New development to introduce sophisticated urban edge to Cape Town’s southern suburbs

New development to introduce sophisticated urban edge to Cape Town’s southern suburbs

REIMAGINING SUBURBAN BLISS: Artist’s impression of Cavendish Mews, which is launching off plan soon.

Strong demand for housing and a dearth of greenfield space in Cape Town’s traditionally freehold southern suburbs of Claremont and Newlands have precipitated a transformation of the property landscape with the introduction of numerous compact upmarket clusters and estates.

According to Nina Smith and Cyndy Minnaar of Lew Geffen Sotheby’s International, this emergent trend is being further spurred by increased demand for a secure lifestyle.

“These properties are especially sought-after by upcountry semigrants, young professionals with families and overseas ‘swallows’ who appreciate the lock-up-and-go-convenience.”

Brendan O’Brien, chairman of the Urban Space Property Group, the bespoke development company responsible for exclusive estates like Hoogeind in Claremont, says the main challenge is sourcing large enough development sites to create security estates to meet the rising demand.

“In our specific area of Newlands and Claremont, projects of two or three units will continue to spring up consistently, but larger, manned security estates will be very few and far between due to the difficulty in securing sites large enough to create them.

“It took over a decade from conception to completion for us to be able to actualise our vision for Hoogeind, including eight years of negotiation to purchase the site.”

Urban Space’s latest project due to be launched for sale off-plan soon is Cavendish Mews, comprising 12 designer homes on a 3 000m² site a stone’s throw from the Cavendish Square precinct and Newlands Village.

Mark Upton, chief executive of Upton Properties, says: “This development offers discerning buyers an unusual investment opportunity, especially in the current market in these suburbs. When demand outweighs supply, investment almost always yields exceptional returns, irrespective of market conditions with properties in secure estates being especially receptive to significant capital growth.”

O’Brien confirms this: “All of our previously completed security estates in the southern suburbs have achieved a far higher rate of capital appreciation than the general housing stock in the area.

“For example, one of our units in Broughton Place in Constantia was sold off plan for R13.5m, and was sold a year after occupation for R22.5m. One of the units at Adare Place in Claremont was originally sold off plan for R13.5m and was then sold again18 months after occupation for R29m.”

“Premium homes in security estates in highly sought-after areas like Newlands very rarely become available for purchase and, when they do, they tend to sell quickly,” says Lew Geffen, chairman of Lew Geffen Sotheby’s International Realty.

“Claremont, the main commercial hub in the southern suburbs, has also undergone significant change in recent years with the entire precinct being revamped, including the development of several residential and mixed-use properties like The Claremont, Grove Exchange and The Citadel.”