Unusual Macassar lot offers the potential for sand mining and property development.
A vacant dune site in the historic area of Macassar will be auctioned this month – the first time a property of this kind has been brought to market by Rawson Auctions Western Cape.
This is according to Tanya Jovanovski, franchisee of Rawson Auctions Western Cape, who says the vacant dune on Macassar beach measures 5.2249 hectares.
“Land in Macassar is valuable owing to a combination of factors: the scarcity of plots such as this on the market, the historical value of the land, the opportunity the area offers for mining operations and property development, and the town’s proximity to Strand and Somerset West.”
Jovanovski says Macassar has attracted international interest as it is “the site of a kramat regarded as the holiest area in South Africa by followers of Islam”. The kramat is the burial place of Sheikh Yusuf, an Indonesian Muslim of noble descent exiled to the Cape of Good Hope in 1693, where he established Islam.
“He died in 1699, and his original followers were buried next to and around the sacred shrine.” She says the Indonesian government has provided funds for the development of the area as a tourist attraction, and the erection of an Islamic college next to the kramat was planned a few years ago.
Subsequently, the world-renowned professional boxer Mohammed Ali and Yusuf Islam, the singer previously known as Cat Stevens, visited the area to donate funds to the project.
The college has been temporarily established in Gordon’s Bay. In 2016, the Turkish government also provided funds earmarked for the development of the area.
“A few years ago the area saw the construction of a sand mine to harvest building sand,” Jovanovski adds. “Since then developers and investors have approached property owners in the area to purchase their land as they believe it will be used for larger-scale mining projects in the future. It is estimated the current sand mines will not be able to deliver enough building sand to an industry with an ever-growing need.” Jovanovski believes other developments in and around the area will further boost its value.
“The Western Cape government plans to connect Baden Powell Drive with Beach Road in Strand,” she says.
“This route will enable tourists and residents to travel along the coastline, from one side of False Bay to the other – namely from Kleinmond to Simon’s Town – without losing sight of the ocean. The route will also provide access to the land on offer from the sea side of the dune.” She says the current Hartland Properties’ development on a Somerset West site owned by AECI is just 2km away from the vacant dune to be auctioned.
“High-cost development is taking place on the AECI site, with the cheapest one-bedroomed property now selling for R1.5 million to R1.8m. I believe in the near future pressure will be put on the government to rezone the dunes area to accommodate these types of development.
“Taking all these factors into account, it is my view that this land will increase in value, and that the property on offer therefore represents a solid and sizeable investment.”
The auction will be by silent tender, with written offers to be submitted in sealed envelopes. Tenders will close at noon on June 28. The reserve price for the property is R5.5m.
Jovanovski says Rawson Auctions is obligated by law to market the property at the listed reserve price. “A reserve price is the minimum rand amount the seller will accept as the winning bid, and is not necessarily the property’s market value nor the amount the property is likely to be sold for,” she explains.
“The seller reserves the right to consider all offers.” No registration fee is required to bid. However, the buyer will be expected to pay a deposit of 5% of the purchase price, as well as 10% commission plus VAT over and above the purchase price to Rawson Auctions on acceptance of the bid. Bidders are required to be registered and must have certified copies of their ID documents and proof of residence. All offers should be submitted on Rawson Auctions’ Offer to Purchase form, with its standard terms and conditions, a copy of which can be obtained by contacting the Rawson Auction Western Cape office on firstname.lastname@example.org or 021 837 1700. Bids can be delivered to the Rawson Property Group’s head office at 222 Main Road, Rondebosch. For more information, contact Hans Buys at 082 964 6852 or Tanya Jovanovski at 021 837 1700.
Weekend Argus Auctions