Exceptional investment opportunity
A penthouse suite in one of SA’S exclusive hotels in Cape Town offers investors all the finer things in life. Lea Jacobs looks at the benefits of this high-end investment
WHY rent when you can buy? This question is particularly relevant among those who are opting to extend their property portfolios and become members of an exclusive club by either choosing to own suites in luxury hotels or by buying the entire establishment outright.
Francis Ford Coppola recently added a fifth hotel, the Palazzo Margherita in Italy, to his property portfolio while Donatella Versace owns the famous Palazzo Versace on Queensland’s Main Beach in Australia. U2’s Bono entertains guests in the penthouse suite of his Clarence Hotel in Dublin. Sir Richard Branson is another hotel collector with a private island, add Moroccan and Swiss mountain retreats and the Ulusaba Private Game Reserve in the Kruger National Park in his portfolio.
Not everyone wants the responsibility of owning and running a hotel and an increasing number of high rollers are taking the simpler, less expensive route by buying a suite at a high end, luxurious establishment.
“When it comes to the wealthy, you know you have arrived when you can add a five star luxury hotel penthouse to your property portfolio,” says Ian Slot, MD of Seeff Atlantic Seaboard. The rich and famous not only stay in luxury ho- tels around the world, but are increasingly adding ownership of hotel suites to their property portfolios.
While privacy and security are important considerations, exclusivity and luxury five-star, on-demand service and amenities add to the allure of hotel suite ownership says agent, Emelia van der Linde. “It offers a secure place to stay, host friends, guests and business associates and serves as a convenient base for business travellers,” she adds.
The concept of hotel suite ownership was boosted with the arrival of top international-standard hotels such as Sol Kerzner’s One and Only where Seeff sold a suite for R110m, the highest price ever paid for a residential property in the country. Among the exclusive new arrivals is the R400m, 20storey Pepperclub in Cape Town’s City Bowl, owned by Solomon Brothers Property Holdings.
Designed by MLB Architects and with New York-inspired interiors completed by Les Harbottle, the hotel was voted Best Luxury Hotel in SA by CNN Traveller. Its exclusive, double-storey penthouse suite is believed to be the largest and most lavish in the Southern Hemisphere and is now on the market for R30m.
“Few apartments compare with this property,” says Van der Linde. “It occupies the top two floors of the building with almost 800m² of space, wraparound terraces, a sun deck and private swimming pool, and breath-taking city, mountain and sea views.”
She notes that the double-volume space includes two lounges, a dining room, open-plan kitchen, a guest cloakroom, a luxurious master bedroom suite with a dressing area and en-suite bathroom and two additional bedrooms, both with en-suite bathrooms.
The finishes and furnishings are ultra-luxurious and include extra-length king-size beds, televisions in all rooms, heating and airconditioning, electronic safes, wireless internet and a mini bar in each bedroom.
Located at the foot of Table Mountain in the heart of cosmopolitan Cape Town, the hotel’s facilities include a 24-hour concierge, boardroom and conference facilities, a state-of-the-art gymnasium, luxurious spa, private cinema and trendy restaurants. A palm tree-lined courtyard con- nects the hotel to vibrant Long Street with its boutique shops and vibrant nightlife. A fleet of luxury vehicles, which includes a RollsRoyce Phantom, provides chauffeur services for guests.
“While the city is the country’s primary coastal holiday destination with millions visiting annually, it is also a growing business conference destination,” says Slot.
The convention centre already hosts a year-round calendar of high profile local and international events and reported more than 1,2m visitor days last year (35% of which were international tourists) and development is under way to double this capacity over the next three years.
“The growing demand for luxury leisure and business hotel accommodation means that there is always the added rental-pool attraction that investment in a hotel suite offers,” adds Van der Linde. “At R37 500/m², the Pepperclub penthouse suite presents an exceptional investment opportunity.”
The most expensive apartments and penthouses in the country are located at the V&A Waterfront Marina and Front Yacht Basin. The highest prices achieved here over the past three years range from R64 257/m² to R73 413/m². In addition to R110m for a One and Only penthouse, Seeff also sold the Lawhill apartment building here at R245m. The highest monthly short-term rental rates achieved by Seeff on the Atlantic Seaboard during the peak summer and convention season this year range from R80 000 at the V&A Waterfront to R35 000 in the City Bowl. Contact: Seeff Properties Emelia van der Linde 083 748 5184 Office 021 438 1055