Menlyn in Pretoria is the fastest growing developmental node with lots of businesses and property developers taking advantage of this location.
Phase One of the development will comprise 9 200 square metres of prime offices and 508 parking bays commencing this month at a cost of R176 million. Phase Two of the development will start as soon as Phase One has already been substantially let, which the developers anticipate will either be during or shortly after the completion of Phase One in early 2012. This will comprise of 6 785 square metres of office and 282 parking bays at an estimated of R122 million.
Johannesburg Stock Exchange listed property company Emira Property Fund is going ahead with its prestigious Podium office park at Menlyn taking advantage of the growing interest in the Menlyn area as a new development node.
Podium at Menlyn is located at the intersection of Atterbury and Lois Streets, directly across the street from Menlyn Mall.
It is the gateway to the Menlyn node, which is to become an A-Grade business hub with in excess of 300 000 square metres of mixed use development including retail, offices, hotels and residential units being planned.
Major office lets done at prime rentals and feedback from brokers operating in the node have convinced Emira to accelerate its development plans for the site, says James Templeton, chief executive officer of Emira Property Fund.
“With corporate demand picking up in the Menlyn node we believe that we should be taking full advantage of the current conditions.”
He says, the contracting market is favourable at the moment with extremely competitive tender pricing.
Templeton explains that Emira has decided to develop the property in two phases.
Phase One of the development will comprise 9 200 square metres of prime offices and 508 parking bays commencing this month at a cost of R176 million.
Phase Two of the development will start as soon as Phase One has already been substantially let, which the developers anticipate will either be during or shortly after the completion of Phase One in early 2012.
This will comprise of 6 785 square metres of office and 282 parking bays at an estimated cost of R122 million.
Asking rentals on completion of around R125 per square metres are being factored into the development’s feasibility calculations.
“The development has been designed to be let either to a single tenant for each phase or for multi-tenant users with minimum space configurations of 500 square metres.”
He adds that leasing agents have advised that tenant interest in the project is likely to pick up as building activity commences.
Projected rental levels are favourable when compared with recent lets concluded in the Menlyn vicinity which have ranged from R117 per square metre to R130 square metres. – Denise Mhlanga
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