THE HIGH STREET AUCTION CO
THE HIGH STREET AUCTION CO
He believes that the key drivers for growth in the Cape Town industrial property space are high demand from logistics, e-commerce, manufacturing and warehousing.
As online retail continues to grow, third-party logistics, and FMCG distribution continues to fuel strong demand for modern, well-located warehousing. In prime areas, vacancy rates are low, rentals are growing and there is expansion into key logistics nodes near urban hubs such as Cape Town’ s airport industrial zone.
Dart puts the rise in mixed-use developments down to urban migration, lifestyle integration and a continued remote work culture. The growth of live-work-play precincts reflect both the diversification of income streams( residential, retail, office) and their strong appeal to tenants seeking lifestyle and flexibility.
So-called green features in new builds and ESG Compliance which requires the upgrading of older B- and C-grade buildings to meet green standards and include energy efficiency are making these even more attractive within a load-shedding and sustainability-sensitive market, such as Cape Town, he adds.
While Dart notes that although high net worth local investors and offshore buyers- who are not vulnerable to either interest rate fluctuations or economic turbulence- are ensuring that the Cape Town market remains resilient, he believes political issues still have a major impact.
Whilst other markets struggle with political uncertainty and a spiralling lack of service delivery, Cape Town benefits from the opposite.
“ Cape Town’ s emergence as a top-performing metro is definitely closely linked to stronger governance, proactive infrastructure investment and a business-friendly environment. Additional advantages such as better service delivery, highquality public spaces, lower crime, and a strong tourism and tech presence attract both domestic and international capital. Efficient road networks, fibre rollout, and growing mixed-use precincts( e. g. Century City, Paardevlei) enhance its appeal,” he notes.
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