Renico Construction Newsletter- December 2023
Category Newsletters
2023 was by no means an easy year, not only locally but across the entire globe. World economies are still struggling with elevated levels of inflation and scenes of civil unrest were seen in numerous European countries. The ongoing conflicts in Ukraine and the Middle East continue to destabilise entire regions and displace millions of people.
This year will also be the hottest year ever recorded on earth and these feverish temperatures become a catalyst for other natural disasters which not only lead to human fatalities but place insurmountable pressures on economies. Hopefully, this will convince all world leaders that global warming is by far the biggest threat to civilisation and that they need to act quickly to try and slow down this man-made natural disaster.
South Africa will most probably experience less rainfall in the coming years, mainly due to the El Nino weather phenomenon. I believe we will be experiencing serious problems with our water supplies in the future; resulting in similar crippling effects to those loadshedding has caused us since 2007. In an effort to mitigate this we are already offering back-up water solutions to our clients interested in our developments in Potchefstroom, Fourways, and Bryanston.
The general consensus seems that we might expect our first drop in interest rates by mid-2024, yet our inflation rate is currently in an upward curve and sitting at 5,9%. Hopefully it will remain below the Monetary Policy Committees upper bracket of 6% and if not the case, we might still have an interest rate increase in January 2024.
There are some amazing opportunities to secure a home within the popular Riverspray Lifestyle Estate in Vanderbijlpark. Here one can purchase a full title stand within the well-stablished Security Estate or opt to pick one of the three available building packages which may be placed on a stand of your choice. With prices starting at an incredible R699,000.00 for a completed two-bedroom house, it is no wonder that we secured a few sales within the first two weeks of launch.
Due to a late cancellation, we have one last home available at our Brendavere Estate in Craigavon, Fourways. This duplex cluster offers three bedrooms, three bathrooms, guest loo, lounge and dining room, double garage, and staff accommodation! This stunning property, which will be ready for occupation by March 2024, is priced at R3,620,000 inclusive of bond and transfer fees.
And the verdict is out...everybody loves our Fernhill development in Bryanston! We secured three sales within the first two weeks of launching this development and by doing so surpassed the first 10% sold milestone. I am hopeful of a few more sales before we end this year which should be enough to trigger the construction of the remaining twenty-seven homes by early next year.
I am extremely excited about our Elemente project right on the Potchefstroom Dam in the North-West Province. This is arguably one of the most scenic sites Renico has had the privilege of developing. Fifty-seven full title stands will be available, all with a Northern view over the Potchefstroom Dam where one can purchase a fully serviced stand on which to build your dream home. Prices will start at R 845,000 for a 460m² stand, with construction commencing late in 2024.
Author: Nico Louw
