Real Estate October 2017 ( Issue 48 )

Page 1

ISSUE 48 • OCTOBER 2017

LOOKING UP Major art museum reveal | Property makeover secrets | Architectural showpiece in Joburg

SPECIAL

PROPERTY & INVESTMENT ISSUE

RE_Oct2017_Cover 7.kw.indd 1

18/09/2017 05:41


THERE’S A HOME FOR EVERYONE Live and invest in the five-star life you deserve: * THREE BEDROOM LUXURY EN SUITE APARTMENTS starting from R7.9M * LIMITED HOTEL INVESTOR SUITES starting from R4.4m.

OSBORN RD

M1 HOUGHTON GOLF CLUB

2ND AVE

Houghton_RE_Oct_2017.indd 1

Come and view our luxury apartment 12029. Available daily for viewings

WARREN BECKER 082 302 3004 | warren@thehoughton.com

Houghton on 12th, 53 Second Ave, Houghton

ALAN BECKER 082 718 8100 | alan@thehoughton.com

2017/09/19 10:24 AM


CREATIVE GROUP

“My head office is in Joburg so I have to commute at least three times a month… I wanted a lock-up-and-go second home with security, reliable electricity and a concierge. The Houghton ticked all the boxes.”

“After a busy day in the kitchen, there’s nothing better than coming home to a glass of wine on my patio… And the best view in Joburg.” – Restaurateur

“I always thought I’d want to retire to the coast, but living at The Houghton feels like being on holiday all the time.”

– Durban Resident LIMITED HOTEL SUITES

– Retired Lawyer

S TA R T I N G F R O M R 4 . 4 M TOP FINISHES

Houghton_RE_Oct_2017.indd 2

|

SECURITY

|

AAA INVESTMENT

|

SURREAL VIEWS

|

ALL EN-SUITE

|

STOCK LIMITED.

2017/09/19 10:24 AM






Debbie Loots, editor, REAL ESTATE LIFE

PUBLISHED BY THE CREATIVE GROUP FOR BLACKSTAR PROPERTY PUBLISHING

44 PERSPECTIVES ON RETIREMENT When it comes to your later years, these ownership options and estates are worth considering

50 GOING COMMERCIAL For investors with a long-term view, commercial property can offer good returns

08 WORD ON THE STREET

Things to see, trends to spot and places to be

12 CONCRETE ANGLE Our show house in Melville was once contentious but is now an architectural work of art

21 INSIDER SECRETS How can you increase the value of your property? We hear from the experts

MANAGING DIRECTOR: THE CREATIVE GROUP

Why South Africa’s high-end residential estates are prime investments

EDITORIAL TEAM Editor Debbie Loots | debbie.loots@thecreativegroup.info Creative director Leah de Jager Deputy editor Julia Freemantle Copy editors Kirsty Wilkins, Kay-Ann van Rooyen Group digital editor Lauren Joubert Accounts and finance Katrien Bezuidenhout Printing Paarl Media Contributors Patrick Cairns, Lauren Groenewald, Georgina Guedes, Genevieve Putter, Anne Schauffer, Jocelyn Warrington

ADVERTISING SALES Michèle Jones | Group sales and marketing manager michele.jones@thecreativegroup.info | 084 246 8105 Yvonne Shaff | Business manager shaffy@timesmedia.co.za | 082 903 5641 Letitia Louw | Senior key account manager (lifestyle) louwl@timesmedia.co.za | 083 454 1137 Gina van der Wall | Senior key account manager (lifestyle) vdwallg@timesmedia.co.za | 083 500 5325 Susan Erwee | Senior key account manager (property) susan.erwee@thecreativegroup.info | 083 556 9848 Jimmy Balsaras | Senior key account manager (property) jimmy.balsaras@thecreativegroup.info | 083 387 2227

ADVERTISING BOOKINGS AND SUBMISSIONS

Love the environment! Please recycle this copy of REAL ESTATE after you have read it.

RE_Oct2017_Edsletter Contents 3.kw.indd 6

65 SPREAD THE RISK Why diversification is essential for investors

66 HOT PROPERTY Inspiring design and architectural trends that shape the future of property here and all over the world

Despite its challenges, investment in the Western Cape is ripe for the picking

35 THE RISE AND RISE

Jackie Maritz | Advertising coordinator jackie.maritz@thecreativegroup.info | 078 133 5211

These are the top 10 global destinations for South Africa’s wealthy wanting a second passport

28 THE PROVINCE THAT NEVER SLEEPS

Old Castle Brewery, 6 Beach Rd, Woodstock, Cape Town, 7925 estatemagazine.com | 087 828 0423 | 021 447 7130

Terence Hewitt | terence.hewitt@thecreativegroup.info

56 MOVING WITH THE TIMES

28

80 BACK CHAT Property developers and brothers Saul and Paul Berman on why they live and work in Sea Point

DISCLAIMER The publisher of this magazine gives no warranties, guarantees or assurances and makes no representation regarding any goods or services advertised within this edition. © The Advertising Joint Venture. All rights reserved. No portion of this publication may be reproduced in any form without prior written consent from the publisher. The publishers are not responsible for any unsolicited material.

in Sea Point? Yes, residential property prices are still on the up in Cape Town’s CBD and surrounds. What about other investments? Across the country’s metropoles such as Durban, a lucrative commercial venture includes student housing close to campuses. The gentrification of Joburg’s CBD and Braamfontein is another success story. And recent news that private property developers can propose innovative social housing plans for earmarked CBD residential sites is groundbreaking. This presents the industry with all kinds of new opportunities and challenges. Now that’s really exciting. We unpack these and other property investment topics, as well as reveal renovation secrets of interior designers, architects, developers and agents in Real Estate Life. Enjoy!

CONTENTS

COVER IMAGE Iwan Baan PHOTOGRAPHS Ruvan Boshoff, supplied

have exciting news. Have you noticed our new masthead? I hope so! We’re no longer called Real Estate – our new name is Real Estate Life. Why? Because we want our title to represent our content, which not only includes property and investment articles, as Real Estate suggests, but also features on decor, design and luxury lifestyle trends. And why life? Because it’s a nuanced term with various meanings and connotations, depending on context. In our case, it also stands for lifestyle. Then, in your hands is our first Property and Investment issue, one of three special editions we publish annually. Next year March will be the turn of Design and Decor, and in June you can look forward to Luxury Investments. But back to this special 80-page Property and Investment issue. Did you know that R3 million can buy you either three garages in Camps Bay or a 90m2 sectional title unit

19/09/2017 13:05



WORD ON THE STREET

WORD ON THE STREET THINGS TO SEE, TRENDS TO SPOT AND PLACES TO BE

The highly anticipated opening of the Zeitz Museum of Contemporary Art Africa (Zeitz MOCAA) has finally arrived. Acclaimed architect Thomas Heatherwick of London-based Heatherwick Studio designed the landmark building in the previously disused heritage-listed Grain Silo Complex, around which Cape Town’s new Silo District has been developed. Zeitz MOCAA is a not-for-profit partnership between the V&A Waterfront and businessman Jochen Zeitz, and houses the world’s largest collection of contemporary art from Africa and its diaspora. The 9 500m2 museum includes 6 000m2 of exhibition space in 80 galleries, a rooftop sculpture garden, state-of-the-art storage and conservation areas, a bookshop, a restaurant and bar, and various reading rooms. For more on the new Silo District, turn to our Hot Property section on page 64. zeitzmocaa.museum

TROPICAL HEAT For its spring/summer 2018 collection Heat, Espadril founders Rizqah Isaacs and Patricia Terre have channelled the sultry spirit of summer, designing shoes for a carefree, confident woman. With more luxe textures compared with previous collections (think raw silk, suede and embroidery), the new styles pave the way for a sexy season. espadril.co.za

LIFESTYLE

State of the art

Down to business Since 2014, Business of Design has been providing a platform for entrepreneurs and business owners to learn from one another, network and form valuable connections. The two-day conference tackles all aspects of running a business, from social media strategy to setting yourself apart in the marketplace. The conference will be held in Cape Town on 11 and 12 October, and in Johannesburg on 18 and 19 October. This year’s programme includes a stellar lineup of influencers in the creative and business worlds, including ad agency maverick Mduduzi Simelane (pictured), retail giant Chris Weylandt, culinary genius Hannerie Visser and fashion game changer Laduma Ngxokolo. Find the itinerary and booking details online. businessofdesign.co.za

RE_Oct2017_News_KvR.indd 8

19/09/2017 07:28


TAF_RE_SEP2017.pdf

1

2017/09/20

3:23 PM

Patio

pleasures

C

M

Y

CM

MY

CY

CMY

K

To give some texture to your outdoor space, use a tile with an interesting pattern or texture. Top left: Tiles with a varied pattern can create a multi-faceted look. Top right: Alternatively, lay the tiles in your own pattern to create interest. Combine your outdoor tiles with natural stone, or cladding for effect. For more ideas and inspiration go to tileafrica.co.za.

www.tileafrica.co.za

ÂŽ


LIFESTYLE

WORD ON THE STREET

A t y ou r s erv i c e

For self-catering with a difference, Abalone Pool Villas in Paternoster offers a butler service, giving you the best of private and hotel living. Xavier Ramsami is in attendance to serve a full English or continental breakfast in your suite. The butler service is also available for late-afternoon drinks and canapés, or dinner (this needs to be arranged in advance), both at an additional surcharge. The two newly revamped villas are vibrantly decorated in the style of sister Abalone House, and each sleep four in two luxuriously appointed bedrooms. The almost identical amenities include rim-flow pools, sea views, outdoor showers and entertainment areas outside. When the weather doesn’t oblige, there is Wi-Fi, a fireplace and Netflix to keep you entertained. abalonehouse.co.za

T he n ew

g u ard

Recognising the importance of art and its role in society, Sasol has been collecting contemporary South African art since the 1960s. As an allied venture, the Sasol New Signatures Competition is a platform for promoting emerging artists. Each year, an overall winner and merit award winners are chosen. This year, the top honours go to Johannesburg-based artist Lebohang Kganye for her animated film Ke sale teng – “I’m still here” in Sesotho. The piece addresses how family photo albums no longer have a fixed narrative but instead allow us to reinterpret our past. The exhibition runs until 8 October at the Pretoria Art Museum. sasolsignatures.co.za

VINYL REVIVAL Vinyl wallcoverings are having a moment. We love the Edie design in the colour Storm (directly above) from the new Floris collection by Romo, which has a woven material effect and a metallic shimmer. Also a vinyl application, this time a collection designed to mimic hide, the Indomptée range from Élitis comprises patchwork compositions with blocks of varying dimensions to create depth. The subtle Appaloosa design imitates foal hide and is available in 18 colours – this nude shade (top) is perfect for elegant spaces. Élitis designs are available at St Leger & Viney. romo.com; elitis.fr; stleger.co.za

10

OCTOBER 2017

RE_Oct2017_News_KvR.indd 10

estatemagazine.com

19/09/2017 05:33


WORD ON THE STREET

C on tem p orary c l as s i c

TEXT Julia Freemantle PHOTOGRAPHS Iwan Baan, supplied

As the first new fragrance from the House of Chanel in more than a decade, Gabrielle had to make a splash. To create the next great classic, perfumer Olivier Polge drew on the rebellious, modern spirit of Gabrielle “Coco” Chanel. Concocting the ultimate white-flower fragrance, in the tradition of Chanel, he drew on the qualities of four flowers – tuberose, jasmine, ylang-ylang and orange blossom – to create a new white bloom with a luminosity that defines this modern fragrance for a new era, while acknowledging the rich heritage of the brand. chanel.com

L U X U RY

DIARISE THIS The world’s most prestigious champagne houses will present their best bubblies at the Inanda Club in Sandton on 3 November for the annual Absa Champagne Festival. Tickets get you access to the fully catered for and beautifully decked-out event, plus tastings to your heart’s content. To book, email Gift Chanza on gift@javelintv.co.za or phone 011 884 0024.

THIS WAY UP Every season, champagne lovers look forward to Veuve Clicquot’s limited editions. The newest collectors’ item, and latest in the Journey collection, which was launched in 2016, the Magnetic Arrow retraces Madame Clicquot’s travels to six iconic cities: Paris, New York, Tokyo, Milan, Sydney and London. Each bottle of Yellow Label is packaged with a different Clicquot Arrow Magnet, to serve as a cheeky fridge accessory, a visual bucket list reminder or a travel memento. Available from leading liquor merchants countrywide, while stocks last, from R629. veuveclicquot.com

Gold rush The spa at Four Seasons Hotel The Westcliff has introduced a new product range to its repertoire – the Omorovicza brand from Hungary. The country’s abundance of thermal springs inspired the creation of public baths on these sites as early as the 1500s. The brand’s founders wanted to tap into the natural healing power of these springs by creating products that harness the properties of certain minerals. Gold, for instance, is known for anti-inflammatory and anti-ageing qualities – and you can experience a luxurious Gold Hydralift Facial using the specialised Gold range in the beautiful, tranquil setting of the spa. fourseasonsspa.co.za

estatemagazine.com

RE_Oct2017_News_KvR.indd 11

OCTOBER 2017

11

19/09/2017 05:34


SHOW HOUSE

CONCRETE

ANGLE A Melville home that once broke all the rules is now a cherished part of the landscape

TEXT Julia Freemantle PHOTOGRAPHS David Ross

Iconic Bubble chairs by Norwegian Eero Aarnio look out over the Joburg skyline, an unobtrusive seating solution that takes advantage of the view. At night, when the lights inside are dimmed and the city comes alive, it’s a breathtaking sight OPPOSITE The top floor is an open-plan living area that opens up completely. Ideal for entertaining, the pool and views are especially conducive to summer living

00

OCTOBER 2017

RE_Oct2017_Show house 3.kw.indd 12

estatemagazine.com

19/09/2017 05:36


SHOW HOUSE

A

rchitectural risk takers pave the way for a new aesthetic. Take this Melville home: the design choices were contentious when it was built 12 years ago, but it has since won awards for its form. Owner Aidan-John (AJ) Rothman spent most of his second and third years in architecture lectures at Wits, despite studying engineering. It was there he befriended George Boorsma, who would go on to found design company INK Design Lab with Lisebo Mokhesi. After university, AJ and George decided they wanted to work on an architectural project together. After discussing the location, they found three potential spots: one along a riverbank, another in a forest, the third with a view. The last option won out. This Melville spot was perfectly situated so AJ could create the “public piece” he had in mind – a visible, street-facing design on a well-used route. A series of happy coincidences led to this Melville location. Initially AJ was looking at buying the house next door, but it meant he would need to demolish it and start again, a tricky process in an area where most of the properties are more than 60 years old. As it happened, the seller also owned the vacant stand next door. AJ was sold. “We would never have been able to build this house now. The lack of stands and proliferation of heritage restrictions meant it was a once-off opportunity, says J. J and eorge set about designing a house that was different to anything else in the area. Inspired by Le Corbusier and with a minimal approach in mind, they created plans for a simple, outward-looking structure, where form followed function.

The “upside down” house, as he and his wife Suzanne describe it, was to be built with predominantly off-shutter concrete. But the material proved to be the biggest challenge. After approaching five building companies with the plans and being turned down by all of them – they simply didn’t have the knowhow J turned to the oncrete Institute for help and finally found Kevin Rasher. Armed with a building science degree and a father in the bridge building business, Kevin was equipped to take on the challenge. Although it took two years rather than the predicted si months, evin finally delivered AJ his dream home. The house doesn’t seem too outrageous today, but 12 years ago it caused quite a stir. “Some people were worried we were bringing Hillbrow to Melville. But many more would ring the doorbell and ask to look around,” says AJ. That catalyst for people to connect was what he ultimately wanted – and another reason the house is so open. “I wanted to rebel against the insecurity and fear people have which lead them to hide behind high walls,” says AJ. As a result, the house is open and quite unguarded, to the point that it feels totally accessible. It’s a social environment, too – the entry-level parking garage transforms into a covered function venue and the stairs in the garden have even served as a stage for the Wits choir. The couple loves to entertain and the large open spaces and magnanimous views make it the perfect party house. When AJ and Suzanne had their son four years ago, though, they had to introduce modifications such as building a barrier to the rim- ow pool and turning the prairie garden into a lawn. This was the reason the couple decided to move. “We’ve left it for as long as we could but our son is getting to an age where we need a more child-friendly house – so we’re reluctantly letting go,” he says.

estatemagazine.com

RE_Oct2017_Show house 3.kw.indd 13

OCTOBER 2017 13

19/09/2017 05:36


SHOW HOUSE

Over time, Annabelle has filled her house with unique one-off antiques such as the dramatic four-poster and richly coloured rugs in the main bedroom, which offset the architecture beautifully

SOME PEOPLE WERE WORRIED WE WERE BRINGING HILLBROW TO MELVILLE. BUT MANY MORE WOULD

ri n g the d oorb el l

AND ASK TO LOOK AROUND Aidan-John Rothman, owner

ABOVE Off-shutter concrete and linear furniture, both freestanding and built-in, give the space a clean, graphic aesthetic CLOCKWISE FROM TOP LEFT In the bedrooms, the trees almost seem to reach inside, softening the structure and offering shade | The owner and architect purposefully oriented the house to be open to the street, making it a public piece of architecture | This cleverly designed bathroom has a sunken bath, that, when closed off with the timber lid, doubles as a shower – an economic use of space

14

OCTOBER 2017

RE_Oct2017_Show house 3.kw.indd 14

estatemagazine.com

19/09/2017 05:36


estatemagazine.com

RE_Oct2017_Show house 3.kw.indd 15

OCTOBER 2017 00

19/09/2017 05:36


I WANTED TO REBEL AGAINST THE INSECURITY AND FEAR PEOPLE HAVE

THEM TO HIDE which lead BEHIND HIGH WALLS Aidan-John Rothman, owner

RE_Oct2017_Show house 3.kw.indd 16

19/09/2017 05:37


SHOW HOUSE

FOR SALE This property is on the market for R5.5 million through Pam Golding Properties (web reference NC1334365). Phone Pieter Basson on 072 262 2429 or visit pamgolding.co.za.

The recreational room on the second level is a space where owners AJ and Suzanne indulge their love of movies and music – the couple are avid movie watchers. AJ studied film and Suzanne production design after leaving careers in investment. Many parties have also been held in this cool, low-maintenance space OPPOSITE The pool features an expansive view and also overlooks the back garden terrace. Architectural details above and at pool level echo and emphasise the linearity of the house’s design

estatemagazine.com

RE_Oct2017_Show house 3.kw.indd 17

OCTOBER 2017 17

19/09/2017 05:37




HOME DESIGN INSIGHT

COMFORT

ZONE G

eneral feedback as well

THERMAL

as extensive testing at

The two test houses have been positioned to

Stand 47 indicates that

make the most of natural sunlight and breezes

the most desirable and

at different times of the year, which allows for

appreciated qualities in

passive heating and cooling. Saint-Gobain has

a home revolve around its comfort levels. This multi-comfort principle, as defined by

SEPTEMBER 2017

RE_Oct2017_Stand 51.kw.indd 20

homes effectively.

Saint-Gobain, is a set of criteria that together create the ideal living conditions. It is achieved using a combination of smart,

VISUAL Smooth surfaces and pleasing room

functional design and Saint-Gobain’s high-

proportions in the design contributes

tech products.

to an enjoyable aesthetic experience.

