South Africa commercial property managers report an increase in business with opportunities for growth still available in the commercial sector.
The Equinox, a prestigious, landmark property in Sea Point, Cape Town, is managed by JHI Properties.
According to Johann Boshoff, director, property management for JHI Properties, they are seeing positive signs, which include increasing enquiries for the uptake of space.
He says corporate organisations are indicating their willingness to make decisions in regard to relocation – including moves to larger premises and they also perceive new development opportunities in the market.
Boshoff explains that tough trading conditions and rising operating costs has led to larger organisations incorporating all their business units in one convenient location rather than spread across areas or even regions.
JHI Properties in the Western Cape says it will take advantage of these opportunities as the commercial property market in the province is reflecting positive growth.
Demand is high for retail and industrial space and although office vacancies remain high, significant office leases have been signed for office properties in Century City, Durbanville and in Cape Town’s northern suburbs.
JHI notes that the uptick in interest in office buildings is mainly due to landlords competitively aligning office rentals with market related rates.
Landlords are also more conscious of keeping the office grading of their assets in line with demand and as a result are more inclined to invest in upgrading their buildings and keeping up with market trends in order to retain maximum market rentals.
JHI points out that the major capital investment in the Western Cape including new infrastructure and an improved transport system has created numerous property management opportunities.
The company says they will focus on understanding the landlords’ assets and strategies, unlocking the value and operating closely with asset managers in order to achieve maximum return on investment and capital growth of the buildings under management.