Brackenfell’s central location, suburban atmosphere and wide range of properties has always made it a popular choice for younger buyers looking for a home with long-term potential. However, recent trends have shown buyers in the area becoming interested in far more than just a place to raise their families. Local property expert, Jacques le Sueur, franchisee at Rawson Properties Brackenfell and Kraaifontein, says investment properties have become a hot topic in the neighbourhood of late.
“Five years ago, our typical buyer was 25 to 35 years old, looking for a nice house to live in for the foreseeable future,” says le Sueur. “These days, most of our buyers are a little older, between 30 and 35, but they’re not just buying properties to live in – they’re also buying additional properties as investments.”
While the recent market downturn has seen capital growth in the area slow to an average of around 5.5%, le Sueur says the soon-to-be launched Grandeur Estate is predicting an impressive 9.5% per annum – music to the ears of any savvy investor. He explains that the unusually high projected growth is due to a combination of factors, including the popularity of security estates in general, Grandeur’s unique property offering, and some extremely favourable launch pricing.
“We’re very excited to have launched Grandeur Estate on 19 October as Brackenfell’s first mixed residential development,” he says. “The 3.5-hectare estate features a combination of 72 flats, 22 duplexes and 35 houses, all set in park-like surroundings and protected by top-of-the-line CCTV, electric fences, biometric access control and 24-hour gate and patrol security.”
The estate, spearheaded by the Brick ‘n Board Property Group in partnership with Rawson Properties, promises top quality construction paired with superior finishes, thoughtful interiors and extensive landscaping designed to enhance residents’ lifestyles. According to le Sueur, the estate’s design, alone, is expected to attract serious interest from buyers in the area, but it’s the unbeatable launch pricing that is likely to seal the deal.
“We’re launching at 8.12% below market value to get the ball rolling,” says le Sueur, “which means buyers can get a brand-new apartment for just R1.291 million and a top-of-the-line, 3-bedroomed house for a maximum of R2.65 million all-inclusive, apart for bond fees. When you look at similar properties in the surrounding areas, there’s just no comparison in terms of value, and that’s before you consider the 2 years’ worth of free capital growth you get while the estate is being built.”
While buyers are required to put down a refundable reservation fee of R25k or R35k for an apartment or house, full payment is only due on transfer. With the estate pegged for completion in 2021, that means investors will be able to buy at today’s prices and enjoy significant appreciation before incurring any major costs.
“From a short-term perspective, buyers are getting an exceptional deal on an exceptional property,” says le Sueur, “but the benefits are compounded when you look long-term. Not only are we expecting the market to pick up significantly over the next few years, the rental potential for investment properties in Grandeur Estate is extremely good as well. There’s also very little development land left in the area, which means Grandeur properties will likely remain one-of-a-kind, ensuring ongoing demand well into the future.”
Apartments in Grandeur Estate are estimated to achieve rentals of R9k per month, while duplexes and freestanding houses are expected to achieve figures of around R15k.
This excellent ROI has clearly not escaped the notice of investors. Pre-launch sales enquiries have already seen preliminary contracts drawn up for 55 of the 72 apartments on offer. As a result, le Sueur urges interested buyers to act quickly when the estate officially launches on 19 October, or risk losing out on “the best investment in the neighbourhood”.
For more information on Grandeur Estate properties, or other opportunities in the Brackenfell area, contact Rawson Properties Brackenfell/Kraaifontein on 021 204 8555.