ACOUSTIC

ENVIRONMENTAL

Sound reduction and absorbent materials, used

A hybrid wall system made from an outer

in the construction of Stand 47 and Stand 51’s

brick skin with drywalling above and

walling systems, reduces unwanted peripheral

an internal drywall that cleans the air

noise, especially in spaces where silence is

(Gyproc Activ’Air) makes air healthier

paramount, such as a bedroom or study.

and more pleasant to breathe.

FOR MORE INFO stand51.co.za

20

also incorporated materials that insulate these

PHOTOGRAPH iStock by Getty Images

The Stand 51 concept home on Val de Vie in the Winelands is a successor to Stand 47 on Monaghan Farm and focuses on comfort in these four crucial areas

estatemagazine.com

19/09/2017 11:40


TRENDS

What is trending in the property market, what should homebuyers look for, and what can homeowners do to grow the value of their investment? We asked 15 experts, from architects to estate agents, for their opinion TEXT Julia Freemantle PHOTOGRAPHS Sarah de Pina, Riaan West, supplied

INSIDER SECRETS estatemagazine.com

RE_Oct2017_Trend.KvR.indd 21

OCTOBER 2017

21

19/09/2017 11:41


ARCHITECTS/DESIGNERS

TRENDS

22

RE_Oct2017_Trend.KvR.indd 22

ENRICO DAFFONCHIO ARCHITECT AND FOUNDER OF DAFFONCHIO & ASSOCIATES ARCHITECTS WHAT ARE HOMEOWNERS LOOKING FOR IN TERMS OF DESIGN? Bright, open spaces with a good internal flow and sense of space, and a strong spatial and visual connection with the outdoors and the view. A balance between clean lines and slick elements, and warm natural materials. HAVE YOU NOTICED AN INCREASE IN DEMAND FOR A PARTICULAR TYPE OF HOME OR SPECIFIC FACILITIES? In houses, people are looking for a minimalist kitchen in the openplan living area and an additional back-of-house kitchen. The use of natural materials such as wood, concrete and stone has come to the fore in a big way. A wood-burning fireplace inside and a firepit outside are popular for adding ambience to living spaces. Sustainable technology, too, has become sought-after: features such as solar geysers; hotwater underfloor heating; gas for cooking, water heating and fireplaces; and evaporative cooling. DO HOMEOWNERS CONSIDER INVESTMENT VALUE WHEN THEY CHOOSE FEATURES AND FINISHES? Yes, there is a definite awareness of planning to ensure that spaces are flexible in terms of their use, and the ability for future buyers to easily make changes or additions to the house. Finishes and fittings must be durable, too. WHAT ARE KEY INVESTMENTS HOMEOWNERS SHOULD MAKE TO SECURE GROWTH IN VALUE? The area in terms of its accessibility and desirability; the timelessness of the architectural style; and the choice of fittings and finishes, as well as their longevity. A sustainable architectural design will enable the building to respond optimally to climatic conditions, ensuring comfort and low running costs throughout the year, and minimising the carbon footprint – something that will prove hugely appealing to future buyers as being eco-conscious becomes even more critical.

OCTOBER 2017

estatemagazine.com

19/09/2017 11:41


DONALD NXUMALO INTERIOR DESIGNER AND FOUNDER OF DNX INTERIOR DESIGN WHAT ARE HOMEOWNERS LOOKING FOR IN TERMS OF DESIGN? Homeowners want versatility in their spaces by way of open-plan spaces that can act with dual functionality. Entertainment areas are big focal points. And, in terms of the private spaces, people are looking for a sanctuary, so bedrooms, studies and libraries are becoming more comfortable and layered. HAVE YOU NOTICED AN INCREASE IN DEMAND FOR A PARTICULAR TYPE OF HOME OR SPECIFIC FACILITIES? In terms of flooring, engineered wooden floorboards are a big trend at the moment, as are wood plank tile imitations and natural stone finishes. Owners are increasingly looking for a finish that looks most like the material in its natural state. Energy-efficient features are becoming more popular, and as a result owners are looking at home automation as a way of regulating energy use. Homeowners have also become bolder with their choices in terms of colour, especially where rooms are painted different colours rather than the same throughout the house. WHAT ARE KEY INVESTMENTS HOMEOWNERS SHOULD MAKE TO SECURE GROWTH IN VALUE? Kitchen and bathroom designs have a big impact on the resale value of a house – these rooms need to be easy and efficient to use. Finishes should be durable and, if possible, timeless.

AIDAN HART ARCHITECTURAL DESIGNER AND DIRECTOR OF INHOUSE BRAND ARCHITECTS WHAT ARE HOMEOWNERS LOOKING FOR IN TERMS OF DESIGN? They want a design that will withstand the test of time. High-quality materials and a functional layout are elements most often requested by our clients. We also offer customisation by incorporating elements that are personal to the client, for example, a space for their art collection. HAVE YOU NOTICED AN INCREASE IN DEMAND FOR A PARTICULAR TYPE OF HOME OR SPECIFIC FACILITIES? A popular request is to redesign the spatial layout. Clients are increasingly desiring an open-plan kitchen, dining room and living area as opposed to closed-off and confined spaces. This not only creates the sense of a larger interior space but also establishes a social atmosphere. A key element within an open-plan layout is the kitchen area, complete with state-of-theart appliances and a striking island. Homeowners are also increasingly asking for lighter and brighter interiors. DO HOMEOWNERS CONSIDER INVESTMENT VALUE WHEN THEY CHOOSE FEATURES AND FINISHES? Definitely. They tend to select high-quality and timeless materials such as timber and marble, which contribute to a higher resale value and prevents them from having to replace cheaper alternatives at a later stage. Materials and features that won’t date are crucial in cementing the future investment value. WHAT ARE KEY INVESTMENTS HOMEOWNERS SHOULD MAKE TO SECURE GROWTH IN VALUE? If a property is in a great location or has spectacular views, it is important for the homeowner to take advantage of this to secure growth in the value of their property. Design elements such as foldaway doors that bring the outside in and revamped outside spaces are the best ways to do this. Something else to consider is an open-plan layout and lots of natural light.

estatemagazine.com OCTOBER 2017 23

RE_Oct2017_Trend.KvR.indd 23

19/09/2017 11:41


PROPERTY DEVELOPERS

TRENDS

NYIKO CHAUKE

RYK NEETHLING

DAVID COHEN

MARKETING MANAGER, PROPERTUITY

MARKETING DIRECTOR, VAL DE VIE

MANAGING DIRECTOR, SIGNATURA PROPERTIES

WHAT TYPES OF DEVELOPMENTS ARE MOST IN DEMAND? Units that are high in demand are studio, one- and two-bedroomed apartments, as they allow people to get a foot in the door with an entry-level investment.

WHAT TYPES OF DEVELOPMENTS ARE MOST IN DEMAND? One of Val de Vie’s biggest successes is its broad offering, with options ranging from 25-plus-hectare farms to apartments. That said, our biggest market by volume is in luxury plot-and-plan homes built on 400 – 700m2 stands.

HOW HAS THIS DEMAND CHANGED IN RECENT YEARS? We have noticed that more young people are moving back into the city and investing there, whereas 10 years ago people were looking for property outside the city. HOW DOES THE HOMEBUYER ENSURE THEY’RE MAKING A SECURE INVESTMENT? By buying into a growing neighbourhood, investors will be able to unlock great value over a shorter period – as the area develops, so the value of the investment grows. This rate of growth is faster than it is in established neighbourhoods. WHAT FEATURES AND FACILITIES MAKE FOR AN EASY SELL? Great design in terms of facilities has been a strong selling point for apartments in Maboneng. Propertuity collaborates with well-known architects and artists on its developments. Another selling point is the community aspect. Residents here are part of a connected infrastructure – they are surrounded by theatres, coffee shops and restaurants, and they can work in the neighbourhood. Maboneng’s big focus on security is also a drawcard. ANY OTHER TRENDS IN TERMS OF WHAT HOMEBUYERS WANT? Currently, people are after convenience and technology. Fibre has become the norm.

RE_Oct2017_Trend.KvR.indd 24

HOW HAS THIS DEMAND CHANGED IN RECENT YEARS? Homebuyers tend to be overwhelmed by the sheer range of choices, as well as the prospect of having to appoint architects and builders, and make decisions about finishes. So in narrowing it down for them we offer convenience. We partner with well-known architects to draw up the plans. The buyer gets the house with a garden made, the braai built, even the washing line installed. No extras, no hidden costs. HOW DOES THE HOMEBUYER ENSURE THEY’RE MAKING A SECURE INVESTMENT? The property crash of 2008–2009 has made people do their homework now. The finances and minutes of estate homeowners’ associations are scrutinised, and so they should be. If the finances are in good health, if the property has a good location close to schools and amenities, and if all the infrastructure is in place, a buyer is halfway there. WHAT FEATURES AND FACILITIES MAKE FOR AN EASY SELL? For Val de Vie, security is our number-one priority. Lifestyle is important, as well as a sense of community. World-class facilities also help. ANY OTHER TRENDS IN TERMS OF WHAT HOMEBUYERS WANT? Sustainability is massive.

WHAT TYPES OF DEVELOPMENTS ARE MOST IN DEMAND? In Cape Town, City Bowl developments with good rental potential are becoming in line with the Atlantic Seaboard, but there’s still room for growth from an investment point of view. Smaller units with group amenities are great, because people can delegate the maintenance but still have access to facilities like a gym and a swimming pool. Hotel-type services or living above a hotel is the next wave. HOW HAS THIS DEMAND CHANGED IN RECENT YEARS? Size used to be paramount. These days it’s more about accessibility and proximity to amenities. It’s cheaper to have fewer square metres and rent a storeroom for the surf board and golf clubs. HOW DOES THE HOMEBUYER ENSURE THEY’RE MAKING A SECURE INVESTMENT? Who you buy from is important: Do they have a good track record and experience in developing the type of building you’re interested in? Are they aware of international design trends? WHAT FEATURES AND FACILITIES MAKE FOR AN EASY SELL? Hotel-type amenities are the next level up: valet parking, a concierge, and a wellequipped and -maintained leisure centre – not just a puddle and one treadmill. ANY OTHER TRENDS IN TERMS OF WHAT HOMEBUYERS WANT? A well-appointed kitchen with an island, if there is room, is always in demand. Indirect lighting through concealed LEDs and central air conditioning are also plusses.

19/09/2017 11:41


TRENDS

LIOR VAN EMBDEN SALES AND MARKETING MANAGER, BLOK WHAT TYPES OF DEVELOPMENTS ARE MOST IN DEMAND? Within our space, which is urban apartments, we see a variety of demand: from the space-smart studios right up to urban family homes. Across this spectrum, buyers are looking for a decent amount of outside space (private or shared), a view wherever possible and security. HOW HAS THIS DEMAND CHANGED IN RECENT YEARS? With property prices continuing to rise in Cape Town, we are seeing a lot of pressure being put on affordability. We are trying various things in response, such as compact apartments that challenge space on a design level. We are experiencing an influx of buyers from the rest of

the country as demand for Western Cape property continues to rise. HOW DOES THE HOMEBUYER ENSURE THEY’RE MAKING A SECURE INVESTMENT? There are a few things for buyers to consider when buying off-plan specifically. First, who they are buying from. Buying a product that doesn’t exist yet requires trust in the developer, so an excellent track record is essential. Second, whether or not you plan to live in the home yourself, ask the questions, “Does the design make sense?” and “Does the building have all the desired amenities?” Not every apartment will tick all the boxes, but make sure it ticks the important ones. WHAT FEATURES AND FACILITIES MAKE FOR AN EASY SELL? If I had to narrow it down to the single most important aspect of a great

apartment compared to a good apartment, it would come down to layout and design. Finishes can be changed over time, but the layout, the flow of an apartment, is a lot more difficult to change. As we always say, good design negates the need for more space. Then there are other factors that are growing in importance as we urbanise, such as walkability of your neighbourhood. ANY OTHER TRENDS IN TERMS OF WHAT HOMEBUYERS WANT? In apartment living, we have seen a trend toward duality of spaces. When you don’t have a room per function, spaces need to double up to deliver more functionality. We are also seeing the rise in popularity of shared spaces within a building. Apartment dwellers understand that if you cannot afford a large apartment, you need to look at your building (and neighbourhood) as an extension of your personal space.

MICHELLE CERRUTI SECTOR MANAGER, SAINT-GOBAIN WHAT TYPES OF DEVELOPMENTS ARE MOST IN DEMAND? Homebuyers are looking for properties that offer flexibility (in how the space is used), efficiency (in terms of how it runs) and safety. With Stand 47 and now Stand 51 we’ve done extensive research and incorporated all these elements with the aim of designing a house that answers all a homeowner’s needs. HOW HAS THIS DEMAND CHANGED IN RECENT YEARS? More than ever before, the cost of living day to day, over time, in a house is as important a consideration as the initial purchase price. Would-be buyers are taking into account the running costs of a house, such as energy and water. WHAT FEATURES AND FACILITIES MAKE FOR AN EASY SELL? I think this is affected in large part by how futureproof the property is. Is the house or apartment designed for longevity, for flexibility as a family grows, and for the wherewithal to incorporate green systems? ANY OTHER TRENDS IN TERMS OF WHAT HOMEBUYERS WANT? The fact that the way people work is becoming more flexible means that many people want to be able to work from home, so having a room or a space that can double as a study is a factor.

estatemagazine.com OCTOBER 2017 25

RE_Oct2017_Trend.KvR.indd 25

19/09/2017 11:41


TRENDS

LAURIE WENER SENIOR EXECUTIVE FOR DEVELOPMENTS, CAPE REGION, PAM GOLDING PROPERTIES WHAT TRENDS ARE YOU NOTICING IN TERMS OF HOMEBUYERS’ PRIORITIES? There is an appetite for modern design and good use of space, integrated appliances, air conditioning, energy-saving green systems and cutting-edge security. New apartment blocks in metropolitan areas are in demand, as they benefit from having a mixed-use aspect with a retail component. WHAT’S THE MOST COMMONLY ASKED-FOR FEATURE WHEN PEOPLE ARE LOOKING FOR A HOME? Gated estates with sectional title apartments and small- to medium-sized gardens are popular, because they offer security, lower utility costs and shared maintenance. Apartment buildings that offer adequate secure parking are always hot. WHAT IS THE SINGLE MOST VALUABLE INVESTMENT YOU CAN MAKE IN YOUR PROPERTY? High on the list is general good maintenance, a quality kitchen and bathrooms, and good security.

CAROL REYNOLDS NORTH DURBAN AREA PRINCIPAL, PAM GOLDING PROPERTIES

AGENTS

CRAIG HUTCHISON CEO, SOUTHERN AFRICA, ENGEL & VÖLKERS WHAT TRENDS ARE YOU NOTICING IN TERMS OF HOMEBUYERS’ PRIORITIES? For any buyer, price will always be the first priority. These days, buyers are more informed and do their own research before they buy. This has resulted in sellers having to be more realistic with their asking price. The second priority and most commonly asked question relates to the security of the area.

WHAT IS THE SINGLE MOST VALUABLE INVESTMENT YOU CAN MAKE IN YOUR PROPERTY? Focus on home improvements that will offer a higher return on investment. Renovating the kitchen or garden, for example, is a lower-cost renovation, but could add more value to your home than, for example, installing a swimming pool.

26

RE_Oct2017_Trend.KvR.indd 26

OCTOBER 2017

WHAT TRENDS ARE YOU NOTICING IN TERMS OF HOMEBUYERS’ PRIORITIES? The market is very price sensitive at the moment, so pricing is the first priority, followed by security and lifestyle. Lifestyle factors include convenience and proximity to schools, business hubs and general amenities. WHAT’S THE MOST COMMONLY ASKED-FOR FEATURE WHEN PEOPLE ARE LOOKING FOR A HOME? As far as features go, would-be buyers enquire about en-suite bathrooms, undercover outdoor living areas, good indoor-outdoor flow, level gardens and, in Durban, most of our clients expect air conditioning. Double garages are also important, and clients generally prefer that the bedrooms are on the same level – we find it more challenging to sell homes where the bedrooms are split across two levels. WHAT IS THE SINGLE MOST VALUABLE INVESTMENT YOU CAN MAKE IN YOUR PROPERTY? Painting a house works wonders. Thereafter, if you have the money, modernising the kitchen and bathrooms, and creating good flow and open-plan living.

RUPERT FINNEMORE GAUTENG REGIONAL MD, PAM GOLDING PROPERTIES WHAT TRENDS ARE YOU NOTICING IN TERMS OF HOMEBUYERS’ PRIORITIES? Flexibility. Rooms with more than one purpose are a huge selling point, for example, a loft room that can be an additional bedroom or a study. WHAT IS THE SINGLE MOST VALUABLE INVESTMENT YOU CAN MAKE IN YOUR PROPERTY? For many buyers, a modern, practical kitchen and a well-designed bathroom are non-negotiables, so updating these spaces adds immeasurably to the appeal and value of your home.

PIERRE GERMISHUYS MD, SEEFF WINELANDS/BOLAND WHAT TRENDS ARE YOU NOTICING IN TERMS OF HOMEBUYERS’ PRIORITIES? The demand for lifestyle and especially golf estates such as Boschenmeer (Paarl) and De Zalze (Stellenbosch) will continue to outstrip supply as people look for the opportunity to enjoy an outdoor lifestyle but in a secure environment.

BILLY RAUTENBACH SALES DIRECTOR, SEEFF ATLANTIC SEABOARD & CITY BOWL WHAT TRENDS ARE YOU NOTICING IN TERMS OF HOMEBUYERS’ PRIORITIES? Land scarcity in areas like the Cape Town CBD and Atlantic Seaboard is resulting in an increase in high-density developments. And with these, proximity and walkability to lifestyle centres, nightlife and places of work are big drivers of demand.

SAMUEL SEEFF CHAIRMAN, SEEFF WHAT IS THE SINGLE MOST VALUABLE INVESTMENT YOU CAN MAKE IN YOUR PROPERTY? Location. Iconic locations such as the Atlantic Seaboard will continue to see property value growth that outstrips the rest of the country – high demand and land shortage will mean that status-conscious wealthy buyers will be prepared to pay ever-higher prices for properties here.

estatemagazine.com

19/09/2017 11:41


PROPERTY INSIGHT

INVESTING IN THE WESTERN CAPE Property in and around ape Town holds definite appeal for buyers. These e perts from ew effen Sotheby’s International Realty explain why

LEW GEFFEN

CLAUDE MCKIRBY

CHRIS CILLIERS

Chairman, Lew Geffen Sotheby’s International Realty

Director, Southern Suburbs

CEO, Winelands

WHY INVEST IN THE SOUTHERN SUBURBS? The return on investment is on par with the best areas in the country. There is limited stock due to the geographic limitations and reasonably constant demand, resulting in ever-increasing prices. There are a number of good schools and tertiary institutions nearby, which adds to the attraction. Kirstenbosch National Botanical Garden and Newlands Stadium are nearby, as are other attractions in Cape Town and the peninsula.

WHAT TYPE OF PROPERTY IS MOST POPULAR HERE? Estate properties are particularly popular with Gauteng clients. Val de Vie Lifestyle Estate, for instance, includes property offerings from lock-up-and-go units to a retirement village. There is still a strong demand from families for conventional residential properties in the Winelands due to the excellent schools.

