Property April 2025

APRIL 2025

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THE GREEN REVOLUTION REIMAGINING RETAIL AND HOSPITALITY SPACES THE NEXT BIG OFFSHORE INVESTMENT INDUSTRIAL DEVELOPMENT

FUTURE-FOCUSED

The opportunities driving change

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Contents 7

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OFFSHORE INVESTMENT In this age of constant change, the stability of bricks and mortar is especially appealing, and property investment remains a solid foundation for economic prosperity even in such tumultuous times.

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1O FINANCE AND INVESTMENT What you need to know about property and taxes, offshore investment, new financial products, alternative financing models and technology that continues to shape the sector.

We chat about the hidden perils of building insurance and unpack sustainability in urban development – buildings are becoming more eco-conscious, offering features that reduce environmental impact while enhancing the quality of life for occupants.

18 MEDICAL REAL ESTATE

7 14 ADAPTIVE REUSE Repurposing old buildings is more than a trend; it’s a necessity in South Africa’s evolving urban landscape. We highlight how innovation, sustainability and economic shifts are driving the transformation of old spaces into new, functional and vibrant developments.

15 OFFICE CULTURE While the hybrid office model has been heavily discussed from the perspective of flexibility and business efficiency, its deeper impact is often overlooked: the transformation of office spaces into vibrant culture hubs that go beyond just functional workspaces.

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17 PROPERTY MANAGEMENT

We explore the burgeoning medical development sector in South Africa, examining how investors, developers and healthcare professionals are seizing opportunities in this niche market.

22 INDUSTRIAL DEVELOPMENTS An evolving industrial landscape calls for new kinds of commercial spaces.

24 STUDENT HOUSING Student housing is no longer just a place for students to sleep. Today, modern student accommodation includes lifestyle features, academic support and a sense of community.

31 HOTEL DEVELOPMENTS South Africa’s hotel sector is transforming, driven by evolving traveller preferences, economic shifts and technological advancements. From luxury lodges to budget-friendly stays, the industry is adapting to meet new demands.

37 MIXED-USE DEVELOPMENT We explore how the future of urban living may well exist beyond the fringes of what we think of as cities today.

43 RESIDENTIAL Unpacking the key trends in the residential sector that are driving property sales.

46 BUYING OFFSHORE RESIDENTIAL PROPERTY South Africans with the means are diversifying their investment portfolios by investing in properties overseas – but is it as simple as it sounds?

54 RETAIL

27 RETAIL Retail is evolving at pace, driven by macroeconomic shifts, enhanced distribution capabilities, and the rise of conscious consumerism.

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While online shopping is increasing rapidly in South Africa, the experience offered by brick-and-mortar stores can never be replicated – the omnichannel offering.

46 PROPERTY

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EDI T ORI A L COMMEN TA RY

FUTURE-FOCUSED

PUBLISHED BY

The changing landscape of property investment

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he South African property sector is in a dynamic phase of transformation with both residential and commercial markets showing resilience and innovation. Despite economic challenges, property investment remains a stronghold, offering stability in uncertain times. From adaptive reuse projects to mixed-use developments, the industry is responding to shifting demands with forward-thinking solutions.

A NEW ERA FOR PROPERTY INVESTMENT Bricks and mortar have long been considered a foundation for wealth creation and today’s property landscape continues to evolve.

Investors are not just looking at traditional real estate options, but are also exploring offshore opportunities, alternative financing models, and tax-efficient strategies. In this issue, we unpack key financial insights, including tax considerations, offshore investments and new financial products that are shaping the property sector.

URBAN TRANSFORMATION As cities grow and space becomes a premium, adaptive reuse is playing a crucial role in South Africa’s urban evolution. Old buildings are being repurposed into vibrant, functional spaces, blending history with modern utility.

This shift is not just about aesthetics; it’s about sustainability and economic efficiency.

Similarly, mixed-use developments are redefining how we live, work and play, blurring the lines between residential, retail, and commercial spaces.

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READ What’s in store for South Africa’s residential property market in 2025?

THE FUTURE OF WORK AND LIFESTYLE SPACES The hybrid work model has reshaped the way businesses operate, but it’s also transforming office spaces into culture hubs. No longer just places for productivity, today’s offices are designed to foster collaboration and creativity.

Meanwhile, student housing is evolving beyond simple accommodation – modern residences now offer lifestyle amenities, academic support and a strong sense of community.

SUSTAINABILITY AND SMART PROPERTY MANAGEMENT Eco-conscious developments are becoming the norm with sustainable buildings integrating energy-efficient technologies and environmentally friendly designs.

Property management is also seeing a shift, with artificial intelligence-driven solutions streamlining operations, enhancing security and reducing costs. As we explore urban sustainability in this issue, we also dive into the complexities of building insurance and what property owners should be aware of.

Raina Julies

EDITORIAL Content Manager: Raina Julies rainaj@picasso.co.za Contributors: Keith Bain, Trevor Crighton, Reinier Kriek, Vukani Magubane, Waldo Marcus, Itumeleng Mogaki, Busani Moyo, Thando Pato, Vanessa Rogers, Jean-Paul Rudd, Anthony Sharpe, Andries Terblanche Copy Editor: Brenda Bryden Content Co-ordinator: Natasha Maneveldt Online Editor: Stacey Visser vissers@businessmediamags.co.za DESIGN Head of Design: Jayne Macé-Ferguson Senior Design: Mfundo Archie Ndzo Cover Image: Photographer Frances Marais SALES Project Manager: Merryl Klein merrylk@picasso.co.za | +27 21 469 2446 PRODUCTION Production Editor: Shamiela Brenner Advertising Co-ordinator: Fatima Drama Subscriptions and Distribution: Fatima Dramat fatimad@picasso.co.za Printer: CTP Printers, Cape Town MANAGEMENT Management Accountant: Deidre Musha Business Manager: Lodewyk van der Walt General Manager, Magazines: Jocelyne Bayer

COPYRIGHT: Picasso Headline. No portion of this magazine may be reproduced in any form without written consent of the publisher.

The publisher is not responsible for unsolicited material. Property is published by Picasso Headline. The opinions expressed are not necessarily those of Picasso Headline. All advertisements/ advertorials have been paid for and therefore do not carry any endorsement by the publisher.

PROPERTY

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PROPER T Y IN V ES T MEN T: OF F SHORE

OFFSHORE PROPERTY INVESTING: THE INS AND OUTS Offshore property investment is growing. What should potential investors know about international markets, risks and rewards? THANDO PATO speaks with the experts to find out

IMAGES: WWW.FREEPIK.COM, SUPPLIED

WHY IS THERE A GROWING APPETITE? Offshore property investment is a growing trend among local investors, says Jenny Ellinas, founder and CEO of Cypriot Reality, a full-service company that assists with offshore property investments. Why? “At the top of the list is the volatility of the rand and the economic uncertainty facing South Africa. So, many investors are now looking to diversify their investment options through offshore property, not only as a way to secure an investment in a foreign market with a stable currency, but also to earn additional income in a foreign currency through short- or long-term rental.

“Offshore property investments, depending on the country, come with residency permits that offer a gateway to travel, immigration and an opportunity for your children to study abroad.

It’s also optimal legacy planning because many countries in Europe don’t have estate tax upon death, unlike in South Africa where your estate is taxed twenty-eight Jenny Ellinas per cent,” she explains.

A brick-and-mortar investment is still very lucrative for many investors entering the European market, she says, and is driven in part by Golden Visa programmes introduced by popular destinations, such as Mauritius, Spain, Portugal, Malta, Italy, Canada, Cyprus and Greece, which offer fast-tracked full-residency permits upon asset or property investment.

“However, Spain and Portugal have, since 2024, restricted offshore property investment due to a high influx of investors. This has led to skyrocketing property prices and housing shortages affecting local residents,” says Ellinas.

GOLDEN VISA PROGRAMMES

Some European countries offer offshore property investment with a residency programme.

Cyprus requirements: a minimum investment of €300 000.

Greece requirements: a minimum investment of €800 000 in prime areas and €400 000 in low-density areas.

Malta requirements: a minimum investment of €375 000 or rental of €14 000 annually.

Craig Warwick, regional account manager, Africa at API Global, says the United Kingdom (UK) is also a popular market for local investors. “Southern African investors are looking at the UK primarily because it offers a strong property investment case and with a future view for children or grandchildren studying in the UK further down the line.

Considering what the accommodation costs would be for their children in the UK in the future, locking in the value of a UK property now puts them in good standing,” he explains.

Warwick says investing in the UK is particularly beneficial now because of the growing housing demand in high-growth cities such as London, Manchester and Birmingham.

“In the UK, stock is always limited, giving landlords better occupancy rates, overall rental yield growth and asset appreciation,” he says.

WHAT INVESTORS NEED TO KNOW While offshore property investment has many advantages, potential investors must be prudent, says Ellinas. Some of the potential

risks investors face include ongoing currency fluctuations and fraud. “It’s important to do your due diligence and work with a partner/ agency/company that is fully vetted, has a good reputation, understands the market and is in the best position to give you the full picture so you understand what is required financially and legally in the market you want to invest in and in South Africa. Also don’t buy a property without inspecting it in person.

Visit the country to inspect the property and the area and ask plenty of questions. Most importantly, be clear about your needs and possible future plans,” she says.

Warwick adds: “For investors interested in the UK, the most notable risk is buying in the wrong location.” For investors looking to rent their asset, he advises: “Tenant profile and tenant demand are the cornerstones of any property investment. It’s about getting the area, property design, property styling and amenities right to attract the best tenants.

“It is also critical to get the financial structuring right from the outset. Our mortgage team assists all clients with the best possible and most suitable mortgage structures. This allows our clients to be in a cash-positive position from the outset.”

“INVESTING IN THE UK IS PARTICULARLY BENEFICIAL NOW BECAUSE OF THE GROWING HOUSING DEMAND IN HIGH-GROWTH CITIES.” – CRAIG WARWICK Follow: Jenny Ellinas www.linkedin.com/in/jennyellinas Craig Warwick www.linkedin.com/in/craig-warwick-1282a019

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CYPRUS IS JOINING THE SCHENGEN

Cyprus is due to join the Schengen Area by the end of the year, finalising a significant milestone in its final integration with Europe, writes CYPRIOT REALTY

PROPERTY INSPECTION TRIPS We arrange personalised property inspection trips, allowing you to visit Cyprus, explore real estate opportunities and experience the lifestyle first-hand.

We also co-ordinate meetings with taxation and legal experts, guiding you through every step of the process with full support and expertise.

• Seamless travel for residents: your Cyprus permanent residency card will allow 90-day visa-free entry to all 27 EU countries making travel across Europe more convenient.

• Growing demand for permanent residency: rising foreign investment will drive property values upward, making real estate in Cyprus an even more lucrative asset.

CYPRUS’ PERMANENT RESIDENCY PROGRAMME: A PREMIER CHOICE

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yprus is a stunning English-speaking Mediterranean country known for its rich history, beautiful beaches and vibrant culture. As a European Union (EU) member, it offers a high quality of life, favourable tax benefits and a strong real estate market. Being an ex-British colony, Cyprus is an attractive destination for investors, expatriates and travellers alike.

Cyprus’ inclusion in the Schengen Area finalises a significant milestone in its integration with Europe. This is expected to bring numerous benefits, particularly enhancing the appeal of Cyprus’ Permanent Residency programme. Renowned for its cost-effectiveness and desirability, this programme is set to become even more attractive to global investors and expats.

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CYPRUS’ SCHENGEN MEMBERSHIP BENEFITS • Boosted tourism: with over 400 million people in the Schengen Zone, Cyprus will attract a larger pool of tourists who can visit without visa restrictions. Property investors will benefit from increased tourist bookings and enhanced rental yields.

• Economic growth: multiple sectors (including hospitality, retail and services) will experience higher demand. This increases Cyprus’ desirability as an attractive destination for long-term tenants looking to settle.

As permanent residency programmes across Europe become more restrictive or significantly more expensive, investors have fewer options than ever before. In recent years, we’ve seen major changes with Portugal, Spain and Ireland closing their programmes, Greece increasing the minimum investment amount, Malta requiring proof of assets and even Australia eliminating its Golden Visa programme.

But Cyprus is still open! Cyprus has been recognised for offering the best permanent residency programme in Europe, attracting significant investment into its thriving economy.

BEING AN EX-BRITISH COLONY, CYPRUS IS AN ATTRACTIVE DESTINATION FOR INVESTORS, EXPATRIATES AND TRAVELLERS ALIKE.

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CYPRIOT REALTY ADVERTORIAL

YOUR TRUSTED PARTNERS

The three key benefits of investing in Cyprus include: • Securing permanent residency through property investment as a reliable Plan B. • Enjoying an exceptional Mediterranean lifestyle.

• Gaining peace of mind in a secure and stable investment environment.

making Cyprus a top choice for relocation.

As a former British colony, language is never a barrier – English is spoken widely, and all official documentation is in English. With its relaxed, stress-free atmosphere and family-friendly environment, Cyprus offers an ideal setting for those seeking a better way of life.

1. Your Plan B As one of Europe’s last remaining residency programmes, opportunities to secure permanent residency are becoming increasingly rare. Cyprus’ programme extends eligibility to two generations within the same family, including dependent children up to age 25. Residency approval takes less than a year, yet the status is permanent for life, with no need for renewal. Additionally, residents are not required to live in Cyprus to maintain their status. Cyprus permanent residents also have the right to apply for citizenship through naturalisation after meeting the country’s physical presence requirements.

3. A safe investment destination Cyprus is consistently ranked among the safest countries in the world, providing a secure and stable environment for real estate investment. Property sales to international buyers continue to rise, particularly in the island’s western regions, while significant infrastructure development and vast natural gas reserves are driving substantial investment into the economy.

2. The lifestyle on offer It’s easy to fall in love with Cyprus, where a first-world lifestyle seamlessly blends with the charm of an authentic Mediterranean island.

However, it’s the exceptional quality of life that is attracting investors in large numbers,

ACT NOW BEFORE PRICES RISE – LIMITED TIME TO INVEST With Cyprus set to join the Schengen Zone, demand for permanent residency is surging, creating increased buyer competition, a limited housing supply and a likely rise in the minimum investment threshold.

• Higher demand, rising prices: as residency in Cyprus becomes even more desirable, property values are expected to increase significantly due to heightened demand.

• Investment threshold likely to increase: currently, Cyprus’ permanent residency programme requires a minimum real estate investment of €300 000, but with Schengen membership, the government is likely to raise this threshold.

• Secure your residency before costs rise: delaying your investment could mean higher prices and fewer choices. By acting now, you can take advantage of current market conditions, lock in your residency, and invest before prices soar.

We are renowned as offshore investment experts, successfully managing property transactions in Cyprus to secure permanent residency, facilitate property investment, support immigration and retirement/relocation plans and assist with launching EU-based businesses. We internationalise our client’s wealth and understand investors’ needs.

We provide a comprehensive, tailored service with a proven track record – we have had the privilege of assisting hundreds of investors and families over the past 17 years.

