Business Day HomeFront 10 July 2020

Page 1

age 1 Template BD_Homefront straussv 12:41:18 13/10/16

HOMEFRONT 13 OCTOBER 2016 WWW.BDLIVE.CO.ZA


Page 1 Template BD_Homefront straussv 12:41:18 13/10/16

HOMEFRONT 1310 OCTOBER 2016 WWW.BDLIVE.CO.ZA WWW.BUSINESSLIVE.CO.ZA JULY 2020

MUST-READ

Mboweni promises relief PAGE 21

Extensive new Cape precinct PAGE 23

Save with GBCSA’s ‘green card’ PAGE 23

Thompson’s Bay at Chakas Rock near Ballito, KwaZulu-Natal

Negotiating a buyers’ market

First-time buyers and investors are spoilt for choice with the best buyers’ market in nearly three decades. With a surplus of stock to choose from at an all-time low interest rate, where are the Mid-market’s buoyant offerings hotspots and can buyers afford to wait a little longer? PAGE 24

PAGE 22

FOCUS ON: ANUVA INVESTMENTS ADVERTORIAL

Quick action, great results The Covid-19 pandemic has tested business leaders on every level. Assessing and considering its options early turned out to be key to the survival of Section 12J investment company Anuva Investments WORDS AND PHOTOS: SUPPLIED

ABOUT ANUVA INVESTMENTS Anuva Investments was formed in 2014 by a team of tax and investment specialists. It invests in small and medium-sized companies where the opportunity exists to enhance profitability significantly through a management involvement process. Higher-risk investments are balanced by investments into well-established businesses with proven profitability and stable cash flows. The positive cash flow that results from a wellstructured venture capital company investment is matchless. The investor can receive a full tax deduction on the funds invested, as well as substantial dividends from the investment on an ongoing basis. A Section 12J investment carries no personal tax risk for the investor.

ABOUT SECTION 12J Section 12J of the income tax act provides South African taxpayers with a 100% tax liability deduction on the amount invested into a qualifying Section 12J fund. This allows an individual, company or trust to claim tax relief of up to 45% on the investment amount. The Section 12J investment opportunity is an incentive created by government to boost much-needed job creation in SA. Section 12J companies provide an investment vehicle that offers tax relief to a maximum of R2.5m per investor per tax year, with a minimum investment period of five years. The investment is made in identified startups or existing business entities in preferred sectors of the economy with an emphasis on job creation. Tax beneficiaries invest directly in the Section 12J fund, which in turn invests in the identified business.

M

ost businesses have been on one end or the other of the scale during this global crisis. Some have been fortunate enough to be offering a service or product that has been in demand during lockdown while others fell on the dismal end of the scale, suspended and wading their way through the muddy waters. Covid-19 has tested our resilience as business leaders. And in true South African style, companies have demonstrated grit and resilience during this blindsider of a pandemic, finding opportunity and a means to adapt their businesses, if only to keep their staff employed. Speaking at an online investment report-back meeting, Neill Hobbs (left), CEO of Anuva Investments, said assessing and considering their options early was key to the survival of businesses in the groups’ portfolio. One of the country’s first and most established Section 12J funds, Anuva Investments is an FSB-regulated and Fais Act-compliant venture capital company with an outstanding track record since inception. “We’ve been fortunate to have a team of progressive and agile managers who put their heads together and almost overnight formulated

and actioned what we’ve coined our shift and accelerate strategy,” Hobbs says. “We’ve adjusted and adapted, joining the links to initiate not only a workable, but a profitable strategy for our investments and businesses to survive and, in some cases, thrive.” According to Hobbs, an honest assessment followed by a swift adjustment was more important than they realised. “It’s about analysing expenditure, harnessing cash flow and developing new streams of revenue by driving new initiatives and finding new opportunities,” he says. Anuva Investments recognised opportunities in the manufacturing and supply of essential medical provisions and converted its supply chain at Cape Mohair and Mastercare to meet the demands of personal protective equipment such as medical masks. The fund also invested a timeous R20m capital injection into medical supply company Biodelta. This business, which produces

