Record Price For Potch Smallholding

The recent sale of a smallholding for a record price of R2.22 million reaffirms the growing demand for homes across all sectors of the market in Potchefstroom.

The previous highest price paid for a similar property was R1.9 million. With 70 percent of the land covered by lush lawns with large well-established trees, the smallholding sold for a record price is located in an appealing area with a rural atmosphere known as Mooivallei Estates, located between the fast developing residential areas of Van Der Hoffpark and Mooivalleipark.

'JJ' Strydom, Pam Golding Properties area principal, says the 1.2 hectare smallholding with four bedroom house and full granny flat was sold to a Swiss couple, who are regular visitors to South Africa.

"They will relocate here permanently in five years time and in the interim will use the property as a summer vacation home. They regard this as a country with exciting prospects and while considering other areas such as the Garden Route and Western Cape, opted for Potchefstroom because of the available amenities, education and sport facilities, countrified atmosphere and great weather," says Strydom.

"The outstanding sports facilities in Potchefstroom were a major drawcard in their purchase decision as the couple is actively involved in athletics. Here we have excellent track and field training facilities at the North West University High Performance Unit, the Institute for Sport Development and the Institute for Biokinetics. Each year over 1000 athletes from 25 countries visit Potchefstroom to train during the South African summer," he says.

In terms of student accommodation, Strydom says excellent returns on investment are being achieved with a two bedroom apartment in Mont Serrat which sold for R98 000 in 1995, reselling for R130 000 in 2002 and again this year (2007) for R495 000. "The value of sectional title units in and around the university rose by 20 percent over the past year alone, and over the past five years increased at an average of 24 percent per year. This trend is likely to continue. Bachelor flats selling now at R300 000 will probably fetch R746 000 in five years' time."

"Parents of students are advised to consider the amount to be spent on rental or residence fees over a five year period and compare this with the capital growth available when investing in a student apartment. Now, being winter, a time when buyer activity is somewhat lower than usual, is a good time to investigate the residential property market in terms of student accommodation, particularly given the anticipated price increases," Strydom says.

Catering for the increasing demand for homes, PGP are soon to commence marketing vacant stands in a classic French Provencal residential development, Chateux de Fleur, with commanding views of Potchefstroom, the Potchefstroom dam and the Vredefortdome World Heritage site. Located on 35 hectares, there are 171 stands, ranging in size from 740-1324 sqm, and in phase one priced from R348 000 to R592 000 including VAT.

With formal gardens inspired by the gardens of Versailles and including water features and an abundance of open space, some seven hectares of the total estate will comprise cultivated parkland incorporating olive trees and vines. This will be an eco-sensitive development in terms of water use and greening of the estate, with more than 250 trees to be planted.

"We are unaware of any similar development in the region where so much emphasis is placed on open space and security. A key objective is to provide the generosity of open space one finds in a golf estate, without the burden of paying hefty levies for maintenance. The development is walled with electric fencing and a 24-hour manned security gate at the entrance," Strydom says.

"The prices are very competitive compared to similar offerings in the area, in fact in the first phase even lower, and buyers taking advantage of this during the launch phase stand to benefit as prices are sure to rise in forthcoming phases. Purchasers need to commence building within 24 months of registration and need to complete construction within a 12 month period," he says.

Owners may use their own architect and builder, with designs within the parameters of the French Provencal theme - which allows for designs ranging from a French style castle to a simplistic country home. Finishes need to be in earthy colours, natural clay roofs and windows in vertical proportions. The minimum house size is 130sqm, excluding garages and patios.

Image: This property in Mooivallei in Potchefstroom was sold for a record price of R2.22 million.

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