17
CONSTRUCTION WORLD
OCTOBER
2014
PROPERTY
Development in Sandton is ongoing, with office and retail property worth billions of rands continuously
being built and road and transport networks being upgraded.
Dr Andrew Golding, chief executive of the Pam
Golding Property group.
“The impact on the
residential property
market generally tends
to radiate out from the
stations with the greatest
impact felt toward
the centre.”
Not only has the Gautrain changed the face
of Gauteng – it has changed the economics
of the province.
town, is a good example of an area that
has benefited from the development of the
Gautrain. With a wide variety of coffee shops,
restaurants, boutique clothing stores, bars,
markets and art galleries a feature of the
neighbourhood, Braamfontein offers resi-
dents easy access to a colourful street life
and investors have gained increasing confi-
dence in the area in recent years. Many
apartment blocks have been, or are in the
process of being revamped, and quality resi-
dential properties are available at affordable
prices and rental rates.
Davies notes that the rejuvenation of the
area is in no small part due to initiatives such
as the Braamfontein Improvement District,
which saw property owners join forces a
decade ago to work on revitalising the area.
“However, many people who are settling
in Braamfontein are certainly taking the
location of the nearby Gautrain station into
account and we believe that it is playing
a role in stimulating development within
the area.”
Many residents of Johannesburg’s reju-
venated CBD have also observed that they
appreciate the easy access that they have
to the Gautrain. The Rea Vaya Bus Rapid
Transit System (BRT) provides a fast, safe
and affordable transport system throughout
the city and to the train station.
Davies says that properties in Braam-
fontein represent a stable investment.
According to the property research company
Lightstone, the average apartment in
Braamfontein fetched R4,3-million in 2013.
With many investors taking advantage of
the urgent demand for accommodation In
Braamfontein, the buy-to-rent market is
strong in the area.
Sandton CBD
Davies adds that the Sandton CBD has seen
considerable densification in recent years
and the development of a number of high-
rise executive apartment blocks such as
The Michelangelo and Sandhurst Towers is
evidence of this. Apartments in the CBD of
Sandton are marketed from R1,7-million and
have been listed for as much as R60-million.
Says Davies: “Development in the area
is ongoing, with office and retail property
worth billions of rands continuously being
built and road and transport networks being
upgraded. The Sandton Gautrain station is
a destination station for the Sandton city
centre, offering a high-speed rail link with
a 20-minute travel time to OR Tambo Inter-
national Airport and links to Soweto, Johan-
nesburg and Pretoria.”
The station has further stimulated
the already rapid growth that has been
occurring in the area in recent years and a
number of developers are taking advan-
tage of the opportunities it offers. Just one
example of this is the innovative Sandton
Eye, a mixed-use development that is situ-
ated across the road from the Sandton
Gautrain station.
Sandton Eye includes offices, retail
space and the five-star Radisson Blu
Gautrain Hotel. Residential luxury apart-
ments are also now being developed on top
of the hotel and selling rapidly.
According to Davies, the apartments
are proving popular with executives and
entrepreneurs from all over the world who
work or do business in Sandton and want to
be within easy reach of the financial centre
of Africa.
“It is evident that the Gautrain is
providing an important stimulus for the local
economy and is having a highly positive
impact on a number of residential property
markets within the greater Johannesburg
area. If current trends are anything to go by,
this process is only likely to continue into the
future,” concludes Dr Golding.