GET IN TOUCH ANUVA INVESTMENTS Tel: 021 683 0500 E-mail: neillh@hobbsinc.co.za anuvainvestments.co.za

and distributes health and wellness products, quickly became a crucial supplier in the fight against Covid-19, extending its product range and manufacturing focus to deliver much-needed key products. Virus test kits, three-layer surgical masks, sanitisers and immune booster supplements were fast-tracked in their production output thanks to the capital advanced to fund the strategy. The news clearly was music to investors’ ears, Hobbs says. “As investment managers, we realised the potential economic devastation of the pandemic before it became an actuality. Many of our board members alerted us to the daunting realities Covid-19 was ushering in. In the spirit of Section 12J under these circumstances, job preservation and the safety and security of our people have been front of mind.”


HOMEFRONT ECONOMIC UPDATE

Supplementary budget: positives for homeowners What does finance minister Tito Mboweni’s recent supplementary budget hold for homeowners and the property industry? HomeFront asks the experts WORDS: HELENE MEISSENHEIMER :: PHOTOS: SUPPLIED

Finance minister Tito Mboweni

I

n February 2020, when finance minister Tito Mboweni tabled the national budget, the country’s economic outlook barely showed a pulse, with a weak economic growth forecast of 0.9% – but at least globally the economy was expected to grow by 3.3%. Then the coronavirus pandemic almost brought the world to a standstill as many countries enforced lockdowns and closed their borders. For the first time in decades developed countries expect their economies to contract. The South African government also called for a lockdown in an effort to flatten the curve of viral infections to save lives and give medical services time to prepare. Lockdown measures have, however, led to the closing or restructuring of many businesses, with thousands of jobs losses pushing the national unemployment

level to 30.1%. Government has had to allocate billions from the budget to provide relief – a R500bn package to assist struggling businesses and households is one example. These unforeseen expenditures combined with the contraction of economic activity necessitated an early adjustment of the national budget before the October 2020 medium-term budget. On Wednesday June 24, in his supplementary budget speech, Mboweni did not shy away from discussing the daunting challenges SA is facing. He said the country’s economy is expected to contract by 7.2% (the largest contraction in nearly 90 years) whereas the gross national debt is expected to rise to 81.8% of the GDP by the end of this fiscal year. Urgent measures must be deployed to stabilise SA’s debt, which the minister compared to a hippopotamus that, unless stopped, will eat “our children’s inheritance”. He

said the supplementary budget provides a road map to how the government proposes to “close the mouth of the hippopotamus”, improve spending patterns and lay a foundation for rebuilding SA’s economy. Property experts have highlighted the following positives in the supplementary budget:

A zero-based budget approach Mboweni said adopting a zero-based budget approach on large government programmes is one of the ways to stabilise the national debt. Government must see demonstrable value for the money spent. The medium-term expenditure framework process will be guided by the principles of zero-based budgeting. “This means that we will try to reduce all expenditure that we thought we can no longer afford. After all, we are not as rich

as we were 10 years ago,” Mboweni said. Rawson Property Group MD Tony Clarke believes the new zero-based budget “suggests that government is committed to making the changes necessary to help the country weather this crisis, even if it has not yet fully road-mapped what those changes will be.” Chas Everitt International property group CEO Berry Everitt also welcomes the minister’s decision to move the country towards zerobased budgeting. “This speaks of a real determination to cut government expenditure and scrap nonessential projects, while focusing our much-reduced resources on building up our infrastructure and creating millions of new jobs. That way we can increase our tax revenue and steadily reduce our national debt, while supporting better education, health and security for everyone.”

