Renewed confidence in Klerksdorp's property market is leading to new residential and commercial development.
Residential developments that have been on ice since the recession started to bite are now being resumed and site preparation for the long-awaited regional Matlosana Mall between Klerksdorp and Stilfontein has started, notes Jaco Faurie, co-owner with Pierre Ludick of the local RealNet franchise.
"There is a palpable sense that our market has reached a turning point and future prospects look bright," he says.
The R1bn Matlosana Mall of more than 60 000sqm is expected to create 2000 temporary jobs during the19-month construction phase and 1500 permanent jobs once it opens its doors. Faurie says job creation on this scale is a major boost for the local residential market and he expects that demand for housing, already showing renewed signs of life, will increase.
"Currently there is healthy demand in the R800 000 to R1,4m price range and developers are already targeting this market. Not only are mothballed developments being resumed, but new developments are under way. And another sign of renewed confidence is the imminent opening of a large Builders' Warehouse outlet in town," he says.
Activity at the top end of the residential market has also picked up and luxury homes in the R1,8m to R2,2m price range are in demand.
Faurie says not only local residents are active in this segment. "People working in surrounding towns are increasingly attracted by property in Klerksdorp for three reasons. The first is excellent value for money - for instance, you could buy a home here for R1,4m that would cost at least R2m in Potchefstroom.
"The second reason is that Klerksdorp still offers an attractive and relaxed lifestyle, while all amenities, such as excellent schools, existing shopping malls, and outstanding government as well as private hospitals are on hand. We expect the new regional mall will be an added incentive.
"And thirdly, the double-lane road to Potch makes the 45km distance an easy commute for local residents who work there."
Entry-level prices start at around R450 000 for three-bedroom family homes with two bathrooms. However, Faurie says, family homes in this range are usually in less favoured areas and may well need renovation. Modern two-bedroom apartments in popular areas are slightly pricier at around R500 000 but still within the affordable range.
Article from: www.realnet.co.za
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