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How to invest in industrial property
RealEstateWeb - South Africa

Everything you need to know.

So, we've all heard that sectors of the industrial property market are booming in an otherwise slow property industry.

During the last three years, interest rates have been low and the rand has been strong, fuelling the growth of many businesses. With growth and expansion comes the need for larger premises and as many business owners begin to search for new premises, so they quickly realize that it is almost as cost effective to purchase property as it is to rent - hence many tenants became owners.

How do you find suitable industrial properties to purchase?
Here is advice for industrial property purchasing:
The first step is to determine a location where one wants to invest - drive around the area and make sure you are familiar with it. Next, contact industrial property brokers (more than two) that specialize in that specific area and discuss with them what they think would suit you and what is the type of industrial property in highest demand by tenants.
RealEstateWeb

Property Valuers Profession Act 47 of 2000
info.gov.za - South Africa
Publication of the Guideline Professional Fees in terms of section 35(2) of the Property Valuers Profession Act, 2000, (Act No.47 of 2000).

In terms of section 35(2) of the Property Valuers Profession Act, 2000 (Act No.47 of 2000), the Council must, annually after consultation with the voluntary associations, representatives of service providers and clients in the public and private sector, determine professional fees and publish those fees in the Gazette.

The SA Council for the Property Valuers Profession hereby publishes the Guideline Professional Fees for general information effective 01 October 2010.
Info.gov.za

FNB November 2010 Property Price Index
FNB - South Africa
FNB HOUSE PRICE INDEX RATE OF INCREASE DECLINES MILDLY FURTHER IN NOVEMBER
The average house price growth slowdown continues, with the November FNB House Price Index recording a year-on-year rate of increase of 3.8%. This is only slightly lower than the previous month's revised rate of 3.9%, reflecting a recent slowdown in the pace of decline in price growth in recent months. It is possible that the slowing pace of decline is reflective of some additional stimulus that the Reserve Bank (SARB) has given to the market through its interest rate cut in September, while the November rate cut would only be reflected in the numbers in coming months. The average price for November was R787,530.

In real terms, the decline in the rate of year-on-year increase continued in October, from 1.4% in the previous month to 0.5%, which was the combination of lower nominal house price growth as well as a slight rise in consumer price inflation from 3.2% in September to 3.4% in October.
FNB November Property Price Index

Irish economic woes will impact on South Africa, says Rawson
Rawson - South Africa
The collapse and massive bail out of the Irish economy will have repercussions for South Africa, says Bill Rawson, Chairman of Rawson Properties.

"As has been thoroughly documented," says Rawson, "in the 2003 to 2007 period the Irish economy had a phenomenal growth, twice exceeding 8% per annum. As a result, here in South Africa we suddenly found many Irish buy-to-rent investors buying up property, particularly at the Cape.

What is more, many did it on a big scale, acquiring 20, 30 or even more properties, either individually or syndicates, and in some cases they invested in more than one province."
Rawson