We highlight the diverse property opportunities in Cyprus, offering our clients access to an exceptional lifestyle and a thriving and stable economy, and the chance to live and invest in one of the world’s safest countries.

Along with our vast network in Cyprus, our true value lies in helping clients find their ideal property: whether an apartment, townhouse, seafront villa, estate villa or stand-alone home. Additionally, we offer assistance in renting properties both to long-term tenants and short-term holidaymakers.

Contact us for a confidential meeting to discuss how Cyprus can fit in with your offshore plans. We will gladly assist and guide you.

Cypriot Realty – your key to living in beautiful Cyprus.

VISIT WEBSITE

SCAN THIS QR CODE TO GO TO CYPRIOT REALTY WEBSITE

For more information: Contact Jenny Ellinas, Founder and CEO Tel/WhatsApp: +27 83 448 8734 jenny@cypriotrealty.com www.cypriotrealty.com

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F IN A NCE A ND IN V ES T MEN T S

WHAT YOU NEED TO KNOW ABOUT PROPERTY AND TAXES Navigating the complexities of property taxes is essential for anyone buying or selling property. By RENIER KRIEK, MD at Sentinel Homes 2. Municipal taxes and ongoing costs After purchasing property, municipal taxes are a constant expense. These taxes are in addition to other property-related expenses such as utilities, levies and body corporate fees.

3. Capital gains tax (CGT) on sales Selling property may result in CGT, based

GAME-CHANGERS

Fast fact

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iyaad Khan, co-head of Real Estate Investment Banking at Rand Merchant Bank (RMB), says: “The acquisition and retention of tenants are high-cost activities for residential- and other accommodation-focused businesses.”

However, the likes of dynamic “online marketplaces, tenant engagement and loyalty platforms, rent payment and collection services and maintenance solutions” are rapidly reducing these costs and aiding efficiency for tenants and landlords alike.

DATA ANALYTICS AIDS LEASE EXTENSIONS Cutting-edge software, applied to the retail environment (shopping malls), allows building owners to better gauge trading and consumer behaviour patterns and ensure tenant needs and preferences are adequately addressed.

The happier and better serviced a mall’s tenants, the more profitable their business will be (when it comes to consumer sales), and the more readily they will be to extend their leases in that particular mall.

BANKING SOFTWARE REDUCES FINANCING RISK As data related to risk underwriting becomes clearer and more comprehensive, advanced banking analytics is leading to best-in-class decision-making in “client-specific” services (those tailored to the needs of a specific customer) related to the latest financing solutions.

Khan specifies that these new solutions may extend to: • Lower deposit requirements and higher leverage levels, which can be provided to qualifying clients through bespoke risk mapping. In some instances, the lender may finance the entire purchase price of a commercial property – meaning the borrower is not required to put down any form of deposit.

• Flexible repayment terms such as interest-free periods and dynamically adjusting instalments based on higher-frequency analysis of the underlying performance of the specific asset.

APP INTEGRATION STREAMLINES OPERATIONAL INTEGRITY “Artificial intelligence (AI) and application programming interface (API)-driven integrations are fundamentally reshaping commercial property management, resulting in a more data-driven and efficient approach to operations,” advises Wayne Berger, joint chief executive at iShack Ventures. “Rather than relying on fragmented systems,” he says, “forward-thinking landlords and occupiers are leveraging technology to centralise their data, and automate key processes.”

Platforms such as SmartBuildingApp.com, reveals Berger, exemplify this transformation

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Riyaad Khan

The South African proptech market is projected to grow at a compound annual growth rate of 15–18 per cent from 2025 to 2030, driven by the increasing adoption of digital solutions in the real estate industry.

Source: mobilityforesights.com because they integrate real-time property data through open APIs – enabling seamless connectivity across leasing, maintenance and asset management functions. By eliminating data silos, he explains, these solutions can provide a comprehensive view of property performance, which allows for informed decision-making and improved compliance tracking.

“AI enhancements are also revolutionising predictive maintenance, space optimisation and energy efficiency,” says Berger. “By analysing historical patterns and real-time data, AI-powered platforms can anticipate maintenance requirements, optimise resource allocation and enhance tenant experiences – ultimately reducing costs and increasing sustainability.”

As the South African commercial property sector continues to evolve, embracing AI and API-led centralisation will be crucial for those businesses keen to streamline their operations, enhance the performance of their assets and remain competitive in a rapidly changing, highly competitive market – where access to cutting-edge financing models is key to entry.

www.linkedin.com/in/wayneberger www.linkedin.com/in/riyaad-khan89-23558453

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The South African commercial property sector is rapidly evolving, integrating smart automation, artificial intelligence-driven analytics and innovative financing models. By VANESSA ROGERS

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1. VAT versus transfer duty VAT applies to newly developed properties, while transfer duty is applicable when purchasing an existing property. Importantly, transfer duty is not typically financed through home loans, so it’s essential to budget for it upfront.

on the profit made from the sale. However, if the property is your primary residence, the first R2-million of your profit is exempt from CGT. 4. Provisional tax for rental income If you earn rental income, you’ll need to pay provisional tax. This tax is paid in two instalments based on estimated earnings and any excess or shortfall is adjusted when you file your annual tax return.

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TAILORED FINANCE

AT THE SPEED OF YOUR BUSINESS Revolutionising the investment and financing landscape for over 35 years, Fedgroup, a specialist financial provider, has been a trailblazer in identifying unique opportunities and transforming capital into a powerful catalyst for growth. By FEDGROUP

From left: Retail Africa’s Richard O’Sullivan and Fedgroup’s Jason Green.

FEDGROUP HAS A DEMONSTRATED TRACK RECORD OF SUPPORTING THE GROWTH OF ITS PARTNERS WHILE DRIVING IMPACT THROUGH STRATEGIC ASSET ALLOCATION. Can-Agri’s vertical farming facility in Pretoria.

decision-makers facilitating decisive action, Fedgroup maintains the agility to move at the speed of its clients’ businesses, regardless of industry or transaction complexity.

SETTING PROMINENT BENCHMARKS Fedgroup’s capability to set a benchmark in the industry for innovation and supporting growth-oriented entrepreneurial ventures is evident in many prominent partnerships established over the years.

Its growing relationships with existing and emerging property investors, owners and developers are evidence of the growth platform being established by Fedgroup.

From acquisition finance for portfolios of residential rental stock, an emerging investment class in a South African context, to development finance for a portfolio of retail convenience centres, Fedgroup has a demonstrated track record of supporting the growth of its partners while driving impact through strategic asset allocation.

The speed and rigour of Fedgroup’s investment platform enables its partners to grow their businesses and seize opportunities.

This commitment to excellence in execution, paired with deep asset specialisation and a solution-orientated mindset, ensures the company adds value to the equation on each opportunity undertaken.

SPOTTING UNIQUE OPPORTUNITIES A core pillar of Fedgroup’s investment strategy is partnering with entrepreneurial operators who have a sharp market edge and a keen eye for exceptional opportunities. This approach proved invaluable during the uncertainty of the COVID-19 era when informed decision-making was more critical than ever. One standout success born from this strategy is Fedgroup’s collaboration with Retail Africa, which began in 2020; one of the remarkable outcomes of that period that continues to unfold.

With more than two decades of success in the South African retail property sector, Retail Africa has established itself as a dynamic

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orn out of a deep-rooted passion for commercial property financing, Fedgroup harnesses its extensive expertise across a spectrum of alternative asset classes, from energy and agriculture to capital equipment, to structure unmatched, private credit lending solutions tailored to the specific operational needs of clients’ businesses. Jason Green, partner: Alternative Asset Management at Fedgroup explains by saying, “Our team’s expertise in real assets enables us to support our clients’ operations and growth ambitions far beyond simply providing capital.”

This dynamic approach is fuelled by a lean, flexible structure that eliminates the bureaucratic constraints typically found in traditional financing. By working closely with clients and partners, Fedgroup crafts holistic, asset-backed finance solutions designed to enable clients to seize opportunities rather than offering them generic, off-the-shelf products. With direct access to

FEDGROUP ADVERTORIAL

Ridgeview convenience shopping centre, Helderkruin, Roodepoort.

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force in property development and investment.

Retail Africa displayed great foresight during the COVID-19 period. It identified the growing demand for convenience shopping centres, even as the pandemic severely impacted retail activity. Recognising this as a prime opportunity, Fedgroup chose to engage with this seasoned developer, given their proven expertise and track record in retail property.

Richard O’Sullivan, managing partner at Retail Africa, elaborates on their strategic focus: “We set our sights on the ‘ugly ducklings’, well-located yet undercapitalised and rundown shopping centres owned by private individuals. Unlike blue-chip super-regional malls, these centres lacked easy access to capital. However, we quickly saw that trading activity at smaller centres was surpassing that of their much larger counterparts. Even as COVID-19 restrictions eased, consumer behaviour has shifted permanently, with shoppers continuing to favour convenience retail.”

Retail Africa was well aware of Fedgroup’s reputation as a pioneering financier with an entrepreneurial mindset; one that avoids rigid processes and prefers a flexible, client-focused approach. As O’Sullivan puts it: “The ability to engage directly with decision-makers, without layers of red tape or wasted time, was exactly what we needed to execute our strategy at speed.”

This alignment led to a partnership that has flourished over the past four years, unlocking synergies that continue to strengthen both companies. Fedgroup backed Retail Africa in building a portfolio of standout retail projects because it saw the growing demand for

quality, community-based shopping centres in today’s fast-paced world.

More importantly, Retail Africa’s expert approach to unlocking retail potential perfectly aligns with Fedgroup’s vision. Retail Africa’s specialisation and game-changing redevelopment strategies directly support Fedgroup’s solution-driven financing model; one that builds on its 35-year legacy of stability and flexibility as a trusted partner to investors and developers.

FUTURE-PROOFING BUSINESS GROWTH Harnessing the power of innovation, Fedgroup delivers forward-thinking financing solutions that adapt to an ever-changing business landscape. With load shedding once again disrupting operations along with persistent above-inflation growth in the cost of utilities, the demand for reliable, cost-effective power solutions has never been more critical.

By leveraging technological advancements, such as the internet of things, and capitalising on the rapid progress in solar and battery backup power, Fedgroup delivers an unmatched, future-proof service that redefines how property assets are financed and managed.

Renewable energy sources have a pivotal role to play in diversifying the energy mix and enhancing the reliability of the grid. With Fedgroup already powering four per cent of South Africa’s commercial solar rooftops, equating to 117 million uninterrupted office hours, it underscores the effectiveness of the company’s commercial energy solutions.

This clearly illustrates how strategic funding of commercial and industrial solar installations, combined with expert-led procurement,

ACROSS THE COMMERCIAL PROPERTY SPECTRUM, FEDGROUP IS NOT JUST INVESTING IN PROPERTIES; IT IS ALLOCATING CAPITAL ALONGSIDE ENTREPRENEURS AND INVESTORS WHO ARE THE GROWTH ENGINE OF THE ECONOMY.

maintenance and real-time monitoring via Fedgroup’s in-house partners can offer cost-effective, seamless, end-to-end solutions.

And, as more businesses return to the office, clean and reliable power is vitally important.

Fedgroup also aims to build ecosystems to provide energy security to clients. This means being involved, or involving its partner companies, all the way from designing the system, managing the build, testing and having all the licences in place, and then getting it up and running and generating electricity.

A prime example is its partnership with Emergent Energy, experts in the design, installation and financing of embedded energy systems. Emergent Energy’s investment engineers help property partners transition off-grid with tailored solutions. Notably, this collaboration with multiple leading Real Estate Investment Trusts (REIT’s) have powered some of the most prime industrial warehousing and manufacturing properties, amongst others.

SEEING THE BIGGER PICTURE Across the commercial property spectrum, Fedgroup is not just investing in properties; it is allocating capital alongside entrepreneurs and investors who are the growth engine of the economy. While this approach enables Fedgroup to stay ahead of market trends and deliver strong returns for investors, it also reflects the company’s commitment to building resilient communities that can thrive despite economic challenges.

South Africa, with its strategic position and potential, has a key role to play in Africa’s growth story. The continent offers vast development opportunities, which can be unlocked through innovative partnerships and sustainable projects.

VISIT WEBSITE SCAN THIS QR CODE TO GO TO FEDGROUP’S WEBSITE

For more information: www.fedgroup.co.za lending@fedgroup.co.za

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A DA P T I V E REUSE

CREATIVE SOLUTIONS FOR URBAN NEEDS

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daptive reuse projects (where existing buildings are used in a different capacity, such as turning an old factory into a shopping centre) provide a means to breathe life into abandoned buildings, protect cultural heritage and minimise environmental impact.

South African cities are full of existing buildings that have been repurposed. The radical development of the Zeitz MOCAA Museum in Cape Town is an excellent example, where an existing grain silo was transformed into a museum and hotel, becoming a work of art itself. With innovative strategies, these forgotten spaces in our cities, along with the increased demand for accommodation from urban influx, present a valuable opportunity for redevelopment. Through careful redevelopment, abandoned buildings can be transformed into vibrant hubs of activity, fostering economic growth and Andries Terblanche community rejuvenation.

WHY ADAPTIVE REUSE? Vacant land is increasingly scarce, especially in cities. As the needs of the people change over time and for buildings to endure through multiple generations, they need to be adapted

POTENTIAL PITFALLS Adaptive reuse projects are not without their challenges. In an ideal world, much of an existing building’s structure can be repurposed.

However, the reality is often that sites of moderate or significant heritage value can be weathered, eroded or unstable due to years of abandonment or neglect. Addressing these issues may add to project costs and timelines.

There are also heritage considerations.

For example, in South Africa, buildings over 60 years old are classified as heritage structures under the National Heritage Resources Act, meaning any alterations or demolition require a permit from the relevant provincial heritage authority.

Collaboration with heritage bodies is of utmost importance. Ensuring client, architectural team, local municipality and heritage body work harmoniously to achieve a result that respects and promotes the

Follow: Andries Terblanche

Shandukani Centre, Hillbrow Health Precinct, Johannesburg The historic Van Niekerk Building, originally part of the old Hillbrow Hospital, was transformed into the Shandukani Centre – a modern prenatal and antenatal facility.

The building was renovated to preserve its historical significance while accommodating contemporary medical services. Sustainable practices included maximising natural ventilation to reduce reliance on air conditioning and aligning with environmental and medical considerations.

Source: www.theheritageportal.co.za

New Braamfontein Lofts, Johannesburg The New Braamfontein Lofts project showcases adaptive reuse by converting defunct Telkom warehouses into a vibrant residential complex. Tens of thousands of bricks were cleaned and reused and concrete from existing structures was crushed and repurposed for new construction elements. The design retained the industrial character of the original buildings, blending natural materials with modern aesthetics to create functional and inspiring living spaces.

Source: www. newbraamfonteinlofts.co.za

cultural significance of the site is crucial to the success of a heritage project.

Architecture and construction will require a drastic change to ensure the future of cities is secured. Homelessness, climate change and increasing prices are all at the forefront of this need for change. Cities will need to move to more sustainable sources of housing, energy and produce. This will affect the state and purpose of buildings as we currently see them.

