Western Cape sees growth in industrial property sector

Share

Tweet

Share

Share

Email

Comments

PICTURES: SUPPLIED

It’s not only residential property investment opportunities that are on the positive side in the Western Cape and specifically Cape Town, but industrial properties are also on the up.

In Cape Town, industrial property continues to see positive growth as the city is seen as the better place to live and do business.

According to the Urban Growth Property Group (Urban Growth), an independent property investment company operating in South Africa, several factors contribute to this growth in Cape Town:

• Cape Town’s roads and infrastructure are well maintained.
• There is a limited supply of industrial property in the area.
• The industrial property sector has been the best-performing property sector in South Africa over the past year.
• Tenants require protection from load-shedding, and the financials for off-grid industrial properties make better sense.

“South Africa, in general, offers good value in terms of property – both residential and industrial – but the Western Cape location adds enormously to the development’s value,” says Urban Growth director and co-founder Ross Gregory. “The supply chain industry is booming in the province, and people are coming to the region from far and wide – both locally through semigration, and globally. The influx of people means more infrastructure, more houses, and more business. One can also rely on the support of the provincial government and a sound provincial economy.”

Urban Growth’s portfolio consists of completely off-grid, Grade-A industrial properties located in the Western Cape. The company specialises in large-scale supply chain logistics industrial property. Their Western Cape portfolio comprises distribution warehouses and last-mile logistics buildings, with a collective market value of more than half a billion rand.

“The properties also boast energy-efficient features that support responsible and sustainable investing,” says group CEO Colin Young. “The properties are off-grid, so there is no worry about load-shedding, and the carbon usage is low. On top of this, it generates good cash flow.”