Cape luxury waterfront apartments in demand

Cape luxury waterfront apartments in demand

Category News

Luxury waterfront apartments across Cape Town’s Atlantic Seaboard continue to attract a broad range of buyers.

The V&A, Silo District and Mouille Point areas are seen as some of the most desired destinations for luxury apartment buyers who are prepared to pay a premium for this lifestyle.

Waterfront apartments across Cape Town’s Atlantic Seaboard continue to defy gravity with buyers prepared to pay excellent prices for the right property according to Lynn Pinn and Finella Botes, Seeff’s team for the Waterfront and Mouille Point. 

The total rand value of sales at the Waterfront (including the Silo’s) for 2017 is up by 44% from 2016 and the combined value of Waterfront and Mouille Point sales, being about R900 million (per Propstats data) makeup about half of luxury apartment sales generated for the Atlantic Seaboard for the year. 

The Seeff team, being Lynn and Finella enjoyed an excellent year, concluding R264 million across these areas, achieving 34% market share at the Waterfront and 39% in Mouille Point. 

Most buyers of luxury apartments have been cash buyers, representing over 90% of the team’s recent sales. Apartments were bought for a variety of reasons, ranging from investment for rental purposes to second and primary homes. 

The Seeff team says that the opening of the new Silo District at the Waterfront has been a further boost for waterfront living despite what was a challenging economy last year. While the number of units sold at the Waterfront was down slightly from 39 (2016) to 35 (2017), the total value is up by a phenomenal 44% (as noted above) to R609 330 860 (vs R423 285 300 in 2016) and at an average selling price of 17.4m. 

This, driven largely by the desire for a luxury seaside location and a home that offers excellent convenience and a fabulous lifestyle. Lynn and Finella say further that despite the challenging economic conditions, these luxury apartments in their areas are still selling quite fast (within 30-60 days on average) and for close to, or full asking price if they are correctly priced. 

A Seeff analysis of Lightstone and Propstats data as at the third quarter of 2017 shows a continued upward growth trend in the selling rate with Canal apartments selling for R82 698/sqm on average, a noteworthy 16% up year-on-year and 132% up over five years since 2012. This is one of the highest growth rates even by Atlantic Seaboard standards and clearly illustrates the outstanding investment proposition on offer, say the agents. 

At the Front Yacht Basin (FYB), the selling rate stands at around R95 122/sqm, 10% up year-on-year and a phenomenal 145% higher than five years ago. 

Canal apartment sales still dominate, comprising 60% of all activity for the year at the V&A Marina, but it is notable that the price differential between Canal and Front Yacht Basin (FYB) apartments has closed from 21% in 2016 to just 15%. 

Overall, only 20% of sales at the Waterfront now fall below the R10 million price band while 54% fall in the R10m-R20m price band and the remaining 26% in the R20m-R40m range. 

Neighbouring Mouille Point has seen a decline both in the number of units sold and the rand value and while some of this is due to a softening in demand, it is also attributable to new development sales in the 2016-year. A total of around 45 units worth R283 580 000 at an average selling price of just over R6.3 million (R11.9m for luxury apartments) were concluded for 2017, about 17% down in volume terms and 26% in value. 

36% of all sales in Mouille Point were above R6m ranging to a highest price of R24m. 

What is clear according to Lynn and Finella is that luxury coastal apartments remain in high demand. Apartments at the new Silos are also now coming onto the market and the agents note that they currently have a number of excellent listings including a top end glass-fronted corner unit at Silo No. 2 which feels as if you are floating on water. It is priced at R18m and comes with two bedroom suites, open-plan living, 24-hour security, secure parking, high speed internet, a 24-hour Concierge Service and access to a communal rooftop entertainment/leisure area with braai facilities and a swimming pool. 

In neighbouring Mouille Point, you can find a superior apartment in an exclusive block that offers one apartment per floor with a floor space of 329sqm priced at just under R40 million. It comes with three en-suite bedrooms, magnificent views and top end finishes including Miele appliances and extras such as an ice maker, wooden floor in the living areas, air-conditioning throughout and under-floor heating in the bathrooms, a separate laundry and storage/utility room, external shutters for sun protection and privacy and two secure, underground parking bays.

Lynn and Finella note that waterfront apartments at the V&A, Silo District and in Mouille Point now ranks amongst the most-sought after and best investments in the country with superb capital appreciation as illustrated above.

These apartments offer some of the best water and Table Mountain views and lifestyle amenities that you could want. The V&A Marina is renowned for the security and fabulous canal and yacht basin views and facilities which include swimming pools and gymnasiums. The new Silo District offers the best in designer living with access to the Waterfront attractions on the one side and world-class attractions such as the new Zeitz MOCAA museum, 5-star Silo and funky new Radisson RED hotels, a Virgin gym and trendy cafés and restaurants.

Mouille Point is close to the Waterfront and both areas offer quick access to the attractions of the CBD and Atlantic Seaboard.

Contact Seeff’s Waterfront team, Lynn Pinn (083 631 4890) and Finella Botes (082 600 9530), call 021 425 5970 or visit www.seeff.com.

Author: Seeff