WHAT MAKES THE ATLANTIC SEABOARD ATTRACTIVE? Over the past 30 years, the growth on the Atlantic Seaboard has been exponential compared with other parts of the country, partly due to its unique setting. At least 3% to 4% of all sales are to overseas buyers so prices are steadily increasing. While the odd recession leads to stagnation, buying in this area is one of the best investments you can make. WHAT KIND OF PROPERTY SHOULD INVESTORS CONSIDER? It’s tricky to prescribe a specific investment – it has to suit many pockets – but sectional title units for the lock-up-and-go community and properties with commanding views and privacy are the most popular. WHAT DOES R3 MILLION BUY YOU HERE? You can buy three garages in Clifton or a decent twobedroom, 90m2 sectional title unit in Sea Point. WHAT IS THE RETURN ON THIS INVESTMENT? The return on investment (ROI) is amazing, depending on the time frame. Between 2008 and 2012, the recession diminished the ROI to a large extent, but the floodgates opened between 2012 and 2017. I would say, on average, the ROI has been approximately 20% per year, every year after 2012. IS THE BUY-TO-LET MARKET SATURATED? The demand for Atlantic Seaboard property is so strong that, despite the current recession, there is still a shortage of properties.

WHO INVESTS HERE? It varies from parents buying an apartment for their school-leaving children to more mature people buying into a retirement estate. The area is popular with young families due to the good schools. WHAT IS AVAILABLE FOR R3 MILLION? It could vary from a three-bedroom cottage to a more modern three-bedroom home to a two- or three-bedroom apartment, depending on the area. WHAT IS THE ROI? For an owner-occupied property, the ROI on the full purchase price would typically vary somewhere between 6% and 12% per annum in present market conditions. This return can increase significantly if an older property is refurbished over time. If a property is purchased purely to let out, the annual rental return before tax could be anywhere from 5% to 10% of the full purchase price. This depends on the purchase price and location, over and above the capital appreciation above.

WHAT WILL R3 MILLION BUY AN INVESTOR? On larger estates, there are no more properties at this price, unless an investor is looking for a vacant building stand. In Paarl, there are some properties available in the suburbs, however they would mostly need renovation. In Stellenbosch, there are almost no properties in the traditional suburbs. Houses at this level would mainly be found in higher density developments such as Welgevonden or Nooitgedacht, or sectional title properties in the centre of Stellenbosch. WHAT IS THE ROI? The ROI in terms of rental income would generally be between 5% and 7%. However, capital growth could be between 5% and 10% per annum depending on the economy. WHAT IS THE FUTURE OF ESTATE LIVING? The demand is growing due to security requirements and the desire to be part of a community. Developers are looking at lifestyle offerings, not just security, such jogging and cycling tracks, sports facilities, restaurants and coffee bars to encourage a community and interaction among residents.

FOR MORE INFO sothebysrealty.co.za

estatemagazine.com

RE_Oct2017_Expert advice Sothebys.kw.indd 27

OCTOBER 2017 27

19/09/2017 16:39


THE PROVINCE THAT NEVER SLEEPS

The property market in the Western ape is booming, but it is not without its challenges TEXT Lauren Groenewald PHOTOGRAPHS Lisa Burnell, Cape Town Tourism, Craig Howes, iStock by Getty Images, supplied

C

ape Town’s skyline keeps shifting, growing taller as major construction projects change the face of the city. New hotels, high-rise apartment blocks and mixed-use developments as well as the renovation of existing buildings are signs of investor confidence in the other ity. ape Town, like many ma or cities in the world, is experiencing an increased demand for urban residential, commercial and lifestyle solutions. dd the in u of Gauteng and KwaZulu-Natal investors who are relocating their families and businesses to the Western ape and it is clear that this presents huge opportunities. There are also myriad challenges as demand outweighs supply, driving prices sky-high and calling for a considered approach to urban development. ape Town’s multibillion-rand property market is showing no signs of slowing. There has been investments worth more than R16 billion in 63 developments within a 1.62 km2 radius of the inner city since 2012.

28

OCTOBER 2017

RE_Oct2017_Special report.KvR.indd 28

The completion of projects currently underway and in the planning phase will push property valuations in the city to more than R30 billion in 2018, according to the entral ity Improvement istrict I . This boom is likely to continue for the foreseeable future. boom is not the same as a bubble, says arola oblit , communications manager for the I . bubble happens when overdevelopment has taken place at prices that aren’t absorbed by the market. This happened in the B during the global financial crisis of 008. fter this, a great deal of residential property became available, largely through the conversion of underused o ce blocks in the mid- 000s. This was before the demand for inner-city living kicked in. “Residential property sales only really began to take off around 0 0 , and these occurred off a low base, says arola. There was a significant escalation in property prices year-on-year between 2013 and 2015. “From 2016 to date there has been a stabilisation of market value. Property prices in the B are now falling in line with the market e pectations we predicted two years ago, says arola.

estatemagazine.com

19/09/2017 11:39


SPECIAL REPORT

A CITY ON THE RISE focused effort in urban renewal has played a significant role in generating investor confidence in ape Town. rom the beginning, more than 8 years ago, our main agenda was to turn ape Town’s B around, says Bulelwa akalima- gewana, of the ape Town Partnership. t the time, the inner city was characterised by high rental vacancies, absentee landlords and the ight of corporates to the suburbs, with new business parks springing up outside the B . The city environment was relatively uninviting in terms of cleanliness and it was unsafe. uch of this has changed thanks to the establishment of the I , set up by the ape Town Partnership in 000, says Bulelwa. The I ’s day-today mandate is to ensure that the ape Town city centre is safe, clean, caring and open for business, and that business investors know this. In a recent 0 radio interview, ob ane, chairman of the ape Town I , said the city is booming as initiatives by private-public partnerships and provincial and government bear fruit. There is currently an interesting spread of developments, from local government initiatives such as the 8 million upgrade of the rtscape Theatre entre to private sector buy-in such as the 00 million Tsogo Sun investment in two new hotels, ob says. The latter will add 0 rooms to the ape Town tourism market. In a historically divided city such as ape Town, the provision of safe and welcoming public spaces allows for conversations and connections between people from diverse backgrounds who might not otherwise come into close contact with each other, says Bulelwa. onthly events such as irst Thursdays and ity Walk provide a reason for people to come to town after hours. There’s an element of play, of being entertained. ikewise, with the annual ape Town arnival, people are encouraged to discover a different side to the city. The vision to turn ape Town into a -hour city that caters for locals and visitors has contributed to its appeal, especially for young professionals. EXPANSIVE VS EXPENSIVE ape Town is racking up the global awards, and was recently recognised as a ma or technology hub when it ranked nd among the world’s top tech cities in the Savills Tech ities 0 report, says ichard ay, Pam olding Properties’ national general manager and ape regional . lthough the city has long been regarded as one of the most beautiful to visit, these accolades show that ape Town is open for business. e notes that there are two types of cities e pansive and e pensive. In e pensive cities such as ape Town, growth is limited by geographical constraints such as the coastline and the mountain. This limited supply of land, and therefore housing opportunities, will lead to densification and ultimately to higher property prices as demand e ceeds supply. This also e plains why prices in ape Town continue to rise, relative to elsewhere in the country. In contrast, e pansive cities such as Johannesburg have greater space for growth and price in ation is more subdued. There has been a boom in developments, particularly in the ity Bowl but also in residential markets in the Southern Suburbs and on the tlantic Seaboard. In the ity Bowl, where a rapidly growing residential population is pushing up the demand for accommodation, on Bree’s 0 units, for e ample, sold out in ust two weeks, says ichard. iven the demand for a live-work-play lifestyle with the convenience of city living, the price of units in this area has spiked considerably, from about 000 m in 00 to the current average selling price of 000 m .

OPENING IMAGE The iconic view of Table Mountain from Bloubergstrand INSET TOP First Thursdays is attracting people to the Cape Town city centre once a month, when art galleries and shops remain open until late INSET BELOW The Cape Town Carnival is an annual event that involves a parade of costumed performers, musicians and floats TOP 16 on Bree is a new 36-storey residential building with features such as formal meeting rooms and hot desks, secure bicycle storage and high-speed fibre-optic connectivity ABOVE The Arum in Vredehoek is a five-storey block of 12 apartments with luxury finishes, solar geysers, air conditioning and lift access, among other premium features

estatemagazine.com

RE_Oct2017_Special report.KvR.indd 29

OCTOBER 2017

29

19/09/2017 11:39


ADDRESSING THE CHALLENGES ape Town’s tra c congestion remains a concern . billion has been allocated by ational Treasury to the ity of ape Town this financial year for prioritised y iTi routes and a rail corridor. any who work in the B spend a huge percentage of their income on transport, says ob ane. It’s a lifestyle choice, to live and play close to where you work. evelopers are seeing the demand and the vibrancy of the business hub, and they are putting residential properties onto the market. ob acknowledges that more affordable housing is needed in the city but, in a way, the B is a victim of its own success. and prices are too e pensive to put in really affordable housing. That is a reality that we need to find a way to manage and overcome, he says. Property developer Blok is actively engaged in rediscovering urban living with a number of developments on the tlantic Seaboard, in redehoek and in the Bo- aap. evelopment in a city is powerful and positive, when it is done right, says Blok managing director Jac ues van mbden. We believe that ape Town is primed for growth, as it is an e ceptional city in which to live. But it must be administered under smart and future-facing densification strategies in line with the ity’s vision for the kind of city ape Town is to become. The positives around urban development are that it brings people closer to opportunities for work and education. The challenge lies in ensuring this is done in an integrated way so that more than a privileged few can benefit. In September, the ity of ape Town announced it was setting aside council-owned land for affordable housing within km of the city centre, and invited development proposals from the private sector. It estimates that once completed the developments will benefit at least 000 lowerincome households.

THIS PAGE, TOP TO BOTTOM Green Point Park is a green space in the middle of the city with play areas and a Biodiversity Showcase Garden | A flea market is set up every day on Greenmarket Square in the city centre | Suburbs like Claremont, Newlands and Kenilworth remain popular because of easy access to the city and excellent schools OPPOSITE Forty on L in the Bo-Kaap is the first development in the Blok Raw division

30

OCTOBER 2017

RE_Oct2017_Special report.KvR.indd 30

ON AFFORDABILITY AND URBAN HOMES To address the need for more dynamic property offerings, Blok has introduced Blok aw, according to sales and marketing manager ior van mbden. This is an innovative and creative e tension of the brand aimed at introducing a new range of urban homes in a new price band and in new locations within ape Town’s growing urban centre. The concept was born out of the rapid escalation of property prices since Blok’s inception in September 0 . Woodstock, Salt iver and bservatory in particular are e panding uickly. awson evelopers has three properties in bservatory The Paragon, adison Place and The Winchester. These are located in an rban evelopment one, which entitles investors who rent out their units to claim up to of the purchase price as a ta deduction over years, says Brad organ, sales consultant for awson evelopers. There is definitely a need for higher-density living solutions in and around the city. ensification is not necessarily something to be feared, says ike reeff, of reeff hristies International eal state. The trend has already been unfolding in the central Southern Suburbs, such as laremont, ondebosch, Wynberg and enilworth. number of properties on which single residences previously e isted are now home to desirable upmarket sectional-title apartment blocks. ike attributes the stock shortages and a desire for lock-up-and-go real estate to this sector becoming one of the most valuable in the province. verage selling prices have increased by about to per annum. These new developments have actually raised the value of neighbouring real estate, and they bring much-needed income to local business. In onstantia pper, there are a number of upmarket developments offering enclaves or clusters of lu ury homes with top-end finishes in a gated and secure small estate, says ike. nd, with the current water shortages, he feels that large gardens and pools are not appealing to all buyers. Talk of imminent densification in suburbs such as onstantia means that a number of property owners are considering subdivision, in other words, capitalising on their land.

estatemagazine.com

19/09/2017 11:39


SPECIAL REPORT

v i s i on 2 4 - hou r c i ty

THE TO TURN CAPE TOWN INTO A

THAT CATERS FOR LOCALS AND VISITORS HAS CONTRIBUTED TO ITS APPEAL, ESPECIALLY AMONG YOUNG PROFESSIONALS

estatemagazine.com

RE_Oct2017_Special report.KvR.indd 31

OCTOBER 2017

31

19/09/2017 11:39


SPECIAL REPORT

CONTINUOUS CONSTRUCTION The sounds of drilling and building are constant all over Cape Town. The view from the balcony of the eighth- oor o ces of the Berman Brothers’ The Point commercial development is stunning. It’s a perfect vantage point for witnessing the changing face of the tlantic Seaboard, with scaffolding and cranes rising out from the basin. Like the inner city, Sea Point has reinvented itself, with urban renewal at the heart of its change. The high-street-and-beach destination of the 1970s and 1980s was replaced by a shadier version in the 1990s and 2000s. evelopers Saul and Paul Berman grew up in the area, and never gave up on it. They are e cited to see that Sea Point’s ain oad is once again a high street with entrepreneurs, the o o arket, restaurants and coffee shops. [ Ed ’s n o te: see o u r Q & A w ith S au l an d P au l o n p ag e 8 0 . ] The Strand Beach Sea Point apartment block on the slopes of Signal ill, with views of the tlantic cean, is Berman Brothers’ newest development. The Odyssey is situated in the bustling mini-metropolis of reen Point and Signal ill, offering the perfect balance between the natural beauty that ape Town has to offer and accessible urban living. ffordability has become an issue for many first-time buyers wanting to get into the ity Bowl and tlantic Seaboard market, says avid Sedgwick, managing director of ori on apital esidential. “It has forced many purchasers to become renters instead. I do think the market has run hard over the past three to four years, and we will see a softening of the rate at which prices have escalated. He feels that in the prime segment of the market there is continued growth and a strong demand for new stock that meets all the requirements. The demand is driving an increase in the development of luxury and boutique apartment blocks catering for cash buyers from Johannesburg and Durban. These investors are looking for a second quality investment property in Cape Town to hedge against the Joburg and Durban markets.

the tlantic Seaboard, ity Bowl and out Bay. Buyers with money will pay more than the perceived value because they won’t be able to buy it again, with the increasing popularity of ape Town property. ichard sees apartment living growing in popularity, but feels developers will be challenged to make their developments unique and better than the last to meet increasing expectations.

POPULAR SUBURBS “The strongest house price growth in the second quarter of this year was on the tlantic Seaboard . and in the ity Bowl . . This growth appears to have peaked in both areas as affordability is becoming an issue for prospective buyers, says ichard ay of Pam olding Properties. Basil oraitis, Pam olding Properties’ area manager for the tlantic Seaboard, stresses the importance of being guided by free-market principles of supply and demand. “Should the market price of property not be in line with demand, then prices will ad ust, he says. rowth will continue for as long as buyers seek to ac uire the properties on offer. If the market re ects the pricing, it will ad ust accordingly. There are some incredibly special properties in the ity Bowl and on the tlantic Seaboard, says ichard ardie, night rank manager for

COUNTRY LIVING nnien Borg, Pam olding Properties’ area manager for the Boland and verberg, says ew World Wealth has identified the Paarl, ranschhoek and Stellenbosch region as one of the fastest-growing in the country in terms of private wealth creation over the past decade. It is estimated that about 3 000 high-net-worth individuals – those with a net worth of more than million about million and more live in this area. It’s not surprising that the demand for secure estate living in the heart of the Winelands is significant. ver a decade up to June 0 , al de ie and Boschenmeer estates have seen the price of freehold houses increase by about 0 . al de ie has retained its position as the top residential estate for the second year running in “The top 10 residential estates in South frica report, published by ew World Wealth in association with fr sia Bank. The report attributes the rating to the estate’s beautiful vineyards, polo fields, highly rated golf course, natural fynbos, parks, lakes and mountain backdrops. ver the past five years, commercial property prices in the Winelands have increased above the in ation rate, with an active market seeing values increase by up to 15% per annum. ew effen, chairman of ew effen Sotheby’s International ealty, believes there are currently few better property investments in South Africa than Winelands commercial space. And Detlef Struck, commercial property specialist for ew effen Sotheby’s International ealty in Stellenbosch and Somerset West, says, “Stellenbosch has a higher concentration of retail and o ce space, with only a couple of light industrial buildings on the outskirts of town. Demand is especially high in the historical town centre, with little stock currently available. Annien says the continued migration of South Africans to the Western Cape is bolstering the housing market not only in the Cape Town metro but even in coastal towns from the West oast to the arden oute. There’s been massive growth in the property market outside of Cape Town, particularly the northern suburbs of Durbanville and Welgemoed, where investment offers considerable value for money. These areas are popular with buyers looking for a safe environment with the attractions of the Winelands and access to excellent schools, yet still close to Cape Town. All this indicates that the Western Cape has become a desirable destination for property investors, with the other ity at its core.

The strongest house price growth in the second quarter of this year was on the Atlantic Seaboard (29.9%) and in the City Bowl (21.1%)

Wine farms such as Groot Constantia inform the history and feel of the suburb of Constantia, where the residential property market is experiencing stock shortages

29.9%

32

OCTOBER 2017

RE_Oct2017_Special report.KvR.indd 32

21.1%

estatemagazine.com

19/09/2017 11:39


PROPERTY INSIGHT

CITY HIGH LIFE Three specialists from Tyson Properties give their insight into the popularity of Cape Town’s CBD and Atlantic Seaboard

CHRIS TYSON

NICK PEARSON

JAYSON SPRAWSON

Managing director, Tyson Properties South Africa

Managing member, Atlantic Seaboard and City Bowl, Cape Town

Developments director, Western Cape

WHO INVESTS IN THE CBD AND ATLANTIC SEABOARD? A mix of people: some are investors looking to capitalise on the shortage of property in this area, some are young professionals looking to rent, others have relocated, been transferred or offered new employment. Head office relocation has also played a significant role. This is easier with technology advancements; many CEOs can now work anywhere and most choose Cape Town. There has also been an uptick in overseas investors who see Cape Town as exceptional value for money and view its future positively. Retirement to the Cape has also increased.

HOW HAS THE PROFILE OF INVESTORS CHANGED OVER THE YEARS? There has been a steady increase in buyers from other major cities in South Africa, predominantly Johannesburg and Durban. We have also seen the rise of diverse homeowners buying into the middle and upper sector of the market. We experience a range of clients: a mix of Capetonians, investors from up north and some international buyers. Mostly we work with those at the height of their careers.

WHY ARE THEY BUYING THESE PROPERTIES? Some investors see it as a long-term personal-use opportunity. Others are simply trying to get into market before it becomes internationally competitive. IS RESIDENTIAL OR COMMERCIAL MORE POPULAR? Commercial investors normally attract high cost transactions so the majority of our clients are residential investors looking for their first investment or to grow their portfolio. WHERE TO NEXT? We had an amazing year in 2016/2017 – the company grew by an astonishing 49%. Our Cape Town offices played a significant part in this growth with the region now contributing more than 30% of our national revenue. We have another two offices opening this year and a further two next year.

WHAT IS MOST IMPORTANT FOR BUYERS? Traditionally it’s location, location, location, however view and lifestyle are also top of our clients’ priority list. WHAT WAS THE HIGHEST PRICE A PROPERTY FETCHED IN THIS AREA? We recently sold an R80 million apartment in Clifton, the most expensive sectional title sale ever achieved in the area at the time. WHAT MAKES IT SPECIAL? Its exclusive position, with direct access to Clifton 1st Beach. ARE THERE STILL BARGAINS IN THESE AREAS? Absolutely, there is money to be made in both developments and renovations. However, it takes a while before people wrap their heads around the price per square metre. Buyers need to be brave and have a good understanding of the market because even the smallest investments start at about R2 million.