Plans to combat unemployment Mboweni said government must play an active role in combating unemployment. Large infrastructure projects are pivotal to this process, along with government-sponsored job creation programmes. An amount of R6.1bn is already allocated to the latter, and a further R19.6bn has been set aside mainly for this purpose. Pam Golding Property group chief executive Dr Andrew Golding says the prioritisation of infrastructure development, including bridges, roads, railways and ports, is positive news, with 177 infrastructure projects already being considered across the public and private sectors. “This strategy, together with the re-energising of public-private partnerships, bodes well for increased confidence in our economy among investors – both

local and international – as well as the business sector, with broad spinoffs for job creation, industry, communities and, ultimately, the property market,” says Golding. Craft Homes financial director Duanne du Toit agrees that there seems to be a positive move towards infrastructure spend from government. She says this could mean a drastic boost to the housing market because of the job creation that comes out of this. RealNet MD Gerhard Kotze considers it good news that government is determined to shift public sector spending away from consumption and towards investment – specifically in better infrastructure, as such projects are usually also major job creators. “We are also encouraged by the decision to recapitalise the Land Bank. The R3bn involved is a relatively small expense for the fiscus but will save

many farmers from going under and ensure continued food security for SA while saving many thousands of agricultural jobs,” he says.

Low interest rates Mboweni mentioned that the interest rate cuts made by the South African Reserve Bank made it easier for banks to lend money. The interest rate is currently at a historic low, and indications are that this has already encouraged an increase in home loan applications, especially at the lower end of the housing market. Betterbond CEO Carl Coetzee is positive about the interest in home loan applications. “We saw application volumes increase in the first few weeks of June as property transactions were allowed to resume, and now it looks as though this trend is set to continue,” he says. “The number of home loan applications has tripled

since May and the figures are now in line with levels seen before the pandemic.” According to Du Toit, the reduction in interest rates over the past six months also means that buyers can enter the market with greater ease and will have slightly more cash available to allow for potential investments into property too. In addition, banks seem to be competing heavily for new business, which means that more buyers will be granted bonds. Property experts believe there could even be further interest rate cuts on the cards within the next few months, but no official announcements have been made in this regard yet.

Details on the economic reforms will be announced in the medium-term budget policy statement in October, whereas additional tax measures will be outlined in the 2020/21 budget speech.

“The new zero-based budget suggests that government is committed to making the changes necessary to help the country weather this crisis” Tony Clarke, MD, Rawson Property Group

Dr Andrew Golding, chief executive, Pam Golding Property Group

Gerhard Kotze RealNET MD

A

PRODUCED BY BLACKSTAR PROPERTY PUBLISHING

EDITORIAL TEAM Editor: Debbie Loots Designers: Samantha Durand & Anja Bramley

Berry Everitt, CEO, Chas Everitt International property group

Tony Clarke, MD, Rawson Property Group

PUBLICATION ADVERTISING SALES

Copy Editor: Christine de Villiers Production: Lucea Goosen

Chantelle Balsdon Sabrina Ganter

chantelle@augmentcreative.com sabrina@thecreativegroup.info

084 061 7888 074 255 7455


HOMEFRONT

PROPERTY HOTSPOTS

Negotiating a buyers’ market First-time buyers and investors are spoilt for choice with the best buyers’ market in nearly three decades. With a surplus of stock to choose from at an all-time low interest rate, where are the hotspots and can buyers afford to wait a little longer? WORDS: DEBBIE LOOTS :: PHOTOS: SUPPLIED AND SHUTTERSTOCK

W

hether you are a firsttime home buyer, an experienced property investor or a wealthy businessperson with money in the bank, it seems there is a good property deal out there for you. This is in part thanks to the lockdown’s negative effect on an already ailing economy, which filtered through to all sectors including the property market, as well as a substantially reduced interest rate.

REASONS TO BUY NOW According to Renprop MD Chris Renecle, it has never been a better time to buy.

