Buy-to-let investors looking for good returns should look no further than iQ Brooklyn, the new upmarket student accommodation with apartments priced below R1 million. With no transfer costs to pay, this development – due for completion in November 2019 – presents an attractive investment opportunity.
“This is a secure development offering a value-added luxury living option, at affordable prices, for students who do not wish to reside in an ordinary residence,” says Ilma Brink, Pam Golding Properties Pretoria regional development sales and commercial property manager.
The development at 128 Brooks in Brooklyn, Pretoria East, launched Phase 1 in 2018 with only three blocks. Phase 2, and final phase of the development with two blocks is scheduled for completion in November 2019. In total, iQ Brooklyn will have 340 units.
The studio apartments start at R995 000, while one bedroom apartments are priced at R1.4 million and two bedroom apartments sell for R1.6 million. There are also packages that include furniture.
iQ Brooklyn provides an array of amenities including Wi-Fi, central DSTV services, pre-paid electricity metering, swimming pool and sun deck, lounge and cafeteria facilities, laundry services, 24-hour security with biometric access as well as study and assignment rooms for groups.
In addition, iQ Brooklyn is 850m from the University of Pretoria, making it ideal accommodation for students.
Brink says there’s been a steady increase in investor interest in the student market, because of the rental returns of between 13% and 15%. Monthly rentals range from R7 000 for studio apartments, to R10 000 for one bedroom units and R14 000 for two bedroom apartments on long-term lease agreements of 12 months. On short-term rentals, it is possible to achieve daily rates of R600 per night for studio units, R800 for one bedroom units and R1 000 for two bedroom apartments.
Parents are also seeing the value in buying an apartment for their children to stay in during their studies, which they can then sell after four or five years. “For concerned parents whose children will be living away from home for the first time, iQ Brooklyn offers peace of mind, as they know that their children are in a safe complex with 24-hour security.”
Pretoria East is an emerging development area, with modern developments such as iQ Brooklyn meeting buyers’ needs. Other areas also offering student accommodation include Arcadia, Brooklyn, Hatfield, Nieuw Muckleneuk and Pretoria Central.
“There is ongoing demand for student accommodation in Pretoria, and we are seeing more tertiary students looking for private housing with good security and located close to places of learning,” she adds.