Property brokers perceived Greater Johannesburg to be significantly oversupplied in terms of office, industrial, and retail assets during Q4 2024, according to FNB Commercial Property Finance.
With its status as South Africa’s largest office property market, Greater Johannesburg is a major contributor to the national office oversupply, along with Tshwane, says Property Strategist, John Loos.
During the second half of 2024, the office markets in Greater Johannesburg, Tshwane, and Nelson Mandela Bay were perceived as the weakest among all three major commercial property classes. In contrast, eThekwini’s office market emerged as positive with Cape Town’s office market the strongest.
Brokers also pointed to Greater Johannesburg’s ‘weakness’ in the retail property market, Nelson Mandela Bay remained ‘neutral’ while Cape Town emerged with the strongest retail property market score followed by Tshwane and eThekwini.
Nationally, the industrial property market was perceived to be the strongest in terms of demand versus supply.