330 Commissioner Street

BP_Jeppestown_Erven 266 & 267_Mar 20_NT1.pdf

Jeppestown Mixed-Use Residential and Retail Development Johannesburg 8 Large Flats, 4 Retail Units

Wednesday, 27 May 2020 @ 12h00

Houghton Golf Club – Osborn Road, Houghton, Johannesburg Marco Vinhas | 076 981 0561 | [email protected]

Version 3: 1 April 2020 NT

Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Index

Disclaimer, Auction Information and Terms & Conditions Page 3

Property Images Page 4

Executive Summary & Key Investment Highlights Page 6

General Information Page 7

Locality Information Page 8

Property Description Page 10

Projected Gross Annual Income – Summary Page 13

Projected Gross Annual Income – Detailed Page 14

Rent Roll Page 15

Rates Statement Page 17

Zoning Information Page 20

General Plan Diagram Page 27

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Disclaimer, Auction Information and Terms & Conditions

Disclaimer Whilst all reasonable care has been taken to provide accurate information, neither Aucor Corporate (Pty) Ltd T/A Aucor Property nor the Seller/s guarantee the correctness of the information provided herein and neither will be held liable for any direct or indirect damages or loss, of whatsoever nature, suffered by any person as a result of errors or omissions in the information provided, whether due to negligence or otherwise of Aucor Corporate (Pty) Ltd T/A Aucor Property or the Seller/s or any other person.

______

Auction Information Deposit 5% of bid price Commission 10% plus 15% VAT thereon of the bid price Confirmation period 2 Business Days

Rules of auction and conditions of sale are available at www.aucorproperty.co.za/

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Terms & Conditions R50 000 refundable deposit (strictly bank guaranteed cheque or cash transfer only). Bidders must provide original proof of identity and residence on registration. No cash will be accepted at the auction. No exceptions. All bids are exclusive of VAT. Aucor Property may bid up to reserve on behalf of the sellers. Subject to change without notification. Auctioneer: Pieter Geldenhuys.

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Property Images

The boundary lines are not drawn to scale and are drawn for illustrative purposes only Kwazamokuhle

The boundary lines are not drawn to scale and are drawn for illustrative purposes only

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Property Images

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Executive Summary & Key Investment Highlights

Street Address: 330 Commissioner Street - Jeppestown, Johannesburg CBD GPS Coordinates: -26.2032, 28.0636

Erf 266 - 347m² Erf 267 – 347m² Registered Land Sizes: Total – 694m² Zoning: 'Commercial 2' - See zoning confirmat ion at t ached t o t his brochure Assessment Rates: R2,679.87 / month - excluding consumption charges and city levies

See from page 11 for full accommodat ion det ails: Marian Court is a triple storey, mixed-use development. The building comprises two floors of residential accommodation, with a retail component along the ground floor of the property hosting four primary retail units. The residential component is accessible via an access-controlled entrance along Gus Street. The component comprises two storeys hosting Accommodation: a total of 8 generously sized apartments of varying size, but similar configuration. All apartments feature private bedrooms, open plan living areas (encompassing a kitchen and lounge area) and bathrooms. The room count is as follows: • 2 x 3 Bedroom Flats • 6 x 2 Bedroom Flats

Occupation: The property is multi-let. See from page 11 for details.

Ideally Located in a bustling node of Jeppestown, within close proximity to the busy Jeppe Metrorail Station, as well as the nearby taxi rank.

Situated along the important Commissioner Street, a major arterial cutting through the Johannesburg CBD and is thus exposed to significant volumes of vehicular traffic. Key Investment Highlights: Multi-Let retail and residential components, with strong income generating capacity.

Ideal location in close proximity to the busy Jeppe Metrorail Station, as well as the nearby taxi rank. Ideal investment property with a Projected Gross Annual Income of ± R775,3250 in the first year of ownership.

By bidding on t his propert y, t he purchaser acknowledges t hat he has acquaint ed himself wit h t he ext ent and t he nat ure of t he propert y he is buying, and t hat he accept s t he propert y as such.

