The concept of being able to live, work and play in the same area is one which appeals to many buyers of residential property, especially young professionals who don’t wish to spend a large percentage of their income on transport and commuting costs. It is a concept which drove the original design for The Quadrant in Claremont, and which is now coming to life as this development reaches maturity. Pam Golding Properties (PGP) reports that early investors are enjoying excellent rental returns, as well as substantial profit on re-sales. Residents are also reaping the benefits of an upmarket, convenient and secure lifestyle.
The Quadrant is located in the heart of the Claremont business district, a stone’s throw away from the Claremont Kingsbury hospital complex, and within easy reach of Cavendish Square, the Newlands sports complexes, Pick n Pay’s flagship Claremont store, and the main Claremont transport interchange. The University of Cape Town’s (UCT’s) “Jammie Shuttle” bus service also has a stop nearby.
“This proximity to facilities and transport options has attracted a wide variety of buyers,” says PGP’s sales executive for the development, Bev Bloch, “including a number of medical professionals working in the hospital and the many nearby medical practices. Another strong driver of sales is the proximity of several asset management companies operating in the Claremont area, whose young employees have been attracted by the secure lifestyle and the convenience of living close to work. The access to UCT is also a draw-card both for mature students, mainly medical, legal, business and actuarial, and their parents – we have seen a number of Gauteng and KwaZulu-Natal buyers purchasing for their student children, with the intent of using the apartments as their own future holiday getaway or place of residence, with long-term investment in mind.”
Investment purchasers are now enjoying substantial rental returns, with one-bedroomed apartments at The Quadrant achieving rates of R6500 per month, and two-bedroomed units renting at R13 500 per month. There is strong demand from post-graduate student tenants in particular – a market which is replenished every year.
Those who purchased in the early days of the development have also reaped the rewards. For example Bloch says a two-bedroomed unit bought in Block A for R1.1 million (inclusive of VAT and with no transfer fees applicable) and transferred in 2010, was re-sold last year (2013) for R1.8 million. “We expect subsequent purchasers to enjoy similar returns,” says Bloch, “although there is currently no re-sale stock available at all – an indication both of the lifestyle appeal of the development, and the strong tenant occupancy.”
There are now 154 completed units at The Quadrant, of which just 29 are still available for sale in blocks E, F and G. These range from a few one bedroomed units, priced from R1.15 million to R1.6 million, to two-bedroomed units from R2.4 million. There are also a few split-level penthouses available, all of them three-bedroomed units with extensive entertainment terraces, and many of them enjoying scenic mountain views. The penthouses are priced from R3.6 million.
Bloch says the lifestyle elements of the development have now reached maturity, and include a private gym, 25m indoor heated swimming pool, on-site restaurant and coffee shop. The precinct also houses the substantial Claremont library, a Wellness Centre offering physiotherapy and other treatments, as well as a massage spa, laundromat and hairdresser. “Residents also have the use of several tranquil courtyards where they can relax outdoors with complete peace of mind,” she says, “knowing that the complex is protected by state-of-the-art security including a CCTV network, 24 hour concierge and security patrols.”
The final phase of The Quadrant is expected to commence construction in 2015, with a focus on a more mature buyer market. This phase will include a state-of-the-art rehabilitation and frail care facility. A further 90 apartments to be marketed on a life rights basis are also envisioned, including a mix of one-, two- and three-bedroomed units.