select
|

More homes are needed as urban populations boom in cities

The world’s population is urbanising at a rapid rate, with an estimated four billion people – 54 percent of the overall population – living in cities at present.

This 23 percent more than a decade ago, and the percentage is expected to reach a staggering 66 percent globally by 2050.

The world’s fastest growing cities are taking centre stage in today’s innovation economy, and when it comes to property, supply in most of these cities cannot keep up with demand, says John Snow, head of commercial at Knight Frank Global.

“Technology and creativity are integral to these growing economic hubs, but more than ever, the 2017 Global Cities Report by Knight Frank shows that the current urban economy is becoming increasingly people-centric.

“Whether a city is driven by finance, aerospace, commodities, defence, or manufacturing, the most important asset is a large pool of educated and creative workers. Consequently, real estate is increasingly a business that seeks to build an environment that attracts and retains such people,” says Snow.

Although Cape Town is not one of the 34 global cities surveyed in the latest report, it does share much of the required ethos that Knight Frank Global lists as being imperative to successful city growth, namely inclusivity, creativity, innovation, and people-centricity. Also, much of Cape Town offers extreme diversity, something that is becoming a clear and obvious trend in urbanisation.

“The trend in urbanisation runs counter to many real estate planning principles. Real estate likes the order and logic of zones – CBD, shopping district, leisure circuit, theatre land, or cultural quarter, for example,” says Stephen Springham, head of retail research at Knight Frank Global.

“However, true urbanisation recognises none of these artificially engineered boundaries and the utopia of urbanisation is a melange of real estate facilities that goes far beyond mixed-use as we know it. A place left to the natural process of urbanisation would combine residential, office, retail and leisure in a non-uniform environment. The order we have become accustomed to will not be replaced by chaos – rather, a sense of vitality and diversity which are pre-requisites for every successful location and indeed, a fundamental to retailing in particular.”

This is apparent when you drive through Regent Road in Sea Point and pass an internet café next to an upmarket restaurant, alongside an entrance to an apartment block, flanked by an estate agency and a yoga studio.

“Cape Town, especially the Atlantic seaboard and CBD, is bustling and diverse. It is the secret behind its charm and appeal for most people wanting to buy or rent here,” says Richard Hardie, manager of Knight Frank Residential South Africa’s Sea Point branch.

“There will always be a place or a community that people from all walks of life feel at home in – it does not cater only to one demographic.”

He believes the secret to the successful city of the future is clear: Cater for a wide and diverse audience honestly, innovatively and transparently. Ensure that creativity and people-centricity are always at the fore when developing or planning, and most of all keep regular and open communication between the city and its residents, as well as among the residents.

“The denser our urban areas become, the more these factors will make a difference and ensure a happy, and therefore buoyant urban fabric,” says Hardie.


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 17 Nov 2017
      FWJK has announced the launch of its latest residential brand, the Lil’ Apple, which will be launched simultaneously in two developments in Cape Town and Umhlanga totaling 600 apartments. The Lil’ Apple is set to be a brand of FWJK’s New York style apartments which will be rolled out nationally.
    • 17 Nov 2017
      It’s been a tumultuous year on many fronts, with socio-political uncertainty setting the tone for much of South Africa’s economic activity yet despite this and seemingly counter-intuitively, the residential property market has held up well.
    • 17 Nov 2017
      The EAAB (the Estate Agency Affairs Board) recently claimed that around 50,000 illegal estate agents could currently be operating illegally.
    • 16 Nov 2017
      Penthouses are synonymous with New York – characterised by high-rise living that is decidedly luxurious and spacious. While exclusivity comes at a price, you can still create a “penthouse” look and feel in your existing apartment or even the upstairs bedroom of a double storey house with some clever design changes and styling touches.
    • 16 Nov 2017
      The area has long been popular with kite surfers and, with escalating property prices in Cape Town itself, is increasingly in demand with home owners who work in town, but are looking to invest in more affordable properties.
    • 16 Nov 2017
      Cape Town’s popularity as a world-class tourist destination has resulted in a spike in the number of homes available for holiday lets and fuelled investor demand for sectional title units with short term rental potential.
    • 15 Nov 2017
      Sappi, one of South Africa’s oldest global companies and a leading global supplier of sustainable woodfibre products, has moved its global and regional headquarters to a new site on the corner of Oxford and 14th Avenue in Rosebank.
    • 15 Nov 2017
      There’s an old saying in real estate that you should seek to make a profit when you buy, not only when you sell – and a large part of succeeding at that endeavour is buying a home in an area with desirable features that will enhance the resale value of your property.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK