Rawson Auctions Western Cape will on June 24 auction a “rare investment opportunity” online when the hammer comes down on a semi-completed upmarket development in Riverton suitable for student accommodation.
The property on an erf of 1 246m² (zoned “General Business 5”) is about 80% complete and will comprise 100 residential apartments and a 929m² ground floor dedicated to retail outlets.
The 80 single-room and 20 double-room apartments offer a total of 240 beds. “This brings the possible monthly rental income for the apartments alone to R606 000,” says Tanya Jovanovski, regional franchisee for Rawson.
“The retail ground floor should generate R250 000 rent a month. Considering potential add-ons such as ATMs on street level and cellphone towers on the roof of this – the tallest building in the area – the development could earn the new owner over R850 000 a month in rental income.
“To achieve the building’s 80% completion, R60 million has already been invested so all that is needed is a further investment of about R15m to complete the project.”
Jovanovski says the property has a sale value of between R83.5m and R101m – with tax concessions potentially raising this value. It will be auctioned online on June 24 at noon with a reserve price of R55m but all offers will be considered.
For more information, contact Hans Buys at 082 964 6852 or Tanya Jovanovski at tanya.auctions@ rawson.co.za or at 082 411 9599 or 079 980 3457.
Rawson Auctions has a new online bidding platform, requiring pre-registration on www.instantproperty.co.za. Standard terms and conditions for offers to purchase are available online from email@example.com or by phoning 079 980 3457.