Latest News

Atterbury Property Development Kumasi City Mall
March 23, 2017

USD95 million Kumasi City Mall, Ghana, opens on 20 April 2017

in Office, Retail, Industrial, Hotels and Residential
The new Kumasi City Mall in Ghana’s city of Kumasi will open on 20 April 2017.
Ballito Junction Regional Mall entrance3
March 23, 2017

Ballito Junction Regional Mall opens

in Office, Retail, Industrial, Hotels and Residential
The fully-let Ballito Junction Regional Mall opened its doors today on the Dolphin Coast of KwaZulu-Natal, bringing an exciting array of comprehensive, quality shopping to the growing, diverse and flourishing consumers of Ballito and its surrounds.
John LoosFNB
March 23, 2017

Despite weaker activity, building confidence edges higher in Q1

in Office, Retail, Industrial, Hotels and Residential
The FNB/BER Building Confidence Index improved for the third consecutive quarter, rising by 3 points to 43 in 1Q2017.
Waterfall Gauteng
Mar 22, 2017

Attacq welcomes BMW Group to Waterfall

Attacq welcomes BMW Group South Africa to Waterfall, where a new Regional Distribution Facility (RDC) will be developed…
WWF Earth Hour 60 logo
Mar 22, 2017

Join Nelson Mandela Square, Sandton City and the GBCSA in support of Earth Hour

South Africa’s most prestigious shopping centres are joining more than a billion people across 178 countries in an…
Marriott Melrose Arch
Mar 22, 2017

SA seeing marked upswing in mixed-use hospitality investment with entrance of large…

“Recently, we’ve witnessed a noticeable shift in the nature of hotel development in South Africa and the manner in…
Bruce Swain MD
Mar 22, 2017

Owning Property without a Will

A home is the biggest financial asset most South Africans will ever possess, but what happens to that home when the…
One Touch Property
Mar 22, 2017

The most buoyant sectors in the UK property investment market

Investing overseas can be quite daunting and it is a challenge to know what to believe.

Popular

Calling all Cape Town owners and managers of commercial buildings and operations:…

Mar 04, 2017
CoCT Energy Efficiency Forum
Join us for the Energy Efficiency Forum on 16 March at 8:30 for 9:00 until 12:30 followed by a light lunch.

Introducing cutting edge tech to the property industry

Feb 28, 2017
Virtual Reality Technology
Positioning ourselves at the cutting edge, Fieldspace Property Group is transforming the way property brokers and…

The Polofields development launch met with great excitement

Feb 27, 2017
The Polofields apartment block
Balwin, South Africa’s largest homebuilder focusing on large scale sectional-title residential estates in high-growth,…

REBOSA opposes racist property advertisement in the strongest terms

Mar 02, 2017
Jan le Roux REBOSA
The real estate industry has been placed under an uncomfortable spotlight yet again with the reported posting of a…

Making green affordable housing a reality

Mar 07, 2017
Belhar Gardens
Nedbank Corporate and Investment Banking (NCIB) today announced that is has made the first disbursement from an…

High demand for woodstock and Salt River industrial units

Mar 02, 2017
Industrial property Salt River
Accessibility, affordability and the current revitalisation project makes the Woodstock & Salt River a sought -after…

Featured

  • CEO Profile: Hard work pays off handsomely for Marius Muller, CEO of Pareto Limited

    CEO Profile: Hard work pays off handsomely for Marius Muller, CEO of Pareto Limited

  • CEO Profile: Innovation, entrepreneurship drive Mercantile Bank CEO, Karl Kumbier

    CEO Profile: Innovation, entrepreneurship drive Mercantile Bank CEO, Karl Kumbier

  • CEO Profile: Dealmaking and passion for property steer Laurence Rapp to Vukile Property Fund CEO position

    CEO Profile: Dealmaking and passion for property steer Laurence Rapp to Vukile Property Fund CEO position

  • Tower Property Fund's wobbly share price not a true reflection of group’s meteoric rise

    Tower Property Fund's wobbly share price not a true reflection of group’s meteoric rise

  • NEPI investors rubbing their hands with glee as property portfolio rakes in dividends

    NEPI investors rubbing their hands with glee as property portfolio rakes in dividends

  • Every building counts for award-winning property industry powerhouse, Marna van der Walt

    Every building counts for award-winning property industry powerhouse, Marna van der Walt

  • Fieldspace Property Management goes Green

    Fieldspace Property Management goes Green

  • Fieldspace Property Group strives for multi-generation growth

    Fieldspace Property Group strives for multi-generation growth

  • The most buoyant sectors in the UK property investment market

    The most buoyant sectors in the UK property investment market

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9

Featured Profiles

  • CEO Profile: Hard work pays off handsomely for Marius Muller, CEO of Pareto Limited

