Rosebank Workspace Business Plan — Implementation Roadmap

The phases from first centre to third, fit-out and lease commitments, and the gate at each stage.

Section 19 of 29

Implementation Roadmap

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Overview & contents

Sixty months, three openings and two decision gates at which the plan can be stopped rather than continued.

18.1 Roadmap

Figure 1. Implementation roadmap, months 1 to 60

18.2 Phases, milestones and dependencies

Table 49 Workstreams, milestones and critical path

Phase	Months	Key activities	Milestone	Critical path item
Pre-launch	1–3	Financial close and Tranche A draw; Rosebank lease signature; municipal and landlord approvals; fit-out; brand launch; pre-sales campaign; recruitment of the centre team	Rosebank practical completion and occupancy certificate by end of month 3	Municipal approvals, which sit on the critical path and carry a four-week float
Launch	4	Rosebank opens with 20% of desks pre-sold; show suite operational; member onboarding; service standards live	58 desks contracted at opening	Show suite completion by month 3 — required for the pre-sales campaign
Ramp-up	4–16	Rosebank occupancy ramp; corporate account programme build; broker panel activation; Tranche B milestone test at month 13; Sandton lease and design from month 10	Rosebank at 75% occupancy by month 13; Tranche B drawn	Rosebank occupancy — gates both the second equity tranche and the Sandton commitment
Scale-up	13–29	Sandton fit-out from month 13; Sandton opens month 16; second business development manager; senior debt amortisation begins month 19	Sandton at 85% by month 29; group EBITDA positive from month 22	Sandton fit-out delivery, running concurrently with the Rosebank ramp
Expansion	28–49	Waterfall City site selection from month 28; lease month 34; fit-out months 34–36; opens month 37; ramp to month 49	Waterfall at 84% by month 49	The Waterfall lease decision at month 34 — the second gate
Stabilisation	50–60	Three centres stabilised; central overhead held flat; audited three-year record assembled; exit preparation	FY2031 EBITDA of R14.2m; DSCR 2.80×	Renewal management across a maturing contract book

18.3 Decision gates

Two points at which the plan should stop rather than continue

Gate 1 — month 13. Test: Rosebank occupancy at or above 75% and achieved rate within 5% of the card. If met, Tranche B is drawn and the Sandton lease is signed. If not met, the Company should defer the Sandton commitment by two quarters, retain the Tranche B capital and re-plan. Signing the second lease on the strength of a missed first ramp is the most likely way this business fails.

Gate 2 — month 34. Test: Sandton occupancy at or above 85%, group EBITDA positive for six consecutive months, and closing cash above R8m with the revolving facility undrawn. If met, the Waterfall City lease is signed. If not met, the Company stops at two centres. A two-centre business at stabilisation generates approximately R9m of EBITDA on R44m of funding, a materially lower return, but a sound business.

18.4 Year-one detail

Figure 2. FY2027 monthly occupancy, revenue and closing cash

Year one is the period of maximum vulnerability. The Company draws R20.0 million of equity and R12.0 million of senior debt in the first quarter, spends R17.7 million on the Rosebank fit-out, opens in month 4 and consumes cash steadily until month 12. The lowest point of the year-one cash curve is R14.3 million at December 2027, comfortably above the R3.0 million minimum. Cash reaches its lowest point across the whole plan at R6.9 million in December 2029, immediately before the Waterfall City fit-out.