The Weekend Property & Construction News
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The Weekend Property & Construction News The Weekend Property and Construction Newsletter The Association of South African Quantity Surveyors Saturday 26 May 2001 Property and Construction related articles featured on the Internet for the past week brought to you by www.asaqs.co.za . News specific to the quantity surveying profession is reflected at the bottom of this newsletter. Click on the blue headline if you wish to read the full article on the Internet. Construction and development news in brief SA Property report 2001 Quantity surveyors are cost effective option On the side... Following growth trend in OZ People building homes of more than R1-million are being encouraged to use the services of quantity surveyors at the outset, specifically for the contractual Special survey : Cape Town New documents on the ASAQS and financial management of the project. Spokesman for the Association of New cash lifts Cape Town's fortunes website South African Quantity Surveyors, Len Harris, said they were concerned The revitalisation of the Cape Town central 10% discount on selected software business district (CBD) has led to a massive about the rise in the number of disputes between consumers and builders cash injection by two of SA's biggest listed Cathodic protection for steel over new upmarket homes. "The increase is commensurate with the companies. Nedcor is to invest more than reinforcement R100m as it prepares to base its regional improved conditions in the residential market, but the conflict between the headquarters in the c... This week's webcam in Did you parties appears to be increasingly rooted in poorly drawn up and, in some (©www.bday.co.za) see? cases, sloppily applied building contracts," he said. Harris said that during his Gauteng recovery boosts Cape residential market recent term as president of the association, he had been requested to nominate arbitrators in THE Cape Town residential property market several construction disputes, the majority of which involved home building projects. He said is on a gradual upward trend, with strong foreign interest and domestic demand these disputes often stemmed from clients altering construction plans during building and not picking up with the revival of the Gauteng recording the changes in writing. In some cases, clients were also unaware that alterations market. Andrew Golding, MD of Pam Golding meant additional expenses and an increase in the amount of time it would take to complete the Residential Properties, estimates an 8% to 10% rise in Cape Town house prices year- home. on-year. Although Cape Town has (©www.iol.co.za) underperformed against the growth in the Gauteng market, this was largely due to the low base of the latter, he says. Liquidators urged to call in property experts (©www.bday.co.za) Liquidators need to call in property development experts to rescue faltering projects, says South R6bn committed to revitalisation efforts Cape Trust CE Steyn Rivett-Carnac. "Several times in the past few years," he says, "our INVESTORS have committed more than R6bn to projects in the Cape Town city company has been interested in taking over developments that have gone into liquidation. All centre and V&A Waterfront, providing firm too often, however, the liquidators have been unable to give us the basic information we support for ambitious revitalisation efforts that require before deciding whether or not to attend the auction. seek to prevent the wholesale suburban flight that has blighted other SA cities. The (©www.bday.co.za) Cape Town Partnership, a nonprofit public- private sector company dedicated to developing the city's commercial, cultural, Following growth trend in Oz leisure and tourist potential, is pursuing SA's R8bn listed property market is poised to see prolific growth in the next few years if it numerous other ventures aimed at continues to follow Australian market trends. Gerald Nelson, Association of Property Unit Trusts eradicating "crime and grime" and restoring older sections of the CBD. (Puts) chairman, says the SA property investment market faces the same challenges and (©www.bday.co.za) file:///C|/Users/Bert%20vd%20Heever/Documents/My%20Websites/ASAQS/News/Issues/260501.htm[2012/10/22 19:37:27] The Weekend Property & Construction News opportunities as the Australian market did 10 years ago. These include a demand for greater Developing the IT gateway to Africa liquidity, a decline in interest rates and relatively low and stable inflation. THE Western Cape's information technology (©www.bday.co.za) sector, currently the country's second largest behind that of Gauteng, is well on its way to becoming a global hub and an IT gateway to Solid returns against equities and bonds Africa. Bearing testimony to their upbeat Property is emerging once again as an important investment portfolio component, given better sentiment, say the Western Cape Investment