HOMEFRONT 13 OCTOBER 2016 WWW.BDLIVE.CO.ZA 12 APRIL 2019 WWW.BUSINESSLIVE.CO.ZA
MUST-READ
Sandton’s thrilling new supper club PAGE 2
How to choose a well-run estate PAGE 10
SA’s new inner-city entrepreneurs PAGE 14
Balwin Properties’ Paardevlei Lifestyle Estate, Somerset West – Image from SABC3’s Win A Home competition
Middle ground rules One of 2018’s success stories, the mid-value residential property
Buying? Know your segment is expected to continue soaring in 2019 asset classes first
PAGE 6
PAGE 15
Special Property Investment Focus Look out for the 24 May issue of HomeFront
HOMEFRONT FOOD AND DÉCOR
Labyrinth of dinner and delight
Alice & Fifth brings a new dining experience to Sandton that captivates with a flamboyant twist WORDS: GRAHAM WOOD :: PHOTOS: SUPPLIED
I
s it a night club? Is it a restaurant? Or a bar? In fact, Alice & Fifth is a swanky new supper club in Sandton that commands attention, as much for its fabulous offering as for its unusual location in the labyrinthine basement of the Sandton Sun, once home to the much-loved Vilamoura restaurant. Alice & Fifth offers sophisticated meals and drinks combined with theatre, music and comedy in a setting reminiscent of glamorous basement clubs in Europe and the US. Imagine a performer swinging from a hoop concealed in a giant tasselled chandelier or perching on the back of a customised seating booth …
FOOD AND THEATRE Owned by the Milk & Honey Group, Alice
“I wanted people to be encapsulated in an experience that felt like anything but normal reality” Tristan du Plessis, interior designer
& Fifth came about when the company spotted a gap in the market for such a concept and wanted to be the first to introduce it to SA: “A mix of restaurant and theatre where you can have dinner while watching live performances and shows,” says Georgina Spiliopoulos, head of creative and design. “The concept of a supper club is a holistic dining experience; it is not a runof-the-mill restaurant,” she says. “Patrons can expect exceptional food served with breathtaking entertainment. We intend to balance dark, sexy, flamboyant and exotic while maintaining a level of sophistication and cool. Being in the heart of Sandton, we know our patrons want to escape the routine of everyday life to a venue where they can leave their inhibitions behind.” The subtle reference to
Alice in Wonderland in the name gives you an idea of what to expect. It’s a little like going down a rabbit hole into a strange new world when you enter the club via a passage with a shimmering watery ceiling made from a length of hand-moulded stainless steel, intended to act as a dramatic threshold between reality and fantasy.
CUSTOM DESIGN Various interlinking spaces in the basement of the hotel have been reconfigured to create not only a dining area but also a stage, a bar and a cigar lounge, all lavishly decorated by interior designer Tristan du Plessis of Tristan Plessis Studio. “I wanted people to be encapsulated in an experience that felt like anything but normal reality,” says Du Plessis.
HOMEFRONT
Q&A WITH INTERIOR DESIGNER TRISTAN DU PLESSIS Can you tell us a bit about the brief? The client wanted a sumptuous and decadent space juxtaposed with a raw, unrefined underground edge. How did you interpret it? The overall feel was intended to be nostalgic of a time gone by, with a contemporary twist and a slightly dark undertone. I used a juxtaposition of glamour and rawness as well as vintage and contemporary to achieve this. What were the inspirations you drew on? I drew inspiration from the opulent cabaret clubs of years gone by in cities like Paris and New York, and brought that into the contemporary world of African luxury.
