With only 17 plots now available for purchase in the final phase nine of exclusive Baronetcy Estate in Cape Town’s Northern Suburbs, buyers are adding considerable value to the development – with most new owners investing in excess of R10 000 a square metre in constructing their homes, according to Pierre Nel and Andre Leask, Pam Golding Properties Plattekloof area principals.
“Some buyers are spending up to R20 000 and more per square metre, while another, a South African who purchased two plots to the value of R5.15 million and consolidated them into one erf, is building a 1 350sqm masterpiece with a total projected cost of R32.15 million. This is said to include an in-house squash court, wine cellar, cinema room, guest flatlet, five bedrooms (all en suite), spectacular entertainment area with swimming pool and Jacuzzi and staff quarters. The home will be a green building run on solar energy,” says Nel.
“The quality of built homes has significantly increased and Baronety Estate is blooming with some of Cape Town’s most modern, luxurious homes. We recently sold a completed home on the estate for R25 100 per square metre, which has definitely set the bar.
“In terms of re-sales, we are seeing asking prices being achieved, with completed homes starting at R5.8 million and ranging up to R19.5 million. Prices of vacant land have also increased. Plots of 800sqm plus which sold for R850 000 in 2006 when the estate was launched fetched prices of R1.8 million just four years later. While vacant land has achieved a steady return on investment for many investors, we are pleased to report that due to the popularity of Baronetcy, we are finding most buyers are acquiring plots to build and settle in.”
Says Leask: “Some homes, which were built in early 2007/2008, have achieved a double return (100 percent), and many more a 40-60 percent return on investment. Building costs increase each year so previously built homes achieve the highest returns as it is impossible to build for the same cost per square metre as in previous years. However, we find that many homeowners are acquiring a second plot and as soon as their homes are sold they will build again in order to upgrade or accommodate their changing requirements.” Rentals at Baronetcy Estate start at R23 000 with a current top end rental of R50 000 for a property rented to a foreigner.
“Current purchasers are established corporate professionals and senior executives. Many of our buyers are relocating here from Cape Town as well as Gauteng and KwaZulu-Natal, while we also have a number of international purchasers,” he says. “The bulk of these are families relocating not only for the lifestyle but the tranquillity of the Northern Suburbs, as this is the perfect location to raise children.
“What makes Baronetcy so popular is the convenient position a mere eight minutes’ drive from Century City and Tygervalley and 18 minutes from Cape Town and Blouberg, while Stellenbosch is only 20 minutes away. Educational facilities include Panorama Primary, which is one of the popular primary schools, and high schools such as Chester House, Curro, Century City and Durbanville.”
Of the 62 plots in phase nine (A, B and C), which are marketed exclusively by Pam Golding Properties, 45 have been sold at a total value of R105.9 million. The 17 remaining plots, priced from R2.25 million to R4 million (including VAT), are attracting considerable interest with seven transactions currently in progress. The final section (D) of phase 9 which will comprise 20 plots is to be released in 2015, at prices starting from R3.2 million – including VAT.
Adds Nel: “Three buyers have already commenced construction of their new homes in this final phase, and many plans have been submitted. We expect in early January (2015) many properties will be built. All roads have been completed and plots serviced and one can now access the new roads right on the crest of the Tygerberg Nature Reserve which lead to prime plots with panoramic views of Baronetcy Estate, Table Mountain, the city skyline, Robben Island and the Atlantic Seaboard. From here the view is spectacular – it almost feels you are on top of the clouds.”
Built by the developers, the new access road, Silwerboom Road, which links Plattekloof 2 and 3 with Plattekloof 4, the Plattekloof Village Shopping Centre and the adjacent Plattekloof Main Road, has greatly improved ingress and egress for Baronetcy Estate residents and benefited the entire surrounding community.
“Home owners in these areas now enjoy easy access,” says Nel. “As the business parks are located in the centre of Plattekloof3 and Plattekloof 4, traffic has improved significantly as commuters now have two entrances and exits to main Plattekloof Road instead of one. Plattekloof Village centre, which is located in Plattekloof4 and the Plattekloof Centre – which is undergoing renovation and is located in Plattekloof 2, also enjoy more convenient access.”