Short­age of hous­ing stock for sale in Cen­tury City

Weekend Argus (Saturday Edition) - - PROPERTY -

ONLY 38 of the al­most 3 000 ex­ist­ing res­i­den­tial front doors at Cen­tury City are on the mar­ket for re­sale.

This rep­re­sents just over 1 per­cent against a norm of around 5 per­cent to 10 per­cent else­where, says Brian Usher of Prop­erty World, the on-site spe­cial­ist Cen­tury City agency.

“This is not just the re­sale prop­er­ties we have on our books but the to­tal num­ber of ex­ist­ing prop­er­ties on the mar­ket in the precinct across all es­tate agen­cies,” he said.

Usher said the short­age of avail­able stock was spurring new de­vel­op­ment and un­der­pin­ning prop­erty prices and cap­i­tal growth.

He said newly listed proper- ties for sale in Cen­tury City were sell­ing on av­er­age within a cou­ple of weeks, un­like most other ar­eas where av­er­age list­ing pe­ri­ods were any­thing from three to nine months.

“There are a few ex­cep­tions where prop­er­ties have been on the mar­ket in Cen­tury City for four or five months, but th­ese tend to be those prop­er­ties that are un­re­al­is­ti­cally priced and where the sell­ers are not obliged to sell, but will do so if they get their per­ceived price.”

Usher said the de­mand for prop­erty sales and re­sales at Cen­tury City was pos­si­bly at a peak.

This was cre­at­ing a sit­u­a­tion where the prices achieved in the past few months were no longer a true re­flec­tion of the cur­rent prop­erty val­ues there.

“The com­par­a­tive mar­ket val­ues of prop­er­ties will soon see a dra­matic ad­just­ment once the most re­cent sales are trans­ferred. This in turn will place more re­spon­si­bil­ity on the fi­nan­cial in­sti­tu­tions to en­sure their val­uers are kept abreast of this up­turn in val­ues.”

He said Cen­tury City’s pop­u­lar­ity as a res­i­den­tial desti­na­tion had soared in re­cent years due to its cen­tral lo­ca­tion, high level of se­cu­rity and ameni­ties right on the doorstep.

“This has made the node par­tic­u­larly att r ac­tive t o in­vestors as they are prac­ti­cally guar­an­teed ten­ants and the rentals are good.”

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