PRODUCED BY BLACKSTAR PROPERTY PUBLISHING 1st Floor, Block H, Sable Square, Cnr Bosmansdam and Ratanga roads, Milnerton, Cape Town 021 447 7130
A EDITORIAL TEAM Editor: Debbie Loots Designer: Samantha Durand
It’s all wood panelling, marble counters and furniture upholstered in lush velvet, leather and fur. Concrete columns are contrasted with glimmering brass accents, creating a tension between rawness and refinement. “Tristan has brought our vision to life with his outstanding eye for detail and respect for architectural spaces,” says Spiliopoulos. “Branding team Jana + Koos came on board to brainstorm the look and feel of the venue. Their creative flair was the perfect match to make the Alice & Fifth dream a reality.” Even the cocktail menu is custom-illustrated. “Our cocktails are an event!” says Spiliopoulos. “Their descriptions in the cocktail menu are designed to take you on a journey.” In an additional layer of intrigue and exclusivity, Alice & Fifth incorporates a members-only club that offers, among other facilities, an in-house concierge service, specially reserved tables and a dedicated bottle keep. A chauffeur is available to ferry members around Sandton, and they can expect regular gifts, prelaunch tickets to all performances as well as access to exclusive events. Members can also reserve the club for private parties and prevail upon the venue’s team of event planners and entertainers to sort out the details. aliceandfifth.co.za
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Sitari Country Estate near Somerset West
PROPERTY TREND
Middle ground rules
The mid-value residential property segment, one of 2018’s success stories, is expected to continue soaring in 2019 WORDS: MIRIAM MANNAK :: PHOTOS: SUPPLIED
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ffordability, a lock-up-andgo lifestyle and the downsizing trend are some of the main reasons the mid-value residential property segment came out tops in 2018. It is expected to continue its success in 2019, a recent Lightstone Property report shows. This achievement is in the face of a house price inflation rate of 3% and SA’s lower-than-expected GDP growth rates. Property prices grew by only 2.9% on average – lower than Lightstone Property’s initial forecast of 3.8%. “Taking into account the latest transactions registered at the deeds office, the mid-value market house price index grew by 6.24% in 2018 compared with the high-value (3.07%) and luxury-value (0.80%) segments,” says PaulRoux de Kock, Lightstone Property’s director of data and analytics. This year, Lightstone Property expects midmarket values to grow by 4.7%, which technically implies a slowdown in the first half of the year, but De Kock says this may stabilise depending on the outcome of the elections. “Mid-value still
outperforms increases in the luxury (2.5%) and highvalue (2.6%) segments.” John Chapman, director of the Rabie Property Group, agrees with the research findings. “The mid-market sector has performed better and has proven to be more resilient in the challenging economic conditions,” he says.
REASONS De Kock attributes the success of mid-value property – homes and apartments priced between R700,000 and R1.5m – to homeowners downscaling, and more buyers from the lowvalue market climbing the property ladder. Luxury house prices are expected to pick up in 2019, but only slightly. “Lightstone’s high-road scenario expects luxury prices to pick up by 3.9% for the year. However, the more realistic forecast is 2.5%. Assuming CPI will remain in the target range, it is still not strong enough to result in real value growth but can set the market up well for 2020,” De Kock says. Pam Golding Properties senior research analyst Sandra Gordon adds that middle-band property has been outperforming top-
end brackets constantly from a demand and value growth point of view. This is driven by buyers’ quest for affordability, particularly in the sectional title market. “Sectional title property offers lower maintenance, good security and a lockup-and-go lifestyle,” says Gordon. The likelihood of household finances remaining under pressure could boost mid-value property prices, she says. “The current trend of downsizing and looking for more affordable homes will continue. Generally, the most resilient section of the market is likely to be the middle price band.”
LOCATION Craft Homes, developer of projects such as Sandton Gate and Waterfall Ridge in Gauteng, has done well in the mid-value band and the lower high-value segment of the market, says sales manager Jarrid Rahme. “We sold more than 150 units in the R1m to about R2.5m range. “This number is higher than we forecasted at the beginning of 2018. We expect the sales rate for 2019 to be the same as that of last year,” he says. Developments such as Stonefields in Fourways proved popular among
HOMEFRONT “The midmarket sector has proven to be more resilient in the challenging economic conditions” John Chapman, director, Rabie Property Group
Paardevlei Lifestyle Estate in Somerset West
Sandton Gate, developed by Craft Homes
mid-value and lower highvalue property seekers, according to Rahme. “Our three- and four-bedroom duplex units with a garage and garden are priced from about R1.8m,” he says. “The development is close to good schools, Lanseria Airport, Broadacres Shopping Centre, the Cradle of Humankind and the new Fourways node.” Their prime locations are also a big plus for HB Realty’s The Monroe in Rosebank, Johannesburg, and 297 on Main in Kenilworth, Cape Town. Marketed by Pam Golding, the latter is within walking distance of restaurants, shops, public transport and schools, with a starting price of R1.59m. Being centrally located is a key driver in the value growth potential of mid-value properties, says Ilma Brink, regional development sales manager at Pam Golding Properties Pretoria. “Affordable properties in the R1.3m price range sell very well and are in demand, with a huge opportunity for properties in the R1.6m price range.”
