Dear Orion Reader

We are once again half way through the 2025 calendar year and at the end of our financial reporting year.

The past 6 months have been very exciting but also challenging. Some of the highlights are:

• The four furnished residential apartment projects in progress. Early indications are that our design & price points are spot on and demand will be good. The first 46 units will all be ready for occupation by 1 September 2025 The remaining 220 units will be ready in the first quarter of 2026

• During the past 6 months we have settled in some major national tenants
  • Sanlam
  • Liquor City
  • Fashion Fusion
  • Roots butchery
  • ABSA Bank
  • Oasis Water
  • Pot O’Round
  • Evolve Denim
  • Foshini Women
  • Pro Vantage

• We completed the acquisition/purchase of;
  • 11 x Residential apartments at One on First
  • 2 x Villas at Magoebaskloof Hotel
  • The Venue Country Hotel

• We re opened the  Mont Aux Sources Drakensberg Resort after a 5 year shut down & a R20 million refurb
• We are experiencing high occupancies at our Regus furnished offices
• We secured additional R80 million in development funding from Nedbank

The Orion Group is moving in the right direction with the continuous  improvement of our balance sheet & LTV (Loan to Value) ratios.

We are  looking at modifying the hotel business model through various initiatives.

Since ORE has become a family controlled private company we are able to make decisions faster and more efficiently.

Succession planning has been addressed in earnest with both Nadia & Franz (Jun) now being part of the executive team.

Our total Group headcount has grown to 400 from the 250 people just after the Covid Lockdown.

Despite the local economy, world political instability and general uncertainty we ate Orion are very confident about our future and will continue to expand & grow.

Thank you for visiting our website!

The South African property landscape is evolving. As urban demands change, so too does the use of our built environment — and one of the clearest trends emerging in 2025 is the growing conversion of office buildings into residential apartments.

This shift is not just a response to vacant office space — it’s a strategic realignment with market realities and urban living demands.

What’s Driving the Trend?

1. Remote and Hybrid Work
   Post-pandemic work culture has solidified hybrid models across most sectors. Many companies have scaled down their office footprints, resulting in underutilised or vacant buildings in once-thriving business districts.
2. Urbanisation and the Housing Gap
   At the same time, South African cities are experiencing increased urbanisation. There is a rising demand for affordable, secure, and well-located housing for professionals, students, and small families — particularly in city centres with easy access to transport, shops, and services.
3. Sustainability and Smart Development
   Repurposing existing buildings aligns with global trends toward sustainable development. Instead of demolishing and rebuilding, developers are reducing their environmental footprint while preserving urban density and infrastructure.

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The Orion Approach

At Orion Real Estate, we are actively embracing this trend as part of our long-term strategy. Several of our older commercial buildings are undergoing phased redevelopment into fully furnished, modern studio apartments, designed specifically for young professionals and the Airbnb market.

Our developments focus on:

• Prime locations near retail, transport, and business nodes
• Stylish, compact design with all modern amenities
• Flexible rental options, from long-term tenants to short-term stays
• Security, comfort, and convenience as core offerings

By reimagining our portfolio, we’re not only responding to market needs but also contributing to the vibrancy and regeneration of key urban precincts.

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Looking Ahead

The conversion of office space into residential units is more than a property trend — it’s a reflection of how South Africans live, work, and connect today. Developers and landlords who adapt now stand to unlock new revenue streams and ensure long-term asset value.

Orion Real Estate remains committed to staying ahead of industry shifts, creating spaces that serve modern lifestyles while enhancing the communities we operate in.

Visit our new business and website at www.orionapartments.co.za for more information on our exciting conversions of office spaces to luxury studio apartments.

Interested in leasing or investing in our redeveloped residential spaces?
Contact us at info@orionrealestate.co.zad protects your business interests.