Rare development opportunity, last 15 000sqm tract of land in Rondebosch on the market
Category News
The last available land, measuring just over 15 000sqm (just over 1.5ha) in the sought-after university and school suburb of Rondebosch is on the market. Located on the corner of Glendarrach Road and Lovers Walk, just below the University of Cape Town, the site comes with superb views of Table Mountain. The property can be purchased in its entirety or a portion thereof measuring approximately 4855sqm. Charmain Scott-Wilson, Seeff's agent mandated to market the property says this is an unparalleled opportunity - there simply is no land in the suburb and very little to compare in terms of the size and development opportunity across the southern suburbs. The property is zoned SR1 and ideally suited for development such as an upmarket security estate that could yield significant returns for the investor, says the agent. The demand for property in Rondebosch remains extremely strong driven by family buyers who are drawn to the excellent proximity to many top class schools as well as the University of Cape Town. Market conditions are still very favourable and the time is right for more development, says Scott Wilson. Sales for this year for example already tops 74 units to the value of almost R290 million. The majority of sales have been freehold houses that have sold for an average price of R4.48 million, a phenomenal 18% more than last year's average price of R3.8 million. Top end homes though are fetching prices well above the suburb's average. According to Scott-Wilson, almost 25% of houses have sold this year for upwards of R5 million and there have been three sales above the R10 million price mark. Vacant land is on the whole very scarce in the built up areas of the southern suburbs according to James Lewis, principal for Seeff Southern Suburbs, Hout Bay and Llandudno. Since 2009 there has for example only been about 73 sales of vacant land with a combined value of just under R338M across the entire southern suburbs (excluding the Constantiaberg area). This represents only about 2% of the total value of all sales over that period, a clear illustration of just how rare vacant land is. Land prices are also rising on the back of the strong demand and low levels of supply given just how rare it is to find land, especially of the size and excellent location on offer with this Rondebosch tract of land according to Lewis. Five of the seven most recent vacant land sales were for example for the full asking price, a clear demonstration of the demand for land in the area. Last month, a 705sqm plot in Shamrock Street, Newlands, sold for R4 965/sqm and in February, an 816sqm plot in Monmouth Road, Claremont Upper sold for R7 108/sqm. In Rondebosch, the last vacant plot sale was a 496sqm erf in Oban Road that sold in late 2013 for R4 032/sqm, just over 50% more than the previous highest price of R2 664/sqm achieved in October 2010 for a 976sqm plot on Bonair Road. The three most recent land sales in Rondebosch have averaged at around R3 401/sqm. The property is being sold by tender. The due date is 12h00 on Monday, the 21st January 2016. For more information, contact Seeff Southern Suburbs/Rondebosch, Charmaine Scott-Wilson on 082 377 4567/021 683 0731 or visit www.seeff.com. NOTE - All figures quoted from Propstats data
Author: Seeff
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