Sandton property - sell or hold?
Category Property 24 - Industry News
Hold or sell? That’s the dilemma the launch of each new office complex in Sandton raises in the minds of adjacent or nearby local homeowners.
This three bedroom house in Parkmore, Sandton, is on the market for R2.55 million -click here to view.
This is according to Ronald Ennik, founder and CEO of luxury home marketer Ennik Estates, who says it’s a choice that is almost certainly being faced right now by residents close to Sandton’s latest commercial development node, the new corporate HQs of Discovery, Webber Wentzel, and Sasol, at the top (south-east) end of Katherine Street.
“Together, the three sites, all within a brief stroll of Sandton City, are expected to eventually house at least 12 000 employees.
“Confronted with the increasing densification in and around their suburbs, Sandton homeowners can opt to sell and move to more tranquil surroundings. This is a lifestyle choice which will not necessarily deliver optimal price for their property in the current, or near-term, market.
A four bedroom apartment in Morningside, Sandton, is on the market for R14 million -click here to view.
“Conversely, they can make an investment decision to embrace the change by staying put and adjust to the bustle. If they do, one thing is virtually certain: the value of the investment in their home will continue to grow over time, until the Sandton commercial development wave inevitably rolls onto their front lawn and they become part of it,” says Ennik.
This may take time, given the rise in office vacancy rates that the spate of new developments has created in Sandton. But it will almost certainly be worth the wait - not least for properties on large stands.
A third option, he says, is to retain the property, but move out and put it to use as an executive rental in what is, after all, the financial and commercial capital of the country, and the sub-continent.
“However, homeowners must know that old houses don’t rent out that well to the new generation of corporate executives. So be prepared to invest in upgrading the property if you choose this option,” says Ennik.
Author: Ronald Ennik
