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Bidding for Sandton office block

Posted On Friday, 02 December 2005 02:00 Published by eProp Commercial Property News
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Building sold for R29million in Auction Alliance's last multiple sale of the year

Rael LevittThe multiple auction scene drew to a close for the year in Gauteng this week with two auctions held by Auction Alliance and Aucor at which more than 30 properties were sold, including a vacant multimillion-rand office complex in Sandton, and a Hollywood-style house in Bedfordview.

The major lot at Auction Alliance's sale on Monday was the complex in Charles Crescent, Sandton. The complex has a gross lettable area of 15050m² and consists of five triple office modules and development land. It is close to the M1 freeway and has easy access to Sandton.

Auctioneer Rael Levitt started off the bidding for the complex at R22 million. Bidding moved up in multiples of R1 million to a hammer price of R29 million. The buyer would not say for what purpose the building would be used as negotiations were not yet finalised.

Centex Close, the adjoining development land of 8608m², was knocked down for R2,8 million.

John Hawkins House on Rivonia Boulevard, offering a total bulk area of 10900m², described by auctioneer Christian Stewart as a prime development opportunity, sold for R11,5 million. The building is expected to be demolished as the property offers several redevelopment possibilities.

A proxy bid of R4 million hastened the disposal of 65 Kyalami Boulevard, and the sale was completed in a matter of minutes as no member of the audience was prepared to challenge the proxy bid.

Another seamless sale was that of a Kempton Park building at 3 West Street. The sale was confirmed immediately at the drop of the hammer at a price of R4 million.

Two well-known properties in Roodepoort, the former NBS and Furniture City buildings, were on offer. The former was sold quickly for R2,5 million, but it was the latter that, surprisingly, generated the most excitement of the day.

Bidding started at R1,75 million and the bidders good-humouredly jockeyed for the lead until the hammer came down on the winning bid of R3,35 million.

The successful buyer was greeted with a spontaneous round of applause and cheering.

Bargain of the day was a three-storey 30-apartment block in Colenso, which attracted little interest. The highest bid received was R1 million - which, as Levitt said, came to about R30000 a flat, cheap in anyone's language.

There was some disappointment that the Smal Street Mall was not on the vendor's roll.

The property has not been withdrawn from the market but its sale has been postponed to a date early next year.

Levitt said Monday's auction was "pretty good" and it had been a good year for the auction industry all round.

Property sales were dominant in the market and set a new platform for commercial property transactions.

At the Aucor sale on Wednesday, top spot was taken by the Hollywood-style mansion at 35 Douglas Road, Bedfordview.

Attractions of the three-storey 2000m² house and offices with four en-suite bedrooms include a wine cellar, walk-in safe, gym room, marine fish tank and indoor swimming pool with submerged viewing deck. It was expected that the property would fetch a seven-figure offer, which it did at R4,5 million, although auctioneer Eddie Winterstein thought it should have sold for a figure closer to R9 million.

Other solid, albeit more modest homes, attracted attention.

A modern cluster house with three serviced development erven, at Clubview near the Zwartkops Golf Course, sold for R1,4 million. A Crown Gardens two-bedroom semi-detached house sold for R400000; a three - bedroom house in Robertsham for R620000; and a four-bedroom house in the same suburb for R660000.

Two homes in Witbank were on offer at 2 William Lynn Street and a large family home at 6 William Lynn Street. They were sold for R450000 and R500000 respectively.

Buildings in the Johannesburg central business district continue coming on the market. The 10-storey building at 173 Jeppe Street was knocked down for R1,6 million.

On offer in the Springs CBD was Nongai House, previously occupied by the South African Police Service. Described as ideal for residential conversion, it fetched a price of R2,25 million.

A corner retail premises in Greymont, consisting of a cafe, butchery and two-bedroomed flatlet, sold for R375000.

The building is reminiscent of the early Johannesburg corner shop, to which the owner's house was often attached.

Also on offer were factory premises in Wadeville (R1,825million); a Zenex filling station in Jules Street, Malvern (R2,7million); a commercial property, 182 Athol Road, Highlands North (R660000); and a retail centre at Oak and West streets, Kempton Park (R625000).

Aucor CEO Eddie Winterstein said it was a good sale and both buyers and sellers received good prices. Houses under R1 million sold well, but the more expensive ones were not being snapped up at the moment.

"Over the past year there was a good response especially to commercial and industrial properties and we never had to battle to fill the rooms at these auctions," Winterstein said.

Last modified on Wednesday, 18 June 2014 09:42

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