smart Utility Hub, Attacq is able to track electricity consumption and recoveries more effectively, which contributed to an improvement in the municipal recovery ratio to 95.3%.

The company has 1.3 MW of rooftop solar PV installed across its portfolio and 3.3 Mℓ of back-up water infrastructure.

“The good story, in addition to our work on solar PV, is our work on improving the water resilience of our properties. Waterfall City, and most of Gauteng, was without water from January 28 to February 5.

“However, because we started our water resilience projects in 2024, and ramping up throughout the subsequent periods, when the crisis hit Waterfall City, we have back up water for most of our needs and not one of our tenants was affected during this period,” he said.

For Attacq, it is not infrastructure alone that provides resilience, but the proactive management of resources, added Van Niekerk.

“We have a task team that monitors and oversees the water systems across our precincts, to coordinate with utilities, such as Johannesburg Water, and ensure we are responsible with our water resources to ensure they are available for our clients, especially in Gauteng,” she pointed out.

Clampett reiterated this point during the presentation, adding that, even though the company uses boreholes for water for its landscaping needs, it remains prudent for it to manage the water it has access to.

These borehole-fed water systems also automatically shut down when it rains to preserve water and ensure its landscaping water is used effectively, he said.

Meanwhile, during the interim period, the group completed two developments – the JNB 12.1 Vantage data centre, which added 5 576 m² to Attacq’s portfolio, said Attacq development executive David Oosthuizen.

The group also completed Galileo, which is the fourth and final tower in the Ellipse Waterfall development, thereby adding 220 residential units to the precinct. Thus far, 96.8% of units have been sold, which highlights the residential demand in Waterfall City.

“These developments form part of a broader pipeline aimed at strengthening Waterfall City’s position as one of South Africa’s leading mixed-use precincts, which involves R1.3-billion of development activity that will increase gross lettable area by 47 256 m²,” he said.

Additionally, construction of the Gateway East offices has started. The residential development Aspire Waterfall City has also been launched. The 20-storey development comprises 217 units, of which 145 units have been pre-sold, he said.

“We enter the second half of the year with good momentum. Waterfall City remains our primary growth engine, supported by our strong rest of South Africa portfolio. Our strategy remains to develop dominant, high-performing precincts across the country,” said Van Niekerk.