102 / 156
NOTES TO THE FINANCIAL STATEMENTS
continued
for the year ended 30 June 2015
2.
Investment property
Note
GROUP
June 2015
R000
GROUP
June 2014
R000
COMPANY
June 2015
R000
COMPANY
June 2014
R000
2.1 Net carrying value
Historical cost
13 411 225
15 479 455
13 411 225
13 903 126
Accumulated fair value movements
12 319 452
9 895 987
12 319 452
9 853 810
Development property
(1 849 000)
(1 849 000)
Assets classified as held for sale
13
(1 218 899)
(1 731 000)
(1 218 899)
(1 731 000)
24 511 778
21 795 442
24 511 778
20 176 936
2.2 Movement for the year
Investment property at valuation at 1 July
21 795 442
18 287 042
20 176 936
18 287 042
Capital expenditure
333 659
2 681 042
333 659
2 680 894
African Land restructure
4.3
(1 618 506)
Acquired through business combination
(African Land)
34.2
1 557 394
Foreign currency translation difference
(African Land)
18 787
Change in fair value
2 467 113
1 655 897
2 467 113
1 613 720
Disposals
(3 783)
(4 329)
(3 783)
(4 329)
Interest capitalised
23
2 472
37 664
2 472
37 664
Straight-line rental income accrual
(60 085)
(45 055)
(60 085)
(45 055)
Transfer from/(to) development property
1 849 000
(662 000)
1 849 000
(662 000)
Transfer to non-current assets held for sale
(253 534)
(1 731 000)
(253 534)
(1 731 000)
Investment property at valuation
24 511 778
21 795 442
24 511 778
20 176 936
2.3 Reconciliation to independent valuation
Investment property at valuation at year-end
24 511 778
21 795 442
24 511 778
20 176 936
Straight-line rental income accrual
413 826
353 740
413 826
353 740
Building appurtenances and tenant installations
77 300
82 692
77 040
56 672
Centre management assets
(2 274)
(1 470)
(2 014)
(1 470)
Independent valuation
(1)
25 000 630
22 230 404
25 000 630
20 585 878
Capitalisation rate used to determine interest
capitalised
7,7%
7,2%
7,7%
7,2%
(1)
Excludes development property and property held for sale
Included in investment property held for sale is property under leasehold in respect of Willowbridge North. The lessor is
Transnet Limited and the lease term runs until 30 June 2033.
2.4 Investment property pledged as security
The following properties have been pledged as security by means of mortgage bonds (refer to note 18):
To Standard Finance (Isle of Man) Limited and Standard Bank of South Africa Limited to secure borrowing facilities of
USD160 million:
1. A 75,15% undivided share in The Glen
2. A 40% undivided share in Canal Walk
The market value of the bonded properties (75,15% of The Glen and 40% of Canal Walk respectively) at year-end was R5,7 billion.
100
Hyprop Investments Limited
Integrated Report 2015
FINANCIAL STATEMENTS