“When weighing up the pros and cons of investing in residential property, you should consider the supply and demand ratio and inflation,” he says. “During Levels 4 and 5 of SA’s lockdown, all construction came to a halt. Thus, over the past two months, the supply of units has decreased. And while there may well be a decrease in demand, there will be a bigger decrease in supply because of construction backlog,” says Renecle. “This means prices will increase again.” Berry Everitt, CEO of the Chas Everitt International property group, says buyers should not wait to take advantage of opportunities. And with the banks’

assisted-sale programmes being specifically designed to help troubled sellers to wait for buyers who will pay market-related prices, the market is not going to be flooded with distressed and repossessed properties at bargain prices. “Last month alone, almost 7% of our sellers withdrew their homes – and even more in the luxury sector, where homeowners can often afford to wait. Indeed, there is a growing shortage of stock in this sector, which is why we are seeing multiple offers,” Everitt says.

MID-RANGE ACTIVITY The property sector may still be under pressure for the foreseeable future, but

the low interest rate opens up opportunities for a new buyer to enter the market. And it is especially the low- to mid-market range up to R1.5m (in some areas even R3m) that shows most activity and stock available. BetterBond CEO Carl Coetzee says the interest rate, at its lowest in more than 50 years, and the extreme buyers’ market contribute to consumer confidence for prospective buyers who have a stable income and have been looking to purchase a home. “In fact, 70% of our applications in May were submitted by first-time buyers,” he says. “I predict that this market segment will become increasingly

active as we emerge from this lockdown.” Everitt says in the R1m to R2.5m and in the R2.5m to R5m price categories, home prices are currently back at about the same levels as in 2016 in many areas. “This makes a careful upgrade to either of these brackets a really good investment, especially if you are a repeat buyer with a decent deposit,” he says. “For example, if you have a R1m bond on which the monthly repayment was just under R9,500 at the start of this year, the lower interest rate means you could look at buying a home for R1.3m to R1.4m now, with a 10% deposit, for the same monthly repayment. And the

decline in prices means you would be buying a home that actually has a much higher replacement value.”

WHERE TO BUY The general sentiment among real estate professionals is that people are less bound by location than before, as they continue to work remotely. According to RE/MAX of Southern Africa regional director Adrian Goslett, more people are interested in homes with scenic views and spacious offices in popular spots such as the KwaZulu-Natal’s North Coast rather than homes close to the city centres. Amdec Property Developments MD Guy

Gordon says secure lifestyle estates like Sitari and Val de Vie, and mixed-use precincts such as Melrose Arch in Johannesburg and Cape Town’s The Yacht Club, continue to be in demand, possibly because they are privately managed and offer good rental returns. Pam Golding chief executive Andrew Golding singles out the Atlantic Seaboard and Cape Town’s CBD as standout areas. He also sees smaller towns gaining popularity – George, for instance, experienced a price growth of nearly 50% over the past four years. Pretoria East is benefiting from the same trend as Somerset West: new

MEDIAN PRICE GROWTH IN HIGH-END AREAS: JANUARY 2016 TO MAY 2020 JOHANNESBURG

CAPE TOWN

Mouille Point

R3.5m - R4.95m

+41.4%

Fourways Gardens (FH)

R3.8m - R4.1m

+7.9%

Cape Town CBD

R1.72m - R2.285m

+32.7%

Linden (FH)

R2.55m - R2.965m

+16.3%

Somerset West (FH)

R2.35m - R2.425m

+3.2%

Somerset West (ST)

R0.98m - R1.3m

+32.7%

PRETORIA EAST

Durbanville (FH)

R2.375 - R2.65m

+11.6%

Menlo Park (ST)

R1.49m - R1.962m

+31.7%

Durbanville (ST)

R0.75m - R1.44m

+92%

Lombardy Estate (FH)

R1.97m - R2.2m

+11.6%

George (FH)

R1.153m - R1.7m

+47.4%

Steyn City

R3.05m - R5.1m

+67.2% +42.6%

ESTATES KZN Ballito (FH)

R2.3m - R3.4m

+47.8%

Val de Vie

R5.55m - R7.92m

Umhlanga (FH)

