According to BusinessTech, there is simply not enough space for Cape Town to grow, says Greg Dart, a director at High Street Auctions.
There’s an immense appetite for the City of Cape Town development land because the geography of the peninsula is, by its nature, very limiting.
Dart said Cape Town has also become very enticing with 60% less load-shedding than the rest of the country, a cash-for-power plan buying electricity from businesses that feed back into the grid, and an across-the-board property rates relief package peaking at 52% for homes valued below R5 million.
He added that with businesses also migrating from Gauteng to Cape Town, High Street Auctions has reported record levels of interest in Cape Town land.
‘In the past, bidding at City of Cape Town property sales has been competitive. This month, I think it’ll be nothing short of ferocious’, said Dart.
High Street Auctions will sell, on behalf of the City of Cape Town, houses and development sites across the peninsula from Muizenberg through Grassy Park, Tafelsig, Strandfontein, Khayelitsha and across to Strand, Goodwood and Durbanville.
Bidder interest is primarily focused on properties in the following areas: Newlands, Gardens, Durbanville and Muizenberg.
Semigration has been a growing trend taking over the Western Cape, as the labour market and families begin valuing well-run municipalities and the lifestyle benefits of a major city by the sea.
The Western Cape has become a business heavy-weight.
According to Brent Townes, COO for Lew Geffen Sotheby’s International Realty Commercial, businesses have also jumped on the semigration trend.
Townes said freehold commercial office space had been the top seller in four of the group’s freehold sales areas: Bellville, the CBD, Goodwood and Parow.