and Trade Promotion Agency (Wesgro) and returns over the past five years than equities or bonds, says the JHI Real Estate's SA property the Cape Information Technology Initiative report 2001. The report says property has recorded a total return of 12,9% on the all property (Citi), is a recently released report on the industry in the province. The report shows index over the past five years, compared with equities at 7,8%, bonds at 4,8% and against an that in just over a year the industry in the inflation rate of 7,3%. Western Cape has grown by almost half. (©www.bday.co.za) (©www.bday.co.za) Port plans upgrade to handle traffic Loan-stock property sector set for growth growth ALL pointers suggest that the property loan stock sector of the JSE Securities Exchange SA CAPE TOWN'S port is set for a major upgrade if a draft development strategy will see an unprecedented scale of growth in the next few years. Complemented with sound being assessed by management is adopted. investment fundamentals, the sector is set for a revolution a revolution that could deliver what And yesterday saw the official opening of Safmarine's R40m container depot property investors have for many years been hoping for, namely liquidity and critical mass in constructed on a 12,5ha site in the Montague property as an asset class. This could bring back the interest of institutional investors who have Gardens/Killarney area. Three key problems have been identified in the harbour the delay ignored property in favour of other assets. strong south-easterly winds cause in cargo (©www.bday.co.za) handling, the expected lack of capacity of the container terminal, and a lack of ship-repair facilities. Taking a different look at risk (©www.bday.co.za) The commercial and industrial property market in SA is taking an increasingly focused view of Passengers arrive in the latest style the different types of risk that pertain to investment in different property sectors and nodes, CAPE TOWN'S status as an international says Russell Inggs, head of Nedbank Property Finance. city has been considerably enhanced by the (©www.bday.co.za) opening of a R113m international arrivals terminal at the airport. "The ultra-modern facility will treble the airport's Key trends in the industrial sector passengerhandling capability on the The performance of listed property vehicles against directly- held property continues to highlight international side. "We now have the ability to process the passengers of four jumbo jets the need for experience and skill in assembling and managing a portfolio, says Roger Perkin, arriving simultaneously," says airport GM asset manager of Marriott Property Fund (Martprop). He says that while returns on directly-held Monwabisi Kalawe. (©www.bday.co.za) industrial property languished at around 7,1% last year, Martprop's industrial property returned Century City complex is like another CBD 17,3%, according to SA property information exchange index figures. Martprop is a property CENTURY City, situated near the N1 unit trust with 67% of its portfolio invested in the industrial sector. highway midway between the Cape Town (©www.bday.co.za) and Bellville commercial centres, is close to reaching critical mass as an urban centre in its own right. The 250ha development has Megaprojects main cause of oversupply attracted investment totalling more than R2,4bn over the past four years, with more Oversupply continues to dominate most sectors of SA's property market as the development of than 308000m² of net lettable office and megaprojects in cities gains impetus, with industry players hoping for further interest-rate cuts retail area developed since 1996. ©(www.bday.co.za) to give the sector a boost. (©www.bday.co.za) Establishing a specific brand TEAM Cape Town a forum for organisations involved in marketing the city is close to Regional centre market saturated completing a far-reaching research project Smaller stores closer to home now show the most potential comparing Cape Town's attributes as a REGIONAL shopping centres no longer offer viable development opportunities and future tourism and investment destination with those of other major cities in SA and around growth in the retail property sector is expected by refurbishing existing ones and the the world. The intention is to establish a development of convenience centres. Richard O'Sullivan, Domayne Leasing Consultants' "brand positioning" for the city and give marketers the facts and figures they need to national leasing executive, says retail turnovers have been adversely affected by the cost of attract new investment. The data-collection file:///C|/Users/Bert%20vd%20Heever/Documents/My%20Websites/ASAQS/News/Issues/260501.htm[2012/10/22 19:37:27] The Weekend Property & Construction News private education and cellphones, and by gambling establishments, which has taken a chunk phase is expected to be completed by the end of this month, with a comparative report out of consumers' disposable income.