Dynamic Green Point Village grows in popularity in buoyant market

Lower Green Point in Cape Town was traditionally regarded by many as more of an extension of the CBD than part of the renowned Atlantic Seaboard, but this has changed dramatically over the past decade and the once overlooked area is now one of the most dynamic and popular residential nodes in Cape Town with a buoyant property market.

URBAN OASIS: This beautifully renovated double storey, Victorian home complete with broekie lace balconies boasts seamless open plan flow to a private entertainment and pool deck, three light and airy bedrooms, a conservatory and a gourmet kitchen. R7.995 million.
In 2009 the majority of homes in Lower Green Point were still freehold with a scattering of old apartment blocks beginning to show signs of renovation and original three bedroom, two bathroom cottages were not only plentiful  but also very affordable at between R2.1 million and R2.4m.
However, its transformation from dowdy to vibrant and trendy was accelerated by the construction of the Cape Town Stadium for the 2010 Soccer World Cup and the development of the Green Point Urban Park which spurred the Village’s urban renewal, impacting significantly on the property market.
This is according to Peter Simmons, Area Specialist for Lew Geffen Sotheby’s International Realty who says that this placed the area squarely in the spotlight, attracting the interest of investors and developers. By 2011, the same properties were fetching between R2.7 and R3m, in spite of the sluggish post-crash market which was only beginning to recover elsewhere.
“The market has since shown no signs of slowing down, with the ongoing development between High Level Road and Main Road not only changing the property landscape in this area but also driving up property values and spurring demand.
“These days only a handful of original Victorian homes remain and they are quickly snapped up when the do come onto the market, fetching between R3.5m and R4.5m depending on size and condition. Renovated houses in the Village can cost up to R7.9m.”
Vivienne Gottlieb, also an Area Specialist for Lew Geffen Sotheby’s International Realty, says that the scarcity of cottages hasn’t dampened the growing demand and, while they are generally more expensive than sectional title properties in the area, their municipal rates are often lower than levies in newer apartment complexes.
“We are finding that most of the demand is from local buyers, especially young families starting out. Although quite rare now, these properties still offer family homes at an accessible price, as well as a foot in the door of the thriving Atlantic Seaboard market.”
In sharp contrast to the house market is the apartment market which has undergone a total metamorphosis in the past six years with the transformation of many older blocks and modern upmarket new developments such as Cape Royal and The Legacy taking pride of place.
So says Brendan Miller, Lew Geffen Sotheby’s International Realty Atlantic Seaboard CEO.
“Registered sales at the Deeds Office show that in 2010 the average apartment price in Green Point was R1.685m and by the end of 2015 the same property was selling for R2.8m, which is a very healthy return on investment in anyone’s book.”
Miller says that while apartments in the lower to mid-market segments in the R1.8m to R2.8m price band are still the most sought after, the top end of the market has shown considerable growth with some of the highest sales volumes recorded over the past 18 months being in the newer high-end blocks.
“During this period, several of the most popular blocks recording 10 sales or more were in Lower Green Point, including  Cape Royale with 34 sales to the value of R101m at an average high of R4.35m, Devonshire with 20 sales worth R43m average high of R3.3m, and Winston Place with 10 sales worth R21m at average high of R2.95m.
“At the booming lower end of the market, in 2015 we saw 88 apartments sell for below R2.5m which is a steal for prime Atlantic Seaboard property.”
Miller adds that considerable value can be added to many of these older flats with a little modernisation at minimal cost.
Lew Geffen, Chairman of Lew Geffen Sotheby’s International Realty says that the apartment market in the Village has also spit from the house market in terms of its buyer demographic.
“While local families tend to prefer houses, we are finding that apartments are increasingly favoured by foreign and corporate investors.
“Both enjoy the lock-up-and-go convenience and the security that apartments offer as well as the fact that these are generally the only properties which offer views in Lower Green Point.”
Lower Green point also has an active rental market with most properties realising inflation beating rental returns although this market sector is also experiencing stock shortages.
Geffen adds: “The renewal and upgrade of the suburb has most definitely contributed significantly to the phenomenal market growth experienced in the Village, but a key factor in its continued prosperity and long term investment stability is its conveniently central location and close proximity to the fast-developing CBD and V&A Waterfront .
“Lower Green Point is within easy walking distance of town and the Waterfront and many excellent restaurants and shops are just a stroll away on Main Road. Visitors who want to go slightly further afield to Clifton or the City Bowl can just hop on a MyCiti bus or catch a taxi.
Geffen concludes: “The Green Point Village is no longer the poor relation on the Atlantic Seaboard; it is instead a highly sought after suburb with a thriving property market which is showing increasing stability and consistently offers investors an excellent return on investment and the anticipation of future growth.” 

  Comment on this Article

  Please login to post comments

Post to my facebook wall
Characters remaining

    Latest Property News
    • 20 Apr 2018
      Whenever changes in the political ecosystem of a traditional property market create uncertainty, smart investors begin to look elsewhere for new opportunities. Property experts at IP Global have analysed the trends and crunched the numbers to find new markets to explore in Europe and the United States.
    • 20 Apr 2018
      Energy and water self-sufficiency are increasingly important factors in home buyers’ choice of property – especially in Cape Town where the extreme drought of the past few years has made municipal supply costly as well as uncertain.
    • 19 Apr 2018
      During the last decade, rampant development has progressively transformed Cape Town’s property landscape with densification being the order of the day, but there are still one or two hidden gems like Scarborough which have retained their original character, offering an inimitable lifestyle and an attractive investment opportunity.
    • 19 Apr 2018
      The rental market is a cut-throat sector of the real estate market that waits for nobody. According to Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, first-time renters need to be fully prepared before they even start the process of looking for a place to rent in order to avoid the disappointment of losing out on their ideal property.
    • 19 Apr 2018
      Choosing to buy your first home instead of continuing to rent is a big decision that will usually take some time to put into action, but the sooner you can save up a sizeable deposit, the closer you will be to reaching your goal.
    • 18 Apr 2018
      Selling your home is no small task and as you will quickly find out, there are a lot of misconceptions about the process. Gerhard van der Linde, Seeff's MD in Pretoria East lists the top 5 misconceptions when you are selling your home.
    • 18 Apr 2018
      The Cape Town municipality is now installing water-management devices at properties that have been non-compliant with the new level 5 water restrictions and there are talks of fines between R5,000 and R10,000 for households that use too much water.
    • 17 Apr 2018
      The recent interest rate cut has stoked the coals in the first-time buyer’s market. At least for the next two months until the next interest rate announcement, homeowners are guaranteed lower monthly instalments than in the previous quarter. But, is it wise to take out a 100% bond just to enter the property market while interest rates are low?
    Subscribe to the MyProperty Newsletter

    Last Name  
    Email Address  
    Email Frequency
    Share this Page

    For Sale Property
    Rental Property
    More Options
    Connect with us