    CEO Profile: Hard work pays off handsomely for Marius Muller, CEO of Pareto Limited

  • Fieldspace Property Group strives for multi-generation growth

    Fieldspace Property Group strives for multi-generation growth

  • CEO Profile: Innovation, entrepreneurship drive Mercantile Bank CEO, Karl Kumbier

    CEO Profile: Innovation, entrepreneurship drive Mercantile Bank CEO, Karl Kumbier

  • The most buoyant sectors in the UK property investment market

    The most buoyant sectors in the UK property investment market

  • Tower Property Fund's wobbly share price not a true reflection of group’s meteoric rise

    Tower Property Fund's wobbly share price not a true reflection of group’s meteoric rise

  • Fieldspace Property Management goes Green

    Fieldspace Property Management goes Green

  • Every building counts for award-winning property industry powerhouse, Marna van der Walt

    Every building counts for award-winning property industry powerhouse, Marna van der Walt

  • NEPI investors rubbing their hands with glee as property portfolio rakes in dividends

    NEPI investors rubbing their hands with glee as property portfolio rakes in dividends

  • CEO Profile: Dealmaking and passion for property steer Laurence Rapp to Vukile Property Fund CEO position

    CEO Profile: Dealmaking and passion for property steer Laurence Rapp to Vukile Property Fund CEO position

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9

Company Profile

Val-Co Property Valuers

Val-Co has extensive experience in the valuation of a variety of income producing properties, and can therefore offer our clients a comprehensive range of valuation services, and as a team, we endeavor to meet and exceed the requirements of our clients…

Property Leader

Jozef Rams

Jozef Rams

Jozef Rams is a Managing Director at L'Occitane South Africa.
Wednesday, 20 March 2013 12:37

Office space under pressure in year ahead

Written by [email protected]
Rate this item
(0 votes)

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

Waterfall Gauteng

Attacq welcomes BMW Group to Waterfall

March 22, 2017 Listed Property, REIT, Real Estate Funds eProperty News
Attacq welcomes BMW Group South Africa to Waterfall, where a new Regional Distribution Facility (RDC) will be developed by Attacq for the luxury German vehicle maker in Waterfall Distribution Campus. 

Office, Retail, Industrial, Hotels and Residential

Atterbury Property Development Kumasi City Mall

USD95 million Kumasi City Mall, Ghana, opens on 20 April 2017

March 23, 2017 Office, Retail, Industrial, Hotels and Residential eProperty News
The new Kumasi City Mall in Ghana’s city of Kumasi will open on 20 April 2017.

Green Building and Sustainability

WWF Earth Hour 60 logo

Join Nelson Mandela Square, Sandton City and the GBCSA in support of Earth Hour

March 22, 2017 Green Building and Sustainability eProperty News
South Africa’s most prestigious shopping centres are joining more than a billion people across 178 countries in an unprecedented wave of support for the urgent need to address climate change.

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

One Touch Property

The most buoyant sectors in the UK property investment market

March 22, 2017 Africa, International Property News eProperty News
Investing overseas can be quite daunting and it is a challenge to know what to believe.

Construction, Energy and infrastructure

RICS TC Chetty

New mandatory requirements on conflicts of interest for land, property and construction industry

March 20, 2017 Construction, Energy and Infrastructure eProperty News
Following extensive industry consultation, the Royal Institution of Chartered Surveyors (RICS) is tightening up requirements for RICS professionals and regulated firms working in the land, property and construction sector, with the publication of a new global…

Most Popular

Calling all Cape Town owners and managers of commercial buildings and operations: Let’s talk energy and water

Mar 04, 2017
CoCT Energy Efficiency Forum
Join us for the Energy Efficiency Forum on 16 March at 8:30 for 9:00 until 12:30 followed…

Introducing cutting edge tech to the property industry

Feb 28, 2017
Virtual Reality Technology
Positioning ourselves at the cutting edge, Fieldspace Property Group is transforming the…

The Polofields development launch met with great excitement

Feb 27, 2017
The Polofields apartment block
Balwin, South Africa’s largest homebuilder focusing on large scale sectional-title…

REBOSA opposes racist property advertisement in the strongest terms

Mar 02, 2017
Jan le Roux REBOSA
The real estate industry has been placed under an uncomfortable spotlight yet again with…

Making green affordable housing a reality

Mar 07, 2017
Belhar Gardens
Nedbank Corporate and Investment Banking (NCIB) today announced that is has made the…