Real Estate Investor Magazine South Africa July 2013

SMART MOVES BY BRIAN HAYWARD Eastern Cape Property Market Rising from the ashes T he exclusive Eastern Cape seaside resort of St Francis Bay is one of the unlikely players in the region’s residential property market turnaround, after devastating fires gutted 75 properties on the town’s pristine canals in November last year. According to property professional Jaco Rademeyer, owner of Jaco Rademeyer Estates, the town is experiencing a property market boom thanks to the funds from insurance companies to rebuild the gutted properties. The town’s property values are rising again as builders stream in for the construction of newer, modern homes along the sought-after canal. Some of the homes razed were valued at between R4 million and R6 million. This did not include the value of their contents. This rejuvenation has made the town one of the province’s key property investment areas, Rademeyer said. “There is a definite property boom in St Francis Bay since the fires. The whole the area’s property market has been dead since the recession in the late 2000s, when the first property people got rid of was their luxury homes,” said Rademeyer. “Now that we’re coming out of the recession, people are again looking at investing in lifestyle properties. Added to that trend is the economic growth because of the rebuilding. Contractors in the town have work and there is an inf lux 46 July 2013 SA Real Estate Inves ??()??????????????????????M????????????????)??????????????????t)????????????????????????????????)??H???????????????M???????????)?????????%????????????????????????????)???????????????????I?????U???????)???????????????????????????????????????)????????e????????????????????????e????????)????????????????????????????????)??????????????????????????????)???????5??????????????5???????)??????????????????H???????????)H???????????L????????????????????????????????)I????????????)9?????5??????? ?????????????????????)?????????????????????????????????????)???????????????????????????????I????????)I?????????????????????????????????????)?????????????????????????????????????)??????????)Q???????????????????????????????)E????????9?????????M????????)?????????????????????????????????????????)???????????????????????????????????)??????????????????Q????????????????????)???????????????????????????????????()????????????)%????? ?????????????????????????)?????????????????????????????????????()???????????????????????????????????????????)????I??????????????qQ???????????????????)????????????????%??????????????????)????????????????????t?????I????????+?q%????????????????????????????)??????????????????????????????????)????????????????????????????+?q ???????????????????????????????)????????????????????????????????)????????????????????????????????????????)?????????????????? ??????????????????)??????????????????????????????????)???????????????????????????????????)?????????t) ???????????????????????????????)??????????????????????????????????)????????????????????????????)?????????????????????????????????)?????????????????L??????????????????+?q??????????????????????????5?????????)?????????????????????????????????)??????Q?????????????????????????????)??????????????????????t?????I????????+?q9???????????????????????????????????)?????????????????????????????????????)???????????????????????????????????????)??????????????????????????????t)??I?????????????????????????????)??????????????????????????????L???????)????????????????????????????????????)??????????????((0

Real Estate Investor Magazine South Africa July 2013 | Page 48