Coming up for auction at the Western Cape town of Saldanha Bay, which is situated 105 km north west of Cape Town, is a 3,190 m2 erf strategically sited in Saldanha Road (close to the heart of the area’s industrial district). On this erf there is 2,124 m2 of lettable space. The auction will take place on 21st August at the Rawson Property Group’s head office at 222 Main Road Rondebosch.
“The reserve price of R4,5 million,” says Tanya Jovanovski, co-franchisee for Rawson Auctions in the Western Cape, “is very good for such a large and strategically located property. To rebuild the six buildings on the property would cost in excess of R6 million today – and the land alone could probably attract a price of R1 million.”
As the Saldanha Bay Industrial Development Zone legislation has now been promulgated, the area is set to experience an on-going boom for the next decade, says Jovanovski, and rented premises will be increasingly in demand.
On the property at present, she says, are:
· A 400 m2 factory which is currently used as a church and which brings in a monthly rental of R11,500 (inclusive of water and electricity costs).
· A second factory with 1,170 m2 of lettable space currently occupied by the owner.
· An office block consisting of eight offices and a ground floor flat. These together comprise 184 m2 and the occupant in the flat (a family member) pays no rent at the moment.
· Two rondavels of 50 m2 and 120 m2, currently used as a crèche but also paying no rent.
Jovanovski says that the premises are multi-functional and the property could very adequately serve as a backpackers’ lodge or ideally be converted into mini factory units.
The owner has applied for sub-division, which could significantly enhance the value of this property.
Rawson Auctions do not charge a bidder’s registration fee, but the accepted bidder has to pay 5% deposit of the realized sales price on the fall of the hammer and 10% commission plus VAT over and above the purchase price to the auctioneers. This fee, too, is due on the fall of the hammer.