HOW IS THE CITY’S SKYLINE GOING TO CHANGE IN THE NEXT COUPLE OF YEARS? Cape Town’s Atlantic Seaboard, City Bowl and Foreshore is fast becoming the Monaco of Africa. Densification is a reality so you will see more architecturally impressive high-rise buildings jutting into the Cape Town skyline. WHAT IS THE MOST SOUGHT-AFTER PROPERTY TYPE IN THE CITY CENTRE? Investors search for modern apartments to use when they visit Cape Town. These must ideally be in a development that allows short-term letting so that it can generate an income for the client when it is not being used. ANY TIPS FOR INVESTING IN COMMERCIAL PROPERTY? A first-time buyer should seek advice from a property broker who has the client’s best interests at heart. Research your new environment thoroughly. It is standard practice to insert a clause into your sale agreement contract which gives the purchaser the right to perform a proper due diligence within a reasonably acceptable period. Make sure you seek good council on what a proper due diligence should entail. WHO BUYS IN THE CITY? Investors looking to make a great return through short-term rental incomes and long-term capital growth as well as young professionals and entrepreneurs who want to live, work and play in the Cape Town city centre and Foreshore.

FOR MORE INFO tysonprop.co.za, 031 583 2700 or 021 434 0615

estatemagazine.com

RE_Oct2017_Expert advice Tyson.kw.indd 33

OCTOBER 2017

33

19/09/2017 11:32



L U X U R Y R E S I D E N T I A L E S TAT E S

THE RISE AND

RISE When it comes to high-end residential estates as prime property investments, the industry agrees the demand hasn’t agged, and the offerings are constantly being both fine-tuned and broadened TEXT Anne Schauffer PHOTOGRAPHS Leånne Stander Photography, supplied

estatemagazine.com

RE_October_ Luxury estates_KvR.indd 35

OCTOBER 2017

35

19/09/2017 11:43


L U X U R Y R E S I D E N T I A L E S TAT E S

E

state living is one of the fastest-growing trends in the South African property sector, especially among upper-income earners who can afford the lifestyle and security that gated residential estates offer, says Samuel Seeff, chairman of Seeff. n the whole, they’ve proven to be excellent investments with above-average appreciation over the past few years, with growth of 0 to 0 , typically. nd it’s not ust about sales, he says. entals, too, re ect the demand. Security estates rank among the most sought-after rental properties, and tend to fetch rentals at the upper end of the scale, typically in the 0 000 to 80 000 a month range for top-end estates. ccording to Jeff ilmour, of the ssociation of esidential ommunities, The organised residential community market is worth trillion, and it represents 0 of the total residential property value in

00

OCTOBER 2017

RE_October_ Luxury estates_KvR.indd 36

the country. e prefers the term organised residential communities to estates , simply because of the wide variety of such housing developments. South frica is one of the global pioneers in residential estate living, says ndrew moils, head of research at ew World Wealth. In fact, the only country with more residential estates is the S . Interestingly, residential estates are now becoming increasingly popular across the globe, especially in the likes of the nited rab mirates, Portugal, Spain, e ico, ew ealand, auritius and the nited ingdom. It’s also clear that South frica’s generic gated residential estate is become increasingly more fine-tuned, to the point where they’re now targeted at niche markets They include wildlife, golf, e uestrian and parkland, in other words, themed estates, says ndrew. ew World Wealth’s latest research indicates that trends in this residential space over the past year include a rise in demand for retirement villages in particular but also wildlife estates, and a move away from traditional golf estates.

estatemagazine.com

19/09/2017 11:43


BACK TO NATURE “Situated on a wetland”, “in a conservancy”, “indigenous planting” and “boardwalks” – copywriting around luxury estates is increasingly focusing on the natural environment as a primary lure for prospective homeowners, and although security still tops the motivation list for estate living, there’s an ever-growing wish for breathing space, land, nature, a natural outlook, birdlife and a healthy outdoor lifestyle. In other words, living on a luxury estate is no longer only driven by concerns around security, but increasingly a desire for a lifestyle not unlike village living, which goes beyond the undoubted pleasure and peace of mind of watching your children playing safely out in the streets. As Andrew Amoils of New World Wealth notes, “Many developers are now creating small neighbourhoods within estates, as opposed to the old model where houses were spaced evenly around the property. This new model allows for more parkland and open spaces between the neighbourhoods.” Some of these estates are towns rather than villages. In choosing its top local residential estates for 2017 (see “The top 10 residential estates in South Africa” on page 38), New World Wealth looked at design and space; communal gardens and parks; maintenance; location; security features; views, scenery and wildlife; activities – gym, swimming pool, golf, horse riding, polo, tennis and facilities shops, o ces, parks, gathering places, playgrounds, schools, hospitals. Analysing the list, it’s clear there’s a strong leaning towards surroundings and environment, and a lifestyle that eliminates most reasons to leave your home environs.

IT TAKES A VILLAGE Communities within communities. Villages within villages, some for retirees, others for young families. This serves a dual purpose aside from Andrew’s suggestion about village clusters freeing up land for open spaces: If a village is designed for different sectors of the market, the natural demographic of young and old makes life more “real”, like in a typical village or town. And it allows residents to move house within a community in which they’re happy, with the bonus from the estate’s perspective of retaining and recycling buyers. When talking about what makes an estate a superb investment, there are many factors at play, not all of them envisaged at the outset. There’s little doubt that the long-term vision of developers plays a significant role in sustaining and increasing value in top estates, and has brought a new generation of investors and buyers into the market. When the estate’s offering doesn’t remain static but responds to contemporary needs, younger or older buyers see the emergence of aspects of a lifestyle that appeals to them and fits their needs such as retirement components within established estates, or developments like the vast new Sibaya Coastal Precinct at Umdloti north of Durban. Retirees countrywide were asked what they wanted via a comprehensive online campaign run by ainmaker arketing for Tongaat ulett evelopments. The findings were compiled and international models were examined, and a product was created that directly answers retirees’ current needs.

OPENING IMAGE ON PAGE 33 Arabella Country Estate is located on the Bot River Lagoon and features numerous dams OPPOSITE Security is a priority at Val de Vie – it has won an award for Safest House in Africa for its Polo House CLOCKWISE FROM TOP LEFT Dainfern Estate, established in 1992, has grown to include more than 1 200 homes | Steyn City has play and recreational nodes, including a skate park | OceanDune is one of the developments at Sibaya on the KZN North Coast | Val de Vie is located on the banks of the Berg River, and on the estate there are lakes stocked with fish

estatemagazine.com

RE_October_ Luxury estates_KvR.indd 37

OCTOBER 2017

37

19/09/2017 11:43


L U X U R Y R E S I D E N T I A L E S TAT E S

LONG-TERM VISION Some of the first residential estates in South frica, built in the early 0s, are ancourt, rinvale, ainfern and Steenberg. Some of these rate in the top 0 estates today proof of the importance of long-term vision of developers, and the ability of current management to move with the times. Take rinvale olf state in the ape Winelands. avid olley of Seeff in Somerset West says that prices in rinvale have been on the rise, and agents have observed a massive leap in sales values the average home price escalated by from . million in 0 to . million in 0 . irk ys, estate manager at rabella ountry state, and ike Bisset of Pam olding Properties consider rabella a good e ample of this rabella’s approach has succeeded in keeping the estate up to date and relevant, rather than old and fuddy-duddy. The focus on youth and outdoor activities has attracted a number of young professionals and families with children. The recent opening of access to the lagoon and installing fibre are other e amples. rom an investment perspective, it works. house sold for . million in ctober 0 less than two years later, in June 0 , the spruced-up property resold for . million. KEEPING UP WITH THE TIMES hanges in and around an estate can have an impact on the value. Take the long-awaited road infrastructure upgrades around ount dgecombe ountry state in mhlanga, wa ulu- atal, which will putting aside the years of tra c frustration dramatically improve the estate’s accessibility, elevating its position to one of the most conveniently placed lu ury estates in the province. r al de ie’s ac uisition of Pearl alley olf ountry state ne t door, which amplified the lifestyle offering to the material benefit of all residents. With new or e panding lu ury estates becoming more tightly niched,

prospective homeowners have an e citing range of options. ook at wa ulu- atal’s prestigious imbali oastal esort at Ballito, which, by dint of its sensational location, offers distinctly different ecosystems in which to live, yet all residents can access golf, beach or bush. n the ip side, even if an estate is an e uestrian one like ooikloof in Pretoria ast or a wildlife one like e ane ifestyle, uni uely fenced into ruger ational Park and with a 0 km river frontage, residents still want and get many other lifestyle bells and whistles. The demand is high for themed estates, as osa Willers and omini ue ochoff, Seeff’s agents for ooikloof state, point out ightstone data shows transactions recorded here for last year. We’re seeing an increased demand for lu ury homes in the estate, priced around the 0 million mark. With the almost limitless ability to work away from the o ce, the concept of escaping the city for the country is a very real option. ing obson is Pam olding Properties’ area principal in nysna and Plettenberg Bay. s has always been the case here, prospective retirees are still purchasing homes for retirement later, but increasingly, she says, So many people want to get away from the cities, pollution, crime and a lack of environmental awareness, and we’re working with a number of developers who are designing state-ofthe-art eco-friendly buildings. The arden oute lifestyle is something uite uni ue, and it provides the appealing cocktail of beaches, nature, great schools and more. ing is seeing an increase in international buyers who seem discontented with uropean politics. Sales in the nysna Plettenberg Bay area since ay 0 have totalled more than 0 million for units about . million as an average sale. Three of these sales were in Pe ula olf state. f the buyers, eight were local, seven were from Johannesburg, five were from ape Town, one was from wa ulu- atal and one from the astern ape, three were from Belgium and one was from the .

WHERE THE RICH ARE BUYING HOMES

Source: The Wealth Report 2017, published by Knight Frank

Paarl George Franschhoek

Mossel Bay

Wilderness Knysna

Plettenberg Bay The Hamptons Miami Palm Beach

Stellenbosch Kleinmond

St Tropez

United Kingdom Germany Switzerland United States France The Gulf Nigeria

Hermanus Stanford

Cape Town

Sydney

Johannesburg Cape Town

Gansbaai

The Paarl/Franschhoek/Stellenbosch triangle is the fastest-growing South African area for high-networth individuals (HNWIs), with the number rising by 48% during the review period (2006 to 2016).

The Garden Route and the Whale Coast also had high figures, mainly due to the trend of retiring HNWIs moving there.

Cape Town is one of the top 20 second-home hot spots in the world for multimillionaires (along with the likes of Sydney, St Tropez, Miami, The Hamptons and Palm Beach).

Most of the wealthy people with second homes in Cape Town are from Johannesburg, the USA, the UK, Germany, Switzerland, France, Nigeria and the Gulf.

OPPOSITE, CLOCKWISE FROM TOP Arabella Country Estate near Kleinmond has started to attract younger professionals and families with children | Mooikloof is an equestrian estate in the eastern suburbs of Pretoria | Steyn City in Johannesburg has a training centre where people from local communities are equipped with the skills needed to work on-site | Mjejane Lifestyle is situated between the Kruger National Park’s Malelane and Crocodile Bridge gates

38

OCTOBER 2017

RE_October_ Luxury estates_KvR.indd 38

estatemagazine.com

19/09/2017 11:43


GIVING BACK Worldwide, there’s been a clear trend of philanthropy becoming more important to the wealthy. So says the Knight Frank Wealth Report 2017. It’s a little more complex than that, but, in short, in South Africa many of the established high-end estates have extensive community participation programmes, bursaries, schooling, and numerous other supportive initiatives, either officially or unofficially. Arabella Country Estate is part of the Arabella Community Trust, and Val de Vie has the Val de Vie Foundation, which Ryk Neethling believes can serve as a blueprint for other developers: “We allocate 1% of the total developer sales to our foundation, which has exceeded R20 million in two years; 5% of the levy income also goes there. We are changing not only this valley with the luxury property investors we are attracting but also the surrounding communities.” Lee-Anne Saunders and Tammy Rose are Seeff agents for Boschenmeer Golf Estate in Paarl: “The estate supports a number of charities, including the Dream Community charity, which helps underprivileged children and orphans. It also supports the Drakenstein Municipality with initiatives aimed at empowering and uplifting underprivileged local communities.” At Steyn City, CEO Giuseppe Plumari believes purchasers value the lifestyle resort’s nurturing ethos. Steyn City’s Delivering Happiness to Diepsloot initiative delivers backpacks filled with stationery and food to more than 10 000 Diepsloot primary school learners annually: “Our labour desk has created 13 000 new jobs, and we continue to upskill participants at our skills centre. We have also provided a boost for local artists through a training programme under the auspices of sculptor Charles Gotthard, honing their skills and giving them a new voice and platform to showcase land art.”

estatemagazine.com

RE_October_ Luxury estates_KvR.indd 39

OCTOBER 2017

39

19/09/2017 11:43


L U X U R Y R E S I D E N T I A L E S TAT E S

IT’S STILL ABOUT LOCATION The yearning of many prospective estate homeowners to live close to nature makes buying in some estates an investment in more than just a lifestyle. Arabella Country Estate is set within the Kogelberg Biosphere Reserve. “The properties within this estate hold massive appreciation potential right from the outset, purely by being situated in a natural biosphere,” say Dirk Uys and Mike Bisset. “Arabella appreciates over time without requiring hands-on labour and additional financial contributions, purely by the coastal land on which it is built, which in itself raises the appreciation bar of every single property on the estate. Whereas inland estates and their enclosed properties need internal and external structural upgrades to add value and render higher returns on investment and potential profits, rabella and the residential properties within it increase in value as the protected environment grows in value.” Val de Vie in Paarl retained its title as top residential estate in the 2017 ratings by New World Wealth. Marketing director Ryk Neethling talks about ingredients needed for an excellent investment: “We’ve seen since 2008 that most secondary residences have struggled – with the exception of a few very prime locations – which is why I believe the old truism about location as the most important element. Location close to good schools, amenities, an international airport and so on. Security and good infrastructure also matter, of course, and in multiple surveys our residents have confirmed security as their number-one priority. But al de ie offers more than that, he says. We also offer financial security for their investment. unicipalities often cannot deliver basic services, and estates fulfil a lot of these roles, especially if you have economies of scale – as we have currently, with 2 000 levy payers.” Rupert Finnemore heads up Pam Golding Properties in Gauteng, home to about half of South Africa’s estates: “Estate homes tend to be more expensive

than freehold properties, but they also give residents greater control over community expenditure and development. Residential property within popular estates represents a solid investment.” Commenting on the Val de Vie rental market, Ryk says, “It’s very strong, so we have a lot of people building in order to rent, and they’ve done well. We have also seen some investors buying stands – especially some of our larger products – and reselling after a year or two for healthy returns. Most of these investors are local.” What kind of returns are investors getting in these luxury residential estates? “At Val de Vie in 2012,” says Ryk, “you could buy an 800 m stand for R480 000 – today, it would be R2.5 million. House prices have moved from an average of R15 000m2 in 2012 to R25 000m2 today. Rental yields have shown a similar increase.” Steyn City moved up from fourth place to second on the New World Wealth residential rankings. Giuseppe Plumari is the CEO of Steyn City Properties Steyn ity’s prime differentiator is the fact that all investment in amenities (totalling R6.5 billion) was made upfront, so potential purchasers could see what their future homes would look like, rather than waiting to see if the developers lived up to their promises. This makes it a secure investment. “Early buyers who bought at launch date, March 2015, have seen appreciation of their land value by 20% to 30%. One stand purchased for R2.2 million sold for R3.6 million in 2017. ifestyle, that’s what differentiates organised residential communities, as Jeff ilmour calls them. s they continue to add world-class schools, international hotels, o ce facilities, retail, small-scale farming, cycling tracks and the finest security money can buy, it becomes absolutely clear why buying into the right luxury estate in the right location is a smart investment, financially and in every other respect.

THE TOP 10 RESIDENTIAL ESTATES IN SOUTH AFRICA

1

2 Val de Vie Paarl Western Cape

7

6 Steenberg, Cape Town, Western Cape

40

Steyn City Johannesburg, Gauteng

OCTOBER 2017

RE_October_ Luxury estates_KvR.indd 40

Mjejane Lifestyle Malelane, Mpumalanga

3 Zimbali Ballito, KwaZulu-Natal

8

4

Source: 2017 Wealth Report, published by New World Wealth in association with AfrAsia Bank

5

Waterfall Equestrian Estate Midrand, Gauteng

Fancourt George, Western Cape

9

10

Waterfall Hills Retirement Estate Whalerock Ridge Midrand, Gauteng Plettenberg Bay, Western Cape

Fransche Hoek Franschhoek, Western Cape

estatemagazine.com

19/09/2017 11:43


L U X U R Y R E S I D E N T I A L E S TAT E S

WHAT ULTRA-HIGH-NET-WORTH INDIVIDUALS WANT IN A HOME In The Wealth Report 2017, James Roberts, Knight Frank’s chief economist, identifies the key global trends that will shape prime residential property markets in 2017 and beyond, and identifies the most important factors for ultra-highnet-worth individuals (UHNWIs) when choosing somewhere to live:

8.2 7.5 7.4 7.1

8.2 7.7 7.1

6.8

Lifestyle Personal security Safe haven for capital Education for children Opportunity for capital appreciation Health care Access to transport links Business reasons Source: The Wealth Report 2017, published by Knight Frank

RIGHT Sibaya Coastal Precinct on the KZN North Coast has a range of residential developments

SHIFTING PERCEPTIONS. DRIVING ASPIRATIONS.

YOUR PROPERTY DEVELOPMENT PARTNER

Undertaking groundbreaking developments and driving investment in infrastructure and services, Tongaat Hulett is helping to realise the vast commercial, industrial, retail, leisure and residential potential in the primary growth corridors of KwaZulu-Natal. www.thdev.co.za RE50023

RE_October_ Luxury estates_KvR.indd 41

19/09/2017 11:43


Sitari_Real_Estate_Mag_261_DPS_1.pdf

C

M

Y

CM

MY

CY

CMY

K

1

2017/09/14

09:17:45 AM


Sitari_Real_Estate_Mag_261_DPS_2.pdf

C

M

Y

CM

MY

CY

CMY

K

2

2017/09/14

02:03:57 PM


RETIREMENT FOCUS

PERSPECTIVES ON

RETIREMENT We look at the ownership options, facilities and price ranges of seven retirement estates across the country TEXT Georgina Guedes PHOTOGRAPHS iStock by Getty Images, supplied

44 OCTOBER 2017

RE_Oct2017_Retirement focus_KvR.indd 44

estatemagazine.com

19/09/2017 11:37


RETIREMENT ESTATE OWNERSHIP OPTIONS When you decide to buy into a retirement community, you need to know what exactly you’re getting for your money. Old Mutual Wealth unpacks the different ownership models:

FREEHOLD n The resident owns the unit or cottage in the retirement village. n The owner may sell the property or transfer the ownership. n Selling the unit may result in giving up some of the resale price to the developer.

SHARE BLOCK SCHEME n The retiree owns a share in the company that owns the retirement village. n A sale agreement is still required. Transfer duty and conveyancing fees are paid. n The shareholder plays a role in the management of the scheme. n Shareholders are not liable for the debts of the company. n Financial institutions may not offer finance to buy into such a scheme, as there is no security against the loan.

