Real Estate Investor Magazine South Africa March 2016 | Page 7

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Raise Your Standards but Lead through your Actions

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t must be said that
the local economy,
business and real estate
environment is becoming a
little bit more challenging
by the day. When the chips
are down and the mood
negative the first thing to
do is to focus on raising our
standards. We have to aim to
find a positive way to make
an impact, become better individuals and also to
adapt to rapid change as we go along.
The government has acknowledged that the
economy is in dire straights and that it needs fixing,
with the emphasis on stopping a downgrade to junk
status. The budget speech delivered by Finance
minister Pravin Gordahn has been measured and
is aimed at steering SA from the fiscal cliff but still
calls for caution and lacks a proper growth plan. If the
government can deliver on the plan this will give us
much needed impetus to the economy and property
market. The only real bad news for property investors
is in the upper end of the market where transfer duties

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This is a call for resilience and to look inwardly for
opportunities.
Prosperous investing.

NEALE PETERSEN

FOUNDER

Welcome to the March edition of the
Real Estate Investor Magazine

conomic
growth
is under severe
pressure in South
Africa, leaving limited
options for many investors
looking for long-term
investments. With the
threat of ‘ junk-status’
looming over the economy,
the attraction of offshore
investments is greater than
ever. Our cover feature examines the opportunities
available to local investors looking to move their
finances offshore.
Our Master Investor this month is Gavin Lucas,
the 34 year old CEO of Stor-Age, the largest self
storage company in South Africa. We chart the
www.reimag.co.za

have been increased from 11 to 13% for property
transactions in excess of R10 million, which decreases
the chances of trading in those markets.
Real estate still remains an excellent wealth builder
and safe haven in any market. There is definite volatility
in the financial markets in investments like stocks
and commodities right now. Andrew Golding of Pam
Golding Properties has down played the economy
with a more pragmatic approach to it saying that,
“Property is globally recognised as a means of wealth
creation and here in South Africa is increasingly
sought after among the new generation of young,
first time buyers.“ He also says while suggestions of
interest rate hikes from 100 to 125bps are imminent
during 2016, they still remain low compared to the
height of the GFC which was at 15,5%.

10-year rise of the company from a single complex
in Edgemead to the national chain of storage
centers that it is today.
Elsewhere we take a closer look at the latest trends
in urban planning, along with the innovations and
advances in green building and construction. We
also look at new opportunities in the residential
market, discuss the advantages of buying off plan
and offer advice on debt management.
For those who focus on the opportunities at
hand, the rewards are obvious. As always, REIM
aims to provide the most up to date information
and advice for the creative investor.
Enjoy the read

DREW HOOK

EDITOR

MARCH 2016 SA Real Estate Investor

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