KEEPING YOUR FINGER ON THE PULSE OF THE PROPERTY MARKET

Message from the CEO

LEADING THE INDUSTRY

Jonathan Russell Smiedt

Chief Executive Officer

Last week the World Economic Forum (WEF) released their Global Competitiveness Index (GCI), showing how South Africa slipped 14 positions since the 2016 survey.

In unpacking the reasons for this massive drop, government instability, crime and corruption, were cited as some of the key contributing factors. However, in seeing the glass half full, it is worth noting, that South Africa remains one of the most competitive countries in sub-Saharan Africa.

There are many factors that may be beyond the control of individual citizens, when it comes to economic activity. However, as business, we need to play our part, in building this economy by ethical business practices, creating healthy competition and securing sustainable employment.

The real estate sector is highly competitive and with our tried and tested competitive business model, of finding the right buyer for the right property, we continue to get results where traditional estate agents have failed.

Every month we are seeing increases in the number of private sellers who have either used traditional channels with no success, or are willing to try the auction floor as their first option when it comes to selling their properties.

Recently ClareMart sold a spectacular Constantia home in a high profile insolvency matter, for R14m, a commercial building in Claremont for R7.4m and a villa in Yzerfontein for R7.1m. These were all examples of successful cash sales where estate agents were unable to sell or even obtain acceptable offers on the properties.

The last quarter of this year looks exciting and we secured excellent exclusive mandates for a range of auctions, both on-site and at our monthly multiple auction.

We continue to build on our long standing relationships with Financial Institutions and will on Thursday 12 October be taking a vast selection of over 70 properties to auction in Johannesburg, worth approximately R55 million on behalf of one of SA’s Big 5 Banks.

The bi-monthly Absa Bank Repossessed Vehicle auction, coming up on Thursday 19 October in Milnerton, is another highlight on the retail calendar as dealerships and individuals come in search of good value for money.

ClareMart remains a preferred supplier in most legal matters and will on Friday 13 October, in an insolvency matter, be taking a dairy farm, including the residential property and the movable assets, to auction on-site, in Klipheuwel.

Other on-site auctions include a family home in the quiet suburb of Silver Oaks in Kuils River and student accommodation in Little Mowbray, close to two major universities, on 17 and 18 October respectively.

In a Private Treaty with one of SA’s top universities, we are taking to market a massive student accommodation property, with over 150 beds. Considering the global expansion of the student accommodation market, this is a prime investment opportunity.

On the commercial front, an Elsies River building with retail outlets downstairs and residential units upstairs has redevelopment potential that could yield significant returns and will go under the hammer at our multiple auction at the One&Only Hotel on Tuesday 24 October.

The Atlantic Seaboard will be a highlight at our multiple auction which will feature a five-bedroom Green Point home with redevelopment potential for an apartment block, a much sought after suite at the President Hotel Bantry Bay as well as an extensive collection of other commercial and residential investment options.

On a personal note I am proud to mention that ClareMart was this week named the Nr 1 Company in the South African Auction industry, by Top 500, an accolade we have consistently achieved over the last decade. This is both humbling and inspiring and will push the team to deliver even better results to our many clients nationwide.

See you on the auction floor.

Jonathan Russell Smiedt
Chief Executive Officer