However it is implemented, it will have to be done in careful balance.

www.linkedin.com/in/andries-terblanche-ab0ab7210

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Zeitz MOCAA Museum in Cape Town.

to suit changing social, economic and personal requirements.

Using existing buildings innovatively can save costs, time and energy. The cost benefits are twofold – the physical elements of an existing building can be reused and construction time can often be reduced.

Naturally, where adaptive reuse is an option within a project, seeing as most of the structure will already be in place, it saves significantly in terms of raw project materials and project waste, especially when compared to traditional reconstruction. Furthermore, with the various new regulations and energy efficiency requirements of buildings, saved building costs can often be put towards green, eco-friendly and energy-efficient systems within the new building.

Older structures may need to be refitted with modern insulation, air-sealing technologies and HVAC systems to not only provide more habitable space, but also ensure the building complies with the needs of the present or future occupants.

ADAPTIVE REUSE PROJECTS

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ANDRIES TERBLANCHE, draughtsperson at BPAS Architects, shares why repurposing old buildings is more than a trend – it’s a necessity in South Africa’s evolving urban landscape

OF F ICE CULT URE

HYBRID OFFICE SPACES HELP BOOST WORK CULTURE

As more companies embrace hybrid work, there’s a growing realisation that office spaces must cater to the human side of the equation – supporting not only productivity and collaboration, but also employee connection, creativity and mental wellbeing. By VUKANI MAGUBANE

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ybrid office spaces are revolutionising the way companies operate, blurring the lines between professional and personal wellbeing while redefining corporate culture. They are becoming – by default – a strategic tool for organisations to enhance productivity, creativity and collaboration and build a culture based on trust and flexibility.

By allowing employees to choose where and how they work, companies are evolving from outdated rigid office structures and rules to embracing a workplace culture that understands employees have different needs and circumstances. Times have truly changed.

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A TRANSFORMATIVE SHIFT Hybrid office spaces have ignited a transformative shift in workplace culture and upended old ways of working. One of the big shifts the hybrid office model has made is to put the spotlight on time-based work where you “clock” into an office versus output-driven performance from anywhere. “Employers will increasingly prioritise outputs over traditional nine to five hours and progressive companies will empower their employees to achieve them thanks to hybrid working,” says Joanne Bushell, MD of International Workplace Group (IWG) Plc South Africa, a large provider of hybrid workspaces with brands including Regus, Spaces and HQ. Bushell adds: “Companies are increasingly shifting their focus towards enhancing the productivity and happiness of their people rather than focusing on where they work from.”

With hybrid work now the new normal, organisations are recognising that office spaces should support a work-life balance where work is integrated into daily life rather than to a fixed location.

According to Bushell, office design has always evolved as new ways of working

Did you know?

Dynamic mixed-use developments are changing the face of business districts in cities worldwide. The impact of hybrid working has reduced the number of inner-city commuters and is driving investors, landlords and developers to reimagine the commercial cores of cities with a wider mix of uses and experiences beyond the basic provision of office space.

Source: IWG’s The Future of Work Trends Forecast 2025 Whitepaper

emerge. The cubicles that characterised offices in the 1960s and 1970s gave way to open-plan offices, which have dominated workspace design ever since. “Now, we’re seeing the needs of the increasingly common hybrid worker shape how architects and planners design our workspaces, with diverse, technologically advanced and multifunctional spaces becoming the norm,” Bushell explains.

The transformation is not only about the physical space; it’s about reshaping an organisation’s culture strategy – the way teams communicate, collaborate and thrive and how performance and success are defined. ”In today’s world, offices are all about flexibility, community and employee wellness,” says Marjorie Ndesi, sales manager for the Business Exchange. The company was founded with the vision to shake up the traditional office space model and provide tailored office space solutions that align with companies’ and teams’ needs, preferences and style of work.

She adds: “Companies are adapting to flexible layouts such as phone booths, moveable walls, focus rooms and collaboration areas.

They are prioritising employee wellness by seeking offices that provide natural light and shared office spaces where workplace culture can thrive. These spaces encourage employees and tenants to collaborate, foster community and grow.”

A company culture that prioritises the health and Marjorie Ndesi wellbeing of employees has become essential for employers seeking to attract and retain skilled talent. Bushell mentions that hybrid working as a wellness benefit is one of the top 10 trends identified by IWG as shaping global work in 2025. “Flexible and hybrid working arrangements are set to become as coveted as health insurance in compensation packages,” she says.

Follow: Joanne Bushell

Marjorie Ndesi

www.linkedin.com/in/joanne-jo-bushell-90927643 www.linkedin.com/in/marjorie-ndesi-698870b5

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PROPER T Y M A N AGEMEN T

KEY TRENDS

SUSTAINABILITY TAKES ROOT As South Africa increasingly embraces sustainability in urban development, buildings are becoming more eco-conscious, offering features that reduce environmental impact while enhancing the quality of life for occupants. By RAINA JULIES

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outh Africa’s sustainable building practices are constantly innovating with features such as biophilic design, rainwater harvesting and solar power integration. These sustainable practices not only contribute to environmental preservation, but also improve the quality of life for residents, creating a more sustainable and resilient future for the country’s urban centres.

BRINGING NATURE INTO URBAN SPACES Biophilic design, which integrates natural elements into buildings to improve sustainability and wellbeing, is a popular design element today. A prime example of this design consideration is The Fynbos in Cape Town, touted as Africa’s first biophilic building.

Paul Upton, head of developments for DG Properties, sales agent for The Fynbos, says that this 24-storey mixed-use development features a 1 200m² vertical garden on its facade and incorporates advanced irrigation and nutrient systems to ensure the plants thrive.

WALDO MARCUS, director at TPN from MRI Software, shares his top three insights into the evolving landscape of South Africa’s property sector Biophilic design brings nature into buildings.

By focusing on creating nature-infused spaces, these buildings contribute to biodiversity, reduce urban heat island effects and enhance the mental wellbeing of residents.

RAINWATER HARVESTING With periodic water scarcity issues, rainwater harvesting systems that collect and store rainwater for irrigation and other nonpotable needs are being incorporated into early design planning. Developers are also installing low-flow fittings, such as water-efficient taps and showerheads, to minimise water usage.

This emphasis on water conservation helps buildings significantly reduce their reliance on municipal water supplies – crucial in regions where water resources are under pressure.

POWER INTEGRATION Many buildings are now integrating solar power systems to reduce reliance on the grid. For instance, says Upton, The Fynbos is equipped with solar panels that generate double the energy required to power communal areas. Solar energy is a sustainable solution that not only helps lower electricity costs for residents, but also reduces the building’s carbon footprint

RISKS AND COMPLEXITIES

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JEAN-PAUL RUDD, a partner at Adams & Adams, shares some of the complexities and potential pitfalls facing property owners when insuring their buildings 1. Coverage and exclusions: while building insurance aims to protect property owners from financial loss due to various types of damage (fires, storms, floods and so forth), policyholders must be aware of exclusions that can impact the coverage, particularly in the case of subsidence or landslip damage.

2. Common exclusions in policies: many insurance policies exclude damage to driveways, swimming pools, tennis courts, patios, septic tanks, fences and similar structures. Some insurers may provide coverage for these if damaged by the same event affecting the building, but exclusions often still apply, depending on the policy.

1. Artificial intelligence and technology integration: the integration of artificial intelligence and technology is being used to enhance efficiency in areas such as property valuation, predictive maintenance and tenant management.

It’s improving operational processes and helping property owners make data-driven decisions.

2. The role of short-term rentals: short-term rental platforms such as Airbnb are pushing up rental prices for long-term tenants, especially in tourist-heavy areas. This is causing a shift in how properties are rented out and affecting the availability of affordable housing.

3. The need for a balanced approach: property managers and investors should not rely solely on automation but should complement it with personal judgement to manage the human and emotional aspects of property management.

3. Impact of poor design or construction: policies typically do not cover damages resulting from poor building design, construction flaws or improper alterations, additions or repairs. This can leave property owners financially exposed if such issues lead to structural damage.

4. Emerging risks and vulnerable areas: areas with altered landscapes, such as those impacted by urban development or mining, and coastal regions are particularly prone to subsidence. Climate change also introduces new risks requiring insurers to update policies and exclusions regularly to address these evolving threats. Policyholders and brokers must stay vigilant and informed to avoid financial losses.

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MEDICA L RE A L ES TAT E

MEDICAL DEVELOPMENT GROWTH ITUMELENG MOGAKI explores South Africa’s burgeoning medical real estate sector, examining how investors, developers and healthcare professionals are seizing opportunities in this niche market

DEVELOPMENT STRATEGIES FOR HEALTHCARE PROPERTIES

Spear’s investment in medical retail properties follows a mixed-use model. One example is its Tyger Valley development. A day hospital is located on the fourth floor, while an Intercare medical facility, Recently acquired Tyger Valley Healthcare alongside a Clicks pharmacy, Day Hospital operated by Intercare. occupies the ground floor. This setup creates a one-stop-shop approvals, which can be difficult to secure. medical hub, offering services from general Additionally, location selection is critical, practitioners to optometrists and specialists, healthcare developments in high-growth making it convenient for residents. residential areas offer the best long-term value Rossi adds: “Accessibility is a key factor by capturing the full patient spectrum, from in medical real estate planning. Facilities like infants to the elderly,” he says.

Intercare prioritise patient convenience by ensuring ample parking, single-level access for day hospitals and proximity to residential areas.

THE SHIFT TOWARDS HEALTHCARE CAMPUSES “This approach enhances patient flow Globally, healthcare is moving away from and ensures medical services cater to all prolonged hospital stays. Today, patients demographics, from young children to spend shorter periods in acute care hospitals the elderly.” before transitioning to sub-acute facilities, also known as rehabilitation or step-down centres.

“Currently, seventy to eighty per cent INVESTMENT AND DEVELOPMENT CHALLENGES of surgeries worldwide take place in day Most healthcare property assets in South hospitals,” says Dr Sigaba adding that there Africa are owned by the country’s three major is also a move towards integrated healthcare hospital groups or family-run businesses, campuses where multiple services operate making new investments difficult. from one location. “These campuses may “In major cities, there is an oversupply of include primary healthcare, oncology, acute hospital beds. However, there is demand rehabilitation, a day hospital, a pharmacy and for new facilities in townships, smaller towns other specialist services. This model improves and semi-rural areas. The challenge is securing convenience for patients and makes better use a reliable healthcare operator willing to support of medical resources.” these developments,” Dr Sigaba explains.

As the demand for healthcare real estate In Rossi’s experience, one of grows, he says, investors and developers will the primary challenges facing have to adapt to new trends and challenges. investors and developers With a focus on patient care, technology and in this sector is zoning efficient facility design, the sector is poised for restrictions. “Medical facilities further growth in South Africa. require specific zoning

Rossi says when developing medical real estate, it is crucial to design properties that cater to healthcare needs from the outset.

“Developers typically incorporate “HEALTHCARE DEVELOPMENTS IN HIGH-GROWTH RESIDENTIAL features such as large floor plates, efficient circulation areas and AREAS OFFER THE BEST LONG-TERM VALUE BY CAPTURING THE strategic placement within FULL PATIENT SPECTRUM.” – QUINTIN ROSSI high-density residential zones.

Quintin Rossi Unlike retail centres, medical facilities require less parking due to Follow: Dr Linda Sigaba www.linkedin.com/in/dr-linda-sigaba-732a3923 their cyclical nature, but must remain Quintin Rossi www.linkedin.com/in/quintin-rossi-9b67251b easily accessible.”

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he South African real estate market is seeing a growing interest in healthcare properties, prompting local and international investors to explore opportunities in medical office buildings, clinics and healthcare campuses, which offer stable returns amid economic uncertainties.

Dr Linda Sigaba, fund manager at Growthpoint Healthcare real estate investment trust (REIT), says property trends often mirror the country’s economic performance. He notes that recent signs of recovery have benefitted the broader property market, including healthcare real estate. “Last year, two United Kingdom healthcare REITs took secondary listings Dr Linda Sigaba on the JSE, further increasing visibility among asset managers and institutional investors,” says Dr Sigaba.

“South Africa’s medical real estate sector is gaining traction, particularly in the Western Cape,” says Quintin Rossi, co-founder and CEO at Spear REIT. He adds that at Spear, the focus on the province is largely driven by ongoing semigration trends, with around 150 000 people moving there annually. “These new residents span various age groups, with many being financially stable professionals or retirees who can afford private healthcare.”

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SOUTH AFRICAN RESIDENTIAL RENTALS

GREAT FOR INVESTORS, ESTATE AGENTS, TENANTS AND THE ECONOMY

PROPERTY HAS BECOME ONE OF THE KEY DRIVERS OF THE COUNTRY’S SERVICES SECTOR, WHICH NOW CONTRIBUTES ALMOST TWO-THIRDS OF GROSS DOMESTIC PRODUCT.

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ayProp Rental Index Data shows that national residential rental growth trended between three and four per cent from 2018 to 2020 before falling sharply in 2020 and 2021. Since then, the industry has clawed back some of its losses. Growth exceeded five per cent in Q4 2024 for the first time since 2017, outpacing inflation by a significant margin for the first time since the pandemic.

Property has become one of the key drivers of the country’s services sector, which now contributes almost two-thirds of gross domestic product. Residential rentals have been a crucial part of that success story, further shoring up the property sector with indispensable regular income during lean times. Traditionally, property sales have been the main driver of estate agency success, but a pandemic-era sales slump and the suppressive effects of high interest rates have given rentals – traditionally seen as a secondary income stream at best – much greater importance.

However, the impact isn’t only measured in rands and cents. The residential rental sector provides affordable, quality housing

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If you want an economic good news story in South Africa, the strong post-pandemic recovery of the residential rental sector surely qualifies, writes PAYPROP

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PAYPROP ADVERTORIAL

TWO DECADES OF RENTAL PAYMENT LEADERSHIP

WITH THE ECONOMY RECOVERING, INVESTORS CAN RECOUP SOME OF THEIR EARLIER REAL-TERM LOSSES. THE CHALLENGE NOW WILL BE TO SET SUSTAINABLE RENTAL ESCALATIONS WITHOUT DRIVING UP ARREARS. for millions of South Africans. Almost a quarter of all households now live in rented homes, according to a 2024 Stats SA report, but supply constraints mean demand may be significantly higher.

With the opportunity presented by this vital economic sector, harnessing its economic and social returns nevertheless remains a complex challenge. Its potential benefits can only be realised if decision-makers have access to reliable residential rental market data to support long-term strategic decisions.

Vital puzzle pieces include rent and rental growth data to calculate projected rental yields, supply and demand-side metrics to ensure rental escalations are sustainable and rental distribution data to identify what types of property are in the most demand.

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THE STATE OF PLAY IN 2025 This year is shaping up to be another growth year for the residential rental sector. A deeper dive into the data from the latest PayProp Rental Index shows both nominal and real-term rental growth accelerating to levels not seen since before the pandemic.

Rental growth climbed to 5.4 per cent year-on-year in the final quarter of 2024, the highest since 2017. While growth had broken the five per cent barrier in previous months in the same year, the December figure was set against inflation of just three per cent.