LIFE RIGHT n The buyer has a legal right to occupy the property for the duration of his or her life, but there is no ownership of the unit. n The monthly levies are usually lower. n There are no transfer duties, VAT or bond registration fees. n On termination of the life right to occupation, by death or by moving away, the owner of the retirement village can resell it. Once sold, the client or the client’s estate will receive the original purchase price plus a percentage of the net profit, which is agreed to at the time of purchase.

99-YEAR LEASE n A 99-year lease, as applies to properties on Waterfall Estate between Pretoria and Johannesburg, has less to do with general retirement ownership options and more to do with the rules around a particular piece of land. The lease can be extended an infinite number of times.

estatemagazine.com

RE_Oct2017_Retirement focus_KvR.indd 45

OCTOBER 2017

45

19/09/2017 11:37


RETIREMENT FOCUS

TOKAI ESTATE CAPE TOWN, WESTERN CAPE This retirement estate, which falls under Faircare, the retirement arm of the Faircape Group, is situated at the foot of Constantiaberg. It overlooks a greenbelt, has views towards Silvermine Reserve and the back of Table ountain, and offers easy access to the M3 expressway. tok ai es tate. c o. z a TYPE OF OWNERSHIP The estate functions under a life right business model. The minimum age to buy into the estate is 60, although owners may let their properties to people who fall under the age specification in the first five years of ownership. PRICE RANGE A three-bedroom house with a private garden is priced from R4.5 million to R4.9 million. FEATURES AND AMENITIES The estate has sourced services, including ironing and gardening, and provides residents with a digital television service, intercoms, phones and security systems. Wooden boardwalks wind around the water’s edge, and there are landscaped parks and communal green spaces. There is a coffee shop, restaurant, gym, indoor heated swimming pool, library, multipurpose movie and games room, meeting rooms, a concierge service, central post boxes and scheduled shopping trips. Security features include surveillance cameras. HEALTH CARE ER24 provides 24-hour medical support, and there is a 60-bed, fully accredited facility offering respite care, palliative care and dementia care. ome-based care is also offered.

RE_Oct2017_Retirement focus_KvR.indd 46

EVERGREEN MUIZENBERG CAPE TOWN, WESTERN CAPE This retirement village is close to Muizenberg Beach and all major amenities in a part of the Cape Peninsula known for its artistic communities and outdoor lifestyle. Nature lovers will enjoy walks along a boardwalk in a lush indigenous garden with benches, on the beach, and in Steenberg and Silvermine reserves. ev erg reen l i fes ty l e. c o. z a TYPE OF OWNERSHIP The life right business model applies. PRICE RANGE Houses in the estate are currently sold out, but apartments are available, priced from R1 million for a unit with one bedroom and one bathroom, and R1.5 million for a unit with two bedrooms and two bathrooms. FEATURES AND AMENITIES Because of the life right model, all exterior upkeep is taken care of by the developer. Residents have access to a lifestyle centre with a gym, indoor heated pool, TV lounge, reading lounge, deck, bar and bistro. The estate is wheelchair-friendly and pets are permitted. Security features include a boundary wall with an electric fence, a single access point manned 24 hours a day, 24-hour patrols, CCTV cameras, and emergency buttons in every home. HEALTH CARE The health-care centre offers -hour medical response as well as primary health care, frail care and dementia care.

ZEVENWACHT LIFESTYLE ESTATE KUILS RIVER, WESTERN CAPE Comprising two entities, Zevenwacht Lifestyle Homes and Zevenwacht Assisted Living, this retirement village is situated next to Zevenwacht Wine Estate. On the 200-year-old wine farm are amenities such as a hotel, restaurant and spa. z ev en w ac htl i fes ty l e- es tate. c o. z a TYPE OF OWNERSHIP Sectional title apartments and freehold “Lifestyle Homes”. PRICE RANGE Prices start from R949 900 for a one-bedroom independent living apartment and R3 199 900 for a spacious house. FEATURES AND AMENITIES The estate has a clubhouse and library, and a dedicated management agent is there to assist residents with services such as hairdressing and housekeeping. The estate offers -hour security with access control, number-plate recognition and electric fencing. It is located close to golf courses, bowling greens, shopping centres and wine farms. HEALTH CARE The Care Centre in Zevenwacht Assisted iving offers -hour nursing, prepared meals, housekeeping and recuperative care. The estate is close to hospitals such as Netcare Kuils River and Mediclinic Stellenbosch, and to medical practitioners’ consulting rooms.

19/09/2017 11:37


RETIREMENT FOCUS

ROB ROY RETIREMENT VILLAGE BOTHA’S HILL, KWAZULU-NATAL The iconic Rob Roy Hotel in Botha’s Hill, outside Hillcrest, was converted into a retirement village, retaining the hotel’s grandeur. It overlooks the sweeping panorama of the Valley of a Thousand Hills. rob roy l i fes ty l ev i l l ag es . c o. z a TYPE OF OWNERSHIP The life right business model applies. PRICE RANGE There are oneand two-bedroom apartments, as well as freestanding houses. Prices start from R875 000 for an apartment and R2.8 million for a freestanding house. FEATURES AND AMENITIES There are two lounges, a residents’ dining room, an in-house pub, a community centre, a 97-seater auditorium, a card room and snooker lounge, indoor heated pool, bowling green, gym, walking paths, children’s play area and libraries. The village also has a shop and hairdresser, laundry facilities, private indoor postboxes, car-wash facilities and two generators. Security features include a single CCTV-monitored access control point, an electric fence alarm system and roundthe-clock patrols. HEALTH CARE The village has a fully equipped care centre and offers an assisted-living programme, and there are doctors’ consulting rooms and hospitals nearby.

MOUNT EDGECOMBE RETIREMENT VILLAGE GREATER UMHLANGA AREA, KWAZULU-NATAL Phase 1 of Mount Edgecombe Retirement Village, located within Kindlewood Estate, has recently launched. The village has joined the Retire KZN initiative, which promotes retirement in the province as delivering a high quality of life at affordable rates. The village is targeted at over-50s. m erv . c o. z a TYPE OF OWNERSHIP Sectional title scheme. PRICE RANGE One-, two- and three-bedroom maisonettes and a limited number of freestanding houses are available. Prices range from R2.5 million for a one-bedroom maisonette to R4.5 million for a three-bedroom house. Because buyers are the original purchasers at this stage, no transfer duty is payable. FEATURES AND AMENITIES Residents enjoy unlimited use of the facilities in the village and in Kindlewood Estate, such as a swimming pool and restaurant. Residents have full access to the recreational facilities at Mount Edgecombe Country Club. Active residents can also enjoy the benefits of a wetland park with walking and jogging paths. The village is a securely gated development with electrified perimeter fencing, surveillance cameras, gate monitoring and perimeter patrolling. HEALTH CARE World-class health- and frail-care facilities and services are offered, with comprehensive access to care by TotalCare.

ORCHID PLACE HOUGHTON, JOHANNESBURG, GAUTENG Orchid Place is one of nine Flower Foundation retirement villages in Johannesburg. Residents live independently in cottages, and must be able to care and cater for themselves. Orchid Place is suitable for younger retirees who are active and independent, and want to be near clubs and shopping centres. The spacious cottages are set in tranquil surroundings. flower.org.za/orchid-place TYPE OF OWNERSHIP The life right model applies. Units are for sale and there is a nonrefundable entrance fee of R12 000. When a resident vacates a unit, it is refurbished at the resident’s cost and resold. A percentage of the selling price is refunded to the resident, ranging from 70% to 50%, depending on the length of time he or she lived there. PRICE RANGE A two-bedroom cottage sells for R2.08 million and a three-bedroom cottage for R2.55 million. FEATURES AND AMENITIES The levy includes a domestic and garden service. There are lockup garages for each cottage and ample parking space for visitors. The village is close to Rosebank Mall, and a community centre is available for meetings and socials. The perimeter is secured and a manager and matron are always on call. HEALTH CARE There is a weekly wellness clinic.

WATERFALL HILLS MATURE LIFESTYLE ESTATE SUNNINGHILL, MIDRAND, GAUTENG This retirement estate offers 198 luxury freestanding houses from one to three bedrooms, 55 one- and two-bedroom apartments, and penthouse suites in Waterfall Manor. w aterfal l - es tate. c o. z a TYPE OF OWNERSHIP Available on a 99-year lease. PRICE RANGE Prices start at R1.6 million for a one-bedroom apartment, and range up to R3.5 million and R4 million for a two-bedroom house. In the neighbouring Waterfall Valley Mature Lifestyle Estate, there are three-bedroom houses available for R4.9 million. FEATURES AND AMENITIES The estate offers tennis, bowls, croquet, chipping and putting greens for golfers, walking trails, and a fully equipped gym with a lap pool. There is also a movie theatre, horticultural centre, hairdresser, health spa, arts and crafts studio, coffee shop, newsagent and deli, dining room and bar. Pets are allowed. The estate offers stateof-the-art security measures. HEALTH CARE There is a 30-bed assisted-living facility, a 30-bed frail-care facility and a medical doctor on site. The estate is also close to leading hospitals.

estatemagazine.com

RE_Oct2017_Retirement focus_KvR.indd 47

OCTOBER 2017

47

19/09/2017 11:37



A AD DV VE ER RT TO OR R II A A LL

THE HIGH LIFE De Plattekloof Lifestyle Estate, a collection of elite homes and apartments outside ape Town, offers modern-day living for over- 0s

D

emand for De Plattekloof Lifestyle Estate has steadily been increasing. Its views of Table Mountain, security and range of facilities and property options are some of the drawcards for buyers. In the first 30 days after its launch, sales reached R56 million, increasing to R114 million after 120 days. “This indicates that our objective to be one of the most prestigious and desirable estates for over-50s in the Western Cape is hitting the mark,” says Johan Loubscher, director of Arun Lifestyle, whose project this is. Arun Lifestyle is backed by Arun Holdings and Old Mutual. “In addition, the estate’s location on the cusp of the northern suburbs means that it is attracting buyers from greater Cape Town and the northern suburbs.” THE INVESTMENT OPTIONS Three different types of properties are available: 106 assisted living suites, 98 independent living apartments and 57 high-end homes, with designer finishes and appliances such as Smeg. Construction is already well underway. A fully furnished show apartment and a scale model of the development are available for viewing. The main gatehouse to the estate is also nearly complete. ASSISTED LIVING Due for completion in November/December this year, Tijgerzicht includes studios and one- and two-bedroom assisted living suites which, depending on the floor level, offer beautiful views of the gardens, the slopes of Tygerberg Nature Reserve, Table Mountain and the coastline from Fish Hoek to Bloubergstrand. These suites are equipped with a 24-hour emergency call system. Residents have the opportunity to enjoy the privacy of their own apartments or interact with fellow residents in the five-star lounge and communal dining area. Tijgerzicht suites feature high-quality finishes and are priced from R1 203 000 including transfer duty. The facility also includes a 12-bed frail-care section.

INDEPENDENT LIVING The first blocks of two-bedroom luxury apartments for independent living, Bloemendal (25% sold) and Lebenstijn (50% sold), are both available for viewing and ready for occupation in October. These apartments are priced from R2 250 000 including transfer duty and are popular with those wanting a lock-up-and-go lifestyle or who wish to downscale. There are a range of optional services available. Each apartment is more than 70m2 in extent, excluding a 6.13m2 balcony or patio, and includes exclusive parking bays. HIGH-END HOMES The first phase of 15 modern and spacious homes are available to purchase off-plan from R3 627 000 including transfer duty. These homes feature impeccable finishes and two or three bedrooms, and range from 129m2 to 169m2. Buyers can choose from a selection of designer finishes to personalise their homes, which are designed in the Cape vernacular, and are inspired by the natural beauty of the surroundings and positioned for maximum exposure to sunlight and views. LIVING WELL Healthcare options are tailor-made to individual circumstances and needs. “De Plattekloof Lifestyle Estate’s on-site healthcare facility is another major drawcard. This includes a clinic, 24-hour nursing and other healthcare services offered by Medwell SA,” says Johan. The estate clubhouse will offer function facilities and activities such as bridge, music, hiking clubs and cinema and theatre nights, both on and off the premises. There is also a restaurant, bar, library, hair and beauty salon, coffee shop, fibre-optic internet connection and a golf cart shuttle service. “We cover all the requirements of modern living for the over-50s in a remarkable setting with breathtaking views and superior amenities,” says Johan. “This has no doubt been reflected in the remarkable sales to date.”

FOR MORE INFO Phone Dawid Prinsloo on 060 960 0100, email live@deplattekloof.co.za or arrange a viewing via deplattekloof.co.za

estatemagazine.com

RE_Oct2017_De Plattekloof_advertorial.kw.indd 49

OCTOBER 2017 49

19/09/2017 11:30


COMMERCIAL PROPERTY INVESTMENT

GOING

COMMERCIAL ommercial property still offers good returns for the savvy investor and developer, say those in the know TEXT Georgina Guedes PHOTOGRAPHS Liza du Plessis, Anton Scholtz, Nazreen Essack, iStock by Getty Images, supplied

00

OCTOBER 2017

estatemagazine.com

RE_Oct2017_Commercial property investment_KvR.indd 50

19/09/2017 11:28


COMMERCIAL PROPERTY INVESTMENT

T

here are still great commercial property investment deals to be had, despite fears about South Africa’s political and economic situation. The opportunities are out there, says Norman Raad, CEO of Broll Auctions and Sales. In fact, the current uncertainty has created a buyer’s market – promising good returns for the astute investor with a long-term view. Norman says the current economic situation in South Africa recalls those of 1998, 2001 and 2009, when everyone was talking about an economic slump and threatening to jump the investment ship. “But at the time those with the smart money were buying, looking for opportunities and making savvy property acquisitions, whereas the pessimists were panicking and selling. If you have the ability to raise money to invest in property, you will look back and en oy the profits of the challenges in the market we face today. “My advice for prospective investors,” says Norman, “is to focus on the position and quality of the property – well-positioned properties will always be in demand.”

DEMAND FOR STUDENT HOUSING It is up to the investor to identify opportunities. One such example is the growing demand for student accommodation in South Africa’s major university cities. “A large number of investors are currently looking for suitable commercial property that can be used for student accommodation around the University of KwaZulu-Natal and Durban University of Technology, or at least close to major transport routes,” says Michelle Burger, Pam Golding Properties Area Principal in Durban. As there is a high demand for accommodation, she says investors who can ac uire a block of ats at a marketrelated price would realise great returns. Of course, she says, managing student accommodation has its drawbacks, but these would be limited to unpaid rent, vacancy concerns during holidays and constant, significant maintenance issues. Her advice for making this kind of investment is to prioritise location and to add value to the property – do not just expect a reasonable return on your initial purchase. “Do your research well and work with an agent that knows the area inside out,” she says.

OPENING IMAGE Durban has a number of tertiary education institutions and a high demand for student housing LEFT The University of KwaZulu-Natal’s Howard College Campus is in Glenwood ABOVE The suburb of Bruma is centrally positioned in the Greater Johannesburg Metropolitan Area

estatemagazine.com

RE_Oct2017_Commercial property investment_KvR.indd 51

OCTOBER 2017 51

19/09/2017 11:28


COMMERCIAL PROPERTY INVESTMENT

ABOVE, LEFT AND RIGHT Cape Town’s City Bowl and Atlantic Seaboard result in good returns on property investment, both commercial and residential OPPOSITE TOP The Newtown Junction mixed-use development, which has won several excellence awards, has brought new life to the Johannesburg CBD OPPOSITE BOTTOM The Kyalami– Midrand–Woodmead triangle is a growing commercial and residential node in Gauteng

52

OCTOBER 2017

MIXED-USE IN THE CAPE TOWN CBD uy riedberg, a commercial property consultant with Seeff Properties on the tlantic Seaboard and in the City Bowl, says that acquiring properties with mixed-use zoning is in demand, especially in the Cape Town CBD and surrounding suburbs. Properties with mi ed-use oning that allow for conversion to residential are attractive due to the high demand for irbnb properties, he says. e adds that commercial properties with retail space in business nodes with high foot tra c and relatively easy access to parking offer the best prospects. nd there is a high demand for sites for development opportunities and e isting buildings that offer an upside in terms of bulk, especially on the tlantic Seaboard and in the B . The redevelopment of the ape Town B and surrounds was also highlighted by night rank South frica. Woodstock received a special mention in the company’s Wealth eport 0 , which provides a global perspective on investment and property , rubbing shoulders with ondon’s ayfair and ancock Park in os ngeles. Situated on the slopes of Table ountain, this is the last remaining inner-city area available for redevelopment, states the Wealth eport. It benefits from an rban evelopment Ta Incentive scheme that encourages urban renewal through private-sector investment. mi ed-use area, Woodstock features warehouses, loft conversions, new apartment blocks and a mi of freestanding and semidetached homes, many of them ictorian.

estatemagazine.com

RE_Oct2017_Commercial property investment_KvR.indd 52

19/09/2017 11:28


THE REST OF THE JOBURG CBD HAS ALSO SEEN IMPROVEMENT, FROM FIXED-UP STREETS TO NEW

s hop p i n g c en tres

SUCH AS NEWTOWN JUNCTION MALL INVENTIVE OFFICE SPACE t this point, investing in o ce space should be carefully considered, as many buildings have vacancies. Today’s business sector is facing headwinds, with increased costs across the board, so downsi ing and chasing more affordable rentals will be the trend for the ne t three to five years, says orman. The creative investor can still generate returns from o ce space, he says, possibly with a residential conversion or creating storage facilities. any people are moving away from large homes into smaller apartments that don’t come with e cess space, so there is a growing demand for secure storage space in close pro imity to residential suburbs. ost o ce buildings or comple es offer this and can easily be converted. s with any other type of investment, the greater the risk, the greater the potential reward. Wouldbe investors should look for ways to add value or do something new with a property to realise its full potential.

JOBURG CBD ON THE UP Braamfontein in Johannesburg also offers great investment potential, admittedly off a lower base. ccording to Byron ornish, a licensee of Seeff in the Johannesburg B , the gentrification of Braamfontein has been a massive success, and more young professionals would move there in a heartbeat if there wasn’t such a shortage of suitable accommodation. e says that the biggest change in Braamfontein has been on the commercial front, where many new shops, restaurants and bars as well as the eighbourgoods arket have all opened in recent years. In the past there were maybe one or two restaurants and bars that you could fre uent, but now you can park in the middle of Braamfontein and walk down any street and find many places to choose from. This, in turn, adds to the vibe and increases the demand for small businesses to move back to the area . The rest of the Joburg B has also seen improvement, from fi ed-up streets to new shopping centres such as ewtown Junction all. Byron adds that the massive drive for tech companies and innovation hubs to move to the B is accompanied by the aesthetic improvement of the area and a stronger emphasis on security. ntil new developments geared towards young professionals are built, this will remain a mostly student area, as this is where investors are getting their returns of up to .

