Research

Broll SADC Market Snippet 2018

For a prospective investor or developer who has set their sights on expanding a property portfolio in Southern Africa or entering the region for the first time, the way forward may appear complex and uncertain. Conflicting reports, dubious statistics and misconceptions can cloud their route. So how can an investor or developer who wants to spread their investment wings in Southern Africa make an informed and strategically sound decision?

Broll Property Group’s latest research report on certain Southern African Development Community countries, entitled SADC Market Snippet 2018 is a powerful and invaluable tool, designed to assist with understanding some property market conditions in the region.

SADC was established in Windhoek in 1992 to grow the economies of Sub-Saharan African states and foster cooperation and peace amongst its members. Broll Research has put a group of SADC countries, where property investment opportunity presents itself, under the spotlight. It has crafted a brief report which looks at:

  • Country facts.
  • Economic indicators.
  • Global rankings on indices e.g. corruption or competitiveness.
  • Key indicators in the office, retail and industrial property markets.

Research that’s key to investment

Broll Research specialises in converting property data into market knowledge, providing clients with decision- making research that spans the commercial property sector. Research teams across sub-Saharan Africa enable Broll to add value to clients’ portfolios, by partnering with them to make well-informed decisions and grow the performance of their investments.

The Broll SADC Market Snippet Q1:2018 takes each of the countries in turn and presents an easily readable and accessible six-part picture to guide the investor on property market conditions in each country.

Investors get the big picture

By extracting data such as GDP alongside ease of doing business rankings, as well as office rentals and yields, there emerges an absolutely fascinating picture tailor-made for investors.

The report is packed with a wealth of critical data for investors and decision-makers. Taking a closer look at a particular country in the report, for example Mauritius, one finds a country of 1.3 million people, rating well on the democracy index, which is managing to keep corruption levels at bay and is high on the best-countries- for- business index. This ranks it as a favourable location in the SADC region in which to do business. Mauritius with 58.6% of the population urbanised, intense mobile phone usage at 142 phones per 100 people, internet access with 46.2 users per 100 people and a Real GDP annual growth rate of 4.0%, offers potential for investors and developers. Asking rents are being achieved within the retail market with average yields of 7.75% – 8% being evident. The average yield for offices is generally a bit higher at 8.5% – 9% and demand within the market is forecast to be stable with supply increasing over the next six months.

Read the full report here: SADC Market Snippet – Q1 2018