R3.325m - R3.82m

+14.9%

Zimbali (FH)

R7.525m - R10.65m +41.5%

Zimbali (ST)

R3.75m - R6.25m

Source: Lightstone Property FH = freehold; ST = sectional title

+66.7% Bannockburn, Waterfront, marketed by Seeff Properties

developments springing up near a growth node. As can be seen in the table below, which compares January 2016 with May 2020, these are areas that have experienced sound house price growth in recent years, yielding good capital appreciation for investors. Tyson Properties MD Chris Tyson says hotspots are changing all the time and investors are conservative. “Hotspots are areas that simply offer more than other areas. Schooling and security in family-oriented suburbs are still driving sales across the country.” In Ballito, KwaZulu-Natal, property continues to sell consistently, even during the lockdown. As part of a


HOMEFRONT recent Let’s Talk Property webinar, a panel hosted by Derek Watts discussed SA’s property hotspots. In a live poll taken during the webinar, this province’s North Coast took the top spot with 39% compared with other national areas, the next closest area being the Atlantic Seaboard at 27%. Seeff Sandton MD Charles Vining says activity has picked up at this office and it has had several offers in the R10m to R12m price range over the past two weeks. It signed an R18m sale in Sandhurst during the lockdown. “Anything priced at under R1.5m is selling very quickly, almost irrespective of the location,” says RealNet MD Gerhard Kotze. “There is currently more than enough stock to meet demand, but sales made are generally at

15% to 20% below asking price. Many sellers are not prepared to accept such a drop and will often just withdraw their homes from the market for a while.”

LUXURY BARGAINS Seeff Properties CEO Samuel Seeff says now is a great time for bargain hunting in the high-end price band, as there is more stock and sellers are open to negotiation. “Since 2018, prices have declined by 20% at the top end of the market and we expect a further 15% to 20% drop this year because of the steep recession,” he says. “Foreigners can benefit from a further decline of about 20% due to the depreciation of the rand.” According to the Pam Golding Residential Property Index, house price inflation

from January 2016 to May 2020 – four years and five months – has averaged 3.9%, with a significant range in price performance between various housing markets across the country. In the upper price band (>R3m) house price inflation has averaged 3.3%, with house price inflation turning negative in mid-2019. Prices have fallen on average by 4.9% in the upper price band during the first five months of 2020.

FUTURE OUTLOOK What will the property scenario look like down the line? Goslett reminds buyers that property investment is a long-term commitment. “According to the RE/ MAX National Housing Reports based on Lightstone Property’s data, in the first quarter of 2017, the average

price for a freehold property was R1,161,481 and the average price of a sectional title unit was R944,008,” he says. “Three years later, the first quarter of 2020 reflected an average price of R1,183,943 for a freehold property and an average price of R963,971 for a sectional title unit. “While this rate of house price appreciation does not keep up with inflation and amounts to a loss in real terms, property is not meant to be viewed as a short-term investment. If prices were compared over a 10-year period, for example, we would see much higher rates of house price growth and greater returns on investment. To illustrate, a R1.6m property purchased as a primary residence in Claremont in 2010 is now worth R3.5m.”

“Anything

MEDIAN PRICE GROWTH OVER 10 YEARS: 2010 TO 2020 Clifton

R14.75m - R36m

+144%

Llandudno

R7.45m - R21.8m

+193%

Camps Bay

R6.5m - R16.2m

+149%

Constantia Upper

R6.5m - R12m

+85%

Spanish Farm

R3.825m - R6.5m

+70%

priced at under R1.5m is selling very quickly, almost irrespective of the location”

Gerhard Kotze, MD, RealNet

Westcliff R4.5m - R10m +122% Northcliff R1.9m - R2.9m +53% Mooikloof R3.6m - R6.4m +78% Waterkloof Ridge

