Northgate Shopping Center, Gauteng office units for sale

Just wanted to keep you up to date with asking prices for offices in an around the Northgate area, Gauteng i.e. close to the Northgate Shopping Center.

One of my associate property brokers recently listed 3 small office units close to the Northgate Shopping Mall. Each of them are 60m2 but two of them are on the same floor so can be used as 120m2 in total. 

Very well managed, secure office park with plenty of parking and 24-hour security. Each unit is on the market for R583 000.

If you are a willing buyer, seller or tenant, welcome to email willem@propx.co.za for more info

Going Rate for Bryanston Gauteng offices

At this stage Bryanston, Gauteng offers a combination of three new office projects selling on a sectional title basis at between R15 000 to R17 000 per square meter starting at 250sqm per unit. 

There are however a couple of “freestanding” house/office conversions available at reasonable asking prices.

One of our associate broker recently listed a commercial / residential converted property in Bryanston at R 12.5mil, offering great value.

Welcome to contact willem@willemtait.com for more info

Bryanston Offices - FOR SALE

Asking Price: R12.5mil

Under roof: 850 sqm offices plus 1200 sqm three residential dwellings

Zoned:                  as “multi-dwelling/offices”

Stand Size:            4350 sqm

-The offices are used by the owner who lives in the main house and the two grown children with families in the two semi-detached homes.

-Excellent security with guard house at the gate.

-3 x three faze electricity

Offices under tile:

GLA 850 sqm

Reception

9 x offices

3 x boardrooms

Plush waiting room

Full bathroom

3 x half bathrooms

Full kitchen

Dining room for staff

Full telephone system – 7 lines, 2 ADSL lines

Residences under tile:

There are three dwellings of over 400 sqm each i.e. 1200sqm

2 Semi Detached homes 4 x bedrooms en suite

1 Main house 2 x bedrooms en suite

Pool room - planned space for another three bedrooms (half size pool table negotiable)

Sauna

Thatch lapa’s next to large pool

Large workshop & garden shed

Sewing room

Servants quarters for three

Gauteng Office Market Showing Signs of Life

With the economy growing (albeit slowly), business confidence at last back in positive territory and employment on the rise, the prospects are improving for SA’s office market.

Indeed, the latest available statistics from Rode & Associates show that rental increases for A-grade space were already beginning to manifest in most CBDs around the country (with Durban as the exception), and in several decentralised nodes during the fourth quarter of 2011.

However, this sector has a long way to go before it can really be said to be in recovery.

In Johannesburg, for example, the Jones Lang La Salle market overview for the fourth quarter of 2011 notes that the average achieved rental for prime (P) buildings in prime nodes increased by an average of only 0,5%, with the highest performer being Rosebank, at 1,7%.

The report says office take-up has improved in certain prime areas (mainly Sandton, Hyde Park and Rosebank), which has resulted in reduced vacancies in these areas – and slightly higher rentals (see graph).

This demand is, however, mainly being driven by companies seeking the convenience of transport nodes, particularly within the Gautrain reach, as well as consolidation for greater operational efficiencies. “However, the overall demand for offices is somewhat stagnant as many occupiers are merely moving between nodes and leaving secondary nodes with higher vacancies.”

Thus, while overall Johannesburg vacancies dropped in the fourth quarter from 10,4% to 10,3%, they actually increased on an annual basis from 9,9% in 2010 to 10,9% 2011.

The Johanneburg CBD and Braamfontein recorded the highest vacancy rate (17,4%) for the fourth quarter, while vacancies in decentralised secondary nodes increased from 9,3% to 9,7%.

The report notes that gross rentals for Grade-A stock increased by 1,7%, especially in areas such as Woodmead and Rivonia, while average rentals for Grade B offices moderated by 2,4%, mainly because landlords resorted to lowering rentals in order to mitigate increasing vacancies.

What is more, the development “pipeline” (planned office projects) in the fourth quarter, with completions expected to add some 159 000sqm of new office space to the Johannesburg total this year – mostly in Sandton and Bryanston (see table).

Meanwhile, in Pretoria, the current picture is quite similar, with the CBD losing private tenants and even some government departments to decentralised nodes that are able to offer better quality space.

Jan Oelofse, leasing and sales broker for JHI Properties, says that although low-rental space is available in the CBD (around R65/sqm for B-grade space and R45/sqm for C-Grade), insufficient parking facilities in the city centre and ageing buildings that are costly to maintain and incompatible with modern technology are big deterrents.

“Most companies would rather move to decentralised nodes where they can find premises at acceptable rentals in modern, economically designed buildings with sufficient parking.”

Particularly popular at the moment are Hatfield, which is close to the Pretoria Gautrain terminus and currently has a vacancy rate of around 6%, and Brooklyn, which has a total of approximately 162 000sqm of P and A-grade office space developed around a shopping mall. The demand for this area is reflected in the low vacancy rate of 2 to 3%.

However, says Aida Commercial broker Ewa Schütt, even in these areas rentals are expected to move sideways for at least the rest of this year. “Enquiries for space have actually been lower this year than last, and we find that many companies here are still rebuilding after the recession rather than expanding. In addition, those who are taking up new space are reluctant to sign long leases, even though they might gain by doing so now at lower rentals and escalations.”

Her predictions for the CBD are, however, a little brighter. “Rentals for A-grade space are rising here because a shortage of space is being created. It is government policy to move back to the CBD and on top of that several buildings have been converted to residential use.”

Source: Property Junction magazine

Woodmead, Sandton office building for sale R4.3mil

Just a quick update on properties for sale in the Woodmead, Sandton, Gauteng area.

We recently listed a 390 square meter, freestanding face brick property in an office park in Woodmead, Sandton.

If you are a willing buyer, seller, tenant or property broker with a client, welcome to email me at willem@propx.co.za and I will gladly be in contact.

Basic info:

• Size - 390sqm

• Asking Price: R3.4mil