RDC accelerates regional, int'l expansion strategy
Pauline Dikuelo | Wednesday May 20, 2026 06:00
According to the group's 2025 annual report, its geographic diversification strategy has significantly reshaped the revenue structure, with local portfolio now contributing a minority share of overall income. The shift comes as South Africa and Croatia continue to provide more stable operating environments supported by consistent income generation and solid property fundamentals. The locally-listed company, which has a property portfolio valued at approximately P6 billion, has increasingly expanded beyond Botswana into markets like South Africa, Croatia, Zambia, Madagascar, Mozambique and the United States. RDC’s portfolio includes office buildings, retail centres, industrial parks, hotels and residential developments, positioning the Group as one of Botswana’s leading commercial and retail property players.
The latest report showed that the Botswana portfolio experienced a more difficult trading environment during the year, reflecting broader macroeconomic pressures affecting the domestic economy. Net operating income closed below budget, largely due to softer hospitality sector performance and slower leasing activity in some office buildings. RDC noted however, despite the pressures, several local assets demonstrated resilience. 'Standard House is now fully occupied following the Office of the President’s tenancy, while the European Union lease renewal secured 15 years of income visibility denominated in euro. “Retail assets such as Diamond Mall and Broadhurst Business Centre also continued to perform steadily through tenant renewals and rental escalations,' said group CEO, Jacopo Pari.
The property group further indicated that leasing momentum has started improving across several office parks, with a number of potential tenants currently under negotiation. Management expects these efforts to gradually strengthen occupancy levels and overall portfolio performance. Within the hospitality segment, Chobe Marina Lodge remains closed following the devastating November 2024 fire, with reconstruction works currently underway. Officials said, although insurance recoveries and business interruption claims have been fully settled, construction delays may affect reopening timelines and potentially result in the property missing the 2026 high tourism season. Meanwhile, the Protea Hotel by Marriott Gaborone Masa Square faced weaker trading conditions during the year due to reduced Meetings, Incentives, Conferences and Exhibitions (MICE) activity and softer government-related travel demand. However, the Botswana-domiciled company sayid the hotel continues to perform competitively within its market segment, supported by a fully financed Property Improvement Plan aimed at strengthening its conference and business travel offering. Operationally, RDC noted the year was characterised by disciplined asset management, targeted maintenance programmes, stabilisation of vacancies and ongoing redevelopment planning.
The company also revealed that executive and board strategy sessions were recently held to refine managerial priorities and align long-term objectives. Amongst the initiatives under consideration is the creation of a Botswana-focused yield company, while RDC intensifies its focus on regional and international growth opportunities. Management believes the alignment of internal and external stakeholders, together with continued diversification and investment planning, position the group for stronger long-term growth despite current market headwinds.