With the economy recovering, investors can recoup some of their earlier real-term losses. The challenge now will be to set sustainable rental escalations without driving up arrears.

So far, the industry appears to be walking that tightrope. The share of tenants in arrears fell to 17.1 per cent in the final quarter of 2024, a near-record low. Tenants are also spending less of their income on debt and rent payments than earlier in the year.

However, clouds are on the horizon.

Inflation crept up to 3.2 per cent in January and could go higher if South Africa is pulled into a global trade war. And while the Western Cape and Limpopo experienced double-digit growth rates in Q4 2024, growth in other provinces stalled. Mpumalanga’s rental market, in particular, looks set for a difficult year – and local agents will need to make good, data-driven decisions to ride out the storm.

VISIT WEBSITE SCAN THIS QR CODE TO GO TO THE PAYPROP WEBSITE

PayProp, a South African rental payment processor, is an established leader in rental market data.

PayProp processes more than R15-billion in rental payments annually in South Africa, and a total of £2.6-billion worldwide.

The platform handles transactions on behalf of agency clients, from landlord settlements, agency commissions and third-party payments to contractors and municipalities, damage deposits and countless associated payments, including fees, deposits, split payments and more.

Additionally, the platform oversees tenancy data, including arrears, vacancy rates, inspections, rent increases and more, allowing it to collate the most comprehensive body of rental market data.

Reporting bank-accurate completed payments, the platform further pursues the highest standards of regulatory compliance. To date, it is the only third-party payment processing solution whose clients can be exempted from holding their own trust accounts under stringent PPRA rules.

As such, PayProp is widely regarded and quoted as the system of record for residential rental industry data, publishing leading titles such as the quarterly PayProp Rental Index and the annual PayProp State of the Rental Industry Survey, South Africa’s biggest poll of property industry professionals.

Whether you invest in, rent or manage rental properties, subscribe to one of South Africa’s leading sources of rental market data and thought leadership HERE.

For more information: www.payprop.com/za

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INDUS T RI A L DE V EL OPMEN T

ADAPTING TO NEW DEMANDS An evolving industrial landscape calls for new kinds of commercial spaces, writes TREVOR CRIGHTON

and the ability to optimise supply chains are other key demand factors. Businesses, whether retailers or third-party distributors, have augmented their supply chains to enable further inventory on hand and ensure their products are closer to the consumer and/or end-user. Global supply chain disruptions have compounded the need to have sufficient stock close to the consumer.”

SUSTAINABILITY AND TECHNOLOGY

Cornubia Ridge Logistics Park in KwaZulu-Natal is a R1-billion development launched by Fortress REIT in 2019.

“Fortress has developed around 150 000m2 of high-quality logistics space in the past twelve months, of which almost one hundred per cent was let before completion,” he says.

DIVERSITY IN DEMAND Collins says an array of businesses and industries have driven the demand for new logistics developments, including the distribution of commodities, such as sugar, pulp, polymers, food and groceries, retail inventory, and the storage and distribution of motor vehicle parts and agriculture equipment.

“Online retail platforms continue to drive the demand for logistics space. South Africa’s e-commerce sector has experienced exponential growth, reaching a record R71-billion in sales in 2023. Online sales represent 6.4 per cent of total retail sales and are expected to reach 10 per cent in 2025,” he says.

“While e-commerce remains an integral element of demand and growth for logistics space, the need to have additional inventory on hand to facilitate just-in-time obligations

“AN ARRAY OF BUSINESSES AND INDUSTRIES HAVE DRIVEN THE DEMAND FOR NEW LOGISTICS DEVELOPMENTS.” – BRUCE COLLINS Follow: Kyle Hyam www.linkedin.com/in/kyle-hyam-21532624 Bruce Collins www.linkedin.com/in/bruce-collins-8a743838

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he South African industrial property sector has been privy to an upward trend in rental prices over the past 18 months, with prices rising by as much as 30 to 40 per cent. Fuelled by healthy levels of growth, Rodes’ Report for 2024 Q3 highlighted a vacancy rate of just 3.6 per cent, with nominal market rentals for spaces sized 500m2 enjoying a 6.9 per cent year-on-year (YoY) increase.

That’s according to Kyle Hyam, associate director for Galetti Corporate Real Estate, who adds: “Rentals for 1 000m2 industrial spaces experienced rapid growth, rising by 7.4 per cent YoY. Regionally, all major areas showed strong nominal market rental growth and low vacancies.”

He adds that, following a decade of stability, these sharp increases are driven by higher building costs, market influences, higher tenant demands for premium, spec-built facilities and declining vacancies. “Adding to this, material costs for steel and concrete have escalated and as facilities advance, the need for state-of-the-art fire suppression systems, often required by insurers, has underscored growth for A-grade spaces,” he explains.

Bruce Collins, head of asset management at Fortress Real Estate Investments, agrees that high-quality, secure logistics space continues to perform well and has experienced buoyant demand over the past 24 months with very low vacancies across prime locations.

Several shifts are taking place in the industrial landscape, characterised by the development of advanced manufacturing facilities, stateof-the-art logistics hubs and a focus on sustainability and technology integration, notes Hyam.

“We are currently seeing a strong shift towards more technologically integrated factories, equipped with internet of things solutions, enhanced security and bigger, faster production lines. Tenants are also increasingly seeking higher quality warehouses, driven by various factors, including stricter insurance requirements. Insurers now often demand ASIB- or SANS-certified warehouses equipped with advanced fire suppression systems, which are typically found in built-to-spec or newer facilities. This trend has increased demand for premium and A-grade warehousing,” he says.

Collins says sustainability has become increasingly important in the space, with a significant increase in certified green buildings and renewable energy solutions among new developments. “This growth reflects a shift in consumer priorities as landlords and tenants increasingly consider environmental impact when making property decisions,” he explains.

Hyam believes sustainability is also important in helping reduce costs and overheads. “Over time, we have seen many companies implement green measures, such as energy-efficient systems, lighting, solar and so on, and this is set to continue. Big companies are also calling the shots, with special requests being made before taking occupation of the premises.”

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S T UDEN T HOUSING

NEW TRENDS IN

STUDENT LIVING Student housing is no longer just a place for students to sleep.

Today, modern student accommodation includes lifestyle features, academic support and a sense of community, writes ITUMELENG MOGAKI

NEW TRENDS IN STUDENT HOUSING Modern student housing focuses on both study and lifestyle. According to Rassool, key features include: • Co-living and shared spaces: communal lounges, rooftop relaxation areas and study rooms encourage social interaction.

• Technology: high-speed Wi-Fi, app-based building access and smart energy use are now standard.

• Wellness spaces: on-site gyms, meditation rooms and green areas help students stay healthy.

• Security: biometric access and 24/7 security make student housing safer.

• Sustainability: this is becoming more important in student accommodation. Developers are using energy-efficient designs and eco-friendly materials. More solar panels, LED lighting and smart meters are being used in student housing. Green construction methods also help speed up building projects while reducing waste.

Van Rooyen adds that students also care about affordability. “While premium residences offer high-end features, most students just want a clean and well-managed space,” she says.

COST AND FUNDING CHALLENGES Building student accommodation comes with financial challenges.

Construction costs, high interest rates and zoning rules make it difficult to keep prices affordable. Rassool says funding comes from private investors, bank loans and partnerships between universities and developers. He, however, explains developers must find a balance between making a profit and keeping rent affordable for students.

In her view, says van Rooyen, developers often expand once they see the benefits of student housing.

“DEVELOPERS MUST FIND A BALANCE BETWEEN MAKING A PROFIT AND KEEPING RENT AFFORDABLE FOR STUDENTS.” – ANWAR RASSOOL Follow: Anwar Rassool www.linkedin.com/in/anwar-yasser-rassool-31497416a Retha van Rooyen www.linkedin.com/in/retha-van-rooyen

The redeveloped Cape Town Station.

INNOVATIVE MIXED-USE PRECINCT

GVK-Siya Zama has completed the redevelopment of Cape Town Station into a dynamic mixed-use space with a key focus on student accommodation. As one of GVK-Siya Zama’s largest projects by value, the redevelopment spans 77 000m2 and includes a 20-storey, 3 000-bed purpose-built student accommodation facility. Situated within a prime transport hub, the development is designed to serve students from major tertiary institutions, including UCT and CPUT, providing them with a modern and accessible living space.

The project has transformed an underutilised area into a sought-after student living destination, following the model of European cities that repurpose less desirable spaces into high-demand residential and retail offerings. Beyond accommodation, the development includes 6 700m2 of retail space and a world-class public square, enhancing the overall urban experience for students and the broader community.

Designed with student lifestyle and wellbeing in mind, the accommodation features multiple study hubs, cinema and relaxation areas and a sevena-side football field on the fourth floor. Safety and comfort were paramount in the design, with modern fire compliance measures, secure access control and carefully planned infrastructure to support the large student population.

Energy efficiency was also a priority, with the inclusion of solar power, energy-efficient appliances and a centralised water heating system to monitor and manage consumption effectively. These sustainable features align with global best practices in student housing, ensuring a cost-effective and environmentally conscious living experience.

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he demand for student accommodation is helping to renew urban areas. In places, such as Braamfontein (Johannesburg) and Observatory in Cape Town and Cape Town CBD station, older buildings are being turned into mixed-used precincts offering student residences, says Anwar Rassool, founder of the Fest Foundation.

Rassool says private developers are leading this change by improving safety, walkability and local economies. “These projects often attract shops and better transport, which benefits both students and the community.”

Retha Van Rooyen, founder and CEO of My Student House, points out a challenge.

“The slow rezoning process forces many landlords to operate while waiting for city approvals. This is a common issue in South Africa,” she says. Despite this, developers still see student housing as a good investment because of steady rental income and strong demand.

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RE TA IL

THE FUTURE OF RETAIL

Informed, Authentic, and Optimistic

tenants and consumers who prioritise sustainable practices.

Beyond environmental responsibility, sustainability also helps tackle economic challenges such as resource scarcity, building resilience and future-proofing assets. By creating energy- and water-efficient buildings, managing waste effectively, and adopting smart technologies, the retail sector can drive positive change while safeguarding asset value.

Unlocking Value Through Strategic Partnerships

To maintain market-leading performance, retail landlords must remain focused on continuous value extraction from their assets. Strong Retail is evolving at pace, driven by macroeconomic shifts, enhanced distribution leasing strategies, aligned partnerships with capabilities, and the rise of conscious consumerism. By JOSÉ SNYDERS, tenants, and data-driven decision-making will chief executive, Liberty Two Degrees ensure retail spaces stay relevant and resilient in a shifting market.

Retailers and landlords he comeback of physical stores role as dynamic, engaging must work together to create alongside digital commerce, the surge environments are well environments that are Smart, in values-based shopping, and a positioned for long-term Good, Interactive, Thriving, and stronger focus on sustainability are success. Today, in-mall Safe—places where brands collectively reshaping the industry. But experiences, safety, cleanliness, flourish, customers feel engaged, to navigate this transformation successfully, and modern aesthetics are and economic activity thrives. we must go beyond surface trends and engage not just expectations—they This collaborative approach deeply with the fundamentals. Understanding are essentials. fosters innovation, ensuring that the “why” behind these shifts empowers By mastering the retail spaces not only adapt to retailers and property owners to anticipate fundamentals of retail—choice evolving consumer behaviours change, act with confidence, and secure the architecture, efficient space José Snyders but actively help shape them. long-term relevance of their assets. navigation, and meaningful South Africa presents its own unique set convenience—retail landlords of challenges and opportunities within this and tenants alike can drive value and South Africa’s Unique Position changing landscape. By staying informed, elevate customer engagement.

Our country brings its own distinct challenges remaining authentic, and adopting a and opportunities to the global retail solutions-driven mindset, we position conversation. Load shedding, infrastructure Sustainability: A Business Imperative ourselves not just to adapt—but to lead. The limitations, and economic pressures present Sustainability is no longer just a trend; it future of retail will be built on experience, real obstacles, but they also fuel innovation. has become a strategic imperative that authenticity, and purpose: the core elements South African retail has long demonstrated extends beyond environmental concerns set to define its next chapter. resilience, and by applying strategic insights, to encompass economic sustainability and The Fundamentals Remain Constant collaborating effectively, and focusing on long-term commercial viability. Real estate At its core, retail is—and always will long-term value creation, we can overcome owners and developers must lead the charge be—about people: how they engage, how these hurdles. in creating environmentally responsible they experience brands, and what ultimately Looking ahead to 2025 and beyond, spaces that meet the expectations of tenants, influences their decisions. While online success will lie in mastering the fundamentals, shoppers, and investors alike. shopping has brought convenience to embracing innovation, and forging strong At Liberty Two Degrees, we are the forefront, physical retail remains vital. strategic partnerships. Authenticity, purpose, implementing smart solutions such as Consumers still crave immersive, sensory and meaningful engagement will define the advanced metering systems for electricity, experiences, and we are witnessing a strong next era of retail. Commercial property is not a water, and gas. Investments in renewable resurgence of brick-and-mortar stores that passive participant in this transformation—it is energy—including energy wheeling, solar blend seamlessly with digital touchpoints. a driver of positive change, contributing to the PV infrastructure, and energy-efficient Omnichannel models—such as society in which we operate. technologies—are key to containing costs buy-online-pick-up-in-store—are proving The future is bright, and at Liberty and reducing environmental impact. their worth, combining the best of both Two Degrees, we are ready to embrace it Green-certified buildings are fast becoming worlds. Retail spaces that embrace their with confidence. competitive differentiators, attracting

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KLEI APARTHOTEL AT DEVONBOSCH A smart investment in the Cape Winelands

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aunching in April 2025, KLEI (A Human Space) Aparthotel is a unique concept in the Stellenbosch region offering investors an eight per cent annual rental guarantee for three years, no transfer duty and a prime location in a thriving lifestyle hub. It has been developed by Square Turn, a South African property development company that creates destinations with cutting-edge thinking at the highest level.

A GAME-CHANGER IN THE CAPE WINELANDS PROPERTY MARKET When was the last time an investment opportunity in the Cape Winelands made you do a double-take? Welcome to KLEI Aparthotel, a pioneering concept launching in April 2025 at Devonbosch – one of Stellenbosch’s most exciting new lifestyle precincts.

KLEI is the first Aparthotel of its kind in the region, operated by Totalstay™, one of South Africa’s most forward-thinking hospitality brands. This unique investment opportunity offers buyers an annual rental guarantee of eight per cent for three years, with no transfer duty, all within an environment that blends luxury with smart financial returns.

Before diving into the numbers, let’s explore the location that makes KLEI such a compelling prospect.

DEVONBOSCH: A LIFESTYLE-DRIVEN URBAN PRECINCT Devonbosch is rapidly emerging as the Winelands’ premier mixed-use lifestyle destination – an energetic fusion of nature, culture and commerce. Here, you’ll find rolling landscapes, exhilarating running and biking trails and modern conveniences wrapped into a seamlessly planned neighbourhood.

