The Village Hub

The Village Hub

1.1. As part of its Broad Based Economic Empowerment strategy, Muma Investments Proprietary Limited (Muma) with registration no: 2011/145873/07, presents an equity partnership/investment opportunity in the affordable rental housing market. 1.2. Muma, which has benefited from the Black Economic Empowerment funding opportunity through the Gauteng Partnership Fund (GPF) and the National Empowerment Fund (NEF) would like to broaden its empowerment by strategically inviting capable and willing equity partners towards its mission of building some 1000 affordable housing rental units by 2023. 1.3. Since 2011, Muma has built a portfolio of 263 affordable residential housing units to a total value of R96m (including their current offering), with over 750 more units in the pipeline for the next 5 years. It is on this notion that we believe broadening our equity will give us the best opportunity to collectively reach these targets whilst empowering a broader community along with ourselves. 1.4. Our vision is “To become an innovative, competitive and attractive public company which is responsive to neighborhood regeneration and the environment at large”, with the aim of reaching a minimum a 1000 unit or R1B rand by 2023. 1.5. The current equity offering is based on our current development known as The Village Hub

@ 125 Madiba, which entails purchasing and improvement of an existing building into a mix- use affordable residential rental scheme. Centrally located along the busy Madiba street,

The Village Hub seeks to revitalise urban left-over spaces meanwhile offering the City of Tshwane citizenry the best of affordable city living; a place they can work, play and stay within reach of all valuable amenities. 1.6. The estimated cost of capital is R73 467 254, 66 all-inclusive and is planned to take 12 months to complete from inception date. The building stands 7 storeys tall comprising 4 blocks of flats with commercial on the ground floor, and roof space on the 7th floor (to be converted into residential units) altogether making a total of 210 residential self-contained units. 1.7. Muma is offering up-to 30% equity in the business “The Village Hub” which has been valued at R187 422 982.00 by an independent professional business valuation expect by raising R10 000 000.00 equity against it. 1.8. Muma’s limited offer includes grossing up the investor’s offering by 100%. For instance: 1.8.1. 10% equity based on the capital structure is R7,346 725.00; Muma will gross it up to 20% equity in the business “The Village Hub”.

Investor’s pack| The Village Hub |Muma Property Investment V101|2018

4 The Village Hub | v011| 26/03/2018 1.8.2. With a minimum contribution of R500 000.00 (a single proxy) or an equivalent of 0,68% value, Muma will gross it up to 1,36% of the stake in the business “The Village Hub”. 1.8.3. R 10 285 416 (20 proxies) represents a 14% capital structure, Muma will Gross it up to 28% of the business “The Village Hub”. 1.9. Table 1 below represents an equity breakdown schedule starting with a minimum R500 000.00 (1 proxy), its current value and the grossed-up figure Muma is offering per proxy. 1.10. The current offer is valid until the 15th of April 2018.

Additional Details
Capital Value R75 000 000
Business Value R187 422 982
Equity Invested R10 000 000