Rental properties are in high demand in the highveld town of Balfour.
Herman Botha-Bosch, principal of the local Aida office, reports that this is due to an influx of mineworkers and other staff at the new Great Basin gold mine and Eskom workers at the recommissioned Grootvlei power station.
"The mining company is now recruiting permanent staff and accommodation is at a premium. Three-bedroom furnished town houses in Balfour achieve rentals of up to R8,500 a month."
Demand in Grootvlei,15 km outside Balfour, is arguably even higher, which has seen modest homes that typically sell at prices of between R380k and R480k achieve rentals of up to R10k a month with tenants sharing rooms, he says.
A new residential development, Villa Sebali, with 160 units has also sprung up. One-bedroom units with a full bathroom are being marketed at R295k, while 91sqm two-bedroom units with two bathrooms cost R460k. Three-bedroom double storey units are selling at R630k in the first phase.
Botha-Bosch says value growth of between 10% and 15% per year can comfortably be expected.
"The town still functions as the business centre for surrounding maize farmers but demand for services across the board is set to explode. There is growing demand for more grocery stores, hardware shops, banking services and other services such as vehicle fitment centres," he says.
For more information contact Herman Botha-Bosch on 017 773 1200.
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