City Bowl residential property about to enter a really positive phase

There are now clear indications that residential property in the City Bowl/Higgovale/Tamboerskloof/Oranjezicht area is about to enter a really positive phase, with genuine growth taking place from 2010 onwards, says Tristan MacLennan, Manager of Greeff Properties' new City Bowl branch - which has its headquarters in Kloof Street.

MacLennan, who has had five years in property, said that his records show that prices in the City Bowl are now stabilising.

"Over the last 18 months the price drops here have been minimal in relation to those of most other areas. They have fallen only 3% in the central City Bowl and 7% in Vredehoek - and in the last few months they have not fallen at all."

The reasons for this, said MacLennan, are that demand for City Bowl homes is at an all time high because Capetonians are 'totally fed up' with the time spent in commuter traffic jams and simply will not put up with that situation any longer.

Furthermore, he said, the number of buyers who actually have to sell in this precinct is limited.

"In some other areas, e.g. Table View, a high percentage of the homes on the market are there because of bond payment difficulties. Here, in the City Bowl, that has not been such a problem - we seem to be able to attract and hold onto affluent buyers, many of whom in recent years have upgraded. About 20% of City Bowl homes have been improved in the last decade."

MacLennan said that his team sell mostly in the R1 million to R2,5 million bracket and he suspects that it is much the same with other agents here. On their books, however, they have apartments as low as R600,000 in value - and homes with a value of R20 million plus.

"I do, however, feel that any apartment bought in the City Bowl is likely to prove a particularly good buy."

Plots, said MacLennan, are in great demand and are priced high, e.g. R7,5 million for a 1 025m² erf in Higgovale.

"More than any other City Bowl homes, they will appreciate fast," said MacLennan.

Article by: www.greeff.co.za