CASE STUDY apartments ( which range from 14 to 25 square metres ), each with its own bathroom ( with shower , basin and toilet ) and kitchenette .
“ The most important thing for property investors in Nelson Mandela Bay is to be able to efficiently manage their electricity and water expenditures , in lieu of ongoing loadshedding in the country and the persistent water shortages in the Nelson Mandela Bay area . The pricing for water in particular has skyrocketed , which has derailed many a property investor who didn ’ t account for it in their plans ,” he explains .
The solution for Bayside Lodge was to ensure tenants had their own prepaid electricity and water meters and could be individually accountable for the utilities they use .
The property includes a communal laundry facility which is open to all the residents - who are primarily young professionals between the ages of 21 and 35 . Providing fibre connectivity was more of a challenge , as fibre isn ' t yet available in the area . However , Jade is currently looking at how connectivity can be offered through another option .
What Bayside Lodge does have is its own borehole , which is particularly important given the water shortages in the area . “ If there ' s ever a problem with either the municipal or borehole supply , we can always switch between the two . I think that does give this property an important advantage because the tenants know that they ' re always going to have water ,” he notes .
While the water from the borehole is regularly tested at a lab , and approved as being safe for cooking and washing , and even consumption , it is further safeguarded by a comprehensive filtration system as well . Additionally , in response to the critically low water levels in the area , all the taps and showerheads in the bathrooms have low-flow fittings . Solar power is also on the cards for the development within the next six to 12-months once it is fully leased and generating the requisite cash flow .
Almost every commercial project has some challenges , and according to Jade , Bayside Lodge had to face a significant one . Even though the land already had approved blueprints
SA Real Estate Investor Magazine SEPT / OCT 2023 74