R2.1m - R3.36m

+60%

Zimbali

R5.5m - R13.2m

+140%

Umhlanga/La Lucia

R3.35m - R6.6m

+97%

Ballito R1.55m - R3.4m +122% Sources: Lightstone Property and Propstats, courtesy of Seeff Properties The Amdec Group’s Melrose Arch in Johannesburg

PROPERTY NEWS

Milnerton welcomes sprawling new mixed-use development

P

roperty investor and developer Atterbury is starting with construction of its multibillion-rand mixeduse development Richmond Park in Milnerton, Cape Town, says Atterbury Western Cape head Gerrit van den Berg. Plans include furthering transport accessibility through improvements to surrounding public roads. One of the largest property developments in the city, Richmond Park’s

300,000m 2 of greenfield development rights are on a prime 84ha site that is part of a milestone land restitution settlement. The land is owned by the Richmond Park Communal Property Association (CPA), which represents the community that was forcibly removed from the area between 1972 and 1984. In 2014 the land was transferred to the CPA, to the benefit of 401 families totalling 5,300 people and

spanning five generations. As a shareholder in the development, the Richmond Park community leased the land to the Richmond Park Development Company. Situated on Cape Town’s N7 corridor, the development offers easy access to and from the N1 and N7 highways, making it ideal for logistics and warehousing. Richmond Corner, a shopping centre that forms part of the development, is set to open later this month.

Green living brings rewards

I

n light of Eskom’s recent announcement of an increase in electricity costs and with load shedding looming again once lockdown ends, a greener lifestyle seems to be the most sensible way forward. Living off the grid will not only alleviate municipal costs but also add value to property prices. Some people may even relocate to achieve these goals. This is according to Anthony Stroebel, head of strategy and innovation at Pam Golding Properties and a director of the Green Building Council South Africa (GBCSA). GBCSA data suggests that 27% of the energy produced in the country is

consumed by the residential sector, which also accounts for 60% of municipal water and sanitation sales and contributes 44% of municipal waste. To help owners make their homes more sustainable, GBCSA has introduced a green home rating tool (Edge certification) that measures energy, waste and water consumption. “It also enables a resident to assess their home’s sustainability ranking and provides information and tools for transforming a home into a more sustainable property,” says Stroebel. The practical benefits are numerous, he says. “This simple tool offers

rewards and incentives for achieving ‘green goals’, compares your rating with those of others, tracks performance and provides a clear measurement of sustainability and a clear

benchmarking framework for reducing operating costs and providing more appealing homes.” Pam Golding Properties is currently marketing a number of properties to

buy or rent, either with meaningful energy-saving features or even completely off the grid, such as an ecoestate with “house zero” homes on the banks of the Olifants River in Limpopo.

Rabie launches second retirement project

L

ast month, Rabie Property Group broke ground on a R1bn retirement development, Oasis Life, in Burgundy Estate, Cape Town. The 10ha secure estate’s paved internal streets will provide access to houses and low-rise apartment blocks in a landscape of pocket parks and tree-lined pedestrian boulevards. At its heart will lie a R40m lifestyle centre, where residents will enjoy exclusive use of a gym with a heated swimming pool, as well as a restaurant, a library/media room, primary healthcare suites and a multifunction room. The lifestyle centre is part of the first phase of construction, along with 24 houses and 33 apartments set for completion by mid-

2021. Purchasers can choose between one and two bedrooms in either houses or apartments, available in various sizes. The estate will eventually comprise 159 houses and 387 apartments. The development’s lifestyle offering includes open spaces for running and cycling, three schools, restaurants, a mashie golf course and a convenience centre. “Without compromising on style and contemporary architecture, we design our Oasis Life homes carefully to ensure that every layout is practical and smart. We also take great care to future-proof every agetailored retirement home by making it a safe and comfortable haven,” says Miguel Rodrigues, a director at Rabie Property Group.


