EDITORIAL VIEW
EDITORIAL VIEW
Property Development Onward and Forward
Confidence in the property sector from an investor and development perspective is currently on a high . Gavin Tagg of Retail Network Services says urbanization is the top trend driving retail growth and development in South Africa right now . This is particularly visible in major cities such as Johannesburg , Cape Town and Durban which all look like building sites with cranes dominating the city skylines . This suggests a property boom visible by the large amount of development activity , with little to suggest that we are living in tough economic times .
When real estate investors ask me for any secrets to successful property investing , it is hard to select just one . The following though are eternal : never stop learning , continue implementing the knowledge and that a team of people is essential for success . There are 4 common mistakes I see many investors
According to John Loos , FNB ’ s household and property sector strategist , the possible bursting of a Chinese property bubble together with the weakness in other areas of the Chinese economy could have “ significant potential implications ” for South Africa ’ s residential property market . Chinas property market has been on a knifes edge for the last year , and a sudden swing either way could have enormous ramifications for not just SA , but the rest of the world .
Louis van der Watt , CEO of Atterbury Property Developers , is our Master Investor for May . Atterbury make regularly that sabotage their investment efforts .
1 . They don ’ t implement their newfound knowledge .
2 . They put themselves in direct contact with the tenant . As a passive investor it ’ s important to put a management company in place so that all interaction with the tenant takes place through them .
3 . They focus on trying to get an active return on their money . The cash flow produced can fund their lifestyle , pay their bills and make them wealth all without having to sell , unlike the stock market .
4 . They buy their investment properties with the same consumer mindset that they used when they bought their own home .
There are many other mistakes made in the game of real estate investing and it is important to implement our knowledge .
Successful Investing
China ’ s Property Market Balancing Act
are currently leading SA ’ s Commercial Development industry with the recently launched Mall of Africa , the largest shopping centre in Southern Africa . We speak to Louis about the Malls four-year development and chart Atterbury ’ s 26-year success story .
Further in the magazine we lay out the steps to creating the perfect Guest House experience , examine the top Commercial Real Estate trends in 2016 and examine the process behind repurposing old and misused building for maximum rental income .
Enjoy the read
NEALE PETERSEN
FOUNDER & PUBLISHER
DREW HOOK
EDITOR
“ Everybody in business shares one universal problem . To succeed you have you have to persuade others to support your vision , dream or cause .” PETER GUBER
www . reimag . co . za MAY 2016 SA Real Estate Investor 5