Tanya Jovanovski, Rawson Auctions franchisee for the Western Cape, predicted at the start of this year that industrial property would play in increasingly important part in her activities '“ and just recently she has been given the go-ahead to auction two tenanted industrial properties in Kraaifontein with 2 149m² under roof.
The Blue Chip Industrial units have high visibility on the N2 and are situated in a very popular industrial node. Jovanovski is expecting bids at R9,2 million and at that price it offers just over 11% return.
There are in fact two factory tenants, both with long term rentals which expire in 2014 and 2015 but are renewable and a third 'tenant' who hires the owners 4m x 1,5m illuminated billboard which faces onto the N1.
The combined rentals, therefore, come to R102 500 per month and the factories have annual escalation clauses of 7 and 20%.
The seller is not VAT registered.
Jovanovski said that the sites central position and easy access to freeways and the railway will ensure its popularity in perpetuity.
'It is fairly rare in these times,' she said, 'to be able to auction a property in which all the space has been signed for '“ and in which the tenants are long-standing, established companies with excellent reputations. I think we can say that an initial bidding price of around R9 million would be very reasonable for such a property'
Rawson Auctions charge a 5% deposit on the purchase price and a 10% auctioneers commission, payable before the bidder leaves the auction.
For more information or viewing please contact Tanya Jovanovski on 082 4119599 or if members of the public would like to be included on their data base or receive information on this and other properties they are asked to email tanya@rawsonauctions.com.