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

General Information

Street Address 330 Commissioner Street - Jeppestown, Johannesburg CBD GPS Coordinates -26.2032, 28.0636 ______

Title Deed Information Title Deed Number T9100/2011 Registered Owner Chutzpah Prop (Pty) Ltd Title Deed Descriptions Erf 1292, City of Johannesburg Metropolitan Municipality Registered Land Sizes Erf 266 - 347m² Erf 267 – 347m² Total – 694m² Title Deed Conditions A copy of the title deed is on hand and will be made available upon request thereof. ______

Municipality Information Municipality City of Johannesburg Metropolitan Municipality Rates Excluding consumption charges and city levies. Based on the rates statement as received from Council for the March 2020 billing period. See a copy of the statement attached for these and other charges. 2019 / 20 Annual 2019 / 2020 Municipal Rates 2019 / 2020 Exclusion Rebate Rates less Value Monthly Rates Valuation Category Tariff exclusion (Annual ÷12) Multipurpose R 4 500 000 2712.12 N/A 0.0077490 R 32 158.38 R 2 679.87 Residential

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Zoning Information Zoning 'Commercial 2' - See zoning confirmation attached to this brochure Amendment Scheme No. 244 Permitted Uses (per current scheme) "Commercial purposes, builders' yard, business purposes, building material storage." Current Use Mixed-Use Coverage 50%/347m² - for one and two storeys (For non-industrial/other uses) 40%/277.6m² - for three storeys (For non-industrial/other uses) Height 3 (Three) Storeys Floor Area Ratio 1.2 - 2.1 or 832.8m² - 1,457.4m² (Combined) Density No density Building Lines 3m along all street boundaries Parking Requirements As per scheme *City of Johannesburg Land Use Scheme. 2018 - A copy Is on hand and will be made available upon request thereof.

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Locality Information Macro Locality The property is situated in a node east of Johannesburg’s CBD at the corners of Commissioner and Gus Street. The site is located close to the M31/Joe Slovo Drive Albertina Sisulu Road, whilst also having exposure to Commissioner Street, all of which are major arterials connecting the Johannesburg CBD to surrounding suburbs. The site offers excellent exposure to high volumes of passing pedestrian and vehicular traffic, with the immediate area considered a strong trading node due to the near proximity of the Metrorail Jeppe Station, as well as the numerous mini-bus taxi hubs and bus stops in the immediate surrounds. The area is further characterised by various low and high-rise buildings with a combination of residential and commercial uses. There are a number of primary and secondary streets which service the area providing easy access in and about the CBD. All major amenities and services are available in the Johannesburg CBD. GPS coordinates for the site are as follows: -26.2032, 28.0636

Image Data: Google, AfriGIS (Pty) Ltd, DigitalGlobe

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Locality LocalityInformation Information Micro Locality

New Doornfontein New

Johannesburg Johannesburg CBD

ImageData: Google, AfriGIS Ltd, (Pty) DigitalGlobe

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Locality PropertyInformation Description Approximate Boundaries

Johannesburg GIS ImageData: City of

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Property Description

Accommodation Marian Court is a triple storey, mixed-use development. The building comprises two floors of residential accommodation, with a retail component along the ground floor of the property hosting four primary retail units. The residential component is accessible via an access-controlled entrance along Gus Street. The component comprises two storeys hosting a total of 8 generously sized apartments of varying size, but similar configuration. All apartments feature private bedrooms, open plan living areas (encompassing a kitchen and lounge area) and bathrooms. The room count is as follows: • 2 x 3 Bedroom Flats • 6 x 2 Bedroom Flats

The retail component comprises 4 primary units hosting a total of 5 shops. Each of the units enjoys street front access, as well as having use of the shared courtyard in the centre of the building, which hosts ablutions facilities that are shared by the various retail tenants on the property. ______

Key Features The building features a host of key features, some of which can be summarized as follows:

• Access controlled pedestrian access to residential accommodation section • Shop fronts fitted with burglar bars • Largest retail unit features street front access via two large roller shutter doors. • Self-contained caretaker’s room on the rooftop with separate toilet. • Fire escapes servicing the building from the ground floor (in the courtyard) to the rooftop.