RE_Oct2017_Commercial property investment_KvR.indd 53

19/09/2017 11:29


ADVERTORIAL

THE POWER OF

PROPERTY Increasingly, investors are looking for alternative options offering higher returns, such as these three popular UK asset classes

SHORT-TERM LETS In recent years, the serviced apartment – a subsector of the hospitality industry – has grown more than any other temporary accommodation category. The evidence of their popularity lies in occupancy rates. In the UK, serviced apartments – essentially a fully furnished flat which is available to let – averaged an 81% occupancy rate in 2016, and outperformed hotel rooms (77.2%). This can, in part, be attributed to globalisation: workers need to travel more frequently to offices out of town, so companies look for less expensive ways to accommodate them. The appeal of the UK serviced apartment investment is clear. They are around 15% to 30% cheaper than hotel rooms, offer more space and can be used on a longer-term basis if required. One such development is Sir Thomas in Liverpool’s city centre. Its prime location allows tourists to navigate the city and its attractions with ease, and it’s close to train stations and bus stops. Studio apartments are available to buy for R1.4 million (£84 262) and are fully managed with a net yield of 8% for two years, providing an excellent rand hedge and steady income of R112 000 per annum. Perhaps a previously unconsidered benefit of Brexit and the subsequent fall in the pound’s value is that Britain is now more affordable for tourists. According to Liverpool City Region, the city welcomed 62 million visitors last year and the economy is now worth £4.3 billion. In the UK, it is the fifth most visited destination for overseas tourists, and hotel occupancy grew by almost 2%. The usage of serviced apartments increased the most (6.4%), which indicates that tourists are opting for more flexible accommodation.

RE_Oct2017_OneTouch_advertorial.kw.indd 54

19/09/2017 11:35


STUDENT PROPERTY Another asset class to benefit from the falling pound is student accommodation. The UK has been a longtime favourite for students studying abroad and features 18 of the top 100 universities globally. The UK student property sector has been the darling of investment and pension funds. Over the past two years institutional investors have ploughed in £5.4 billion and £3.5 billion respectively. Perhaps the fact that it has the lowest vacancy rate – typically just 1% – and an annuity-style income is appealing. Oakwood House in Sheffield is one such investment, close to both the University of Sheffield and Sheffield Hallam University. Furthermore, the town’s major attractions, pubs and shopping facilities are a short walk or tram ride away, which allows students to experience the essence of the city. Each room includes an en-suite bathroom. According to Knight Frank, students spend more than £160 per week on their accommodation if it offers these sort of features. Units in Oakwood House can be purchased for less than R1 million (£59 950) and the developer is offering a net yield of 8% guaranteed for three years.

RETIREMENT PROPERTY Retirement investments offer high annual returns of 10%, ideal for overseas investors because an onsite management company operates the retirement village and leases the property back for a period of 10 years. The complete day-to-day running is the operator’s responsibility and they also conduct the maintenance and refurbishment. Retirement properties are profitable because they cater to the needs of wealthy self-paying guests who are looking for luxurious homes with expansive grounds, social activities and a community feel. These types of retirement homes are in desirable spots, such as southwest England, the warmest part of the country. The areas are attractive to retirees seeking a temperate climate, idyllic countryside and a slower pace of life. The Isle of Wight, an island off the south coast of England, is another such location. The Isle has the second highest proportion of over-50s (45%), and is set to rise to 51% by 2029 according to research by the British Broadcasting Corporation. To accommodate the increase in the number of over-50s living in the Isle of Wight, a seaside hotel is being converted to create a luxury living community. Ocean View Sandown is situated on Sandown seafront, and offers fine dining experiences, a heated swimming pool, hair and beauty salons, a gym, spa and beautiful landscaped gardens. The existing 96-bed hotel will be transformed into 60 studios and apartments, and will offer a mix of supported breaks, short and longer stays. Suites at Ocean View Sandown start from R1.48 million (£89 950) with a net return of 10% per annum over a 10-year lease. The attractive returns are complemented with a clear exist strategy: there are two buy-back options after five or 10 years at 110% and 125% respectively.

One Touch Property is a London-based company that provides UK property investment advice to South Africans seeking high yield investments that will allow them to achieve their financial goals and act as an income-producing rand hedge. The team visits South Africa every three months, to meet existing clients.

FOR MORE INFO +44 (0)203 709 4275; onetouchinvestment.co.uk

www.realestatemagazine.co.za

RE_Oct2017_OneTouch_advertorial.kw.indd 55

OCTOBER 2017

55

19/09/2017 11:35


MOVING WITH THE TIMES Forget pension funds and private equities. Increasingly, the most valuable asset in the portfolios of wealthy South Africans is a second passport TEXT Jocelyn Warrington PHOTOGRAPHS Henley & Partners, Pam Golding Properties, iStock by Getty Images

G

lobal wealth migration is accelerating. According to New World Wealth’s Global Wealth Migration Review 2017, about 82 000 millionaires migrated in 2016, compared with 64 000 in 2015. Millionaires – or high-networth individuals (HNWIs) – are those with a net asset of $1 million (almost R13 million) or more, excluding their primary residence. ccording to the latest data from investment-migration firm Henley & Partners, acquiring an alternative nationality has become a $2.4 billion per year industry, with several thousand HNWIs around the globe seeking a second, or even third, citizenship every year. Africa’s wealthy are no exception. New World Wealth’s Africa Wealth Report 2017 puts the number of African HNWIs who at the end of 2016 owned a second home in another country at 34%. Popular cities for such homes included London (at approximately $41 500/m2 for a 200m2 apartment in the prime part of the city), New York (at $33 000/m2 for the same), Sydney ($20 800/m2) and Melbourne ($15 000/m2). Millionaire volumes in South Africa, which is home to more than 40% of the continent’s HNWIs, making it the largest market in Africa, are expected to reach 42 300 by the end of the year, up from 38 500 at the beginning of 2016. This number could have been considerably higher, according to ew World Wealth, were it not for the significant number of HNWIs leaving the country. Based on its Global Wealth Migration Review 2017, this marketresearch firm estimates that South frica lost nearly 000 millionaires to emigration in 2016. According to the survey, the top reason HNWIs left the country was economic uncertainty, followed closely by the

RE_Oct2017_Emigration.kw.indd 56

inability to deal with changing social dynamics in the country and concerns for their children’s future. Considering the global appetite for alternative nationality, it’s hardly surprising, then, that the number of residence and citizenship-byinvestment programmes is proliferating, with a further slew to be announced in 2018. “Recent European reforms mean that, for example, the Cyprus citi enship-by-investment programme now offers more affordable access to the EU, with the minimum investment reduced to €2 million,” says Nigel Barnes, managing partner at Henley & Partners. “Investment options have been restructured, and now include the choice to invest in real estate or development land. “Also in Europe, applications for the Malta residence and visa programmes opened last year. This gives individuals the right to reside, settle and stay indefinitely in alta, with free movement of travel within the Schengen zone.” Elsewhere, in the Caribbean, Grenada’s citizenship-by-investment programme has recently been reformed, igel says. It now offers visafree travel to all major countries and double taxation treaties with the Caribbean Community (CARICOM) countries and the UK, as well as an E-2 Investor Visa Treaty, giving successful applicants the right to enter, live, work and stay in the US. Importantly, in the context of continued rising demand for overseas property, the fact that such schemes offer property as an investment route is a powerful draw, Nigel notes. Here is our annual round-up of the top destinations for South Africa’s wealthy, with a focus on those offering residence or citi enship by way of investment.

19/09/2017 11:31


GLOBAL INVESTMENT

01 UNITED KINGDOM

02 UNITED STATES

RESIDENCE AND CITIZENSHIP Citizens of countries outside the EEA and Switzerland can apply for a Tier 1 (Investor) visa, which allows applicants to reside in the UK for three years and four months. For those who wish to set up or run a business in the UK, the Tier 1 (Entrepreneur) visa requires a smaller investment and grants applicants the same residence rights.

RESIDENCE AND CITIZENSHIP The EB-5 Regional Center Program offers overseas citizens the opportunity to qualify for permanent US residency (a green card). There are 10 000 EB-5 immigrant visas available annually, of which 3 000 are set aside for foreign nationals who invest in regional centers designated by the United States Citizenship and Immigration Services based on proposals for promoting economic growth.

INVESTMENT CRITERIA For the Investor visa, you need to invest £2 million or more in UK government bonds, share capital or loan capital in active and trading UK registered companies, excluding businesses mainly engaged in property investment, management or development. For the Entrepreneur visa, you need £50 000 to set up or take over one or more companies. HOW IT WORKS The Investor visa allows you to live, work and study in the UK for its validity period. The visa can be extended for a further two years and you can apply to settle indefinitely in the UK after two years (with an investment of £10 million) or three years (£5 million). The Entrepreneur visa grants the same duration of stay and can also be extended for two or three years. Applicants can apply for indefinite leave to remain after five years. PROPERTY London house prices slowed sharply in the second quarter of 2017, rising at their weakest rate in five years, according to Nationwide Building Society. Figures from the Council of Mortgage Lenders show that sales to landlords have almost halved over the past year. As a result, the body, which represents UK banks and building societies, cut its forecast for 2017 and 2018 buy-to-let lending in June this year. EDUCATION According to the QS World University Rankings for 2017, four of the world’s 10 best universities are located in the country and, for universityindustry collaboration, the UK ranks in the top five globally. “Currency, quality of life and access to the best universities are the key trends boosting demand for a British education,” says Ed Richardson, director of Keystone Tutors. TAXATION Tax residents are subject to normal UK tax laws, but those who keep their assets separate prior to settling in the UK can be taxed on a non-domicile basis. It is advisable to speak to a tax consultant. FOR MORE INFORMATION gov.uk/visas-immigration

INVESTMENT CRITERIA “Each EB-5 investor must create 10 direct or indirect permanent jobs for US workers to obtain a green card,” says Lisa Czepek, client advisor at citizenship-planning firm Henley & Partners. “Investments in areas with an unemployment rate of at least 150% of the national average rate qualify with a minimum of $500 000. For investments in other areas, the minimum is $1 million.” HOW IT WORKS There are no language, business or education requirements for EB-5 applicants. The investor, his or her spouse and unmarried children under the age of 21 are eligible to apply for a green card. Residents must not live outside the US for one year or more, unless they have a re-entry permit. PROPERTY After five years of strong house price growth, the US market remains robust. That said, New York had its challenges in 2016. The strong US dollar negated some overseas interest and new luxury projects helped inflate supply, says Kate Everett-Allen, Knight Frank’s head of international residential research. But, while volumes slowed, prices have proved resilient. EDUCATION Six of the top 10 universities in the 2016–2017 Times Higher Education World University Rankings are American. The US also offers high standards of free primary and secondary state schooling. TAXATION EB-5 investors are generally non-resident aliens (NRAs) until they are permanent residents. Thanks to a dual tax treaty between South Africa and the US, NRAs – foreigners who’re present in the US for fewer than 183 days per year – pay 30% tax on US-sourced income that is not connected to a US trade or business. Foreigners are, however, generally not taxed on capital gains from US sources, says Jacob Stein, partner at Klueger & Stein. FOR MORE INFORMATION americaregionalcenter.com/index.php; uscis.gov

estatemagazine.com

RE_Oct2017_Emigration.kw.indd 57

OCTOBER 2017 57

19/09/2017 11:31


GLOBAL INVESTMENT

03 MALTA

04 AUSTRALIA (RESIDENCY & CITIZENSHIP)

RESIDENCE AND CITIZENSHIP The Malta Individual Investor Programme requires an economic contribution to the country. In exchange, applicants and their families are granted full citizenship to a stable EU country. A Maltese passport grants you visa-free travel to more than 167 countries. INVESTMENT CRITERIA Applicants must contribute a non-refundable €650 000 to the National Development and Social Fund. An additional contribution of €25 000 is required for a spouse and for each child under the age of 18. In addition, you must either purchase residential property in Malta with a minimum value of €350 000, which must be held for five years, or lease a residential property for at least €16 000 per annum for five years. The property cannot be let during this period. Alternatively, applicants can invest €150 000 in a prescribed investment, which must also be held for five years. HOW IT WORKS Applicants must have been a legal resident of Malta for one year prior to being issued with a certificate of naturalisation. This does not necessarily mean you are required to live in the country during that period. The passport is issued within two years from the date of application. PROPERTY The Maltese property market remains one of the most resilient in Europe. “Property prices increased by 8.4% at the end of 2016, which was even steeper than the 5.5% recorded between June and September of the same year,” says Chris Immelman, MD of Pam Golding Properties’ International Division. Chris adds that the island’s tourism appeal continues to impact the surge in property demand.

RESIDENCE AND CITIZENSHIP There are three main streams of visa class within the Business Innovation and Investment category: the Investor Visa, the Significant Investor Visa and the Premium Investor Visa. INVESTMENT CRITERIA For an Investor Visa, at least A$1.5 million invested in a state or territory government security, held for four years. The Significant Investor Visa requires a four-year investment of A$5 million, split between startups and small private companies, emerging listed companies and various approved assets, including commercial property. The Premium Investor Visa can only be obtained via nomination by Austrade on behalf of the government and requires a one-year investment of at least A$15 million in complying options, from bonds or notes to philanthropic concerns. HOW IT WORKS The Investor Visa grants the applicant temporary residence in Australia, which can be converted to permanent residence once the investment has matured, provided he or she has lived in Australia for two years. The Significant Investor Visa is a four-year temporary visa but the applicant need only spend 40 days per year in the country to obtain permanent residence when the investment matures. The Premium Investor Visa must be held for one year before applying for permanent residence. PROPERTY Property prices in Australia’s capital cities have increased by an average of 11% over the past year. Most of that growth has come from Sydney and Melbourne, which gained about 15% each. Australia’s AAA-rated economy is forecast to realise average annual GDP growth of 2.9% until at least 2020.

EDUCATION As a former British colony, Maltese state schools are based on the British education system. All children between four and 16 years have the right to free education in state schools. About 30% of students attend private schools and there are three international schools. The University of Malta is the highest educational institution and is the oldest university in Europe.

EDUCATION Australia spends 5.3% of its GDP on education, according to the 2016 United Nations Human Development Report, and, at 20.4 years, the average duration of schooling is one of the longest in the world. Australia ranks 10th in the Universitas 2017 U21 Ranking of National Higher Education Systems, above even Germany and Japan.

TAXATION Only individuals who are resident and domiciled in Malta pay income tax on their worldwide income. Personal revenue is taxed at progressive rates of up to 35%.

TAXATION Foreign residents are taxed in Australia on income earned from their Australian investments. Residence status determines the level of tax you will pay.

FOR MORE INFORMATION foreignaffairs.gov.mt

RE_Oct2017_Emigration.kw.indd 58

FOR MORE INFORMATION border.gov.au; mara.gov.au

19/09/2017 11:31


05 PORTUGAL

RESIDENCE AND CITIZENSHIP The Portugal Golden Residence Permit Program is a five-year investment-based residence process for non-EU nationals. The permit allows free movement in the Schengen area and requires an average stay of 35 days in Portugal over this period (a single processmotivated visit is feasible), which can count towards citizenship after six years. INVESTMENT CRITERIA The Golden Residence Permit Program offers three qualifying investment routes, which must be maintained for a minimum of five years to obtain residency. The capital investment options range from €250 000 to €1 million. The most affordable route is an investment to support the country’s national cultural heritage. There are also a number of real estate options. The minimum investment is €350 000 if you are planning to refurbish a property older than 30 years or invest in an area of urban regeneration. The business investment option grants residency should entrepreneurs create at least 10 new jobs in the country. HOW IT WORKS “The capital transfer option is a straightforward route and can include investments in stocks and shares,” says Henley & Partners’ managing partner Nigel Barnes. “There is also an excellent and diverse property offering.” Eligibility for naturalisation is possible after six years of residence and compliance with requirements, including some knowledge of Portuguese. PROPERTY There has been an injection of €1.56 billion in new residential investment since the inception of the Golden Residence Permit scheme in 2012, says Chris Immelman, MD of Pam Golding Properties’ International Division. Lisbon in particular has experienced a surge in property development, but still offers good value by international standards. EDUCATION The Portuguese standard of schooling is high and the country has good international schools. The University of Lisbon and the University of Porto provide tuition in English and Portuguese. TAXATION Personal tax for non-residents on Portuguese-sourced employment and pension income is 25%. Interest on rental income, dividends and capital gains is taxed at 28%.

FIT FOR A KING Situated at the top of the vibrant Alfama neighbourhood with striking city and river views, Santa Helena is Lisbon’s most iconic palace. It is now in the process of being overhauled as a luxury 21-unit apartment complex, due for completion towards the end of 2018. The one- to five-bedroom apartments, two of which will have a private pool and garden, sell for between €650 000 and €2.85 million. Besides contemporary furnishings, the apartments will include elaborate tile friezes and frescoes, and high pressed ceilings. Each has underground parking, a rarity in Alfama. pamgolding.co.za/ property-development/lisbon/ santa-helena FOR MORE INFORMATION goldenvisa-portugal.com

estatemagazine.com

RE_Oct2017_Emigration.kw.indd 59

OCTOBER 2017 59

19/09/2017 11:31


GLOBAL INVESTMENT

06 NEW ZEALAND

07 CYPRUS

RESIDENCE AND CITIZENSHIP There are two Investor business migration visas: the Investor Visa and the Investor Plus Visa. To qualify for citizenship, you must have held a residence permit for five years and have spent at least 240 days a year in New Zealand for each of those five years.

RESIDENCE AND CITIZENSHIP The Cypriot Permanent Resident Program was designed to boost the local property market. Its main requirement is the purchase of residential or commercial property or both. A fast-track application procedure of two months and a high approval rate if all criteria are satisfied are among the key advantages. Meanwhile, recently lowered capital requirements, which are 100% investment-based, and fast-track approval make Cyprus’ Citizenship-by-Investment Program attractive. Citizenship is transferable by descent.

