Strategic Investment

Liberty Two Degrees (L2D), a business unit of the Standard Bank Group, remains focused on delivering sustainable returns to shareholders through a quality property portfolio forged by an experienced leadership and management team. This strategic goal has been our driving force since L2D’s inception in 2016.

L2D continuously re-assesses its strategic priorities in order to evaluate the effectiveness and growth sustainability of the portfolio.

The evaluation of our financial and non-financial performance indicators against benchmarks confirms our current strategy efficacy and supports the achievement of performance objectives. L2D’s focus is to maintain the robust nature of current assets that and the quality of the underlying income stream.

Our purpose is to continue to create experiential spaces that benefit generations and our vision is to be the leading South African, precinct focused, retail-centred portfolio. Our purpose and vision guide our strategy and underpin our everyday business activities. We combine our energy with our business model to fulfil our vision and purpose.

Leveraging the experience and expertise of our management team ensures that we are well positioned to achieve our objectives.

Our strategic value drivers

To fulfil our purpose and vision, we use the strategic value driver model. These drivers are aligned to our vision and enable us to execute our strategic pillars and building blocks. They also help to focus our business activities in order to deliver sustainable value for our stakeholders.

Our strategic value drivers provide an effective means to set strategic goals, monitor progress and measure our performance through metrics against industry benchmarks and peers.


SA economy and property industry headwinds including the management of our resources


Tenant exposure and long-term, sustainable relationships


Human capital | Passionate People


Manage a strong balance sheet that supports sustainable distribution growth


Portfolio performance through the management of the property manager


Safety, transformation and climate change commitments

These strategic value drivers are aligned to L2D’s vision and enable the execution of the company’s strategic pillars of; driving to future proof its assets, having passionate people and growing to make an impact. To support the strategic pillar of driving to future proof its assets, L2D has adopted strategic building blocks to prepare the business for an ever-changing retail environment. The continuous implementation thereof, which is underpinned by SAFE Spaces, ensures that L2D creates spaces that will benefit generations and help futureproof the malls to truly set them apart.

Our three strategic pillars

1Driving to futureproof our assets

Our aim is to create unique experiential spaces that people are proud to take ownership of and want to visit — spaces that provide a sense of community and go beyond the ordinary shopping experience. In the retail sector, we understand that ‘business as usual’ is not an option. With consumers increasing their spend on experiences, it is vital to adjust our priorities to remain relevant in a competitive market. To this end, we have introduced new enhancements and elements into our environments that ensure our assets

stand above and counter the conventional retail trends. These improvements include supplementing an experience, adding convenience to an experience, or enabling our assets to become an experience in and of themselves. We do this to ensure that our retail centres perform exceptionally well, as evidenced by our vacancies which are well below the benchmark of national vacancy averages. In addition, we partner with our tenants to ensure their best-of-breed offerings are available within our centres, where many brands’ flagship stores are located.

Our strategic building blocks

To help us accomplish our vison and purpose, our strategy focuses on implementing our strategic pillars. We have identified building blocks that have been embedded into the strategic pillar of driving to future proof our assets. These building blocks ensure that we create experiences that are unique and draw people to our assets to drive sustainable and organic growth across our portfolio. L2D’s building blocks are all underpinned by Safe Spaces to ensure a focused approach to the safety of our customers, tenants and services providers in our mall environments.

Smart Spaces

Embracing technology

Creating smart environments by integrating technology to enhance customer’s and retailer’s experiences, securing our position at the forefront of innovative thinking.

Good Spaces

Sustainable and flexible

Ensuring minimal impact on the environment by adopting a flexible sustainable strategy.

Interactive Spaces

Ideas and experience

Interactive Spaces is about providing and interchange of ideas and experiences within the L2D malls. The emphasis is on interaction, a fast pace, excitement, experience and stimulus, with a vision to create vibrant and diverse spaces with experience at their heart. Interactive Spaces encourages common ownership, placemaking and enjoyment of the physical environments in which L2D operates.