HOMEFRONT INVESTMENT TREND

Right on the money The property market may have constricted but one category is moving and shaking. The R1.5m to R1.8m sweet spot continues to lure investors and first-time buyers alike WORDS: KIM MAXWELL :: PHOTOS: SUPPLIED

O

wing to a deflated economy and many personal incomes being stretched, property purchases in SA have slowed. Yet in this challenging environment, one category is showing buoyancy. New residential investors are still getting more bang for their buck in urban apartments and suburban estate developments priced between R1.5m and R1.8m. “A price point of up to R1.5m is a popular category for couples in a position to buy with a joint salary or individuals looking to move into their first home,” says Kent Gush Properties MD Kent Gush. This specialist marketer of residential developments has been operating in the Gauteng area for 35 years.

“Security and lifestyle are priorities for these buyers,” he says. Typically, a developer might include integrated Smeg appliances and valueorientated additions to sweeten a R1.5m offering. When Kent Gush Properties launched Ellipse Waterfall in November 2018, the market was in a difficult space for high-end luxury apartments. “Yet Ellipse proved successful in an amazingly resilient mixeduse precinct,” says Gush. “The striking architecture of the towers really captured the market. And it sits in a very important growth node between Sandton and Pretoria.” Prices start from R1.6m for an executive onebedroom 49m2 apartment. Of course, high-rise living isn’t for everyone. Transformed older neighbourhoods appeal to a

new generation of investor nowadays. “The Linden on 7th Street in Linden has proved to be extremely popular thanks to its location,” says Gush. “This suburb’s transformation over 20 years has been phenomenal. It’s changed from being a relatively shabby neighbourhood to a trendy, sought-after area with coffee shops and restaurants, all drawing young professionals. “Of the 51 apartments in The Linden, we’ve sold 44 in the past 10 months, in a tough market,” says Gush. Units start at R1.675m, going up to R1.725m for a 95m2 twobedroom, two-bathroom apartment in a three-storey walk-up.

PRECINCT PERKS The pandemic has accelerated the trend of

having everything within arm’s reach. Sandton Gate is a new precinct development by Abland, Tiber and Craft Homes. Phase 1 of the commercial buildings is complete, with offices, beauty salons, gyms and restaurants as tenants. “It’s a no-brainer if you work in the precinct: you can live, work and shop there. You don’t even need to leave. Everything is available,” says Craft Homes marketing manager Jessica Cabanita. “We’re launching The Terrace at Sandton Gate online at the beginning of August,” she says. “There are four levels of apartments and two basement parking levels. So each unit has secure basement parking.” All units have balconies. A 65m2 twobedroom, one-bathroom apartment sells from R1.799m, and a 80m2 two-

bedroom, two-bathroom starts from R1.999m. Appealing extras such as a Miele oven, hob and extractor are included in the price, says Cabanita. The Terrace will also have its own security with perimeter fencing and guards. In addition, the entire Sandton Gate precinct is patrolled. Today’s residents expect a swimming pool and braai facilities in a communal area at a secure estate. The Terrace has that – but private work areas in an apartment layout are something new. “In terms of design, each unit will have either a study nook or workspace. It was highlighted during the lockdown that many people need a designated area for study or work,” says Cabanita. Its location is another a plus in gridlocked Johannesburg. “It’s about smarter living,” she says. “The Terrace is on William Nicol, just outside the Sandton CBD. The fact that it’s not right in the hustle and bustle makes it more affordable. Behind the building, residents have access to the Braamfontein Spruit via a green belt used by bikers and runners.”

NATURAL LIVING

The Linden in Linden, Johannesburg

The Reid in Linbro Park, Sandton

In Cape Town’s Northern Suburbs, Multi Spectrum Property (MSP) Developments recently launched Bonsai Estate in Langeberg Ridge, Durbanville. To maintain “an element of natural living”, the developers included landscaped parks and recreational areas with 28 existing trees left on the site. Phase 1 consists of apartments and freestanding homes.

