Real Estate Investor Magazine South Africa October 2013 | Page 39
REI Commercial
New Era For SA’s Retail
Industry
Location Really Is The
Secret To Success
SAPOA Cleans Up Limpopo
A significant collaboration and cooperation
agreement will see South Africa’s shopping
centre and reta il industr y ga in g reater
access to global insights and resources. The
agreement between the South African Council
of Shopping Centres (SACSC) and the
International Council of Shopping Centres
(ICSC) was announced at the 17th Congress of
the SACSC at the Sandton Convention Centre.
Thanks to this collaboration, SACSC’s over
2,200 members will benefit from automatic
entry to membership of the ICSC, effective
from 1 January 2014. SACSC CEO Amanda
Stops says: “This exciting agreement ushers in
a new era of international cooperation for the
shopping centre industry. It gives SACSC
members added benefits and exposes them to
the global community.”
The property industry maxim of “location,
location, location” has proved to be correct
when applied to the V& A Waterfront. By
2012 proximity to the Waterfront has added an
estimated 23% increase in value to properties
that fall within a 1.5 km radius of this prime
location. The Waterfront has effectively
increased neighbouring property values by
R2.8bn. A study established that properties
within a 1.5km of the Waterfront were worth
R123 056 more for residential properties and
R1.14m for commercial properties compared
to similar properties elsewhere. This means that
in 2012 the potential annual rates generated by
properties within the 1.5km radius but outside
the Waterfront was some R37.92 million for
residential and R79.64 million for commercial
properties.
“ W hi le we’re pleased that Limpopo is
undergoing transformation, we do still find
the reported staggering R2 billion worth of
theft and wastage, incurred by the previous
administration, extremely concerning and
tota l ly unacceptable,” says Neil Gopa l,
CEO of SAPOA. A six-month transitional
period comes after a national government
team took over the administration of the
aff licted provincial departments two years
ago, after it emerged that not only was
the province burdened by an overdraft of
R1.7 billion, but that its ability to provide
services and pay salaries was under threat. It has
been reported that at end-July 2013, Limpopo
had achieved a R3.3 billion credit balance,
largely due to corrective measures taken by
national government during its intervention.
Valuable Input
Malcolm Horne,
CEO,
Broll Property Group
“In sub-Saharan Africa,
growing customer
demand is coupled with
an increasingly wellinformed customer
base, making it easier to
position retailer brands,
especially as far as
fashion, supermarkets
and electronics are
concerned.”
www.reimag.co.za
Charles Vining,
MD,
Seeff Sandton
Michelle Dickens,
MD,
TPN
Desmond de Beer, MD,
Resilient Property
Income Fund
Lance Chalwin-Milton,
Joint MD, High Street
Auctions
“At the moment Sandton
Central is a hive of
construction activity
– cranes dominate the
skyline and workmen
in constructionissue overalls pound
the pavements. New
developments are
commercial, residential
and mixed-use.”
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