Wednesday 16 April 2014

Namibia's Erindi sale put on hold

The owners of the 70 000-hectrate Erindi Private Game Reserve said they did not do proper groundwork before recently putting it up for sale.
The game reserve is expected to be back on the market next year after owners withdrew recent plans to sell it.
Co-owner Gert Joubert told Namibian Sun yesterday that he had been naïve to put the farm up for sale earlier this year without doing the proper preparations.
He also claimed that he never, ever thought that government would be interested in buying Erindi and that he was preparing a proper proposal, which could see the property back on the market next year.
Joubert said Erindi had officially been taken off the market weeks ago, without any fanfare.
This is in stark contrast to when the private farm was put up for sale at the beginning of February, along with a potential commission N$65 million if anyone helped to find a buyer or partner for Erindi. The asking price for the game farm was N$1.3 billion, which in some quarters has been described as overpriced.
However, controversy soon overshadowed the potential sale, with the Swapo Party Youth League (SPYL), among others, lambasting Joubert for initially not offering government first option and for saying that the Chinese would be the most suitable buyers.
Joubert told Namibian Sun yesterday that although the offer to sell Erindi had officially been withdrawn, unofficially they are still in talks with government.
According to him the offer had already been withdrawn about two months ago.
However, by the end of February, when speculation was rife that the game farm would be taken off the market, Joubert held a press conference where he said: “(It is) not a question of withdrawing the offer, but rather that in his opinion Erindi does not qualify under the Agricultural Land Reform Act.”
Joubert repeatedly said yesterday that he never thought government would be interested in buying Erindi and that he was not properly prepared for this.
According to him the offer has been withdrawn so that he can take time to prepare a proper proposal, which in his opinion can take up to several months before he sells the farm.
“I was uncertain about the procedures that had to be followed and want to take time to make a suitable proposal. Erindi is much more complicated, but government and I understand each other.”
He said that his first option was to sell a share of the farm, but with government being interested in Erindi that option would probably not be viable.
“Erindi is not just a little document that you can fill in at the ministry, it is much more complicated,” said Joubert.
With regard to his earlier statement that Erindi will not be sold under the Land Reform Act, Joubert said yesterday: “There is no other way that Erindi can be sold.”
He stressed that Erindi is unique and that it demands different parameters.
Joubert further explained that the first time government heard about Erindi being up for sale was when they were offered it by him.
“I was not prepared. I genuinely never thought that government would be interested. Never in my wildest dreams could I have thought that they would be interested. I
was actually being naïve. I did not know what to expect and prepare for.”
Joubert, however, said that both parties have reached consensus and decided to take time for things to settle down.
According to him the decision remains final that Erindi will be sold, whether to government or another investor, after all his ducks are in order.

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