A duplex at Ellipse Waterfall in Midrand “Its designs, finishes, landscaping, amenities, security and location will set Bonsai Estate apart from anything else in the area,” says MSP Developments CEO Riaan Roos. The apartments are likely to be snapped up at a starting price of R1,399,900 (no transfer duties apply) for a two-bedroom, onebathroom unit with a balcony, an outdoor braai area and two parking bays. Luxury fittings include stone countertops, Bosch appliances and Hansgrohe and Smeg sanitary ware. Why do properties priced in the vicinity of R1.5m still offer such good value? Balwin Properties is a leader in building sought-after South African residential developments, with a philosophy of overdelivering for the asking price. Balwin PR manager Lisa

Sinclair cites The Reid in Linbro Park as an example of an upmarket lifestyle estate offering. Here residents can escape busy city life without sacrificing a convenient location near major highways and a Gautrain station. “The Reid is all about urban living surrounded by natural beauty,” says Sinclair. “Wi-Fi ready one-, two- and three-bedroom apartments all include ecofriendly appliances, solar-supplemented electricity plus pre-paid electricity and water meters as part of the unit price. An on-site lifestyle centre features cutting-edge leisure and sport facilities.” Prices start from R929,900 for a one-bed, one-bathroom unit up to R1,699,900 for a threebedroom apartment with two bathrooms. Gush predicts that the R1.5m to R1.7m market will

remain resilient. “The savvy investor has recognised that in adversity there’s opportunity. With lower interest rates, good properties continue to sell.” For this reason Kent Gush Properties is collaborating on a development in Rosebank that will sacrifice space for smaller, more functional units “made very sexy with a gym and WeWork-type setup”. Apartments are expected to fetch selling prices of between R850,000 and R1.5m. “Before Covid-19, the focus was on communal entertainment facilities such as leisure pools and wine bars. More future developments will have communal entertainment facilities and hot desks,” says Gush. “A lot of young people may be working in remote situations more often.” No argument there.


U

W E O H N NC

LA

YAL JOHANNE RO

N GOLF CLUB GTO

D

URG & KENSIN SB

BROOKFIELD at Royal

Secure your Family’s Future at the best Security and Golf Estate in Johannesburg. PROUDLY DEVELOPED BY

LUXURY APAR TMENT S S TAR TING FROM R 9 9 5 0 0 0 - R 4 1 9 0 0 0 0

Now is the time to Invest in Residential Property Living at Brookfield puts you at the centre of luxury city-living, providing all the perks of a security and golf estate without the hassle of a lengthy commute. Located at Royal’s fabled East Course, consistently voted as Africa’s best golf course, Brookfield at Royal’s convenient positioning provides easy access to the business, art, culture and entertainment hubs in and around the city of Johannesburg, offering residents a vibrant urban lifestyle. Now is the time to invest in this incredible development. The interest rate, at 7.25%, hasn’t been this low in nearly half a century. Investing in today’s market ensures that your bond will beat the curve in record time!

ROYAL AMENITIES

B ROOKFIELD AMENITIES

B ROOKFIELD SERVICES

TWO AWARD-WINNING GOLF COURSES

PRIVATE BROOKFIELD CLUBHOUSE

GENERATOR BACK-UP POWER

GYM & LIFESTYLE CLUB

PICNIC & BRAAI FACILITIES

FIBRE-READY APARTMENTS

RESTAURANTS

LEISURE POOL

STATE-OF-THE-ART SECURITY

BUSINESS CENTRE

CYCLING & RUNNING TRAILS

CCTV & 24-HOUR GUARD

BANQUETING & WEDDING VENUE

SCENIC WALKWAYS

SECURE PARKING

OUTDOOR PLAYGROUND

FISHING

KIDS CRÈCHE

BIRD CONSERVATION

Visit Our Sales Centre ROYAL JOHANNESBURG & KENSINGTON GOLF CLUB

1 Fairway Avenue, Linksfield North, Johannesburg, Gauteng Sales Centre: 0861 683 683 Email: sales@royaldevelopments.co.za Visit: www.royaldevelopments.co.za




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.