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Construction The building is constructed of face brick structural walls with concrete infills in places, under a waterproofed concrete roof (except for the extensions to the building and the outbuilding, which are under corrugated iron sheet roofing) ______

Fixtures and Finishes The flats are fitted with similar fixtures and finishes comprising tiled flooring throughout, rendered and painted brick walls, concrete/gypsum board ceilings with standard light fittings.

The ground floor retail units have been fitted to tenant specifications and requirements and comprise of tiled flooring, rendered and painted walls and a combination of painted concrete and gypsum ceiling boards. ______

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Property Description

Utility Services All services are provided by the City of Johannesburg. Each unit is fitted with separate water meters and prepaid electricity meters. Water consumption charges are recovered monthly in arrears. ______

Parking Street front parking is available along Commissioner Street. ______

Occupation The property is multi-tenanted and will be sold with the ongoing lease agreements upon registration of transfer. See pages 11-14 for details. ______

Condition The building is considered to be in generally good condition with routine/ongoing maintenance required. The building offers good curb appeal. No structural survey of the buildings has been undertaken nor have tests or inspections of service installations been arranged.

By bidding on this property, the purchaser acknowledges that he has acquainted himself with the extent and the nature of the property he is buying and that he accepts the property as such.

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Projected Gross Annual Income – Summary Contractual Cashflow Projections - July 2020 to June 2021

Premises Item / Tenant Start Date Expiry Date Esc Basic Rent Total

Residential Rental R0001 *** TBC TBC R 1 385.21 R 16 623 U01 *** MTM TBC R 4 802.23 R 57 627 U02 *** MTM TBC R 4 802.33 R 57 628 U03 *** MTM TBC R 4 847.23 R 58 167 U04 *** 01/02/2019 31/01/2020 10% R 6 548.51 R 86 440 U06 *** MTM TBC R 4 802.23 R 57 627 U07 *** 01/02/2019 31/01/2020 10% R 4 802.23 R 63 389 U08 *** MTM TBC R 6 550.01 R 78 600 R 476 101 Retail Rental Shop 01 Jama Ahmed Dhali 01/07/2018 30/06/2021 5% R 5 838.72 R 73 568 Shop 03 Comfort Abena Nyarko 01/07/2016 30/06/2021 5% R 7 890.12 R 99 416 Shop 04 Uchechukwu Obinna Onoh 01/07/2018 30/06/2020 5% R 10 520.22 R 126 241 R 299 224

Gross Annual Income R 775 325

Not es/Assumpt ions 1. The Basic rent , lease peiod and Escalat ion rat es are as ext ract ed from t he leases, where such document s were current and t hus relevant t o t his analysis.

2. It is underst ood t hat where t he leases, wit h specific reference t o t he ret ail accommodat ion, expire during t he project ed first year of ownership, t he base rent als will be escalat ed as st ipulat ed in t he lease agreement .

3. All amount s represent ed above are exclusive of VAT. 4. Only cont ract ual cash flows have been considered in t he above analysis. Project ed expenses have not been supplied by t he Seller and as such have been excluded from t he above analysis.

5. Where t he lease period has expired, it is underst ood t hat t he t enant will cont inue t o occupy t he unit on a mont h- t o-mont h basis pending successful negot iat ion of a new agreement . In light of t his, t he rent al has not been escalat ed for t he purposes of t his analysis. This is in line wit h t he lease agreement s (Retail accommodation only).

6. The base rent al pert aining t o t he mont h-t o-mont h residential accommodation lease agreement s have not been escalat ed due t o t he out dat ed agreement s provided for t hese longst anding t enancies and t he result ing lack of current informat ion relat ing t o t he applicable escalat ions t o each ongoing agreement .

