Real Estate Investor Magazine South Africa Dec/Jan 2016/17 | Page 37
your investor clients to diversify their portfolios
globally. Although, simply selling properties in these
urbanisation hubs isn’t enough.
Add value to your investor’s purchasing decisions
by remaining on top of the underlying economic
characteristics of popular emerging market cities.
This doesn’t necessarily mean you need to know
everything about every country, but it does mean
that you should to find a niche market or markets and
invest in learning those markets’ characteristics well.
Role 3. Offer realistic asset valuations
There’s a growing number of property investors,
globally and locally, that prefer to invest in modern
buildings that utilise technology. ‘Green buildings’
will remain a popular choice for investors into the
future. It’s important that all your valuations are based
not only on traditional evaluation methodologies, but
also encompass the value of technology upgrades to
the building.
Take for example the rise, and rise, of electricity
prices in South Africa. A commercial property that is
able to self-sustain will be far more attractive to your
investors than an energy guzzling property. Also, some
global markets have embraced smart technologies
like AI-controlled heating and ventilation systems or
smart-lighting systems that turn off if the building’s
www.reimag.co.za
empty. It’s up to you to know how tech contributes to
the building value so that you don’t have to hard-sell
features, instead of benefits.
To remain the go-to commercial property
investment manager in the future, you need to stay
abreast of several factors that influence how investors
are going to spend their money. PwC explains that
investors will align with property managers that make
decision-making easier. Success no longer hinges on
your money-collection systems – it’s your insights that
will count most.
KEY TAKEAWAYS
• The role of the real estate manager is evolving – Investors
will be turning to you for even more insights and perspectives
on both local and global market opportunities.
• Remaining abreast of developments (technology, regulations,
economic factors) will elevate your prominence in the eyes of
investors.
• Technology, sustainability and environmental impact will
become a greater concern amongst investors, which means
you need to know the difference between an energy-guzzler
and a ‘green building’.
RESOURCES
Standard Bank BizConnect
DEC/JAN 2016 SA Real Estate Investor
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