Sandtons appeal continues to soar
Category Latest News
Index report shows growth in Sandton’s Parkmore
According to latest reports, The IPD South Africa Annual Property Index is seeing greater returns in residential property investments.
The annual report was released on March 29 and observed that the property sector delivered a total return of 13.5% in 2015. It has increased by 50 basis points from 2014 when returns amounted to 13.0%.
The highest perming sector- Residential property witnessed values appreciate by 8.3% from 2014 to 2015 and this is despite GDP growth remaining low, hiking interest rates and new vehicle sales plummeting.
Elite Suburbs with strong capital growth in 2015 include Sandton’s, Parkmore.
Investor confidence in Parkmore
Parkmore is one of the most sough-after suburbs in Sandton and has achieved impressive growth in the past few years, while retaining its suburban charm and serenity.
In 2009, the average selling price of a freehold home was R1.8 million, by the end of 2014 the median selling price reached R2.3 million and at the close of 2015 it was estimated to be around 3 million.
Freehold homes is the dominant property type, with the mid-level market offering outstanding value for money as the area remains admirably affordable in comparison to similar properties in elite surroundings areas such as, Hurlingham and Sandhurst.
One of the biggest factors that has led to significant growth in Parkmore is the area’s appeal to investors.
This can be seen by the amount of renovations that are currently being undertaken for general upgrades and in the refurbishment of older homes in preparation of bigger return on investments. The primary investors include aspirant professionals with young families.
In addition, Parkmore’s appeal is rooted in its serene atmosphere that permeates its landscape and its ideal location that lies adjacent to South Africa’s financial hub- Sandton.
Parkmore has attracted a new trend that seeks to further increase its status and this includes the hosting of a number of blue chip events including, the Live Jazz Festival, The Mandela Festival and Mecerdes Benz’s AGM Tour.
Africa’s richest square mile has seen strong growth in residential properties due to the number of business people moving into the area. Over the past five years, it has transformed into the preferred business location which resulted in a demand for luxury apartments, driven by buyers looking to live nearby their work or business headquarters.
The business hub is also undergoing a complete transformation in its transport system that will serve to increase residential property values greatly.
To accommodate the growing number of elite urban populations, transport arteries will be improved upon and will focus greatly on mixed-use development. Alternative modes of transport will be as viable as private motorised transport due to dedicated safe routes which include, cycling and bus lanes and pedestrian walkways.
The Rea Vaya Bus Rapid Transport (BRT) is one such example of this transformation and aims to streamline commute between Alexandra and Sandton by 2017. Construction began in 2015 and follows the principles of the city’s Corridors of Freedom initiative. The initiative seeks to bridge the economic divide by creating strategic arteries that integrate various modes of transport and connects an array of mixed-use development nodes.
Original Homes brings you exclusive residential homes in Sandton’s most elite suburbs that firmly place you in the centre of the hub of all activity. To find out more about our comprehensive listings in Sandton and the wider Johannesburg please click here.
Author: Original Homes