Dear Subscriber,

“The first quarter of 2014 has started strongly with a marked increase in demand for Signatura projects. Agents are reporting a shortage of stock across the City Bowl and Atlantic Seaboard in particular, and prices are increasing across the board. Simultaneously, we have seen a steep increase in rentals due to the lack of stock and the extremely tough lending requirements for mortgages. This is good news for Signatura buyers, especially for our investors looking to increase their returns.

“This very positive outlook, especially in Cape Town’s prime residential areas, including Green Point and Sea Point, is prompting us to release two spectacular brand-new projects, The Address and The Residence, both in Avenue le Sueur. This prime location in Fresnaye, where properties trade for up to R25 million, has seen a growing demand for apartment-style living, especially from owners of larger houses keen to move to lock-up-and-go living at competitive prices.

“The substantial upgrade on the Main Road, including the new Checkers and Spar shopping centres, is only a five minute walk away and it’s another five minutes to the sea and the promenade – all of which makes Avenue le Sueur a very desirable address indeed.

“We are launching a fully furnished show house and information centre at our newly completed and sold-out development, Azzurri, in Calais Road, where off-plan purchasers can experience first-hand the quality we are offering. The centre will be open for viewing weekdays 10am to 5pm and Sundays 2pm to 5pm.

Hope to see you there!”

John Rabie

We are proud to present our very first development in Fresnaye. These two and three-bedroom contemporary winners offer basement parking off a private lane and such good security they are even protected from the south-easter!

Located within an easy stroll of the Main Road and the Sea Point Promenade, the four-storey building offers wonderful views of Lion’s Head and Signal Hill, and boasts secure basement parking, a 24-hour manned security booth, and eco-friendly solar water heaters.

Designed by talented architect Juan Bernicchi, these stylish contemporary apartments offer lock-up-and-go luxury of the highest order. Apartments range in size from 106 square metres to an expansive 173 square metres (including balconies), and two of the ground floor apartments feature landscaped indigenous gardens up to 63 square metres in extent.

So if the serenity and convenience of Avenue le Sueur appeals to you, don’t miss the chance to snap up one of just 12 brand-new apartments in this sought-after Atlantic suburb.

Detailed floor plans and finishes may be seen at our fully furnished show apartment in Azzurri, 17 Calais Road, Sea Point, which is open during the week from 10am to 5pm and from 2pm to 5pm on Sundays.

To view Floor Plans and a Price List, click here.
To download a detailed Sales Information Pack, click here.
A broad spectrum of economists and property experts have recently issued articles and reports focusing on different aspects of the South African market, but they all come to very much the same conclusion: the market is in a healthy but buoyant state that promises rewards for wise investors – especially in high-demand residential areas of Cape Town.

According to well-known FNB property economist John Loos, the average house price for March 2014 rose 8.6% year-on-year. “This is virtually unchanged from February’s upwardly revised growth rate, reflecting a residential market that remains solid… In real terms, the FNB House Price Index remains well-above levels of a decade ago, up 26.1% from February 2004.” The normally bullish Loos concludes: “Our residential indicators continue to point to a solid and well-balanced market.”

Another study, conducted by FNB and credit bureau TPN, found that buy-to-let investors are starting to achieve rental growth figures of 10% on lease renewals. According to Michelle Dickens, managing director of TPN Credit Bureau, “We would expect further acceleration in rental inflation in 2014,” citing “a significant number of letting agents reporting stock shortages in recent times” as the major driver of rental demand.

The recent surprise increase in interest rates in March is likely to further underpin demand for rental accommodation, Loos pointed out, boding well for sustained growth in rental demand and improved rental returns.

This rise in rental yields is confirmed by data released by PayProp, one of South Africa’s major residential letting companies. According to CEO Louw Liebenberg, the PayProp rental index accelerated to 10,45% in the third quarter of 2013 – the first time the index has breached 10% since 2010, when rentals were boosted by the Fifa World Cup. “The 10% barrier is an important psychological barrier for landlords,” Liebenberg commented, concluding that the rental housing market “is clearly in recovery mode.”

On the sales side of things, Samuel Seeff, Chairman of Seeff Properties, has emphasized the strength of the Cape Town property market in particular: “Our agents report buoyant buyer activity from mid-2013 into this year, with escalating numbers of residential and holiday buyers.” He highlighted a year-on-year growth in the number of property transactions of 10%, and growth in value of 16%, and referred to growing stock shortages, better than average offers and shorter sales cycles in high demand areas.

Ian Slot, Seeff managing director for the Atlantic Seaboard area, supported this view: “For the first time in years there is real buoyancy on the Atlantic Seaboard and in the city bowl…. The weak rand is also spurring foreigners to invest and upcountry, especially Joburg, buyers have taken a renewed interest.”

Loos ascribes this increasing percentage of foreign buyers not only to the weakening rand, but to the global economic recovery, "which strengthens foreigner purchasing power and has restored confidence in property globally.” He concludes that “should the global economic and property recovery continue, we could expect a gradual increase in foreign interest in domestic residential property in the near term.”

All of which, in our view, suggests that we are at the very beginning of the next major property growth cycle and that investors getting into the market now will benefit significantly as the global recovery gathers momentum. This, combined with the fact that property in Cape Town’s luxury residential areas is still undervalued from an international perspective, suggest that it’s an ideal time to invest.

For sales enquiries, email  Anton McElhone or phone him on 083 506 7829.

For development opportunities, email John Edgar or phone him on 083 270 2434.