During Q3 2024, commercial property brokers pointed to improved business confidence in anticipation of ‘better things’ to come but they have not witnessed a meaningful rise in sales activity just yet, according to FNB Commercial Property Finance’s latest Property Broker Survey.
While the number of property brokers experiencing ‘satisfactory’ business conditions (44%) was significantly higher than Q2 2024’s 30%, the majority still perceive business conditions as ‘unsatisfactory’.
Sales activity ratings were robust in SA’s major metros along the coast, particularly Nelson Mandela Bay which strongly emerged when compared to a weaker Gauteng.
In the retail property sector, Nelson Mandela Bay’s and Cape Town’s sales activity ratings were strong with Tshwane and Greater Johannesburg the weakest; in the office property sector, Nelson Mandela Bay recorded the strongest sales activity rating with Cape Town second and eThekwini recording a weak sales activity rating. Greater Johannesburg and Tshwane recorded ‘average’ sales activity ratings.
In the industrial real estate sector, eThekwini recorded the strongest sales activity ratings followed by Nelson Mandela Bay and Cape Town. Greater Johannesburg was not far behind the coastal metros, but Tshwane recorded a considerable weak sales activity rating.
Property brokers remain most optimistic about the industrial/logistics sector and the least optimistic about the office sector – with the retail sector in between.
