During the six months to June 2024, SA’s All-Property capitalisation rate showed a marginal change by edging up 10 basis points to 8.4% – despite a weakening in longer-dated bond yields.
At the 50th percentile, the All-Property capitalisation rate was 9.8%, according to the MSCI South Africa Bi-Annual Property Index which tracks the performance of 1 740 independently valued assets worth R378 billion.
Since 2009, the median South African All-Property capitalisation rate has maintained an average spread of 40 basis points over a ten-year bond yield.
For more detailed information on the SAPOA Valuations Report for H1 2024, download a free copy of the latest report here (free to SAPOA members only).
How to access SAPOA’s reports:
- Visit www.sapoa.org.za.
- Login/register on SAPOA Members
- Click on ‘Reports’
- Click on ‘Free Reports’
- Click on ‘SA Property Trends Report’
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