The latest Cape Town commercial property statistics reveal that confidence is growing in the retail property sector, not just in the Mother City but throughout South Africa. According to John Cleland, head of research at IPD South Africa, the first half of the year has shown increased investment trends in smaller shopping centres throughout the country. These retail nodes, ranging in size from 50,000m2 to 100,000m2, are currently enjoying popularity among commercial property investors.
Meanwhile, Cleland – quoted by Property24.com – also revealed that investors are presently “focusing on the preservation and growth of income in the face of muted capital growth.” According to the SAPOA/IPD South Africa Biannual Property Indicator, commercial property in South Africa showed a 4.6% total return between January and June this year. This follows last year’s capital depreciation of -0.7% – the only such decline recorded since 2007. Furthermore, the report showed that net income grew – although vacancies increased and yields dropped to 8.5%.
Overall, the report claims, this shows that the commercial real estate is emerging from a cyclical trough which began during the first half of last year. Moreover, Cleland states that there has been an improvement in the office space rental sector – evidenced by capital growth of 1.3% and a 6% net income growth – since its decline in 2009.
Retail property sales in Cape Town
With the retail property sector presently offering good growth potential, many investors are opting to purchase this type of commercial property in and around Cape Town. A number of worthwhile retail property opportunities exist in Century City, one of Cape Town’s most exclusive shopping, leisure and business precincts.
Century City is a sophisticated property hub that is sought-after among investors and business owners alike. Offering high-end retail and office space that caters to every size and scope of business, Century City offers a host of worthwhile property opportunities to the savvy investor.
Moreover, Century City is recognised for its good growth potential, superb infrastructure and security, and its appeal to a host of local and international corporations, many of which have chosen to base their national headquarters in this vibrant and upmarket property district.
Cape Town commercial property experts
Mor Property Investments are property specialists with extensive expertise in the Century City and Milnerton precincts. Their portfolio includes some of the most lucrative Cape Town property investment opportunities presently available in Century City, and potential buyers are encouraged to view the portfolio of Cape Town property for sale to discover a range of valuable investment prospects.