Picture e-foiling on tranquil waters, tackling the GOAT mountain bike routes or indulging in a freshly made Italian sandwich at Super Sconto Deli or Brickfields Café. Soon, Devonbosch will welcome the School of Rock in 2026, Unlocked Fitness Gym, Extreme Golf, Ischia Authentic Italian Cuisine and a 24-hour village pharmacy. This well-balanced mix of leisure, retail and community-driven amenities has cemented Devonbosch’s reputation as the Winelands’ most sought-after destination.

The proof is in the demand: Devonbosch’s commercial and retail spaces are 100 per cent let, and Phase 1 residential properties are completely sold out. Now, with the launch of Phase 2, investors have a rare opportunity to be part of this vibrant precinct.

KLEI: PERFECTLY POSITIONED FOR SUCCESS Perched in a prime location within Devonbosch, KLEI Aparthotel boasts panoramic mountain views and seamless

PERCHED IN A PRIME LOCATION WITHIN DEVONBOSCH, KLEI APARTHOTEL BOASTS PANORAMIC MOUNTAIN VIEWS AND SEAMLESS ACCESS TO ALL THE AMENITIES THIS THRIVING PRECINCT OFFERS.

TOTALSTAY™: THE EXPERTS BEHIND KLEI’S SUCCESS Since 2014, Totalstay™ has been redefining guest accommodation by bridging the gap between hotel convenience and the home-like feel of an apartment. With over 700 units under management across South Africa, its expertise ensures KLEI operates at optimal efficiency.

Totalstay employs dynamic pricing strategies and leverages global travel platforms to keep revenue streams optimised year-round. As an investor, you won’t have to worry about vacancies – your property is actively managed to maximise occupancy and returns.

Totalstay takes care of all operational details, including housekeeping, maintenance, marketing, reservations and concierge services. This professional oversight ensures a seamless guest experience while maximising occupancy rates and investor returns.

access to all the amenities this thriving precinct offers. Whether visitors stay for a weekend, a month or a quick work trip, the Aparthotel’s setting ensures an exceptional experience that translates directly into high occupancy rates.

THE MEANING BEHIND KLEI The name “KLEI” is derived from the Dutch word for “clay,” reflecting the Aparthotel’s commitment to blending natural materials with contemporary design. Inspired by the raw beauty of the surrounding landscape, KLEI’s

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Nestled in the dynamic Devonbosch precinct, KLEI Aparthotel, developed by SQUARE TURN is redefining luxury investment

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A SECURE AND SEAMLESS OWNERSHIP EXPERIENCE

From an operational standpoint, KLEI owners enjoy peace of mind. Devonbosch offers top-tier security, a 24/7 concierge desk and dedicated maintenance teams to ensure smooth operations.

Totalstay™ manages every logistical detail, from insurance and merchant banking fees to licensing software and consolidated monthly income statements. This level of professional oversight means investors can simply enjoy the returns without the usual stress of property management.

aesthetic combines smooth stone hallways, warm wooden accents, and terracotta hues to create a tactile, grounded luxury experience.

This design philosophy extends beyond aesthetics; it fosters a sense of connection to the earth, offering guests a serene and authentic retreat that encourages relaxation and reflection.

WHAT IS AN APARTHOTEL, AND WHY DOES IT MATTER? An Aparthotel is a hybrid between a high-end hotel and a stylish residential apartment.

Unlike traditional buy-to-let properties, KLEI Aparthotel provides a fully managed, hassle-free investment model.

For guests, KLEI offers the perfect balance of comfort and practicality. For investors, it represents a stable, high-yield opportunity in a region that welcomes over half a million visitors annually.

THE INVESTMENT CASE: STRONG RETURNS, LOW RISK One-bedroom units at KLEI start from R3.375-million. Buyers save significantly

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ACT NOW—THIS OPPORTUNITY WON’T LAST With its official launch set for April 2025, early investors can lock in prime pricing and maximise their benefits.

Marketed by HUNT Properties, KLEI Aparthotel is more than just an investment; it’s a chance to be part of a visionary lifestyle precinct reshaping the Winelands landscape.

For those who appreciate the harmony of nature, style, and smart financial decisions, KLEI Aparthotel might just be the deal of the decade.

BE PART OF THE WINELANDS’ NEXT BIG INVESTMENT OPPORTUNITY Devonbosch is more than a development; it’s a thriving, self-sustaining community that celebrates a dynamic, engaging, well-lived life.

Owning a unit at KLEI means being part of this excitement while securing a high-yield, low-maintenance investment.

With its unique blend of luxury, financial stability and prime location, KLEI Aparthotel stands out as a rare opportunity in the Cape Winelands.

on transfer duty – depending on the unit selected, this can amount to hundreds of thousands of rands.

Additionally, KLEI offers a guaranteed rental yield of eight per cent per annum, locked in for three full years. This level of financial certainty is rare in real estate, making KLEI a standout option for investors seeking reliable returns.

Further financial incentives include potential tax benefits under Section 13sex, a provision allowing investors to claim deductions on new residential units. These factors combine to create a compelling financial case for KLEI as an investment opportunity.

A THOUGHTFULLY DESIGNED GUEST EXPERIENCE One of KLEI’s unique features is its mandatory furniture pack, designed by Elisca + Co Architecture Design. While some may see this as an additional cost, it actually enhances the investment. A cohesive interior design ensures

brand consistency, leading to better guest reviews, higher demand and increased returns.

Drawing inspiration from the Bottelary Conservancy and Devonbosch’s natural beauty, the furniture and decor create a stylish yet contextually relevant atmosphere. This careful curation transforms first-time visitors into repeat guests.

FLEXIBILITY FOR OWNERS Owning a unit at KLEI doesn’t mean you can’t enjoy it yourself. Investors can take advantage of 14 days of personal use annually – perfect for those looking to unwind in the Winelands.

Additionally, owners receive discounted rates for extended stays. Since all units operate within a rental pool, investors benefit from collective marketing and booking efforts, ensuring stable income flows rather than sporadic rentals.

LOCATION, LIFESTYLE AND FUTURE GROWTH Stellenbosch’s enduring appeal is undeniable: renowned wine farms, top-tier restaurants, bustling markets and a rich cultural calendar make it a prime travel destination.

Devonbosch, however, is raising the bar with its all-inclusive lifestyle offering.

Upcoming private schools, expanded sports facilities, medical amenities and a diverse retail mix hint at a future where “owning a slice of Devonbosch” becomes increasingly desirable. Additionally, the soon-to-launch Cape Winelands Airport is set to drive even higher visitor volumes, further enhancing the investment potential of KLEI.

THIS UNIQUE INVESTMENT OPPORTUNITY OFFERS BUYERS AN ANNUAL RENTAL GUARANTEE OF EIGHT PER CENT FOR THREE YEARS, WITH NO TRANSFER DUTY, ALL WITHIN AN ENVIRONMENT THAT BLENDS LUXURY WITH SMART FINANCIAL RETURNS. P R O P E R T Y 29

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HO T EL S

Check-in matters Location is always a top priority for hotels, writes KEITH BAIN

Canopy by Hilton

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he goal of the Canopy by Hilton brand, says Mercia Horn, “is to deliver elevated, boutique hotel experiences that immerse guests in the best of the locale”.

Horn is general manager of the global brand’s first African property, Canopy by Hilton Cape Town Longkloof, where “the inviting, sophisticated design and crafted touchpoints deliver a locally inspired, high-end, welcoming stay for all guests”.

The recently opened hotel has been imagined as a sophisticated hub for the wider precinct that incorporates diverse businesses, retail spaces, food outlets, a Workshop 17 co-working space and the Refinery, a gracious Herbert Baker-designed former school building. The precinct, in total, covers just under 17 000m2 of space and includes a public yard, a sociable coffee shop, plenty of underground parking bays and accessibility via four different entry and exit points.

The integrated development has involved the conversion of existing heritage buildings to retain Mercia Horn the historic character of the

neighbourhood, while new construction has ensured that, according to Horn, it “aligns perfectly with the Canopy by Hilton brand identity”. Contemporary by design, the hotel celebrates local, incorporating art, textiles, furnishings, colours and cuisine that highlight South African creativity and culture.

CONVENIENTLY LOCATED As great as the appeal of its fresh, sophisticated, vibrant aesthetic, it’s the hotel’s location that’s key to its anticipated success. Situated just off Kloof Street (dubbed the “Coolest Street in the World”

by Time Out magazine in 2022), the property has a stake in contributing to the “energy, culture and connectivity” represented by this bustling mixed-used pocket of conviviality within Gardens. Situated at the edge of the city centre, it’s surrounded by a diverse mix of residential, retail and leisure outlets.

From the hotel, you can explore the city on foot, catch a bus to the beach or the start of hikes up Table Mountain (visible from the hotel) and find an endless array of bars and restaurants within strolling distance.

Horn believes the “precinct is an extension of the neighbourhood”, and the hotel fits into the brand’s core principle of integrating seamlessly into the local community, while reflecting and amplifying the essence of its surroundings. “It’s not just a place to stay; it’s part of the fabric of the community,” Horn says. “Guests can experience the authentic rhythm of this vibrant part of Cape Town then return to a comfortable, sophisticated environment offering a unique sense of place.”

CONTEMPORARY BY DESIGN, THE HOTEL CELEBRATES LOCAL, INCORPORATING ART, TEXTILES, FURNISHINGS, COLOURS AND CUISINE THAT HIGHLIGHT SOUTH AFRICAN CREATIVITY AND CULTURE. PROPERTY

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Hampton by Hilton

HAMPTON BY HILTON MAKES ITS DEBUT

THE BRAND’S FOCUS IS ON DELIVERING LOW-KEY SOPHISTICATION AND WORLD-CLASS COMFORT AT A REASONABLE RATE.

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In Johannesburg, another Hilton brand has opened its doors, marking a first foray into Africa for Hampton by Hilton.

Occupying a prime location in the heart of Joburg’s financial and retail district, Hampton by Hilton Sandton Grayston affords easy access to OR Tambo via the Gautrain (the nearest station is less than 2km away) and to the Sandton City shopping mall less than 15 minutes by car.

“We are proud of our legacy in South Africa, spanning almost three decades, and Africa presents great development opportunities as we continue to expand and diversify the Hilton portfolio across the continent to meet every traveller’s needs,” says Guy Hutchinson, president of Hilton Middle East & Africa. “The debut of Hampton by Hilton Sandton Grayston is a testament to our commitment to providing world-class hospitality across the country.”

World-class it is, but even more telling is the hotel’s investment in South African art and integration of eye-catching design elements cherry-picked from a selection of top local brands.

From the large colourful beaded rhino sculpture in the lobby to the Mash T pendant lights overhead, there’s a concerted effort to generate a distinctly local atmosphere.

Aesthetic distinctiveness aside, the brand’s focus is on delivering low-key sophistication and world-class comfort at a reasonable rate. Its approach of offering good value without compromise comes down to ease, convenience and ergonomics.

And the location, of course, means guests are seldom far from where their business might require them to be. Apart from proximity to meeting and conference hubs, the hotel is within reach of abundant shops and restaurants, sporting and fitness facilities and parks that are accessible for more leisurely pursuits.

Guy Hutchinson

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HO T EL S

Fast fact

Endorsed by Leading Hotels of the World, Steyn City Hotel by Saxon is, like the lifestyle estate where it’s found, committed to eco-sensitive practices, sustainability and community engagement. It runs a comprehensive “green efficiency” programme that prioritises properly managed and monitored recycling, endeavours to reduce single-use plastic usage (including unnecessary packaging reduction) and various policies to reduce overall environmental footprint through, among others, lowering transport-related carbon emissions.

The hotel supports local businesses and engages with programmes supporting community development in the immediate area.

Steyn City Hotel

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TWO POWERHOUSE BRANDS IN PARTNERSHIP For a different kind of prime location, the new Steyn City Hotel by Saxon is located within a prestigious residential estate north of greater Johannesburg. The partnership between two formidable brands – Saxon is considered one of the most lavish, luxurious hotel brands in the country, while Steyn City is synonymous with luxury and lifestyle convenience – is a boost for both.

Steyn City Properties CEO Steven Louw believes it’s a “rare partnership” between two powerhouse brands. He’s adamant that, just as the entire estate hinges on the careful integration of convenience and nature, the hotel effortlessly brings guests into that lifestyle of seamless overlap between easy living and access to nature and the best of the great outdoors.

The 50-apartment hotel affords a luxurious getaway for city folk eager to get out of the bustle of town for a bit, but it’s also a useful

base for leisure and business travellers into Gauteng, especially anyone who prefers to be away from the congestion without skimping on convenience and urban sophistication.

Guests will experience superlative hospitality, top-grade security and the convenience of never needing to leave the grounds. On offer within Steyn City is just about everything one could require in life. Hotel guests have at their fingertips the 18-hole championship golf course, a private mountain bike track, a 45km floodlit promenade for walking or jogging and – within walking distance – a 300m lagoon where kayaking, stand-up paddle boarding and hassle-free swimming is possible. There are padel and tennis courts, too, and loads

of healthy distractions for energetic youngsters. There’s considerable focus on family activity – within the estate’s 2 000-acre indigenous parkland are themed play nodes for children.

Saxon’s general manager, Gustav Pieterse, calls the hotel “a new chapter in luxury hospitality”, one that he believes will “redefine the art of city breaks”.

Gustav Pieterse

Follow: Mercia Horn www.linkedin.com/in/mercia-horn-56b091159 Guy Hutchinson www.linkedin.com/in/guy-hutchinson-54b4a5a Gustav Pieterse https://www.linkedin.com/in/gustav-pieterse-17995a81

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WELCOME TO WESTOWN The wait is finally over! While construction work continues on the greater Westown Precinct, WESTOWN SQUARE, the trigger development of the new City of the West, is now open

eateries, with a regular weekly lineup of music and performances creating a vibrant lifestyle destination.

On the upper level, the shops and restaurants overlook the landscaped town gardens, the children’s play areas and The Bowl, an open-air amphitheatre and stage area.

THE WESTOWN ETHOS

designed and our broad demographic appeal, are just some of the benefits.”

WESTOWN SQUARE Positioned between Durban and Pietermaritzburg on the N3 highway, Westown’s first phase, Westown Square (48 500m2), is KwaZulu-Natal’s newest shopping, dining and lifestyle destination in Durban’s Outer West. With exciting brands and vibrant spaces, this unique high-street experience is built over three levels to be open and accessible, encouraging connection with people and the surrounding environment.

This design approach makes Westown Square different to anything else currently on offer in South Africa, with all roads (high streets) leading to the “spatial heart” of the Town Square, which in turn, flows into The Barn. Here, an eclectic selection of artisanal homeware, art, beauty, fashion, food and beverage outlets, sit alongside quality restaurants and niche concept

WESTOWN RESIDENTIAL On 27 March, Westown’s first residential development, Shongweni Eco Park, was launched at the Balwin Properties Sales POD

“WE ARE COMMITTED TO TURNING THE TIDE ON MIXED-USE DEVELOPMENT BY CHAMPIONING A SUSTAINABILITY AGENDA THAT IS INCLUSIVE, ENVIRONMENTALLY SUSTAINABLE, HIGH-ENERGY, SAFE AND SECURE.” – CARLOS CORREIRA

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catalyst for developing much-needed services and economic opportunities in the region, Westown offers a new unique destination for living, working, shopping, business and recreational activities within a managed urban environment.