VALUE
Evergreen Val De Vie in Paarl
The demand for midvalue property is also rising in estates such as Acorn Creek Lifestyle
Estate in the Helderberg. This ecofriendly project developed by Multi Spectrum Property (MSP) offers luxury townhouses and apartments in a natural setting. Prices start from R1.4m for a one-bedroom apartment with one bathroom and a garage. “Many people are scaling down and want lockup-and-go homes,” says MSP development sales manager Werner Scheffer. In the Cape Town suburbs of Sunningdale and Parklands, mid-value homes are excelling in terms of demand and value growth, according to RE/MAX broker Caron Leslie. “These areas are developing at a rapid rate, driven by first-time buyers and young families,” she says. “Homes in Parklands North set the tone. Drawcards include accessibility to MyCiTi bus routes, the new Table Bay Mall, nearby beaches and a wide choice of schools.” Sitari Country Estate near Somerset West also offers plenty of affordable options, including apartments at R1.49m in The Everglades and R1.46m in Waterford Place. “More than 50 apartments are on offer, some of which are move-in ready, with highspec finishes that include Miele or Smeg appliances,”
says Claudius Combrinck, MD of Adlab Advertising, Sitari’s marketing agency.
SECURITY The Paardevlei Lifestyle Estate, also in Somerset West, has proven to be popular because of the combination of safety, lifestyle and a sense of community. The same goes for security estates such as Ballito Hills in KwaZulu-Natal. Developed by Balwin Properties, the estate’s lock-up-and-go units start from R1.05m for a one-bedroom apartment and R2.02m for a two-bedroom unit, both featuring ecofriendly Defy appliances. Like elsewhere in SA, the demand for midvalue family homes in Port Elizabeth is high. This translates in aboveaverage value growth, says Clifford Oosthuizen, MD for Westbrook, Amdec Group’s multigenerational estate in the city. “The demand at Westbrook is so high we have opened the sales of Phase 4 of The Ridge, a residential development within the estate, while we are still selling Phase 3,” Oosthuizen says. (Normally one would wait until one phase is sold out before selling the next.)
HOMEFRONT “With prices ranging from R1.22m to R2m, we foresee Phase 4 to sell out before the end of 2019.” This appetite is driven by buyers selling their family homes in favour of moving to more affordable and secure lock-upand-go homes, says Oosthuizen. “Westbrook is a community of people of all ages who live, learn, work and play together.”
RETIREMENT Mid-value retirement units in developments such as Groot Parys Lifestyle Estate and Le Parc Residential Estate, both in Paarl, are in demand too, as is MSP’s Zevenwacht Lifestyle Estate in Kuils River, which, besides freestanding homes, offers a range of luxury apartments starting from R1.45m. According to Arthur Case, CEO of Evergreen Lifestyle, the demand for mid-value retirement property is increasing in SA. “Val de Vie Evergreen in Paarl is under construction, with 75% of its Phase 1, comprising 81 homes, sold out.” He says prices at Evergreen depend on the particular unit and retirement village – the
company’s development in Muizenberg, for instance, offers apartments priced from R1.1m, whereas two-bedroom homes at Evergreen Broadacres in Johannesburg start from R1.45m.
REVIEWING THE HIGHS AND LOWS
DEMAND Moreover, there is a healthy demand for property slightly above the mid-value bracket, including the homes and apartments in security estates such as The Neighbourhood in Johannesburg’s Linksfield suburb. With Phase 1 selling now and new phases launching soon, homes in this lifestyle security complex – the first of its kind in Linksfield – sell from R2m. Combrinck isn’t surprised by the demand for slightly more expensive units. “Affordability has become a key factor. That said, buyers are keenly aware of the fact they are still making the largest purchase in their lives,” he says. “Therefore, they want to make a smart investment that is not only based on price but also the total value, including expected lifestyle and future investment growth.”
Forecast: value band performance in 2019
Forecasts by Lightstone Property take into account certain factors, such as GDP growth, CPI and lending rates, when anticipating various scenarios. In Lightstone’s high-road scenario, overall house prices will grow by 4.5%. This drops to 3% in the mid-road scenario and 2% in the low-road scenario.
