Retail centres in Makhado (Louis Trichardt) took top honours at the Auction Alliance property sale on Wednesday, 21 April 2010, with the 40 lots under the hammer fetching good prices.
“There was a lot of bounce and activity, and a lot of active buyers. There is life in the market and we are delighted with the results,” auctioneer Rael Levitt said.
“The property market is in a mode of recovery in an environment where interest rates are low and property prices are low. So it's cheap to buy and cheap to borrow.
“For buyers the window of opportunity is open.”
In top spot was the Shoprite Mall in Makhado, which fetched the highest bid of R28,5m. The mall comes with a head lease until 2015, a gross income of R2,5m a year and a gross lettable area of 8090m².
Two other retail centres were on offer in Makhado. A Metro Cash retail block on Rissik Street, with a gross lettable area of 4990m² and an income of R2,4m a year, was knocked down for R9m. A retail centre on President Street with a gross income of R3,7m a year fetched R22m.
Also in demand was the Mosaic shopping centre in Jan Niemand Park, Pretoria, with a gross lettable area of 2113m², that was knocked down for R4,25m.
A 14871m² industrial site with a gross lettable area of 8910m² in Village Main fetched R7m. A multi tenanted retail and industrial park in Anderbolt hit R24,5m, the second highest bid. It has a gross lettable area of 18516m² and a gross income of R9,05m a year.
In Rustenburg, an office and retail block with a gross lettable area of 5748m² and projected gross income of R4,58m was knocked down for R20,5m.
In Pretoria, an office block with a gross building area of 4990m² on Belvedere Street in Arcadia received a top bid of R18m, while a lot consisting of offices in three buildings with a gross building area of 703m² in Colbyn was withdrawn.
An art deco office and retail building, dating back to the 1930s, on Princess Avenue, Benoni, fetched R2,25m. The building, with Ellerines Furnishers as a tenant, has a gross lettable area of 3089m² and an income of R630210 a year.
Last under the hammer was an impressive mixed-use industrial and commercial building with a gross lettable area of 17393m² on Madison Street in Jeppestown. Described as ideal for residential conversion, the building fetched R9m.
Source: Business Day