The Africa-focused property investor said following the transaction, it would own 75% of the mall’s holding entity, Mukuba Mall Limited, having previously held a stake of 50%.
Mukuba is located in Kitwe, Zambia’s second-largest city and one of its most developed industrial and commercial areas.
It is one of three Zambian malls that Grit has a stake in, with its portfolio also including 50% holdings in the Kafubu and Cosmopolitan malls, valued at US$13mln and US$40.5mln respectively. The firm's previous 50% holding in Mukuba was valued at US$38.5mln.
Bronwyn Corbett, chief executive of Grit, said the increased holding was expected to deliver “further value” to investors, and that since taking its initial 50% stake, the firm had seen “positive valuation uplift, rental growth and low vacancy” at the property.
The investment also increased Grit’s exposure to convenience retail, which Corbett said had proven to be “the most resistant subsector” to downturns in the retail market.
Shares in Grit were steady at 1.4p in early-afternoon trading Tuesday.