8% 7% 6.7%
6% 5% 4%
4.5%
4.7%
4.5% 3.9%
3.6%
3% 3%
2%
2.5% 2% 1.6%
1% 0%
Luxury segment
Overall growth
High-road scenario
Forecast
2.9% 1.8%
High-value segment
Mid-value segment
Low-road scenario
Source: Lightstone Property
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HOMEFRONT
Oasis apartments at Steyn City in Midrand
COMMUNITY LIVING
Complex questions: four things buyers should know Making sure you choose a well-run estate could mean the difference between a good investment and a bad one WORDS: STAFF REPORTER :: PHOTOS: SUPPLIED AND SHUTTERSTOCK
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iving in cluster developments, estates and gated communities is a growing trend in SA. Buyers find security and estate maintenance important and many people invest in this lifestyle for communal amenities such as a clubhouse, pool, golf course and gym. However, buying in an estate is more
complicated than investing in a standalone home, according to online property marketing platform Private Property. The future value of your property will depend not only on its location and condition but also on how well the development is managed. Many people choose to live in a residential complex or estate for the safety and security it offers their
children. But what happens if misbehaving children are the menace in your supposedly tranquil environment? “Living in a well-run estate can be bliss, but the opposite also holds true,” says Engel & Völkers Southern Africa CEO Craig Hutchison. “It’s immediately evident if an estate isn’t properly managed – gardens in communal areas aren’t cared for properly, general maintenance is lacking, cars are parked where they shouldn’t be and the like.” Any potential homeowner should make it their business to know what estate management entails and who is responsible. Four things buyers need to know:
1 Full title and sectional title management The way a residential community is managed depends on whether the homes are full title (freestanding or freehold) or sectional title. Full title means that an owner has full ownership
HOMEFRONT COMPLEXES AND CHILDREN Specialist community schemes attorney and BBM Law director Marina Constas says fair and appropriate rules are the only way to minimise conflicts around children’s behaviour in community schemes. Constas says wayward children sometimes cause dissent in complexes and housing estates. “Take, for example, a case where two youngsters were driving a quad bike recklessly and ended up crashing right through the lounge window of a unit, seriously injuring the occupant.” In another incident three children decided it would be fun to pour sand into the tanks of the vehicles parked in a complex. The question of children’s behaviour at estates highlights a core issue: “Communal living is all about consideration, balance and communication,” says Constas.
Some ground rules: There should be a balance between peace and quiet and the interests of children who live in the complex. A difficulty at many estates is that the rules do not lay down what can and cannot be expected of children or their parents. “Trustees or directors have a duty to set out what is
acceptable behaviour by children,” says Constas. However, all rules have to be reasonable. Extra caution should be taken when it comes to rules concerning swimming pools. “Not only must a rule be included making it mandatory for an adult to supervise and accompany a child to the pool, but there must also be a disclaimer sign at the pool to protect the complex and the trustees in the event of an incident.” Fines are tricky but can be imposed – as long as the rules are crystal clear, Constas says. Any rule about fines should also provide a subclause allowing an owner being fined the right to be heard. The fine amount should be stipulated in the rules, with the proviso that it is reasonable. “There is inevitably one safe bet in a community scheme. When you hit owners’ pockets, there is always an overwhelming shift in attitude,” says Constas. Should any dispute be taken to the Community Schemes Ombud Service, the applicant would be required to provide evidence of the behaviour. It also makes for a stronger case if more than one person is complaining.
Century Property Developments’ Helderfontein Estate in Fourways
rights to the building and the land it is built on. It refers to freestanding houses, cluster houses and smallholdings. Sectional title refers to separate ownership of units within a complex or development. When you buy in a sectional title development, you purchase a unit along with shared ownership of the common property. Sectional title properties include townhouses, flats, semidetached houses and duet houses. Different rules and regulations apply to full title and sectional title properties.
an efficient estate – for example, electing someone who understands property law, an accountant, an architect and a landscaper. Always ask to see the current HOA budget and the year-to-date financial report on expenditure as well as the current levy or assessment collection record to check what percentage of owners are 90 days or more in arrears. If the percentage of noncompliant owners is high, it means the HOA does not have an effective collections policy or procedure, which may well lead you to wonder what else is not being attended to properly.