Special Not e - The rent al informat ion in t his brochure is not int ended t o const it ut e specific advice nor t o subst it ut e for a due diligence exercise, and accordingly should not be relied upon t o make a purchase decision. Prospect ive purchasers should make t heir own enquiries and invest igat ion t o confirm pert inent informat ion and forecast s, and should furt her seek appropriat e independent professional advice in relat ion t heret o from suit ably qualified professionals t o complet e t heir own due diligence in relat ion t o t he Propert y. E & OE

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Projected Gross Annual Income –

Detailed

99 41699

73 56873

78 60078

63 38963

57 62757

86 44086

58 16758

57 62857

57 62757

16 62316

E & OE & E

775 325 775

299 224 299

126 241126

476 101476

Total

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 935 24

10 52010

39 67539

64 610.34 64

Jun-21

2020/03/16

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

Dat e:

24 935 24

10 52010

39 67539

64 610.34 64

May-21

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 935 24

10 52010

39 67539

64 610.34 64

Apr-21

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 935 24

10 52010

39 67539

64 610.34 64

Mar-21

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 935 24

10 52010

39 67539

64 610.34 64

Feb-21

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 935 24

10 52010

39 67539

64 610.34 64

Jan-21

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 935 24

10 52010

39 67539

64 610.34 64

Dec-20

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 936 24

10 52010

39 67539

64 610.56 64

Nov-20

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 936 24

10 52010

39 67539

64 610.56 64

Oct-20

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 936 24

10 52010

39 67539

64 610.56 64

Sep-20

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 936 24

10 52010

39 67539

64 610.56 64

Aug-20

R R

8 285 8

6 131 6

6 550 6

5 282 5

4 802 4

7 203 7

4 847 4

4 802 4

1 385 1

24 936 24

10 52010

39 67539

64 610.56 64

Jul-20

R R

7 890.12 7

5 838.72 5

6 550.01 6

4 802.23 4

6 548.51 6

4 847.23 4

4 802.33 4

4 802.23 4

1 385.21 1

10 520.22 10

Basic Rent Rent Basic

R R

Esc

TBC

10%

TBC

10%

TBC

Gross Annual Income Gross

lease agreement lease not have escalat s t been due t ed o out he datagreement ed forprovidedt s longst hese andingt tand enancies result he inglackofcurrent

30/06/2020

30/06/2021

31/01/2020

Expiry Date Expiry

TBC

MTM

(Retail accommodation(Retailonly).

Start Date Start

01/07/2018

01/07/2016

01/07/2018

01/02/2019

residentialaccommodation

Item / Tenant / Item

***

UchechukwuObinnaOnoh

ComfortAbena Nyarko

Jama AhmedJama Dhali

Premises

Retail Rental Retail

Residential Rental Residential

Shop 04 Shop

Shop 03 Shop

Shop 01 Shop

U08

U07

U06

U04

U03

U02

U01

R0001

own due diligence inowndue relat iont t o Propert he y.

should maket should heirinvestandownenquiries igat iont confirm o pert inentinformat forecast ionand furt should and s,appropriat seek her independent e professional inadvice relat iont heretfrom o suit qualified ably professionals t complet o t e heir

Special Not e - The rentSpecial Not The - al informat e ionin t isnot hisbrochure int t ended const o it utspecifict nor e advice subst o itnot decision.Prospectt should diligence relied ivepurchasers utupon accordingly purchase andbe make a exercise, due for a o e

informat ionrelat ingt t o applicable he escalat t ions ongoingagreement each o .

6. The base rent base 6.The al pert ainingt t o mont he h-t o-mont h

purposes oft purposes is hisin analysis.This line wit t h agreement lease he s

5.tWhere expired,has periodit lease he isunderst t ood hatt t he enantwill t cont unitt he inue monta occupy on o h-t o-montnegot basispending h successful iat newagreement ionofa .Inlight oft his,t rent he alnothas escalat been fort ed he

4. Only cont ract ual cash flows have been considered in t he above analysis. Project ed expenses have not been supplied by t he Seller and as such have been excluded from cont 4.excluded tOnly been analysis. t ract have in above nott have considered he flowssuch analysis.Projectsuppliedby Seller cash as been and he ual have been expenses above he ed

3.All amount ofVAT. exclusive are represent s above ed

2.It isunderst t ood hattwhere witleases, he specifict h reference t o ret he ailaccommodat ion,expireduringt project he first ed ofownership, t year rent base he alswill escalat be st as ed ipulatin t ed agreement lease he .

