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Article by: Johan van Belkum, COO, Orion Real Estate

The first quarter of 2026 has come to a close, and we are pleased to report that the Group remains firmly on track for another strong and successful year. With clear strategic direction and continued momentum across our portfolio, we are making solid progress toward the goals we have set for 2026. Below is an overview of our performance and development progress to date.

Retail Portfolio Update

Our retail portfolio continues to perform strongly, supported by strategic developments, increased footfall, and positive tenant performance.

At Promenade, Phase 2 of the development reached practical completion and opened in the third quarter of 2025. The centre has continued to gain momentum, with footfall currently 30% higher than last year and all new tenants trading in line with expectations. We are also in the process of completing four additional line shops and installing new ATMs to further enhance the property in line with the overall master plan.

Our Regus Business Centre at Promenade has now completed its first full three-year cycle. To remain aligned with tenant needs and evolving demand, we are undertaking selected renovations, while potential expansion opportunities are currently under discussion. Promenade Place Residential Apartments, located within the same precinct, are now over 90% let, and I will expand further on this under the residential portfolio update.

At Primrose Mall, Phase 2 renovations are planned for the second quarter of 2026, and we look forward to providing a more detailed update on this asset in our next quarterly communication. The mall continues to deliver encouraging results, with footfall and tenant turnover both showing approximately 20% growth.

The Wendywood Phase 1 retail development opened in September 2025 and has performed well, with tenants trading positively and continued interest being shown in the remaining available shops. This development will also complement the upcoming opening of the 1 on Daphny residential apartments in May 2026. Wendywood Phase 2 retail is progressing well, and negotiations remain on track for practical completion and opening in the fourth quarter of 2026.

Our First Avenue redevelopment has also advanced well. We completed Phase 1, comprising the restaurant cluster, and Phase 2, comprising 14 line shops, during 2024 and 2025. Negotiations are now underway for Phase 3, which includes the remaining ground-floor retail component. Trading across the completed phases has been encouraging, and the redevelopment continues to attract strong market interest. We remain confident that the project is on course for practical completion and opening in early 2027.

In addition to these larger developments, several smaller projects remain underway across the broader retail portfolio. We will provide further updates on these in our third-quarter report.

Residential Portfolio Update

Our office-to-residential conversion strategy remains a key growth area for the Group and continues to roll out successfully across several projects.

Promenade Place opened in September 2025 and is now over 90% let, reflecting strong demand and positive market reception.

1 on Daphny is scheduled to open on 1 May 2026, and pre-letting activity to date has been encouraging and highly promising.

The Northcliff development, which will deliver 117 residential units, is progressing well, and we look forward to sharing further milestones and timelines in the next edition.

The Voortrekker project, a 48-unit residential development, is also progressing steadily, and additional updates will follow in our next report.

Similarly, the Bramley 48-unit development continues to move forward as planned, with further detail to be shared in the next quarterly update.

Our fully furnished apartment strategy remains firmly on track and continues to strengthen our broader vision of being a fully integrated property developer and landlord with a diversified and responsive portfolio.

Office Portfolio Update

Our flagship office properties, ACA Krans and 296 Kent, remain a strategic focus for the Group. Ongoing property upgrades and renovations are progressing in line with the plan, alongside targeted marketing and leasing initiatives aimed at securing tenants for the remaining available space. These assets continue to play an important role in our portfolio strategy, and we remain committed to unlocking their full value.

Industrial Portfolio Update

Our industrial portfolio continues to be a robust contributor to the Group’s performance and income growth. Active asset management, property upgrades, tenant retention, and lease renewal strategies remain a priority across this division.

Our Lydenburg property has been identified as a strategic focus asset, and we have actively marketed the property throughout the first quarter of 2026. We are confident that this focused approach will yield positive outcomes during the course of the year.

Closing Remarks

As we move further into 2026, our maintenance, construction, operations, property management, and leasing teams remain fully committed to executing the Group’s strategy and delivering on our objectives for the year ahead.

I would like to take this opportunity to sincerely thank our entire team, as well as our head office support staff, whose dedication, professionalism, and ongoing contribution make every achievement possible. Their collective effort continues to drive the Group forward, and I remain confident in what we will accomplish together in the months ahead.