Aucor Property has set a record with the sale of four mixed-use, multi-tenanted properties in Johannesburg’s CBD for R115 million on a recent multiple auction, off the back of a record-setting year in 2020 which saw the company achieve R1.2 billion in sales.
“The Johannesburg CBD remains a robust and viable investment proposition for serious property investors, and the perception that the CBD is a “no-go” area remains unfounded when sales of this magnitude take place” commented Sean Parsons, Business Development Executive.
“Despite the challenges that the last eighteen months have brought to the global economy, including factors such as Covid-19 and related economic and socio-political challenges, deals of this size clearly demonstrate that property market remains a strong and solid option for strategic buyers.”
The portfolio included Rowallan Mansions, Park Central, Citiblock, and Old Wits Tech. Located on De Villiers and Sophie de Bruyn Streets, on what is arguably the busiest retail corner in Africa, all four properties offer a mix of retail and residential units and are all multi-tenanted. Situated adjacent to Park Central Centre, the buildings are all in walking distance to the Noord Taxi Rank and the Gautrain Park Station.
“The auction drew substantial interest from both local and international buyers, who were able to identify the massive potential that this portfolio offers. The properties already generate a significant income source, and savvy investors could see the growth opportunities and subsequent rental upside that is present in this portfolio. The location, coupled with the multitude of redevelopment possibilities means that the new owner will achieve an even higher value out of the properties should they decide to turn these buildings into residential accommodation hubs” continued Parsons.
“As 2020 progressed and Covid-19 took hold, the overall economic outlook was bleak, yet instead of seeing a complete downturn in commercial property, our experience in the market has been more positive. The achievement of R1.2 billion in sales was in some of the toughest conditions the business market has experienced in the last decade, and there is real appetite for strategic deals from our established network of sellers and buyers. The overall trend has produced a very liquid and buoyant trading environment, and we fully expect that the property sector will continue to perform over the coming months with both buyers and sellers benefiting from the current uptick” he concluded.