A black-owned pharmacy has been served with an eviction notice from a suburban shopping complex to make way for retail giant Clicks.
Entrepreneur Sello Motubatse says the centre manager of Agora Fourways Gardens in Johannesburg’s northern suburb served her business Uranium Pharmacy with an eviction notice despite the lease agreement expiring in 2026.
Motubatse said the centre manager Imran Bana sent her banker an email on October 12, 2021, stating that the lease agreement expires in August 2026.
The tensions come as Clicks, one of the country’s largest chemists and retailers of baby, beauty and cosmetic products, has been rolling out an aggressive growth strategy over the past five financial years.
This has seen its number of stores increase by 25% to 881 in 2023 from 704 in 2019.
Motubatse said his misfortune began in 2022 when her pharmacy was kicked out of a Sandton shopping centre to make space for Clicks. Their nightmare was relived when Clicks approached them with an intention to buy them out of Uranium Pharmacy.
“At that time, we had no intention of selling Uranium Pharmacy and we made it clear to them that we were not selling that pharmacy. We subsequently had several meetings and phone calls whereby Clicks tried to convince us to sell but we refused to get into any negotiations with them.”
Motubatse said Clicks then approached the landlord of the complex from which Uranium is operating and requested space for their shop.
“Uranium is operating at a small shopping centre, and, by law, the centre cannot have more than one pharmacy. The landlord then signed a lease agreement with Clicks for a pharmacy. Four days after the lease agreement was signed between Clicks and the landlord, the landlord sent us a letter to cancel our lease.
“In the letter, we were told to vacate the premises within 45 days. The landlord’s main reason for cancelling our lease is that Clicks is coming to the centre. In other words what Clicks want, Clicks get.”
Motubatse asserted that the pharmacy serves patients with serious diseases.
“We have their six months scripts, if the pharmacy is closed abruptly, people’s health will be in danger.
“Clicks pharmacy has been built and ready for operation in the centre, they will not operate the pharmacy while we are still there. We received an eviction letter as we refused to leave. End of last year, we were kicked out of another pharmacy by a different landlord due to Clicks coming to the centre. Clicks had also approached us about that pharmacy,” she said.
Motubatse said when they confronted Clicks about this, the company told them the issue was between the landlord and the tenant and they were not involved.
“They always hide behind the landlord. They approach the landlord and pretend that the landlord is the one that approached them.
“Once they have concluded a lease agreement with the landlord, Clicks sets its own price on the amount of money they want to give you for your pharmacy because they know that you are in vulnerable position and you will take whatever they are offering you, leaving you in debt,” she alleged.
When approached for comment, Clicks said it was not responsible for decisions on the part of landlords regarding the tenants that they wish to have in their shopping centres.
“This is entirely at their discretion and dependent on their tenant mix and customer shopping profile. Clicks has also previously had leases terminated / not renewed in favour of others, which has ultimately been the landlords’ decision.
“Clicks aims to further strengthen its leading position in health and beauty retail by continuously looking for growth opportunities. Our aim is to offer value and convenience for more and more South African consumers through increasing access to affordable healthcare,” said the company.
Clicks noted that the Department of Health was responsible for the issuing of pharmacy licences, including guidelines on the number of pharmacies that can be in a shopping centre.
“Clicks cannot influence the application of these guidelines, nor the issuing of the licences,” said the company.
Bana said the pharmacy does not possess a written lease agreement with the landlord. “Notice of termination of the oral agreement of lease in terms whereof Keyalena (Uranium) Pharmacy occupies the premises was issued to Keyalena Pharmacy cancelling the agreement of lease.
“Keyalena Pharmacy continues to occupy the premises unlawfully.”
