PROPERTY: Upturn in Demand for Commercial Space in Centurion
Recent Gauteng Business News
Since the start of 2010 the demand for commercial space – including retail and offices, has seen an upturn in Centurion, which is strategically situated between Pretoria and Midrand, says Azlie Loots, leasing and sales broker for JHI property services company.
“The demand for commercial space in Centurion has definitely increased since last year (2009). Retail space remains sought after, and there are few vacancies in the shopping malls. Recently I concluded a transaction for the lease of four units, each 100sqm in size, at R100 per square metre and situated in busy Saxby Street in Eldoraigne, as well as the lease of office accommodation comprising 365sqm and located on the corner of Henry and Saxby Streets - which was let at R20 000 per month.
“This demand is from a broad cross section of businesses including a logistics company, accounting firm and company selling a new fast track building system,” she says.
In addition, Loots concluded a lease of 1085sqm of office space in Ashwood Road in the suburb of Clubview, on behalf of a security firm, while a sizeable lodge formerly used as a popular conference venue and situated in Hennops Park has been let to a wellness centre. She says there are a few other lodges currently on the market, mainly in the R3-R3.2 million price range. “One of these is ideally located and suitable for expansion, while all have Business 4 rights, making them ideal for conversion to offices for small to medium businesses if desired.”
Loots says in the current market industrial land in the Louwlardia area and Sunderland Ridge is available for purchase at reasonable prices.
“Being well positioned midway between Midrand and Pretoria at the intersection of the N1 and N14 – and with the R21 passing through, Centurion has easy access to major hubs and key routes, making it convenient for industrial or manufacturing operations.
“Currently there are a few investment properties on the market which offer sound rental income with high calibre tenants. In the R21 Corporate Office Park in Irene, a fully tenanted light industrial property comprising a newly constructed face brick building of 3407sqm and set on an erf of 7094sqm is on the market at R19.5 million, with an 11 percent return on investment. With easy access to the Route 21 highway and N1, this office park has electric fencing and security guards at the entrance and on 24 hour patrol,” says Loots.
In Highveld Techno Park near the N1, JHI is marketing an industrial property comprising 874sqm of office accommodation priced at R8.7 million, which is also fully tenanted and yielding a 12 percent return on investment.
A few office blocks are also on the market, varying in size from 600-2300sqm. These include a 2300sqm office building in Highveld Techno Park available either to purchase at a very competitive price of R16 million or to rent at R65 per square metre – also an extremely good rate. In Crystal Park a 579sqm office building over two floors and situated in a secure office park is priced at R7.5 million.
Business News Sector Tags: Property|