Three innovative new property developments – aimed at luring young, upwardly mobile investors and visitors – are set to add huge value to downtown Cape Town’s property investment and hospitality offering.
The developments include the R107 million development BlackBrick Cape Town, a secure residential “estate” on the corner of St Georges Mall and Riebeek St, developed by Ryan Joffe Properties; Uxolo, affordable micro-apartments just off Long Street, developed by 128 Developments – and an upmarket boutique hotel, Old Bank Hotel, which is part of Lion Roars Hotels and Lodges.
The hotel, which has already opened its doors, buys into the small-yet-exclusive hotel trend, adding yet another boutique hotel to Cape Town’s offering, joining LABOTESSA in the East City and Gorgeous George in St Georges Mall.
The residential developments, which are under construction, each have a unique offering: Uxolo buys into the “tiny lifestyle movement” but offers enviable inner-city living at an affordable price; BlackBrick Cape Town, which will also operate as an aparthotel, offers investors and residents “far more value than any traditional bricks-and-mortar development to date” as it is based on the concept of “a global network of ‘vertical villages’”.
The clubhouse at BlackBrick Cape Town
VERTICAL VILLAGES
According to BlackBrick Cape Town, 65 % of the 100 apartments sold out within two weeks of the development’s launch at the end of January. This follows the success of the development’s counterpart in Sandton, where all 208 units were snapped up. The BlackBrick portfolio will also include developments in Umhlanga in KwaZulu-Natal and Lisbon, Portugal.
BlackBrick founder Moritz Wellensiek says the idea behind the “work-centric model” is to create so-called vertical villages which each offer a combination of three interlinked uses, namely residential, hospitality and club memberships benefits.
Prices for the units start at R895 000, with apartment sizes ranging from 23 m2 to 36 m2 in size. Originally known as the African Guarantee Building, the nine-storey development was designed by William Hood Grant. “Buyers get the value of the rooftop clubhouse and bar, the resident DJ, the workspaces, the boardroom, the café, the concierge, the security and a hose of other services and amenities you simply don’t find in a normal apartment block,” says developer Ryan Joffe.
BlackBrick Cape Town also offers buyers a tax benefit in terms of the Urban Development Zone rebate, which allows purchasers to deduct 30 % of the purchase price against their taxable income over a five-year period.
Uxolo
PEDESTRIANISED LIFESTYLE
Situated off Long Street and within walking distance of the Company’s Garden, Uxolo – also a nine-storey development – is situated on prime real estate in the vibrant city centre where the overall value of Central City property is R44 billion, according to the City of Cape Town’s 2018/2019 property evaluation. Based on the micro-living trend, the development was designed by Two Five Five Architects and offers investors 35 units in three sizes – 24 m2, 31 m2 and a 40m2 double-volume duplex unit, designed to “promote a hip and social lifestyle”.
With the price of units starting at R930 000, affordability is key to the concept, says Nadia Wallett of Wallett & Finch properties. “With no transfer duties, the affordability of Uxolo as inner-city housing is a plus. Breaking into owning property in the CBD has always been difficult, so this is the first wave of bringing in smaller units and allowing people to access incredibly valuable real estate.”
Sustainable features have also been incorporated into the striking design and eye-catching face-brick façade, described as mix of “Memphis-meets-Africa” by the architects.
Old Bank Hotel
OLD MEETS NEW
The rise of the discerning traveller and the resultant development of small, exclusive, beautifully designed hotels was documented in the State of Cape Town Central City Report 2019 – A year in review. The Central City saw two new boutique hotels – the R100 million Gorgeous George and the R75 million LABOTESSA – open their doors in 2019 bringing the number of hotels in the city centre to 71 at the time. Now, in spite of the harsh effects of Covid-19 on the hospitality industry, Cape Town has a new boutique hotel housed in a restored heritage building.
Old Bank Hotel has opened in the old Nedbank building, built in 1902 and designed by Black and Fagg. Located at 85 St Georges Mall, the four-star, 28-room establishment is a stone’s throw from Gorgeous George.
Owned by Lion Roars Hotels & Lodges, the group portfolio includes establishments in Cape Town, Plettenberg Bay, Gqeberha (formerly Port Elizabeth), Greater Addo and Franschhoek.
This development, as well as the other two, auger well for the rejuvenation of the Cape Town Central City economy.
“We believe that Cape Town’s post-Covid-19 travel boom will release huge pent-up demand, which will likely increase yields for our short-stay investors,” says Joffe.
IMAGES: Blackbrick, Old Bank Hotel, Uxolo