INVESTMENT CRITERIA The Investor Visa requires a minimum of NZ$3 million to be invested for four years. For the Investor Plus Visa, applicants must invest at least NZ$10 million for a period of three years. HOW IT WORKS Acceptable investments include equity in public or private New Zealand firms or bonds issued by the New Zealand Government, local authorities or approved banks, finance companies or firms. Up to 15% of the investment total can be philanthropic. Visa holders who invest at least 50% of their funds into assets other than bonds and philanthropic investment qualify for a reduction of NZ$500 000. PROPERTY A May 2017 report by global finance company Goldman Sachs pegs the New Zealand housing market as the most overvalued among the G10 economies. It predicts a 40% chance of a housing-market bust (when house prices fall 5% or more after adjustment for inflation) in the next two years. In Auckland, the average house price has shot up 91% since 2007 to more than NZ$1 million. Data from real estate portal Trade Me Property, however, shows that the average asking price of the typical New Zealand property dropped only slightly – by 1.2% – in June to NZ$632 850. EDUCATION High-quality state schooling is free for residents and citizens. The UN Education Index consistently ranks New Zealand among the world’s best. The country’s eight universities are all on the 2017/18 QS World University Rankings. On individual subjects, the QS rankings also place New Zealand universities among the world’s top 50 for disciplines such as accounting and finance, computer science and veterinary science. TAXATION South Africa enjoys a double taxation agreement with New Zealand, which means that you’re exempt from taxes in that country if you stay for no more than 183 days in any 12-month period. FOR MORE INFORMATION immigration.govt.nz; newzealandnow.govt.nz

RE_Oct2017_Emigration.kw.indd 60

INVESTMENT CRITERIA Cypriot permanent residence requires a property investment of at least €300 000. Cyprus’ Citizenship-by-Investment Program requires a minimum capital investment of €2 million, which can be spread across real estate, land development and infrastructure projects. HOW IT WORKS Applicants of the Cypriot Permanent Resident Program may purchase up to two residential properties, or one residential unit and one shop, or one residential unit and one office, provided that the combined value exceeds €300 000. To qualify for citizenship, the primary applicant must invest at least €2 million in, for instance, the purchase or construction of property, and must own a permanent residence of at least €500 000. PROPERTY There has been a boom in the property market over the past two years, especially from foreign buyers. By the end of 2016, the island recorded a year-on-year increase of 121% in real estate sales. EDUCATION Cyprus spends more than 7% of its GDP on education, the third-highest share in the European Union after Denmark and Sweden. Its top-rate schooling system is based on those of Europe and the US. Several international colleges and universities offer dual-degree programmes fully accredited by the UK and USA partner universities. TAXATION Individuals are considered tax residents if they spend more than 183 days per year in Cyprus. Personal tax on income generated in Cyprus is taxed at progressive rates of up to 35%. Immovable property tax is levied at 0.6% to 1.9% of its value – this is calculated per owner, not per property. FOR MORE INFORMATION cyprusvisa.eu

19/09/2017 11:31


08 GRENADA

RESIDENCE AND CITIZENSHIP In terms of its visa-free access to the world’s largest consumer markets, Grenada’s citizenship-by-investment programme is unrivalled. Acquired in exchange for an investment in a government-approved asset, which can include property, Grenadian citizenship is generally granted in four months and is transferable by descent. The island nation’s citizenshipby-investment programme has the lowest capital requirement when compared with its Caribbean neighbours, St Kitts and Nevis, Antigua and Barbuda, and St Lucia. It is the only country in the region with a citizenshipby-investment programme that holds an E-2 Investor Visa treaty with the US, where citizens can apply for a non-immigrant visa to the States. INVESTMENT CRITERIA To qualify for citizenship, the main applicant must either acquire property from a government-approved real estate project for a minimum of $350 000, to be held for three years, or contribute a nonrefundable minimum of $200 000 to the National Transformation Fund (NTF). Under the property option, there is an additional flat government fee of $50 000 for the main applicant and up to three dependents. HOW IT WORKS Once an application is submitted, the Grenadian government should provide an initial answer within 60 days. For the property option, the time frame may vary depending on the project. PROPERTY Residential and commercial property has been buoyed by Grenada’s citizenship-by-investment programme. Last year, real estate transactions on the Spice Isle surpassed $50 million and, at a growth of 23%, set a new high. Foreign buyers accounted for 20% of the total property sales. EDUCATION Grenada boasts the world-class St George’s University, which offers degrees in medicine, veterinary medicine, arts, sciences and business. Its medical faculty consistently outperforms those in even the US and Canada. TAXATION The first XCD 36 000 per annum (about $13 000) is exempt, the next XCD 24 000 (about $9 000) is taxed at 15% and the excess at 30%. The flat tax rate for companies is 30%. Property transfer tax for citizens is 5% payable by the seller.

PASSPORT TO PARADISE Named after the leatherback turtle that frequents the waters around Grenada, Kimpton Kawana Bay is a new five-star resort with an enviable location on Grand Anse Beach, which is ranked in the top 30 of CNN Travel’s World’s 100 Best Beaches. Priced from $350 000, units in the development, which are for sale on a freehold condominium basis through the island’s citizenshipby-investment programme, include one-bedroom studio apartments and one- to threebedroom penthouses. The Kimpton Hotels & Restaurants group, the world’s largest boutique hotel operator, will manage the resort. pamgolding. co.za/property-development/ grenada/kimpton-kawana-bay FOR MORE INFORMATION cbi.gov.gd; caricom.org

estatemagazine.com

RE_Oct2017_Emigration.kw.indd 61

OCTOBER 2017 61

19/09/2017 11:31


GLOBAL INVESTMENT

09 MAURITIUS

10 CANADA

RESIDENCE AND CITIZENSHIP A non-Mauritian citizen is eligible for a residence permit after purchasing a residential property under the Property Development Scheme (PDS). Mauritian residence has a number of tax and lifestyle advantages, and offers citizens of the Southern African Group of Countries additional incentives, such as being able to move unlimited capital into certain real estates in Mauritius without being subject to the exchange control restrictions of the South African Reserve Bank.

RESIDENCE AND CITIZENSHIP Obtaining Canadian citizenship requires applicants to reside in Canada permanently for four years out of the six preceding the application. The Quebec Immigrant Investor Program is the only way to obtain permanent residence through passive investment.

INVESTMENT CRITERIA Where a residential property is acquired by a non-citizen under the PDS, the investment must be at least $500 000 and must be financed by the purchaser from funds outside Mauritius. HOW IT WORKS Non-citizens of Mauritius as well as their dependents can apply for a residence permit through the PDS programme. The residence permit remains in force for as long as the residential property under the scheme is held in the non-citizen’s name. The PDS project includes villas, apartments and penthouses, and the owner can rent out his or her property. PROPERTY “Several years after the government decided to open the island to wealthy foreign homebuyers, the property market continues to thrive,” says Chris Immelman, MD of Pam Golding Properties’ International Division. “Forecasts show that property prices in Mauritius are expected to increase by 40% over the next decade, making it a major player in the global property investment game.” EDUCATION As a former British colony, the Mauritian education system is largely based on the British system, with education in English. The government provides free education to its citizens from pre-primary to tertiary level. Transport for all students is free.

INVESTMENT CRITERIA Applicants must have managed or operated a qualified business for at least two of the five years preceding their application, have a net worth exceeding C$1.6 million and have an interest-free investment of C$800 000 for a period of five years (to be repaid at the end of the investment period). HOW IT WORKS Qualifying business management experience must involve some portion of the management, planning and control of the financial and human or physical/material resources side of the organisation. Quebec immigration authorities will only consider business experience while the applicant had proper work authorisation or legal status. Visa adjudicators consider factors such as age, education and language proficiency. PROPERTY Earlier this year, there were record house price growth and sales in Greater Toronto. Now, in the wake of new provincial rules meant to improve home affordability, property investors appear to be bailing. Data from the Canadian Real Estate Association released in July showed that Toronto’s housing market dropped by 33.7% compared with July last year. Sales fell by 37.7%, pushing down overall sales by 6.7% in June, the largest drop Canada’s housing market has seen in seven years. Countrywide, the average house price in Canada in June was up just 0.4% from June last year. EDUCATION State schooling is publicly funded and free to all residents. Three Canadian universities – the University of Toronto, the University of British Columbia and McGill University – are ranked in the world’s top 50.

TAXATION Mauritius is a major tax haven thanks to company and personal income tax rates set at 15%. These can be as low as 3% after allowing for tax credits through the GBC1 structure (Global Business Company – International Revenues). The island boasts double taxation agreements with 36 countries and there are no capital gains or inheritance tax on properties.

TAXATION Non-residents are only taxed on their Canadian-sourced income, whereas residents are taxed on their worldwide income. Individuals are deemed tax residents if they spend 183 days or more in the country or if they have significant personal ties (familial, economic or social) to Canada.

FOR MORE INFORMATION govmu.org; maurinet.com

FOR MORE INFORMATION cic.gc.ca

RE_Oct2017_Emigration.kw.indd 62

19/09/2017 11:31


GLOBAL CONTACTS

CANADIAN

c i ti z en s hi p CAN BE fas t- trac k ed THROUGH THE QUEBEC ENTREPRENEUR PROGRAM, WHICH LINKS APPLICANTS WITH LOCAL PRIVATE-SECTOR ORGANISATIONS Colin Singer, Canadian corporate immigration attorney

Australian Migration Specialists australianmigration.co.za Colin Singer immigration.ca Fragomen LLP fragomen.com Global Education globaleducation.co.za Henley & Partners henleyglobal.com Invest Cyprus investcyprus.org.cy Keystone Tutors keystonetutors.com Klueger & Stein lataxlawyers.com Knight Frank knightfrank.com Pam Golding International pamgolding.co.za Trade Me Property trademe.co.nz/property

estatemagazine.com

RE_Oct2017_Emigration.kw.indd 63

OCTOBER 2017 63

19/09/2017 11:31


ADVERTORIAL

ISLAND STYLE Idyllic Greek haven Corfu currently presents strong property investment opportunities, especially due to the tourism growth and the need for holiday accommodation

C

orfu, situated in the Ionian Sea on the Italian side of Greece, is known as the green Greek island. And the chance to invest in a holiday home with the advantage of added income from tourism has seldom been better, says award-winning Corfu estate agent Roula Rouva.

TOURISM PROFILE IN GREECE Corfu airport reported the second largest arrival figures of all Greek airports in 2016, showing a growth of 14.4% compared to 2015, according to the Greek Tourism Federation. And the Association of Corfu Travel Agents expects that tourism will again increase by double figures this year. Tourists are expected mainly from the United Kingdom, Germany and Poland. Over the last two years, tourism in Greece increased by almost double the global industry average of 3.9%, as reported by the World Tourism Organization – this is according to Forbes. THE PROPERTY MARKET Tourism is important to the recovery of the Greek economy after the country’s financial crisis in 2009. Corfu in particular provides some of the best opportunities for property investment because of this and the timing is right for long-term investments, says Roula. An upswing in Greek residential property prices has started after seven years of falling figures, reaching a low of 42% compared to the peak in 2008. “Although not by leaps and bounds, the growth trend is expected to continue. Buyers can enter the market at a low level and the income from tourism can be topped with a capital gain in the medium to long

term,” says Roula. There is also a wide range of available properties to choose from. THE GREEK APPEAL Breathtaking panoramas, unpolluted air, the healthy climate, ancient historical sites and a vibrant festival culture contribute to the island’s popularity as a tourist destination. There are also a variety of sea and land sports, and recreational opportunities available such as sailing, golf and hiking. The island also has an international airport, an acclaimed yachting marina, a university and a modern hospital. “The inborn Corfiot values of hospitality and tolerance, and the laidback lifestyle, creates a relaxed atmosphere second to none,” Roula says. BUYING PROPERTY When deciding whether to invest in Greece, consider that you can obtain a five-year residential permit with a property investment of ¤250 000 (about R3 915 000) or more. “For South Africans, investing in Corfu provides the added benefits of entrenchment against the falling rand and an unbelievably crime-free environment,” Rouva says. Roula Rouva Real Estate can provide clients with an all-inclusive service, including administrative and legal matters, such as obtaining residence permits, and assistance with development, engineering and construction. “We can also help investors to rent out their Corfu property, helping them to realise the best possible income on their investment,” says Roula.

FOR MORE INFO rrcorfurealestate.com | piet@rrcorfurealestate.com

64

OCTOBER 2017

RE_Oct2017_Roula Rouva _advertorial.kw.indd 64

estatemagazine.com

19/09/2017 16:40


PROPERTY INVESTMENT

EUROPE

USA

AUSTRALIA

SPREADTHE RISK Why property investors need to think about diversification PROPERTY AS AN ASSET CLASS TEXT Patrick Cairns PHOTOGRAPH iStock by Getty Images

I

nvestors in South African property have generally done well over the past two decades. According to the Absa House Price Index, the average house price has gone up by more than R1 million since the mid 1990s, from R176 000 in 1996 to R1 316 000 in 2016. At the same time, rental yields in many areas have grown steadily, delivering a good overall return. enerally, people who have made money off property keep going back to it, says ick Briers- anks, partner at eritas Wealth. In many cases, however, this presents a growing risk. any property investors have most, if not all, of their wealth in their real estate portfolios. This means they are heavily exposed to not only a single asset class but also to what happens in South Africa. This is why investors should consider the need for diversification. In the same way that an astute property investor would prefer to have 10 properties worth R500 000 each in their portfolio rather than one property worth million, it also makes sense to put some money into different asset classes, such as shares or listed property. They should also look to invest in other countries, particularly developed markets such as urope, ustralia or the S . SOME OPTIONS WOULD INCLUDE n n international unit trust fund that is approved by the South frican financial regulator, the inancial Services Board SB . n n SB-approved international e change-traded fund that tracks a broad inde such as the S P 00 or S I World. n A structured product with international exposure that guarantees that you won’t lose capital but still offers the potential to earn market-like returns. n Property in another country with a stable market, such as the .

RE_Oct2017_Wealth management report_KvR.indd 65

When you invest in property, it is important to understand it as an asset class: n Like all other asset classes, returns from property are cyclical. “It will go up and down,” says Hardi Swart from Autus Private Clients. “You never know what’s going to happen tomorrow.” n It is not something you can always buy and sell easily. “As a property owner, you are definitely exposed to South African-specific risks, and more so because you are holding fairly illiquid assets,” says Veritas Wealth’s Rick Briers-Danks. n Any rental you receive is taxed as income, whereas dividends from shares are taxed at 20%. n If you own foreign property, rental income and any proceeds from a sale will be taxed differently. Make sure you understand the tax implications before you buy.

19/09/2017 11:42


H OT P R O P E R T Y I N S P I R I N G D E S I G N A N D A R C H I T E C T U R A L T R E N D S T H AT S H A P E THE FUTURE OF PROPERTY HERE AND ALL OVER THE WORLD

Show ti m e at the Si l os

Back in 2014, the art and design worlds resounded with the news that the V&A Waterfront had appointed famed British designer Thomas Heatherwick to reimagine its Grain Silo Complex, with architecture inspired by its historical character. Since its reveal, the development has continued to capture the imaginations of aficionados across disciplines and industries. The collection of seven world-class mixed-use buildings, including the Zeitz Museum of Contemporary Art Africa (Zeitz MOCAA), will facilitate the emergence of a new cultural precinct in what was previously an industrial zone. This was the perfect catalyst for the Silo District, the most ambitious self-funded project by the V&A Waterfront and its owners – Growthpoint Properties and the Public Investment Corporation (PIC) – since the Waterfront’s inception.

A m as ter p l an

What does it take to convert a heavily industrial, nonpedestrian area of the V&A Waterfront into one of Africa’s most prestigious cultural hubs? As early as 2010, V&A Waterfront CEO David Green had identified the location and instigated a workshop to conceptualise the area. The plan was to connect the Waterfront to the city once more and meet the need for office and residential space. When Growthpoint and the Government Employees Pension Fund – through the PIC – decided to provide funding, the idea of a new kind of African museum took hold.

The inner circle The development of the six buildings framing the Zeitz MOCAA was designed to bring people into an area of the Waterfront that was largely inaccessible, and was laid out to show off the best angles of the museum. “The buildings had to be mixed-use to bring activity from day into night and weekends. We didn’t want it to be a purely commercial district that dies on evenings and weekends,” says Mark Noble, development manager for the Silo precinct. And so began the personification of the six surrounding buildings, each with a purpose and personality, and all sharing a common industrial aesthetic. Important in the district was that the architecture enables the use of public space, creating walkways and paths for visitors and office workers to use, according to Mark. They’re also seemingly integrated in that it can be tricky to tell where one ends and the other begins. This is noteworthy, as a different design team conceptualised each building, showing how fruitful a shared vision and collaboration can be.

66

OCTOBER 2017

RE_Oct2017_Hot Property 2.kw.indd 66

THE PLAN WAS TO CONNECT THE WATERFRONT TO THE CITY ONCE MORE AND

m eet the n eed

FOR OFFICE AND RESIDENTIAL SPACE

estatemagazine.com

19/09/2017 11:33


NO 1 SILO

NO 2 SILO

NO 3 SILO

With 18 000m2 triple A-grade office space, No 1 Silo was the first to be built and was completed in June 2013, with anchor tenant Allan Gray moving in shortly afterwards. It was designed by VDMMA and Rick Brown & Associates Architects, and set a new standard for sustainable architecture across the continent. No 1 Silo was the first building in the Western Cape to be awarded a six-star Green rating by the Green Building Council of SA (GBCSA) and was the first six-star rating of commercial office space on such a scale in South Africa. Unique features include sea-water harvesting to cool and heat the building, and a tripleglazed facade with automatic controlled blinds to reduce heat and sun glare, which allows for better views and more natural light.

No 2 Silo is the first completed residential building in the district, with 31 apartments ranging from 70m2 to 157m2. These are on the market for about R8 million for a onebedroom apartment and about R10 million for two bedrooms. Features include floorto-ceiling glass facades and wraparound balconies to take advantage of the views. VDMMA and Rick Brown & Associates Architects completed the seven-storey build. It achieved a four-star Green rating from the GBCSA for its external solar shading, sea-water cooling system, centralised solar-heated hotwater system, high-performance thermal and acoustic insulated glass, low-energy lighting, water-efficient showers and toilets, energyand water-efficient kitchen appliances, and a website allowing homeowners to track and manage their water and energy consumption. The rooftop is the building’s communal area with a water-wise garden, braai facility and ozonated swimming pool.

Designed by VDMMA and Makeka Design Lab, the third development to be built is a mixeduse, mainly residential apartment block. The 79 spaces range in price from R4.5 million for a one-bedroom unit to about R25 million for a penthouse. A distinct feature of No 3 Silo is its exposed steelwork with a 45-degree angled scaffold running down the middle. Each apartment has a hanging balcony garden. The district’s green shop, Opus Studio, is based here. “We were at The Foundry, a hub for young and upcoming artists, in Woodstock for five years. Woodstock, however, is destinationorientated with not much foot traffic,” says Marissa Pretorius, owner of Opus Studio. “The new Silo District, focused around the Zeitz MOCAA, offers a larger footprint, premium clientele and international exposure. It allows us to really push our brand and business.”

estatemagazine.com

RE_Oct2017_Hot Property 2.kw.indd 67

OCTOBER 2017

67

19/09/2017 11:33


NO 4 SILO

NO 5 SILO

NO 6 SILO

Virgin Active’s bespoke Silo Collection Club in No 4 Silo is “one of world’s best health clubs”, as Virgin Group founder Richard Branson describes it. The 3 800m2 luxury venue has been built to meet a four-star Interior Green Building SA rating, a new sustainability tool from the GBCSA that’s geared towards interior assessments. The club is as modern as it gets thanks to its state-of-the-art equipment. It doesn’t compromise on luxury and wellbeing, with a concierge service, shoeshine service, Wi-Fi, suspension yoga, a fully equipped boardroom and a health café. It’s also the base for various medical professionals. The building was designed by VDMMA and Makeka Design Lab, and is home to two new eateries, Si and The Yard.

VDMMA and Jacobs Parker designed No 5 Silo, the second building in the Silo District to achieve a six-star Green rating from the GBCSA. PricewaterhouseCoopers is the main tenant of the commercial space. Like No 1 Silo, the building has a highperformance facade that ensures optimal use of natural light as well as seawater harvesting from the cold Atlantic to heat and cool itself. The ground level is the retail home to some of Cape Town’s most sought-after brands: the GUILD Group, fashion designer Kat van Duinen and jeweller Kirsten Goss. “Our new space – GUILD – comprises the GUILD Store, GUILD Studio and Southern Guild gallery, and so allows us to develop and showcase design at different levels,” says Trevyn McGowan, co-founder of the GUILD Group. “It’s an evolution of the work we’ve been doing to grow the local design industry over the past nine years with Southern Guild.”

Home to Carlson Rezidor’s first Radisson Red hotel concept, the 235-room establishment has been brought to life by Design Space Africa and Peerutin Architects. It straddles the three- to four-star hospitality rating. The new Radisson Red features work by South African artist Cameron Platter and is tech and design savvy, with a focus on creating an experience that is truly guest-centric. The hotel’s offering includes paperless check-in and a 24/7 deli and bar, OUIBar + KTCHN, which gives visitors access to Cape Town’s craft food scene. Its appeal is that it is not only geared towards international business travellers but is also affordable for locals who want to be based at the Waterfront.

