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Nedbank Private Wealth Logo
April 25, 2017

Nedbank's Private Wealth is growing their presence in the Western Cape

in Office, Retail, Industrial, Hotels and Residential
We are thrilled to announce that we have opened a new office in Stellenbosch.
Zandile Makhoba
April 24, 2017

Jones Lang LaSalle reports five-year real estate investment high in 2016

in Office, Retail, Industrial, Hotels and Residential
Real estate consulting firm, JLL SSA, has released its 2016 Investment Review of the South African property market with analysis reporting a R28.8bn increase in investment (from 18,5bn in 2015), and a similar 52.8% increase in gross lettable area (2 million square metres).
The Square
April 24, 2017

Century City office vacancies fall

in Office, Retail, Industrial, Hotels and Residential
The continued strong take up of offices at Century City has seen almost all new stock being mopped up and overall vacancies dropping to 7,4% in April from just under 10% in January this year and 12,1% in the fourth quarter of last year.
John_LoosFNB
Apr 24, 2017

Western Cape house price growth rate continues to show some “normalisation” after a…

Examining the FNB House Price Indices for the country’s major regions, slowing price growth in the country’s recent…
Sean Paul
Apr 24, 2017

Property Managers are evolving into Asset Managers

The role of the property manager is evolving - with the lines being blurred between that of a property manager and that…
Sisa Ngebulana Rebosis
Apr 24, 2017

Rebosis Property Fund reports net property income growth of 74.6%

Rebosis Property Fund, a JSE listed Real Estate Investment Trust (REIT) whose strategy is directed toward dominant…
Nick_Altini
Apr 22, 2017

Competition Commission is looking for precedent setting excessive pricing case

The South African Competition Commission has referred a supplier of the main ingredient in bricks used in the…
Neil Gopal
Apr 20, 2017

SAPOA Statement on the Draft Property Practitioners Bill

The Property Practitioners Draft Bill was published for comment on 31 March 2017 and when gazetted into law, will…

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Wednesday, 20 March 2013 12:37

Office space under pressure in year ahead

Written by [email protected]
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Property pundits agree that office property will remain the problematic sector in the next 12 to 18 months with dominant retail centres likely to be the best performers.

Vukile Property Fund CEO Laurence Rapp believes that — consistent with last year — the market will continue to "see the office property sector under pressure".

While Rapp believes the performance of the industrial property sector will continue to improve, retail property will continue to be "the preferred asset class given its growth potential but inherently defensive nature".

Redefine Properties CEO Marc Wainer believes the pressure in the office property sector will be particularly felt in the older B-grade property arena. Wainer says it becomes much more difficult to let B-grade space in the current market because newer A-grade rentals are flat. This results in A-grade rentals being more affordable and consequently there is less incentive for prospective tenants to move into B-grade space.

As for new office property space being developed, Wainer says: "Anything being built now is being built specifically for tenants." He says there is little in the way of premium office properties coming onto the market on a speculative basis.

Redefine is, however, developing a 20,000m² office building in Sandton.

Wainer says retail property is "still pretty strong, particularly in the larger centres", adding: "We’ve seen major retailers are still doing well, expanding their retail footprint."

He says industrial property is strong and there are good signs in distribution warehousing.

Growthpoint CEO Norbert Sasse says he sees the office property market remaining the weakest of the property types in the next 12 to 18 months, especially given the muted economic growth outlook in Finance Minister Pravin Gordhan’s 2013 budget. Gross domestic product growth at about the 2.7% level is predicted for 2013.

Sasse also warns the market is seeing a slowdown in consumer spending, which will have a potentially negative effect on the retail property sector.

"However, we are confident the retail sector will continue to provide above average returns for the next 12 to 18 months."

As far as industrial property is concerned, he says there seems to be "mixed signals coming through the economy with manufacturing output coming lower than expected".

Sasse believes this, together with labour unrest in the mining sector, could also "pose some challenges for the industrial sector. However the fact that national vacancy levels in the industrial sector are at the 3% to 5% level suggests that there is no major oversupply of space. We are confident about the industrial property sector."

Source: BD

Listed Property, REIT, Real Estate Funds

Sisa Ngebulana Rebosis

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April 24, 2017 Listed Property, REIT, Real Estate Funds eProperty News
Rebosis Property Fund, a JSE listed Real Estate Investment Trust (REIT) whose strategy is directed toward dominant retail malls and which recently internalised its management team, has reported net property income growth of 74,6% for the six months ended 28…

Office, Retail, Industrial, Hotels and Residential

Nedbank Private Wealth Logo

Nedbank's Private Wealth is growing their presence in the Western Cape

April 25, 2017 Office, Retail, Industrial, Hotels and Residential eProperty News
We are thrilled to announce that we have opened a new office in Stellenbosch.

Green Building and Sustainability

Sable Park

R460m new offices for Century City

April 13, 2017 Green Building and Sustainability eProperty News
A new development of 16 300 square metres of premium grade offices, which will include new regional offices for Discovery, is to be built on a prime gateway site at Century City.

Commercial Property Auctions

Norman Raad CEO Broll Auctions Sales

Prime located buildings in Cape Town & Pretoria sold on auction

December 12, 2016 Commercial Property Auctions eProperty News
Ending the year on a high note, the November 2016 auction held by Broll Auctions and Sales proved a great success with a number of noteworthy sales taking place.

Africa, International Property News

David Lashbrook Momentum Global Investment Management

Momentum Africa Real Estate Fund reaches $170 million

April 06, 2017 Africa, International Property News eProperty News
The Momentum Africa Real Estate Fund (“MAREF”) held its final close on 28 February 2017, raising a total of $170m.

Construction, Energy and infrastructure

Nick_Altini

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April 22, 2017 Construction, Energy and Infrastructure eProperty News
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