Madison property ready

JSE-listed Madison Property Fund Managers, the developers of the R300m Convention Tower office building in Cape Town, said yesterday that tenants in the fully let building were busy taking occupation.

The property, which boasts the most expensive penthouse office suite in the country, is also on schedule for completion by the end of this month.

Darren Wilder, national leasing director for Madison, which is developing the 17-floor building on behalf of listed property loan stock company Redefine Income Fund, said the 16th floor penthouse office suite covering 1600m² achieved the country’s highest office rental of R200/m².

Wilder said demand for space in the office tower, which formed part of the Cape Town International Convention Centre precinct, had been strong and that Madison still had “waiting lists” and “people calling” the company wanting space.

Property economist Erwin Rode, of Rode & Associates, said he was not aware of office space that had ever been let for R200 a m². “It’s far above any other rate that I’m aware of,” said Rode.

He said the average rental achieved for new office space was between R120 and R130/m².

Wilder said the tower’s tenant profile included legal firms, international oil and casino companies, and accounting firms.

He said the Convention Tower was “setting the tone” for the “new central business district” of Cape Town.

“The area in and around our property on the Foreshore will definitely be the new financial district of Cape Town,” said Wilder. He said previously there had never been a “solid financial precinct”.

“Around us you have the Convention Centre, the Investec building, you’ve got the (law firm) Sonnenberg Hoffmann Galombik building and (law firm) Webber Wentzel (Bowen) are in the area,” said Wilder.

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