Business is booming in the city and key commercial, business and retail nodes are experiencing strong activity according to Guy Friedberg, Commercial Consultant for Seeff Atlantic Seaboard and City Bowl.
He says that the area from the CBD, Woodstock, De Waterkant, Green Point and Sea Point to the V&A Waterfront and as far as Camps Bay is experiencing healthy demand and activity. “The demand for property for sale is at an all-time high with a shortage of stock characterizing the market”, he adds.
Sellers who are pricing their property at the right level, are achieving their asking prices in most cases, especially in new developments driven by an increased demand for residential units and retail space.
With so much development on the go and in the pipeline, Friedberg says that the area is brimming with exciting prospects. Plans to bring more residents and business into the CBD and Foreshore over the next 2-4 years will no doubt open further opportunities for additional businesses and services. “We therefore foresee a busy market for the foreseeable future”.
Already, there is rising demand for hospitality sites to accommodate eateries, bars, coffee shops and the like, but there is limited stock available in the prime locations. Kloof Street in Gardens, Bree Street in the CBD and Regent Road in Sea Point are the most desired locations with rentals of up to R250/sqm being achieved.
Seeff for example recently placed Shift Espresso Bar in Waterway House, the latest commercial and retail development at the V&A Waterfront where Ferrari is the anchor tenant.
Furniture showrooms are also in demand as there is limited space large enough to accommodate these. Recent placements by Seeff include the most famous Italian furniture showroom, Minotti Cape Town by Limeline, who are opening their first flagship showroom in South Africa, also at Waterway House in the V&A precinct.
Premises for Spa’s, Beauty Salons and private gymnasiums are also in demand. Seeff also recently concluded a lease agreement on a 230sqm space in Somerset Road, opposite the Cape Quarter, for a Thai Spa.
Friedberg says there are a few good opportunities such as Touchstone House in Bree Street which offers excellent space at R160/sqm plus parking at an additional cost. The premises are fully fitted and ready to move in. In Newmarket Street, there is excellent creative space in form of a large 380sqm studio at just R110/sqm.
“There are also two exciting new developments in the pipeline, a 4000sqm shopping centre in Buitengracht Street due for completion in 2019 and a 300sqm retail space with an opportunity for a restaurant/eatery in a new mixed-use development in sought-after Mouille Point”.