RE_Oct2017_Hot Property 2.kw.indd 68

19/09/2017 11:33


HOT PROPERTY

Take it easy

THE REASONING BEHIND EAZI.COM IS SIMPLE: WE WANT TO

m ak e i t eas i er FOR PEOPLE

TO BUY AND SELL THEIR HOMES

TEXT Genevieve Putter, Bridget McNulty, supplied PHOTOGRAPHS Heatherwick Studio, supplied

Shaun Minnie, CEO, eazi.com

W

After 18 months of rigorous tech development and beta testing, South Africa’s new property marketplace, eazi.com, launched last month. It’s an online space for buyers to meet sellers, and sellers to meet buyers. The eazi.com team assists throughout the process (in fact, they say you don’t have to do anything) and they don’t believe that commission should dilute a property investment. An online bidding system allows you to put in your offer 24/7, plus there are 3D floor plans, drone footage and the ability to view information about properties sold in your area. Most Cape Town residents can already start buying and selling via the marketplace – although the rest of South Africa will have to wait a little while! eazi.com

i n n i n g n atu re

A recent report by AfrAsia Bank and New World Wealth, which rates lifestyle estates across South Africa according to factors such as space, security and scenery, has placed Steyn City in second place. This Sandton estate was rated so highly in part due to its Jack Nicklaus-designed golf course, world-class equestrian centre and hectares of landscaped parklands. The report also likens Steyn City’s communal areas to global landmarks such as Richmond Park and Hampstead Heath in London. According to the report: “Local residents can gather here over weekends and after work to meet, talk and walk their dogs. The lifestyle resort is also child friendly, with walking paths and underpasses under all the roads.” Additional facilities include outdoor gyms, kilometres of tracks for running, cycling and horse riding, kiddies’ play nodes, a skate park, an award-winning clubhouse, a gym, tennis courts and a resort pool. All this leads to a sound financial opportunity – house prices have increased significantly since its launch and sales grew by 20% in 2017 – as well as an investment in a quality lifestyle. steyncity.co.za

estatemagazine.com

RE_Oct2017_Hot Property 2.kw.indd 69

OCTOBER 2017

69

19/09/2017 11:33


IN SUPPORT OF

20 OCT’17 OVERGAAUW WINE ESTATE 5km Start: 18h45 Cost: R100 STBB Twilight Run

RUN 4 SMILES!

12km Start: 18h30 Cost: R120 @STBBTwilightRun

stbbtwilightrun

For more information: www.stbb.co.za | Trailrun@stbb.co.za


18104

GET A HOME LOAN ANSWER IN 3 MINUTES FLAT!

WITH NT A T S IN D BON OR T A C INDI

It’s quicker than you can read this page. If you are looking for or have found your dream home, use the Nedbank Instant Bond Indicator* anytime, anywhere. It does a full credit check and lets you know what home loan amount you could qualify for. Visit nedbank.co.za/homeloans and click on ‘Instant Bond Indicator’.

see money differently *

18104 NB Retail Rising IBI 335x280.indd 1

Terms and conditions apply. Nedbank Ltd Reg No 1951/000009/06. Authorised financial services and registered credit provider (NCRCP16).

2017/06/23 3:38 PM


ADVERTORIAL

PROPERTY INVESTOR

SOMETHING OLD SOMETHING NEW TEXT Patrick Cairns PHOTOGRAPH iStock by Getty Images

KEEPING

HOUSE acing a rough patch financially? Nedbank can provide repayment solutions when it comes to your home loan

M

ost homeowners’ greatest fear is losing their property due to financial difficulties. But repossession is the last resort for Nedbank – their aim is to help clients keep their homes until the end of their term. Nedbank understands that owning a home goes beyond shelter; it also gives homeowners a sense of pride and accomplishment.

HOW TO PROTECT YOUR HOME WHEN YOU FACE FINANCIAL DIFFICULTY 1. DON’T IGNORE THE PROBLEM Don’t shy away from your bank. Instead, advise them of your situation – they can provide various solutions to help you. It is in the bank’s interest to retain home loan accounts. 2. RESPOND TO CALLS, EMAILS AND LETTERS Don’t ignore communication from your bank as it includes valuable information. The bank will present you with various options to help you manage your repayments including restructuring your debt.

Five important points to consider when deciding whether to invest in a new development or an established property

1 2 3 4 5

If you decide to buy a new property from the developer, transfer duty is not payable, VAT is included and the developer usually covers transaction costs. New properties should also require less upkeep. If the developer is registered with the National Home Builders Registration Council, you will be given the standard year’s structural defect warranty. ew developments with modern finishings and designs such as water and energy saving features, up-to-date security and high-speed internet are more likely to attract quality tenants and higher rentals. One of the risks of buying into a development is that it may not be completed on time, which means your capital will stagnate. New properties also inevitably have building defects, which may delay your ability to find tenants. You can be more certain of a fair price and the likely return on your investment with an established property, as you are buying a known entity. A body corporate will ensure the smooth running of a complex. Homeowners may be forced to sell for any number of reasons. An astute property investor with the patience and capital who wants to buy an older property will be able to pick up these opportunities.

3. KNOW YOUR MORTGAGE RIGHTS AND OBLIGATIONS Find your home loan agreement document and read it carefully to understand your rights as a homeowner. It is important to understand the process your bank will take when you can’t meet bond repayments and it will better equip you to know which steps to take. 4. AVOID REPOSSESSION Rather opt for other rehabilitation options such as debt counselling or voluntarily selling your property to achieve a market-related price.

FOR MORE INFO Visit Nedbank’s payment solutions website: nedbank.co.za/homeloanshelp

72

OCTOBER 2017

RE_Oct2017_Nedbank_property column.kw.indd 72

estatemagazine.com

19/09/2017 11:33


LH 667

LH 668

Catering to the discerning luxury market.

BRYANSTON, JOHANNESBURG, GAUTENG, SOUTH AFRICA •

R11.95 MILLION

This development is set on the elevated slope in Eccleston Crescent in Bryanston. The levelled stands average 1 500m² each and are sold on an off-plan basis. You can design your dream home of more than 500m² in partnership with leading architects Cimato Moroldo. Building packages are on offer through the renowned Helm Construction. Expect contemporary architecture and upmarket, secure living at its best. One stand sold. Bedrooms 4 Bathrooms 4 Garages 2 Living areas 4 Regan Harris +27 (0)82 320 6464 regan@hamiltons.co.za Alison Stroobach +27 (0)82 923 6501 alison@hamiltons.co.za www.hamiltons.co.za web ref: 13509254

BRYANSTON, JOHANNESBURG, GAUTENG, SOUTH AFRICA •

R9.8 MILLION

This exquisite Georgian cluster home is sequestered within an exclusive estate and offers exacting attention to detail and a stunning open-plan flow. The welcoming entrance and solid wooden flooring opens to three sunny receptions with bay windows. The concertina doors lead out onto an oversized covered patio, immaculate gardens and pool. Features include a gourmet social kitchen with integrated appliances, four double bedroom suites, a pyjama lounge with exposed trusses, a library and study. There is also staffing and garaging for two, plus ample additional parking. Bedrooms 4 Bathrooms 4 Garages 2 Living areas 4 Regan Harris +27 (0)82 320 6464 regan@hamiltons.co.za Colin Cloete +27 (0)76 536 1529 colin@hamiltons.co.za www.hamiltons.co.za web ref: 13518336


LH 669

LH 670

Country Life Properties specialises in the sale of smallholdings and residential properties in Beaulieu, Blue Hills Country Estate, Bridle Park, Glenferness, Kyalami, Saddlebrook Estate and Sun Valley. An assurance of dedication and commitment.

BLUE HILLS COUNTRY ESTATE, MIDRAND, GAUTENG, SOUTH AFRICA • R9.8 MILLION

This family residence is set in a beautifully established garden within the sought-after and well-secured Blue Hills Country Estate. The north-facing residence offers flowing reception areas, outdoor entertainment areas and extensive use of glass. Features include a large kitchen and informal dining area with Bosch appliances and quality finishes throughout. The study and spacious playroom open to the garden, and there are four bedrooms situated on the first floor, including a luxurious main suite. There is also a separate two-bedroom staff apartment, borehole water and computerised irrigation, and two double garages. Bedrooms 4 Bathrooms 4 Garages 4 Living areas 3 Hilary Powell +27 (0)82 490 0811 hilary@clproperties.co.za www.clproperties.co.za web ref: 335

BEAULIEU, MIDRAND, GAUTENG, SOUTH AFRICA • R7.9 MILLION

This elegant family residence and apartment is set on a beautifully treed garden and offers peace, tranquillity and fantastic views. The reception areas include an elegant formal lounge, dining room and spacious central family room. A distinct feature is the wraparound patio areas encompassing the conveniently located swimming pool. This home also includes a well-fitted kitchen, quality finishes such as plantation shutters, a separate onebedroom apartment, a staff cottage and triple garaging. Bedrooms 4 Bathrooms 4 Garages 3 Living areas 5 Hilary Powell +27 (0)82 490 0811 hilary@clproperties.co.za www.clproperties.co.za web ref: 312


LH 671

The RE/MAX Masters team has been prominent in the residential letting and sales field for the past 15 years, including areas such as Sandton, Randburg, Roodepoort and Johannesburg. We take pride in our exceptionally high service delivery.

HURLINGHAM, SANDTON, GAUTENG, SOUTH AFRICA • PRICE ON REQUEST

This newly built, modern property is located in a secure complex on 848m² of grounds. It includes a glass-panelled walkway over a koi pond, leading to a double-volume entrance with custom-made raindrop chandeliers. Porcelain tiles feature throughout, emphasising the openplan lounges, reception rooms, private study, private guest en-suite and gourmet kitchen with separate scullery. Features also include an entertainment bar, 90cm gas braai, private pool and cascade water feature. All finishes are imported and the cupboard units are aluminium, manufactured with a combination of exotic colours and natural wood. There are also hi-tech electronic control systems, operable via cellphone or iPad. The five bedrooms upstairs all include textured wall tiles, light-up mirrors, wraparound views and sunset balconies. This home also includes MTN fibre and PV panels to get off the grid, plus four automatic lock-up garages with additional secure enclosed parking, which can provide space for entertainment. Bedrooms 5 Bathrooms 5 Garages 4 Living areas 3 Johan van Rooyen +27 (0)82 958 0723 johan@remax-masters.co.za Belinda Kotze +27 (0)72 588 7315 belinda@remax-masters.co.za www.remax.co.za web ref: WLTP-5996

MORNINGSIDE, SANDTON, GAUTENG, SOUTH AFRICA • R10.5 MILLION

This country house is elegant and gracious with generous living spaces set on 2 000m2 of landscaped garden. The double-volume entrance includes a handcrafted Canadian birchwood staircase and the reception rooms open to an entertainers’ patio. There is also a huge live-in kitchen with a storeroom, pantry and scullery, plus a separate laundry. Features also include an impressive master suite with a nursery/private lounge, dressing area and bathroom opening to the patio and garden. The upstairs reception area/ library leads to the expansive terrace with treetop views and overlooking the tranquil garden, duck pond and canal-like waterway. The home also includes customised Canadian birchwood finishes, underfloor heating, recessed doors and shutters, and excellent security, plus double staff accomodation and an outside office. Bedrooms 4 Bathrooms 4 Garages 3 Living areas 3 Helen Neumann +27 (0)83 600 9958 helen@remax-masters.co.za www.remax.co.za web ref: BRYN-3654

LH 672


www.homesofdistinction.co.za

BRYANSTON, R9,99 million Beautiful Georgian residence…award winning garden…secure Estate with outstanding attention to detail offers 3 elegant reception rooms to spacious covered patio overlooking established private garden and pool; stunning kitchen with fireplace & breakfast area to courtyard and guest suite; upstairs to 4 bedrooms (main suite with his & hers dressing rooms) and 3 new bathrooms PLUS double garage and staff accommodation View By Appointment Jonathan Broekman 083 444 1155 Wendy Melville 083 233 7752 Web Ref: RL721

BRYANSTON EAST, R9,5 million

Modern home on beautiful acre garden with granny cottage, pool & court in secure mini estate on prestigious Mount Street offers 4 lovely reception rooms and central kitchen onto large covered patio overlooking garden, pool and tennis court. Then 5 bedrooms and 4 bathrooms (main suite with own study/gym) PLUS granny cottage/6th bedroom, 3 garages and staff accommodation with excellent security on mini estate. View By Appointment Jonathan Broekman 083 444 1155 Wendy Melville 083 233 7752 Web Ref: RL743

BRYANSTON, R10,5 million

BRYANSTON EAST, R5,999 million

Spend your holidays at home beautiful contemporary residence on 5000sqm parklike garden offering 4 spacious reception rooms all onto spacious covered patio and decked infinity pool overlooking beautiful established garden; central gourmet kitchen, study and guest suite. Then 4 further bedroom suites plus garaging for 5 cars, double staff suite, excellent security, solar system, borehole and generator.

Beautifully family home for entertainment and easy living offering 4 reception rooms, 5 bedrooms including guest wing, 3 bathrooms plus fabulous entertainment area, established garden, pool, tennis court, double auto garage plus carports. Don’t miss this opportunity!

View By Appointment

View By Appointment

Jonathan Broekman 083 444 1155 Wendy Melville 083 233 7752

Christine Brits 083 632 3472

Web Ref: RL722

Web Ref: RL645

MAGALIESSIG, R3,685 million

DOUGLASDALE, R3,499 million

Executive Cluster Home for the discerning buyer offers 3 receptions and entertainers kitchen onto patio and private established garden with inviting pool. 3 large bedrooms, 2 modern full bathrooms, fitted study, double auto garage & excellent staff accommodation. Many extra’s include AC’s in all bedrooms, under floor heating, gas hob, solar geyser, invertor system, heated swimming pool. Move in and live! Well worth viewing!

Charming entertainers cluster home in popular eco estate offering double volume entrance, 3 receptions all onto entertainers patio with glass shutter doors, swimming pool and landscaped garden. New chef’s kitchen with separate scullery. Separate entertainment area with jacuzzi. 3 bedrooms onto balconies, 3 bathrooms. Double auto garaging. Staff option. Excellent 24 hr security. Well worth viewing! Asking R3,75 million.

View By Appointment

View By Appointment

Tracy Thompson 082 454 2639

Tracy Thomson 082 454 2639

Web Ref: RL640

Web Ref: RL762


We love marketplaces.

The Adderley Street flower market has been around since the mid-1880s, and offers the best place to meet flower sellers and find the freshest flowers in town. While eazi.com has only been around since early 2017, we are South Africa's first property marketplace, and offer the best place for buyers to meet sellers, and sellers to meet buyers. It's all the joy of the market, brought to property. WhatsApp us anytime on 076 931 6889 or call 0860 000 777 (7am to 7pm, Monday to Friday).

Eazi_Oct_RE_FP_FA.indd 1

2017/09/19 12:32 PM


HOUSES WITH TOP QUALITY BUILDING AND FINISHES!

The Hillstead

Priced between R2 325 000 - R2 450 000

The units have 3 bedrooms, 2 Full bathrooms and an additional guest toilet. Open plan living and dining area, covered patio with built in braai and a lovely small but big enough garden. Double automated garage and one open parking. The finishes of these houses are exceptionally good and gives you the buyer value for your money! The first phase of The Hillstead is already 100% completed and ready to move in!

View the video of on the link below:

The Hillstead

https://www.youtube.com/watch?v=j39PWctWpaY&feature=youtu.be

The Hills

Priced between R2 325 000 - R2 450 000

The Hills Game Reserve Lifestyle Estate is in Pretoria east just off Garsfontein Road. The Hills is an upmarket, secure 480-hectare residential estate which includes a game reserve stocked with several species of antelope and zebra. Numerous facilities in the estate include an impressive gatehouse which houses the estate management and Security. The newly opened Reddford House private school, walking, mountain biking and game trails, the clubhouse with gym and restaurant.

Transfer and Bond fees included in sales price. No transfer duty payable. Contact us today to view these units, we have a fully furnished show house that can give you a good idea of the layout and how your house will look. We are available to show you 7 days a week between 08:00 – 17:30. CALL NOW!

Werner Eksteen 082 411 3089 | werner@wernereksteen.com Max Eksteen 081 418 3347 | max@wernereksteen.com


FROM

R 764 900

FROM

1 BED 1 BATH 2 BED 2 BATH 3 BED 2 BATH

R 1 284 900

FROM

R 1 369 900

FROM

R 749 900

FROM

R 1 299 900

FROM

1 BED 1 BATH 2 BED 2 BATH 3 BED 2 BATH

R 1 399 900


B AC K C H AT A CLOSE UP WITH PROMINENT PERSONALITIES ON THE PLACE THEY CALL HOME

SEA POINT SERENADE INTERVIEW Debbie Loots PHOTOGRAPH Supplied

Brothers and property developers Paul and Saul Berman tell us why their lives and careers have everything to do with Sea Point WHERE WERE YOU BORN? Paul My brother and I were born and raised in Sea Point, and have lived here most of our lives. I remember how alive and vibrant it was and particularly the impact that the V&A Waterfront had on the area. Saul For me, Sea Point is a shtetl (village), my home, birth and workplace. WHAT DID YOU WANT TO BE WHEN YOU WERE A CHILD? Paul I wanted to be a pilot; I was fascinated with the sense of freedom. Years later I considered medicine and then finally decided to study law at the University of Cape Town. I was fortunate to practise at Sonnenberg Hoffmann and Galombik after I graduated until I joined my brother in 1994. Saul It was never about what I wanted to be. I was motivated by the need to provide for my family and have a roof over my head – no one could take that away. WHAT ARE YOU TODAY? Saul We head up Berman Bros Group (BBG), a leading property development, project and construction management company on the Atlantic Seaboard.

Read our full Q&A with developers Saul and Paul Berman online: estatemagazine.com

WHAT SETS YOU APART FROM OTHER PROPERTY DEVELOPERS? Paul Saul is a construction genius and after 27 years, still wears his blue pants and BBG branded jacket. It is this hands-on approach that distinguishes us from the rest. We hire only the best staff and sub-contractors, and don’t compete on price, but rather on value and service excellence. We also launched our boutique real estate agency, Berman Brothers Property (BBP), a small, professional team who use their expertise to market BBG developments and mandates from the public. DO YOU BUILD THE KIND OF SPACES YOU WOULD LIKE TO LIVE IN? Paul Absolutely. That’s the ultimate test for all our residential developments. I have always kept a few apartments for myself. Saul I can only ever build apartments that my family or I would be happy to live in. DO YOU HAVE A FAVOURITE SPACE? Paul That is almost as impossible as choosing a favourite child. Each development becomes part of you. Saul Having built hundreds of buildings over the last 27 years, it impossible to choose just one. But once the keys have been handed over, I’ve already started dreaming of my next creation.

The Odyssey in Green Point is a hallmark development by Berman Bros Group featuring designer units, views of the ocean and mountain, and a wine collection below the staircase INSET Property developers and brothers Saul (left) and Paul Berman (right)

80 OCTOBER 2017

RE_Oct2017_Back Chat 2.kw.indd 80

DO YOU PREFER OLDER OR MORE MODERN APARTMENT BLOCKS? Paul We are careful to preserve the cultural heritage of the location. There are a number of exquisite older blocks on the Atlantic Seaboard that are stylistically true to their period and would be nearly impossible to improve. However, between the late 1960s and the 1980s, a number of rather unattractive apartment blocks were built with little regard for aesthetics, convenience and interior design. In these instances, my preference is for a modern development where each apartment boasts elegant fittings and has been designed to take advantage of natural light and the spectacular views. Saul I don’t have a preference, I feel that each building should befit the area and surrounds. bermanbros.co.za

estatemagazine.com

19/09/2017 11:27




Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.