Safe Spaces

Safety and security

L2D’s building blocks are all underpinned by Safe Spaces. L2D aims to drive a clearly defined mall strategy that ensures the mall environments hold the highest standard of safety and security for tenants and shoppers. L2D has been affirmed by SAFE Shopping Centers, a Global certification advisory company, as the first responsible owner in Africa to achieve international certification following a Covid-19 assessment, taking the extra steps to ensure duty of care for tenants and shoppers

2Passionate people

In order to make the most of our superior quality assets, we require a team of skilled and experienced people. Therefore, the core focus of our human capital philosophy is on employing the right people in the right roles. This means attracting and retaining passionate people who hold themselves individually accountable to help us achieve the outcomes that are aligned to our overall strategy.

3Grow to make an impact

We continue to seek out opportunities in the market, with the aim of unlocking L2D’s value further.

Our primary focus is on extracting organic growth from the existing portfolio. A secondary goal is to supplement organic growth with appropriate growth opportunities. Our low LTV provides us with the capacity to consider attractive market opportunities that support our growth objectives. To preserve and enhance the superior nature of our current portfolio of assets, any future acquisitions will have to align with the levels of quality that underpin L2D.

Governance & Risk


The leadership of L2D remains committed to the application of and compliance to the highest ethical standards. The Board leads by example and ensures that the tone is set at the most senior level of the leadership structure.

Codes of ethics are strictly adhered to in the development and implementation of all business and growth strategies. All decisions are made with due consideration to the code of ethics that is set out in the employee policies.

The L2D adheres to the code of ethical conduct to maintain the highest levels of integrity, honesty and transparency through ethical codes of conduct and related policies.

Our zero-tolerance policy relating to unethical conduct ensures intolerance of fraud, corruption, unlawfulness or other irregular conduct. The protection of confidential information and employee data is of the utmost priority due to severe risks associated with data leaks.


The Board is ultimately responsible for ensuring the integrated and holistic implementation of the principles set out by King IV and remains satisfied that it has and continues to apply all the applicable governance principles and is compliant with the JSE Listings Requirements.

The Board continually improves its application of all the King Code of Governance Principles in the best interest of L2D and its various stakeholders. Where the Board has identified practices that are not in the best interest of L2D and its stakeholders, it explains the alternative approach to that application of governance.

Risk Management

The Board carries the ultimate responsibility for the governance of risk, even though it delegates the governance of risks to the Audit and Risk Committee. Along with the board, the Audit and Risk Committee, sets out an integrated risk assessment and combined assurance plan that provides guidance on risk management of throughout decision-making and business operations processes.

The Board and executive management have compiled a detailed analysis of the operations of L2D, noting the most significant risks. The Board is in the process of setting a level of risk tolerance for L2D in pursuit of its business goals in line with its vision to create sustainable value and growth. The effect of risks is evaluated and considered through financial performance, social and environmental impacts.

Executive management is responsible for the implementation, monitoring and reporting of an effective risk management plan. The operational risk register of L2D is reviewed monthly, with risks analysed in detail, and updated by the executive management committee. The members include executive and senior management from the operational and finance function of L2D.

The operational risk register is presented to the Audit and Risk Committee quarterly for discussion and approval before being presented to the Board for final approval. During the quarterly meetings, all material non-compliance is evaluated, and an operational plan of action established to address non-compliance. The control environment implemented to mitigate the residual risks to acceptable levels is evaluated on a continuous basis to ensure relevance and effectiveness in mitigating identified operational risks.

All identified risks are assigned to risk owners which takes responsibility for the daily monitoring risk handling. All changes within the risk environment are recorded in the combined assurance plan. The identification, evaluation and management of risk is an ongoing process and is updated regularly at Board and management level.

The Board continues to drive efforts to educate stakeholders on how risks affect operational and strategic decisions and ensure that risks are being managed appropriately.


We consider stakeholder feedback, as well as risks and property trends in South Africa, the sustainability of the economic and natural environments and the socioeconomic impact of material matters on all our stakeholders.


Material matters are identified by considering their impact on each of the key aspects of the business, including our purpose statement and strategic objectives.


Identified matters are prioritised according to their impact on the business and importance to stakeholders.


Material matters are integrated into strategic thinking to inform the direction of the business to ensure resilient value creation.