Locally driven and guided by a team that understands the context and potential of the place, Westown focuses on the value of open space and is designed to integrate with existing outdoor and lifestyle activities that define the Shongweni/Hillcrest subregion – horse-riding, trail running, mountain biking, walking, birding and so much more.

“The building of Westown is a vote of confidence in Durban and the province of KwaZulu-Natal,” says Carlos Correia, CEO of Fundamentum Dev Co, whose vision and significant experience in property development, property leasing and property management over 30 years, is the muscle behind the new City of the West.

“A groundbreaking, homegrown initiative that connects people with spaces and experiences, bringing new opportunities to live, work and thrive.

“With a primary catchment area stretching from Westville to Cato Ridge, Westown’s pull is attractive. Our location and ease of access, what we offer, how it has been

“We are committed to turning the tide on mixed-use development by championing a sustainability agenda that is inclusive, environmentally sustainable, high-energy, safe and secure,” Correia continues.

The open, people-centric character of Westown extends beyond the shopping environment of Westown Square, with cycling lanes and pavements ensuring people can freely move on all Westown’s streets. Universal access is a key component of both Westown Square and Westown Precinct, with features such as tactile paving included to make it easier for the visually impaired to navigate public space.

Key to realising the architectural design at Westown Square is the landscaping programme. Conceptualised and brought to life by Lucas Uys and Ignes de Beer from Uys & White Landscape Architects, the landscaping reflects the environment and rich cultural tapestry of Shongweni. This area is known for its old-country charm and equestrian elegance, and the landscape design honours those deep-rooted connections.

In a final nod to the local character of Shongweni, The Paddock on Saddle Row – adjacent to Westown Square – enables mountain bikers and horse riders to “park” their respective modes of transport in a safe environment and go about their business or pleasure in Westown Square.

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QUICK FACTS ABOUT WESTOWN

in Westown Square. Completion of the first phase of this lifestyle estate is slated for early 2026 and will include ground-floor apartments with private gardens and spacious balconies on the first, second and third floors.

Part of the Classic Balwin Collection, each apartment with double parking is fitted with key appliances such as a Defy electric oven and hob, a refrigerator, a washing machine, a dishwasher and a fibre-ready connection.

As a 6-star Green Star-rated lifestyle estate, Shongweni Eco Park features amenities such as a swimming pool, indoor padel facility, training gym, cafe, laundromat and children’s play area.

Over the next few years, 1 260 apartments will be built, in 25 phases, signalling the first of 3 000 units to be built in the Westown urban core. Over time, 20 000 residential units of various sizes and styles will bring a rich residential element to Westown.

Retaining the outdoor character of Shongweni is integral to Westown’s development and, in addition to working with existing outdoor and lifestyle activities and facilities in the area, Westown will enhance its surrounding green spaces by creating a safe and active green belt. As with the whole of Westown, this node will fall under the management of Westown Management Association.

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BUSINESS AND LOGISTICS PRECINCT The opening of Westown Square, the trigger investment within the 100-hectare mixed-use urban core of Westown – the first development activity within the 1 500-hectare Shongweni Urban Development Framework – has unlocked a slew of new business, development, commercial and retail opportunities. Among these are Farrier Business Park, Parc Ferme and The West Private Hospital.

• Farrier Business Park: a logistics and warehousing hub offering four development models. The first option offers end-users the opportunity to purchase a bespoke completed top structure. The second option provides investors or developers the opportunity to purchase a serviced platform

and development rights. The third is a joint venture option and the fourth will see Fundamentum retaining the top structure for end-user rentals.

• Parc Fermé: catering to those who love cars and an active lifestyle, it offers convenient access to various showrooms, retail stores and offices, designed with shared common areas that reflect Westown’s ethos of connection. These mixed-use elements maximise the high-traffic visibility of the site’s location.

• To cater for the 3 000 new residential units being occupied over the next 5–10 years in Westown, a 100-bed licence has been awarded to The West Private Hospital, as well as the provision of additional medical services and amenities, including 4 major theatres, a trauma/outpatient unit, radiology and pathology, physiotherapy and 16 medical suites.

MORE THAN SHOPPING – WESTOWN SQUARE ART PROGRAMME Westown Square may be geared towards shopping, but it has been purposefully designed to be everything “more than just for shopping”.

The Westown Square Art Programme, in part, fulfils this aim, giving visitors a unique visual experience. The intention is that the project will be rolled out to encompass Westown as a whole, harnessing all arts disciplines to create a multisensorial, globally competitive and highly marketable experience to help define the entire culture of Westown.

• 15 000 construction jobs over the next decade • 8 500 permanent jobs over the next 10 years • An upgraded road infrastructure.

• 3 000 residential units to be built in the Westown Urban Core • An estimated 20 000 units when Westown is complete in 10 to 15 years.

• Support of local service needs such as an extended road network, more education facilities, libraries and others • Integrated public transport facilities.

• Rehabilitation of sugarcane land and neglected wetlands, with ongoing management • Provision of managed running, cycling and equestrian trails, integrated into the development • Support of surrounding businesses, amenities and facilities to ensure the collective growth of the area • A training centre and skills development programmes • New schooling and education facilities

“We’re so excited to introduce our first pieces of work and the artists behind the work at the opening of Westown Square,” says Cara Reilly, marketing and communications executive for Westown. “We’re thrilled to work with The KwaZulu-Natal Society of Arts with the expertise of the gallery’s director, Angela Shaw, leading the curation of the project.

Artists involved in phase one of the art programme include Xavier Clarisse, Sthenjwa Luthuli, Iain ‘EWOK’ Robinson, The isithebe weaving community in Shongweni in collaboration with Andrew Walford, Selloane Moeti and South Africa’s first poet laureate, Mazisi Kunene. Plans are underway for Phase 2, with sites being identified for key installations.

VISIT WEBSITE

SCAN THIS QR CODE TO GO TO WESTOWN’S WEBSITE

For more information: General information info@westown.co.za / www.westown.co.za

+27 (0)31 566 1716

Retail Leasing Lana Pattison lana@fundamentum.co.za / +27 (0)83 511 4433 #ItsTimeForTheWest

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WESTOWN: FUTURE-PROOFING THE WORK-LIFE BALANCE The future of urban living may well exist beyond the fringes of what we think of as cities today. By KEITH BAIN

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ate March saw the much-anticipated opening of Westown Square, the first phase of Westown, a vast and conceptually impressive mixed-use development in Shongweni, a rural hamlet on the N3 between Pietermaritzburg and Durban, part of an area known as Outer West. Integrating retail, dining and event spaces, the Square is a 48 000m2 hub at the heart of Westown, which is expected to generate R15-billion in investment over the next 10 to 15 years.

Westown has already accrued groundbreaking levels of interest from stakeholders; the sophistication of the project in terms of out-the-box thinking, innovation and potential for positively impacting the immediate area and the wider KwaZulu-Natal economy has supercharged conversations around the project. Aside from bringing tremendous

energy and focus to a rural area traditionally known for horse paddocks, weekend polo matches and farmers’ markets, it feels to many like a gigantic leap into the future for the region and the province. And, it may well serve as a blueprint for similarly forward-facing developments across the country.

ABOUT MORE THAN SHOPPING Carlos Correira, CEO of Fundamentum Asset Management, which is responsible for the development, is deeply enthused about the strategy’s potential. He says Fundamentum has from the outset wanted Westown to evolve along the lines of a traditional town – with shared communal spaces and high streets – and the scale would always be human, incorporating green-lung parks, gardens and children’s play areas, as well as other spaces for outdoor living and communal interaction.

WESTOWN SQUARE PRIORITISES CONNECTIVITY AMONG PEOPLE AND BETWEEN PEOPLE AND THE NATURAL ENVIRONMENT.

Fast fact

Westown’s socioeconomic benefits include the creation of 15 000 construction jobs and 8 500 permanent jobs over the next 10 years. Plus, the development is responsible for ensuring upgraded road infrastructure, training centres and skills development programmes, school facilities, medical facilities, the rehabilitation and ongoing management of neglected wetlands and the creation of managed running, cycling and equestrian trails (and you can actually ride your horse to the shopping area – there’ll be hitching post).

Source: Westown, Shongweni

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BENEFITS AND OFFERINGS There are enormous benefits to the wider community, too, says Reilley. “With the Kassier Road upgrade and M13 interchange enhancements, Westown is unlocking massive accessibility improvements to a previously underutilised part of KwaZulu-Natal.

Shongweni, The Valley of 1000 Hills, The Outer West – this region is defined by adventure, history and culture and Westown will add to the local offering with a new destination that reflects the character and personality of this place.”

The offerings are substantial. Not only ambitious, but also thoughtful, with the developers careful to implement features that will genuinely enhance Westown’s community appeal. “Beyond retail, Westown is designed for experience-based attractions: The Barn, The Bowl (an amphitheatre) and a dedicated events and activation strategy ensure that people don’t just visit Westown — they will return, again and again,” says Reilley. The vision is to drive “sustained foot traffic, making it a compelling proposition for retailers and brands looking for long-term customer engagement”.

Further differentiating Westown, says Reilly, is its “intensely ‘owner-operated’ style” combined with Fundamentum’s heavy investment in its long-term success. “It’s not only financial investment,” Reilly says, “but investment from a head, heart and legacy point of view, so it’s very personal.”

PEOPLE AT ITS CORE The sound conceptual focus for Westown’s shopping precinct extends into the thinking behind Westown Urban Core where human-scale mobility – walking, cycling

and even horse-riding – are part of the vision.

With some 20 000 residential units in all manner of configurations planned, the step-by-step roll-out is set to gradually expand over the next decade, providing ongoing opportunities for investors and people looking to settle in an environment designed and equipped for the future.

This is a future-proofed vision of urban existence that brings focus back to individuals, remembering that at the heart of any populated environment are human beings. The central vision is a shift towards contained, “precinct-style” living within a smart city that offers enhanced work-life balance and fosters healthier, more nature-focused, productive lifestyles thanks to the integration of green space within the built environment of Westown. And, fundamental to all of this, aside from convenience and ease, are safety, security and a genuine all-round sense of wellbeing.

THE CENTRAL VISION IS A SHIFT TOWARDS CONTAINED, ‘PRECINCT-STYLE’ LIVING WITHIN A SMART CITY THAT OFFERS ENHANCED WORK-LIFE BALANCE AND FOSTERS HEALTHIER, MORE NATURE-FOCUSED, PRODUCTIVE LIFESTYLES. Follow: Carlos Correira

Cara Reilley

www.linkedin.com/in/carlos-correia-b72944125 www.linkedin.com/in/carareilly76

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From the get-go, Westown Square has been poised to be about more than shopping. The intention, says Correira, was to eschew the clichéd mall concept that cuts out sunlight and holds shoppers captive within an enclosed, unnatural environment; instead Westown Square prioritises connectivity among people and between people and the natural environment.

Cara Reilley, who heads up marketing for the development, says: “Westown is coming to life through a very different approach to retail.”

She believes there are “brave” levels of innovation and novelty. “Westown’s high streets and town square form the backbone of walkability, connection and engagement with special attention paid to signage, lighting, artwork and landscaping that together create an Cara Reilley experience-driven space.”

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Building Blok URBAN DESIGN THAT EXTENDS BEYOND THE FRONT DOOR Embracing urban living, Blok thinks beyond the apartment. Its building designs and public space initiatives are guided by a commitment to fostering community and neighbourhood improvement. Blok supports spaces designed to encourage social interaction, connection and engagement.

A Blok development is crafted to enhance both urban living experiences and the surrounding neighbourhood. From initial project planning to “honey, you’re home”, every aspect of its buildings is designed with the homeowner’s experience in mind. This philosophy extends beyond a homeowner’s private space. TENONV, located in Cape Town’s city centre, will feature a beautiful, secure TENONV Pedestrian Thoroughfare connecting the Company’s Gardens to Long Street, promoting accessibility, human connection and public space utilisation – ideally creating a new, must-see landmark in the city.

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lok’s approach to apartment design is built on adaptability and efficiency – paying close attention to the evolving needs of today’s urban dwellers. Blok obsesses over functional design, giving homeowners the flexibility to customise and rearrange their living spaces as needed. Its buildings include shared working spaces, meeting rooms and areas to unwind, be it a gym workout or a lounger next to the pool – indicative of the changing nature of the way we live and thrive.

Thoughtful design allows for integrated storage solutions and multifunctional furniture, such as retractable desks or dining tables, enabling even the most compact apartment to meet functional lifestyle needs without compromising comfort.

Blok’s buildings comprise different apartment types, catering to the needs of a wide range of homeowners – providing options from a compact micro apartment to a doublestorey penthouse apartment. Enabling owners to live the way they want is a phrase often heard within the walls of the Blok office.

EMBRACING URBAN LIVING, BLOK THINKS BEYOND THE APARTMENT. ITS BUILDING DESIGNS AND PUBLIC SPACE INITIATIVES ARE GUIDED BY A COMMITMENT TO FOSTERING COMMUNITY AND NEIGHBOURHOOD IMPROVEMENT.

FOSTERING STRONGER COMMUNITIES Not satisfied with creating standout structures, Blok invests in the neighbourhoods where it develops. Funding Pristine Earth Collective’s year-round stormwater drain-cleaning operations and the always-on Cobra Mountain Security team are just two ways Blok adds value. Murals, a family park rehabilitation and an annual beach clean show that Blok is true to its word when it comes to doing more than building homes.

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As Blok inches closer to a decade of building urban apartments that redefine urban living in Cape Town, we’re reflecting on the values that have driven our success and helped shape the future of urban apartment living through thoughtful design, says JACQUES VAN EMBDEN, CEO of Blok

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BLOK ADVERTORIAL

The developer even opened a pop-up art gallery to showcase local artists – free of charge to exhibit and attend.

Blok’s latest developments include commercial spaces – occupied by owner-run businesses – helping foster tangible economic growth, customer loyalty and familiarity within the neighbourhood.

Grab a delicious coffee or the renowned “birthday cake” from Norfolk Deli, at SIXONN (6 Norfolk Road), eat a sweet treat on a swing from Crumbs & Cream, then work off those calories at the ever-welcoming Horizen Gym, both located at ONE26ONM (126 Main Road, Sea Point). New and exciting businesses – aptly named “neighbourhood heroes” by Blok – will be joining – a soul-filling yoga studio at EIGHTY2ONM (82 Main Road, Sea Point) and local restaurant legends will return to THREE43ONB – which opened only last month. Lips are sealed as to who they are.

Creating spaces, neighbourhoods and communities that inspire is what truly keeps the team at Blok driven. The commitment to quality, creativity and authenticity remains at the core of everything Blok does.

