Cape Town's Brackenfell, and other northern suburbs areas, emerge as top rental performers in the
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Cape Town's Brackenfell, and other northern suburbs areas, emerge as top rental performers in the western cape property market
The latest Tenant Profile Network (TPN) report for the Western Cape contains several surprises, says Rowan Alexander, Director of the Cape Town Northern Suburbs estate agency Alexander Swart Property.
"Suburbs which one would expect to see among the top performers are not there, their place having been taken by up and coming contenders. The Cape Town Southern Suburbs, formerly the place to be and famous for giving good yields, with one exception Wynberg, did not feature in the top 20 performers. Instead we find the CBD and surrounding CBD suburbs like Woodstock, Green Point, Sea Point and Three Anchor Bay taking their places."
In the Cape Town CBD and its surrounds, Woodstock had the best yields (8,9%), Three Anchor Bay had the best tenants in good standing figure (94,4%) and Green Point had the highest capital growth (12,3%). In Wynberg, the only southern suburb in the top twenty, 86,7% tenants were in good standing and an average yield of 12% was achieved.
What he found especially interesting, says Alexander, is that ten of the top twenty suburbs are now in the Northern Suburbs, an indication that they are outperforming the traditional frontrunners. Furthermore, three of the top performers are now in outlying areas like Gordon's Bay and Melkbosstrand. Of the northern suburbs that are now among the list leaders, Arauna (in Brackenfell) had the best average yields (13,6%), while Brackenfell South, with 96,2% tenants in good standing, was way ahead of most other Cape Town suburbs in this respect. Equally interesting, says Alexander, is the fact that three of the top performing Northern Suburbs are in Brackenfell.
"All this, I believe, confirms what we had said in numerous press statements: In today's Cape Town residential market, the more popular Northern Suburbs, especially those which have undergone a large-scale transformation period, are not only very attractive to tenants and buyers. They also offer the best value, are the most affordable and are the best equipped to provide homes for a variety of income groups. This in turn means, that they are ideal hunting grounds for corporates who are looking for large buy-to-let multi-home schemes and for the ordinary investor building up a portfolio of properties."
For further information contact Rowan Alexander on cell phone number 082 581 3116 or by email rowan@asproperty.co.za.
Author: Independent Authour