2 Full title property: 3 Sectional homeowners’ title property: association body corporate Full title homes in estates fall under the jurisdiction of a homeowners’ association (HOA). Estate residents who own property in a complex are eligible to be elected to an HOA board of trustees responsible for ensuring rules and regulations are followed. Electing the right people to the board is crucial to
The governing body of a sectional title complex is a body corporate, and all registered unit owners are members of the body corporate. The body corporate manages the complex and takes care of its finances. Members elect trustees who are responsible for the daily running of the complex.
Trustees manage estate maintenance such as the painting of buildings and repaving of walkways on behalf of the owners. A management agent is often appointed to take care of the duties of an HOA or body corporate. Such duties include ensuring compliance with relevant laws, collection of levies, paying insurance, arranging meetings and ensuring owners and tenants adhere to the rules.
4 Choosing an estate Always look at financial statements and rules and regulations before buying property in an estate or complex. Some estates have rules about animals; others don’t allow pets at all. Some are not child-friendly, whereas others welcome young families and children playing on streets and in communal areas. Hutchison says there are complexes to suit everyone’s life stage and needs. “If you choose the right estate you will get the best out of community living, as you’ll
“Living in a well-run estate can be bliss, but the opposite also holds true” Craig Hutchison, CEO, Engel & Völkers Southern Africa
be surrounded by likeminded people with similar lifestyle requirements, which makes for optimum enjoyment of your home and its surroundings.” Private Property says potential owners should establish the percentage of owner-occupants in the community. Banks are often reluctant to grant loans to prospective buyers in developments
where there is a high percentage of rental tenants, because resident owners tend to be more likely to take care of their properties and communal areas and facilities than tenants, or landlords who don’t live in the community. This is important because the market value of property is directly related to the availability of financing.
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HOMEFRONT PROPERTY NEWS
Rental income and tax: keep this in mind
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etting your home or apartment – especially if it is well maintained and in a popular area – can supplement your income, but will affect your taxes. “Rent received from letting residential accommodation such as a holiday home or cottage on your property, or subletting part of your house, is subject to tax,” says Craig Hutchison, CEO of Engel & Völkers Southern Africa.
You can reduce your taxable income – and thus your tax bill – by deducting rental-related expenses. These include bond interest, rates and taxes, property levies, estate agency fees, homeowner’s insurance, garden services, repairs and security costs. However, it is important to note that improvement costs such as installing a Jacuzzi or swimming pool are not tax-deductible.
“Improvement costs are a capital expense and will be included in the base cost of the property,” Hutchison says. Expenses accrued from leasing a property can sometimes exceed the income, but this loss can be offset against other income. Hutchison advises homeowners to consult with an accountant or tax specialist to understand fully what is and isn’t tax-deductible.
Deco and lifestyle park launches in Umgeni precinct
Renewed activity in residential property market
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A’s residential property market is showing renewed activity, despite various economic and sociopolitical challenges. “Our Atlantic Seaboard office concluded exceptional sales of more than R300m for February this year, including several topend properties fetching prices above R25m and even upwards of R30m,” says Andrew Golding, CEO of the Pam Golding Property Group. The company’s senior research analyst, Sandra
Gordon, points out that Cape Town and Nelson Mandela Bay continue to outperform the national average of South African metros, with house price growth of 7.5% and 5.3% respectively. Optimism also prevails along KwaZulu-Natal’s North Coast thanks to the region’s proximity to King Shaka International Airport, the many secure lifestyle estates and various good schools. In Gauteng, Pretoria and Centurion are showing increased activity too,
whereas property in Menlyn Maine continues to be snapped up by urban professionals and other aspirant home buyers. Johannesburg’s Hyde Park area is getting more enquiries as well. “It appears that many buyers who have been sitting on the fence are now getting on with their lives and making purchase decisions,” says Richard Smith, Pam Golding’s area manager in Hyde Park. “There is a good uptake of properties that are priced right.”
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he Umgeni Deco & Lifestyle Park in the Umgeni precinct, off the N2 between Durban and Umhlanga, was launched last month. At a cost of R1.4bn, this collaboration between Eris Property Group, Prasa and Intersite Asset Investments has brought 90,000m² of retail and commercial space to the Greater Durban area. “We have partnered with several key retailers and look forward to welcoming
them soon,” says Stephen Lawson, developer manager at Eris Property Group. “Having introduced this concept to the public and local businesses six months ago, we can see there is a huge demand for a commercial property offering such as Umgeni Deco & Lifestyle Park.” According to Lawson, this development is exceptional because of its high-spec infrastructure, sustainable environment, management association
and comprehensive complimentary services. Says Lance Meyer, the group’s executive head of property development: “We have been working hand in hand with social development agency Catalyx as well as the local ward committee to ensure the involvement of the community. We have created 110 construction jobs and we will have a number of permanent positions available in the future.”