1. The Basic rentBasic Escalat1.andThe peiod ,lease ionrat ext as are es ractfrom ed tdocument currentwere such where s leases, t and he relevant hus t t o hisanalysis.

Not es/Assumpt ions Contractual Cashflow Projections - July 2020 to June2021 to July2020 - Projections Cashflow Contractual

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Rent Roll

Basic Rental Rates and Refuse Unit Item / Tenant Water Electricity Sewerage Other Total (Monthly) Taxes Removal Residential Rental R0001 *** R 1 385.21 R - R - R - R 54.95 R 1 440.16 U01 *** R 4 802.23 R - R - R - R 123.64 R 4 925.87 U02 *** R 4 802.33 R - R - R - R 123.64 R 3.74 R 4 929.71 U03 *** R 4 847.23 R - R - R - R 123.64 R - R 4 970.87 U04 *** R 6 548.51 R - R - R - R 123.64 R - R - R 6 672.15 U06 *** R 4 802.23 R - R - R - R - R - R 23.55 R 4 825.78 U07 *** R 4 802.23 R - R - R - R 123.64 R - R - R 4 925.87 U08 *** R 6 550.01 R - R - R - R 123.64 R - R 20.87 R 6 694.52 Retail Rental Shop 01 Jama Ahmed Dhali R 5 838.72 R - R - R - R - R - R - R 5 838.72 Shop 03 Comfort Abena Nyarko R 7 890.17 R - R - R - R - R - R 13.87 R 7 904.04 Shop 04 Uchechukwu Obinna Onoh R 10 520.22 R - R - R - R - R - R 55.79 R 10 576.01

R 62 789.09 R - R - R - R 796.79 R - R 117.82 R 63 703.70

Not es/Assumpt ions 1. Based on t he Rent Roll as supplied by t he Seller for t he February 2020 billing period. 2. All rent al informat ion present ed above is exclusive of VAT. 3. Rent al Informat ion excludes balances brought forward, deposit charges and similar once-off it ems billed during t his period. 4. Confident ial t enant informat ion has been redact ed. Special Not e - The rent al informat ion in t his brochure is not int ended t o const it ut e specific advice nor t o subst it ut e for a due diligence exercise, and accordingly should not be relied upon t o make a purchase decision. Prospect ive purchasers should make t heir own enquiries and invest igat ion t o confirm pert inent informat ion and forecast s, and should furt her seek appropriat e independent professional advice in relat ion t heret o from suit ably qualified professionals t o complet e t heir own due diligence in relat ion t o t he Propert y. Dat e: 2020/03/16

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Lease Summary These lease summaries should not be relied upon in isolation and should be read in conjunction with the executed lease documents, copies of which are available to bona fide prospective purchasers upon request. ______Lease 1

Tenant Dhali Supermarket Rentable Area Shop 1 Start Date 1 July 2018 Expiry Date 30 June 2021 Renewal Period Not applicable Escalation Rate 5% per annum

Monthly Rental (excl VAT) From To Basic Rental 01/07/2019 30/06/2020 R 5 838.72 01/07/2020 30/06/2021 R 6 130.66 ______Lease 2

Tenant Comfort Abena Nyarko t/a Mama T Restauarant Rentable Area Shop 3 Start Date 1 July 2016 Expiry Date 30 June 2021 Renewal Period Not applicable Escalation Rate 5% per annum Monthly Rental (excl VAT) From To Basic Rental 01/07/2019 30/06/2020 R 7 890.12 01/07/2020 30/06/2021 R 8 284.63 ______Lease 3

Tenant Valley Centre Guest House and Car Sales (Pty) Ltd Rentable Area Shop 4 Start Date 1 July 2018 Expiry Date 30 June 2020 Renewal Period Not applicable Escalation Rate 5% per annum Monthly Rental (excl VAT) R10,520.22

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Rates Statement

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Rates Statement

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Rates Statement

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

Zoning Information

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

General Plan Diagram

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Mixed-Use Residential and Retail Building – Jeppestown, Johannesburg CBD

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