Camps Bay marches to its own drum

The suburb’s broad appeal underpins market strength, for both rental and residential homes CAMPS Bay’s appealing synergy of opulent glamour, relaxed beach lifestyle and traditional family values along with its wide choice of property options have been the main driving forces behind its largely irrepressible market which has resulted in property values continuing to rise in spite of the general market slump. Brendan Miller, Lew Geffen Sotheby’s International Realty Atlantic Seaboard and City Bowl chief executive, says that although this exclusive coastal strip is known to be one of the country’s most stable markets, it hasn’t been.completely impervious to current economic trends with most suburbs reflecting a dip in sales volumes and prices, especially during the first half of 2016. “Camps Bay, on the other hand, has been marching to its own drum with only a slight drop in the number of sales, and property prices have continued on their strident upward trajectory” Citing

“Camps Bay, on the other hand, has been marching to its own drum with only a slight drop in the number of sales, and property prices have continued on their strident upward trajectory” Citing Propstats data, he says: “The market peaked in 2014 with a record number of sales since the last property boom almost a decade ago, when the average sale prices for houses and apartments increased significantly from a 2010 low of R6.5 million to R9.88m and R5.7m to R6.12m respectively. “Though fewer properties were sold in 2015, property prices continued their steady climb and the average house price jumped to R12.5m and apartments sold at an average of R7.5m.” According to Lightstone data, prices have risen sharply again this year, with records between May and July reflecting six house sales at an average price of R17.433m and six apartment sales at a record average sale price of R10.26m. Edith Marsh of Lew Geffen Sotheby’s International Realty, says: “Entry level prices in Camps Bay now begin at around R6m for older twobedroom apartments further up the hill and similar apartments on the beachfront will cost around R12m. It’s unlikely that you will find a house for less than R9m. “Properties are sought after across the board, with many of our current sales being to upcountry buyers who are moving to the Cape.

We are now beginning to see stock shortages, especially houses under R12m and apartments in the R6m to RlOm price band.” Lew Geffen, chairman of Lew Geffen Sotheby’s International realty says the upper end of the mar ket has also remained more active than in many other luxury suburbs in Cape Town. “Six years ago only 10 percent of all freehold house sales were above the RlOm price mark, while around 55 percent of house sales during 2015 fell into this price band. “In the eight years between 2007 and the end of 2014, the RlOm to R20m price band improved by a whopping 138 percent with a total of 16 properties sold to the value of R211m.compared to only seven homes to the value of R88.98m in 2007.” Geffen says that Camps Bay also has the highest number of trophy homes in South Africa, with 170 properties valued at more than R20m and Victoria Road is the fifth most expensive street in the country with an average sale price of R23.1m. Marsh says that in spite of its glamorous reputation and trendy beachfront strip, Camps Bay is very much a family suburb where home owners stay on at least throughout their children’s school years.

“Forty nine percent of existing owners have lived in their properties for 11 years or longer with the majority (74 percent) being in the 50 plus age group. “However, the resident demographic is beginning to change with 45 percent of recent buyers being in the 35 to 49 year age group, many of which are moving here from upcountry” Miller says: “There are around 1 190 properties in Camps Bay of which 66 percent are still freehold. The property landscape has changed significantly in neighbouring suburbs where sectional title developments have sprung up. This is one of the main reasons the market in Camps Bay is so dynamic and houses that are priced correctly will usually sell very quickly” Marsh says the adjacent enclave of Bakoven has also experienced tremendous market growth in recent years, and now tops the list as the most expensive suburb on the rental market in South Africa.

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