SA’s next generation of inner-city entrepreneurs
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artnerships are the key to progress. The alliance between the Jobs Fund (JF), a government initiative that co-finances job creation projects, and TUHF, which provides commercial property development finance, proves just that. Since 2015, this successful collaboration has helped dozens of entrepreneurs buy old inner-city buildings and convert them into affordable rental homes. “This partnership is addressing two key
challenges: poor access to finance for budding property entrepreneurs and a shortage of affordable accommodation close to places of economic opportunity,” says JF head Najwah Allie-Edries. The JF partnered with TUHF in 2015 via a R157.5m grant, which was followed up with R1.06bn raised through a mediumterm note programme. Over the past 13 years, TUHF has financed more than R4bn in inner-city residential rental property while
upskilling entrepreneurs through various training interventions, including the TUHF Programme for Property Entrepreneurs, which educates startups on construction-related topics and trains them to manage and grow their property businesses adequately. The partnership is addressing unemployment – over the past four years, the JF and TUHF have helped create a total of 2,411 permanent jobs and 5,126 short-term job opportunities across the country.
HOMEFRONT ADVICE
Bricks and mortar or listed property?
Understanding the asset classes is the key to sound property investing WORDS: STAFF WRITER :: PHOTO: SHUTTERSTOCK
I
nvesting in property is an effective way of building a strong personal balance sheet, but deciding between the available choices can be tricky. Insights from three industry experts:
George Muchanya is head of corporate finance at Growthpoint Properties The question I am most often asked is: should I invest in property at all? Property is a long-term play; that’s the only way to look at it. You cannot invest your money and expect returns on day one. If you are a long-term investor, property is a good fit. Property asset classes typically include offices, shopping centres, industrial property, warehouses, retirement villages, hospitals and so on. Most people don’t have the capital required to buy a building on their own. However, for R1,000 they can buy shares on the stock market. Buying shares in listed property gives everyone, even if they have only a small amount to invest, the opportunity to own property. Investing in listed property helps them to start saving and earning returns in modest amounts. A key factor of investing in listed property is liquidity. Property shares have greater liquidity than fixed property investments. Selling and buying shares is quick, easy and hassle-free. When you invest in listed property shares it is lower-risk, because you aren’t investing in a single property, but rather a diverse multiproperty portfolio. You don’t have to worry about maintaining a property and finding tenants — the professional management teams of listed property companies are responsible for this. Also, most listed property companies pay regular dividends to their shareholders every six months. On the other hand, physical property is less volatile than listed property over the short term. The value of shares on the stock market changes on a daily basis. Fixed property also has sentimental value because you can see it; it makes us feel good to see what we own.
Azzaro Quantity Surveyors MD Sandi Mbutuma is the former chairperson of the Women’s Property Network and serves on the Property Sector Charter Council board One of the most important factors is identifying and understanding the asset classes. For example, residential property is popular with people who want to enter the market. If you have a primary long-term liability with the banks you can build up a credit profile, which allows you to access a secondary bond. This enables you to enter the buy-to-let market. Fractional property ownership, be it owning one room in a hotel or shares in listed property, has proven to be successful and resilient. When people enter the property investment industry it is generally not by buying a block of flats, but rather starting with investing in one apartment at a time. In an office development, perhaps they would start by owning a 150m2 sectional title office. Property has been stable and resilient over the long term, and the optimistic view is that there will be positive movement.
Motseng Investment Holdings CEO Ipeleng Mkhari is also the president of the South African Property Owners Association The value of wealth creation lies in building up your personal balance sheet. You can start either by investing in listed property shares or SA Reits (real estate investment trusts) or by buying a property asset — one apartment or one building — and build from that. There are a number of ways to do this, but it does take time. One of the real benefits of investing in property shares is the liquidity. For instance, a stokvel saving money every month could invest in a particular listed property share out of the 30-plus listed on the JSE, and the beauty is that they would receive dividends every six months. This can be reinvested in the very stock that they already own or diversified into other Reits. That in itself could be sufficient to enable the stokvel to build up enough to buy a small plot of land or a physical property asset.