VISIT WEBSITE

SCAN THIS QR CODE TO GO TO BLOK’S WEBSITE

WHAT’S NEXT FOR BLOK? With a much-anticipated 20th development launch – in a neighbourhood new to Blok – and multiple building completions taking place this year, its progressive nature and ambition to shape the future of urban living through thoughtful design will see Blok venture into new neighbourhoods of Cape Town. “Being able to positively influence precincts within arguably the world’s best city is something that drives everyone at Blok. A shared pride for the city we get to call home is a hugely motivating force within the business,” says Blok’s head of marketing, Troy Squires. “I still pinch myself when I pass a Blok building on my way for a run on the mountain. It’s extraordinary that we get to add to the fabric and play a part in the history of Cape Town.”

Keep an eye out as Blok looks to celebrate an incredible milestone closer to the middle of the year.

Over the past ten years, Blok has launched 19 developments – 15 completed buildings and 4 under construction, creating over 1 000 homes. This year Blok celebrates 10 years and launches its 20th development in a new neighbourhood, rich in history – De Waterkant.

Be a part of the next chapter with Blok.

With a progressive design that honours the charm of the past and innovative spaces that offer a new way of living. ONEONR launches on 23 April. History in the making is worth the wait. Enquire now and be the first to find out more.

Stay tuned as Blok continues to lead the conversation on shaping the future of urban apartment living through thoughtful design.

ENQUIRE NOW

ONEONR History in the making is worth the wait

For more information: + 27 66 186 1658 sales@blok.co.za www.blok.co.za

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RESIDEN T I A L PROPER T Y

THE UPS AND DOWNS OF

RESIDENTIAL PROPERTY INVESTMENT People – and investment – are moving in distinct currents around South Africa.

ANTHONY SHARPE unpacks the key trends behind this

Fast fact

The Residential Property Price Index (RPPI) tracks price changes for residential properties, such as houses, townhouses and flats, purchased by private individuals. Nationally, the RPPI saw a 3.5 per cent increase over the 12 months leading up to March 2024.

Source: Statistics South Africa

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he South African property market is subject to a heap of influences, from working habits and economic factors to infrastructural issues and social mobility. These are manifesting in some noticeable trends, including demand for spacious homes and lifestyle estates, semigration to less populated areas and a growth in buy-to-let and rent-to-buy investment opportunities.

MORE SPACE, MORE SECURITY Giovanni Gaggia, co-founder and CEO of Real Estates Services, says there has been a tangible rise in demand for spacious homes and lifestyle estates, particularly in suburban and semi-rural areas. “This trend is largely driven by homebuyers seeking more space, enhanced security and a better quality of life, particularly in the wake of changing work patterns that allow for greater flexibility. Buyers are increasingly prioritising properties that offer a combination of tranquillity and modern conveniences, leading to a surge in demand for gated communities and lifestyle estates.”

Gaggia says South African buyers are typically attracted to lifestyle estates by their

state-of-the-art security, green open spaces, recreational facilities and access to quality schools. “Additionally, smart-home technology, energy efficiency and off-grid capabilities, such as solar power and boreholes, have become significant drawcards, aligning with buyers’ growing concerns about sustainability and self-sufficiency.” It’s a sentiment echoed by Samuel Seeff, chairman of the Seeff Property Group, who says properties with more space allow property owners to install their own solar and water tanks to help mitigate the impacts of service delivery failures.

ESTATES CATERING TO BROADER DEMOGRAPHICS Dr Andrew Golding, CEO of the Pam Golding Property Group, has seen a consistent rise in demand for lifestyle estates. “According to Lightstone, in 2009 just eleven per cent of all homes sold were located within estates.

By 2023 and during the first half of 2024, this had risen to fifteen per cent of all sales.

Lightstone also estimates that there are more than six thousand five hundred gated communities and estates across South Africa.

While these account for five per cent of total housing stock, they account for about fifteen per cent of total housing value. While freehold properties account for the largest percentage of housing stock in South Africa, estates appear to be the fastest-growing sector.”

Dr Golding says these developments have also diversified beyond golf estates for the well-heeled. “There is continued robust development in estates, particularly in sectional title homes and retirement developments, as living in estates extends to a wider audience. Some developers have identified this market as a growth sector – but at a more affordable price point than the earlier estates. What started as golfing estates has proliferated from being an option only for the affluent to being more broad-based, with estates increasingly catering to a wide range of incomes, sometimes within a single estate.

From a cost perspective, Dr Golding says, the appeal of estates is obvious: “Primarily security and the delivery of services, but also the lifestyle offering – with access to shared facilities that many homeowners would not be able to afford on their own, as cost and maintenance are shared across all homeowners – regardless of income. This can range from small golf estates to essentially ’private cities’ with schools and business centres within a larger estate.”

“IDENTIFYING PROPERTIES IN WELL-CONNECTED, GROWING REGIONS WITH STRONG RENTAL DEMAND IS KEY TO LONG-TERM SUCCESS.” – GIOVANNI GAGGIA P R O P E R T Y 43

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RESIDEN T I A L PROPER T Y

NO SIGNS OF LETTING UP

“WHILE FREEHOLD PROPERTIES ACCOUNT FOR THE LARGEST PERCENTAGE OF HOUSING STOCK IN SOUTH AFRICA, ESTATES APPEAR TO BE THE FASTEST-GROWING SECTOR.” – DR ANDREW GOLDING SEMIGRATION CONTINUES The COVID-19 pandemic threw the spotlight on semigration, where people relocate to another location in their own country, as many people embraced working from home away from traditional business districts. “The semigration trend has become one of the biggest drivers behind the surge of people looking to relocate to the greater Western Cape, with many opting to rent before they buy,” says Dr Golding.

“Proactive governance in finding real solutions to load shedding, better service delivery and a quality lifestyle have made the Western Cape one of the most desirable places to live. The previous wave may have been triggered by the pandemic, but is now driven by lifestyle and governance factors.”

Dr Golding says the Western Cape has seen particular growth in the northern suburbs, including towns, such as Somerset West, and smaller towns along the West and East coasts, including the Garden Route. “While the City of Cape Town remains popular, it is becoming expensive for homebuyers and waiting lists at schools are lengthy. As a result, many semigrants are instead opting to live in areas that are relatively more affordable and have room for new homes, often in estates.”

Gaggia says previously overlooked regions are now experiencing revitalisation as a result of semigration. “Over the past few years, we have seen areas, such as the Garden Route, the KwaZulu-Natal Midlands and towns in the Western Cape and Mpumalanga, flourish due to the influx of new residents.”

Seeff agrees: “Semigration has been very beneficial to both country and coastal small towns. Think of towns in the Cape Overberg and Karoo where city dwellers semigrated, bought older homes, renovated these, opened

cafes, restaurants, art stores, boutiques and so forth, basically turning country towns into tourist attractions. Previously small towns like Hermanus and Langebaan are today bustling towns with annual property transactions into the billions.”

THE SHIFTING FACE OF PROPERTY INVESTMENT Since late 2021 there has been a marked increase in demand for investment or buy-to-let properties, especially in the Western Cape. Dr Golding sees this as partly driven by people planning to move or retire there, and thus gaining a foothold in the province before actually relocating. “Alternatively, other buyers noting the robust demand for accommodation in the Western Cape have decided that an investment or buy-to-let property is an attractive investment opportunity. In addition to the Western Cape, there has been a marked increase in investment demand in the Eastern Cape since mid-2023 and, more recently, in Tshwane.”

He adds that the increasing demand for such properties in recent years also reflects the recovery in the rental market. “This is because higher interest rates, coupled with inflation and other cost pressures, have ultimately reduced the affordability of purchasing a home for first-time buyers.”

DO YOUR HOMEWORK Investing in buy-to-let property also comes with various challenges that investors should be aware of, says Seeff. “There is legislative compliance that must be considered, particularly insofar as residential rentals are concerned. Investing in buy-to-let property also requires thorough research around location, suitable rental rates to attract good tenants and types of properties in demand.”

Gaggia says identifying properties in well-connected, growing regions with strong rental demand is key to long-term success.

“Understanding the regulatory environment and working with experienced property management companies can also help mitigate risks.”

He adds that property management companies are adapting by offering comprehensive services, including digital leasing platforms, smart technology integration and tailored investment advice to assist landlords in maximising returns. “However, investors must remain mindful of potential challenges such as rising interest rates, tenant affordability concerns and shifting rental regulations.”

“PREVIOUSLY SMALL TOWNS LIKE HERMANUS AND LANGEBAAN ARE TODAY BUSTLING TOWNS WITH ANNUAL PROPERTY TRANSACTIONS INTO THE BILLIONS.” – SAMUEL SEEFF Follow: Giovanni Gaggia www.linkedin.com/in/giovanni-gaggia-sa Dr Andrew Golding www.linkedin.com/in/andrew-golding-80b46113 Samuel Seeff www.linkedin.com/in/samuel-seeff-b744769

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Hermanus boasts the highest volume and value of transactions of the 5 biggest of the smaller coastal towns, being Hermanus, Jeffreys Bay, Knysna, Plettenberg Bay and Ballito. This amounts to 808 transactions worth over R2.6-billion for the 12-months to the end of January 2025.

Dr Andrew Golding of Pam Golding Property Group says demand for buy-to-let properties increased from 6.25 per cent of applications in 2021 to a record high of 15.1 per cent in December 2024 (according to ooba statistics). “While it has eased to 12.3 per cent of all applications in January 2025, this increased demand is being driven by the demand for such investment properties in the Western Cape, which remains elevated at 28.7 per cent of total applications in January 2025, down from 38.8 per cent in December 2024.”

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LOOKING ABROAD

South Africans with the means are diversifying their investment portfolios by investing in properties overseas – but is it as simple as it sounds, asks TREVOR CRIGHTON

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ver the past 10 years, it has become a common practice for South Africans to diversify their portfolio across South African and international hard-currency assets – whether this be for equities or real-estate investments, according to Sable International MD: offshore real estate and investment migration, Richard Haller. “Given the emerging market risk that we have in South Africa, if you can get a similar return in hard currency, then it is seriously worth considering to protect your long-term wealth in USD terms.”

how funds can be transferred offshore.

“Understanding allowances, such as the Single Discretionary Allowance and Foreign Capital Allowance, is essential to ensure compliance with the South African Reserve Bank,” she says.

“Additionally, factors, such as tax implications, currency fluctuations and timing of transfers, can significantly impact the overall cost of the investment. Proper planning and working with a trusted foreign exchange intermediary can help streamline the process, optimise exchange rates and ensure smooth cross-border transactions.”

BARRIERS TO ENTRY

LOOK BEFORE YOU LEAP

Haller says while there is no particular legislation that makes it more difficult for South Africans to purchase property abroad, the amount of knowyour-customer required has increased for South Africans due to South Africa’s greylisting by the Financial Action Task Force.

“We have clients with some available funds, but they would also like to leverage the property purchase at interest rates much lower than we have in South Africa,” he explains. “Having said that, there can be some additional work required to mortgage finance for clients.

The increased scrutiny that comes with our greylisting is also impacting the willingness of traditional financial institutions to mortgage properties purchased by South African citizens in the United Kingdom, for example.”

Lauren Walker, sales director at Currency Partners, says that when purchasing property abroad, South African investors must navigate exchange control regulations, which govern

“Purchasing property abroad requires a very careful approach to ensure you deal with the best possible professionals. Sometimes saving a few rands can come at an unproportionately higher risk in terms of a property investment,” explains Haller. “The adage stays true about location, location, location – and ensuring you purchase in a market where, should you want to, you can rent the property out quickly. Strong demand and supply factors and a robust rental market are key.”

“FACTORS, SUCH AS TAX IMPLICATIONS, CURRENCY FLUCTUATIONS AND TIMING OF TRANSFERS, CAN SIGNIFICANTLY IMPACT THE OVERALL COST OF THE INVESTMENT.” – LAUREN WALKER Follow: Richard Hailer www.linkedin.com/in/richard-haller-6b259411 Lauren Walker www.linkedin.com/in/lauren-marsh-walker-72565245

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INVESTING OFFSHORE

There has long been an affinity for South Africans to own investment property offshore in countries that trade real estate in a hard-currency market. “This is primarily as a long-term plan for rand hedge and part of the diversification strategy,” explains Richard Hall, Sable International MD: offshore real estate and investment migration. “We saw the initial take-up in the early 2000s with a large number of South Africans investing in United Kingdom (UK) property. We continue to see demand for UK property in areas outside of London like Manchester, Birmingham and other smaller towns that offer lower pricing and higher yields.”

He says that from 2010, demand for property in Mauritius grew as it offers both a hard-currency investment and permanent residency status for property purchases over US$375 000.

“South Africans account for close to thirty per cent of all foreign property purchases in Mauritius and this continues to remain a strong market.

Sable International recently opened its realty office in Mauritius to cater for this demand,” he explains.

“Then lastly, we have seen an uptick in property purchases in Greece, which are underpinned by the Greek Golden Visa programme, offering purchasers permanent residency status for qualifying property valued above €250 000. This status allows them to live permanently in Greece and have enhanced access to the Schengen zone for ninety out of every one hundred and eighty days – removing the requirement for additional EU visas.”

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A BOLD VISION:

RABIE’S DEVELOPMENT PIPELINE FOR 2025 RABIE PROPERTY DEVELOPERS is embarking on one of its most ambitious phases with a R2.5-billion pipeline of developments for 2025 poised to reshape Cape Town’s urban landscape. Covering Century City, Burgundy Estate, Kuils River and Paarl, these projects reflect a commitment to sustainable growth, innovative design and integrated community living

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s Cape Town expands, balancing urban growth with sustainability is crucial. Rabie’s latest developments tackle this challenge head-on, introducing contemporary residential, commercial and mixed-use precincts that prioritise smart planning, connectivity and lifestyle enhancement. With a history of delivering sought-after spaces that meet market demand and long-term urban needs, these projects signal a new era of smart urban growth.

BUILDING COMMUNITIES, SHAPING THE FUTURE Rabie isn’t just building homes; it’s creating connected, lifestyle-driven communities. From Century City’s urban energy to family-friendly estates in Burgundy Estate and Kuils River and resort-style retirement at Oasis Life, every development reflects innovation and sustainability.

With sell-out successes and a proven ability to anticipate market demand, Rabie continues to shape Cape Town’s property future, delivering developments that offer both lifestyle and investment value.

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CENTURY CITY: A BENCHMARK IN URBAN EXCELLENCE Century City is one of Cape Town’s premier mixed-use precincts, blending business, leisure and residential living

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ince the late 1990s, Century City has grown into a dynamic hub between the central business district (CBD) and the Northern Suburbs, attracting businesses and homeowners with its innovative urban planning, top-tier amenities and commitment to sustainability.

At its core is Intaka Island, a 16-hectare wetland and bird sanctuary, home to 231 indigenous plant species and 120 bird species.

This natural haven underscores Century City’s dedication to biodiversity and offers a tranquil escape within the city.

Sustainability isn’t an afterthought; it’s built into the precinct’s DNA. Green spaces, treated effluent irrigation and smart resource management create an eco-conscious, community-driven environment. The Century City Property Owners Association ensures that security, landscaping and maintenance standards remain world-class, preserving the area’s reputation for excellence.

A LIVING CANVAS Great precincts go beyond infrastructure; they shape culture, identity and experience.

