A new affordable housing development, Jacson’s Cove, has now been launched, which is inside the Elandsrock Nature Estate, south of Johannesburg, near Alberton. The developer of this 116 unit affordable housing project is Drey Props and the project is being marketed on their behalf by Kairos Holdings.
The homes at Jacson’s Cove are all two bedroom, one bathroom units on ground and first floors, in blocks of four units. The prices range from R489 000 to R 509 000 and include all transfer costs. The floor area is 55,6m² in each unit and all have their own carports.
The aim here, says Vickers, was to create low maintenance, quality homes for buyers and this has been achieved by building the units with face-brick facades and fitting them with kitchens that have granite countertops, and finishes such as ceramic tiles on the floors and stainless steel sinks and taps. The floors in the common areas of the units are also tiled and the bedrooms are carpeted.
While there are no private gardens, there is ample communal space in-between each unit to enjoy greenery and outdoor activities, said Vickers. There are also communal garden taps for watering the gardens, so if each owner created a garden around their units, the water from these communal taps could be used.
Jacson’s Cove is extremely secure, which would be sought after by young families, said Vickers. The entire estate has electric fencing and there is a dial-in system with Telkom lines to allow access into the estate. Each unit also has burglar bars on all opening windows.
The units at this development, says Gavin Vickers of Kairos Holdings, are ideal for investors, because they are achieving average rentals of R4 800 per month and are in demand because of the development’s close proximity to the N1 highway, giving easy access to south and northbound CBD areas.
“Our calculations show that investors who put down a deposit of R100 000 will cover their costs fully from day one,” said Vickers.
With the R100 000 deposit, the bond repayment works out to R3 326 (at current interest rates), and once the levies, rates, sewerage and refuse, and management fees are added, the figure comes to the same amount as the rental achieved – “breaking even from day one is a good proposition”, he said.
“Investors here can expect a 5% per annum capital growth and we predict that after ten years anyone wanting to sell could get in the region of R758 000,” he said. “By any standards, a 64,6% return in investment after ten years is above average.”
As on other projects Kairos is involved in RED-i (Real Estate Development Interactive) systems are being used to manage the sales and transactions thereafter with their SIMS (Sales Information Management System) offering.
“The credibility we get and what works for us is being able to give accurate figures and data, not only to our clients, but to our financiers and backers,” said Vickers. “The practical application of the system – when there are hundreds of units to manage – saves time, in efficiency and man hours.”
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