Business

SA’s rich flock to gated estates

2019-12-01 06:34

South Africa’s richest people are forking out huge amounts of money to live in gated security estates, with some paying as much as R75 million for a luxurious home in one of the country’s top 10 estates.

More than 40% of the country’s wealthiest people live in the thousands of lifestyle, wildlife, golf and equestrian estates that have shot up around the country, a research report from New World Wealth (NWW) shows.

South Africa boasts a total of 8 602 estate developments worth more than R1 trillion, according to data provider Lightstone. Broken up, 361 851 freestanding properties are worth R932.85 billion and 86 177 sectional title properties are worth R127.28 billion.

The way estates are built has changed over the years, and developers have gradually moved away from the traditional golfing estate model with houses arranged around a golf course. Newer developments have luxury homes, living units and retirement villages surrounded by world-class facilities.

The top estate on the Garden Route is Fancourt in George, a premier destination for golfers thanks to its three popular courses. The estate offers various residential areas, with prices ranging from R3 million to R50 million.

NWW named the Val de Vie lifestyle estate in the Cape Winelands the number one residential estate in the Western Cape and the country.

Read: SA’s rich grow wealth by small fraction compared to rest of Africa

Val de Vie, which is near Paarl, offers various neighbourhoods, each with its own unique characteristics, surrounded by vineyards, polo fields, natural fynbos vegetation, parks, lakes and picturesque mountains in the background. The price of homes and residential units in the estate range from R3 million to R50 million.

Ryk Neethling, Val de Vie’s marketing director and a shareholder, strongly believes that the focus on security and wellbeing contributes to the success of the estate.

Andrew Amoils, head researcher at NWW, said the criteria according to which estates are measured include location, views, natural beauty, design, security, activities and amenities: “Park-type developments with wildlife as well as walking and cycling routes are especially popular.”

The leading residential estate in Gauteng is Steyn City, near Broadacres in Johannesburg.

“It is probably Johannesburg’s best-designed estate with spacious green areas between the different residential areas,” said Amoils.

Before Steyn City was opened in 2015, more than 1 million indigenous trees were planted, making the development one large park.

Residential unit and home prices range from R2 million to R40 million.

South Africa boasts a total of 8 602 estate developments worth more than R1 trillion, according to data provider Lightstone.

In KwaZulu-Natal, the Zimbali Coastal Resort and Estate on the Dolphin Coast leads the pack in the province. The prices range from R5 million to R75 million.

The top estate on the Garden Route is Fancourt in George, a premier destination for golfers thanks to its three popular courses. The estate offers various residential areas, with prices ranging from R3 million to R50 million.

The other estates in the top 10 are Arabella Country Estate near Hermanus, Atlantic Beach Estate between Bloubergstrand and Melkbosstrand in the Western Cape, Pezula Private Estate in Knysna, Simbithi Eco Estate in Ballito, Whale Rock Ridge in Plettenberg Bay and Steenberg Golf Estate in Cape Town, which was one of the first estates in the country.

Amoils said South Africa was one of the global pioneers when it came to the development of residential estates.

“The only country with more estate development than South Africa is the US, and most of that is located in Florida.”


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December 8 2019