Century City embraces this philosophy, making art an integral part of its landscape.

The Century City Arts Foundation drives this vision, curating an ever-evolving Art Trail that weaves through the precinct. Notable installations include Anton Smit’s bold sculptures and the eye-catching “I Love Century City” mural, enriching public spaces and fostering a sense of place.

Public art isn’t just decoration; it fuels engagement, sparks conversation and enhances urban life. Century City’s commitment to culture ensures that this precinct remains more than a location; it’s a community, an experience and a destination.

THRIVING HUB FOR BUSINESS AND INNOVATION Century City is a premier residential destination and a thriving business and innovation hub. The precinct offers a unique combination of corporate, retail and leisure spaces designed to foster economic growth.

Key factors driving its appeal to corporate tenants include: • Prime location: strategically situated between Cape Town’s CBD and the Northern Suburbs with easy access to major highways and Cape Town International Airport.

• Comprehensive transport network: the Public Transport Interchange connects commuters via MyCiTi and Golden Arrow bus routes, enhancing daily accessibility and providing a reliable, integrated transport system.

• Smart-City initiatives: advanced technology solutions improve urban efficiency, safety and sustainability within the precinct, including real-time traffic monitoring and renewable energy solutions.

• Green building principles: new commercial developments prioritise eco-conscious designs, energy efficiency and smart resource management. The precinct has more than 20 green-certified buildings, reinforcing its commitment to sustainability and responsible urban planning.

• User-friendly design: ample parking, walkable infrastructure and well-maintained open spaces ensure ease of movement for businesses, employees and visitors.

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ONGOING DEVELOPMENTS: WHERE INNOVATION MEETS LIFESTYLE Rabie continues to deliver high-demand properties that redefine modern living. With strong buyer interest, developments, such as Park Place, Umberwood, Stonepine Crescent and Klein De Koning, offer unique advantages tailored to today’s homeowners and investors

PARK PLACE – CENTURY CITY CONVENIENCE OVERLOOKING THE PARK Already 95% sold, Park Place offers a rare blend of tranquillity and city convenience.

Overlooking the Ratanga Park waterways, this high-rise development features thoughtfully designed studios, a range of one- and two-bedroom apartments and premium penthouses that maximise light and scenic views.

With world-class amenities, green spaces and effortless access to Canal Walk, top restaurants and transport links, Park Place is a top choice for professionals, investors and those seeking a well-balanced lifestyle.

UMBERWOOD – A PRIME ADDRESS IN BURGUNDY ESTATE Set in the multigenerational suburb of Burgundy Estate, Umberwood is a secure, gated community of 120 sectional-title apartments, already 80% sold while still under construction. Featuring landscaped gardens, a pool and a braai area, it offers a lifestyle-focused environment that balances comfort and convenience.

With EDGE-certified sustainability, buyers benefit from eco-friendly living and preferential green mortgage bonds, making Umberwood a secure, future-focused investment.

KLEIN DE KONING – CONTEMPORARY LIVING Klein De Koning offers stylish, well-designed homes in a peaceful Durbanville setting.

With easy access to schools, shops and wine farms, it strikes the perfect balance between convenience and relaxed living.

The area’s desirability is on the rise with a new retail centre under construction, opening later this year, and Stadio Higher Education opening in 2026, further increasing demand.

Rabie isn’t just building homes; it’s shaping sustainable, well-connected neighbourhoods.

STONEPINE CRESCENT – FAMILY LIVING, REDEFINED Stonepine Crescent is transforming contemporary family living in Hazendal, Kuils River. This secure estate combines spacious homes with a unique lifestyle, offering expansive green belts, landscaped parks and dedicated sporting facilities for children.

Security is a priority with controlled access, 24-hour monitoring and perimeter protection, ensuring peace of mind. Families can enjoy a swimming pool, communal recreation areas and exclusive outdoor entertainment spaces, fostering an active, social lifestyle.

By blending thoughtful design with top-tier amenities, Stonepine Crescent is setting a new benchmark for suburban living in Kuils River.

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KEY COMMERCIAL DEVELOPMENTS Rabie is driving Cape Town’s commercial evolution with high-performance, future-ready spaces built for business success in response to market demands.

• Junxion Park: fully let and nearing completion, this cutting-edge development will be ready for occupation in July 2025. Designed for flexibility, it offers premium office and retail spaces with a 4-Star Green Star rating and EDGE Certification, reinforcing Rabie’s sustainability-first approach.

• Continuity House: a dynamic workspace for modern enterprises, featuring flexible office space in close proximity to top-tier amenities and excellent transport links. Located adjacent to the Public Transport Interchange, it ensures seamless connectivity for businesses and commuters alike.

With sustainability and integrated infrastructure at its core, Rabie creates commercial environments where businesses don’t just operate; they thrive.

A SEASON OF SELL-OUT SUCCESS Rabie Property Developers has seen a wave of sell-out successes, reaffirming the demand for well-designed, high-quality homes in Cape Town. Recent developments in Burgundy Estate and Century City have drawn overwhelming buyer interest, setting new benchmarks for sought-after residential communities.

From Rhapsody’s low-rise apartments to Junixe’s freestanding homes, Rabie’s developments provide the perfect blend of comfort and community. Meanwhile,

On Park in Century City delivers modern apartments with panoramic Ratanga Park views, combining urban convenience with outdoor tranquillity.

The rapid sell-out of these projects, among others, underscores the demand for secure, sustainable and lifestyle-driven developments.

As Cape Town’s property market evolves, Rabie stays ahead, delivering developments that align with a modern-day lifestyle while fostering a sense of community.

The success of Rhapsody, Junixe, On Park and others highlights Rabie’s reputation as a visionary developer.

With new projects on the horizon, Rabie Property Developers remains committed to quality, sustainable growth and customer satisfaction – a promise that defines its legacy.

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EXCITING NEW ADDITIONS TO THE RATANGA PRECINCT The Ratanga Precinct is expanding its live-work-play appeal with vibrant new attractions

RATANGA PARK’S GRAND FINALE: THE BRIDGES The final piece of Ratanga Park’s residential story is set to launch soon in Century City. The Bridges, a landmark waterfront development,

introduces a new era of modern living – where urban energy meets outdoor adventure.

Set along the Century City canal, three architecturally striking buildings will offer studio, one- and two-bedroom apartments in various sizes to meet current property demands. Offering panoramic views of Ratanga Park’s greenery and Table Mountain these units are designed for a lock-up-and-go lifestyle. Residents will enjoy access to a clubhouse, play area and scenic walking paths.

For those who love to stay active, The Bridges is steps away from the best outdoor amenities – from running and cycling trails to paddling, stand-up paddleboarding and kayaking.

Stay tuned for the official launch and secure your place in this exceptional new address.

SKYWATER – A NEW ERA OF CONNECTED LIVING

Century City’s urban evolution continues with Skywater, an exclusive residential development on the water’s edge, combining chic design, seamless connectivity and investment potential.

With limited residential opportunities still available in Century City, Skywater is a rare chance for investors, professionals and first-time buyers to secure a home in one of Cape Town’s most sought-after precincts. Smartly designed apartments maximise space, natural light and indoor-outdoor flow, offering the perfect blend of convenience, lifestyle and long-term growth potential.

Whether you’re after a lock-up-and-go city pad or a smart investment, Skywater puts you at the heart of it all.

Now Selling from only R1.5M. For more information visit: www.skywater.capetown

JARDINE – A NEW CHAPTER IN BURGUNDY ESTATE A fresh opportunity awaits in Burgundy Estate with Jardine – a secure, landscaped community of 66 freestanding homes designed for modern, easy living.

Set against the Durbanville Hills, just 10 minutes from Century City, Jardine offers spacious two- and three-bedroom homes with private gardens, ideal for an indoor-outdoor lifestyle. Designed for young professionals, families and investors, these open-plan residences offer contemporary aesthetics with everyday practicality, featuring fibre connectivity and energy-efficient elements.

Beyond the homes, residents will enjoy secure parks and landscaped gardens, creating a relaxed, social atmosphere.

With top schools, shopping, restaurants and recreational spaces nearby, Jardine is the perfect place to put down roots in a vibrant, family-friendly environment.

With more than 70% of units already sold on launch weekend, there are only a few homes left at launch prices.

For more information visit: www.thejardine.co.za

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• Indoor padel court: one of the fastest-growing sports will soon be available in Century City, offering five indoor courts.

• Clay Café: a creative space for pottery painting, team building and relaxed dining, perfect for all ages.

• Casa Bella: authentic Italian dining coming to Junxion Park.

• Helistop: scheduled helicopter flights for premium business and leisure travel.

These additions cement the Ratanga Precinct as a dynamic hub for recreation, dining and connection in a safe and secure environment.

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LE BOUTONNE – A NEW ERA FOR RABIE AND PAARL Rabie’s first residential development in Paarl, Le Boutonne, will bring modern design and natural beauty together in a secure lifestyle estate.

Located between Boschenmeer and Val de Vie, this 133-home development

will offer families the perfect blend of comfort, convenience and community.

Set within lush gardens and expansive green spaces, it will have beautiful family homes, a clubhouse and a swimming pool, creating a space to connect, unwind and embrace

a balanced lifestyle in the Winelands.

With its prime location and premium amenities, Le Boutonne is set to become one of Paarl’s most anticipated new developments. Stay tuned for updates on this exciting launch!

MODERN, SECURE AND VIBRANT: OASIS LIFE RETIREMENT COMMUNITIES Oasis Life is redefining retirement with resort-style living designed for active, engaged individuals.

Retirement today isn’t about slowing down; it’s about embracing life. Residents can start the day with a fitness class, enjoy a game of bowls later or unwind with a glass of wine on the patio.

Thoughtfully designed homes and a vibrant community ensure a lifestyle of comfort, connection and independence.

The estates offer a full calendar of activities, from yoga and Canasta nights to creative workshops, wine tastings and excursions. The clubhouse serves as the social hub with on-site restaurants, lounges and fitness centres, fostering an active, engaged community.

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BUILT ON FOUR PILLARS OF EXCELLENCE Oasis Life goes beyond just creating beautiful spaces – each of its estates is designed around four core pillars that guarantee a retirement experience unlike any other.

1. Lifestyle. Whether it’s a round of bowls or golf, joining an aerobics class or simply taking a leisurely stroll, Oasis Life estates are crafted for your enjoyment. Relax with a glass of wine or indulge in a more formal lunch at the clubhouse, just a short walk from your architect-designed home.

2. Finance. The life right model ensures financial peace of mind for the rest of your life. With savings on upfront costs, no VAT, no transfer duties and no unforeseen levies or future costs, you can focus on enjoying your retirement.

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3. Healthcare. Your health and wellbeing are prioritised with primary healthcare available on-site. Each home is equipped with a 24-hour emergency Primary Care system and home-based care is available as your needs evolve, ensuring you receive the best care possible. Additionally, all locations are carefully selected for their proximity to hospitals and clinics, ensuring immediate access to medical facilities for the safety and peace of mind of residents.

4. Security. Oasis Life estates provide a safe and secure environment where you can enjoy long walks or the convenience of a lock-up-and-go lifestyle, knowing that your security is always a priority.

With four locations across Cape Town – Clara Anna Fontein in Durbanville, Constantia, Burgundy Estate and Sunningdale – Oasis Life offers a fresh, vibrant take on retirement.

VISIT WEBSITE

SCAN THIS QR CODE TO GO TO THE RABIE WEBSITE

For more information: info@rabie.co.za www.rabie.co.za

2025/04/02 08:50

RE TA IL

Did you know?

Between 7 and 15 per cent of grocery spending is now happening online in South Africa, with the highest use among those aged 31 to 40.

Source: Discovery Bank’s SpendTrend24 report “Interestingly, physical stores play a crucial role in driving online sales by connecting with consumers and building trust in the brand, which ultimately supports online growth. The largest and most prominent online retailers, such as Checkers Sixty60, fulfil online transactions through their physical stores.”

Chotoki suggests it is a reality that “pure online retailers opening physical stores such as Yuppiechef, whose turnover growth was While online shopping is increasing rapidly in South Africa, the experience offered enabled through the physical stores”, have come to realise. He points out other examples: by brick-and-mortar stores can never be replicated, writes BUSANI MOYO “Takealot has opened physical outlets in malls for collection and drop-offs, while Amazon, one of n a world increasingly dominated by the Nashil Chotoki is the retail the largest global online retailers, click of a mouse, the retail landscape in national asset manager at has opened physical stores in the South Africa is undergoing a dramatic Redefine. He acknowledges the United States.” transformation. From the rise of e-commerce shifting trends in South Africa’s Wilkins agrees: “Looking giants to the changing demands of retail sector. However, Chotoki towards the next decade, digital-savvy consumers, brick-and-mortar observes: “For perishable goods technology will continue to stores face a crucial turning point. They and large baskets … South advance with the likes of are forced to rethink how they engage with Africans still prefer an in-person omnichannel offerings increasing customers and adapt their physical spaces. experience.” He adds: “With and personalised services We explore the current state of South premiums on deliveries for Nashil Chotoki becoming more prevalent to Africa’s retail sector, examining whether groceries, for example, it may be attract the in-store shopper.” He adds: “Malls brick-and-mortar stores still have a place in more convenient, but not necessarily cheaper, and retail centres will continue to appeal to the an increasingly digital world and how retailers to shop online.” social aspect of in-store shopping, providing are resorting to omnichannel offerings to keep Wilkins suggests that brick-and-mortar experiences and destination shopping at customers shopping. stores still have a significant role to play in flagship stores that provide unique experiences enhancing the experience of consumers. and products unavailable via e-commerce.”

“Brick-and-mortar stores still provide SPACE FOR BOTH To ensure the success of the omnichannel real-life elements that online platforms do not.

As the e-commerce delivery vehicles offering, Wilkins reports: “Retailers are using Social aspects, such as physical dining and crisscross suburbs in South Africa, one can technology to amplify, simplify and improve experiential offerings, are only available in easily be forgiven for thinking that no one in-store shopping.” Such technologies include person.” He notes: “We also see retail stores is going to brick-and-mortar stores in the “self-check-out options in stores” such as providing in-store discounts not available shopping malls. However, this is not precisely at select branches of Decathlon, Zara and online to entice shoppers to physical stores.” the case, as Simon Wilkins, MD of Advisory Shoprite’s UNIQ clothing retail store. for Galetti Corporate Real Estate, notes: “There is space for both THE OMNICHANNEL OFFERING e-commerce and brick-and-mortar Chotoki says: “In the South in South Africa.” Regarding African context, the focus DOWNLOAD the state of the country’s retail is on omnichannel retail, Discovery Bank’s sector, he adds: “South Africa’s encompassing both physical SpendTrend24 report retail property sector has and online stores.” He adds: experienced notable growth over the past decade, and with inflation lowering and borrowing Follow: Simon Wilkins www.linkedin.com/in/simonwilkins-galetti costs easing, confidence is Nashil Chotoki www.linkedin.com/in/nashil-chotoki-050a4651 Simon Wilkins returning to consumers.”

THE OMNICHANNEL ADVANTAGE

Reshaping the future of retail in South Africa

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